Mark Griffin: Sure. Nehal, as mentioned, the soft launch is well underway and that involves testing both at Telos and TSA sites. But just to put to — what this does mean though is that during this testing phase, we are enrolling and renewing staff members during this process, and that continues. So I think we’re getting close but we are still in soft watch mode, and we’re very confident that we will be launching in 2023.
Operator: Our next question comes from Nima Rad with D.A. Davidson. Your line is open.
Nima Rad: This is Nima on for Rudy Kessinger. I was just curious about the CMS contract. Anything — any update there would be great.
John Wood: This is John. There’s no update on the CMS contract that I’m right now. Mark Griffin?
Mark Griffin: No, there’s been no update at this point. We’re still awaiting the future past order release to do the work that was previously described.
Operator: Our next question comes from Bradley Clark with BMO. Your line is open.
Bradley Clark: I just want to talk about some of the headcount and expense management move that you have made given the revenue headwinds. How did you — you mentioned our water of the staff across all departments. What was the strategy in terms of shaping the workforce? Can you just sort of elaborate on how and why you decided to cut where you did and perhaps where you prioritize them, keeping knows that did, what factors what to your decisions on what to keep?
Mark Bendza: Sure. So it was pretty clear given where the revenue forecast looked for 2023 that they were going to be a number of areas across the company that we’re going to experience a lower operational volume between both billable and nonbillable rules, a big chunk of the employee reduction was related to billable roles associated with the six programs that we talked about. And then, of course, naturally, there is a knock-on effect to nonbillable indirect roles as those programs were ramping down or coming to completion or terminating that had a knock-on effect on the operational cadence and volume for all the support functions across the company. So that’s really what drove it.
Operator: Thank you. This concludes today’s question-and-answer session. I’d like to turn the call back over to John Wood for any closing remarks.
John Wood: Well, first of all, I just want to thank our shareholders for your ongoing support through these times. And we are in robust and recession-resistant end markets. We have well-funded customers. We have a decade-long track record of serving the world’s most security-conscious organizations. So Telos does have a strong foundation for the future. I also want to make the point that the Board and I are fully committed to taking the necessary actions to capture the opportunity in front of us and we build and grow our revenue base for the future. Thank you.
Operator: Ladies and gentlemen, this does conclude today’s presentation. You may now disconnect, and have a wonderful day.
