Q4 2023 EuroDry Ltd Earnings Call
Thank you for your patience the conference we'll be beginning shortly again, we want to thank you for your patience in the conference calls he beginning shortly.
[music].
Thank you for standing by ladies and gentlemen, and welcome to the ERO try L. T. D conference call on the fourth quarter of 2020 three financial results, we have with US today, Aristides Peters, Chairman and Chief Executive Officer, and Mr. Tahoes latest Chief Financial Officer.
At this time all participants are in a listen only mode. There will be a presentation followed by a question and answer session at which time if you wish to ask a question. Please press star one on your telephone keypad.
For your name to be announced I must advice you that this conference call is being recorded today and please be reminded that the company announced its results for the press release that has been publicly distributed.
Before passing the floor over to Mr. Peterson I would also like to remind everybody that in todays presentation and conference call you really drive will be making forward looking statements. These statements are within the meaning of the federal security laws matters discussed may be forward looking statements, which are based on <unk>.
Current management expectations that involve risks and uncertainties that may result, in such expectations not being realized I kindly draw your attention to slide number two of the webcast presentation, which has full forward looking statement and the same statement was also included in the press release.
Please take a moment to go through.
The whole statement and read it and now I would like to pass the floor over to Mr. Peter <unk>. Please go ahead Sir.
Good morning, ladies and gentlemen, and thank you all for joining us today for our scheduled conference call.
Together with me I have thought this is Lisa <unk> Chief Financial Officer.
Yeah.
The purpose of today's call is to discuss our financial results for the three and 12 months period ended December.
In December <unk>.
Please turn to slide three of the presentation.
Financial results are shown here.
For the fourth quarter of 2023, we reported total net revenues of 15 $49 million and net income attributable to controlling shareholders of $43 million or 13 cents.
Basic and diluted share.
Adjusted net income for the cold fill it was $149 million or 7% per diluted share.
Mainly reflecting the contribution of vessel phase.
Adjusted EBITDA for the period was $6 $6 million.
Please turn to the press release for a full reconciliation of adjusted net income and adjusted EBITDA.
Our CFO does persist leaders will go over our financial highlights in more detail later on in presentation.
And as of February 15th 2010, before we've had repurchased a total of 273120 shares of our common stock in the open market for about $4 $1 million under our service plan of up to $10 million announced in August 2020.
To do an extended for another year.
Please turn to slide four for an overview of our faith in chartering and operational highlights.
Well Jonathan side 11 above 13 vessels are employed and so I'm sorry. If this was two vessels continue to be employed under index linked charters.
March 24, and <unk> 25, respectively at 105 five.
Absent of the outer limits, both the cancer five times of that index.
You can see the specifics of the various jobs as we fixed in the accompanying presentation.
There were no dry dockings repairs or commercial off hire time, given the COVID-19 too.
I would have thought that is chartering strategy is largely driven by the market.
We plan to continue with the same so the strategy and deliver its plan to leverage that and use us to take more time charter Gaza well hedged through SFA.
Please turn to slide five.
Zero Drive's fleet consists of 13 vessels, including five Panamax five would promote to come so it looks and one super how much dry bulk.
Euro drives 13, dry bulk carriers have a total carrying capacity of approximately 920000 deadweight and an average age of 13 in the five years.
I'd like to remind you that during the quarter as previously announced and mentioned in our last seven school given the life has a 61% ownership of the entities that own a lot of vessels COVID-19.
Remaining 39% being owned by all those presented by the end of the project finance otherwise refers to as the MLP investors.
Yeah.
Please turn to slide six which depicts our fleet employment graphically.
As you can see we practically have no cargo to after the government book too.
In Q1, we have very little exposed to the market, especially if we factor in their face.
We have sold the 90 days of interface context for the equivalent of one should panamax vessel and 180 days of FFA contracts for the equivalent of two panamax vessels that he sleeps equivalent in total in the first quarter of 'twenty 'twenty 410000, 10110, thousands to tens of those 70.
$5 per day, respectively.
Overall, we expect to be at breakeven rates in Q1.
Turning on to slide seven we go over the market highlights for the fourth quarter ended December 31st 2023 and up until recently.
The average spot market rates for Panamaxes was hovering at around $15000 per day in the fourth of 2020 Covid.
