Q1 2020 Earnings Call
[music] Good day, everyone and welcome to Norbord Inc.'s first.
Core her 2020 conference call.
As a reminder, today's call is being recorded webcast Norbords website www dot Norbord dotcom.
Norbert discussion today may include certain projections and forward looking statements regarding norbords businesses future actions and expected results.
These statements are subject to known and unknown risks and future results may differ materially.
Further information unknown risks you see the caution regarding forward looking information statement in Norbords Fabry fourth 2020 annual information form and the cautionary statement contained in the forward looking statements section of Norbords management's discussion and analysis based on February four 2020.
And now I'll turn the call over to Mr., Peter Weinberger, President and Chief Executive Officer. Please go ahead.
Karen.
Good afternoon, everyone welcome to our Q1 2020 conference call.
I'm joined today by Robin line partnership Huh.
Okay, that's our director of corporate Affairs.
Robert rooms learn.
I don't have Investor relations and corporate development.
We held our Adriana this morning, so we'll keep our prepared remarks.
This quarter.
Okay on a chance to listen to my age am comments, but if not a replay and transcript will be available on our website.
This afternoon I want to take a moment or highlight a few points are brought our Q1 results as well as how to covert 19, Panasonic has impacted our key markets under corresponding actions we're taking.
Oh gosh Robin to make a few comments about our balance sheet and capital allocation before we take your questions.
Well first quarter results gross.
Correct.
Yes, we generated $75 million of adjusted EBITDA, Our best result in six quarters, I've never done, but a year ago 11.
In North America, the improvement in euros housing activity that began in late 2019 carried into the first quarter 2020.
Spring increased on demand and higher or higher benchmark prices.
We produced 79% off available at 75, 9% of available capacity.
Excluding definitely curtailed hundred my husband corridor, one when we took 35.
Days of downtime into corridor.
I'm, especially pleased that they were able to reduce our per unit manufacturing cost versus girls comparative quarters.
In Europe panel demand improved significantly through most of the first quarter.
And vote panel prices continue to decline.
They do kind of started in Q3 last year.
Our adjusted EBITDA of us only running around or lower sequentially.
Our Inverness Inverness Miller is ramping up well, which supported the 26% sequential increase in our European shipments Williams.
While the construction activity.
On the second phase of investment in Inverness has recently been slow due to covert 19.
The mechanical insulation is largely complete and we still expect to complete this project before the under the here.
Just real helpers continue to serve substitution driven or think rose 40 years to come.
Turning to the impact of covert 19 on or can't markets.
The answer is where we saw the most immediate impact was north American industrial.
Where our customers talk manufacture products like upholstered furniture.
Or were deemed to be non essential.
I have to suspend operations in March.
We also saw the UK government and purse quick look down orders on manufacturing and retail, which forced many of our key customers in our largest European markets are close operations.
However, in both cases businesses have started to reopen in the past three weeks and orders are starting to come back.
Oh brothers in North America are indicating.
But their business hasn't cools consistently in the past three to four weeks after significant declines experienced in March.
I'll note that we have seen a particular brazilians and demand from Germany, and the Benelux, our second largest European markets.
Well as North America, North American repair and remodeling, which represents about a quarter or north American demand.
Well this is encouraging in the short term.
There remains considerable uncertainty around to desktops and do their ratio to economic impact of course with 19.
In April we reduced operating capacity by 35%.
Both North America, Europe by adjusting operating schedules.
Our current flexible operating configuration allows us to keep most of our people employed.
And be agile and scaling up and down that's needed to match production with the monetary disparate parent of uncertainty.
Well these are difficult times underworld need wells, we'll need to adapt to a post covisint reality.
We have not lost confidence in the future of always be or our company.
We're closely monitoring the effect of the pandemic and have confidence it always be will be.
Leading part of the economic recovery when the time comes.
And with that I'll pass the call over to Robin.
Thanks, Peter and good afternoon, everyone.
Norbord, we've always taken a balanced approach to capital allocation and right now our priorities cash conservation, we're taking a number of steps to do that.
As previously announced we are differing noncritical capital projects and have further reduced our 2020 capex budget by an additional 25% I'm 100 million to $75 million.
There's virtually no capital projects committed for next year and could if economic conditions. So warranted pulled back capex to a minimum sustaining level a $35 million in 2021.
We see great value in our stock with shares trading at a steep discount to our view of intrinsic value.
