That’s predominantly related to the R&D tax credit phenomena if you will the capitalization amortization as opposed to expense benefit that we’ve been receiving. We’re not unique in terms of that challenge and of course, that’s something that’s going to continue to be very much the focus of legislative lobbying because it’s really we think highly punitive. So it’s really working capital actually ending up net of increase in receivables, being a source of cash and then higher usage of cash on both the interest and on the tax side.
Chuck Magro: Yes, Dave, maybe it’s a bit more instructive to talk a little bit about working capital and specifically the inventory. If you go back to 2020 and 2021, obviously, the entire industry Corteva included had significant supply chain challenges right across the board. We saw raw material shortages, logistics challenges and as a result we were forced to draw down our inventories to what we would consider to be unhealthy, unsustainable levels and our service levels for our customers, especially around some of the products that are very unique to Corteva. So think about our seed portfolio, but also think about the Enlist platform, these service levels became unacceptable. So, last year we saw an opportunity to rebuild those inventories.
We feel now that we’ve got the right service levels in place to support our customers. And don’t forget the global CP market is expected to grow mid-single digits this year. So we’re preparing for another good year in agriculture. We’re preparing for another good year of growth and we feel we’ve got the service levels now to support our customers, very important.
Operator: And our next question will come from Joel Jackson with BMO Capital Markets.
Joel Jackson: Hi, good morning. Just want to ask a question on free cash flow conversion. So, I think you’ve been targeting about 50%. You talked about getting a 42% average cross 2021 to ’22. Can you talk about why the free cash flow conversion is a little bit lower in ’23? And then, thinking about that question and thinking about some of your acquisitions this year, what kind of share buyback capacity do you have this year?
Dave Anderson: Sure, Joel. The sort of the short answer on the free cash flow conversion for 2023 relates to the points I made in the previous question which really have to do with the higher — on a year-over-year basis, higher cash taxes and higher interest. There’s some other factors in there, but those are the biggest components of that. In terms of capital allocation, as you know — and we’ve really demonstrated that balance in terms of our overall capital allocation with history if you will up through 2022 very much of course weighted towards returning cash to shareholders. And that was I think very, very smartly executed during that period of time. 2023 is going to be much more significantly tilted towards growth and specifically M&A with the Stoller and Symborg acquisitions. We anticipate continuing on our share buyback, but that’s going to be at a — likely will be at a reduced level just given the significance of those acquisitions.
Operator: And our next question will come from Christopher Parkinson with Mizuho.