By year end spot rates rose to approximately 16200 per day, reflecting amongst others the effect of the Panama Canal dog.
Despite the very serious or absence shoot.
We have since dropped reflecting seasonal trends, the Chinese new year and the softer activity in the Pacific.
The one year time charter rates for Panamax is evident.
I don't $13 $400, but they during the fourth quarter.
Rising to $14350 by year end.
Contrary to support the age, though one year time charter rates have increased to $15275 per day as of February nine.
<unk> the rising confidence that the market is bound to strengthen as the global growth gained steam steam.
In the head and the effects of the Red Sea set up supposed to become more from others.
Please now turn to slide nine.
With its latest updates in January 2020 for the IMS raised its forecast for global growth compared to October 2023 outlook from two 9% to three 1% for 2024 and three 2% for 2005.
As a result of a greater than expected the resilience in the United States and the Frisco support of China.
We expect to see this recovery, although the ICF also lows of risks from what was inflation.
The focus for 2024 and 25.
2025 is however, still below the historical evidence over the last 10 years of 38%.
We've elevated strain central bank policy rates to fight inflation and withdrawal of fiscal support amid high debt weighing on economic activity and low underlying productivity go.
Inflation is falling faster than expected and most of the regions in the image in the midst of underwriting supply side dishes and the restrictive monetary policy.
Global headline inflation is expected to fall to five 8% from 2024 and two 4% in 2025.
With a 2025 focus having been revised down.
With this inflation of steady growth the likelihood of a hard landing has received it and the risks to global growth are broadly balanced.
However, new commodity price spikes from geopolitical shocks, including continued that action, the red sea and supply disruptions or more persistent underlying inflation.
Couldn't perhaps below tight monetary conditions.
We're shipping will continue to monitor the China, India, and ASEAN five which according to the IMF will continue to grow quite strongly in the next couple of years.
China, having had some major headwinds due to lower confidence in the.
Underwhelming boost economic activity following it should be opening up the COVID-19, as well as the physical property sector issues is still set to grow by another four 6% in 2024 and four 1% from 2025.
India's growth is expected to be six 5% in both 2024 25.
Dry bulk trade demand is therefore focus that presently to grows at one 6% in 2024 and 2025.
Which is below its historic allows us a growth rate of four 9%.
Despite the improvement in demand in 2023, primarily fueled by China and escalating geopolitical tensions.
Spectra rising trade distortions of the NGL, Colombia.
Patients will continue to weigh on the level of global trade.
Please turn to slide 10.
And subsequently uncertainty about the future of Hughes and higher new building prices have led to the low long continuing.
As of February 2024.
The order book as a percentage of total fleet is that only eight 5% near the lowest historical levels.
This suggests minimal fleet growth over the next two to three years.
Complementing this low fleet growth. We also have the effect of increase slow steaming and expected scrapping due to the introduction of new environmental regulations.
This could reduce the effective available bogus supply even further.
Turning to slide 11, let us now look into the supply fundamentals in a bit more detail.
As of February 2020 for the total dry bulk vessel operating fleet was 13, thousands we settled with the vessels.
According to Clarksons latest report new deliveries as a percentage of total fleet are expected to be three 6% in 2020, 429% in 2025 and two 4% in 2026 onwards.
The actual fleet growth is expected to be lower than the aforementioned figures is of course due to scrapping and slippage.
Also note that 8% of the fleet is older than 20 years old and therefore, a good candidate for scrapping, especially if the market remains at current or lower levels.
Please turn to slide 12, where we summarize our outlook for the dry bulk market.
Dry bulk markets dry bulk shipping so strong gains throughout the fourth quarter of 2023 marked by the Panamax freight index, keeping $17000 per day in December 'twenty between reaching its highest level since mid 2022.
Despite this 2023 proved to be a comparatively moderate year for bulk of it moves due to decreased fleet and the efficiencies and the accumulative expansion of the fleet in the preceding years, which counteracted the robust trade recovers.
The uptick in revenues during Q4 is largely attributed to the Panama Canal growth leading to a reduction in patent fees from approximately 10 day two zero.
'twenty 'twenty four is poised to be a stronger year for the dry bulk sector, particularly if vessel supply continues to tighten.
Potentially leading to spikes in freight brokers.
Historically, the first quarter of the year has always been the weakest for the dry bulk largely owing to the Chinese new year, which dampens economic activity.
