And what that does for us is we need to be here and we have a gap. So everybody has a role to play in closing that gap and the cost takeout of inputs especially and I’m including distribution and logistics and things that are at levels that we’ve never seen before and stubbornly staying at those levels. Can’t cover all of that just with higher prices and revenue because you run into all these other strategic issues like substitutions. So we’ve got to work on all of it. But that’s really the approach is to take out some of the things that have found their way in and have become a bit structural but do it in a very analytical and organized way and then divide and conquer so we can close the gap. Much of what we’ve had success, you mentioned Build a Better IP.
That is a very focused, formal, initiative, unique to IP initiatives. They’re not dependent on the market per se, but a very focused process. We plan on using that same process to continue. We won’t name it and we won’t call it and we probably won’t report on it, but what you should hopefully see as analysts and investors on the call is improved earnings quarter after quarter after quarter. We’re going to use that same rigorous approach. We have some outside help in setting it up. We’re running it entirely in-house now and we plan on continuing to do that to get the cost takeout.
Operator: Your next question comes from the line of Phil Ng from Jefferies.
Phil Ng: Well, first off, Mark, I want to thank you for all your great insights over the years and appreciate the leadership. So my first question is the company has always had a deep bench of senior executives that you’ve moved around nicely. What’s the game plan in terms of the succession plan, thought process of internal versus external? And when the board is looking for the next candidate, any characteristics that stand out that they’re looking for?
Mark Sutton: It’s a great question, Phil. When we put out the announcement to notify publicly that we were moving to the kind of last phase, we have a multi-phase process like most public companies do, and it’s a multiyear process for leadership succession, and CEO, but also senior leader succession. The board is working very hard, obviously, on the board and working with them to make the best possible selection for the next leader of IP from both our internal talent, as you said, we have tremendous talent in the company. But again, good governance and a best practice is also to look at exhaustively at outside talent. And one thing just to remember on it, we’re making progress, but the board is not looking to replace me. They’re looking to find the next leader for IP for the future.
And we think about what the future holds with respect to technology, with respect to what’s happening in markets, the changing workforce. We built a specification about the future, the leader we think we need for the future of the company, and that’s what the board is laser focused on. They’re working hard on it. They’re doing a great job with it. And we will get to a point where when we have something to report, we will, but I think the process we’re using, high likelihood we come out with a great choice for the next leader for IP. But that’s really the focus and how we’re approaching it from the process standpoint.
Phil Ng: Okay. That’s great color. Year-to-date, you guys have taken about a million and a half tons of economic downtime with containerboard. Orange, I think, is about 800,000 tons of capacity. So when you take that capacity out, do you effectively reduce your economic downtime by half next year, assuming demands stable to growing and would that be additive to I guess the $140 million of savings you called out. I mean any color on the EBITDA impact I guess this year in the economic downtime would be helpful as well.
