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spk04: Good morning everyone and thanks for joining us this morning. So I'm joined today with Paul who will talk, who will follow me and as well with Nordin and Philippe that you all know who will intervene during the Q&A session. So thanks for all of them to be here today. So I'm going to start to give you a brief introduction. I will then over to Paul as I said to take through you through the group and business performance in the quarter. And then we'll open for the questions. So first of all, a bit some key takeaway. Well, as you know, I just joined recently after 30 years in the technology sector. And I've seen first-hand Atos technological capability, but as well the highly talented team, the leadership and all team across the globe. So since I joined Atos earlier this month, I've been really impressed by the total commitment and dedication of everyone of Atos to deliver the plan every day with clients and their team. So what I did is that I spent time to better understand our operation, first at Tech Foundation with all infrastructure, digital workplace, and all the other strategic services that they do today, but also with Eviden across digital cloud, digital security, and advanced computing. So for me, it is extremely clear that the business has significant opportunity to capitalize on their strong position across many strategic areas that are extremely differentiated and sometimes unique. So obviously, why focusing on the operation performance and commercial momentum? As we already communicated, we anticipate a shareholder meeting to take place early Q2 2024. We have an investor day to occur slightly before. And finally, I want to insist that we are fully committed to an ongoing open dialogue with all of our shareholders, obviously with all of you today. So now let me turn over to Paul, and we will cover the Q3 financial results.
spk02: Thank you, Paul. Thank you, Yves, and greetings, everyone. Let me start with revenues for the quarter and year to date. Group organic revenue was down 3% for the quarter, Eviden was up 2.3%, partially offsetting a decline of 7.2% in Tech Foundation. I'll cover the revenue performance and commercial activities of both Eviden and Tech Foundation later in the presentation. Year-to-date group revenue was up 0.6% with a solid revenue growth in Eviden, offsetting decline in Tech Foundations. And for the full year, we remain on track to meet our revenue growth target for the group of 0 to 2%, as well as our guidance for both Evident and Tech Foundation's revenue growth. Turning to our revenue performance by region, Southern Europe was up 3% on solid contributions from HPC and digital security. Central Europe was relatively flat, Northern Europe and Americas were down 2.5% and 13%, respectively, and those reflect the impacts of delays in contract awards. Americas was further impacted by lower volumes in cloud licensing in the U.S. and a tougher comparison with the prior year, which benefited from a large completion of an HPC contract. We expect America's revenue to stabilize in the fourth quarter and be relatively flat compared with the prior year. Revenue breakdown by region is highlighted on the right side of this slide, showing a balanced revenue mix across the regions. Turning now to order entries in the Q3 for the group. And let me remind you that Q1 and Q3 are seasonally low quarters for us. Order entry in Q3 of 2023 was 2.2 billion euros, up 10% over the prior year on a reported basis. Order entry growth would have been higher adjusted for the divestitures. The book to bill in the quarter was 84% compared with 71% in the prior year. And we expect a stronger book to bill in Q4. Total hedge count for the group was 105,000 roughly employees at the end of the quarter which was down minus two percent compared with the end of h1 and our attrition rate was about 16 on a trailing 12-month basis down compared to the end of h1 let me turn now to our q3 performance by business for evident revenue in the quarter was 1.2 billion euros up 2.3% organically, reflecting strong growth in digital security and stronger performance in digital in Europe. The performance in Europe was driven by demand for application development and modernization. In the America, revenue was down, reflecting the impacts of delays in contract awards, lower volumes in cloud licensing, as mentioned earlier, and a tougher comparison with the prior year, which benefited from a large completion of an HPC contract. And as I already mentioned, we expect America's revenue to stabilize in the fourth quarter and be relatively flat on a year-over-year basis. On a year-to-date basis, revenue was up 5.5% organically. Now, evident book-to-bill was 80% in the quarter, in line with the prior year. And as a reminder, bookings are seasonally low in the third quarter, and therefore we expect a rebound in bookings activities in the fourth quarter. In the quarter, the evident business continues to make progress in gaining new logos across all four offerings. Some key wins are highlighted on the slide. They include an application integration contract with a government agency in digital and a large cloud transformation contract with a large luxury retailer. Evident also signed a digital security deal with a major transformation company. And lastly, as we already mentioned, Evident won a contract with the first exascale HPC, which is clearly a testimony of Evident's leadership in advanced computing. Now let me turn to the tech foundations. Revenue in the quarter was 1.373 billion euros, down 7.2% organically and minus 4% for core revenues. The business continues its portfolio rationalization with a reduction in its non-strategic activities including hardware and software resale and BPO. The company recently sold its UCC business, which was declining and impacting year-over-year growth comparisons. Year-to-date revenue was down 3.5% organically and down 1.9% excluding non-strategic activities. Book-to-bill for the tech foundations was 88% in the quarter compared with 58% in the prior year. Tech Foundations added a new logo in the quarter with the major telecom companies in the US. The business will be helping that client modernize its mainframe environment. Other key wins in the quarter, including a contract with the European Commission to support their cloud transformation and automation plans. Tech Foundation also signed a contract with a large gas and electric company. to manage the workplace environment for their 30,000 plus employees. So in closing, we are confirming our 2023 guidance for the group. We would expect growth organically to be 0% to 2%, operating margin of 4% to 5%, and free cash flow for the full year of about $1 billion, and to be precise, $969 which is really implies in H1, H2, excuse me, a free cash flow of flat for the semester. At the business level, evidence is targeted to report an acceleration in organic growth compared with a prior year and an improvement in its operating margin year over year. Tech Foundation is targeted to show core stabilization as the business continues to rationalize its portfolio, and we expect Tech Foundation's operating margin to be targeted to be positive for the year. And with that, we will now open the line for our questions.