Contrary to prior expectations. It is proving to be stronger than anticipated, mainly due to the red Sea disruptions.
Regarding the supply side as discussed there has been minimal ordering of new ships due to constraints in ship availability and uncertainty surrounding the chosen over the future fuel.
Spike being some not insignificant office for less than a few of the vessels.
The ratio of the order book to the existing fleet as discussed remains close to historically low levels setting the stage for the potential that we've got moving south array if demand returns to more typical levels.
Additionally, the implementation of emissions regulations.
<unk> could further restrict supply through increased scrapping or reduced operational speeds for certain vessels.
Or the demand side, China is important to monitor it.
Potential to simulate demand growth and sentiment will be critical, particularly considering the challenges in the public sector and sensitivities to government policies regarding cold.
Additionally, GDP growth in developed economies and unforeseen developments could also contribute to demand growth.
The signing of interest interest rate cuts by central banks as well as inflation leasing will also weigh on global growth.
The drought in the Panama Canal, which could cause prolonged waiting times capacity limitations and increased professional shipping schedules continues.
As a result, the rates have been good directed from the region and has led to a rise in total mileage demand and notice of boots and freight rates.
Furthermore, disruptions in the Red Sea have reduced dry cargo ship traffic along this route compelling shipping companies to either suspend mortgages all of it.
To the Cape of good hope consequently, increasing vessel demand.
Let's turn to slide 15.
The left side of the slide shows the evolution of one year time charter rates of Panamax dry bulk vessels since 2002.
As of February 19, 2020 for the one year time charter rate for Panamax ships with the capacity of 75000 deadweight tons stood at $15275 per day, which is slightly above the historical medium.
But our $13 $5000 per day.
On the other hand as can be seen in that I guess.
The historical price range for the 10 year old Japanese comes up much vessel, which has a current price of about $26 million is significantly higher than the 10 year historical average and median price.
Given the high vessel values of the acquisition of the three will close in Q4, which have reduced our liquidity. We are currently reluctance to invest further in new vessels.
We prefer to spend some of our liquidity to continue executing on our share repurchase program.
The share price trades considerably below our net asset value.
Further the liquidity builds up organically, we will continue monitoring the market for investment opportunities, which we can always further finance even by levering up through parcel of ships and the disposal of older assets.
Let me now pass the floor over to our CFO task forces to leave us to go a little bit about values financial highlights in more detail.
Thank you very much <unk> good morning from me as well, ladies and gentlemen.
Over the next four slides I will give you an overview of our financial highlights for the fourth quarter and full year of 2023.
Those two let's say last year.
Let's turn to slide 15.
For the fourth quarter of 2023, the company reported total net revenues of $15 9 million.
Ending at five 2% increase over total net revenues of $15 1 million during the fourth quarter of last year.
And for 2020.
Let's see what was the result of the higher number of vessels were owned and operated in the fourth quarter of 2023 compared to the same period of 2022 offset by the lower time charter rates are progressing.
In the fourth quarter of last year compared to 2022.
We reported net income for the period.
<unk> 3 million compared to a net income of $6 3 million for the same period, the fourth quarter of 2022.
It should be noted that the results for the fourth quarter of 2023 exclude.
0.7 million loss.
Repeatable to minority interests.
Anything from the 39% ownership.
The MLP investors on vascular was curious presque in my area.
In another.
Another financing costs for the fourth quarter of 2023.
Increased two 2 million compared to 1 million for the same periods of 2022.
Interest expense during the fourth quarter of last year was higher mainly due to the increased amount of debt, we carry and the increased benchmark rates forward launched during the period as compared to.
The same one and 2022.
Adjusted EBITDA for the fourth quarter of 2023, or $6 6 million compared to $7 3 million for the same period of 2022.
Basic and diluted earnings per share attributable to controlling shareholders for.
For the fourth quarter of 2023 was zero point $15 calculated on $2 7 million approximately $2 7 million basic and diluted weighted average number of shares outstanding compared to $5 $78 basic and $5 32.
$1 diluted for the for 2022.
Related to.
<unk> and $2 9 million.
Basic and diluted weighted average number of shares outstanding.
Excluding the effects of the unrealized loss on derivatives on the earnings for the fourth quarter of last year.
