Q3 2024 Simmons First National Corp Earnings Call

Speaker Change: Hello and welcome to the Simmons First National Corporation, 3rd quarter 2024 earnings conference call in webcast.

Speaker Change: All participants will be in listen only mode. Did you need assistance? Please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question you may press star, then one on your telephone keypad. As a reminder, this conference is being recorded.

Speaker Change: I would now let the hand the call to Ed Bilek, Director of Investor Relations, and please go ahead.

Ed Bilek: Good morning and welcome to Simmons First National Corporations 3rd quarter 2024 earnings call. Joining me today are several members of our Executive Management team, including our Executive Chairman, George MacRis, CEO Bob Feldman, President Jay Brogden and CFO Daniel Hobbs.

Ed Bilek: Today's call will be in a Q&A format. Before we begin, I would like to remind you that our third quarter earnings materials, including the earnings release and presentation deck, are available on our website at siminspank.com under the Investor Relations tab.

Ed Bilek: During today's call, we will make forward-looking statements about our future plans, goals, expectations, estimates, projections, and outlook.

Ed Bilek: Including among others, our outlook regarding future economic conditions, interest rates, lending and deposit activity, credit quality, liquidity, and then address margin.

Ed Bilek: These statements involve risk and uncertainties and you should therefore not place undue reliance on any forward-looking statement as actual results could differ materially from those expressed in or implied by the forward-looking statements due to a variety of factors.

Ed Bilek: Additional information concerning some of these factors is contained in our earnings release and investor presentation furnished with our form 8K today and our form 10K for the year ended December 31, 2023, including the risk factors contained in that form 10K.

Ed Bilek: These forward-looking statements speak only as a date they are made and Simmons assumes no obligation to update or revise any forward-looking statements or other information.

Ed Bilek: Finally, in this presentation, we will discuss certain non-gap financial metrics we believe provide useful information to investors.

Ed Bilek: Additional disclosures regarding non-gap metrics, including the reconciliations of these non-gap metrics to GAP, are contained in our earnings release and investor presentation, which are included as exhibits to the Formate K we filed this morning with the SEC, and are also available on the investor relations page of our website, SimmonsBank.com.

Ed Bilek: Operator, we are ready to begin the Q&A session.

Speaker Change: Thank you very much. We will now begin our question and answers session. To ask a question, you may press star, then one on your telephone keypad. If you are using a speaker phone, please pick up your hand set before pressing the keys. To withdraw your question, please press star, then two.

Speaker Change: We will pause them entirely to assemble our roster.

Speaker Change: Today's first question comes from Woody Lay with KBW. Please go ahead.

Woody Lay: Hey good morning guys.

Woody Lay: So it was great to see the opportunistic bonsail in the quarter. Could you just give us some detail in the thought process of the transaction and how you landed on the sizing of the sale?

Woody Lay: Yeah, I'll jump in with some remarks their way. This is Jay. I'm certain others may have some remarks on our side as well, but

Woody Lay: Really what I've thought with this has just been kind of consistently our thought process around it is, you know, very patient with the bond portfolio, evaluating opportunities when the market, you know, affords those to us.

Woody Lay: We have not, and we've said before, we'll reiterate it again. At least at this point in time, we have not sort of wanted to do a bond overhaul or kind of rip the band aid off approach on the bond portfolio. We think patients is a better virtue here. We balance.

Woody Lay: You know earnings in capital here and um

Woody Lay: Interthoughtful and try to be disciplined around the urn back. So all of those things kind of come into factor into the equation, thinking about sizing, timing, etc. Obviously rates came our direction in the quarter, 10 year in particular moved quite a bit during the quarter and so we were in a position to take advantage of that. [inaudible]

Woody Lay: What do you and others have probably heard us say before? We're very scenario rich when it comes to, you know, the way we look at the bond portfolio and all the analysis that we do and we saw the market come right into a number of the scenarios that we've looked at and feel like the transaction we put forward really is one that offers good economic returns in and of itself. [inaudible]

Woody Lay: Balancing the the size of the walls and a pro form of earnings implications and so all of those stores kind of aligned and that's how we put forward the transaction in the quarter.

Speaker Change: Got it, that's a couple color. Maybe shifting over to deposits and deposit pricing in the quarter. Obviously we've got the 50 basis point cut towards the end of the quarter. Could you just give some color on the deposit pricing trend sort of from a pre and a post cut perspective?