But while we were actively repurchasing our shares in January and February we suspended buybacks in March for the time being.
Finally, I'd you have seen our board reduced the dividend to Canadian five cents per share this quarter, which will save us $34 million annualized versus the prior quarters level.
This is entirely consistent with our variable dividend policy.
It gives us the flexibility to adjust the payout level up and down other operating results outlook and balance sheet allow.
So turning to our balance sheet.
Our board has no bond debt maturities until 2023, and our liquidity remained strong with $247 million available at the end of Q1, even after we invested nearly 70 million in our usual seasonal working capital increased.
This seasonal build typically reverses over the remaining three quarters and we'll release cash flow as it on line.
We have significant headroom versus the two financial covenants governing access to our revolving bank line, neither of which is EBITDA based.
The first is net debt to cap, which was unchanged from Q4 at 40% versus the 65% covenant.
And the second is tangible net worth which was almost double the 500 million covenant.
We will continue to prudently manage costs capital expenditures and liquidity to protect balance sheet flexibility.
And with that we're going to jump right into questions and so I'll turn things over to the operator, who will open up the lines.
Thank you, ladies and gentlemen, if you wish to ask a question. Please signaled by pressing star one on your telephone keypad piece I'm sure you mute function is switched off to allow your signal to reach our equipment again that is stier wanting to ask a question.
Oh.
Our first question today comes from John Bob talk from Bank of.
Hey, good afternoon.
Or I just want to quickly follow up on Capex I was quite good kinda talk about you know the projects I guess that you're kind of sideline at this point and also I was wondering how long can you keep capex at that 35 million dollar level.
Hi, John Good morning, it's Robin or afternoon, I should say it's robin.
Yeah. So I'll answer the second one first I would just point you back to 2008.
During the you know the global financial crisis, we kept capital at that minimum sustaining level for five straight years. So that's a you know that's our track record if things get that difficult you know we could keep it we could keep sustaining capital very low for for many years. It wasn't a hole there wasn't anything.
Can't that we cut out of the budget for this year to reduce the 25 million out of out of Capex.
We only really have the two significant projects going on this year as you know that's in Marina phase two which as you heard Peters days, you know is largely complete.
And we had been investing a little bit in Chambord.
Were also the activity on that side has has slowed write down from for multiple reasons. So its really just cutting out all the other small projects that we would've liked to do but that aren't essential at this point.
Okay, and with regards to a Inverness and realizing you're generally tend to produce you know to demand I was wondering you know with Inverness kind of still ramping up and you know given kind of the overall situation. A you know with covert 19, you know is there ultimately sufficient demand for Supernus continue ramping up production at this stage.
Yes.
Hmm warning or [laughter], Oh, I'll take that one well interestingly enough Oh beat amount on the continent House continued throughout this period to show our Moon Belgian must continue to run a slot out.
Yeah for you know a lot of our demand growth.
In Europe is predicated on continued.
Substitution for imported materials.
From South America from Asia, and my belief that no doubt trends will continue and brushing does continue were shut up.
First others really their foundation for our for our growing Ah boy in lot of here, but I smell.
Okay.
And then back to North America, you now, it's kinda reduction operating capacity for Ah by 35% in April is that about how much demand was down and then also I was wondering can kinda talk about how trends of kind of evolved internet here.
Well, it's as you know there are no real.
The statistics or not that's accurate about close soon.
I would say my best estimate is that demand.
<unk> reduction in demand is responsible for some of that.
But we also believes that a good or their customers her supply to the new home construction segment.
For active have reduced their inventory levels below what they were already gone too.
Oh sure richer show understandable given the level of uncertainty.
And any color you could kind of provide on now you know order files I guess stand right now.
Oh, well I would say that really been pleasantly surprised by the level of business that we're seeing over the last number risks or my prepared remarks, I refer to the fact up to build or so shane activity improving over the last three or four weeks.
Through a drought in combination with the fact that the pro dealer show our between us and a builder. So you will have very low inventory levels are half man. It's a tough nave Shannon you were hoping or order intake over the last two or three or four weeks.
Okay and have you know and then just kinda last question before I turn it over have you announced you know what are you sort of downtime for me.
Well I picked me in our in our Oh public disclosure around downtime retreat published at the end of March.
Reinsurer shut up there for adopted this.
Flexible schedule.
