Go ahead and get started here. Keeping on the transport track, we are very excited to be joined by Warner Enterprises for a fireside chat. So to my left, we have Chris Wyckoff. He's the EVP CFO. Nathan Meisgaier is at the end of the line here, President and Chief Legal Officer, and Chris Neal, SVP Pricing and Strategic Planning. So gentlemen, thank you very much for joining us this morning. Always love having you at the conference. So thanks very much. Absolutely. I think probably the best way to start, this is a day where we're spending a lot of time talking about the truck markets and what's going on. And I think you're going to give us some great perspective. So maybe if we could start a little bit higher level with sort of what you're seeing in the market. We have progressed out of sort of the winter in the first quarter. And then the second quarter seems like things have tightened materially from a capacity perspective. And maybe even introduced a bit of incremental demand, which had potentially been lacking before. but would love to hear your perspectives on how you think things are going so far here in the second quarter.

Yeah. So like, like Chris said, thanks for having us, Chris. There's an all Chris all the time. Maybe as our panel, we should call this like Chris, Chris, Chris. There you go. And Nathan is the fourth beetle. So the, the, the supply side of the story is really the fascinating part of it. And as you said, the demand part, maybe Chris can, one of the Chris's can cover that um but on the supply side the number of things that we're seeing impacting supply all at the same time so uh enforcement recently more hot off the press is on the b1 visas that we're seeing enforcement and announcements on thousands of of truckers being pulled at the border for b1 visa violations um the ones that have been in the hopper a little bit longer so English language proficiency, non-domiciled CDLs, ELD cheating, and the truck driving schools that have been CDL mills that are training up student drivers without a truck and without a yard that truly pay your bill and you can get a CDL the next day. Those are five things that don't impact Warner. So to be specific about that, none of those are a concern for us. And so that's the good news on on our side of it but then you add the Montgomery decision recently that also impact supply and and I it's a hot off the hot off the press I guess maybe in the last 30 days but it's it's a hot topic I should say in terms of everybody's talking about it and what truly what impact does that have on our broker on our side of the house we're we're feeling really good about our our compliance and our our carrier qualifications um so it doesn't take a huge dip on our on our ability to to fill customers needs on on the brokerage side um but on the macro level which of course is your question chris that the the all of those things are creating an impact um and it's it's really creating a hurricane of of of forces that any one of them is a big deal and add them all together, and it's becoming a very material impact. And you're seeing it in – I'm probably going too far here – but your tender rejection rates at all-time highs at 18% recently. You're seeing spot rates that are through the roof. And so it's really the early innings of what is finally the turn that a lot of people in this industry have been waiting on for four years.

So let's dig in a little bit more on the capacity, then we can come back to the demand side to some degree so i think there's been a lot of discussion about the non-domiciled you know the number of non-domiciled drivers at the fmcsa has it around 200 000 we've heard other people talk about sort of maybe the real pool because i guess there's maybe some question about the count numbers and who's who once you dig a little bit deeper into the data out there what are your thoughts around that specifically and i guess you know how much of the the capacity in the market do you think comes out related to maybe non-dom first as we think about you know sort of maybe not renewing over the course of the next couple of years yeah so you're right the 200 000 number is a number that the that the feds have have issued maybe might have been

194 but round off to 200. so um the when we've seen tens of thousands come out so far uh the question really becomes is that a is there a stop is there a point at which we're all the way there So recently, I think it was this week, maybe last week, we saw Ohio pull a large number of CDLs, and it's been really a state-by-state march and not very logical in terms of where those states have come and in what order. So there are states that haven't acted on it yet. The states that haven't acted on it yet probably haven't had the feds put their thumb on them quite yet, which is coming for those that have put their head in the sand on it. And so it feels like there's tens of thousands to come yet. I don't know that I've seen a stat that really gives us an all-in number of how many are out specific to non-DOM. And, of course, the problem becomes, as I mentioned a minute ago, there's five or six factors at play. And if a trucker comes out of the market today, was it an ELP problem? Was it a non-DOM problem? It's hard to identify why they disappeared.

Or B1 cabotage enforcement, which is now ramping up. So a lot of overlap, you know, across all those enforcement measures.

