Q3 2025 Aethlon Medical Inc Earnings Call
Good day and welcome to the Athlon Medical third quarter fiscal 2025 earnings and corporate update call.
Participants will be in a listen only mode should you need assistance. Please signal a conference specialist by pressing the star key followed by zero.
After todays presentation, there will be an opportunity to ask questions.
To ask a question you May Press Star then one on your Touchtone phone and withdraw your question. Please press Star then two.
Speaker Change: Please note. This event is being recorded I would now like to turn the conference over to Mr. Jim Frakes, Chief Executive Officer, as well as Chief Financial Officer. Please go ahead Sir.
Jim Frakes: Thank you operator, and good afternoon, everyone.
Jim Frakes: Welcome to Athlon medical fiscal third quarter 2025 earnings conference call.
Jim Frakes: My name is Jim Frakes, and I'm, the Chief Executive Officer, and Chief Financial Officer Beth on medical.
Jim Frakes: At 415 P M eastern time today.
Jim Frakes: One medical released financial results for its third fiscal quarter ended December 31 2024.
Jim Frakes: If you have not seen or received <unk> medical's earnings release.
Jim Frakes: Please visit the investors page at.
Jim Frakes: Www Dot Athlon medical dot com to view it.
Jim Frakes: Following this introduction and the reading of the company's forward looking statement disclaimer.
Athlons Chief Medical Officer, Dr. Steven the Rosa.
Speaker Change: And I will provide an overview of athlon strategy and recent developments.
Speaker Change: I will then make some brief remarks on the Epsilon financials.
Speaker Change: We will then open up the call for the Q&A session.
Speaker Change: Before we start the business portion of the call. Please note that the news release today and this is Paul.
Speaker Change: Forward looking statements within the meaning of the Securities Act of 1933 as amended and the Securities Exchange Act of matching 34 as amended.
Speaker Change: The company cautions you that any statement that is not a statement of historical fact is a forward looking statement.
These statements are based on expectations and assumptions as of the date of this conference call.
Speaker Change: Such forward looking statements are subject to significant risks and uncertainties.
Speaker Change: And actual results may differ materially from the results anticipated in the forward looking statements.
Speaker Change: Factors that could cause results to differ materially from those anticipated in forward looking statements.
Speaker Change: It can be found under the caption risk factors in the company's annual report on Form 10-K for the fiscal year ended March 31 2024.
Speaker Change: The company's most recent quarterly report on Form 10-Q, and in the company's other filings with the Securities and Exchange Commission.
Speaker Change: Except as may be required by law. The company does not intend nor does it undertake any duty to update this information to reflect future events or circumstances.
Speaker Change: Yeah.
Speaker Change: With that.
Speaker Change: We will now cover the business update portion of this call.
Speaker Change: Those of you that have been following our company may recall that when our board of directors. Initially asked me to handle the interim CEO role.
Speaker Change: In November 2023.
And then as permanent CEO in October 2024.
Speaker Change: Both in addition to my long term role of CFO.
I announced that I would focus the efforts of the company on oncology and on reducing operating expenses.
Speaker Change: I am pleased to cover the highlights.
Speaker Change: <unk> 'twenty 'twenty four quarter and subsequent events to date.
Speaker Change: Can you discuss how the results of that focus are really starting to show.
Speaker Change: I'm gratified by this progress and expect that our shareholders ultimately will be rewarded by our efforts.
Dr. Stephen the Rosa, our Chief Medical Officer.
Speaker Change: We will now give an update on our oncology trial efforts.
Jim Frakes: Then I will touch on our financials, including the improvements in operating efficiencies.
Speaker Change: Steve.
Steve: Thank you Jim.
Steve: Any progress that's been made in our Australian oncology trial of the Hemopurifier in patients with solid tumors.
Speaker Change: Day, three patients had been enrolled.
Speaker Change: Two patients did not advance to the Hemopurifier treatment phase of the study due to prespecified stopping criteria during the two month run in period.
Speaker Change: One it showed clinic a clinical response to anti PD, one therapy alone while the other experienced toxicity to be anti PD one agent.
Speaker Change: A third patient who did not respond to anti PD, one therapy completed a four hour hemopurifier treatment at Royal Adelaide Hospital on January 29, 2025.
Speaker Change: The treatment was completed with no device related issues or immediate complications.
Speaker Change: At the Prespecified day, seven safety follow up visit conducted on February four 2025. The patient was noted to knockout experienced any adverse events did not have any clinically significant changes.