spk01: Thank you. Dear participants, as a reminder, if you wish to ask a question, please press star 11 on your telephone keypad and wait for a name to be announced. To withdraw your question, please press star 11 again. Please stand by. We will compile the Q&A. This will take a few moments. And now we're going to take our first question. And it comes from Frederick Boulang from Bank of America. Your line is open. Please ask your question.
spk05: Hi, good morning. Thanks for taking my question. Firstly, I know it's early days. I think you've been here for less than a month, but we would love to hear your thoughts on uh on evident uh when you look at the uh the growth prospects uh for for the business in the medium term specifically next year um you know we have uh some of your peers including uh accenture guiding for uh zero to three percent organic growth in the uh for next year so we'd love to hear how you think uh evident can fair in that um in that environment um and in particular around the cyber unit and then secondly if you could give us an update on your disposal plan. So both the already announced 700 million plan and the new plan in terms of cash impact, what we can expect this side of the year and next side of the year. Thank you very much.
spk04: Well, I will thank you for the question. I will take it and ask Philippe to complement as we are working close together. Obviously, today we are commenting the Q3, and I will not comment about any guidance for next year, which is not the scope of today's focus. I started to learn by meeting the team with Philippe on the four key offerings around cloud, digital, security, and all the high-performance computing activities, which is not just about hardware, but as well all the services around. So that has been the target, you know, to put all those added value services. And I think what I've seen in it is there are two things. One is there are differentiated capabilities in terms of their focus to the new technology, whether it's in cloud, focusing on the, you know, migration to the hyperscaler, but as well, all the SaaS applications that are absolutely strategic, which is most of the scope that we have within digital, then security and HPC, which includes a lot of IP and assets. And I think back to your questions, what I see extremely differentiated from what I know from the market is that some of the offering are absolutely unique. If you just touch the HPC combined with the AI capability of the group with Evident, this is unique in the market. If you want to set up an LLM environment with a sovereign objective to secure your data, there is no other offer in the market. So this is one example that I think will help Evident to keep being very differentiated. For this, there is no competition that exists. So for that, I'm pretty confident that it's our ability to push it and present it to every client. But all of them, all of those four offerings are extremely relevant, I believe. Then when it comes to this investment, I think that was your second part of the questions, I cannot be precise on that. Maybe Paul will comment back because we are currently looking at it and we will communicate later on which activity we believe will be in scope. But maybe
spk06: first with you philippe about any additional comment and then paul for the this investment yeah hello to everyone it's philippe so so just you remember that uh as uh eve is mentioning we we have um decided to heavily capitalize on what is making us different uh and what is setting us apart from the competition to our first reposition the company extracting more operating margin And also, you remember what I was saying, that is always we stop running after everything that is active on the market. We are now ring-pensing our focus around the key areas. I think the perfect illustration and Paul started to capture that in the reference and deals that we signed. We are starting to make terrific progress on our ability to embrace the generative AI growth. And I know that many, let's say, core services providers on the market are all, let's say, focusing the effort and repositioning their resources on generative AI. But there's one item that is very, very strategic is that We are now the sole and unique providers that can build up generative AI for very large corporates that believe that it matters to protect their intellectual capital and their knowledge-based model by structuring those generative AI capabilities in a protected environment. And when I say protected, that means not only relying on the core servers that we have on the advanced computing part, but also making sure that we are protecting the three main pillars Who is getting access to what? That's the identity management software portfolio that we have. How to encrypt and protect the data? That's everything that we're doing with the level of encryption that we have on the cybersecurity side. And also managing the threat and cyber attacks through the managed detection and response. So we are coming together in terms of integrated capability to make sure that our clients are understanding the integrated value prop that we have. And now with the rise of exascale requirement for deep learning capability, and especially not only relying on scientific calculation, but starting to build, let's say, learning machine model, that's what is setting us apart. So it's a great momentum. We have a very strong pipeline, as I mentioned before, especially around our new dedication of high-performance computers for generative AI, and we are really starting to see the momentum growing up.