And that allows us to increase your day crash. According to <unk> available demand well shut that we wouldn't make any further announcements with regard to that than you may recall that in the past for antitrust reasons read only reports on downtime. After we have taken it's unrealistic with that policy going forward, but.
Our Polish yes, you know as always paying through only produce which we can show I'm sure, we'll stick with up mantra.
Thank you.
Thanks, Tom.
Our next question comes from Cat time, Mamtora I'll be I'm old capital markets.
Oh, thank you.
Oh, okay tighten their hands here.
Is doing but I would imagine that I'm OK tech industry it anymore.
[noise] cadence or eight internationally right you stopped we couldn't hear you. After you said Hello, So you need start again please.
'cause this though.
Yeah I can hear your now here you yeah, Okay, sorry about that no way I was just curious that's wonderful understand a little bit better in terms of policy I won't be a end markets trends are as you were talking about in your prepared remarks sounds like Alternators is doing a little bit better.
Some of the industrial end markets, especially on before does your site immediately but because if it's possible to give us all some maybe if it's possible to quantify how some of those end markets are doing and holiday if I could you go into the second quarter.
I'll do my best I'm.
All right I mentioned already or they are in our sites has remained steady and strong you know it's in line with <unk> previous years.
Housing already talked about took the last question. So you know reflecting a decline.
And the man.
[laughter] for new home construction, primarily driven by the end of March and I'm. The first half of April just trying to speed up market recover now at least a wind or sort of the near term.
In terms offer our industrial demand there are certain aspects of the industrial demand have continued straight through brought.
So people, but a heavy manufacturing facilities, where there's lots of people working close together no doubt that can work curtailed or businesses. They were not came to essential that.
That business is starting to come back now and you know I would sort of say.
It's you I'm, maybe cashing I bet here, but there was sort of a 50% level for a quarter quarters, probably a reasonable estimate you know from my perspective at this stage.
I'm, sorry about that other industrial volumes or maybe.
15% to 20% of our total.
Total sales.
Understood. That's helpful and then she's doing two cabot's again.
So just help me understand so you've got it down to 75 million Bucks all the bad minimums that you have is about 35 Union and it sounds like you know kind of 18 million is left on Chan board. So one.
How are you thinking about spending that you mean 18 million is it something at this point you'd think that you would want who beat the yard and then more up or 2021 kind of spend or and then kind of walk out of these are the big buckets that was bridge from 35 to 75.
Yeah, Okay on the obviously, there's no urgency on that occur under Chambord spending at the moment.
Moreover, the construction activity has been <unk> stopped completely in the provinces off cutback show.
Show, we haven't been able to spend any money, even if he would have one or two.
It's obviously an area over you know our spending is going to be minimal.
Until they've got a better perspective.
And with market recovery.
A quick turn costs. The remainder is to completion of Cameron us phase two project.
Rather than already mentioned to you that.
No we expect to have to approach I completed before the another here you know there's a lot of to most of the mechanical installation is complete as of today.
Got it and so what is left in Union. One. This is the most Nvidia is my math sites often there.
[noise] surely elaborate on that sort of sulfur Inverness.
Yeah that sounds about right, yeah, that's enough right in that range.
Okay. That's very helpful I've done it or what good luck.
Thank you [laughter].
Our next question comes from Sean Stewart of T.D. security.
Good afternoon, Thanks, a couple of questions.
Robin can you help us with.
Some of the other liquidity levers you can pull beyond a lower capex and.
Q2, working cap declines.
Can you go through some of the other variables that might be in play and I'm thinking is expense deferrals tax refunds things of that nature or any other variables. We can expect to help support liquidity in the mature.
Sure Yeah, I mean, obviously one of the things. We've we've done is look at all discretionary costs.
And you reduce them to the extent, we can obviously things like travel a it has come down significantly it's almost been eliminated in the last few months as an example, but I will note that we last year, when we curtailed hundred mile House and.
Cardio line one.
We have our philosophy is always been whenever we have curtailed significant operations, we've taken the equivalent amount out of our overhead and so we already streamlined our S. DNA last year.
Which will benefit us through this year, but obviously, we could do my there. If if we you know if that made sense. If we if we face ongoing significant curtailments.
So that's on the you know on the overhead cost French.
And in terms of things like a tax deferrals, yes of course, where we are taking advantage of of all of those opportunities where they exist. You know there have been things like payroll taxes, where you can differ yeah it'd be a T. In the UK a those kinda things were taking advantage all of all those opportunities too.
