Good morning, and welcome to Entra's 3rd quarter presentation brought to you here from Oslo, where we actually woke up to snow this morning. So let's just jump into the highlights in the quarter. Rental income came in at €639,000,000 this quarter versus €589,000,000 same quarter last year. And net income from property management of €402,000,000 Our external appraisers have increased devaluation of our properties with 1.2% in the quarter, thus leaving us with net value changes of 7.94 and profit before tax in the quarter of 1,000,000,000,000. We have finalized 2 large projects in this quarter, both on time and cost.
And we also closed one acquisition of the Hotel Savoy also in the Tullin quarter this quarter. We have had a solid letting activity, signed leases on more than 51,000 square meters. However, net letting this quarter at minus 44,000,000, seeing that one of our tenants has chosen not to renew their contracts. We have also received 2 ESG ratings in the quarter from the 2 standards we report on. Very pleased to see that our Gres B rating came in at 92 points out of 100, giving us also this year a 5 stars ranking and 10 out of the European listed real estate companies.
We're also pleased to maintain our EPRA gold level rating in both sustainability and financial reporting. After the quarter, on October 12, Fasljetsporlagebaldr announced that they had passed onethree threshold and that they will put forward a mandatory bid for all outstanding shares in the company within the 4 week limit in accordance with the Norwegian Securities Act Trading Act, sorry. The board will carefully evaluate the offer when it's put forward and Comeback with their statutory recommendation in due time to Entra's shareholders. The Q3 is normally a pretty slow quarter in respective letting, seeing that we have summer vacation as part of the quarter. However, we have had quite high activity in this Q3.
As you can see from the bottom graph on the right side, this Q3 was active compared to normal Q3. We signed contracts on 51,000 square meters with rental income of EUR 133,000,000 we're off €29,000,000 in the projects. Normally, we work with somewhere between 150,000 200,000 square meters of renegotiations every year. And we typically start 3 to 4 on the large contracts. So we've been working for some time now with 2 large contracts, which expire in 2023.
And we were very pleased to see that the municipality of Oslo with the planning and building authorities in Valskate 123 have renewed the contract or renegotiated, signed a new contract for 10 years. This building is has technical installations, which is reaching the end of their lifetime, meaning that we will do a refurbishment of the building. And as part of the renegotiation, we have agreed to move the tenant into an existing vacancy in our Oslo portfolio, meaning that we will maintain the cash flow from the tenant through the refurbishment. In Brinseng Fire 6, we have a multi tenant building, where the largest tenant is the Norwegian Public Road Administration. They have been reorganized over the last 3 years and reduced their space requirements, and they have chosen to move out of the building when the contract expires in the Q2 of 2023.
So this means that a total volume of €102,000,000 of contracts were terminated in the quarter were off 72 million from the contract with the Norwegian Public Road Administration. If you take a look at the bottom of the slide, you can see some the largest contracts which were signed in the quarter. A lot of large contracts this quarter, the one in Valskate with the municipality, as I already mentioned. Here next to our main headquarter, the Biskopjungnuskaat, the 6 Stadtspig have renegotiated 9,300 square meters. And in Bergen, Merlanda Slide 6, one of our projects.
The municipality of Bergen signed 7,400 square meters. That brought the occupancy of this project up to 95%. In St. Cortalle, Felsweiburna has signed 4,400 square meters. This is actually a tenant which is currently sitting in one of our buildings, which we are now preparing for project.
So very happy to see that they have chosen to stay within the Entra portfolio. And they're actually taking over a space where we have moved another tenant into our Tullin project. So this clearly shows that the value of having a large portfolio and also having large customers which want to stay within the Entra portfolio. In Hagee Gauta, 22 to 24, Schibsted has also renegotiated for 3,000 500 square meters. Our occupancy is currently at 97.3 percent and average lease duration of 7.1 years, including projects.
So a few words on the Tullin quarter again. We've spoken a lot about this area through the quarterly presentations. Very happy to see that 2 of the largest projects in the quarter have now been completed on time in the this area, the 2 buildings marked in yellow here. Previously, we have completed the buildings in green in front, the university building where 4,000 students already have moved in and our pioneer a project, Kristian Ager Skate 13, which was the 1st circular economy project we did. Since we started working with this area, we have seen that rental levels have increased with some 20% to 25%, of course, supported by strong markets, but also the fact that we have done quite a big job on creating the right product and also getting the right F and B concept, food and beverage concept, service concepts on the ground, meaning that this part of the city is now starting to compete with CBD as being one of the most attractive office destinations in Oslo.
And we do believe now that with both high quality large buildings and also the product offering we have put in place on the ground level. This part of the city will definitely trend towards CBD rents and yields going forward. I thought I would just share with you a short clip from a film which we've used in marketing of this area. It gives you an idea of the look and feel which we have tried to create in the development of the Tulin quarter. So let's see if it rolls.