Speaker Change: In the last safety laboratory measures.
Speaker Change: Samples were also collected before and after hemopurifier treatment to be analyzed for extra cellular vesicle removal and changes any anti tumor T cell numbers by the device.
Speaker Change: This data will be available once all three patients in this patient cohort are treated.
Speaker Change: One seven day safety follow up period has been completed on the three patients in this first study cohort.
Speaker Change: An independent data safety monitoring board in order to get the SMB will convene regarding advancing to the second cohort where patients will get to hemopurifier treatments during a given.
Speaker Change: Following the investigator meeting with the preclinical sites athletes received valuable feedback from the sites, suggesting protocol protocol modifications that could possibly improve enrollment speed.
Speaker Change: Reduced screen failures.
Speaker Change: Shortened the time to Hemopurifier treatments and the time to data.
Speaker Change: In response, the Athlon team swiftly developed a protocol amendment are cooperating these recommendations.
Speaker Change: Key changes made in the amendment included included enrolling patients only after they have been confirmed to not be responding to anti PD one therapy.
Speaker Change: This adjustment eliminates the need to identify patients within the first two weeks of starting anti PD one therapy.
Speaker Change: I'll also removing the two month run in period previously required to assess response to therapy.
Speaker Change: Additionally, restrictions on commonly prescribed concomitant medications that would not impact patient safety were lifted.
Speaker Change: The amended protocol also broadens eligibility due to include patients receiving all approved dosing regimens of <unk> and nobody mab, rather than limiting enrollment to patients.
Speaker Change: Specific schedule that those medications.
Speaker Change: The company is pleased to announce that the human research ethics committees noticed HR EC and research government officers known as our G. O have all approved this amendment at all three sites.
Speaker Change: The two currently active sites Royal Adelaide Hospital, <unk> private hospital.
Speaker Change: Can enroll under this amended protocol presently.
Speaker Change: The third site Genesis care Royal North Shore Hospital can begin enrollment under this amendment following a site initiation visit to be conducted this week February on February 14th 2025.
Speaker Change: The company continues to pursue approval of a similarly designed clinical trial in India.
Speaker Change: H Rec approval has been obtained <unk> City hospital and.
Speaker Change: And we are currently awaiting approval from the regulatory agency C. D S CEO in India.
Recent regulatory changes in India have introduced additional documents documentation requirements that were previously not necessary.
Speaker Change: As long as actively responding to C. D S. Ceos queries through the company's India Zero Qualcomm.
Speaker Change: Yeah.
Speaker Change: As a reminder, the primary endpoint of the approximate 9% to 18 patient safety feasibility and dose finding trial is safety.
Speaker Change: The trial will monitor any adverse events and clinically significant changes in labs of the hemopurifier treated patients with solid tumors, who have stable or progressive disease at different treatment intervals. After two months run in period of anti PD, one therapy, either keytruda or <unk>.
Speaker Change: People.
Speaker Change: Patients, who don't respond to the anti PD, one therapy will be eligible to enter the Hemopurifier study, where sequential cohorts will receive either one two or three hemopurifier treatments during a one week period.
Speaker Change: In addition to monitoring safety. The study is designed to examine the number of hemopurifier treatments needed to decrease the concentration of extracellular vesicles evs.
Speaker Change: And if these changes in EV concentrations improves the body's own natural ability to attack tumor cells.
Speaker Change: These exploratory central laboratory analyses are expected to inform the design of a subsequent efficacy and safety trial, including a pre market approval study known as the PMA study required by the FDA and other regulatory agencies.
Speaker Change: Currently only approximately 30% of patients who received <unk> as a matter of our no volume will have a lasting clinical response to these agents.
Speaker Change: Extracellular ethical produced by tumors have been implicated in the spread of the cancer as well as the resistance to anti PD one therapy.
Speaker Change: The Athlon Hemopurifier has been designed to bind and remove <unk> from the bloodstream.
Speaker Change: Which may improve therapeutic response rates to anti PD one antibodies.
Speaker Change: In preclinical studies, the Hemopurifier has been shown to reduce the number of EV and cancer patient plasma samples.
Speaker Change: The company is closely monitoring developments related to bird flu in the United States Marburg virus and.
Speaker Change: In Rwanda.
Speaker Change: And Ebola virus in Uganda.
Speaker Change: Avalon has direct experience with these viruses, having previously generated in vitro viral binding data for all three viruses.