Speaker Change: Yeah, hey, really this is Daniel. So you'll note in the in the IP that we talked about our deposit costs. Speaking in June at about, you know, I would tell you it picked it's 281. For the second quarter we were at 279. Our top point was 281. We were at 281 for June July and August.

Speaker Change: and then we had the rate cut, we got 50 basis points.

Speaker Change: and so as you think about that impact of the pilot cost for the month September.

Speaker Change: That brought our total for September down to 275.

Speaker Change: We were already trending down, I'll tell you because we, you know, you've heard us talk about some of the...

Speaker Change: Management decisions that we've been doing, some of the testing that we've been doing. We've actually doubled down on a few of those tasks include.

Speaker Change: More markets, specifically around the money market, tests that we were doing, those have performed really well. So we've been forward leading, going into the rate cut on money market CDs, we've changed our standard pricing, we've changed our promo pricing, we've brought those down.

Speaker Change: And then the other part was broker deposit cost was trending down ahead of the rate move. So if you think about just the rate move itself, that was about.

Speaker Change: I'm called two to three base points of impact for the quarter for that third quarter. So we were already, like I said, we were already moving down the path of rates coming down from that two-edgy one peak, but the rate that helped us get there a little bit faster.

Speaker Change: And then just lastly, I mean, looking at the CD maturity schedule you provide, you've got a pretty large trance here in the fourth quarter. Can you just give us an idea on sort of the incremental repricing there and do you expect the CD to remain sort of short duration or do you expect the terms to sort of be increased a little bit?

Speaker Change: Yeah, so you know if you go back and look at the last 90 days

Speaker Change: and our CDs are maturing at a rate of about 440.

Speaker Change: are going on today. All in is in that race of about 3.97 close to 4.

Speaker Change: a pretty good tell in there in terms of your question on duration.

Speaker Change: Yeah, I mean we're pretty short and that right now and we would expect to keep that in the near-term relatively short The only thing I'd add on top of that was he is just, you know, yet to be seen we can all, you know, maybe speculate But yet to be seen what the competitive environment's going to be around deposits, whether we're talking about, you know, CD promo rates, et cetera I think one of the annuals are where your points is an important one

Speaker Change: we leaned a little harder in a broker cd especially kind of late in the quarter simply because you know a number of competitors were' keeping rates above broker rates and and we just n't willing to do that for kind of pot money in the balance sheet when we had better opportunities in the broker area and so i think the one the one ca the otudle just be what is the competitive environment look like for for deposits overall

Speaker Change: Yep, all right, that's all for me. Thanks to take my question

Speaker Change: Thank you. Thanks, Woody.

Speaker Change: Thank you. The next question comes from David Seester with Raymond James. Please go ahead.

David Seester: Hey, good morning everybody!

David Seester: We're David. Um, maybe just kind of falling up on that line of questioning and just, you know, look, you guys have been very active, both on managing assets and liabilities, right? You got the restructuring, you talked about utilizing brokerage funding instead of borrowings. You know, I know you're not looking for a rip the bandaid off transaction, but do you expect maybe more opportunistic and smaller repositioning especially as long growth comes? And then on the other side of the coin, is there any other opportunities to optimize the funding base, you know, especially with the FHLB advances maturing here soon?

Speaker Change: Yeah I'll take a shot at that at least out of the gate here. I think that the answer on the bond portfolio side is we're going to continue to be opportunistic and you know, you know, we-

Speaker Change: That's not to, you know, I don't want to get out over our skis. The opportunity is one we don't really control. All we control is preparation and preparedness and we were very prepared. We saw the 10 year come down to, you know, 380 range. It hadn't been there in a while and it shot right back above there soon after we did the transaction and so we stepped into the market and we're prepared to do so in the quarter and we will continue to be opportunistic. If and when the market gives us opportunities to do so for any bonds that we're evaluating to trade out of and David and Mama and that's really the key driver. I mean we are.