Yeah. Okay. And then I guess as we think about how that impacts the customer conversations that you guys are having, I think that's what we're starting to think about. We're going through bid season, feels like we're coming towards the end of the sort of traditional bid season. And we started with, I think, optimism around the types of rates that the industry would get. Let's call it mid-single digits or so is maybe when we started early on in the year. People are bringing those numbers up, I guess. Big picture, not necessarily expecting explicit numbers here, but how are you thinking about the bid season progress? What are you seeing from customers? What's been the acceptance on the customer side?

Well, starting with one way, which I think is the intent of the question. We had about a fourth of our business that was re-rated and effective in the first quarter, although toward the end of the quarter, another third in the second quarter. So most of that is through, to your point, we are in the tail end of the bid season. We did start kind of in that mid-single-digit range, and as the market continues to change, we've changed with it, and those rate increases have continued to accelerate throughout the bid season. Yeah. And so, you know, that'll that'll continue. We're always continuing to look at the, you know, the bottom 10, 15 percent of the book. I mean, yield activity is occurring, but we're certainly keeping an eye on service with our customers. I mean, at the end of the day, we want to be a service and safety based company and we're going to uphold our commitments. At the same time, we understand that the one way division specifically needs to get back to margins that are reinvestable and sustainable. And after a couple years of down rates in the one way market, you know, those clearly need to need to move up in a fairly significant way, hopefully over a couple cycles. But certainly we're seeing some good momentum here early on as relates to dedicated with rate increases. You know, we're in good shape in terms of contractual rate renewals. Our guide for dedicated for the year for revenue per truck is up, you know, three flat to three percent is the guide along with. and that that includes first fleet in the guide so those contractual rate renewals have been uh solid in terms of the percentage of renewals that we're getting the retention rates have been really good and uh you know we feel like we're in a good position to continue to accelerate there as well you know clearly dedicated margins being much less volatile than one way and and already uh at a much different starting point so the need for as significant increases clearly would not be there and dedicated with the long-standing relationships that we have there and i guess i'm curious with the tender rejections doing what they're doing and you know as we're working our way through bid season we heard earlier today some discussion around mini bids and those actually picking up a little bit and there was some opportunity maybe for contracts that were sort of agreed to potentially put in place earlier in the bid season where folks are coming back and you know suggesting that the compliance relative to their bids at other carriers is not holding up the way they thought is that something you're seeing in the market as we go through the second quarter at all it is okay i mean we've you know we've seen mini bids now over uh the last couple years really just with a market that's been fluid but i think they're accelerating now and i think that's the result of routing guide destruction you know that we're seeing um so yeah we've we've had activities or instances where we had bids that maybe we conducted and concluded earlier in the season maybe they were effective in january february now we're seeing uh some of those same lanes come come back on on many bids and other projects so it definitely feels like we're seeing some uh you know pretty significant disruption in the shipping community in terms of that routing guide and whether that comes in the terms of a mini bid or a re-bid altogether or project work or pop-up fleets whatever it is we're seeing a lot of that kind of activity that is coming back to the forefront shippers now are trying to lock in capacity in a way that they can count on and I guess as we think about you know maybe going through some of the businesses obviously we've been spending a lot of time talking about you know the the broader overview that pertains to the one-way part of the business obviously dedicates a big big piece

of what you're doing the first fleet acquisition was a big you know step forward as well they are added to that um to that exposure so maybe start with maybe an update on first fleet and how that progress is going we already started to see some of the impacts on the fleet counts in the various segments in the first quarter we'll see more of it i think or the full impact in 2q so maybe just a quick update on how that's been and you know how it you know sort of is is trending relative to your expectations yeah chris we end we closed on that acquisition at the end of january it's gone very well as expected, if not better than expected.

High engagement internally with our associates, with drivers, high engagement externally with our customers. All of that constructive going very well. The integration is on track or maybe even ahead of schedule. We talked about 18 million in terms of what we were targeting of synergies, call it 300 basis point expansion in the first fleet margins. Once we fully realize that 18 million, 6 million is what we expected to be realized in the calendar year 2026. We have fully actioned everything that we need to in order to realize that 6 million. So that's fully on track and maybe heading to be able to beat that in the current year. So all of that going very well. Like I said, engagement with customers is constructive strong renewals are are going very smoothly to this point so you know everything in the strategic thesis and that was positive continues to to be our view today so it's going very well okay and then i guess as you think about the just the overarching dynamics within dedicated and where the opportunities are so you know we have heard about private fleets pulling back, but I think there's also just generally more activity in the market and hope, you know, we can talk a bit about more about demand, I think at this point too.

