John Plant: Yes, 350, that’s been much more stable for us. Again, built fractionally below this year. We’re optimistic in that I think our rates between five and six. And I actually think there’s a good case for fundamental demand to be well above six. And so I don’t know where Airbus will finally plan that second half rate and rating to 2024. But from what I could see of airline demand and particularly, the amount of 747s, which are flying around A380s, I think if they could access 787s or A350s, they would be desperate to do so. And so I think airlines need them not only for their own profitability, but also for their own carbon footprint. And I really do think there’s a case for looking at that carbon footprint, and we need those composite based aircraft.
And so I think we should be very optimistic on that twin engine wide-body demand in the back end of 2023 going into 2024 and I can see clear reason for higher rates. And so when Boeing talked about the rate 10 787s, is it 2026? I think that’s definitely really very realistic and similarly taking Airbus up into that same sort of A350 that number. I really believe it’s that strong, if not stronger.
Gautam Khanna: That’s helpful. And then I apologize for the several questions. But I also am curious, a couple of years ago, you gave us some contract color with RTX on airfoils, F135, GTF, et cetera. Any update there on your visibility, because as you know, they’re building that Asheville facility. I don’t know if that’s had any impact, or will have any impact in the next couple of years in terms of?
John Plant: It’s always difficult to really know, because we’re not part in privy to the detailed plans from Raytheon. What the big that we do know is that we are intimate on the improved, let’s say, advantage engine, and we’re providing — or going to provide more content and sophisticated product there to allow higher thrust and fuel efficiency. We are also — in my comments earlier on the call, I spoke to 2028 Block 4, and we’re intimating in that. We’re deep into with both US engine manufacturers for the potential next-generation fighter programs in terms of engine. And so I think we’re well-positioned and every one of those products I’m talking about is a level of sophistication higher than is in the market today and bringing what is not only, I mean, today’s uniqueness, where we’re the only supplier able to do it.
We’re taking that further by considerable margin to enable those upgrades to happen. And the cost of, therefore, by comparison to the benefit provided by, I’ll say, increased flying time and less fuel usage and increased path of the avionics is just enormous.
Gautam Khanna: Okay. Could you guys say what happened to the $70 million of deferred shipments in Q4? Will that get reabsorbed in Q1, or is that through the course of the year? Thank you.
John Plant: I think that will disappear very readily during the first part of this year. So — and maybe if volumes begin to get — we take a more optimistic volume, it may well be we might choose to hold some of that inventory by the end of the year, because we’ll be looking at 2024. But at the moment, our going in assumption is that the rates I’ve given will burn some of that off. And we’ll see where we go for the second half, Gautam. I mean, part of me would like to be optimistic, but I’ve chosen to be — let’s keep our feet on the ground and give you the guidance we’ve given.
Gautam Khanna: Thank you so much.
John Plant: Thank you.
Operator: And our last question today will come from Matt Akers with Wells Fargo. Please go ahead.
