John Rodis: And then Canada securities portfolio was down I think 10%, 12% this year, would you expect sort of a similar amount next year just to fund that loan growth too?
Ken Lovik: Well, I mean, we’ll probably got to keep it. We got we kind of got to keep it somewhat flattish or better or perhaps down a little bit. Because right now, we still have to maintain a certain amount of liquidity on the balance sheet. But I’ll tell you right now, we might be better off just keeping it in cash in fed funds than then buying mortgage backs. So I would expect, probably you might see higher cash balances at quarter end than what you’ve seen here, maybe in the past couple quarters.
John Rodis: And then Ken just a couple of other quick notes. On your expense guidance, you set up 2.5% to 3.5%, excluding the 3.3 million. Is that based on total expenses for the year, so 73 million?
Ken Lovik: Yes.
John Rodis: I’m sorry, just I was trying to write while you’re talking, but on spread it net interest income? I think you said the first quarter, sort of flat with the fourth quarter and then sort of stable for the first three quarters. Is that right?
David Becker: Yes.
John Rodis: And then I guess you would expect to see some ramp in the fourth quarters where you said?
David Becker: Yes, that’s what we said. We’d like it. Yes, we think is as the best, assuming the fed hit the terminal rate and keeps it there that deposit costs will stabilize and we’ll be able to start kind of net interest income will begin to start growing again in the fourth quarter.
Operator: The next question is from the line of Tim Switzer with KBW. Please proceed.
Unidentified Analyst: I’m on for . I had a clarifying question first real quick. You mentioned $250 million lower balances year-over-year and like the, some of the portfolios are paying off was that in reference to the residential mortgage portfolio only or all of like the like
David Becker: No, that probably spread among three or four different portfolios. That’s, resi is going to be down. David talked about health care finance that’s basically, we’re not originating anything new there. I would expect to see balance declines in public finance and single tenant lease financing as well, just simply is my comments earlier that the some of those markets right now are just so competitive, we got price floors in there, and we might win a deal every now and then. But we’re not chasing, we’re not doing deals below 7%. So when you when we can’t get that it’s hard. So you’d expect to see some decline in those portfolios.
Unidentified Analyst : Okay, yes, just making sure that wasn’t just the residential mortgage. That seems a little. That’s like at the end of the year. So what you’re talking about 250?
David Becker: Yes, I just talking year-over-year.