spk04: And this is to your question, one example that I was referring that Philippe has detailed. And that's where I think to be even more differentiated, when we refer to all those four capabilities, we need to more systematically bundle those offerings together as the example of generative AI, which will help to respond to client needs. So that's a focus we have together with Philippe. Maybe Paul on this investment?
spk02: Yeah, on the divestitures, there were two programs, as you recall, Frederic. The first one is the $700 million plan of asset disposal. It was announced last year, and this program is completed. And so that would be part of what we had turned. We would do this half a year. I think we said $250 to $300 million was remaining of both the $700 million program as well as the new program. The new program is at $400 million. asset disposal. So let me go back. $700 million from last year. This program is going to be now completed this semester. The $400 million program, we have two deals, one closed, and will be part of our $250 to $300 million this semester. The other one is signed. We haven't collected yet the money, and we're still ongoing discussions on other assets that make up the 400 million program. And most of that will be happening next year.
spk05: Thank you. If I may clarify, Paul, thank you for that. I think on the 700 million, there was something like 500 million remaining. You already cashed in 200, unless I'm missing something.
spk02: No, no, I think you're wrong. We had done 500 plus million, close to 500. There was remaining a couple of hundred, two hundred some million.
spk01: that's what really has been completed right okay thank you thank you thank you dear participants as a reminder if you wish to ask a question please press star 1 1 on your telephone keypad and now we're going to take our next question and it comes from nicola david from order bhf your line is open please ask your question yes good morning and thank you for taking my questions i have a
spk07: a few of them. The first one is when we look at the deterioration of growth of digital in America, could you share some colors about the trends during the quarter? I mean, this deterioration was seen during all the quarter or was it more an acceleration in September? And what do you see for the specific area digital services in America for Q4? My second question is What makes you confident to reach even the lower end of your growth guidance when you are actually at 0.6% organic growth after nine months? I remember that comps in Q4 overall are pretty tough. I understand on the big data side that you may have some rebound, but excluding the big data, it looks like you are embedding some decline for Q4. So what, especially if we exclude big data, what should make you confident that you will stabilize the situation and reach the lower end of your gross guidance? And my last question is, do you think that you need, given this kind of a weak Q3 and maybe Q4, even if you are the guidance, maybe would be a bit lower than what you were expecting initially given the macro environment? Would you need some cost-cutting measure additionally to what you are already doing, obviously, with the restructuring plan to preserve the margin guidance? Thank you.
spk04: Thank you. What I would suggest is to start with Philippe and Nourdin to give us their view on the Americas market, and then Paul covering the guidance and your comment on Q3 with cost-cutting, and then I will complement after Paul if needed.
