Ella Fried: Good afternoon. Thank you for taking my questions. Most of them were answered, but I have one left. is one of your strategic moves into the next year, and also you have this conversion of product and technologies from here and from them into the sea. Could you give us some milestones of when and how much this will be felt over the next year?
Butzi Machlis: Hi Ella. As you remember, we acquired Sparton in the U.S. around two years ago, and we are–we continue to be an important supplier to the Navy of sonobuoys, and as was mentioned, the $5.1 billion ID/IQ contract which should come, which is split into three suppliers, will also–will be also a good indication that our revenues in Sparton will continue to grow in the future. We also made another acquisition a few years ago in Canada, a company by the name of GTI – they do sonar, and they are very successful and the company is growing as well, and they have already several international sales and we see a growing potential for them also. A year and a half ago, we won a very important EW naval contract with the U.K. It was a very difficult competition against local providers, and still we won it because of the superior technology we have here in Israel, and this technology is similar to the technologies that we are deploying these days in the of the Israeli Navy, so based on our EW capabilities here and based on our capabilities in the U.S. and in Canada, I’m happy to say that we have position in the U.S., we have position in Canada, we have positions in the U.K. and Israel, and we–and this is–and we also have here a nice, very advanced autonomous solution by the name of Seagull which can–which the importance of a naval autonomous vessel was demonstrated just recently in the Gulf, as well as in the conflict between Ukraine and Russia.
We have several elements. We are combining them together to deliver integrated solutions to our customers – we see a growing potential for that, and our long term focus is to have activity which will enable customers, which should be around $1 billion of .
Ella Fried: Okay, thank you. I have a follow-up question, unsurprisingly, on the bottlenecks in the industry also about. The question is if you could give us a bit more color and a bit more specifics about where–I mean, they are in the chips, but is it mostly Asia or it’s all over, and also because there is such a ramp-up in the industry, especially in the U.S., is there competition between companies and you have sometimes just to stand aside and wait for a more rational price? How is it impacting you, because the others, the American companies, they were ahead of you in the supply chain disruptions and you were much better off all this time, and now it’s reached you as well, so I would like to see how is it happening in the industry.
Yossi Gaspar: Hi Ella, this is Yossi. I would say the following. We all, the whole industry, and not only aerospace and defense, were significantly affected by what’s going on in the supply chain; however, as Butzi explained before, we already see some improvement in areas like the mechanical parts, like transportation and deliveries, and so on and so forth. However, the electronic parts are still with us and impacted. The good thing that we did two years ago is that we have anticipated this thing that’s going to happen, and we have increased our inventories significantly, which did hurt our working capital. You have seen that in our reports. By the end of–and we continued to work along those lines during the last year and a half to two years, however initially we thought that this would be–that this will be over or significantly over by this time, and this has not happened.