How do you think about the fleet opportunity? I know you've given some numbers around what you expect this year, but maybe, you know, as this year progresses and then a bit beyond that.

Sure.

Starting with dedicated first.

Yeah. So just zooming out again, you mentioned, you know, kind of a fleet metric. So overall for the truckload transportation services segment, which includes dedicated the full year guide on the fleet, which is an average fleet number for that period. The guide is to be up 23 to 28 percent on a year-over-year basis. In the first quarter, we were up 14 percent, given that first fleet was only in that number for part of a quarter. We do expect in the second quarter to take another stair step from 14 and to be closing that gap to the full year guide but there will still be work to go and and more to do in the second half that we do expect to to be more weighted towards dedicated that's not to say that one way would not could not grow in terms of that fleet it could but we expect it to be more weighted in the second half of the year in dedicated just in terms of that overall value proposition for dedicated you know we saw this ramping up um last year and has continued into this year in terms of shippers and and just you know general shipper sentiment um uh pivoting back to uh reliability being front and center and with everything that's going on enforcement uh safety security you know uh compliant factors with you know carriers of scale you know all that just continues to push the value proposition towards reliable carriers of scale that can give shipper assurance of safety and service and security. So that all bodes very well for dedicated. We've continued to see growth not only in those verticals and dedicated where we're more concentrated being retail, value retail, food, grocery, beverage, but also seen success in expanding into other verticals with the dedicated solution for technology pharma aftermarket auto parts construction products so good outlook for dedicated with we would expect more of that to be seen in the second half and then how do you think about you know so obviously pricing and dedicated is going to have much less volatility than what you're going to see on the one-way side so when

we think about all the things that are happening in the truckload market today that are positive let's translate that to the dedicated business so how does that play through when do you start to see sort of the re-acceleration of you know revenue per truck per week or whatever metric you want to think about whether it is actual just contract renewals those kinds of things um you know is it what kind of lag between the transmission of what's happening in TL to what's going on from a pricing perspective and dedicated yeah well as Chris alluded to um you know earlier on dedicated we are seeing um up into the right you know contract renewals dedicated uh you're right it may not have the slope uh and the pace that what we're seeing in one way whether that be you know one-way spot or one-way contract but um uh it it is there is momentum there we are

seeing those increases you know that's that's going to be gradual and then there's other dynamics where, you know, dedicated can benefit from a tighter market, including just more value in the backhaul, you know, which we will share with the customer. But given technology and, you know, other means that we have and we've developed to be able to maximize value on the backhaul, particularly in this environment, that's also additive. And then just the operational excellence that we have not only in dedicated but across our business, you know, where we're able to um see a greater utilization days and service you know across both dedicated and one way all of that you know contributes to uh margin expansion and you know continued increase in in revenue per truck per week and dedicated and i want to come to the changes you've made in the one-way business because i think those are important as we think about margin recovery through this cycle but as we think about the opportunity for margin recovery across tts how much of the you know how do you is there a way to weight that to we get this much from the dedicated business continuing to improve through the cycle and the changes you've made and the addition of first fleet relative to what you need to get from the one way which probably needs more improvement over time it's trying to get a sense of like what the opportunity is between those two pieces of the business yeah you're right from the standpoint that over the last few years the the largest pressure point and drag on tts margin has been in the one-way business that's just been under more duress, you know, for an extended period of time. With the reshaping that we've more recently done in one way, you know, that's leading to a meaningful improvement in profitability. I mean, everything that we, you know, categorize in terms of what went into that reshaping was all focused on profitability improvement, as well as increasing just our optionality in a tighter market and and i don't think we uh you know could have picked the timing to take those significant actions any better than we did so that's going to be a meaningful you know contribution to tts margin but you know maybe just backing up um in terms of where we've been more low single digits in tts versus the low double digits that we would aspire to and expect of our business in mid-cycle so call it a i'm being you know very rough and round here in the numbers but you know call it a 10 percentage point um uh you know a gap that we need to bridge when we think about that there's really two parts there's self-help and company-specific actions that we are taking i would even characterize that to be about half of that bridge with the other half being more macro and market dynamics on the market side of course everything we've been talking about there's pricing there's rate reset rate lift there's also normalization in the used equipment market and gains you know over the last few years gains as a percentage of a revenue has been more in the 30 40 50 basis points but in tighter years better years it's been anywhere from well over 100 basis points to 200 basis points. So as that used equipment market normalizes, that can create lift and margin in addition to everything we're seeing, rates and pricing up and to the right. But then there's also the self-help and the company-specific actions, whether that's the synergies that we talked about as we integrate and maximize value in First Fleet, the reshaping of one-way, our technology investment and journey, which we're in the later innings in, but in terms of the synergies that we're going to get from, you know, that investment in technology, I think we're in the early innings and we're just scratching the surface. In terms of the production and utilization of assets, you know, in the first quarter from our one-way business, revenue per truck per week was up about 10%.