spk06: Yes, so for the evident business, because you mentioned digital, but it's not only digital, and you know that we are not breaking down, let's say, by region, let's say, the revenue numbers between digital and BDS. But there's one point that I want to mention, I think, or Paul touched base on this topic, is that on the evident side, we were Let's say suffering from a very difficult compare because we had a massive transaction last year that was an HPC delivery in South America that was quite an heavy one and that penalized, let's say, the comparison in terms of organic growth year over year. One of the key points is that, and I prefer to be very transparent and honest, yes, we are seeing a slowdown in terms of decision-making process in the U.S., So that didn't impact heavily the run rates that we're seeing, especially for Q4. But you remember that in the evident profile, like what we did last year, we mentioned and I mentioned specifically last year where we deliver 11% revenue growth in the fourth quarter, that this year has the same kind of profiling. That means we are back-end loaded especially on transactional sales, not only on the BDS part, but same thing on the digital one with some strong delivery milestone that will trigger, let's say, large invoicing in terms of top line for the first quarter. But one of the key points is that, yes, in the U.S., we are seeing a slowdown in decision-making process, as you mentioned, like what the entire ecosystem is currently observing on the U.S. ground.
spk04: All right, let me pick up. Maybe Nordin, and then we... Yeah, quickly, thank you. Thank you, Yves.
spk03: Just on the TF side, the business is still holding, I would say. You saw the book to build, and especially in the US, where the team did a fantastic job in signing a multi-year contract transformation of the mainframe activities of a major telco, which is a contract of more than 100 million plus years. So yes, it's true that H2 is a weak point, but if you remember, we were mentioning that we will need 12 months to recover the sales engine in the US on the TF side. So I'm pretty positive about next year evolution of the TF market. Thank you, Nordin.
spk02: Thank you, Nordin. So your next question is what makes us confident that we're going to be meeting the 0% to 2% given that we're at 0.6% year to date. I think what, again, you heard from both Philippe and Nordin, we expect the fourth quarter to show solid growth in both sides of the business, even compared to the prior year on an organic basis. As far as the margin guidance that we have given, a number of initiatives were clearly underway, not only at the beginning of this semester, but throughout the year. gives us confidence that we will hit our guidance on the operating margin.
spk00: Thank you.
spk07: And maybe to follow up on Philippe's comments, it was really helpful. So if I understand well, you see some longer decision taking from clients, which is not really impacting the business right now, even not really in Q4 because you are executing your contract. But if I understand well, it could Would it rather be a problem for next year if it continues like that in Q4 and if the demand is not better, right?
spk06: Yeah, the point is that we have a strong pipeline in Q4. And so far, when we are projecting, let's say, the pipeline also for the H1 2024, we remain really confident on our ability to extract the book to build that is required to execute on the trajectory that we had. But same kind of comment. You remember that we have a big part of the revenue that is, especially on the BDS, that is coming from transactional sales. That is less, let's say, walking through a percentage of completion revenue recognition scheme. And we have the same story than what we've seen last year. Many transactions, especially on the BDS part, are in decision-making in the first quarter.
spk00: Thank you. Thank you.
spk01: Dear participants, as a reminder, if you wish to ask a question, please press star, one, one. Now we're going to take, my apologies, there are no further questions at this moment. We'll just give a moment to generate more questions. And now we have a next question come through. And the next question comes from the line of Your line is open. Please ask a question.
spk09: Yes, thank you. Good morning, gentlemen. A couple of questions from me as well. The first one is I'd like to come back on the divestment, but on the cash inflow more precisely, not closing the deal, but when the cash gets in, can you give us some details of what you expect for H2 this year? and the what is the remaining for 2024 hopefully in the first part of the year also from your comment i heard about if i got it right 250 to 400 million already booked but i have not seen any press release on this so could you detail a bit more so that's the first point the second one is more generally uh there's a lot of bad press or or not on the balance sheet on Maybe the spinoff. How do you deal with client relationships? Does it really impact the business by closing new deals? So any comments around that would be useful. Third point is on the new contract that you won. You had some major issue in the past on the pricing. Some of the contract you won from competitors and no competitors were not making Huge margin on the contract you won, thinking about Pharmatome. So how did you manage to get this contract on high profitability? And my final question is on the slowing growth at Evidian. Just want to make sure it won't have an impact on the trajectory on margin you were expecting a few months back. Thank you. That would be all for me. Would you start on these investments?
spk02: Yeah, I'll take one and three since they're financial, and I'll turn it over to Philippe. On the divestiture side, I think we said $250 million to $300 million of proceeds this quarter, sorry, this half. Two deals that relate still to the $700 million original plan have already closed, and you have not, as we mentioned, one of them already, which was the UCC sale that has already occurred. and it's just occurred past the quarter end. The other one also will be coming in any time now, and so those are two contracts that will close out the $700 million original divestiture. Out of the 400 new programs, I mentioned that one of them has signed and closed, and another one has just signed. So if you take those three, two from the 700, one from the additional program that would represent 250 to 300 million this semester. They'll be happening in the fourth quarter, actually. We'll be reporting on those at the end of the year results. Very, very consistent with what we told you back at the beginning of August. On terms of the evident trajectory, we are on track to deliver on the margin expectation for the business for the second half as well as for the full year.
