James Brunk: I mean the goal is to try to keep the inventory levels and production very close to demand. So that was the principle — one of the principles behind not building the inventory as we normally do in Q1.
Stephen Kim: Second question relates to mix; not price per se, but mix. You’ve mentioned that you’ve seen trade down across your categories, reflecting pressure that the average consumer is feeling with their rising household expenses. And so basically, the consumer’s P&L, if you will, is driving negative mix. But on the other hand, certainly in the U.S., but in many other markets, I think you’ve seen homeowners balance sheet strengthen dramatically due to much higher home equity levels. And so my question is, do you expect this to show up eventually in favorable mix as folks tap into that home equity? And are you positioning your product assortments in any way to be able to capitalize on an eventual move to higher -end products or a richer mix, which is different from what you’re seeing like right now?
Jeff Lorberbaum: Yes, to your question, it’s really a question of timing. At this point, we see we’re towards the front end of it. I mean it started with the housing slowing down in the third quarter. So we’re seeing at the front end so we would be doing all that later in the year.
Chris Wellborn: We’re also — Stephen, I know in LVT and Ceramic like in Ceramic, we’ve got new collections with larger sizes and specialized shapes, all that are helping the mix. And we’re also doing some of that in LVT as well. So we are doing things to take advantage of a higher mix.
Stephen Kim: Perfect. Thanks very much, guys.
Operator: The next question comes from Keith Hughes from Truist Security. Please go ahead.
Keith Hughes: Thank you. Question, you talked about this a little bit earlier, but just some more clarification. This sequential rise into the second quarter, is that going to be felt in all three segments? And which one would you say would feel at the most?
Jeff Lorberbaum: The two ones that will feel at the most, as we said before, will be Flooring North America and Flooring Rest of the World as their costs better aligned with the pieces as you go through and then the Ceramic business has held up better because of the different mix it has. So it won’t have the same change in the other as the other two. So we think those two will be much more than the other ones for those reasons.
Keith Hughes: And one other question, just within that, will it be returning to normal production that’s the biggest risk? Or is it other — what would be the biggest kind of one, two factors that would cause a sequential?
James Brunk: Well, I’d say it’s a combination, really. And so you have seasonally higher demand, so that’s going to help me on the volume. My production increases. So then my plants just by the nature of it are going to run better. So I don’t have that unabsorbed expenses shutdowns. And then the last one would be the cost kind of align. So inflation is not as impactful is the hope as you go through Q2.
Keith Hughes: Okay. Thank you.
Operator: The next question comes from Michael Rehaut from JPMorgan. Please go ahead.
Unidentified Participant: Hi, guys. This is Andrew on for Mike. I guess I just wanted to head on in terms of multiyear acquisition strategy. Where are you seeing any opportunity in terms of products or geographies?
