Crissy Carlisle: Yeah. Larry. So, all of those factors that I gave are known, right, sequestration is a known factor. The fact that we’re getting 0.7%, and that’s not going to offset the wage rate increase, known factor. The most sensitive is that payer mix shift. And so, yes, that is the biggest factor that would put us at one end or the other of the range.
Larry Solow: And that $14 million number that you kind of threw out there as a headwind for that, is that — would that number, that $14 million kind of represent the mid-point of your range or if it’s a higher headwind, you are at the lower point — you go lower, if it’s a less headwind you go higher? Is that fair way to look at?
Crissy Carlisle: It’s all a headwind, right? All four of those factors I called out are headwinds and the steps and levers that we pull to address those headwinds are all going to impact that. But again, the most sensitive within the range is the payer mix shift.
Larry Solow: Okay. And can you just clarify the $5 million from the audit from a couple of years back, was that — did that all flow to the bottom line, is that $5 million in that EBITDA number?
Crissy Carlisle: It is.
Larry Solow: Okay. And just like — if I could just squeeze one more question just on acquisitions. It sounds like this year, you don’t want to necessarily put a line in the sand and have — well, fall short of that or ahead of that in terms of acquisitions. But with your leverage at 3.5 times, is it fair to say that this could be a quiet year or maybe you kind of want to wait till you get leverage down a little bit? How do you kind of view that? Thank you.
Barb Jacobsmeyer: So, we view it as — we believe we can still achieve our business and operational objectives with the leverage that we currently have and what’s projected in the guidance range that we’ve given. We do want to acknowledge the fact that leverage is increasing and that we’re going to have periods of — for example, in the first quarter of this year, we’re going to roll-off the highest quarter of 2022. And as I’ve already said, 2023 is going to — financial performance should be better in the back half than in the first half. So, those are just facts that we are keenly aware of and managing through. I don’t want to say that acquisitions are off the table. I just want to say that we’re going to be very disciplined.
And when they make strategic sense, and we believe it’s a nicely valued opportunity, we will pursue it. But again, we’re going to be very disciplined in that approach because again we acknowledge the leverage, and we want to present a balanced message.
Larry Solow: Got it. Appreciate all the color. Thank you so much.
Operator: The next question is from Jason Cassorla with Citi. Your line is open.
Jason Cassorla: Great. Thanks for squeezing me in here in follow-up. I just wanted to ask more broadly around your thoughts on the broader competitive environment, just particularly given the labor and reimbursement dynamics across both the Home Health and Hospice spaces. I guess, just given the investments you’ve been making on the labor front and the referral streams, how are you thinking about your competitive positioning within your markets and the opportunities for you to take share over time? Thanks.
