But I guess I just want to be clear, we believe that (ph) going in that we had more momentum in the banking franchise, which would carry today and outrun the loss of PPP income. I think that’s different than what I hear when I talk to most of my peers. That same phenomenon exists this year. For me, one of the reasons I want to go through the momentum, the core momentum, just how are you get clients, how much business momentum exists, and it’s going to occur regardless of economic conditions and so forth, is to try to help people get that even in a year when we’re projecting BHG to not being a major part of the earnings growth story that we believe we have such momentum in the core banking franchise, which just goes back to the story that we’ve been talking about for a long, long time, all the people that we’ve hired, all the businesses that they’re moving, all the success they’re having penetrating these large banks that are giving up share that we can outrun them.
So, again, I’m going to guess that’s a different story. And so, I know it’s frustrating because most people will easily go to, “Hey, it looks difficulty. Why don’t we cut expenses?” We’ll do that if that’s what’s required, but it’s just not Game Plan A. We believe we have momentum that’s going to produce outsized revenue growth and that’s the play that we want to make. And as I say, that are not only mine and Harold’s, but really all the associates to this firm on that idea.
Catherine Mealor: Got it. That makes sense. So, you’re saying in a moment where BHG revenue is less than expected, the core bank is better, and so that’s why you don’t have to tap into expenses. But if from here, revenue becomes more challenging or BHG falls more than expected, that’s when you can start to flex the expense lever?
Harold Carpenter: That’s exactly. Catherine, I’ve got about $125 million in cash bonuses in this point. So that’s all subject for hitting EPS growth targets.
Catherine Mealor: Great. Okay. That’s super helpful. And then, this is really a small knit, but just wanted to do it for modeling purposes. The FTE adjustment typically — and I’ve looked historically, typically pops up a little bit in the fourth quarter then normalize. So, should we expect — you saw that linked quarter increase this quarter again. Should we expect to see that kind of normalize back down in the first quarter like we’ve seen historically?
Harold Carpenter: Yes, I think so.
Catherine Mealor: Okay, great. And I think that’s all I got. Thank you so much.
Harold Carpenter: Yes.
Operator: Thank you. And the next question is coming from Jennifer Demba from Truist Securities. Jennifer, your line is live.
Jennifer Demba: Thank you. Good morning.
Harold Carpenter: Good morning.
Jennifer Demba: Harold, let’s beat a dead horse a little more. You gave a pretty tight net interest margin guidance. Would you — would it be fair to say that the margin is probably the most at risk element of the fundamental guidance that you guys laid out for 2023?
Harold Carpenter: Yes, I think so. Deposit pricing will be key to it. We feel pretty good about where loan pricing is. We feel pretty good about that. Our fixed rate loan pricing is definitely improving. And we’ve been beating on that drum for several quarters now and I think it’s finally getting some traction. So, the loan yields we think will hang in there. And I think we’ve got support from Rob and Rick and Rob around the franchise on that. It’s — the competition for deposit pricing for us extends beyond what Truist is paying, what Regions is paying, what some of these other franchises paying around our competitive peers. It extends as what the money market accounts are doing, what the high yield savings accounts are doing, what the brokers are trying to do with folks, all that as well.