Speaker Change: And treated an Ebola patient in Germany under emergency use conditions.
Speaker Change: <unk> will continue to monitor the situation carefully and be poised to respond to currently available treatment strategies are deemed ineffective.
Speaker Change: Finally, we have previously disclosed that we received samples from patients with long COVID-19 through the link known as the long term impact of infection with novel Coronavirus study cohort at the University of California, San Francisco Medical Center.
Speaker Change: He means including those containing Sars Kobe too have been implicated in the pathogenesis.
Speaker Change: And the resulting symptoms seen in long coke.
Speaker Change: Our research team has been testing these long cobalt sample to see if the proprietary G&A resin and our hemopurifier.
Speaker Change: <unk>, the evs and the patient samples.
Speaker Change: We plan to share this data in the future.
Speaker Change: With that I'll turn the call back over to Jim for the financial discussion and he will open it up for questions great. Thanks, Steve and good afternoon again, everyone.
Jim Frakes: Now onto the financial portion of our remarks.
Jim Frakes: Avalon has implemented strategic cost cutting measures to optimize company resources.
Jim Frakes: Enabling us to maintain a strong focus on the Oi impact oncology trials in both Australia and India.
Jim Frakes: These initiatives are designed to improve resource allocation.
Jim Frakes: Reduce operational expenses.
Jim Frakes: And support the continued advancement of our clinical programs.
Jim Frakes: I will keep our financial overview brief with a focus on key points.
Jim Frakes: For a more detailed analysis you can refer to the financial statements attached to our earnings release that just hit the wire.
Jim Frakes: Or and our soon to be filed quarterly report on Form 10-Q.
Jim Frakes: As of December 31, 2024 have long had a cash balance of approximately $4 $8 million.
Jim Frakes: Our consolidated operating expenses for the fiscal quarter ended December 31 2024.
Jim Frakes: Decreased by approximately $1 $8 million.
Jim Frakes: Approximately 50%.
Jim Frakes: <unk> to $1 $8 million compared to $3 $6 million.
Jim Frakes: For the fiscal quarter ended December 31, 2023.
Jim Frakes: This reduction was driven by a $1 $3 million decrease in payroll and related expenses.
Jim Frakes: A $300000 decrease in professional fees.
Jim Frakes: And is $200000 decrease in general and administration administrative expenses for G&A expenses.
Jim Frakes: The approximate $1 $3 million decrease in payroll and related expenses was primarily attributable to a reduction of $900000 in separation expenses related to the separation agreement with our former CEO.
Jim Frakes: That had been recorded in the December 2023 period.
Jim Frakes: As well as a decrease of approximately $400000 due to a reduction in head counts.
Jim Frakes: Yeah.
Jim Frakes: Of the approximate $900000 of separation expenses related to the departure of the former CEO.
Jim Frakes: Approximately $400000 related to the acceleration of vesting of stock options.
The approximate $300000 decrease in professional fees was primarily due to an approximate reduction of $200000 in legal fees.
Jim Frakes: Bolting from the transition to our new legal firm.
Jim Frakes: And a decrease of $200000 in scientific.
Jim Frakes: And operational consulting fees largely attributable to completed projects.
Jim Frakes: These decreases were partially offset by an approximate $100000 increase in investor relations and accounting fees.
Jim Frakes: The approximate $200000 decrease in G&A expenses was primarily driven by a $300000 reduction suppliers.
Speaker Change: Largely related to the raw materials and components.
Speaker Change: Used in the manufacturing of the Hemopurifier with no comparable purchases during the current period.
Speaker Change: Additionally, there was an approximate $100000 decrease in insurance expenses.
Speaker Change: Associated with the reduced headcounts and very various other operating expenses.
These reductions were partially offset by a $200000 increase in clinical trial expenses related to our ongoing clinical trials in Australia and India.
Speaker Change: As a result of the factors I just noticed I just noted our net loss decreased to approximately $1 $8 million in the fiscal quarter ended December 31 2024 from.
Speaker Change: From approximately $3 $5 million in the fiscal year ended December 31 2023.
Speaker Change: We included these earnings results and related commentary in our press release issued this afternoon.
Speaker Change: The release also included the balance sheet or December 31, 2024.
Speaker Change: And the statements of operations for the three and nine month periods ended December 31, 2024 and 2023.
Speaker Change: We will file our quarterly report on Form 10-Q, following this call.
