John Ivankoe: Hi, thank you. The question is on the comp, if I can, in the fourth quarter. I mean, can you talk about how much of that was price? How much of that was ticket if you are kind of seeing different consumers behave different ways with the brand, if you think there’s anything really instructive in the data that you’re seeing in the fourth quarter specifically? And I guess I’ll be a little cheeky and see if you’ll address this. I mean, can you talk about what you think your average pricing will be for 2023, if you think you might take more pricing? And there have been so many movements in commodities since we’ve last spoken if there’s even a soft update that where we can kind of consider commodity inflation relative to pricing for 2023, if you’re willing to address that. Thanks so much.
Todd Penegor: Hey, John, a lot of good questions in there, and I won’t address those today. We’ll save a lot of that detail and discussion for our March 1 release when you start to think about where we are on price, where we are in customer counts, what we’re seeing on mix. How we’re looking at the health of the consumer. I mean we continue to see a consumer that’s a little more strapped. We’re in the right segment of the restaurant business. QSR continues to place €“ be the place to be. There is continued trade down into our category. And as you see from our results on a one- and two-year basis, we’re competing and performing very well. So we’re happy with that.
Gunther Plosch: Yes. Just to add on this, John, right? And we are really happy about quarter four, right? We told you in quarter three that we’re going to grow double-digit on a two-year basis across all segments. And we have done that actually exceeded that with more than 13% growth on a two-year basis in the fourth quarter.
Operator: Our next question comes from the line of Gregory Francfort with Guggenheim. Gregory, your line is now open.
Gregory Francfort: Hey, thanks for the question. I just had one on the unit growth on the U. S. side. It looks like you guys had a bit of outsized closures. I mean, is that something we should read into on a go-forward basis? Or was there anything specific to the quarter just in terms of €“ I think it was the first quarter in a while with net closures during the quarter. Just figure out and I ask the question. Thanks.
Todd Penegor: Good morning, Greg. Yes, we are happy with our outlook EBITDA performance on the units, right? We told you it’s going to be 2% to 2.5% for this year and we ended up in that range. Secondly, I would say the split between growth is 40% in the U. S., 60% in international. We kind of told you, as we worked ourselves through the year, that we will have elevated closures this year. We told in the past between 130 and 140, which is definitely elevated versus what you have seen in the past from us. That’s what basically happens this year. As you might remember, a lot of it has to do with REEF and cleaning that adventure up for us. I’m not going to comment on closure rates on a go-forward basis. We do that beginning of March.
Operator: Our next question comes from the line of David Palmer with Evercore ISI. David, your line is now open.
David Palmer: Thanks. I don’t know if you’ve mentioned this, but what is your leverage target now? And then I’m just curious how you perhaps weighed using cash for buying back stock against debt reduction or other sort of business-related spending, perhaps incentivizing unit growth or even if that cash is used on an expense basis, I’m wondering how you weighed those options? Thanks.
Todd Penegor: Good morning, David. From a leverage ratio point of view, we haven’t really issued a target. As you know, at the end of the third quarter, we were about 5x levered. We’ve gone to do the final numbers once we issue the full audited results. From a debt structure, as you know, we have securitized debt that is really nicely levered. The first time we need to get into kind of refinance mode is probably in 2025 or 2026. So we have some time to think about it. Optimistically, we definitely are taking debts down in line with our capital allocation policy, right? You’ve seen it. We have bought back in the quarter already $20 million of our debentures. As you know, they are due for repayment in December of 2025. So there is $70 million to go. And we’ll see whether we can reduce debt on a go-forward basis. It’s the balancing act between the share repurchases and debt, because I think we are demonstrating that we are doing both.
Operator: Our next question comes from the line of Eric Gonzalez with KeyBanc. Eric, your line is now open.