Two-thirds of that was from utility and higher production, and that was only a partial quarter of some of this reshaping uh action that we took in in one way so um productivity and how we utilize the assets and the fleet um is also a contributor to margin and and things that we are leaning into and we control so let's talk about the the one-way piece because that that was an interesting dynamic i think from an outside perspective the most obvious thing we could see was a reduction in the fleet count and i think there was a view that okay maybe the proportions of one-way versus dedicated is going to mean you're not going to have as much torque to the cycle but then in the first quarter to your point 10 points of revenue per truck per week improvement was pretty strong and so i think we're sitting here today thinking you know maybe there is more torque to the cycle than we thought and there's maybe more that kind of comes into the self-help as well so maybe talk a little bit about some of the key changes you've done there and why it seems like there was so much improvement in the in the first quarter and and so far this year yeah so first you know at the core of restructuring and reshaping the one-way fleet.

The notable actions that we were going after and the result that we were going after was, one, to move more towards higher-performing markets, lanes, customers, to also improve the production and utility, how we're sweating the assets, as we talked about, and then also taking some further action to reduce the cost profile. You're right in that a perceived downside from that is it's a smaller fleet, but everything else is up and to the right that all gets to profitability, margin lift, and optionality in a market that is tighter and accelerating faster than we expected.

So maybe walk us from, you know, where we started the year in the first quarter to maybe where we can go. Maybe some of the puts and takes. I'm not looking for explicit guidance, per se, about 2Q or the back half. But I guess if you can think about some of the, you know, puts and takes, the moving pieces as we're thinking about the, you know, operating income growth from 1Q and beyond. I know, you know, we talked about rate. We talked about productivity. We talked a little bit about gains. Maybe we can kind of put those together and think about what the potential could be.

Sure. So as we've already said, we're going to see a full quarter in Q2 of First Fleet and the creation and contribution that that has brought to our business, a full quarter of the one-way restructuring and the benefits that we're seeing there. both of those will be meaningful and impactful. We're going to see the ongoing benefit of rate lift and positive contract renewals. There are some downsides and some headwinds in the second quarter. I think all of them transitory and more temporary in nature, but there's still more that we have to navigate in the second quarter. We haven't talked much here about the logistics A lot there in terms of the diversification that we've built over the years in logistics, the value that we're seeing in technology, but just the market dynamics. I mean, the margin pressure in logistics, namely in brokerage, which is the largest slice of that segment, has been tremendous. The first half of the second quarter, the margin pressure was, I'll even call it painful. Where we're at now in the quarter is proving to be more constructive and improving, but it's been challenging as the buy side rates have just continued to see extreme volatility. And that's not to say that we've been waiting for the sell side and contracts to renew. We've actually been very proactive, engaging with customers for at least the top 75% of our brokerage business. We were very engaged with them in the first quarter. We continue to be engaged with them and proactive in the second quarter to pursue adjustments, to be early on in adjusting sell-side rates. But it's been chasing our tail a bit, just given the volatility on the buy side. So margin pressure has been challenging, particularly the first part of this quarter. That's one. Fuel has been a headwind, again, more so in the first half of the second quarter. It's a net headwind that's manageable, but I would say it's going to be somewhat similar to some of the negative net impact of fuel that we saw in the first quarter. Gains are going to be lower in the second quarter, both sequentially and year-over-year, and then driver availability. I mean, that's always a challenge in our market. Obviously, it's been more pronounced for us and the industry as of late, so that is a hurdle to growth. I think where we are right now in the quarter, that is now starting to be a bit more constructive than where we started the quarter. But the sum of those, you know, those all temporary, as I said, but they're headwinds nonetheless that we're navigating as we complete the second quarter.

