Bryan Burgmeier: Got it. Thanks for that color. Last question for me. Equity earnings were up quite a bit in 4Q. I guess just what do you attribute to that growth? And do you have any thoughts on equity earnings in 2023?
John Haudrich: Yes, sure. So we have about 4 or 5 strategic JVs that we have spread across the globe. And we have, in particular, 2, 1 in Europe and that caters to the higher-end categories and then 1 over in Mexico. Those have been doing quite well for the business. Again, a lot of the trends that we’ve been seeing over in Europe have buoyed up that joint venture over in Europe. We expect continued good progress in our joint ventures in 2023 also.
Operator: Our next question is from Mike Roxland from Truist Securities.
Mike Roxland: Congrats on a solid quarter and a solid year.
Andres Lopez: Thank you, Mike.
Mike Roxland: First question I had is, you mentioned and John, you made a comment as well in terms of setting the contract in North America. How far along are you in doing that? And do those contracts allow you to recover previous inflation? I think — you made a comment then allow you to cover some of that inflation. So I’m just wondering if they fully allow you to a recover the inflation that you experienced last year partially? Just some more color around where you are in the process, we’re seeing those contracts and if you’re able to recur anything historically?
Andres Lopez: Well, so we had a plan to reset contracts impacting starting 2023, that’s mostly done. And it is a sizable percentage of the total business. We expect to record inflation through the PAF. So that’s going to come into 2023 but we’re also resetting the conditions of those contracts in addition to PAF’s inflation recovery. So it’s a large effort to recover healthy margins, healthy returns in this important market.
John Haudrich: Yes. One thing I would add on that one, Mike, is that the contracts that we’re referring to is North America has long-term contracts, 5, 7-plus years type of windows. So a number of the ones that we’re addressing right now were set, call it, 2.15, 2.18 something like that. which are some of the most challenging environments that we saw in the North America marketplace with what was going on with mega beer at that time as well as the hard seltzer. So they were set in pretty challenging economic conditions. We’re seeing a much more constructive environment as the growth in the premium categories and a lot of other new attractive categories that we’re seeing in North. And so we’re in a much better place as we set those contracts.
Mike Roxland: Got it. And so it doesn’t allow, John, for anything retroactively ?
John Haudrich: Yes. The price adjustment formulas that Andres had spoken about will recapture 2022 inflation that obviously was significantly rebounding. And what I would say is the terms of — the pricing terms of these new agreements are measurably better than the terms that we had prior to that. You can apportion that to recovery of historic inflation or, you can just attribute it to more value creation but it is a step-up in the overall value that we’re getting on that business.
Mike Roxland: Got it. And then my second question, just can you provide us with an update on the progress you’ve made and adding the energy flexibility to our European plants. I think you were targeting either late last year or only this year to have 50% equipped with that energy switching flexibility. And then just as the energy contracts that you’ve already entered into say, pre-COVID, likely will for the next few years. Given where we are today, given the fact that European natural gas prices are lower, is it fair to assume that you’re exploring options to enter into similar type contracts to hedge your energy position in Europe?
