And so, for example, Berry Plastics is a very big industrial company and he has a tremendous relationship with them and because of that relationship we’ve been able to provide products for them since he’s come on board. And we’re also doing some things to help them be green. We are taking some of their excess scrap plastic. They have a mandate to not trash any waste or really sell any waste. They want to use it internally. So we’re helping them use it internally by making their own pallets for them across America. So that’s a very big opportunity for us and he’s working that. Additionally, he’s working with the Toyota and one that I have on board that he’ll be a point person is Apple. And the beautiful thing about this extruded lumber is you can make it any size.
It doesn’t have to be a $300,000 mold to make a new size. So if someone wanted something like a 24×36, we could make that just by cutting the boards differently and welding them to a different size. So I hope that helped you on describing what the two are going to be doing in the very near future.
Anthony Perala: Yes, that’s very helpful. Another, I’ll do two quick ones here, and then jump back in the queue. In the press release, you referenced here, let’s see here, a new tool order that’s under a three-year contract with a customer. Just any more detail you could provide there?
Warren Kruger: Yes, that’s the Walmart, I mentioned.
Anthony Perala: Oh, that’s the Walmart I mentioned. Oh, that’s the Walmart. Okay, and you say that’s probably 75, 90 days before that gets kind of into the system and realized?
Warren Kruger: Yes, sir. Yes, sir. It’s just, you know, it’s just if you order a mold, a tool in the United States, our equipment nowadays, it’s a year. It’s crazy.
Anthony Perala: Yes.
Warren Kruger: But we make ours overseas and have been over this mold maker many times in Taiwan and they’re great people are good friends of mine now. And they make a quality product and they do it in a relatively speedy fashion. So they had steel on order for another product and we displace that and we put that order in front. So they’re working on that as we speak.
Anthony Perala: Okay, so that’s probably a second-half of fiscal ‘24 pipeline. Any updates on the fire retardant palette progress? I know that some of you guys have been working on?
Warren Kruger: I’m glad you said that. I had a meeting this morning. I was with some people from a potential customers here and it’s big customers. I can’t mention their name because they’d mentioned me not mention their name, so but the potential for them is very large they talked about fire retardancy in that they’re almost to the point where they say, you know what, we will just go by all the local fire marshals, stack everything less than four feet high, and make sure that the sprinkler systems are correct. Because the fire retardancy, we’ve failed in multiple tests over the last 90 days. And it really is, we can get it done, but we just can’t afford to spend $50 making our $55 product fire retardant. It just doesn’t make any economic sense for anyone.
So we continue to pursue opportunities. We have an Israeli company that has some fire additive that they’re sending our way. And we’ll put that in, we’ll see what the cost is and we’ll run some potential. We run quarter pallet tests to start with, not full pallet tests. And that gives us an indication of whether we’ll pass. So unfortunately I don’t have any great news on that side.
Anthony Perala: It’s good color either way. I have a few more, but I’ll jump back in the queue and let someone else ask some questions here.
Operator: [Operator Instructions] Our next question comes from Joe Russo.
Unidentified Analyst: Hey Warren, hey guys, how are you?
Warren Kruger: Hi, Joe.
Unidentified Analyst: Appreciate the question and congrats on the quarter. I just want to hit on the Walmart, I know you talked about it here, but just wanted to check on the state of that. What — I feel like it slipped maybe a little bit, the timing of when they might be in. Just wanted to see what has to happen now. You get, in terms of you getting them — getting the mold, and then did they need to you know like test the product further once they get their hands on it just want to kind of get a sense of it?
Warren Kruger: We were just tweaking, truly we’re making it we listened to what they we met with them there were a few issues I can tell you what the issues were. Their associates, when they’re doing part picking, they still, there’s a lot of human intervention when they’re at their import facilities. And so they periodically people will lift pallets and put them in a stack, and not over their head, but they lean down. They just needed better ergonomics. They needed more hand hole. So people could put their hands in. They needed also one side of the palate, the crute on the bottom, the cross members on the bottom. They wanted to eliminate two of the cross members on the bottom, because that’s where they were being internal damage they actually had some hand jacks that they had difficulty with our getting in our particular 48×40 product that they had been buying, they wanted it to easy, more ease of access.
So we did all these things, made these changes for them. They’re very happy and we’ll hit the ground running. We — it won’t be, I can tell you that this product will be ready to go when it gets in our facility.
