Good afternoon, everyone. Welcome to Superior Group of Companies First Quarter 2021 Conference Call. With us today on behalf of the company is Michael Benstock, the company's Chief Executive Officer; Andy Demott, its Chief Operating Officer, Chief Financial Officer and Treasurer; and from the Promotional Products Division we have Jake Himelstein, BAMKO’s Chief Operating Officer and Chief Financial Officer. After the speakers' opening remarks, there will be a question-and-answer session. This call is being recorded, and your participation implies that you agree to this. If you don’t, then simply drop off the line.

Thank you. This conference call may contain forward-looking statements about Superior Group of Companies', the company within the meaning of the Securities Act of 1933, the Securities Exchange Act of 1935, the Private Securities Litigation Reform Act of 1995 and all rules and regulations issued thereunder. Such statements are based upon management's current expectations, projections, estimates and assumptions. Words such as will, expect, believe, anticipate, think, outlook, hope and variations of such words and similar expressions identify such forward-looking statements, which includes statements on the impact of COVID-19 on the company's business, including inventory, supply chain, manufacturing capacity at the company's own and contract manufacturing facilities, service capacity and customer demand. Forward-looking statements involve known and unknown risks and uncertainties that may cause future results to differ materially from those suggested by the forward-looking statements. Such risks and uncertainties include, but are not limited to, the following; the effect of the COVID-19 crisis on the U.S. and global markets, our business operations, customers, suppliers and employees, the impact of the global supply chain disruption, general economic conditions in the areas of the United States in which the company's customers are located, changes in the markets where uniforms are worn, where promotional products are sold and where call center services are used, the impact of competition, the company's ability to successfully integrate operations following confirmation of acquisitions and the availability of manufacturing materials, as well as the risks and uncertainties disclosed on the company's periodic filings with the Securities and Exchange Commission, including the company's Annual Report on Form 10-K for the year ended December 31, 2020, the quarterly report on Form 10-Q for the quarter ended March 31, 2021 and the 8-K filed recently. Shareholders, potential investors and other readers are urged to consider these factors carefully in evaluating the forward-looking statements may herein and are cautioned not to place undue reliance on such forward-looking statements. The company does not undertake to update the forward-looking statements contained herein to conform to actual results or changes in the company's expectations, whether as a result of new information, future events or otherwise, except as required by law. Please note that all growth comparisons that management makes today will relate to the corresponding period in 2020, unless otherwise noted.

Thank you, Hala and good afternoon everyone. Thanks as always for joining us to discuss our Q1 results. Joining me today as usual are Andy who will report on the overall SGC results and status of our operations and Jake who will report on BAMKO’s financials and operations. After opening remarks, we will open the line for questions. So, let's get started. I am very pleased to report another great quarter of substantial growth. I'd characterize our core businesses as mostly driving, growing both organically and through strategic acquisitions. We have again proven our ability to meet PPE demand, as well as service spot crisis PPE orders as they arise. While we expect that to continue, our primary focus has always been and will remain our loyal long-term customers in the core products and services that we offer to them. Our disciplined long-term approach is yielding what we believe is sustainable organic growth in both our recurring customer base and with new customers across diverse end markets. Our differentiated shared resources operating model that we've spoken about on previous calls continues to support accelerated returns as we gain economies of scale. Our omni-channel market strategy is paying dividends and we are enthusiastic about the great potential yet to be unlocked. First quarter net sales increased 49%, and net income grew by 211% when compared to the first quarter last year. While PPE was a strong contributor to our first quarter 2021 results, organic growth in our core businesses is the more pertinent narrative. As we look ahead, our indicators are pointing to a strong recovery in our non-essential customer base, replacing crisis PPE sales. Overall, our operational investments, cost reductions and market response efforts completed over the last year further enhanced our ability to execute long-term growth and profitability in our core business segments. Our Uniform segment reported strong growth and is sitting with a much increased backlog, which Andy will also address in his comments. Supply chain disruptions due to port congestion, rail and container and trucking capacity issues interrupted the flow of inventory supply. Even with our outstanding results, this tempered them to some degree, as well as our service KPIs. A larger than usual amount of uniform orders roughly estimated at $5 million received during the first quarter will be fulfilled in the second quarter. This is not where we like to be positioned from a service standpoint, but it is the current condition that we're quickly overcoming in spite of logistical challenges.

