LSI Industries Inc (LYTS) 2002 Q3 法說會逐字稿

Good afternoon, ladies and gentlemen. My name is Paul, and I will be your conference facilitator today.

At this time, I would like to welcome everyone to the LSI Industries third quarter results conference call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question-and-answer period. If you'd like to ask a question during this time, simply press star, then the number one on your telephone keypad and questions will be taken in the order they are received. If you would like to withdraw your question, press the pound key. Thank you.

At this time, I'd like to turn the call over to Mr. Bob Ready, the CEO and President of LSI Industries. Mr. Ready, you may begin.

Thank you, Paul.

Good afternoon everybody. Sorry for the slight delay. We kind of got cut off there and technology is wonderful sometimes - maybe not so other times.

This afternoon, we're going to change the format a little bit from prior conference calls. I'm just going to make an opening remark on the third quarter. I'll turn it over to Ron - Ron Stowell, our Chief Financial Officer is with us today. And he will go through some of the numbers and then turn it back to me so that we can discuss the fourth quarter and what we think lies ahead of us for 2003.

Needless to say, the third quarter was really a very very good quarter for us. Those who have followed us for the number of years, the third quarter is always a touch and go. We really had some very very unusual opportunities, some continuation of some of the programs, and the cost reduction programs that we put into effect a number of months ago are beginning to really show results. Even those there was a little bit of a shortage on revenues, the margins were better, the profits were better, and we're excited about the programs that we've instituted as an ongoing contribution to the success and the growth of our company.

I'm not going to go into any detail on any specifics. Overall, it was just about where we thought it would be. We are seeing a softness in our economy. We have felt a little bit of the results of that softness in the - specifically, in the - in the lighting. And we'll talk about the major rollout programs as it relates to the graphics after Ron's gone through his figures.

At this time, I'd like to turn it over to Ron Stowell.

Good afternoon, everybody.

Safe Harbor Statement - first, our remarks today will be related to our expectations with regard to a number of activities in which the company is engaged. Reliance should not be placed on such forward-looking statements because they involve risk and uncertainties, which may cause our actual results to differ materially from those which we are going to talk about or which we may imply.

Those risks and uncertainties are discussed in the most recent press release, which has been issued and in our forms 10-K and 10-Q filed with the Securities and Exchange Commission. We will not have any material non-public information to discuss today.

As Bob said, a great third quarter. It is a record of any third quarter for us we've certainly had. And other quarters had higher volume, but for a third quarter, this is in fact the highest.

Eight percent growth is all internal growth and - for the quarter. For the nine-months at $202 million, also a record, we had just about a 21 percent growth. And that obviously does include a little bit of acquisition growth from our latest two acquisitions of fiscal 2001.

Net sales by segment, first for the third quarter, Image Segment was just about 37 million. The Lighting Segment, about million. And each of those segments had, as reported in the press release, had some growth. For the nine-month period, $130 million for the Image Segment and about $72 million for the Commercial/Industrial Lighting Segment.

Operating income by segment, about 3.7 million for the Image Segment in the quarter, and about $600,000 for the Commercial/Industrial Lighting Segment. The half - the nine-month is - and this is operating income, million for the Image Segment and about 2.7 million for the Commercial/Industrial Lighting Segment.

For those of you that do track us and perhaps have some models, the number of shares for computing diluted earnings per share is maybe important and I'd like to give you that for the quarter. We had 16,085,000 shares and for the nine-month period, 16,021,000 shares. Cap ex is in fact the highest - perhaps the highest we've ever had. That's not a surprise. That's been tracking right along the - most of the spending of the nine-month period at $10.7 million.

Most of it has been in our new facility in New York for Lightron. The rest of the spending has been kind of normal tooling, some computers, some equipment, et cetera. Equipment especially in our - for us, a lighting business in Kansas City.

I think with that, any other numbers, I'll just respond to any questions that anybody may have, and I'll turn it back to Bob. Thank you.

Thanks, Ron.

I'd like to address the fourth quarter specifically and, of course, the fiscal 2003. I want to start off by saying again with everything that's been done here, our third quarter was an exceptional quarter. And our employees, especially, really really came together and pulling the quarter into a stronger level than even I anticipated.