The adjusted earnings per share attributable to controlling shareholders for the fourth quarter of 2023 would have been <unk> 71, basic and diluted compared to adjusted earnings of $1 19.
And to $1.17 per share basic and diluted for the same period, the fourth quarter of 2022.
Typically you guys were shipped in previous presentations.
Yes.
Include the above items like unrealized losses on derivatives in their published estimates of.
Earnings per share and that's the way that's why we're making this attachment.
Let's now look at the numbers for the corresponding 12 month periods.
2023 versus 2022.
For the full year of 2023, the company reported total net revenues of $47 6 million.
Presenting a 32, 2% decrease over total net revenues of $70 2 million during 2022.
Mainly the result of the lower time charter rates our.
Our vessels earned.
We reported a net loss for the period of $2 9 million as compared to a net income of 33 5 million for 2022.
Again, there it sounds for the full year 2020 exclude as you reported 37 million loss attributable to minority interests.
Interest and other financing costs for the.
12 months of three.
<unk> amounted to about $6 5 million compared to $3 9 million during the same period of 2022.
Being higher again use the higher level of debt that we carry and the higher average benchmark rates that are launched get debate.
Adjusted EBITDA for 2023 was $14 6 million compared with $43 2 million.
In 2022.
Finally, basic and diluted loss per share attributable to controlling shareholders for 2023 one.
$1 five.
Calculated on $2 7 million basic and diluted weighted average number of shares outstanding compared to basic and diluted earnings per share of 11, $66 and $11 $61 respectively.
Towards the four there for the whole year of 2022.
The final adjustment related to excluding the unrealized loss of derivatives on the loss for the year.
After we do that the adjusted earnings for 2023 attributable to controlling shareholders would have been zero point $17.
Our basic and diluted compared to adjusted earnings per share of $9 90 $985.
Basic and diluted respectively for 2022.
Let's now turn to slide 16 to review our fleet performance.
We will start our review by looking at our fleet utilization rates for the fourth quarter and full year of 2023 in 2022.
First during the fourth quarter of 2023.
Our commercial utilization rate was at a 100%, while our operational utilization rate 99, 5%.
Compared to 100% Comercio and 99, 7% operational for the fourth quarter of 2022.
On average.
12.2 vessels were owned and operated during the fourth quarter of 2023, earning an average time charter equivalent rate of $14570 per day compared to $10 one vessels.
Same period of 2022 gardening.
<unk> $16689 per day.
Our total daily operating expenses.
Including management fees general and administrative expenses, but excluding drydocking costs were $7340 per vessel per day during the fourth quarter of 2023 compared to $7075 per vessel per day.
For the fourth quarter of 2022, I'd like to note here that the figure for <unk> for the fourth quarter of <unk> 23 includes certain set up expenses for our joint venture with energy investors.
Thank you removed further down on the on this table, we can see the cash flow breakeven rate, which takes all shrink to account drydocking expenses interest expenses and low on their payments.
Thus for the fourth quarter of 2023, our daily customer breakeven rate was $11895 per vessel per day compared to $17089 per vessel per day for the same period of 2022.
Let's now look on the highest part of the slide to review the same figures for the full year.
During the entire 2023.
Our commencing commercial utilization rate was 99, 4%, while our operational utilization rate was 98, 5% compared to 99 eight.
Commerciality of 99, 3% operational for 2022.
On average.
10, six vessels were owned and operated during <unk> 2003.
<unk>, an average time charter equivalent rate of $12528 per day compared to $10 four vessels for 'twenty four 2022 Erin <unk> $21304 per day.
Total of our total operating expenses for the year again, including management fees and G&A expenses, but excluding drydocking costs.
7001, <unk> $6 per vessel per day.
<unk> 23 compared to 6698.
Dollars per day.
<unk> thousand 22.
At the bottom of this table, who cannot again see here the cash flow breakeven rate for the year.
In 2023 amounted to $12944 per vessel per day compared to $12991 for 2022.
Let's now turn to slide 17.
We view our debt profile.
Mr of December 31st 2023, our outstanding Bank debt was approximately four.
Four 8 million and.
In 2024 as it stands for.
$87 million.
In terms of entering before our total debt repayments, including balloon payments.
Amount.
$18 million.
They are set to decrease to about $9 7 million approximately both in 'twenty 'twenty five 'twenty six.
It is worth mentioning can be slide.
That's the.
