Gerrick Johnson: Okay, great. And then on the model year 2022, personal watercraft and three-wheeled vehicles that you’ve shipped, what proportion of those are presold? I’m just concerned that you have 2022 backed out there after the season is over and how that might affect the flow of 2023s coming in for next season? And then also the discounting probably you needed to move those units because really who wants a 2022 personal watercraft in December. Well — so just if you could talk about how much of that is presold? And what you have baked in your guidance in terms of what you need to discount to move those units before the 2023s come out?
Sébastien Martel: Yes. As I said, we do have a retail incentive program out there offering a zero interest for six €“ for five years to our consumers. And so that’s then €“ that’s helping with our strong retail performance we’ve seen in the last few months. Obviously, we would have preferred to ship these units in May and June and get them to consumers because, as you know, the level of preorders from consumers was very high. The season last year in the industry ended at an all-time low in the last five years. So there’s still a high level of unfulfilled demand. And the other reason why we’re comfortable and obviously, we don’t like it, but we’re comfortable with the situation is the level of preorders at the dealership was high.
So dealers are telling us. I’m not getting cancellations for these units. Customers are going to take ownership of these units in the spring. And the other thing is that there will be price increases on model year 2023 that we’ve announced, 3% to 4% increases. And so customers, they have an option of taking a model year 2022 at a price lower than a model year 2023, and that’s something that will also incentivize them not to cancel their order and take the units.
Gerrick Johnson: Okay. So to be clear, what’s embedded in your guidance right now or your thought process is the finance offer, not additional rebating? .
Sébastien Martel: Yes.
Gerrick Johnson: Okay, great. Thank you.
Operator: And your next question will be from Jamie Katz at Morningstar. Please go ahead.
Jaime Katz: Hi, good morning. I was hoping that you guys would elaborate on maybe where you’re seeing supply chain shortfalls that might lead to opportunities for further vertical integration given the recent acquisitions you’ve made? And then sort of adjacent to that, it looks like in the financials today; you guys have carved out this low-voltage human listed group and to facilitate your growth strategy and I’m curious whether that’s just electric or if there’s something else we should be thinking about to figure out what the total addressable market of what you’re trying to do there might include? Thanks.
José Boisjoli: Yes. First, on the vertical integration, we are happy with the acquisition in Austria and basically, what we acquired is talent. It was a group of about 50 people that are deeply competent into electric technology that now is part of our R&D Group. Kongsberg in Quebec, we were the biggest customer of that division. And for us, those components are key and they will be even more key going more electric and Pinion is a different thing. Pinion, it’s a compact gearbox that we can implement, obviously, on bike, on electric bike, but also on other product lines or new type of product line. Then right now, there is no plan for additional other vertical integration or activity. We were opportunistic with those. And we are very happy with those acquisitions because over and above, and those are not big acquisitions, but it’s €“ we acquired a lot of talent that will be key for the future.
On the LVHA, right now, the name is an internal call name, but low voltage, our motorcycle and our Powersport electric vehicle will be high voltage. We are right now working on low-voltage product that will be electric. And obviously, HA is Human Assist and the Pinion gearbox is key for the Human Assist product line. And all of this is a strategy to enter when we’re presented at the analyst meeting €“ investor meeting in June in Florida. We had the $34 billion bubble of Powersports where we have about 30% market share. Marine is $36 billion. We are a small player. We intend to grow there. We had Motorcycle Europe and North America, $15 billion. We have a plan with our electric motorcycle. And we’re talking about $70 billion urban mobility or new type of market, and those acquisitions are key to enter in those markets.