We began to see a little bit of a softness and in our rollout programs on two specific oil companies. I'd rather not get into specific names of those companies only from the standpoint that information is not really relative to the name of the company. But the fact of the matter is is that they put a hold on their image program. For what reasons?

They're very - just to my assumption of what's going on, we've never been given really a strong direction. But they have indicated that this was going to be a very temporary hold - that things would ramp back up in July - starting in July. It - my guess is and I - and it's strictly a guess on my behalf, it is a combination of things.

I think that we've seen some activity and some additional acquisitions in the oil industry, which has given an indication, as always, that when you do something like that, there is a slowdown. These were smaller indications. We had some larger acquisitions. We had, specifically, just to mention one, Shell, I believe bought Pennzoil. Not - that was not one of our slowdown areas.

So in general terms, as we've indicated many times before, looking forward with these rollouts, it's very very difficult to estimate the strong time and the weak time until it actually happens. In some cases, in the last five to six weeks, we're actually starting back in early March, we started to see a little bit of a slowdown.

And then actually, we had in one specific area, where the particular accountant in direction actually put a hold on jobs were right in the middle of things. We've seen that before a number of times over the years. It's nothing that I'm concerned about. It's just again, one of those uncertainties that happen when you have programs of this magnitude. I am very very optimistic that these will pick up and continue on as we move into fiscal 2003.

I think something else that probably added to a little bit of this uncertainty with some of these slowdowns was definitely the situation in the Middle East. I think to some degree, that certainly has had an effect on some of the thinking of all the oil companies on what to expect in the future. We said that many times before that our biggest vulnerability, in my opinion, has always been the uncertainty of the Middle East. And certainly, that's a proven fact today.

The fact, though, is is that they are committed as far as we know, to an ongoing continuation of their re-imaging. We have a couple of other companies that are actually ramping up maybe a little bit faster than we originally thought. So there could be some offsetting situations here where a couple of other companies who are going to be doing a little bit more than we expected, and a couple of companies that are doing a little bit less than we expected from a temporary standpoint.

So it's been really a balancing act for us trying to maintain the proper level of inventory to provide the right services and it's effected our Graphics business more so than our Lighting business. Our Lighting business, obviously, we have a lot more flexibility as it relates to the overall market directions.

Certainly, we put a lot of pressure on our reps to continue on looking for additional business. Our cost improvement programs are allowing us to be more competitive where we need be. But from a graphics standpoint, as you all know, those are primarily Image programs that are tailored made to that customer. And obviously, when they put a hold on a program, it really goes into a hold mode. We're always looking for additional support or additional business no matter what our condition is.

But for the third quarter and just a softness going into this fourth quarter, we think the third was strong. The fourth might be a little bit soft. And yet, that's still yet to be known because as I have talked to our divisions, many of them say that they feel that May and June might be a lot stronger. It is just so difficult to tell right now because of our backlog of only being five to six weeks. It's a very very difficult forecast to put together.

But the general condition is a very positive one. We have made a lot of inroads in some major areas that we are focused on to look to the future of increasing our business. We are very active on the acquisition trail right now. We do have a company or two that we have major dialogue - one specifically. And all of these are related to strengthening our lighting business.

Certainly, from the focus on our graphics business, one of the major investments that we've made is a new digital printing press that is now up and running at Grady McCauley. We think that that's going to have a major effect certainly from the cost side based on reducing our cost. And certainly, giving us even more versatility and capability than anybody in our industry as it relates to the graphics side or the printing side with this new digital piece of equipment that's called...

.

... . And it's quite a - quite a piece of equipment to see.

As we look overall into the graphics business, certainly there's a lot of effort there to expand into our business. As I relate to the softness in the oil companies, it's really related to the - to the company-owned stores. And so, our focus now is to get more involved with the business because I don't believe that they're going to be quite as effected. There may be some softness there until the managers finalize exactly what they're doing.

But overall, I think we have some great opportunity. And I don't think - and I hope, that our shareholders don't feel that things are changing much. It's just a move at time and so I am being very optimistic as - so I look into the future based on everything that I know today.

We are continuing on looking at new product development. A major emphasis is into our outdoor lighting line as well as indoor. A new piece of equipment that we've invested from MidWest is just now coming on stream this month. We believe it'll make us in a much - put us in a much more competitive mode for some of the high volume - lower cost, as we call, proper lay in business, which is really the bulk of the interior fluorescent line.

