Steven Powers: Okay. So just to summarize that, on a net basis, it doesn’t sound like you’re — it sounds like the top-line all you’re making is essentially in line with category growth. If things go well, maybe top end will market share gain, if not, you’re kind of in the zone. Is that fair?
Linda Rendle: That’s fair.
Steven Powers: Okay. Thank you.
Linda Rendle: Thanks, Steve.
Operator: And our next question comes from Jason English from Goldman Sachs. Please go ahead, Jason.
Jason English: Hey, folks. Good evening. Thank you for [indiscernible] me in, and congratulations on a strong finish to the year. I’m going to totally do it myself, by going back in time to a time where you guys used to give us a log of all your price increases and decreases. And the point there was, there was decreases back in, I think, 2009 and 2010, you had you had some decreases on Glad, on Litter, more recently in 2018, I think you rolled back the prices of Glad. Obviously, all that was accompanied by pretty substantial downdraft in commodities. So my question is, if we get to your point, Kevin, your other downdraft in commodities, because these commodities, to your point, are cyclical, would we expect or should we expect you to roll back some of these price increases that you put through one of the four in the last year or two?
Or, in light of the investment you’re making, are you trying to manage the business differently? So instead of give back that relief in the form of pricing, you spend it back into the ability of the P&L through lines like A&P and marketing?
Linda Rendle: Hi, Jason. Thank you for your comment. And then on your question on price rollback, just to be completely clear, so we’re all on the same page, we’ve rolled back one price increase in a category we no longer own from a truckload perspective after taking an increase. And the other ones that you’re referring to, I think, rightfully on Glad, is we’ve always used trade as a way to evaluate given resin is such volatile commodity. And so as we’ve taken pricing, we’ve used trade in the past in order to make up a difference if we’ve seen favorability in resin that we needed to deal with or we saw something change in the category. But the pricing that we’ve taken has stuck in the marketplace. And given what we’re facing right now, obviously, we have not fully recovered margins, made great progress through the pricing action we’ve taken, but we have additional work to do given the fact that we continue to see an inflationary environment, also we talked about three times the average year, certainly better than last year, but still a big headwind.
We are planning to — and anticipate the pricing increases will stick, and that will bring back volume and household penetration through innovation and through investment in advertising and sales promotion. But we don’t see any structural reason why these price increases wouldn’t stick like they have in the past. And again, we’re really focused on ensuring we grow categories the right way through those other levers. And if we need to make an adjustment, I think Kingsford is a good example. We did not roll back pricing. So we took pricing. Competition did not follow. We made an adjustment to our plan by putting incremental merchant place. We did not rollback. Our truckload pricing, we continue to hold that, is a good example of how we’re approaching it, that if we see a dynamic in a category we need to react to, we will try to do that in a short-term manner, and maintain the truckload pricing we’ve taken.
Jason English: Okay. So that actually sounds like you do intend to manage pricing differently than you did a decade ago or so. Last time we came through a commodity super cycle where you didn’t just adjust by trade, you actually announced those price increases, you published those price increases, you gave us a log for the list price decreases on the back end of it. And I’m hearing you say now that that’s even if clients do come in, that’s not the intent. The intent is to manage it differently with trade, flexing trade if we find ourselves in that scenario, and I totally appreciate that you don’t see that scenario. That’s not what you’re calling for in 2024, given the commodity the overall inflation environment?
Linda Rendle: Yeah. I see it as a continuation of what we’ve done in the past, Jason, seems like we have a little bit of different data. But, yes, I think we’re getting to the same conclusion, which is we intend for these and price increases to stick. We think we have the right tools in place to do that. And we’re focused on all the other levers we can pull to continue on the strong category performance we’ve had from a top-line perspective as I noted on spending and innovation. But we’re — you’re landing on the same conclusion, which is we believe these price increases will stick and have a good structural reason to do that.
Jason English: Understood. Thank you.
Linda Rendle: Thanks, Jason.
Operator: This now concludes the question-and-answer session. Ms. Rendle, I would now like to turn the program back to you.
Linda Rendle: Great. Thank you, everyone. We look forward to speaking with you again on our next call. And until then, please stay well.
Operator: This concludes today’s conference call. Thank you for attending.