Speaker Change: Our next earnings call for the fiscal year, ending March 31 2025.
Speaker Change: Will coincide with the filing of our annual report on Form 10-K in June 2025.
And now Steven I would be happy to take any questions that you may have operator, please open the call for questions.
Speaker Change: Thank you we will now begin the question and answer session.
Speaker Change: To ask a question you May Press Star then one on your Touchtone phone.
Speaker Change: If you're using a speakerphone please pick up your handset before pressing the keys.
Speaker Change: The time of your question has been addressed and you would like to withdraw. Your question. Please press Star then two and at this time, we'll pause momentarily to assemble roster.
Speaker Change: And the first question will come from Marla Marin with Zacks. Please go ahead.
Thank you.
Speaker Change: I would like I'm wondering if we can get a little bit more color.
Speaker Change: On the first three patients.
Speaker Change: <unk> enrolled in the study so the study is.
Speaker Change: Expected to ultimately enroll nine to 18 participants correct.
Speaker Change: So well.
Speaker Change: Well.
Speaker Change: Sorry, please continue.
Speaker Change: Joe.
Speaker Change: The fact that two of the of the people who had been enrolled did not proceed to treatment.
Speaker Change: I'm wondering whether the range of the nine to 18 mean fat.
Speaker Change: Was there any opex theres no opportunity cost in terms of gathering data.
Speaker Change: Or support of Hemopurifier no treatment because you can move closer to that 18 number or is that not the right way to look at it.
Speaker Change: The 9% to 18 Marlette refers to 19 nine to 18 hemopurifier treated patients. So to date, we only have one hemopurifier treated patients those two patients don't provide valuable information about.
Speaker Change: T cells in Evs over the course of their run in period. So.
Speaker Change: It's valuable data, but to your question you have to have nine to 18 hemopurifier treated patients it could be as few as nine non experience.
Speaker Change: A serious adverse event related to the device or a.
Speaker Change: Dose limiting toxicity. So it could be just three in each patient cohort or not but it's got to be treated with the device.
Speaker Change: Okay. So essentially the truth I did proceed.
Speaker Change: But there's no date upon women almost everywhere.
Speaker Change: Well you just have to add two other people at some point to that cohort.
Speaker Change: That's correct.
Speaker Change: Okay got it good Hum.
Speaker Change: Marlow following up on your question.
Speaker Change: The new protocol as Steve described.
Speaker Change: That eliminates the two month run in period.
Speaker Change: And only.
Speaker Change: Patients that are failing or neutral on their anti PD, one therapy keytruda or opdivo.
Speaker Change: It should simplify things so that too much running period goes away.
Speaker Change: So.
Speaker Change: They will all be the ones that qualify will be eligible.
Speaker Change: Right.
Speaker Change: Hello, everybody screen that goes through screening, we will go right into Hemopurifier treatment.
Speaker Change: Got it got it right.
Speaker Change: Yeah that that that that is.
Speaker Change: That's understood I will this new protocol will that also informs the trial design once you launch the trial in India.
Speaker Change: Yeah, we're gonna we're actually submitting the same I mean, you know what I have.
Speaker Change: <unk> started in India. So we have the ability to submit that same amendment to the.
Speaker Change: FX Committee, there and we're doing that so yeah, they'll they'll do the same exact study again the only thing the thing is there is looser.
Speaker Change: Requirements with respect respect the concomitant meds and dosing interval et cetera, and you get rid of the two month run in period. So you shortened the time hemopurifier treatment Sandy.
Speaker Change: Hopefully the time to data as well.
Speaker Change: Right. Okay got it and then my last question is if this is for you Jim.
Speaker Change: Hmm.
Speaker Change: The roughly 200 K increase in expenses related to clinical trial expenses.
Speaker Change: On the portion that is related to what Australia, I'm I'm thinking that perhaps that you know those are greater.
Speaker Change: Our percentage of that 200, K, what's related to Australia.
Speaker Change: You do expect to get 43% back on that question is that correct that's correct.
Speaker Change: It's the vast majority related to Australia.
Speaker Change: And yes any.
Speaker Change: Life Science oriented work in Australia, we can apply for that 43% tax rebates.
Speaker Change: The cash rebate.
Speaker Change: Tax credit is cash so.
Speaker Change: That's one.
Speaker Change: One of many reasons were doing it in Australia, Great science, great scientists doctors, but also those are very attractive.
Element that they have going for them.