Speaker Change: Overall, and the balance sheet, we continue to focus on relationships from both the deposit and the loan side to your point. We're looking at both side of the balance sheet, but when I think about kind of brokered funding or wholesale funding in general, I think our ability to optimize those aspects of our liabilities is going to be really hinge upon duration and ability to pull forward duration and the bond portfolio and then of course the ability to continue to grow

Speaker Change: David, one thing I'd like to point out also on the security trade, you know, one of our parameters, many parameters that we look at is, you know, what is our current period earnings? You know, what are we going to, our balance sheet is, remain relatively flat as we're remixing the balance sheet. And one of our parameters is to really, what earnings do we have in the quarter after dividends to utilize for a bond sale? So that's one of the many factors we look at, and that's our choice of use of the capital today to optimize the balance sheet.

David Seester: Yeah, I might add one more thing to that discussion is, you know, the long end of the curve is going to drive the loss.

David Seester: and then the short end of the curve is going to drive, you know, the reducing of the wholesale funding. So with short end coming down, that's going to make it a little bit more challenging than we move forward and that earned that calculus. So that's something that, you know, we think about every day.

Speaker Change: Yeah, it's a good point. And then maybe just kind of putting it all together like just thinking about the margin side. I mean, he's screen moderately liability since it is, but curious, maybe.

Speaker Change: How do you think about the trajectory of the margin as we look forward? Obviously we got the 50-based viewpoint cut at the last meeting.

Speaker Change: But if I look at the forward curve, I'm just curious how you think about the margin trajectory, you know, you got the lag impact on repricing some deposits, but you do have some index deposits as well. I'm just kind of curious how do you think about the margin trajectory as we look forward.

Speaker Change: Let me take a shot at that. David, so I think let's start with a media time. I think even just looking to cue for, I think.

David Seester: When I'm looking at numbers, I think something even close to where we were in Q3 is probably a realistic starting point for Q4, and the reason for that is there's a lot of puts and takes in the quarter. We obviously get the benefit of continued asset repricing the full quarter benefit from the bond transaction where we only got about a half quarter in Q3. So there are some obvious positives in there in Q4, but something that we have been saying consistently, I want to remind everyone of, is there is a lag effect with the 50 basis point down move in September .

David Seester: You know we we we have probably as many or more assets repricing in the fourth quarter as we do odd abilities and so I think when we think about liability sensitivity

David Seester: really the inflection of that happens more notably into 2025 and so and then you've got to start thinking about what does the Fed do along the way as you start stacking rate cuts together so I think you know we're more probably a little more conservative or balanced in our view. Again acknowledging there's a lot of puts and takes here coming into Q4 but when we look out into 2025.

Speaker Change: You know, we think that increasingly through the year, especially if the Fed does anything close to what the dot plot or the forwards would suggest now, that we see some notable inflection in the net interest margin in the next year.

Speaker Change: Yeah, okay, that's great. Maybe touch it on the long growth side. I mean, look, long growth been modest. We've talked a lot about how your focus is shifted from growth to really profitability. But look, the pipeline built, rates are down, expectations are we could see improving loan demand. I'm curious, maybe what you're seeing on the growth front, the complexion of that pipeline, and your appetite for growth here, and maybe what you would expect to be some of the key drivers of your growth.

Speaker Change: Yeah, well first of all, thank you for you know pointing out something we say all the time You know we definitely are focused on you know soundness and profitability and growth and we say it when we say that We're focused on them in that order and we're seeing some good progress there. I'm very very pleased with

Speaker Change: some large relationship wins that we saw in the third quarter and I want to emphasize the word relationships.

Speaker Change: on the commercial side, and then just even all the way out through things that we're doing within the community bank more broadly. And so I think we're seeing some good progress and all those regards aren't appetite to grow.

Speaker Change: is as strong as it's ever been. I think our, you know, our filters around the soundness and profitability are also as taught as in strong as they've ever been. So we're going to continue to be disciplined.

Speaker Change: You know, we've indicated kind of low single digit growth throughout the year this year. I think that continues to come through and the numbers.

Speaker Change: as I look out in the next year, I'm going to be balanced, I think, in my remarks to you here on the one hand, I think the rate trajectory and the economy can stay strong, if there's a soft landing here from a macro perspective, then I think we're going to see demand increasing, and we're going to be ready to capture that demand. On the flip side, we're not seeing that demand yet. We're seeing optimism and some green shoots around okay, the Fed made it a good move in September . [inaudible]

Speaker Change: I think a lot of our borrowers and a lot of the demand out there, there's election uncertainty, they're still overall macro uncertainty and so we lean off the mystic, but that optimism hasn't started to firm up yet. We hope that it does and we're going to be ready for it in our time.