So I want to talk about logistics and get a little bit more deep into that. I just want to round out the conversation around driver availability, because that's one of the things that seems like the natural occurrence, given all of the things that are happening with regulatory enforcement and what we're hearing about Montgomery is that you will have some, you know, constraints on driver availability. You mentioned B1. Are we thinking about this sort of still geographically where there might be some hotspots that you need to sort of address? I don't know if it's, you know, sort of directed or targeted rate increases for the drivers. How are you thinking about driver availability broadly?

Yeah, so I'll start with just at the literally the field level. So we have partnerships, relationships with a school network around the United States where we're strategic about where those relationships exist because those schools will feed accounts and customers that we already have in place. So we make sure that we've got that footprint built out. And then, of course, the Roadmaster Network, so 20 schools that we own across the United States, also strategically located near where we have freight and where we have customers so that we're pumping out high quality drivers that warner has first access to they're not required to come to warner but about half of the graduates from roadmaster and we like to think that the cream of the crop are the people that are gravitating toward toward warner um and so we've got a competitive advantage there in terms of our ability to lean into new graduates new new cdl holders as chris alluded to the the the existing pool of of experienced drivers obviously is a is a limited number uh and and And as more of those, I mean, the other headwind there on a macro level is retirements. That group of drivers is truly aging out more than they're being replenished. So there's a headwind there as well. So from a what are we doing at the field level, that's what we're doing in terms of making sure we can entice drivers onto those accounts. Driver pay is something we've touched on kind of a little bit as we've talked here. and the best part about the dedicated part of the portfolio is that customers share in that. So if a customer sees that they're not able to seat trucks, that we're not able to seat their trucks, the first thing they're going to do is come and say to us, well, what can we do to help? And often that's a driver pay thing. So it's a team sport in terms of the customer helping to bolster the driver pay, which is not an across-the-board, spread-the-peanut-butter, every driver gets the pay.

It's where the pain is, is where the help comes. the the the lack of the sort of top of the funnel i think is something interesting you know to demographics that's going to be an issue i guess do we feel like this is something that's going to just continue to sort of bubble higher is it more of a 27 issue driver wage increases like going on a more wholesale basis i guess how do you think about the potential timing of that if you were to predict yeah i'll start on that one so the if you go back a few years not to not to rehash the COVID years, but there was a reset of driver wage in 20 and 21, where, frankly, at that point, the driver wages were subpar and not where they needed to be.

The 20 and 21 created a whole lot of catch up at a very short period of time. And suddenly those wages were competitive with the jobs that those are mostly competing with construction jobs as a typical one that's used as an example. I think now we're pretty, that's still a fair fight. But as the construction industry starts to, the ISM starts to make us think that there's some heat up going there toward wages. And so we're competing against another labor pool that's across the street from us, sometimes literally. And so I think we'll see it coming.

We haven't seen a lot of pressure yet uh and again in some pockets we have chris i don't know if you've got more on that i would just say back to to dedicated one of the things you know that we find appealing about dedicated is the fact that these these jobs uh offer a lot to drivers you know i mean they're structured they're repetitive they're scheduled uh in many in many cases drivers are getting home nightly or multiple times a week and so we we generally see the turnover being lower the retention of those drivers being higher. And I think that's an advantage as you move into an environment where driver availability is going to continue to be constrained. Okay.

And then let's talk a little bit in the time remaining about the logistics business, maybe zooming in on brokerage first, you get you alluded to it with the gross margin side, I guess maybe the first question, and this is something that we're interested in across the board is, you know, have you changed materially your sort of carrier vetting strategy, the standards? Have you reduced the pool of carriers that you partner with on the brokerage side?

So I was sitting in on another panel you did earlier today, and our story is very similar to theirs. So that carrier vetting improvement is a story from the last five years, not from the last five weeks. And so our pool of available carriers has shrunk materially. Again, years ago, it shrunk materially as we saw more broker liability claims being made, as we had options to use more tools and more resources that were being made available commercially and more data points that we could use. And so it's not as simple as I think the headlines that you would see is that brokers only check for operating authority and the carrier safety rating and insurance, and then otherwise you're good to go. Well, that's the model that Warner maybe used 15 years ago, not recently. And so we've really tightened that the front door on that and continue to vet carriers on a on a weekly basis. It's not a once you're approved, you're good to go into perpetuity. We're checking their metrics and checking their scores and checking their data on an ongoing basis. And if if something drops below an acceptable level, they'll be shut off until they can get it improved. So we like what our what our pool of carriers looks like. There are third party carriers that we're brokering freight to. We don't see a big change coming. It's interesting talking to other people at this conference, and you hear, again, headlines from some brokers are, we're not changing our metrics. And then you see anecdotal reports on social media, and sometimes you shouldn't trust what you read on social media, but of carriers who are complaining about having been shut off by those very same brokers. We haven't had that problem. Again, those complaints probably would have been five years ago, not recently. Okay.

