Brian D’Ambrosia: No, thanks Daniel. We look at it as a balanced approach. Like, we are looking to continue to reduce our invested capital. And we talked about that being $70 million so far through the first six months approximately. And it’s been more debt led right now. But if you look at the balance since we announced the buyback, it’s been pretty much 50-50 in terms of debt reduction and share repurchase for the amount of total capital that — invested capital that we’ve retired. So I would think that going forward over a period of time that’s going to continue to be balanced, particularly as we start to get lower in the debt balance and the opportunity kind of diminishes to continue to paydown debt and reduce interest expense.
There’s going to be more opportunity to fulfill the require — the remaining authorization that we have a $53 million on our $150 million authorization. So it’s going to be balanced and we look to continue to generate that excess cash flow in order to continue to return that invested capital.
Daniel Imbro: All right. Thanks so much and best of luck going forward.
Brian D’Ambrosia: Thank you.
Michael Broderick: Thank you.
Operator: Our next question today is from the line of John Healy of Northcoast Research. John, your line is now open. Please go ahead.
John Healy: Thanks guys for taking my question. Just wanted to ask a little bit about the comments on — hey, good morning. I just wanted to ask a little bit about the comments on reducing less productive labor. It sounds like a tricky thing to do, whether it’s the location or maybe the tenure or the talent, and especially with the shortages of mechanics out there. So we’d just love to get your big picture thoughts on how you’re evaluating that and what you’re doing there, and are we interpreting it the right way thinking that the labor is at the store level?
Michael Broderick: Yeah. No, you’re interpreting it the right way. We’re very focused on the store level payroll. We’ve spent over the last two and a half plus years staffing up our stores, so we can get ready for the — what we believe is the tailwinds of the industry. We’re very focused on training our technicians, very focused on making sure we retain them and we keep them qualified to do the work that comes through our shops. What I focused a lot of my — and the team’s focused on is really mitigating wage and the wage expansion and why we’re so focused on talking about overtime every quarter because that’s the number one way that we’re controlling payroll, unproductive payroll, making sure the stores are staffed and mitigating the wages through overtime. We definitely are focused on making sure our stores continue to be staffed with quality technicians. That’s not going to change — when I talk about unproductive payroll, it’s mostly about overtime.
John Healy: Got it. That makes perfect sense. And then just kind of industry type question. One of the things that surprised me recently was some of the Michelin commentary that US replacement shipments into the US were up like low double-digits in September. Just kind of your reaction to that, is that a sign that the industry is restocking or maybe a sign that you’re starting to get some relief on pricing. So maybe folks are taken in product or you just thought it was odd number. Just kind of curious kind of your thoughts on that.
Michael Broderick: Yeah. I don’t have really anything that I have to support a comment about it. So I just look at making sure our vendors are shipping to us when we require it. We have an excellent relationship with ATD, so we have a lot of our inventory is just in time and we have a very supportive vendor community. When we’re down one through six — down 6% in tier one through three, that affects obviously our large manufacturers and they’re investing in us to drive traffic. So the good news is we have great relationships with our vendor partners. We’ll continue relying on that vendor partnership relationship, and we do expect the customer to come back and they’ll be beneficiaries of it just like us.