Some of our slowdown that we experienced in March, of course, is the beginning of the shipping of the Litron plant where our new plant is almost complete. We're waiting now for a certificate of occupancy. Our new powder coat line is in the process of being installed. We are really looking forward to moving from the old facility into the new facility. And I think once we get that up and running, which should be in the next 40 to 60 days at the most, we feel that that company is going to be major contribution to the improvement of not only our revenues, but certainly our margins, because of the new efficiencies that have built into to the new plant.

So in general, even though our forecast for the fourth quarter is a little bit less than what it was originally estimated. We think that's very temporary. We think that the programs that we have in place are very strong.

We feel that the investment that we've made in certain pieces of technical equipment are going to continue to improve our ability to improve revenues as well as reduce cost. We are focused on the highest level of our implementation of our J.D. Edwards program.

The Cincinnati operation, it looks like that'll be up and running sometime in September, and then we'll move into the smaller divisions, which will only remain three or four of the smaller companies to come online. We feel that that, too, is going to have a great benefit as we move into these - into some of these new projects and programs.

Last but not least, from the standpoint of looking at our acquisitions, we do and feel very strongly that one or two companies are going to definitely be put in place sometime before the calendar year is over. And we feel that they will add to or strengthen our package as we look at the commercial/industrial business with a - with a straight - with a straightforward very aggressive plan of going after some additional business in that segment.

That's kind of a quick overview of where we are. And I would like now, Paul, to open it up for question-and-answers if we may, please.

Certainly.

At this time, I would like to remind everyone in order to ask a question, please press star, then the number one on your telephone keypad.

Your first question is from Mr. Rick of Columbia Management.

Yeah - it's Rick .

Hi, Rick.

Hi, guys.

Bob, one thing you didn't do is quantify some of the push outs. And it sounded like there's more than two but...

Well, actually, there's only two, Rick...

... that we're aware of now.

OK - there's two push outs that get hopefully restarted in July, is that what you're saying?

Actually, what I failed to mention, is the direction that was given to us was July. Some of them have released a little bit now and that's difficult to read, Rick. I don't know truly what's going on until we start to see a continuation on a normal rollout. So it's very difficult for me to give you an accurate answer. But it's not more than two of our - two of our customers that have actually put this in a slowdown mode.

And these are graphic heavy...

Yeah, more graphic than lighting. Of course, the lighting would be effected if they're not going to spend much money on the - on their image. But as I've said the major re-imaging that has been started has been more interior than it was necessarily exterior, with the exception of BP, of course. BP has had both an exterior and an interior. But as I've - as I've indicated in the past, the interior business is obviously going to be the greater part of that due to the major changes they're making in the convenient food-storage area and some of their identification concepts.

You don't think this is another change in the image?

No, sir, I do not. I...

So you think that's fixed right now?

Absolutely do not. I think the image is set. They pretty well know what they're doing. I think there may be a combination of some cash that they're - that they're may require as they look at some of these acquisitions that they're involved in. And I think - this is strictly my opinion now, and I think that there may be an influence here a little bit on what's going on in the Middle East. Certainly, with Mobile's announcement today that their profits were down and their sales were down. Certainly on the gas side, the natural gas, is an indication that the price of gasoline today is lower than it was a year ago, and the oil companies are feeling some of that.

But I honestly feel, based on all the information that we have, that these image programs are going to continue go forward. I think they have to. I think that they started the conversion, they've been primarily all company stores, they've got their jobbers lined up, and I think the jobbers are looking forward to this. I think it's just the matter of again, an industry that does go up and down periodically and that's one where the - where the difficulties that we have.

And I - and I strongly feel - and I mean strongly feel that the image programs aren't going away or changing. It's just a timing again, that these companies are going through. And I think they'll continue on in the first part of our fiscal year.

What - can you quantify what you're expecting to capture from these two guys that ...

Well, I think - I think that when you looked at our analyst forecast, that we were feeling fairly comfortable that these programs would continue on at the pace that they were based on those numbers that were released. We had a little bit of a slowdown in the third quarter with our Burger King rollout. But that's starting to take back up. That had nothing to do with anything other than timing issue with the winter.

And again, those are difficult things to anticipate based on a franchisee planning to do something in a period and maybe in that part of the country, the weather wasn't quite right. We had a lot more - we didn't have a lot of snow this year, but we did have in some areas more rain. And that, in essence, is actually worse than having snow based on installation of exterior products. But that's continuing to pick up nicely now.

