So to answer your question is, if you look at Q4 performance, this is definitely, I mean, we’re very pleased with that. And we see that we were able to do the turnaround. Can you take Q4 times 4, that’s probably still a little bit too early, and we still need to see, but we are very excited about the Spunlace business, mainly about Sontara because we are seeing growth now and further growth will come from the Sontara side. And so, I think, yes, we made a huge step forward. And I would characterize it right now, Mike. This business is now on a good foundation. We stabilized it. I mean, we’re not losing money; we’re making money, stabilizing it. We are around about a 7% EBITDA margin, and I think we know where to go, and we are very optimistic.
Mike Ginnings: Congrats. I know that’s been a big focus. And then on the Airlaid side, can you help us understand a little bit more. It seems some of the commentary mostly around Europe being some of the softness. Can you help maybe give a little bit more visibility into sort of what you’re seeing in the U.S. versus what you’re seeing in Europe, whether that be kind of volume or margin or sort of however you think it’s best to lay that out for us?
Thomas Fahnemann: I mean if you look at our Airlaid business, we have again, still a lot of headwinds, and there was still also some destocking going on in 2023. The main critical areas as far as volume are concerned is feminine hygiene, which was under pressure and specifically the European tabletop segment, where we were really to be honest disappoint in the market, I mean, the volumes are really down there and but because customers also look for cheaper alternatives. I mean, they like the product, it’s high quality, but based on inflation and the overall economic situation, mainly in Europe, I mean a lot of customers kind of move to, let me say, cheaper solutions. Okay. Now the other one, which we are doing is we are looking at the Airlaid product also here, finding different actually segments where our product could really add value to customers.
And that work is ongoing. It takes a little bit of time. And that’s also if I look into 2024, the second half of 2024 and Airlaid will be better than the first half. We already have projects and all that, and it’s coming but it takes a little bit of time. And at the same time, we are also as mentioned before we had a very high concentration on big customers, which actually represented a big portion of our Airlaid business. And again, if the market is in a more or less balanced situation or even sold out, this is fine. But we realize this end of 2022, early 2023, and we said when the market is turning, we need to be more robust in our customer portfolio. We are doing that as well. So we lost consciously some volume, and we are replacing this volume with what I would call B and C customers, but also that takes a little bit of time.
And last but not least in Airlaid, there’s one, unfortunately, phenomenon that if I look at the fluff pulp pricing, everything went down, but fluff pulp was much slower to come down, and now it’s even going up again. So that’s another issue, which we have to tackle. And it’s a challenge in our Airlaid business. Yes. So all that combined made a little more complicated, but we have a clear strategy. So we are executing that strategy, and you will see that the second half will be better than the first half, and we’ll get back to what we used to have.
Mike Ginnings: Excellent. Thank you guys very much. Congrats again on the quarter.
Thomas Fahnemann: Thank you.
Operator: [Operator Instructions] And ladies and gentlemen, there are no further questions. And this does conclude today’s Glatfelter’s Q4 2023 Earnings Release Conference Call. Thank you for your participation. You may now disconnect.
