Devin Stockfish: Yes. At a high-level, not really, Mark. Obviously, the margin threshold that you have to overcome in the North is a little different than the South. But we think where we are getting ready to sell these initial main credits at a mid- to high 20s range. I think that would be sufficient for the projects we are thinking about in the South as well. There are different dynamics in terms of the growth rate of trees, et cetera. And so the biometrician work is a little different. But really from a high-level, there’s not a material difference in the way we are thinking about those projects versus the ones up in the Northeast.
Mark Weintraub: Great. Appreciate the color.
Devin Stockfish: Right. Thank you.
Operator: Our next question is from Ketan Mamtora with BMO Capital Markets. Please proceed with your question.
Ketan Mamtora: Thank you. Maybe to start with, Devin, can you talk a little bit about what you are seeing in terms of lumber import from Europe? I know it has eased from the start of the year, but do you see that continuing to trend down? And then what is your sense of those European inventory sitting at the U.S. ports along the Eastern Seaboard?
Devin Stockfish: Yes. I mean, as you say, we certainly saw a pretty significant spike earlier in the year coming in from Europe, that’s undoubtedly been coming down. One of the challenges in answering that question with specificity is real-time data on those European imports is tough to get at. There’s usually a lag. So it’s largely based on anecdotal statements from our sales team. I do think it’s continuing to come down. I think it’s probably pretty challenging to make the economics work coming in from Europe right now, and you have to cover all of the transportation costs given where lumber prices are. That being said, I do anticipate the European producers are going to continue to keep some level of supply coming in, even at these lower lumber prices because it’s an important supply chain for them and an end market that they hope to grow over time.
Now I will say, at some point, when the European economy improves, they still have, I think, a deficit in Europe when you take into consideration the lumber that is not coming in from Russia and Ukraine. I think we probably would have seen a little less European supply coming in if their domestic markets were in better shape. Currently, that’s not the case, obviously. But over time, I would expect the European economy to improve and more of that lumber produced in Europe to stay domestic. But in direct answer to your question, we have seen it come down. I do expect it to come down a little bit more, but not go away completely.
Ketan Mamtora: Got it. That’s helpful. And Devin, have you worked through all of that inventory from part of the year [ph] spike.
Devin Stockfish: I think so, yes.
Ketan Mamtora: Got it. Perfect. And, Davie, just any early read on how you are thinking about 2024 CapEx? I’m not looking for a specific number, just directionally, is it similar to 2023 higher, lower?
David Wold: Sure. Yes, Ketan. So at this point, we haven’t given our 2024 guidance. We typically do that at the beginning of the year. So look forward to that next quarter. But I can just say our multiyear guidance that we’ve given of $420 million to $440 million. At this point, I don’t see our 2024 guidance changing substantially from that.
Ketan Mamtora: Perfect. Now that’s very helpful. I’ll turn it over. Good luck.
Operator: There are no further questions at this time. I’d like to turn the floor back over to Devin Stockfish for closing comments.
Devin Stockfish: All right. Terrific. Well, thanks everyone for joining us this morning, and thank you for your continued interest in Weyerhaeuser. Have a great day.
Operator: This concludes today’s teleconference. You may disconnect your lines at this time, and we thank you for your participation.
