Caleb Henry: A couple of questions. One about the launch. So, noticed there is 14 rockets from SpaceX, and each can carry up to 18 satellites each. Just kind of quick math there, kind of equals 252 satellites, which is more than what has been ordered currently planned. So, I was wondering if you can walk through the logic. I know it is up to 18 per mission, but what’s the reason for kind of having so many launches planned there?
Daniel Goldberg: Caleb, thanks. Listen, we have worked with SpaceX for a long time. We have got a good relationship with SpaceX by committing to the number of launches that we did. We think that we have been able to get kind of an overall compelling case in terms of just the overall value proposition for the launch capacity that we have lined up. And as you know, our expectation, we have rights from MDA to add more satellites over time. We have said that, to the extent that we do that, it is all going to be demand driven. SpaceX has been very constructive in terms of working with us to position, the timing of the rocket’s kind of, when we think we need them. So that’s really what it is. It was a function of the good commercial terms that we have with SpaceX to provide those rockets, wanting the certainty in terms of our ability to expand the constellation over time and then having a constructive launch partner that allows us to line up those rockets, kind of consistent with what we are seeing in the market and our commercial plans.
Caleb Henry: Okay. Thanks. I appreciate it. It didn’t see segment numbers from you guys this quarter. If that’s something you are still sharing, can you kind of break out revenue in terms of broadcast enterprise? Anything else?
Daniel Goldberg: I mean, for sure, it’s in the 6-K.
Caleb Henry: Okay. My apologies.
Daniel Goldberg: I mean, order of magnitude, it’s like, I am looking at my colleagues, like, 48% broadcast — order of magnitude, 48% broadcast, 48% enterprise, and sort of 2% other. But I am staring at my colleagues, is that that I know of? Okay. So, there you go. But it will be in the 6-K as well.
Caleb Henry: Okay. Thanks. And then it looks like, Telesat have reported better-than-expected gross margins for this quarter. I’m just wondering if that’s something that you expect to see sustained or if that’s going to change kind of on the assumption that more third-party capacity will be needed to kind of bridge the gap between now and lights speed?
Daniel Goldberg: Yeah. Maybe I’ll take the first crack at that and then Andrew can talk about it. We are as always really focused on managing our cost structure as tightly as we can. And I think as a result we’ve always sort of had industry leading operating margins, but there are headwinds for the business. And we renewed with bell on NIMIQ 4 that would’ve been in early October, but as we’ve said, it was at a lower rate than what the old rate was. And so, there will be some kind of revenue headwinds as we head into 2024 and the beauty of a fixed cost business is when you’re ramping revenues up you can grow your operating margins nicely. Sadly, the converse is true as well when you’re facing some of these revenue headwinds and you’re facing revenue declines, you can’t really reduce your cost structure kind of in a proportionate way.
So, I’d say on balance heading in the next year there, there’s definitely going to be some downward pressure on operating margins and we’ll just do the best job we can, as we always do in trying to manage through that in terms of being as disciplined as we can around the cost structure.
Andrew Browne : That’s right Dan. And just to add that indeed our margins are probably one of the highest in the industry and our previous comments around OpEx and CapEx investments in to LEO. Obviously when we start full blast with our program next year, then of course we will see that investment coming through if both CapEx and indeed in better operating expenses.
Caleb Henry: Okay. Thanks so much, guys.
Operator: Our following question is from Arun Seshadri from BNP Paribas. Please go ahead.
Arun Seshadri: First just wanted to confirm the cash balances, I think you said $1.8 billion total with $1.5 billion in the restricted group. So, I could just, the assumption there is that the C-band cash inflow just went into the unrestricted group. Do you expect to do you expect to fund more in the near term from the restricted group into the unrestricted entities?
Michael Bolitho : So, it’s Michael Bolitho. Yeah, the C-band proceeds. We have one, we said we had $1.3 billion in cash in the unrestricted entities. The C-band proceeds went to the unrestricted entities. And we’ve been fairly consistent, certainly in our discussions with investors. There is still a little bit of money to be funded to the unrestricted entities from the restricted group. The general basket of $150 million is available to fund that.
Arun Seshadri: Got it. Thank you, Michael. And then as far as the additional funding the vendor financing and the government contributions, can you — is there any update in terms of the terms of the Canada and the Quebec funding and any updates in terms of the vendor financing and the smaller bits of additional financing that were required?
Daniel Goldberg: We don’t have any updates on the terms yet. When that’s all nailed down, we’ll share more information about it. We are — as we said at the outset of the call, making good progress, I think with the government partners, kind of federal and provincial to move the funding forward. We had said before that funding was subject to the government completing confirmatory diligence and putting definitive agreements in place. And from where I sit, that all seems to be going well, and moving in the right direction. So, our expectation is that we’ll reach financial close either late this year or sometime early next year. And at that point we’ll be able to share more information about the funding terms and whatnot. But I’d note also, and it’s probably a sign of our confidence that we’re going to get there in the near term, we’re moving out on the program, and that’s why CapEx is ramping in Q4.