Thank you, Michael and good afternoon, everyone. Our team at BAMKO is thrilled to report another extraordinary quarter, once again sharing a performance by our incredible team that surpassed expectations. For the first quarter, sales surged by 124.9% compared to the first quarter of 2020 to $58.9 million. Yet again, we established a new watermark by delivering the largest quarter of Promotional Product sales in our company's history, excluding PPE. Operating margin reached 12.7% compared with 3.6% in the first quarter of 2020. These operating results once again validate BAMKO's ability to continue to scale our business and achieve significant operating leverage. Our backlog at quarter-end was $40.8 million compared to $39.2 million in Q1, 2020. What is most impressive is that PPE sales account for just $800,000 of the Q1, 2021 backlog versus $18.5 million of PPE in last year's first quarter. BAMKO's core Promotional Products business has more than replaced the large PPE backlog from a year prior. This speaks to the strength of our business and we expect this trend to continue as companies put marketing budgets to work in their efforts to reinvigorate their brands. What we're seeing in macroeconomic trends and consumer spending habits is that the return to pre-pandemic economic activity is actually happening more quickly than we had anticipated. There's an exuberance about a return to normalcy and a built up sense of anticipation that is being reflected in the actions of our clients. We have been successful in showing our clients that expanding marketing budgets now is the best way to recapture customers. At this pace, we would not be surprised to see activity exceed pre-pandemic levels in the coming months.

