Mark Skonieczny: Yes. They will and you’re exactly right, Mig. The towables has hit the trough here and it’s actually lower than historical norms. So, it’s very shortened. So that backlog has been exhausted from a towables perspective. And we look at our other businesses, we still have normalized and in our Class B and C, we still have an extended backlog from a historical trend there. So it is — we would expect as the shows or as orders — or as demand picks up that we’ll see a backlog. I think most of the cancellations have flushed through the backlog now, especially with the ‘23 and ‘22 orders, obviously. So it’s more around just the new products we have in ‘24.
Mig Dobre: So going back to that math, the $193 million, you would say that, that order intake is actually pretty reflective of demand and that’s — as we’re thinking about your production maybe into ‘24, we should be thinking of ranging it around that level. Is that kind of the right takeaway here?
Mark Skonieczny: No, I think on the motorized, this reflective motorized, I think there is going to be, again, I would say that towables at a trough right now. So we would see some pickup on the towable side. But again, we don’t have a lot of exposure as you know, on the towable side, so it’s not going to swing significantly from a backlog of revenue dollars, but would on the unit’s perspective. So again, our backlogs almost been fully exhausted in towables with probably a month sort of backlog there. So I would expect that to normalize back to the, maybe two to three month basis as we’ve seen historically.
Mig Dobre: And I’m sorry, last question on this segment. In terms of production in the fourth quarter for towables, where are you relative to sort of — and market demand. I mean, are we to infer here that your production has been drastically curtailed as well as close to zero in towables in the fourth quarter or not?
Mark Skonieczny: Not zero. It’s about a one-month backlog. So, again, it’s somewhere in the 80 units to 120 units a month there. So down 50%, similar to the market, right as we’ve traditionally done in the 200 type range, 150 to 200, so.
Mig Dobre: Okay. Then I have a couple more questions on fire and emergency. And I guess the first one, I appreciate all the details in terms of the moving parts within that segment, but just for clarification, which portions of the business are still operating at suboptimal level relative to sort of your longer term plan? So where do we still need to see recovery and how much visibility do you have in terms of a timeline here for where you expect full normalization?
Mark Skonieczny: Yeah. We’re still working through that, Mig. It’s really on a plant-by-plant basis, and the new management team we’ve put in there with the President and COO is really reflective, and why we wanted to give that level of detail just to show that we are, the President and the COO are addressing these location by location and we have localized plans as we’ve talked about before. So there is work to do, obviously we’re not there. Our extra rate doesn’t imply that we’re going to be at that target. So there’s probably half of the businesses still have some work to do to get us to that full range that we’re talking about 7% to 8% in the midterm here. And then, obviously long term, we feel real good with the momentum we’ve built and the price realization and the margin expansion that we’ll see in Q4 and then as the aged units exit the backlog with the new pricing we put in, that will see margin expansion with that throughput increase.
Mig Dobre: Right. When we’re looking at the backlog itself $3.2 billion, can you help us understand how much of that is deliverable in fiscal ‘24? And I guess related to your earlier comments about higher pricing flowing through now, why shouldn’t we think about your exit run rate from Q4 margin as kind of the anchor for fiscal ‘24 margin altogether? Thank you.
Mark Skonieczny: Yeah, I think that’s right. That is the anchor going forward, so we will see momentum coming off of that. I would say, on the buildable part of ‘24, we’re still working through, obviously, our plan for next year, so I don’t want to give the guidance there. We are working to also increase throughput there, so exiting Q4 will get a better sense on what we’re going to do from a throughput as well as a ramp perspective. We still have ramp opportunities in majority of our businesses to get back to either historical highs. We are seeing labor, more quality labor come in, as well as have implemented gain share programs have been effective in increasing throughput here. So we continue to pull some levers to increase throughput. So I would hold off to say what’s ultimately going to be buildable in ‘24.
Mig Dobre: Okay. Thank you.
Mark Skonieczny: Yeah. Thank you. Thanks, Mike.
Operator: [Operator Instructions] There are no further questions. At this time, I’d like to turn the call back over to Mark Skonieczny for closing comments.
Mark Skonieczny: Thank you, operator. Again, I would like to thank everyone again for joining us on today’s call. As I said in my prepared remarks, we are encouraged by the progress demonstrated over the past several quarters and will continue to execute localized plans to improve upon this performance as we exit fiscal ‘23 and into the next year. I look forward to providing an update in December. Thank you again.
Operator: This concludes today’s conference. You may disconnect your lines at this time, and we thank you for your participation.
