Robert F. Rivers: Sure, Mark. As you know, we’ve focused within our current footprint or immediate adjacencies for bank acquisitions and insurance acquisitions. That continues. Certainly, if other opportunities fall outside of that geography and they come along, we have — we’ll continue to take a look. We have in the past, we tend to be less interested in those for a number of reasons, but certainly, we will consider those. In terms of the pace of insurance acquisitions, it’s really just a matter of pricing. We always have a very extensive pipeline of potential deals. Oftentimes, the pricing is very challenging relative to our return requirements, but it’s something we continue to take a look at.
Mark Fitzgibbon: Thank you.
Operator: Thank you. Next question comes from Laurie Hunsicker at Compass Point. Please go ahead.
Laurie Hunsicker: Yeah, hi Bob and Jim. Good morning. Maybe just stick where Janet and Mark were, back on the margin, certainly, your core deposit franchise is very, very strong seeing the move in the money markets and the CDs, and the broker deposits obviously jumped to 5%. Can you help us think about how high you take those broker deposits and then maybe asking the margin question another way, can you refresh us maybe on where your December spot margin was?
Robert F. Rivers: Sure, Laurie. Good morning. So I think the broker deposit question, it’s a challenging environment as we’ve said many times. Historically, we haven’t used broker deposits, and we’ve had limited wholesale borrowings. In this environment, we’ve used them. So we continue to make decisions based on cost and balance sheet structure, etcetera. The margin at December was in the low 270s on an FTE basis.
Laurie Hunsicker: Okay, that’s helpful. And so nothing that you want to quantify in terms of how much to pull down of broker deposits?
Robert F. Rivers: I’m sorry, what was the question Laurie?
Laurie Hunsicker: Just in terms of thinking about how big broker deposits could become, right, broker deposits are now 5% of your deposit base. Is there any thinking you cap it at 10% or how should we think about that?
Robert F. Rivers: Yes, I would answer the question this way, our preference is to use customer — our own customer deposits much, much more so than broker deposits. It’s been a challenging market. We’ve repriced and continue to look at pricing alternatives with all of our customers. Our preference would be to grow those and replace the brokered deposits. The velocity of changes in the fourth quarter was what it was, and we did use the brokers as you mentioned and we’ve disclosed. But our preference is to continue to look at pricing strategies and structures with our existing deposits for our existing customers and grow that as our primary source of growth going forward.
Laurie Hunsicker: Got it. Got it. Okay. And then on expenses, your expense outlook is a dramatic change from where you were last quarter. So the $30 million reduction is substantial, can you take us through a very high level where that might come from, is that branch closures, or how are you thinking about that?
Robert F. Rivers: Sure. And you’re right, Laurie, it’s a pretty sharp reduction. 2022 is a very strong year for the company. We were on a very good growth path. The environment changed. So the reduction is coming from basically everywhere. Some of it’s in pulling back on growth plans that we had. Some of it’s on looking at things that we’re doing and deciding we didn’t — they weren’t as important to us at this time. General belt tightening. We are looking at all the things you would expect branches to some extent, other real estate in many cases and other opportunities. But the initial reduction was really pulling back, and as I said, we saw a big change in the environment in the fourth quarter, and we knew that we needed to reassess our expense go forward in the light of that new environment.