Thank you, Jake and good afternoon, everyone. I'm extremely pleased with how our teams continue to perform, especially through challenging times in our marketplace. We continue to outperform the market and our competitors to report solid results for our stakeholders. We carried strong momentum from last year and are continuing to invest in the growth of our businesses organically and through selective acquisitions. We have a strong margin profile, an exceptional balance sheet and healthy cash flow generation capability. All three elements are key foundational pillars that enable us to perform at a high level, strategically and operationally. During the quarter, we closed on the Gifts By Design acquisition. In addition to the acquisition cost of $6 million, CapEx spend was $6.7 million in the quarter. While net borrowings increased $22.5 million, so did our EBITDA, keeping our debt to EBITDA ratio stable at 1.5 times at March 31, 2021. I'll now review operational highlights for the quarter. We are progressing well with technology and automation investments in our Eudora, Arkansas distribution center slated for completion later this year. We're pleased to see improving efficiencies resulting from our investments in robotics and our CID Dallas distribution center, which will continue to gain additional competencies using AI and machine learning. Our third manufacturing facility in Haiti is on track and is expected to come online in the next few months, adding to our near shore production capabilities in a duty-free environment. Haiti's proximity enhances our ability to better service our customers. And when completed, we expect to be producing about 30% of our product out of Haiti this year, about 70% of that coming from our own factories. Our distribution capabilities will be greatly expanded by the completion of our new 100,000 square foot replenishment warehouse also in Eudora, Arkansas later in the year. Turning to our financial highlights. We had an outstanding start to the year with first quarter net sales up 49.4% compared to the prior year quarter to $140.8 million, all segments exceeded growth expectations once again. BAMKO was the largest contributor with a 124.9% increase accounting for $32.7 million of the overall quarterly sales growth. $14.2 million of this increase for BAMKO resulted from PPE sales. Uniforms or related products net sales increased 17.4% to $70.6 million relative to the comparable period in 2020. PPE sales were $12.5 million versus $1.5 million of only our legacy PPE products in Q1 2020. As Michael said, West Coast ports congestion hindered our ability to maximize Uniform segment growth this quarter. Total Uniform backlog at quarter-end was $44 million compared to $11.6 million last year. Of the quarter-end backlog, PPE accounted for $15.3 million versus essentially zero on March 31, 2020. Jake discussed BAMKO's impressive results and backlog, which warrants another mention that our core Promotional Product sales are rebounding at a faster pace and beginning to replace PPE business at a higher level. The Office Gurus again reported high double-digit growth as demand has strengthened. Net sales after intersegment eliminations increased 43.2% to $11.4 million. Overall, the team excelled at onboarding new customers and has continued providing superior services to our existing customer base. As a reminder, during the 2020 first quarter, TOG operations in El Salvador were impacted for more than a week due to the local government mandate to shutdown operations at the onset of the pandemic. For the quarter, we reported consolidated gross margin of 34.8% compared to 35.5% in the first quarter of 2020. The variability is due to customer and product mix. While total SG&A expenses increased by 27.7% due to higher sales volume across our segments, we saw a significant improvement reflected as a percentage of net sales of 24.9% versus 29.2% in Q1 last year. This increase in SG&A dollars is primarily due to increased sales commissions and employee compensation due to a significant increase in net sales for the current quarter. Of note, our 2020 first quarter included a $1.2 million reversal of the 2019 accrual for our 401(k) discretionary matching contribution. Additionally, TOG incurred expenses related to compensation paid to agents without the benefit of sales in the amount of approximately $1 million due to the shutdown last year. Wage reductions were implemented at the beginning of Q2 last year. We have reinstated these pay rates to pre-COVID levels at the beginning of the second quarter of 2021. Wage reduction savings taken last year were $2.4 million on an annualized basis, of which 25% would have been a benefit in this first quarter. Income from operations for the first quarter increased $13.9 million compared to $6 million in 2020 Q1, and operating margin reached 9.9% in the first quarter compared to 6.3% last year. Net income for the first quarter markedly increased by 211.2% to $10.5 million or $0.66 per diluted share compared to $3.4 million or $0.22 per diluted share in last year's first quarter. Of note, diluted shares outstanding increased by 5.2% to 16 million shares compared to the same period last year. Our effective rate for the quarter was 20.8% compared to 27.1% a year ago. Now for a few balance sheet highlights. Cash flow from operations was reduced in the first quarter, primarily due to significant accruals associated with the company's strong operating performance and which were reported in 2020 that were paid in the current period. This included accrued incentive compensation and income taxes. Working capital increased for the quarter from $143.6 million at the end of 2020 to $165.3 million at the end of the first quarter 2021. At March 31, 2021, we had cash and cash equivalents of $10.9 million. This is an increase of $5.7 million since last year. This increase is mainly due to the timing of customer payments received at the end of the quarter. We also paid a quarterly dividend of $0.10 per share during the first quarter. Capital expenditures were approximately $6.7 million with the investments primarily related to our expansion of the distribution facility in Eudora, Arkansas. We anticipate continued heavy investing in our automation projects this year and expect CapEx to still be in the range of $16 million to $17 million for 2021. Lastly, the company is in the process of terminating its two non-contributory qualified defined benefit pension plans, which were fully funded as of March 31, 2021. In April 2021, we settled the majority of our obligations under the plans by providing lump-sum payments of $13.7 million to eligible participants who elected to receive them. We expect to settle the remaining future obligations under the plans through the purchase of annuity contracts from one or more highly rated insurance companies in the second quarter. These settlements are being paid from the assets of the related pension plans. We estimate that we will record a total non-cash pretax charge associated with the planned termination during the second quarter of 2021 of between $7.5 million and $8.5 million, which primarily represents the acceleration of deferred charges currently accrued and accumulated other comprehensive loss. I'll now turn the call back to Michael for his closing remarks and a general outlook.

Thanks, Andy. Despite the operating landscape, we still have so much opportunity to unlock. We've always taken bold steps to navigate market challenges in the past and in most cases, in our 101-year history come out stronger than before. We remain confident this time is no different. To fuel future growth, we are making prudent investments in distribution, manufacturing, marketing and IT, as well as workforce expansion. We're recruiting heavily for talent in top positions. To date, this is our strongest push for key positions ever to take us to the next level. In our Uniform segment, we are building out teams in sales, project management, design, plant management and other key areas as well. BAMKO continues to recruit several national sales reps as well as other key employees. The same is happening across our Uniform business. Our M&A pipeline is where we wanted to be without distracting us from managing our business. Additionally, our international strategy is beginning to take hold and we are investigating distribution expansion possibilities beyond the new distribution point in Poland as we increase our scale internationally. At TOG, demand for our niche call center services continues to increase and we are looking at a variety of options to augment long-term capacity. This could potentially include acquiring call center businesses that bring us into new geographies that open us up to pools of agents and leadership, as well as capacity that might give us entry into new channels of service. We are operating in a dynamic environment seeing additional momentum in sales growth. From our point of view, there has never been a better time for us to disrupt what we see as a weakened competitive landscape and take market share. Taking into consideration our organic growth rates and our recent acquisition, we are raising our sales outlook for the year and updating our long-term goals. Previously, we guided to $450 million in net sales for 2021. Factoring in our Gifts By Design acquisition and updated organic growth expectations, our current estimates show us approaching $500 million in net sales for 2021. The Uniform segment is expected to grow at a CAGR of 12% from 2021 through 2025. BAMKO is projecting a 12% CAGR during the same period, and TOG's trajectory continues to excel yielding expectations of 18% CAGR through 2025. We expect overall a 12.5% CAGR for SGC from 2021 to 2025. Overall, we expect to exceed $800 million in net sales by 2025 in our current business units absent of any acquisitive growth and expect operating margins in excess of 10% in 2025. Our strong performance is a result of our strategic diversification and integrated business model underpinned by the determination and the hard work of our entire team and our loyal customers. Business is never without its challenges, most of which lately precipitated by outside events. We're working through those challenges and will prevail in overcoming them as we always do. With that, we would like to open the call for your questions.