Speaker Change: Right and would you. Please just remind us of the timing of that.
Speaker Change: When you yes.
Speaker Change: It's an annual submission I think we do it in.
Speaker Change: June quarter.
Speaker Change: Our fiscal year end is March 31st session. No. So that's also the.
Speaker Change: Fiscal year end for our Australian subsidiary So it's after we.
Speaker Change: Conclude the books for the subsidiary so.
Speaker Change: And that would be May June and we might receive the money well after that.
Speaker Change: Right.
Speaker Change: Thank you.
Speaker Change: The next question will come from Anthony Vendetti with Maxim Group. Please go ahead.
Speaker Change: Thanks, Good afternoon.
Speaker Change: So you have two sites activated.
Speaker Change: The third site is supposed to be activated this month.
Speaker Change: It hasn't been activated yet right. So it's gonna have you're expecting it any any any week now right.
Speaker Change: We will do.
Speaker Change: The what's called the site initiation visit on our Thursday, which is Friday and in.
Speaker Change: In Australia.
Speaker Change: As stated the 2014 within a day to two days they will be fully active to enroll patients recruit normal yes.
Speaker Change: Okay, and then hospital located in.
Speaker Change: It's the largest facility in north Sydney Royal North Shore Hospital. So they have a huge patient pool with a Stephen Clark, who is a well regarded successful investigators so we have great.
Speaker Change: Ben.
Speaker Change: Yes, it's funny.
A bureaucratic process, but we're through that so we have high confidence in actually the team and think that they'll be able to draw from a large patient base.
Speaker Change: That's great Okay.
Speaker Change: The largest hospital in Sydney's North Shore Hospital, that's great Joe.
Speaker Change: Do you do you believe then.
Speaker Change: With that third site activated.
Speaker Change: And Sidney that.
Speaker Change: The pace at which you could sign up it sounds like the pace at which you could sign up patients.
Speaker Change: Should accelerate.
Speaker Change: Once that hospitals activated right.
Speaker Change: We think that yesterday, they have a huge patient pool in their season growth. So we think that coupled with the fact that the previous two sites.
Speaker Change: Which are active and have approved amendment approval. They are already screening. So we think all three of those factors.
Speaker Change: Should protect should should increase our enrollment.
Speaker Change: So based on that I know its obviously based on patient but.
Speaker Change: Population and so forth but.
Speaker Change: Internally do you have a.
Speaker Change: Sort of expectation when you can get to that nine to 18 patient.
Speaker Change: Population is it is it.
Speaker Change: By the end of <unk>.
Speaker Change: Calendar 'twenty five hopefully sooner how do you how do you look at that.
Speaker Change: Yeah, I don't have specific estimations, what one would hope for you know.
Speaker Change: Sites, usually estimate of patient per month, but again that would be anything would be an estimate.
Speaker Change: <unk>.
Speaker Change: But you might have.
Speaker Change: Yes.
Speaker Change: We're in February So you would hope you would see a few patients over the next couple of months that we would get through we get through that.
Speaker Change: Cohort, which is the first big inflection point.
Speaker Change: And that kind of timeframe.
Speaker Change: Okay, Okay and then.
Speaker Change: Switching gears I know you made some comments about some of the other viruses and I know you've treating Ebola before but.
Speaker Change: I guess, the one that did.
Speaker Change: Seems to present the <unk>.
Speaker Change: Near term opportunity as we continue to learn about new bird flu cases, whether its livestock or.
Speaker Change: Different.
Speaker Change: Chickens, and so forth throughout the United States and some of those have been.
Speaker Change: At least for the farmers that have been treating or interacting with some of this this lifestyle.
Speaker Change: They have contracted bird flu do you.
Speaker Change: Sure.
Speaker Change: I know you've treated Ebola, but have you treated any.
Speaker Change: Bird flu cases.
Speaker Change: And.
Speaker Change: What do you think the you need the potential opportunity set of any any current procedures are exhausted you can be a backup but do you think that with bird flu.
Speaker Change: Theres, an opportunity to be as far as I know theres not any.
Speaker Change: Any other way to treat it so I'm not sure. If there is a first line defense, but.
Speaker Change: There are an opportunity for the hemopurifier to be our first.
Speaker Change: First line potential treatment.