Just defer the out outflow of cash where that's permitted.
And then on the income tax front you have seen we already got a significant refund in the first quarter and there's still a receivable on our balance sheet until they really more to come in the future.
And so we are taking advantage of all those leveraged.
And I think it's a $40 million receivable you still have that that is phased in over the next 12 months I should add yeah I'd want it won't all be 12 months, but some you know some of that would be related to filing 2020 returns, which would and we wouldn't you wouldn't be able to get that cash until next year.
Okay and last question for me, Peter if Inverness phase two is wrapped up by yearend.
I think the previous guidance was it see an extended ramp up of the incremental capacity.
Assuming demand starts to normalize in Europe, how should we think about the incremental capacity there being phased in.
And your 2020, well well, Sean I think we have talked <unk> or can they have to talk in general about a you know about a 100 million feet or 100000 cubic meters per year over there should afford a five year period or the crew ramping up and I don't see any reasons why or why we should do you view.
<unk> to deviate from the other two stage.
No. Thank you for that were below a lot of there's a substitution right that's not right.
Sure, it's not necessarily depending on who demand creation.
Got it [noise].
That's a that's it for me thank you very much.
Thanks, Sean.
Our next question comes from Mark wind trends of global.
Thank you.
First question given the an unusual nature of dynamics I'm curious if.
Random lengths pricing is still.
A good proxy a very good proxy for following a youre your realization.
Oh, yeah markets of the.
That's always a tough almost a telephone for us as well.
I would say that Oh, you know random lengths is a reasonable.
Proxy for market, reflecting off market activity.
The moment Brito, I think a pretty even in some regions, where the POS we've had some concerns she wants to ban it seems to be a reason, though approximation of what's going on at the moment.
The challenge in Arkansas to fluctuated broadly up and down is that we have the lag effect.
First of all ritual this oh, there's much a difficult Oh sure.
Reconciled to our murder to our dry realization.
In addition, there are some of our industrial products on more fixed long term pricing so.
Oh in a very high level market stores prices were looks more on oh poor pricing environment or goes cattle prices go look higher. So that's those are two major moving parts of my cutover is difficult to reconcile too.
A random likes Brent.
And your financial think of Q1, you know I think our.
Do we are those numbers public or not yeah. You can you you I'll just stepping parents are et cetera, if I talk to the numbers [laughter]. Yeah. If you can you come back into our realization versus the originally weighted benchmark Mark as I know I think you've done you do that yourself I mean, we were 100, an 8% in their first quarter.
Versus 120% in the fourth quarter, and obviously that differences related to that lag effect and that Peter just outlined and I'm just also remind everyone that.
Only about three quarters of our volume in North America is tied directly or indirectly to random lengths. The corridor that 25% ralphie, our volume that is going into specialty and uses is de linked from random lengths and negotiate a pricing that doesn't move up and down a with random lengths.
Great and <unk> it would it be calls, we'll get a sense as to where April was.
Either relative to those benchmarks or where it was relative to the first quarter.
I lost or without hurting your after right to our next quarterly really I think youre thinking I really haven't done enough not to have myself no no no problem, Oh, and then on the cost side.
Can you give the flavor of what's going on with wood resin energy.
Well I mean wood prices a sure sure further say for a long [laughter] for a long time now have barely moved to if at all so they're quite flat.
No they remain that way.
The moments feel really across the board obviously on the on the aggregate. There's just they might be down slightly because a 100 mile House mill and appreciate those are by far and away our highest cost what cross meal and it's obviously not taking out there were at the moment.
Resin prices are dropping a beautiful and there's a link their indirectly my true true energy prices or oil prices.
And no understand your energy is a small relatively small portion of our of our.
Cash manufacturing cost most of those electricity.
But there was a small portion of its natural gas and those costs. Obviously you have continued to be quite low Robin I don't know if you can provide any specifics there.
No no no okay. Good [laughter], so and that I guess [laughter], so different perspective, when you rethink no cost.
<unk> costs I think of the Hey, Jim I mentioned, the fact that never seen cost continued to decline in March and April.
Despite the fact that we have had to deal with curtailments.
Right and then I guess did that last part because.
Maybe one could come out fairly favorable from from but much of what's been done in the last part is I guess.