We will now begin the question-and-answer session. Our first question comes from Kevin Steinke from Barrington Research. Please go ahead.

Hey. Good afternoon, everyone.

Good afternoon, Kevin.

I wanted to just start off by talking about the Uniform segment pipeline, what you're seeing there? You mentioned some continued strength. Are you seeing the continued strength on the healthcare side? You have talked before in the past about reusable wear and things like that. Are healthcare institutions still as interested as they were before, even with some sense that maybe the pandemic is starting to recede a bit, although still some way to go there? But just maybe some comments around that would be helpful.

Our healthcare business is currently very strong, supported by our traditional retail and laundry channels, as well as the institutional segment. There are plenty of opportunities available, particularly given the ongoing shortage of healthcare workers in the country. Hospitals still experience high employee counts as they return to normalcy, and they anticipate an increase in patient volumes due to postponed procedures and doctor visits. Additionally, we're seeing significant growth in our e-channels, particularly on the CID side. We previously discussed UniFirst's interest in INDY, which they confirmed in a press release, as well as SanMar's substantial involvement in a channel that caters to the 22,000 ad specialty companies, allowing them to purchase a specific product tailored for them. We're also making headway on online platforms like Walmart.com and Target.com, which is just starting, but in our past experiences with new online channels, we have seen growth when searching for WonderWink products online. We feel quite optimistic about the healthcare sector. On the essential business side, we are witnessing a normalization of what is typically referred to as essential businesses during the pandemic, such as grocery, pharmacy, and big box stores. Their operations are returning to normal levels, and hiring trends have stabilized, though these businesses still struggle to find employees. Interestingly, non-essential businesses like foodservice and hotels, which were quiet during the pandemic, are beginning to come back. This is promising because they have not made purchases in some time and are also facing challenges in hiring, which often leads them to update employee uniforms as a motivational strategy. We're seeing a positive trend in non-essential business growth; a few weeks ago, we illustrated that 80% of our services are directed towards essential businesses while 20% cater to non-essential sectors. That 20% is recovering quickly. As we know, air travel schedules and airports are bustling again, and limited-service hotels are also busy. We're excited about this trend and believe we are moving in the right direction. There have been some challenges across our various uniform operations, but we feel we have addressed them effectively, possibly outperforming our competitors. We're able to manage these issues due to our established presence in China and our long-standing relationships, though the situation isn’t ideal. I would prefer a scenario without any issues affecting us or our competitors. Fortunately, conditions seem to be improving, especially over the last few weeks, despite a tough period from December to February. While it remains uncertain where future shortages might arise, we are taking proactive steps to mitigate potential challenges.

Okay. Great. And those logistical issues you've talked about that are kind of rippling across the economy. Do you have a sense as to how much of a headwind that was to your growth? I think, you said it might have tempered growth a bit. But what's …

We could have shipped about $5 million more in orders if we hadn't encountered those logistical issues. However, we can't determine how many orders we might have received if we had had inventory available.

I understand you mentioned that some of these issues might start to improve by the fourth quarter. Although that still seems a bit far off, do you believe there is some visibility into those challenges starting to lessen?