Speaker Change: So it's a great question, let me first I'd be remiss, if I didn't say I misspoke about Marburg virus I meant to say Tanzania, its not real Wanda Tanzania. So I just wanted to clear up that but to answer your question about bird flu. So the current treatment strategy for people, who actually acquire humans, who acquire bird flu was uncle came of it which is tamiflu.
Speaker Change: However, there are some things that give one pause right about the long term success there the things we're seeing there has recently been identified.
Speaker Change: Viruses in humans or in <unk>.
Speaker Change: In cattle that have mammalian adaptations that mean.
Speaker Change: The virus has mutated such that it's more apt to be transmitted to mammals.
Speaker Change: Including humans. So that's that's that's of concern there have been previous reports of algo Tamara there resistance, so that could be an evolving.
Speaker Change: Issue and then most recently there was actually a cattle to human.
Speaker Change: Transmission, which was the first time that that's actually been described so there is some concerning things going on I think currently when you listened to CDC and I DSA.
Speaker Change: Webinars.
Speaker Change: The party line is still first line treatment is also camera there.
Speaker Change: Particularly in people in the hospital those warrant improving is to send samples off for resistance testing and its an evolving evolving story, we'll have to see where it goes do I see.
Speaker Change: Currently stands the Hemopurifier would not be a first line treatment, but if things go south.
Speaker Change: It would be something.
Speaker Change: We'd have to respond to what the regulatory agencies say about.
Speaker Change: Experimental therapy. You also asked has anybody been treated with bird flu with the Hemopurifier any human the answer is no. We only have at vitro studies.
Speaker Change: Okay. Okay, Yeah, no that's helpful and then.
Speaker Change: This is probably more for Jim but.
You significantly brought down expenses.
Speaker Change: Versus last year, approximately cut in half and definitely.
Speaker Change: Even from earlier this year.
Speaker Change: They've gone down to this.
Speaker Change: That's the question really is this $1 8 million sort of the new run rate, we should look at in terms of Opex.
Speaker Change: Or as you as you enroll more of these patients.
Speaker Change: Should that tick up a little bit from here.
Speaker Change: Well.
Jim Anthony: This is Jim Anthony.
Jim Anthony: I do expect G&A expenses to increase ramp up as.
Jim Anthony: The clinical trial in Australia and India.
Jim Anthony: <unk> progressing.
Jim Anthony: It will go up.
Jim Anthony:
Jim Anthony: We're in a direct way to hold the line on professional fees.
Jim Anthony: Payroll to the extent, we can we may need to add a few people.
Jim Anthony: Okay.
Jim Anthony: I've really cut back the head count here.
Jim Anthony: Sooner or later, we're going to have to step up a bit.
Jim Anthony: Okay.
Jim Anthony: It sounds like you brought it down to.
Jim Anthony: Sort of a bare bones level that you could but you know as the trial moves on obviously theres some increased cost with that and then you may have to add a few.
Jim Anthony: People Okay. Okay. That's helpful. I think that's fair that's fair.
Jim Anthony: Okay, Great I'll hop back in the queue I appreciate it.
Jim Anthony: Great.
Jim Anthony: This concludes our question and answer session I would like to turn the conference back over to Mr. Jim Frakes for any closing remarks. Please go ahead Sir.
Jim Frakes: Thank you again for joining us today to discuss our fiscal third quarter results.
Jim Anthony: And we look forward to keeping you up to date on future calls.
Jim Frakes: But.
Jim Frakes: The conference has now concluded. Thank you for attending today's presentation you may now disconnect.
Jim Frakes: Yeah.
Jim Frakes: [music].
Jim Frakes: Yes.
Jim Frakes: Yes.
Jim Frakes: [music].
Jim Frakes: Yeah.
Jim Frakes: [music].
Jim Frakes: Yes.
Jim Frakes: [music].
Jim Frakes: Okay.
Jim Frakes: [music].
Jim Frakes: Okay.
Jim Frakes: Okay.
Jim Frakes: Yes.
Jim Frakes: Okay.
Jim Frakes: Yes.
Jim Frakes: Okay.
Jim Frakes: [music].
Jim Frakes: Yes.
Jim Frakes: [music].
Jim Frakes: Okay.
Jim Frakes: [music].
Yes.
Jim Frakes: Yes.
Jim Frakes: Yeah.
Jim Frakes: [music].
Jim Frakes: Thanks.
Jim Frakes: [music].
Jim Frakes: Yeah.
Jim Frakes: Yeah.
Jim Frakes: Uh huh.
Jim Frakes: [music].
Jim Frakes: Okay.