The absorption of fixed costs, given that you are producing a lot less and you've taken some actions, but is it possible get up.
Ballpark number off of what to used you had what percentage is fixed costs and kind of modeling.
Hey.
No because of lower volume environment affecting it was mark I've talked to a true or the major cost factor show.
Well, there's about a third of our manufacturing cost cashman, if I turn costs.
RASM is about a quarter.
And energy is about 10%.
Shut up gets me to 70 70.
So the remaining roughly.
As for variable Oh, sure fixed, but you know the current environment.
With all the.
You know the government programs that are out there. After the fact, the fact that some of our fixed costs has become very well at least in the short term.
Show the current push others are probably slightly lower than that.
Okay.
Okay very helpful. Thank you.
Thanks Mark.
Our next question comes from Paul Quinn of RBC capital markets.
That's correct there in very good morning fruit for me [laughter] Huh.
Yeah, but but it certainly feels like getting just yet following up on its cost actually I'm, giving you mentioned that the clots tracking in into Q2.
Ah are down quarter over quarter, and I'm just trying to.
You know I suspect the input costs are still cutting down, especially on the energy and and the reconciled.
During the effect at the downtime. It you know is a is that enough is that holding your cost flat are you pushing up or is it does it continue to come down.
Well I think in life public comments earlier I mentioned, the fact that we've seen costs continued to decline in March and April.
You know probably took a lot of downtime and you're right. You know they have occurred couple of benefits at the moment as long as declining resin prices on the back off.
No, we're just very low oil prices.
At the same time, you know our Canadian capacity.
He is benefiting from you'll hear about 70% of or can any manufacturing costs as Canadian dollar based and the Canadian doors, 10 centers and 70 cents compared to 76 cents not so long ago.
So those are a couple of things that I really playing in our favor I also mentioned.
But to some of our traditional fixed cost as a little bit more variable at the moment or because of all the government programs that are available through employees.
So a pretty I mean, it's early in the quarter show, but I'm I'm pleased with the direction.
Our operating team was able to managers in North America.
Great.
We see it up ticking and it would be President North America. The loves to reach you you attributed that to demand coming back or is that that inventory just talking that you talked about or they're going to call is just sort of reached Mac. So any uptick in demand is it is it's going to flow through on price.
Yeah, I think it's probably the combination of those two things.
Oh, you know I think.
We keep talking about inventory is about as long as I've got some done that's got so you're going lower obviously, you know people have taken.
No dish.
Period of extra extreme uncertainty it to do the right thing, which is absolutely you know minimizing their working capital and.
I'm, taking inventory down and show that they are.
Flexible ever more flexible operating model just like our model is more flexible today I don't agree has traditionally been a show I think it has reached a very absolute minimum level at the same time, Oh, we're starting to see demands recovering.
For several reasons I managed from the low let's say the low point most people tell me builders in particular, Tommy will show the younger March.
If you shouldn't see things should improve because first of all you know, there's a bunch of stage, where group, which are being real open for construction.
Secondly, builders told me that they're starting to sell homes again.
No I'd better clips on that expected.
We're starting to see industry demands come back as I mentioned earlier.
No and are an hour or demand continues to be running stronger. So it's probably a combination of improving amount at last in the short term.
Combined to reduce a inventory so it's kinda shrink any further.
Okay.
That's helpful. And then just flipping over to Europe, it looks like it must be prices sort of.
Yes.
Sure you see this at the bottom the bottom of the personal stapling year I should be capable.
Yeah, I would say as art mentioned earlier pull a brito demand on the continent really seems to have continued to be remained strong throughout this whole parents. You know that's really took me by surprise.
But uh huh.
Convalescent Pleasant surprise.
I'm sure it looks like things have bottomed out there.
India, Okay, you know, where it's probably a bit too early to tell what are we haven't read and they had reached a bottom.
Early indications from I should just stopped but you know we're still that market is still starting to come back and being reopened as we speak so hard Rotter reserve judgment until you know a month or two from though.
Okay.
Great and just lastly, just some.
Ah export markets out of North America into each you what's what happened.
<unk> in Q1 did you see big drop off in Dod age.
With my team took over and obviously not that or to solve pick back up.
In fact in the first quarter I think we're pretty much in line with previous quarters for or for export for him.
Well done putting out a proportionate represents less than five for about 5% I believe of our total of our total North American production.
You know, there's a bit of shuffling between the different markets.
