Operator: Thank you. The next question is from Mario Mendonca from TD Securities. Please go ahead.
Mario Mendonca: Good morning. Tayfun and Darryl, you both made the point that your capital expectations around the Bank of the West haven’t changed from a year-ago when you announced the deal. So from the outside looking in, it does sound a little different. What I mean by that is I think last quarter, you said you would expect the CET1 ratio to be comfortably above 11% at close, and sub-11% at close isn’t comfortably above. So what I’m curious about is what’s changed? What made this outlook change from last quarter?
Darryl White: Sorry, Mario, if we led you to believe anything is closed, we didn’t communicate very well. Sorry, anything’s changed, I should say, we didn’t communicate very well. Nothing has changed. I think we’ve pretty consistently, at least we’ve tried to pretty consistently say that the ratio would be comfortably above 11%, as you say, in the first quarter post close. So we continue to look at the calendar and assume that, that’s Q2 of this year. And we maintain that, that’s where we would expect the ratio to be. So that’s not — we’re not intending to signal any change at all.
Mario Mendonca: So comfortably above. Maybe the nuance there is I heard at close and you’re now — well, not now, but your message was that it was post close, the quarter after.
Tayfun Tuzun: Yes, it’s been always post close, Mario.
Mario Mendonca: Correct. Okay. Okay. That’s a nuance I didn’t pick up on. The other sort of related question is you were clear as some of your peers have been that things are slowing, and we could be heading into some kind of recession, mild or otherwise. How do you think about your capital ratio being, let’s call it, a little tight in the near-term. How do you think about your capital ratio, how it holds up in an environment, where RWA density starts to increase as the economy slows? Do you — does that worry you in any way?
Tayfun Tuzun: Yes. So actually, it’s a good question. And our position is and has always been since I joined the bank that there are three factors that impact the way we manage capital. One clearly is — primarily is how the regulators think about capital, and that’s sort of outside our sphere of influence. The second factor is the environment, the current environment and the expected environment. That always plays a role in the way we establish management targets. And the third factor is our relative capital position to peers. It is very important for us to make sure that we are not an outlier. And so as we look forward in the environment that we are going into, those will be the factors that collectively will inform us about where we should establish our management capital levels, and we will share those updates with you as time goes by.
Mario Mendonca: So putting it all together then, where you sit today and I know — and this is going to sound blunt, but there would be a very, very modest risk of a capital raise to get this deal done. Is that true?
Tayfun Tuzun: To get the deal done?
Mario Mendonca: Yes, to get the deal done to support your capital ratio over the next few quarters. It’s unlikely there would be another capital raise. And I ask it bluntly that way because that was exactly the speculation that I was hearing during the quarter. Not from people that are inside the bank, of course, just that’s the speculation.
Tayfun Tuzun: Yes. I mean, my comments really involves sort of not just — not the deal, but how we think about capital overall. As Darryl said and I said for the transaction, we feel that our capital ratios are appropriate.
Mario Mendonca: Okay. Thank you.