It's challenging to predict when the pandemic and logistical issues will end. We anticipated that by now, the pandemic would be mostly behind us, but some areas in the U.S. and around the world are still heavily affected. If we are moving past it, it's happening very slowly. The same goes for logistical problems, which rely on the supply and demand for container ships, rail space, and truck drivers in the U.S. I'm unsure how the retailers that are currently restocking will be affected, especially regarding their Christmas inventory, which typically starts arriving in September, October, and early November. We are working to improve our inventory situation before that to mitigate the impact. I believe improvements may happen by the fourth quarter, although I'm not always accurate in my predictions, and that's what we're currently using to guide our forecast.

You mentioned that some of these challenges are significantly affecting smaller competitors, which could create acquisition opportunities. If you identify a smaller business struggling with logistics issues, does that make them an appealing acquisition target for you, considering they usually have a good quality business but are facing external challenges? How do you approach that situation?

We focus on companies facing challenges with sourcing, logistics, and IT, particularly those with high SG&A costs that we can help reduce through our development operations in India and our back office in Central America and Jamaica. These companies represent strong acquisition candidates, especially if they are already profitable and could benefit from our synergies. It's not solely about external factors causing distress; for instance, some uniform companies capitalized on the PPE demand, with varying success among smaller players. In fact, it helped many avoid severe downturns. Additionally, the assistance from PPP funds and low-interest SBA loans provided much-needed relief. A few months ago, we spoke with businesses that were initially resistant to discussing potential partnerships, believing they were stable due to PPE funding. However, we anticipate that as that funding diminishes, they will be more open to serious conversations with us.

Sure. When considering BAMKO's performance, excluding PPE sales, it appears they've seen roughly a 70% year-over-year growth. You've mentioned that clients are beginning to allocate their marketing budgets and that you're exceeding industry benchmarks. Should we view this as a recovery of pent-up demand or as increased market share? I see you're still projecting a long-term growth rate of 12%, but the business is clearly thriving. Could you elaborate on these points?

I'll let Jake jump in on that one. That's why we brought him to the call. So, Jake, go ahead.

Hey, Kevin. Nice to talk to you again and thanks for the congratulations on the great quarter. So, yeah, I mean, it's all the things you talked about. It's taking market share. It's bringing on new sales reps. It's growing existing clients. It's the expansion of marketing budgets with our clients trying to recapture their customers and bringing employees back into the office, all of those things are having an impact. And we've talked about a lot of the competitive landscape in the Promotional Products industry is twenty-some odd thousand distributors and many of whom are smaller mom-and-pop operations and they just can't offer what we're able to offer, whether it's to customers or to sales reps. And so, we're really an attractive landing spot for new salespeople, as well as for customers to continue to come on board. And we talked about it before. We've had a lot of success in converting customers that were PPE only customers, right, that we brought on, sold them masks, sanitizer, face shields. And we've converted a lot of those to Promotional Products customers. And we continue to work with these customers to find additional opportunities to penetrate and get their Promotional Product business. And so, that's been a big source of success for us too. And we're really excited about what's to come. The addition of Gifts By Design has been a really exciting one. We're already well underway, leveraging our client base and salesforce to extend corporate awards, incentives and recognition programs to our current and future client base. And we've already seen some successes there, and we're really excited about the potential.

Okay. Great. And as you look at BAMKO, are there still maybe some gaps you'd like to fill in through acquisition? Are you going to mostly focus on organic growth going forward? What do you think the mix will be there?

Yeah. And I think it goes to what Michael said before, we're opportunistic, right? The right opportunity comes along that's accretive to the bottom line, good for culture, potentially puts us into a new line of business. Absolutely, we'll look at it. We're not going to force the issue. If there's nothing that fits that mold, we're not going to force it. But if something comes along and it fits that mold, absolutely, we'll look at it. I mean, Michael mentioned it before there's quite a few companies that are struggling. Good companies, good underlying fundamentals, but struggling through logistics problems, supply problems, whatever it might be. Maybe one of their big customers was affected in a major way by the pandemic. We're an attractive landing spot for them and can turn them a lot more profitable under our model. And again, we have the ability to scale through the infrastructure we've set up, technology, logistics, warehousing. We have that set up to be a lot larger company than we are right now, and we're a really attractive landing spot for a lot of those targets.

Okay. Great. You mentioned Eudora facility likely completed and layered this year. Can you just review what you see in terms of a margin benefit from that going forward? I guess, kind of as we looked at 2022, is that kind of a step function change, or just kind of continue on that normal kind of trajectory toward 10%?

