Camille Bonnel: Hi, everyone. Can you speak to the thought process of moving forward with the disposals of 719 and the conference center, just given these assets were not in your December pipeline? And how should we be thinking about further de-leveraging opportunities since you’re working on another [$3 billion] (ph)?
Marc Holliday : Yeah in both instances those are opportunities that were in front of us they came up you know certainly as it pertains to Palisades, it was not an asset that we had a long-term strategy for and not part of our core business plan. But again, continue to see — look for us to mine opportunities as they sit in front of us, even if they’re not in the main business plan.
Camille Bonnel: Okay, and as you work through your disposition and de-leveraging program, how do you think about the earnings volatility when more and more of your cash flows are becoming weighted to ancillary income?
Matthew DiLiberto : Yeah — I don’t think that’s the case at all, but we are building ancillary income streams. I don’t think it’s becoming disproportionate to that. We’re trying to grow things like our special servicing business that we’re going into — the fund business, and we’re managing joint venture interest. That’s good business. It’s diversifying the revenue streams, which you should do. Separate and aside, we have plans, as we always do, to acquire assets, dispose of assets. We have had a deleveraging strategy for a couple of years. We have more of that this year and then we’re going back on offense. So I think they’re kind of separate and distinct. We’ll continue to try and grow and diversify the income streams while managing the balance sheet and the portfolio with opportunistic acquisitions and dispositions.
Marc Holliday : Yeah, I wouldn’t want to minimize the attractiveness or the importance of a business line like some – [in] (ph) some entertainment and the ability to grow that globally. You know, technically you can call it I guess an ancillary business income line but I look at it as a substantial additional attractive business that we’ve developed organically in-house. It’s very profitable. It was fairly capital light. We’re working to expand that into other locations now and making good progress. And I think, it’s quite an important reason overall to be interested and attracted to SL Green Stock is not only our prowess in what we do in commercial space in New York City, but what we’re doing in the areas of hospitality, food and beverage, entertainment, soon hopefully in the funds management business, definitely already deep into the special servicing business, which is a fee-for-service business where we’ve gotten incredible traction over the past, well, really since inception.
I don’t know, we didn’t mention, we just got an additional rating from Morningstar. What’s the acronym? DBRS Morningstar just gave us our third designation as an accredited special servicer, large loans, SASB loans. These are accreditations not easy to come by. And having that now from S&P and Fitch and Morningstar, gives us an ability to create all sorts of new client and customer relationships. I think we’ve got close to [$10 billion] (ph) specially serviced right now, and that’s on top of about another [$7 billion] (ph) that we’ve serviced previously, and we’re just getting started there. So they’re important business lines. We focus on them. We have people internally who specialize in those areas, and we’re looking to grow all of them.
Camille Bonnel: Thank you.
Operator: Thank you. One moment for our next question. Our next question comes from the line of Omotayo Okusanya with Deutsche Bank. Your line is now open. Omotayo, your line is open. Please check your mute button.
Omotayo Okusanya: Hi, good afternoon. Can you hear me?
Marc Holliday : We can now.
Omotayo Okusanya: Excellent. Could you talk a little bit about the lumpiness of earnings in Summit? Specifically, I’m kind of wondering whether that’s why you may have been getting some of these [notes] (ph) in first quarter saying there was an earnings miss, given that probably most of the earnings associated with that business happens over the Summit.
Marc Holliday : I’ve got to restrain that.
Matthew DiLiberto: Yeah, Marc’s going to hold me down because if I hear earnings miss one more time, I’m probably going to lose my mind. So there was no miss. If we missed anybody’s model, it’s because your model was wrong, not the numbers. Separately, as to Summit, it is actually fairly linear. The fourth quarter is slightly better and the first quarter is slightly lower. We actually do only shut down for two weeks a year at Summit, and that happens in the first quarter. And obviously, the fourth quarter is buoyed by holiday sales, but generally speaking, the Summit is pretty linear because we’re sold out just about every time slot on every day and maxed out.
Omotayo Okusanya: Okay, thank you.
Operator: Thank you. One moment for our next question. Our next question comes from the line of Peter Abramowitz with Jefferies. Your line is now open.
Peter Abramowitz: Thank you, yes. Just Continuing on kind of the topic of the earnings trajectory throughout the year, I think if we back out the debt extinguishment in one-time items, it’s implying about $1.11 per quarter for second through fourth quarter versus kind of the [$0.98] (ph) without the debt extinguishment in the first quarter. So just kind of curious if you could provide an overview. I know you said it’s lumpy throughout the year, but if we average it out, should be getting to that $1.11. So what kind of bridges the gap from first quarter to where you expect it to be for the rest of the year?
Matthew DiLiberto : So I’m not going to give quarterly guidance. We don’t, never will. We give annual guidance. The earnings can be lumpy depending on success fees that come in through special servicing or fees recognized on sale transactions or the like. So, you know, we give full year guidance and, there is an acceleration of income, obviously, off the first quarter because the first quarter is low and obviously that’s not going to — if you run rate that, it’s not going to get to the full year guidance that we gave. How it bounces quarter-to-quarter is going to be dependent on how deals close or special servicing fees are recognized or how occupancy takes shape. But we are confident in the full year number and that’s why we maintained it.
