Unidentified Company Representative: Andre, you start and then I will add.
Andre Rodrigues Cano: My first comment is that there was a very good performance in all the lines of the main operating expenses: personnel, admin and other expenses. Marcelo pointed out quite well that personnel and admin expenses grew 3.5% in the first quarter against an inflation in the first period of 4.3%, showing that our expenses are very much under control. So, we started off controlling our expenses and this is our objective for the rest of the year, but we have to bear in mind that the strategic plan that is started in February ’19 has a very small impact in the first quarter. So, it’s just natural that the impact will grow going forward and impact that will be felt in technologies, new hirings, contingencies, fiscal contingencies, et cetera.
This will appear throughout the year. But this is what makes us certain that this line will go within the guidance, but we will certainly do all we can to lower that number. We have to also recall the collective bargaining agreement. I mean, of course, that we have our own impressions about the collective bargaining agreement, but the negotiation remains open. I mean, if you look at the line of others and compare it with the same line, it’s the same as other companies that consolidate with us and this line is going back to its traditional level from previous years without the effects that we had in the past two years. So, everything is under control and normal. I mean, the collective bargaining agreement could probably move the needle a bit, but everything is being looked at and treated very rigorously.
As Marcelo was saying, all the lines should be within the guidance. Some lines are even above guidance, but we will see a balance between one and the other. Some will be closer to the bottom part of the guidance and the others will be more closer to the top of the guidance. But we are certainly controlling our expenses and costs. But at the same time, always investing in what needs to be invested on.
Unidentified Company Representative: So, thank you. And with now, we conclude our Q&A session. Questions that couldn’t be answered in this occasion can be then sent to our IR department. And before I turn the floor to Marcelo to conclude this presentation, I would just like to say that in our IR website, you will be able to find this presentation and also all of the other materials related to this earnings release presentation. So, I just recommend that you take a look at that. So, what are your final remarks? Thank you. Thank you, Andrea. Thank you, Casiano. Thank you, all of you, for your interest and for joining us today in this quarterly earnings release. And we remain at your disposal. Sell side, all analysts, we are available to give you further information.
But before I say farewell, I would just like to say something. Yesterday, Carlos Alberto Rodrigues Guilherme Caulca [ph] passed away. He was a Board member since last December when he retired. He was also Vice President of the board. He died yesterday, but for several decades, he worked for our organization. That’s why I thought it would be important for us to express our sorrow for the loss of our colleague that spent many years working with us. But I would like to remember him with joy rather than sadness. Thank you so much for joining us today, and I wish you all a very good month of May. Thank you.