Kevin, regarding your last point, yes, that contributes to achieving the 10%. However, remember that there are many steps involved in reaching what we view as our most efficient distribution setup. Last year, we closed the HBI warehouse and sold both the building and the office space, relocating everything to Arkansas. We anticipated facing some storage challenges in Arkansas, so our long-term plan included establishing a receiving warehouse of 100,000 square feet that would serve as a replenishment warehouse for our main facility, which is 250,000 square feet. We added approximately 154,000 square feet to the Arkansas facility, not counting the 100,000 for replenishment that is planned for the future. The added space is meant to accommodate the technology we're implementing for the multi-shuttle system, which will eventually replace the robotic systems currently in use and enhance our efficiency. All of HBI's and Fashion Seal Healthcare's operations are now being managed out of Eudora, Arkansas, utilizing both the 100,000 square foot and the 300,000 square foot buildings. This consolidation provides economies of scale, and as we expand, we expect it will effectively meet our needs over the next five years to support the growth we anticipate.

Okay. Great. You mentioned for The Office Gurus potentially acquiring other call center businesses. I think that might have been the first time you've talked about that. So, I'm just curious about the types of businesses that could be available. And are there a significant number of them with the kind of the same strategic and cultural fit in terms of your focus on the smaller number of agents, et cetera, that would be logical fits with that business?

Yeah, it's Andy. We believe there are many potential targets for acquisition, and we've discussed this previously. We are more explicit about it this time. One of the main factors we are considering, aside from the usual elements, is the culture, the compatibility, and the quality of the individuals we bring on to strengthen our team. We are also looking for new geographic locations rich in talent and facilities. At the start of the pandemic, we thought that the work-from-home trend would relieve some of our capacity constraints, but we were unsure how long that would last. Ultimately, we anticipate a mix of work-from-home arrangements, with around 25% of our workforce working remotely. Given the rapid growth we are experiencing, we anticipate facing capacity issues soon and need to explore our options. Additionally, the quality of English-speaking capabilities is vital for us, particularly in terms of call center quality.

Kevin, The Office Gurus has been consistent. They grew well during the pandemic, and their business is currently not significantly impacted, although many employees still work from home. Their customer base is expanding at rates we didn't foresee. We're seeing a steady stream of inquiries from businesses that fit our target market of five to 25 seats, and even some larger clients, which aligns perfectly with our services. We've received numerous awards over the past few years, especially thanks to Dominic Leide, who leads that business and has gained recognition through white papers shared on social media. Word of mouth has greatly benefited us, and their impressive growth has occurred without a dedicated salesforce. Although we often collaborate with brokers who have been loyal partners for years, it's fantastic to see faster growth than expected. In the past, I mentioned that I didn’t anticipate any capacity issues for years, but now I'm hopeful that those challenges come sooner as it indicates business expansion. We're not in the market to purchase buildings; instead, we’ll lease spaces as needed. We're exploring locations mostly in this Hemisphere as well as the Southern Hemisphere, and Andy highlighted the key factors we consider when searching for properties.

Okay. Great. Lastly, I wanted to ask about the updated target of nearly $500 million in sales for 2021. Is there a specific amount you are considering for PPE sales, or how do you plan to reach that target? I understand that we're incorporating Gifts By Design, but any additional details would be helpful.

Yes, Kevin, I believe this is consistent with what we mentioned in November. The $500 million we are projecting for this year in PPE includes both our legacy PPE business and our upcoming non-PPE business. We completed the quarter with a PPE backlog of approximately $15.3 million in the Uniform business. This is what we have accounted for in our forecast for PPE this year. On the Uniform side, there is an additional $15 million. As for BAMKO, their PPE backlog was only $800,000 at the end of the quarter. I expect them to continue picking up some orders, but it is not factored into that $500 million total we are projecting for 2021.

Okay. Great. That's helpful. Thanks for taking all the questions and congratulations on the nice results.

Thank you, Kevin.

Thank you, Kevin.

This concludes our question-and-answer session. I would like to turn the conference back over to Michael Benstock for any closing remarks.

All right. Thank you again for joining us for our quarterly call. We look forward to reporting second quarter results in July. Be well between now and then and we'll speak then.

The conference is now concluded. Thank you for attending today’s presentation. You may now disconnect.