spk04: Thank you. And handing over to Philippe, as an introduction, you refer to client conversation. Obviously, this is a must-have conversation with most of the clients. And I know Nourdin and Philippe do it. I do some of it as well because the You use the word bad press. Obviously, it requires to re-insist on our engagement and confidence about our teams, our offerings, and our ability to deliver for clients. So it's not a problem in such that the outcome of the conversation are always right, but it requires to take more time than usual indeed to re-explain and secure the confidence that we do have collectively with and for our clients.
spk06: so uh maybe philippe and uh maybe nordin as well to comment on client relationship no but basically hello so basically are here i i think either explain precisely yes that's uh that especially are in france uh where we have all our this bad press and all the noise on the markets are each requiring, let's say, some very strong senior executive focus to help our team on the ground to explain our capital structure story or what is running underneath the separation program and to ensure, let's say, long-term commitments, both in terms of operation and also in terms of financials. So, so far, we are We have dedicated structure that is helping our team on the ground to ensure that we are giving, let's say, clarity to our clients, especially when they have to make, let's say, long-term strategic decision. And that's both for Tech Foundation and Evident, but I will let Nordin comment on how he's dealing with winning back clients like Tramatome on the market.
spk03: Thank you. Thank you, Philippe. So, indeed, the noise in the system is not happiness, especially in a in France, and as you know, on outsourcing, we are selling multi-year contracts. So it's about trust, it's about partnership, and thanks to all the team on the ground that are able to maintain those relationships, those strong relationships with the customers, such as the contract you mentioned, Laurent, that we signed. And I will clarify, the contract is not exactly the same scope as the previous one, So the customers splitted in different lots and indeed we won a significant lot with margin. So the strategy has not changed. You could believe Paul. Paul is also on top of us to make sure that all the deals are being signed with the right profitability so there is no degradation or we are not going back to the previous model which was signing some deal with weak margins.
spk09: Maybe Thank you so much. It's very clear, Nordin. If I can ask a very last one. In your opening remarks, you said you were open to discuss with your shareholder, but on one hand, you have a growing disagreement between a few of your shareholders and the plan, and you are still committed to do this spin-off. So what is left to discuss with the shareholder? Do you have a bit of flexibility now that the chairman is gone? So where do you stand as of now?
spk04: Well, I mean, let me answer with Paul. A strategy has been set in order to separate the company in two or to... key activities with tech foundation and evidence so this is getting executed in parallel what we are doing together with paul is working on our financial model obviously there are things that we are adjusting and fine-tuning and this is why there is some time needed before we go to the to the shareholder so we are doing a continuous
spk02: Proactive activity to listen with them and and preparing or recommendation Yeah, I know let's just build on what Eva said we are on we continue to progress on the plan that has been laid out out there we're in discussion actively discussion with The FAA to just on certain parameters as we stated about a week ago. Nothing has changed. We're also in are working with our banks to for a refinancing post transaction again all of these matters will be brought to the shareholder at the appropriate time for their review and consideration and ultimately approval in due course and can you confirm that from the balance sheet standpoint and liquidity standpoint you will be supported by the banks till
spk09: 2025, because you referred to the next milestone only being in 2025.
spk02: I think we made it very clear on our communication a week ago that should the contemplated transaction be approved and the capital raise be approved by the shareholders, that we had a funded plan, but it was based still on closing the negotiation that we're currently having with our banks for financing our term loan aid doing uh coming in in november sorry in january of 2025. um the second thing is that should the transaction um does not go be approved and that doesn't we don't proceed with that transaction a contemplated transaction then we said that we had adequate liquidity to fund ourselves through 24 based on you know accessing still the factoring program that we had. But we also said that then we will have to just still take actions to look at the maturity schedule of that $1.5 billion of term loan aid that comes due in January of 2025 and consider alternatives if that transaction also does not go through. So nothing's changed again from what we said. I refer you back to what we said on a week ago.
spk09: Okay, very clear. Thank you, gentlemen.
spk00: Thank you.
