Bert Subin: Hi, good afternoon. And I appreciate the time. Maybe just a follow-up to that question more broadly. Your sales guidance in ’23 assumes what seem like pretty conservative growth level, considering you have a couple of larger contracts that are in the process of annualizing and you likely have continued growth in MRO and across the Pacific. Do you contemplate the Talisman exercise in this guidance? Or is that sort of a zero right now? And what do you think is required to get you maybe two or above that high end on the sales side?
Chuck Prow: Yes. I think the exercise of an INDOPACOM, as they normally do really materialize kind of mid-summer, the late summer, early fall. So we do have anticipated activity around the exercises. We’re not going to know yet for a couple of months the kind of the exact scope and scale of those exercises. I will tell you that we do have in our business, some natural erosion that occurs predominantly in our aerospace aviation business. It’s fully contemplated within our guidance. But we’re really balancing that known erosion with really the continued slowness of new awards as well as we do, again, have a good understanding of the OPTEMPO associated with the exercises. But in the abundance of caution, we’re going to wait to see how that materialize this year as we get closer to the middle of 2023.
Bert Subin: Maybe just a follow-up to your point there. What are some of those headwinds on the aerospace side? And can you give us just an update on what you’re seeing on general military MRO trends?
Chuck Prow: Well, as is normally the case in aerospace engineering, there are particular airframes that are retired over time. Again, that is fully contemplated within our guidance. I wouldn’t overstate that. But I would say in our industry, as you’ve heard from other competitors in the industry as well, these new awards have to matriculate through and actually turn into submitted awards. Again, we feel very comfortable with the OPTEMPO associated with our exercises, which again gives us a great deal of comfort with our guidance. But we really need to see new awards matriculate and be awarded at a more kind of historical rate and pace, if you will, which has now been slowed for really three, maybe four quarters.
Bert Subin: Yes. I guess I meant more on the — just specifically like the military MROs, I understand that’s maybe more reliant on some new activity there. But is the demand pretty robust? I mean that’s a pretty consolidated end market and it…
Chuck Prow: No. I mean the demand that we’re seeing — we didn’t talk about it in the prepared remarks. Our total pipeline within the next year is now $14.2 billion. So we have — we are very, very comfortable with the amount of new and important things coming into our pipeline. We continue to see slowness of awards. We have bids submitted of slightly more than $2 billion right now. So we have a very, very healthy bid submitted a group of contracts. Our pipeline, we continue to feel very strong about the pipeline, we talked about our addressable market being as high as $160 billion, and we can see the continued convergence of both the physical and digital infrastructure that we support. So we couldn’t be more bullish on the marketplace that we are right in the middle of here.
But the reality is that the rate and pace of the new awards are a little slower than we would like and we need to see those awards liven up here a bit. But again, the exercises that we have lined up in INDOPACOM, again, give us a great deal of confidence in terms of the guidance that we have provided today.