So, you know, we feel really comfortable and the fourth quarter could be a little bit better than we thought. We just don't know based on a couple of these companies that we were kind of right in the saddle with, and product was going out in a normal pace based on forecasts and what was going on. And then, I mean, we actually had a situation where jobs that were ongoing in the field were stopped right in mid-stream. That's happened before.

You know, I've been doing this for so long and that surprised me when decisions like that are made. You'd think they'd at least finish the job. But that's the way this industry is and we've learned to accept it and understand it and we're certainly not panicked over it. And to be honest with you, we're really not that concerned that next year isn't going to continue with the way we feel, and we have - we're certainly prepared for it.

OK - in round numbers, is it five million or so that got pushed out or?

Yeah, probably a little bit more, Rick, based on the way things were going. I mean, we had an excellent January and for February, it was pretty much on stream. March was the surprise. It kind of - it kind of slowed down very rapidly. The month of March since we started to see this, we obviously pushed hard for other business and we're going to continue to do that. And how much of that we can get is unknown. But certainly from the standpoint of the programs, we're well intact. It was a little bit higher than that in all probability as far as the slowdown is concerned.

OK. And then lastly, as it relates to, I guess, last minute changes in production, are you riding with excess inventory as it relates to that? Or are you - do you have to slow down production which impacts margins? What is the, I guess, the ancillary impact?

I think we're comfortable with inventories. They might be up a tick, but I don't - I'm not concerned about them. Understanding that these programs that we have are custom programs in the printing business, so there's not necessarily a lot of inventory there. We have the reaction point with these two major investments in equipment.

If you remember a year or two ago, we invested in what we called the from a screen printing capability. And then we have this - now this new digital capability. From a lighting inventory level, we have - we have moved into what we call more of a select program. And that means that we've gone from a - from a build to - a build to - what's the word I want? It was a build to order basis into a stock basis, which is the direction in the industry is going into so that we can shift within 24 hours. So we've accomplished that with what we call our Quick Ship Program. So that we'd ship your inventory dollars a little bit. But it's all in high moving goods.

We've been very diligent and very very careful on our inventory investment. We've worked closely with our vendors. We have strong partnerships based on being sure that we're maximizing on our cost and getting the best turnover from our vendors as well.

So I think overall, if you look at our balance sheet, it's very strong and healthy. From an inventory standpoint, there's no concerns at all from our behalf that we have any major investment in inventory. The one area that we did caught - get caught with some inventory, you're all aware of that, was the - was the Kmart situation. We're working with Kmart. We are shipping Kmart now on opposed to filing a Chapter 11, and we're working that as time goes on, we can work some of that inventory out. But that's all accrued for. That's all included in the numbers.

So overall, inventory is pretty healthy and I mean, healthy in a good way.

Rick, we certainly are producing at lower levels than we would have been had those programs been continuing at the moment.

One of the things that we did do is we took out a second shift in our lighting division. We moved the people into the first shift. As you well know, we have a percentage of what we call temporary employees. We cut back on those folks to accommodate for the second shift folks, and that's reduced some cost. And then if the volume gets back into a position where the second shift will be put back in place, the people are still here, and everything will be - will move right back into place as it always has.

We think we've managed this very well. And the important thing is, is that this is not new to us. I mean, these programs that come and go that have these timing issues, we live with it every day. We know - I think we know how to - how to handle them. And if you look at the numbers, I think that we've accommodated the balance sheet in a very strong manner. And the nice thing is that as the volume continues to pick up, the programs that we've - that we've initiated in cost reductions, I think, are going to have impact on the bottom line in a very very positive manner.

It also puts us in a position by these cost reductions to take business that is lower margin business - yes. But if you look at our peers, if you compare ourselves to what else is going on in our industry, LSI Industries is very strong, has done very well, and I'm very pleased that we're in our position and not theirs.

OK - thanks.

Next question is from Mr. of Friedman Billings.

Hi, guys - yeah, I'm sitting in for Ned today, and I just had a few questions.

It seems like you're doing a good job on the cost reduction plan. I'm just curious where as far as SG&A as a percent of revenue, where you're comfortable at? How far you can get that down? And did you have a specific inventories number for the quarter? And also, as far as the market share, where do you think you are right now, and where do you think you could take it into '03?

