Operator: Our next question comes from the line of Paul Chung with JPMorgan. Please proceed with your question.
Paul Chung: Hi. Thanks for taking my question. Very nice quarter to finish the year, very strong cash flow. So first up now the firms at 51 airports is a long-term goal of mid-50s revised higher, which key airports are still in the pipeline in your view? And what’s the average lane per airport today and opportunities there to expand? Also any progress on international as well? You mentioned the reserve offering, which opens up a nice cross-selling channel. Can we see CLEAR Plus lanes expand or meaningfully overseas this year? And I have a follow-up.
Caryn Seidman-Becker: Thanks Paul. So yes we are at 51 airports today with the launch of Kansas City yesterday and I think it’s 140 lanes with those 51 airports. I do expect us to open — close to the same or slightly more airports this year than we did last year. We are already three airports in for the first two months of 2023. And so, I do think, if you look at — and it’s public information sort of the top 100 airports in the US, we think that there is high applicability in the 70-ish range of those airports. But I also think that there’s different products when you look at reserve and PreCheck enrollment where we could also be bringing products. So we now think of CLEAR more broadly, but we’re talking specifically in this case about CLEAR Plus airports lanes.
And then internationally, we do think that it’s very exciting to be building the relationships, the dialogue and the experience leading with the reserve product and we’re seeing success there. And then that is opening conversations about other products. And so whether or not that hit this year, it’s too soon to tell. But we do think when you look at the surge on travel and the challenges travel hard and getting harder, it is not just a US phenomenon but a global phenomenon.
Ken Cornick: Just on the unit economics of the smaller airports, in terms of number of lanes, it completely depends on the configuration of the airport. Generally speaking, a smaller airport will have fewer lanes. And the unit economics work for the small airports on a stand-alone basis and because they add to the network. So we’re able to, basically get to breakeven well under a year on those airports.
Paul Chung: Great. Thanks for that. And then just on AmEx, as we lap the initial kind of platinum enrollments, how should we think about kind of the pace of bookings growth this year? And what is your sense of penetration rates at AmEx platinum, renewal rates as well? Are they overall higher and if you could expand on other kind of key target airlines credit card companies, travel vendors you’re engaging with. I’ve noticed other channels occurred. Taxi at for sign-ups how successful we’ll have those channels being also on the partner side would be helpful. Thank you.
Ken Cornick: Lots of questions in there. Starting off with the renewal rate, which is easy. Yes, the renewal rates are quite high for our AmEx Platinum as you would expect, above 95%. In terms of the penetration of platinum, again we don’t have the denominator. But if you look at the AmEx fourth quarter, they announced $3 million net new cards added. Those are not all platinum but they are continuing to have success growing their member base. And obviously, we benefit from that. So we’re continuing to grow with them. I think that channel will grow. It’s growing — we have other channels that are growing faster. The one that you specifically asked about is on the curb, that’s just as a marketing channel for us, which is successful but it’s not material for us.
And then in terms of your other questions in terms of new partnerships, we are talking to additional airlines. We do think the partner channel is our best avenue for growth and our most efficient avenue for growth, and it’s been very successful for us. And so, more to come on that.
Paul Chung: Great. Thank you.
Operator: Our next question comes from the line of Michael Turrin with Wells Fargo. Please proceed.
David Engel: Hi. Great. This is David Engel on for Michael Turrin. Just one for me, bunch much of my questions have been asked. So you’ve talked about traffic volumes being up 30% in 2022. As we look to the 2023 planning process, can you talk about what you’re seeing thus far in 1Q with the two months in? And how that compares to pre-pandemic traffic? And then just bigger picture what longer-term historical annual traffic volumes look like in?
Caryn Seidman-Becker: I’ll talk a little bit about what we’re seeing in the first two months, which is strength. January always slows down a little bit, but versus December from a sequential basis. But I would say that, you just see continued strength record days and people out there traveling and wanting better experiences as they travel. So there has been no slowdown. I think, we started talking about being thoughtful of the economic environment probably in our third quarter earnings. And I will say, and you can see this across the industry. You know one thing. People want to travel, people love travel, and business travel has been coming back. And so I would say that, that is probably the new addition over the past few months, but you just see continued strength.
Ken Cornick: Yeah. And as far as trends versus pre-COVID levels we talked about a 32% CAGR for Q4, our guidance which excludes pre-check implies I think around a 30% CAGR from 2019 pre-COVID levels. So if you look at the midpoint. So we see continued strength as Karen mentioned.
David Engel: Great. Thank you.
Operator: And our next question comes from the line of Ananda Baruah with Loop Capital. Please proceed with your question.
Ananda Baruah: Hey, good morning, guys. Appreciate it. And thanks for taking the question. I guess Caryn going back to the conversation about sort of the airports that you’re in, what you’ve been adding and the new lanes that you’ve added. Is there any useful way you can describe to us where you guys think you are I guess like heat map wise relative to what you would consider to be optimal penetration in the US, even if the anecdotal. Does that make sense?
Caryn Seidman-Becker: Not exactly, when you say heat map wise do you mean MSAs and where people live or where they’re going or what are hot new areas in the US. Tell me what you mean by that?
Ananda Baruah: All of that, all of that, like you have the thought process. Yes, exactly. Exactly.