Speaker Change: God, terrific. Thanks, everybody.

Speaker Change: Thank you.

Speaker Change: Thank you. The next question comes from Matt only with Steven. Please go ahead. Hey guys, good morning.

Speaker Change: On the expense side, I saw the disclosure, some savings, some branch closings. It sounds like you want to reinvest that. Any color on those reinvestments and then just more broadly on expenses. We saw the core expense levels step down a little bit in the third quarter. Any color on expense levels in the near term. Thanks. Okay.

Speaker Change: Yeah, hey Matt, it's Daniel, so a little bit on the branch consolidation, so we're constantly reviewing our retail network and our strategy there, we're evaluating the profitability, the trends, customer usage, how that is the ball over time.

Speaker Change: and so we're constantly reviewing that and we're reviewing our markets and where we have density, where we have share, where we might need to add some branches so your question about where would we leave in invest.

Speaker Change: I was kind of put in a bucket of, you think about our better bank initiative. That's not all about cost reductions, there's investments into revenue that we're doing there too. We haven't put a finite 10 to that 3 million in how we would deploy that. We'll likely take some of the bottom line, we'll likely reinvest that. We have opened.

Speaker Change: I think what board an elbow this year so there's then some reinvestment there You know we always want to hire great banker when we find one

Speaker Change: We've invested in some of our back office function we talked about investments in procurement, which has driven future benefits to us. So we're investing all over the bank and you know, so.

Speaker Change: That's what I tell you about that. And then just the whole mindset that we are operating under is, you know, how can we self-fund our investments? And we've done a really good job of that, I think, over the last couple of years, you know, you look at the guide that we gave, which was kind of a 5.55.

Speaker Change: 560 in that room to remind you and I would say this a lot but I think it's worth repeating.

Speaker Change: That's down one to two percent from our Q4-22 annual hours run rate.

Speaker Change: So, you know, you've got a couple years of merit, high inflation, investments that we're making and we're still down one to two percent.

Speaker Change: I think, you know, as you think about that guy for this year, I think we'll come in on the probably below that.

Speaker Change: You know, we within that there's there's a couple of parts of that. There's things. Some one time or that have gone our way this year. There's also some things that we've done to have permanent reductions to expenses. We've renegotiated several of our major vendor contracts and that's body and body and benefit. So, you know.

Speaker Change: As you think about fourth quarter you're probably relative to third quarter there's probably a little bit higher in the fourth quarter just because there was a one-time benefit for some salary incentives, a cruise, and the third quarter, but you know I still feel really good about our guidance and we'll probably come under that five, 55 numbers.

Speaker Change: Okay, great. Thanks for the color there Daniel and then I guess.

Speaker Change: Hey now, together it just feels like there are some nice opportunities for some some nice positive operating leverage next year and we talked about the benefits of lower rates potentially we talked about you know maybe some long growth next year or some good cost as a plan and he just picked your thoughts you want to leave us with as far as achieving some operating leverage in 2020's us.

Speaker Change: yeah

Speaker Change: I'll jump in on that, at least initially on our side here, mad. I mean, I think you're absolutely right. Everything we're doing is to position, you know, the balance sheet and the bank, for positive operating level, and really stover all for scalability. You know, things we talk about.

Speaker Change: in turn we all the time. Things George drops us on from his seat, or really around, you know, how do we ensure that everything we're doing today puts us in a position to grow revenue faster than expenses going forward. And we feel...

Speaker Change: Pretty optimistic that we're poised for that in 2025 and again, increasingly through the year, given a lot of the remarks that have been made so far, and then ongoing in to 26. And so we'll continue to sharpen up our outlook, yet you know.

Speaker Change: and probably provide an outlook in our January earnings call, consistent with how we have historically, but I think the, you know.

Speaker Change: The liability sensitivity, the balance sheet, the opportunity we think we have to continue to be really disciplined on expenses. It's a have a nice shape in terms of the trajectory of our pre-provision that revenues and earnings going forward.

Speaker Change: Okay, thanks for that, Jay, and if I can sneak in just one more, you disclose, I guess, the index deposits are pretty material level there. Any more color on that? What are those index two and how quickly and how often do those index deposits replace?

Speaker Change: Yes, so those are generally indexed to have headphones and they're going to be priced.