How many hours do you want me to take ? Let's start from the back forward. Market share - we feel obviously in our niche markets that we've certainly maintained our market share maybe even improved it a little bit. And that - those are hard numbers to really estimate because they're no hard numbers out there that the industry has to compare ourselves to. We really go by customer list and the involvement that we are with programs. That hasn't changed a bit. If nothing more, we've opened up some more for newer customers especially through our rep aggressiveness in our niche markets.

The second question in reference to inventories...

Yeah, I'm just curious if you had a specific number for the quarter yet?

Sure - oh, yeah. We're just over 40 million. We're up about $5 million from the end of the fiscal year nine months ago.

And in terms of - yeah, your first question was where are we comfortable, where could we drive down SG&A costs? The answers is going to "that depends". There's certainly a lot of product mix issues there.

Right.

One of which, probably a significant part, is where we have large menu board programs, the selling cost are lower than our - than our selling cost in say the lighting business, because there is no commission involved, it's a direct sale. So when the mix of menu boards sales are up, then our percentage of SG&A cost is driven down because of that.

And certainly, the mix that we've had in the third quarter was a slowdown of some of the other - the two image programs that Bob referred to and just a general third-quarter slowness because of the weather and so on in the lighting business. But yet on the menu board business, relative to the volume strong and that's going to drive SG&A down.

Our cost reduction programs that we've - and cost containment that we're working on, you know, does effect the whole geography of that income statement, both the manufacturing overhead as well as admin and selling cost. So we're working hard in all areas in that - in that regard.

And, you know, there's obviously limitation in how much you can drive in cost. And I've been a very prudent manager as reference to cutting back to the quick and not having to ramp up when these programs come back in place. And so I've been very reluctant to cut much overhead and I haven't, to be honest with you. But what we have done is put focus on areas that we have expenses that we can manage better.

And the other thing that I think will effect an improvement on that side is the introduction of new products. Some of our products and the more successful ones that have competitive direction obviously it gets squeezed as time goes on. A good indication of that is the Scottsdale product. It's been out for - it's one of our most successful products. It's been around for six or seven years. There's obviously pressure from competitors trying to find their way around the patent and so forth we have, and there's pressure on that.

But as time goes on, looking at what LSI has been very good at is bringing on new products at the right time at the right place that brings back into play a little better margin. And as our - as our competitors are trying to work around some of the older type products, we're very much in the front of developing and bringing new products.

That concept of developing and bringing on stream new products was instituted almost nine to 10 months ago. And we should see the results of some of those new products coming out in our September quarter - October quarter, in that period as an introduction. And we feel very strongly that these products are going to have an impact - an improvement. And will - and will certainly effect our product mix based on having a higher margin product.

So again, as Ron pointed out, those are difficult - a difficult answer to actually level a direct answer to you.

Right.

I think if you look at our history and follow the direction that we've taken, we're very cognizant of those areas. We've watched them very closely, we plan accordingly, and we've developed products accordingly based on where they will fit within the growth of our company. And we've been pretty successful with that.

I think, too, that this equipment that we've invested in - and let me say that, from the Litron side in bring in a new plant, a much higher efficiency manufacturing operation will be - will be instituted. A new operation is in that's going to improve the efficiencies. The MidWest operation with some of the management changes that we've made, and the new equipment that we've installed there that should be on stream, and the tooling should be on stream, as I said, by the end of this month and up to full capacity capability. All those things, we think, looking forward are going to improve the profitability of our product line.

OK - thank you.

Thank you.

Our next question is from Mr. Steve of Robert W. Baird.

Hi, fellows.

Hi, Steve. stowell: Hello, Steve. keene: Burger King - you mentioned in the press release you expect it to essentially run through the end of calendar 2002.

Right.

Could you give us some idea as to how much in revenue is that producing in a quarter? And how do we replace this because it appears to be very profitable?

Well, it is. And I'm not prepared to mention numbers per se, Steve. The program has been a very good program for LSI. We believe that it will probably come to a completion in December. We're looking at the international side of it - of that opportunity now as well, and we have for the last quarter or two, and we're seeing some improvement there.

We do have some programs that we're working on to replace that business. Will they replace it in total? I probably doubt it. But on the other hand, with some of the other things that we're doing with some of the other divisions, we think there's a balance there.

