Timur Braziler: Okay, I understand. Thank you very much for the color. Appreciate the questions.
Andy Harmening: Thank you.
Operator: Thank you. Our next question comes from the line of Chris McGratty with KBW. Please proceed with your question.
Chris McGratty: Hey, good morning or good afternoon. Just a quick one on the capital change on Slide 16. The bump up in the high end, Andy, is that just a function of where you’re running nine months through the year or are you trying to signal that you’re looking to run a little bit more capital in this kind of economy?
Andy Harmening: Chris, I wanted to answer your question. Derek literally called me off right here.
Derek Meyer: I didn’t know such thing. The question we would have gotten if we didn’t move it is, oh I see you’re above your target range because it was 9.50% before, is are you going to do a buyback? So we’re not. So we bumped the high end up. It’s as simple as that.
Andy Harmening: He really did want to answer that question, Chris.
Chris McGratty: It took 52 minutes, sorry. Thanks a lot.
Andy Harmening: Thank you. I think we have one more in queue. Ben, do we know? Alicia, you there?
Operator: Yep. Sorry about that. The next question comes from the line of Brody Preston with UBS. Please proceed with your question.
Brody Preston: Hey, good evening, everyone. How are you?
Andy Harmening: Good, Brody.
Brody Preston: Hey, so unfortunately, like John, I also travel a lot. And so I’m in an airport right now. So if there’s background noise or if you can’t hear me, I apologize in advance, all right?
Andy Harmening: No worries, no problem.
Brody Preston: I wanted just to quickly ask you about the fees. I know you maintained the guidance, but just given this quarter’s results, when you kind of flow through the guide, it implies a bit of a step down in the fourth quarter, and I just wanted to know if there was anything specific driving that?
Andy Harmening: There’s not. We’ve had pretty strong mortgage fees the last two quarters related to MSR evaluations going up. That won’t continue at that level, but otherwise there’s no specific guidance that would suggest a step down from our standpoint.
Brody Preston: Okay. And I also wanted to just ask, generically on the loan book, if you could give us the portion of the loan portfolio that is shared national credits and of that what [are the] (ph) lead agent on.
Pat Ahern: In terms of the makeup of our SNC portfolio, the largest concentration of that portfolio is within both power and utilities in our REIT business. Both those lending verticals reflect the successful business model we’ve had there for many years. Those lines of business, as well as the full SNC portfolio continue to perform very well from a credit standpoint. So we’re happy with it. We view SNCs as something that we review both on the front end very specifically to make sure it fits the business model. And we’re doing — we continue to do, from an underwriting and portfolio management standpoint, we do the same from a credit standpoint with those deals as direct deals.
Brody Preston: Understood, that’s great color. Do you happen to have what portion of the loan portfolio it is?
Andy Harmening: Yeah, Brody, that’s not something we disclose. And with regards to what were the lead in, for me, when I think of it, we’re trying to lend into industries and customers that we understand. And with that, we see this as a fairly low risk portfolio. From my perspective, the question I have for the team is not that would we get out of these credits from a risk standpoint, but would we get out of these credits from a return standpoint? And so we’ve spent the last, I don’t know, four months looking credit by credit across all of our portfolios. And I see credits in every single — almost every single portfolio of the bank that I believe that we could replace with a higher yielding asset. And so as we go quarter by quarter, that will be the goal.
