Operator: Your next question is from the line of George Shapiro from Shapiro Research. Please go ahead.
George Shapiro: Yes, hello.
Jim Taiclet: Hey, George.
George Shapiro: I’m talking at a longer-term perspective here. If I look at the margins like from 10 years ago, MFC made 18%, aeronautics made 11%, space made 13%. And so we’re obviously down in all of those categories overall, maybe 200 basis points in 10 years ago. So my question is, was this due to a lot of the fixed price development, more aggressive bidding. And now you’re trying to change that. So when we look towards 2025, we actually could see margins go up from where they’d be in 2024 for kind of — are they just lower margins overall that we expect to see from what we used to see?
Jim Taiclet: George, hey, it’s Jim here. I think the story, I told a little bit earlier today is what caused that. There was margin compression in the whole industry here, driven by the [indiscernible] [1:00:20] customer, if you will. So they got pretty good at figuring out how to use their position in the quarter analysis of how they should negotiate contracts. And what I think you’re seeing is boards and management of companies in our traditional space, I’ll call it, are understanding this now, the management tends to not necessarily — senior management tends not to necessarily be historically wedded to this business model and looking at other ways to run these companies. And so we are taking the shareholders’ interest into account and all the things we talked about, which should help improve our margins, even though it may result in some difficult discussions with some of the customer base.
We’re prepared to do that. But I think over the last 10 years, as you said, there’s been a decline and it needs to reverse to have a healthy industry.
Maria Ricciardone: Okay. Luis, I think we’re at the top of the hour. So I’m just going to turn it back over to Jim for some final thoughts.
Jim Taiclet: Okay. Thanks, Maria. So over the past 12 months, again, I mentioned the people of Lockheed Martin have worked relentlessly to advance this vision we have for 21st Century security and transform our company internally, and they created produced and delivered cutting-edge capabilities that are focused on what the defense department says as its own strategy that they call integrated deterrence. And we’re trying to maintain our company values along the way, and that’s to do what’s right, respect others and perform with excellence. And all this yields positive results for our employees at work here, our customers and our suppliers and especially our shareholders. So thanks again for joining us today, and we look forward to speaking with you on our next earnings call in April. Luis, that concludes the call. Thank you.
Operator: Thank you. And ladies and gentlemen, that does conclude your conference for today. Thank you for your participation and for using AT&T teleconference service. You may now disconnect.