That Burger King program is kind of one of a kind and certainly, we've been, you know, we faced the reality that when you have a program like that, and one day it runs out because you've completed the project. And what do you do to replace it? So I don't want to get too detailed on a public conference call on how we're going to replace that business.

But we do - we certainly are aware of it and we are working toward a direction that will help offset that. But then it becomes a corporate problem rather than just the LSI Image problem based on the balance of how all the numbers are going to come together, and where the emphasis is with some of the other divisions on newer opportunities that LSI Images might not have.

Will the oil company business more than offset it?

Some of the programs really - yeah .

You can't give us any size on these, can you?

Yeah, I mean there's some - there's some big ones out there. There really are. And it's just now, it's frustrating when you really kind of - I say "get in the saddle". Because I think we climbed in the saddle, things were working very very well, and then they have, you know, you come in the third quarter. You know, things are going to slow down so we make every push, every aggressive move. And then as you start to work out of the third quarter, then there's a couple of - couple of key customers that say, well, I think we're going to put the program on somewhat of a hold for the next couple of months. And we'll ramp back up in July/August area and, you know, that kind of takes the winds out of you - wind out of your sails because we have been moving so aggressively forward.

But again, I will emphasize this and I will say it in a very strong manner, I really believe it's very temporary.

Steve, just as a barometer on how much the Burger King business was, if you recall, last quarter, they were a major customer and I think for the quarter, we're something like 10 to 11 percent of sales. And or maybe - and for the half, 13 or 14 percent of sales. So for that , you know, that is public information already. And I can - I will tell you that they were not a 10 percent customer in this third quarter.

They were not?

Right.

We do - we do know that we have challenge ahead of us, Steve.

How is the Wal-Mart business going? Have you seen anything out...

The Wal-Mart's business is just kind of the way it's been. I mean, they're a very good customer. A little bit of a slow down in third quarter as most construction periods. We feel that based on request for applications, that will improve as our regular day-to-day business should with the - with moving into the - actually the fourth - you know, and that's the hard thing is that some of the numbers that we're looking at, do take into consideration some of the obvious opportunities rollout programs. Our day-to-day business is continuing on it's normal pace. The day-to-day business on the quarter - on the third quarter was normal. Where we actually were able to make the numbers is putting a very aggressive plan together to go after some of this other business out there. As limited as it was, we really put the hammer down on our agents and we went after all of the jobber business that we could get.

You know, what's really an interesting reflection, when you have - when you have a sales force like manufacture reps in our niche markets, we're not big conglomerate reps like the ones that are in the commercial business. Those guys get hungry, too, and when they see their business falling down, they have a multiple number of lines that relate to the service station and the convenient food store.

And of course, there's a bigger impact when they're building fewer canopies or buying fewer pumps. And where the - where the opportunity comes is lighting is so much more, let me say, easier to sell, is more flexible to sell.

And therefore, there's more and more effort put forward in a slower period so that the lighting be it really sustains the reps. And we really put some programs together and we kicked all of our regional managers out in the field, and we had sales calls, we had sales meetings, we had people in visiting our new marketing room. And all of those things started to really show benefits from the standpoint that we were able to have the best third quarter in our history.

And we're not stopping in the fourth quarter. We certainly haven't thrown in the towel. We just wanted to give the market a heads up that if these - if these two programs didn't ramp up right away, that there could be a - we could fall short of our estimates. But we're going to put all the pressure that we have on the bottom line in the third quarter. And if the revenues are off a little bit, we're hoping to make some of it with these cost reductions, and then we move into fiscal 2003. And if these programs ramp back up, with all the things that I've said, we feel very strong about our future. keene: Thanks.

There are no further questions at this time, Mr. Ready.

Well, I'd like to conclude, everybody. Thanks for taking the time and visiting with us today. As always, if you have any other questions, Ron and I will be available. Unfortunately - no, I will be here tomorrow morning - Thursday I will not. I have another board meeting as a director. But I will be all day tomorrow if anybody has any questions, please feel free to call us.

I want to thank everybody for their support and I look forward to 2003. And believe me, if some of these programs start to pick up sooner, we'll let you all know because we'll be very excited with some of the things that we've got now to have those programs in addition to that.

With that, I'll conclude and wish everybody a good day.

Thank you.