Speaker Change: You know, immediately when the rate cut happens and so you know, we did see that and that was some of that benefit that we got when I mentioned that That three bases point looked on the quarter from from the positive production.

Speaker Change: Okay, perfect. Thanks guys, appreciate it. Thank you. Thank you.

Speaker Change: Thank you. The next question comes from Steven Scouton with Piper Sandler. Please go ahead.

Steven Scouton: I guess if I could revisit some of the discussion around the NAM I know Jay you said not necessarily ready to give specific guidance but you didn't know kind of this idea of a notable inflection for the NAM which

Steven Scouton: You know, could be some serious a pretty wide burst. I mean, we're 274 here. I mean, as you think about the possibilities for the near next year, I mean, could this move towards 3%? Is that too far of a road to hoe? Like how can we kind of frame up that, that, you know, notable inflection as we look at the projected fed pass? [inaudible]

Speaker Change: Yeah, I think what you just said is important to know, right? I mean what what the fed does is going to be, you know, material to any outlook we would have there, but if you just kind of follow the board words

Speaker Change: and assume the macro remains at least intact and I think we're on a glide pass toward three in the, you know, in the back half an extra for sure.

Speaker Change: The factors at the end of the day that we're really focused on even more than net interest margins.

Speaker Change: dollars of net interest income. We're really trying to focus on the balance sheet overall, you know, loan growth, as we've talked about, profitability, et cetera. And so, you know, again, I think we feel pretty good about our prospects for growing, you know, moving forward from here. But if you want to focus on an empty trajectory, I think it's fair to think of, you know, in a status quo or subject to all of the caveats of the market.

Speaker Change: Contributors that we don't control, but kind of follow the God path and the forward curve. I think it's fair to think that there's a 3% clip on them in the back half and next year.

Speaker Change: Great, that's extremely helpful, Jay. And then just as I think specifically about maybe deposit betas on the way back down, I think they're around 51% total on the way up. Do you think that's replicable on the way down or do you think we've had kind of structural changes in terms of customer perception that maybe creates a little bit of a headwind to achieving that same path on the way back down?

Speaker Change: Yeah, hey, Steven, I'll take a shot at that and others can jump in. If you think about that 51%, where we started from and where we got to, we went from, you know, 0% to 550 in a pretty short period of time.

Speaker Change: So I think it would be difficult to replicate a 51% on the way down.

Speaker Change: I think that's going to be determined by the volume of reduction in the frequency of the reduction. I think if the frequency is quicker, the beta might be more if it's more protracted, it might be less.

Speaker Change: Okay, great. That's super helpful as well, thanks to you. And then just lastly for me in a jet you touched on

Speaker Change: worried more about an eye-dollars and ultimately profitability which is clearly the right.

Speaker Change: Thought, Process, and Message. How do you think about profitability for the bank in the maybe near and medium term from, you know, we're looking at a 67 basis point kind of operating our way by my master's quarter, you know, what's what's kind of, you know, does it take till 26 to get to a one hour away? I mean, how can we think about the return to kind of peer and like profitability for you? Yeah.

Speaker Change: Yeah, I think what I'd say to that, Steven, is that, you know, in the intermediate term, the near-to-intermediate term, you know, we're fighting to get the margin back above 3%, we're fighting to get R-O-A, you know, back toward 1%. Those are not long-term targets, those are the more near-term targets. And again, we think we think we see, you know, pass that direction with, you know, extrapolating from where we are here on rate expectations. [inaudible]

Speaker Change: in macro background. Longer term I'm going to reiterate what we've said before. We think, you know.

Speaker Change: A good ROA for our balance sheet for where we are today is 125 or greater.

Speaker Change: We think that pencils out, you know, all of...

Speaker Change: the lower 50% type efficiency ratio.

Speaker Change: You know, we think that's net interest margin in the mid threes give or take those are those are areas where we think we can operate the balance sheet where we think that we can grow relationships within our within our risk appetite which is a conservative one. But we think that's a, you know, a very, very hot quality of earnings given the, you know, the retail base that we have. The long history we have in terms of, you know, discipline on the right and credit risk and we think we can, you know, generate some strong returns on tangible common equity by doing those things. So that's, that's, that's the targets that we're focused on as we move forward.

Speaker Change: Fantastic great color Jay and it's nice to see everything moving here in the right direction Thank you, Stephen

Speaker Change: Thank you. The next question is from Gary Turner with DA Davidson. Please go ahead.