The average margin of our debt, which is about 246%.
And assuming our software at rate of about five points.
6% Nashville earlier this.
This month and.
And including the cost of debt of the portion of the debt.
We have for which we have interest rate swaps, we estimate our total cost of our senior debt as of the end of last year.
Around seven 8%.
At the bottom of the slide we can see our projected cash flow breakeven level for the next 12 months broken down.
Into its various components.
Overall, we expect our cash flow break even level to be around $12678.
I sent per day.
And our EBITDA breakeven right.
To be around $8000 per vessel per day.
And that rate or EBITDA breakeven and it includes operating expenses.
<unk> expenses and Drydocking costs.
I'm almost conclude concluding my presentation and for that let's move to the next slide slide 18.
We can see some highlights from our balance sheet in a simplified way.
We offer a snapshot of our assets and liabilities in the slides.
As of December 31st 2023.
Cross another assets.
On our balance sheet at about $27 5 million.
The book value of our vessels was approximately $203 6 million, resulting in total book value for our assets of about 231 million.
On the liability side, our main liabilities our debts.
As mentioned previously Spencer stood at about the content and $4 8 million as of December 31st.
Presenting about 45, 44% of the book value of our assets and we kept additional liabilities of about $6 8 million.
That means that the book value of our shareholders' equity was about $110 million translating to about $39 book value per share.
And this.
Figure excludes the book value of the minority interest we can.
However.
Market value of our fleet is higher than our book value and we estimate based on our own estimates and other market transactions that the market value of our fleet stands at about $239 million, we suggest that our <unk> per share is in excess of 15 $51.
Our SaaS.
Recently.
It's around $21.
Just at a substantial discount compared to our net asset value.
This discount represents a significant opportunity for appreciation for our shareholders and investors.
And with that I would like to end my brief financial presentation and turn the floor back to last years.
Thank you.
Let me now open up the floor for any questions. We may have.
Thank you Steve I'd like to ask a question. Please press star one on your telephone keypad.
Formation tone will indicate your line is in the question queue. You May press star two if he would like to remove your question from the queue for participants using speaker equipment. It may be necessary to pick up your handset before pressing the star keys, how our first question is from Tate Sullivan with Maxim Group. Please proceed.
Hello, Hello. Good day. Thank you can you can we talk a little bit about the FFA hedges that you put in place in October and November.
You indicated that it split three vessels equivalent, but then in your table you have two vessels on index linked charters. So do one of those FFA hedges last for almost half a year.
Can you talk more about that.
Sure.
When you have vessels that are not free.
Which was the situation back in October.
The hedge also works for the Unfixed vessels that you will fix within the first growth of all over the year.
It isn't.
Okay.
100% correlated with the FFA, but the correlation is still very very significant so at the time that we did this.
We had really nothing fixed so we cover.
Three vessels for around $10000 a day, we thought that the market was going to below $10000.
For the Q1 number that we felt comfortable with.
And that's why we did it at those at all that the market hasn't been stronger so all these three.
Fay.
The result in a slight loss, but.
That's fine it's equivalent to <unk> 53 ships of $10000 a day the remaining will be it.
Somehow higher figure as Q1 is tending to be.
Okay and this is a similar strategy I recall, and you said as well to see most of the first quarters.
In previous years.
Whenever whenever we feel that the market will be significantly lower than where it is at the stage.
The <unk> predicts it will be.
We might hedge percentage of our fleet.
<unk>, it's equivalent as if we had taken.
Let's say it's out of the.
<unk> $10000 a day at that time.
For three months okay.
Okay.
I'll follow up with another question on the joint venture with MRP investors did you. The chartering since you took delivery of those ships, where they already did.
Did they already have fixed charters in place or have you contracted ships since since acquiring them.
Yes, they didn't have any.
One of them was was finishing up one of which.
So I think it had about one five months left.
But.
Since then we have been fixing all the ships on short term charters.
In anticipation of a better market in Q2.
And processed water.
We'll next quarter or this current quarter not have.
Roughly $400000 of costs to perform that way.
That's correct okay.
That's correct.
A portion of the setup fees that.
Care to be expense.
And do we reflect was reflected in our G&A numbers this quarter.
Okay and last for me. Thank you.
As you mentioned any changes in Chinas coal policy are you referring to the headlines that are out there maybe maybe China's will increase.
