Q €“ Michael Linenberg: Yeah. No, I think the market seems to be agreeing to some extent with your stock up over 60% right now. So very good congratulations again, thanks for taking my questions, gentlemen.
Operator: Okay. Thank you. The following question comes from Ygor de Araujo, sell-side analyst from Genial Investimentos. Ygor, we’re going to open your audio so that you can ask your question, please proceed.
Ygor de Araujo: Hi, guys. Thank you for taking my question. Congratulations on the agreements with lessors. Just a quick follow-up on the previous question. Last year, you talk about a reduction of around 20% of the leasing costs from A12 E2 aircraft, right. So what I would like to understand is, do we continue with this assumption or does the new agreement change that level of cost reductions. I understand, I don’t need the exact number, but it will probably be last in that right?
John Rodgerson: Yeah. So just highlighting what you talked about, there are several E1s that we’re paying north of $300,000 a month on, right, and this new agreement obviously reduces those to what the current market rate is, but the E2s were coming in at 20% below what we were paying. Obviously, the gap now changes as we’ve reset to market rates across the board, but we are as excited as ever about the E2s, the E2s and extremely profitable aircraft for us going forward. And so the ownership is lower than our historical average for E1s and it produces 18 more seats and on a cost per seat basis, this is down 25%.
Ygor de Araujo: Yeah. It was very clear. Thank you. Thank you very much.
Alex Malfitani: Thank you.
John Rodgerson: Thank you.
Operator: Okay. So the following question now comes from Rogerio Araujor, sell-side analysts from Bank of America. Rogerio we are going to open your audio so that you can ask your question, please proceed.
Rogerio Araujo: Hi, gentlemen. Can you hear me well?
John Rodgerson: Yeah.
Rogerio Araujo: Okay, great. Congratulations for today’s announcements. So I have actually a follow-up on this restructuring, I know you guys are going to provide more details when it’s concluded, but only at direction on the expected impact on the balance sheet. So we, I understand, there may be a reduction of lease liabilities but also incremental debt instruments, so unexpected balance sheet gains on that, also in terms of operating lease payments, I understand that the deferrals has not been paid so far. So in terms of the level of payments that we see in current results and what is expected on the market-to-market on this repricing on rental rates going to market levels, if the direction is downwards and if it’s going to be relevant somehow? Lastly, if I may, the term negotiations going on with the government in Brazil on taxes on jet fuel, is there any update here on timing and likelihood? Thank you very much.
Alex Malfitani: Sure. So let me start with the expected impact on the balance sheet. Let me talk about it directionally Rogerio. First, we see a lot of people using the balance sheet information, a lot of people using 7 times rent, and I think there is even a segment of investors that are taking the balance sheet and trying to calculate an average discount rate — using an average discount rate to figure it out, right. So let me talk about sort of the balance sheet impact, if you are using IFRS 16 and then 7 times rent impact, so that net debt, gross debt or even leverage was not really the problem, right. The reason why the market has been so nervous and there has been such uncertainty and volatility on our paper was never a leverage and was never the level of debt that we have, right, we were able to issue debt at 7.375, like John mentioned, when our leverage was in the double digits and now that we are starting with a 5 heading to start with a 4, even before the restructuring, the market is a lot more nervous.