Gary Turner: Good morning guys. What did that ask a question about the competitive nature on the lending side? You kind of mentioned that obviously the competitive dynamics on the deposit side kind of remains. You've seen another shake out. But, you know, your rate on the regular closed loans is quite strong. I wonder if you've seen given just maybe some more general economic optimism. Have you seen any change in stance for other banks in your markets from a lending perspective? A little more willingness to lend or greater activity there.

Speaker Change: Yeah, I think there's definitely, you know, more willingness to lend across, you know, across the industry, candidly, in terms of pricing. I want to go back to what I said though earlier.

Speaker Change: Um

Speaker Change: We're not seeing just a massive influx of demand yet, we're seeing optimism, we're seeing people who were delaying projects, or maybe even more interested in paying down debt than entering into new loans.

Speaker Change: Conversations pick up, but that's not really turned into demand yet. So I think there's willingness by us and the industry.

Speaker Change: in this rate environment to understand where that's headed. You know, we're going to be very relationship focused, so we can move over businesses operating accounts and other services alongside the loan. That's going to give us even more opportunity to be flexible in terms, and we're already doing that.

Speaker Change: But at the same time, to your point, thus far we've been able to maintain a really good discipline and still grow the pipeline for several quarters in a row, what we think is pretty strong pricing and we're going to continue to try to stay very, very focused there. But yeah, I think the industry to your point is going to be more flexible here.

Speaker Change: Uh, you know, on pricing and if we, if we sense really far-and-footing and can remove some of the uncertainty that's out there, hopefully that can convert into some demand and some, some, some continued, uh, increasing rows for, for all of the skillful we're here.

Speaker Change: Thank you. And then just as it's a follow-up to clarify something, so the billion of FHLB you've got to do in the fourth quarter.

Speaker Change: and a reference, I think, on slide 12, of the increase in worker deposits was that kind of just pre-funding, some of the, some of that I'm turning off HLB.

Speaker Change: Yeah, I do think some of what you see there is in and out of the FHLB quarter to quarter in and out between FHLB and broker funding that's that's one part of it another another part of it as I said earlier is even just some of the higher cost customer CDs we had where you know we were willing to let the hotter money portion of those balances go out to other banks that above broker greats and so those are the factors really that I would point you to we [inaudible]

Speaker Change: may be stepping away from your question and just reinforcing a couple of points.

Speaker Change: We continue to stay pretty short and duration overall on the liability side and we haven't really come off that post a couple of years ago we extended duration on the liability side We we're not in extension of duration mode

Speaker Change: um

Speaker Change: Right now, and in the other big point that I think the most important point is...

Speaker Change: We're really focused at the end of the day on just customer account growth and we've had customer account growth this year.

Speaker Change: I mentioned earlier in the call, we're very focused, while we'll let hot money walk out of the bank, we're very focused on retaining relationship dollars, very focused on core accounts whether it's a household account or a business or commercial operating account, and we're seeing growth in those accounts and big parts of our better bank initiatives are geared around continuing to grow and increasing the growth of those operating accounts. And so we're pleased to see that, you don't see it in aggregate numbers yet because of the factors that come into play in total balances with impact of inflation, people willing to chase rate right now.

Speaker Change: But what we do control there that's very valuable is growth and customer accounts and we are seeing that, for sure.

Speaker Change: Thank you.

Speaker Change: Yep, thank you, you're

Speaker Change: Thank you. This concludes our question and answer session. I would not like to turn the call back over to George MacRis for closing remarks.

George MacRis: Okay, nice stage of you for joining the Call of the Day as you've heard this morning. We're very pleased with our performances for the and the projectory of our trans. A better recognition of this for these good results so far and our team has been diligent in its efforts to improve our market penetration and deepen our customer relationships.

George MacRis: Sergeant C. Go's efforts play off and are encouraged about potential headed into 2025.

Speaker Change: sort of change in the subject we hope you'll tune in next week to the inaugural Simmons Bank Championship, PGA Tour Champions play off the band here in Lola. Tournament of the tell-byes, Friday, or Sunday on the golf channel.

Speaker Change: We're excited to be the title sponsor and we look forward to welcoming the world of Arkansas.

Unknown Executive: The conference is now concluded. Thank you for attending today's presentation.

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