Real output with some stimulus measures and do you have any is that.
Meaningful portion of your fleet currently carrying KOL or has in the past.
Indeed, we have we have.
Quite a few vessels that thank you.
Literally pick up call.
In that area. So we are affected by China.
China Besides.
So that can move both ways. So we really don't know what the policy is going to be.
Okay. Thank you very much have a good rest of them. Thank.
Thank you Dave.
Our next question is from Christopher <unk> with Arctic Securities. Please proceed.
Yeah.
Hello, and good afternoon. Thank you Paul and good morning, Thank you for the good.
<unk> presentation.
It seems like your timing on the acquisition in.
In Q4 was very good.
And given that.
Asset prices.
Tom.
<unk> continued to appreciate and I'm here.
Would you.
Consider selling some of the older vessels in your fleet.
No.
How do you see.
You see that going forward.
Yes.
<unk>.
That's a possibility as you say.
Not currently we're not currently considering.
Let's say, but we do have in mind.
If prices improve a little bit of a breach roofing.
Will happen, we think that the market is.
Going to be stronger in Q2, and Q3 than what it is now.
And that will result in higher earnings for the ships, but also.
Higher prices as we might take that opportunity to sell one or two of them.
Vessels.
But no decision has been taken along those lines yes.
Yes.
Okay, Okay, great. Thanks.
That's it for me.
Yes. Thanks.
Christopher.
Our next question is from Pavel <unk> with Alliance Global Partners. Please proceed.
Hi, Eric.
Concerts.
Just had a cutback both clear questions about clarification.
Eric you were talking about Poland, China or are you talking about met or thermal.
Both actually.
Okay and then when you when you talk about the first quarter FFA.
Dean.
Out of the money are underwater.
When I look at page six though there are a couple of year.
Basketball et cetera.
Trading at Tc rates or spot rates that are.
Well under the <unk> things.
Are they still under water you think for the full quarter or do you think.
Level out over the course of the quarter.
Take us higher charter afterwards, so combining both of these I think the evidence for every vessel is going to be above $10000. A day. Therefore, that's why we say that.
The hedge has negatively.
Negatively mid sea Doo during this quarter.
Okay.
Helpful.
That is correct lead it touches can correct me.
<unk> has really been taken in Q4 because.
We have to account for that vessel.
Yes, that's correct on the on the GAAP numbers.
The unrealized loss we don't.
This quarter, we will take it when it actually occurs during the first quarter of next year. So the unadjusted numbers the losses, there, but when we adjust them.
We exclude the unrealized losses these losses are unrealized.
So there will be reflected in our adjusted numbers next quarter.
Yes, those simply shift from unrealized and realized.
Either maybe in the game because of where you marked it at the end of the year.
Correct Yeah.
During the first quarter. The Margaret this is lower than it was at the end of last year.
The lawsuit would be less.
And then I might turn to.
The gains, but it seems like you have more vessels opening in the market with really out of the market will be strong job at all.
Yes, understood and you don't have any asset base that extended into the second quarter or the rest of the year correct.
That's correct.
And then every state is I think in your formal presentation or your comments you said that this quarter youre going to be close to breakeven you think.
Is that the total breakeven including.
Debt amortization, so like 12000 and change or is it closer to that.
EBITDA breakeven.
No I think around 12000 level.
Okay.
And then with the stock buyback program it seems like Youre buying stock at roughly an average price of $15.
Scott.
Good.
Then above that.
What's your stance on stock buybacks as we stand right now.
Stock over 20.
We will we will continue buying back stock because still the price is extremely low we would have been doing it more aggressively.
We see in the Stope was was high but unfortunately, the liquidity within the company the trading liquidity within the company stock.
He is very low which doesn't allow us to be very aggressive will know that both just spoke of.
Yeah.
Yes.
Guidelines, how much you can buy based on the trading volume, so and where we are trying to use.
Two great exhaust.
They're allowing the trading allowance, but it is small given our trading.
Liquidity.
Great understood. Thank you so much.
Thank you Paul.
Yes.
With no further questions I would like to turn the conference back over to Mr. Peterson for closing comments.
Thank you all for participating in today's call, we will be back to review in three months' time to discuss the results of the first scope.
Yeah.
We can.
Thank you Brooks will conclude the conference you may disconnect your lines at this time.
Sure.
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