Jeff Osborne: Yes. Thank you. I just had two quick ones. One is on your Spain business. I was curious what you’re seeing there? And I think couple of quarters ago, you had some challenges on the EPC side of the business there. I was curious what initiatives you put in place to improve the profitability on that front?
Kevin Hostetler: Yes. So, Jeff, one of the simple things was that the challenge that our end — so remember that the challenge in the Spain business really came out as they attempted to do some construction projects in the US following some of their Spanish customers that do global installations to the US at the request of that customer in particular. And they just didn’t have the experience to how to operate in the US, right? So, a few things we’ve done. So, first, we have through our partnership with now Array and STI working together, we’ve assigned several Array team members to support those projects and to serve as Project Managers in region to help with hiring of labor, management of that labor, negotiating with the unions that we would need on some of these projects, and all of that.
So, that’s part of it. I would say the bigger benefit came as a result of the end customer not being able to have a steady supply of panels. And in our contract that lack of steady supply of panels that created a time break in the program, contractor allowed us to go and renegotiate some of those labor terms or what have you that the team originally signed up for that we’re not the best, right? So, that’s part of what you’re seeing here. And as we go to complete those projects, they’ll just be under a better set of terms. Now that we had a great — much greater understanding of the complexity of the projects and what’s needed to bring them to fruition.
Jeff Osborne: Got it. That’s very helpful. And my follow-up is on a completely different topic. But on the backlog developments that you’ve had in Q4 and Q1, are you actually having conversations around 24 deliveries yet? Or are folks developers waiting for the IRA clarity to be announced to have that visibility in place?
Kevin Hostetler: Yes, we’re doing both. Obviously, we have customers as we continue to discuss that are talking about larger programs of gigawatts of business over the next several years. Those are conversations that are ongoing. I think some of those programs are coming through and others are just waiting for that clarity as they determine to what degree they need to put, how many eggs in a raised basket depending upon, for example, the domestic concept provisions.
Jeff Osborne: Are they putting deposits on those multiyear orders or no?
Kevin Hostetler: The deposits will stay in the same format as we have today, meaning there will be some minimum requirements annually, for example, on these contracts, almost like a take-or-pay on a minimum basis. And then the deposits come as we sign up those individual projects that pull down from that overall volume commitment.
Jeff Osborne: Thank you.
Nipul Patel: Just a little clarification too is that our orderbook is — would only be — would only keep the system named projects. So, what Kevin’s talking about are things that we’re getting into, but they’re not in our orderbook at this point.
Jeff Osborne: Yes, absolutely.
Kevin Hostetler: And that’s a clear distinction we want to make sure that everyone on this call understands is that our orderbook, when we say orderbook, does not include volume commitments that don’t have very specific either awarded or contracted named projects.
Jeff Osborne: But if I’m hearing you right, you have MSA agreements with developers that might go out three or five years, but named projects might only go out 18 to 24 months. That’s the right way to think about it?