spk09: Thank you.
spk01: Now we're going to take our next question. Just give us a moment. And the next question comes from Lan of Glenmark of Conti from Deutsche Bank. Your line is open. Please ask your question.
spk08: Hi there. Yeah, thank you. So I have just two questions, two broad themes. The first one is, could you discuss in a little more detail the portfolio rationalization? Are you ending client relationships that are simply not profitable anymore, or simply renegotiating the contract at a better long-term deal for ATOS, but impacting it short-term? My second question is, could you discuss a little about the attrition rate and employee headcount evolution? Are you having some trouble retaining talent? Was the headcount declined mainly in a bidion or TSVPRO? And how is your offshore leverage looking so far? Thank you.
spk04: Thank you. So two questions. The first one, I will hand over to Nordin, where most of the portfolio management is happening.
spk03: Yeah, thank you. Thank you, Marco, for the question. So clearly, we have selected a piece of business, remember, initially when we started the plan, close to 13% of our revenue was underperforming in tech foundation. So since last year, we have been working on that segment in trying to renegotiate it, as you mentioned. And some of them have been terminated, which is generating part of the managed decrease that you are seeing in the figure of tech foundation. And some of them have been renegotiated by some descoping or price renegotiation. So yes, you have all those kind of execution on the ground and and the team is still following that trajectory. I think we reported at the end of H1 that we were achieving now less than 8% of our revenue underperforming and the team is still continuing on track.
spk02: Let me take this headcount evolution and I'll pass it to also Yves for maybe if he has an additional comment. But I think the slide that we had shared with you just make it very clear we have no problem hiring, attracting talent, obviously. But we added 3,600 folks in the quarter to the company. In terms of attrition, the attrition was 16%, and it's pretty much even between the two businesses. And it's really better than when you look at it compared to what it was for 12 months ending H1.
spk04: And we are increasing our access to offshore talent to respond to the demand. Because that's, as you know, part of the strategy in both business to increase the leverage of the, let's say, the best short capability offshore, but as well as some near-shore talent.
spk02: Yeah, you mentioned, how much is it? It's close to 50%. Offshore.
spk08: Okay, and offshore. Just a quick clarification on that. That 50% offshore, could you split it into Avidian and CFTCurve?
spk04: Historically, and this is evolving for both, there is more offshore capacity, which came initially from the acquisition in the U.S., but both are increasing as we speak the leverage of offshore. But maybe any comment, Nourdin or Philippe?
spk06: No, but just to reinforce, and you remember, and that's what we say, that that was part of our operating margin improvement plan. We are perfectly executing on maximizing the penetration of our global delivery center in our solution design model and in our implementation engine. And so far, yes, on the evidence side, we are above 50% of global delivery penetration in our daily operations.
spk08: Fair enough.
spk06: Thank you very much.
spk08: Just one last follow-up about Avidian. How much of the guidance margin do you think will come from pricing, particularly in Avidian? And are you still doing some kind of inflationary price increases or are you trying to, you know, sort of retain those customer relationships without any additional pricing? Thank you.
spk06: We have four main pillars that Paul and I already exposed. One that is coming from the rejuvenation of our pyramid in ICOS country. The second one is global daily penetration. The third one is price increase. And the last one is increase in our billable utilization rate. So that's the four core items that we've implemented close to a year ago now. And on price increase, we have both capability, as Nordin mentioned, some contracts where we are embedding, let's say, renegotiation close to pass, let's say, the cost inflation in price indexation. And we have, let's say, multiple contracts where we have integrated those price renegotiation in the core contract in the pricing scheme. On the other, it's continuous improvement and continuous negotiation with our clients to limit and to offset the compensation increase in our cost base and to protecting, let's say, the operating margin trajectory.
spk04: Understood. Thank you. Thank you. I understand from the operator that we've been going through all the questions. So thanks to all of you for asking those questions. And thanks to... to Paul, Philippe, and Nordin to being together today to answer all of those. So maybe to close with some key takeaway I want to insist on. First of all, as a team, we are focusing on our operation performance and financial discipline, which is to reflect to the last comment of Philippe. We are making progress in executing on our transformation plan. We are, as Paul said, reconfirming our guidance for the full year. And we remain extremely committed to an open dialogue with all of your shareholders, as obviously we did today with you. So thanks again for your participation and have a great day. Thank you.
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