Gerben Bakker: Yes, just the nature of it resulted, ultimately, Jeff, in the character of a price concession, so it hits the top line, and drop through to the OP line as well.
Operator: Our next question comes from Steve Tusa with JPMorgan.
Steve Tusa: Hey, guys, good morning. So can you talk about your price assumptions like first half and second half? You said, I think 2% embedded in the numbers. Maybe I’m thinking about a different call, I have been up five this morning. But any color on kind of that first half to second half price?
Bill Sperry : No, it’s, you’re right on the two. That’s basically been layered in throughout €˜22. So as it wraps around, it sort of does have a tapering effect. But when you think about price cost, some of the commodities are coming down to and so really, how it nets, it does net a little more favorable early, in a little bit more favorable first quarter, first half. And but that’s, Steve, ultimately, the net will be determined. I mean, we have a little more confidence in what we see in the price, but the cost side is obviously kind of what we’ll have to react to.
Steve Tusa: Yes. And on the price side, I guess is there any, you’re not embedding any quarter where it’s actually negative?
Bill Sperry : No.
Steve Tusa: Okay. Where would we– where would you look within your product lines to is the kind of canary in the coal mine on that front?
Bill Sperry : Where do you see the most price pressure?
Steve Tusa: Yes, where would you expect? You’re not seeing it today. I don’t think anybody’s really seeing it today. But where would you be watching for that? Where would you be most concerned? If there were to be some pressure some pushback?
Bill Sperry : Yes, my guess is it would show up maybe on our electrical side, and maybe some of the more current, first of all resi products, there is sort of seeing contracting demand there with commercial that would maybe be most cyclical, responsive to that some of the more rough and electrical that might be where we will be paying a lot of attention, Steve.
Gerben Bakker: Yes, and I think it’s less about that certain product lines are going to see more cost, if I think that’s pretty spread. And especially with a chart that Bill shows the raw materials, actually a fairly small percentage. So I think all of our product lines are exposed fairly similar to that other inflation. So I think it has more to do with the market dynamics and if there is a potential slowdown in the second half, that could put them additional pressure and that would be in the more on the electrical side and the utility.
Steve Tusa: Great, thanks for the caller. As always, all the details are helpful and I echo what Jeff said on the IRA stuff giving us a little bit of precision on that versus other companies that you just say it’s great. So we appreciate it. Thanks.
Operator: Our next question comes from Tommy Moll with Stephens.
Tommy Moll: Good morning, and thanks for taking my questions. Also really appreciate the price cost productivity, glad you provided with all the details, especially because now we get to keep asking you about it.
Gerben Bakker: So we knew it.