So does it feel, you know, I think it's interesting as an asset-based carrier with a brokerage arm, given the intensity of insurance and the dynamics that you have had to deal with and other carriers have had to deal with on nuclear verdicts, do you think that that sort of just puts the asset-based guys who have brokerage arms at a bit of a different tiering than maybe your average medium-sized broker? I'm not talking about the big mega brokers out there, but I'm talking about that sort of fat middle of smaller guys.

Yeah, the two labels I've been putting on it are size matters and sophistication matters. And so all of that rolls into the question you just asked, where if you're a large asset player like Warner with a large brokerage and sophisticated brokerage division that does things the right way, it's kind of a heads we win, tails somebody else loses approach. We like where we sit in that competitive marketplace because we can give the customer either option. If you want the safety and security of the asset side of the operation, we can provide that to you. If you want it to be a dedicated fleet of trucks that are committed to you and those drivers are people that when they come to your dock every day, you know them by name, we can give that to you. If you're a small and medium business but you still want the security of a sophisticated broker, we can give that to you with our scale there too. So I would say that the answer to your questions are yes and yes, that both of those things matter.

So I guess, you know, one of the things we're struggling with a little bit is that it seems that the first order impact to the brokerage world is a little bit more of a cost potential headwind from maybe higher insurance premiums, potentially more coverage required. And you guys may not be in that category, but other folks could be. I think the hope is over time that there would be some consolidation, particularly much the smaller arm of the brokerage world. Obviously, it touches, you know, call it a quarter or so, maybe 20 to 25 percent of the overall truck market. I guess. How do you think about that second wave? Is there a consolidation wave coming on the brokerage side at some point in the future?

I think there absolutely could be. There's consolidation. There's share shifting from shippers, you know, as all of this becomes more a front of mind for, you know, shippers and their selections. But, yeah, there could be, you know, consolidation. From a brokerage standpoint, so you know overall for for Werner, you know We would view Montgomery specifically as being a net benefit either because you know There's more value on on the asset, you know base side of our business Or there's a share shift that moves to To us being a you know a brokerage of scale a sophistication as Nathan said where safety and security of cargo and people on the road is is paramount and you know that's a proven practice that we have and so it it seems natural that there would be some some share shift that would come our way but yeah more specifically to your question of just a broad consolidation

in that that could happen okay and then maybe last question i just want to ask a big picture you guys had been acquisitive over the last um several years obviously the first fleet being the most recent. And I don't want to jump too far ahead, but as you're thinking about the opportunity over the next couple of years, it does seem like there's a bit of a structural change going on, at least on the capacity side of truckload. So where do you think about sort of best placing your capital dollars for growth? Is it more M&A? Is it just more working on the fleet and seeing this cycle kind of play out to fruition? How do you think about that?

Yeah, well, historically, we have been methodical and disciplined and balanced in terms of capital allocation, reinvesting our business, returning capital to shareholders through our consistent dividend, share repurchase or otherwise, with pockets over the last five years now of inorganic growth and M&A. We're thrilled with the first fleet acquisition that has our focus, you know, right now of enhancing value, optimizing value, integrating that business and delivering on, you know, what we've been talking about with respect to first fleet. But you also can't control, you know, when opportunities surface. So we'll continue to, you know, evaluate opportunities as they surface with, you know, a criteria of, you know, opportunities that can be accretive, strategic, of scale, you know, specialization in certain areas. So right now, First Fleet has our focus and the integration and executing on other parts of our business as we close out 2026 and capitalize on a strong market. But that's not to say that we won't be thoughtful and disciplined as we evaluate other opportunities. Got it.

That's very helpful. We're out of time here. But Chris, Chris and Nathan, thank you very much for joining us. Really appreciate it. Thank you.