I think a divorce into China has increased a little but recently.
The version two hours or brushing ownership to three markets right to Vietnam, China, and Japan is our biggest markets.
Japan volume has been quite strong.
These are the only competition, we have terrorists from Europe, and I think transportation costs have become are huge hindrance.
For that long haul shipping of containers back from Europe to treat Japan.
I'm sure you know, it's a bit of my shuffling of write a volumes go but on total it's more or less inline with what we're seeing in previous quarters.
Oh well.
Sorry, I didn't hear where muffled I couldn't hear him.
Okay.
Thanks, very much but there's a lot going forward.
Hi, Thanks very much.
Russia.
Our next question comes from Andrew Coskey of Credit Suisse.
Thank you good afternoon, I guess the question was really revolves around your rotating curtailments Ah, but you've got on your plants and I guess, there's just a few circuit or related issues.
You mentioned gets a little bit earlier on that to certain degree you're getting some benefits and stimulus plans that governments may house in a region, you're obviously keeping your people working.
To a greater degree than they otherwise would be if the shutdown a specific plans and then.
So there's no theres one benefit I guess that moved the magnitude that benefits. The first question I guess the second question revolves around your customer needs, but this public positions you better to serve them into lower cost fashion and then.
Thirdly, and the Lucky as I guess, we learn from paid nine or is it some of the restricts what painful when things came back. So you probably avoid that once we get back to a normal environment and you can go full throttle without any issues is that latter point fair and then any color on the first two issues would be appreciated.
Yeah, I think as a point is absolutely fair and that you know what Matt Let me focus on the sort of pairing up mills in certain regions. So that three have an ongoing supply in every region, where you know where there is demand.
A show that way and then secondly, if it gets sort of.
<unk>.
This rotating.
She shopped volume as required if demand improves.
Or in crashes if demand declines.
And show me picked up kind of flexibility in the current circumstances is really important and you know the other auto writers, we do not want to abandon branom customers wherever we're working very hard on their term to a two came to market going and so I think this just modal gifts or south flex.
<unk>. It's also are sort of <unk> no I think the responsible way to deal with our you know our employees you were just way can maintain their health benefits kind of kind of maintain an income you know whether it is it.
Supported by the government in certain cases, especially in the states.
For the to parent the short period, so they're not working the other thing that's kinda that's interesting observation from our perspective, you know there's a lot of discussion in the broader economy abroad restarting.
Well, we are experiencing this across our operations now on a Friday your regular basis as people come back after a full off for a couple of weeks and they have to go alternatives have turned develop and implement.
Hey, very strict protocol of coming back to work.
To make sure that I've here all of our employees remain safe.
You know asked there have been so far.
So.
I'm not saying that we can teach lessons here, but it's been interesting for us to really sort of no. After you have forced ourselves through the thinking process that I believe many industries are going to after think about here over the next couple of months.
That's very helpful. And then the second question just relates to your per unit costs were down.
Which is very encouraging but I guess, maybe some perspective on how that was tracking at the beginning of the quarter versus the end and then you know I didn't related but that is you had impressive MIT gains.
In the quarter, so sporadic any color additional color would be great.
Yeah, I can't really give you like within the quarter color, Andrew but that and my P. is is indicative of the kind of productivity improvement that we've been able to.
Realized in the quarter.
Remember that we you know we consolidated a bunch of downtime from last year by Curtailing Cardio line, one and Hunter Mountain House.
And so I think that's part of what were what we're seeing now in the first quarter and as Peter just outlined this.
This out rotating curtailment flexible curtailment configuration that we have in this current environment. We're doing yeah. We're we're finding a way to do it in as cost efficient ways. We can and that's you know we're happy to see that in our and our unit cost.
Rushing some payback of investments we've made.
Over the last couple of years as well, which is why you're seeing some others on M.I.P. now are coming up as well right.
Okay. That's great. Thank you.
Great. Thanks, Andrew.
Ladies and gentlemen that concludes the question answer session I would not like trying to call back to mr. piece or Weinberg and for any additional or closing remarks.
Well, thank you Kevin I'm, a horse rather than have there Robert and I are available to respond to further questions if any.
I want to thank all of a fan for taking the time to participate.
Stay safe out there to really look very much forward to reporting on our progress next quarter.
I have a good afternoon.
This concludes today's call. Thank you for your participation you may note.
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