So that was just a snippet out of a 2 minutes long film, which we've used to attract the tenants and help them understand the potential of this Yes. And very happy to see that when you walk around in this area now, you can actually recognize what you're seeing in the film. So that's a good story. If you look at the Unarsdetskata 7 to 9 building in Oslo, it's a high quality building, close to 22,000 square meters. It will be certified breamnor Excellence.
It's currently fully let. We started the project at 25% pre let ratio. And here, we have attracted the more high quality tenants. We have 3 law firms and also our tenant, Know It, which moved from our building in Sundqvartale. It's a super profitable project, yield on cost 5.8 percent and total project cost of SEK 1,300,000,000.
The other project which we have completed in the quarter is Universite Tetzkata 2, where we've put in place the rebel concept. This is a building where we have worked to create the product, answering to some of the trends which we believe to be most relevant for future workplace solutions. And our ambition has been to create an environment which adds value to our B2B customers and also their employees so that it can be used actively also in the employee branding for our customers. So based on our experience from developing Mediasit in Bergen and also together with a partner which has substantial experience in creating arenas for knowledge sharing within the technology industry, hosting lots of events, conferences, etcetera. We launched Rebel with the ambition to become Norway's most important arena for sharing and developing technology competence.
And we're very proud and happy to see that upon completion now, 55 companies have decided to move into this building. And it's a good mix of mature technology companies. It's project offices from large corporates, IT consultants, IT Communities and also Tech Related Education. And for Entra, this project also represents a lot of innovation. It's a building of 28,000 square meters.
As you can see on the sketch on the right side here, the tower has been rented out as more regular offices but with a full service offering. And in the base, we have a combination of studio offices where you can rent anything from office for 2 to 20 people, some co working space. And then in the lower floors, we have converted the parking into restaurants, event, conference space and a total of 6 different food and beverage concepts will be in the building. So if you look at the innovation aspects for Entra, one of the parts has been to create, as I said, an environment which adds value to the customers. As an example, our customers here, signing the contract, they've actually signed a lease that they will also be obliged to host a minimum of 2 events, which they share and open up for all the tenants on the house.
We're also offering full flex or full service lease contracts, example being that the office space is fully furnished, the meeting rooms is equipped, and we will be handling all the take care of all the premises in the office space. We're also offering short term leases, more flexible contracts for an industry which is in rapid change. This means, of course, that we have put a lot of effort into designing the office space so that we can rent out the space to the next tenant if one moves out. So standardized products but with an edge which should fit most customers. And it will also be our first test at operating these full service offices with both co working and also a lot of event space.
The Rebel House will be operated in a fifty-fifty partnership with partners which have experience in the knowledge sharing part, event conferences. And we've also worked on providing solutions, digital solutions, which support the full service which has been put into and flexibility which has been put into the building. So one example being that if you just want to book a meeting room in this building, you will actually get a PIN code on your phone, which brings you into the meeting room which you have booked. The property has had a fantastic response in the marketplace. We launched it with a 13% free let ratio.
However, after a pre marketing phase where we got very positive response, and we're very pleased to see that we're now at 96% occupancy on the regular office and 86% if you include the project offices and co working. In respect of the conference space. It's a bit early to say, but we're getting very good attention now as the COVID the Brexit. We have total project cost in this project of SEK 1,650,000,000, a yield on cost of 5.7 percent, which is up from 5.6% from our last reporting. In respect of the ongoing projects.
There's not much to be said other than that they're all progressing according to the plan on time and cost. We have good progress on netting in Santouglas Gate 5. Tunstall Skate 12, only retail space remains, which will be done closer to completion. In the 2 remaining projects in the city center of Oslo, they still have a long time to completion. In Bergen, we have very strong interest for New Gorgeskarten, 91% to 93%, and we do expect to see that occupancy there will pick up towards 50% based on the ongoing contracts within the year.
In Trondheim, we expect to see that occupancy will pick up closer to completion, seeing that it still is a long time to completion. As mentioned in my introduction, we were very happy with achieving our GRESP score a 5 star rating with a total score of 92, representing an improvement for us of 5 points this year. And the rating makes us number 1 in our peer group and number 10 amongst listed real estate companies in Europe. Grespi is the most comprehensive ESG reporting framework, which measures ESG performance or excellence on both management and operational level asset by asset. It's also the most reputed framework, and the Grespe ESG benchmark covers more than 6,400,000,000,000 dollars of assets under management.
We're also very happy to have maintained our gold level for compliance with EPRA's best practice reporting in sustainability and financial reporting. This clearly proves our commitment to being an environmental leader and also enables us to capitalize on our environmental qualities in both debt and equity markets. Just a short note on Kristian Aigris Kantar, this Pioneer project, which we did, where we actually took, I would say, giant steps in respect on working with circular economy in the industry. In this project. We have had the entire industry's eyes on the project as well as regulators, both in Norway and EU.
I'm very happy to see that it's getting a lot of attention for its achievements. So a few words on the market situation. Norway has fully opened since September. So we're more or less back to normal and very happy to see that both traffic and also activity in our offices have picked up significantly. In our own office, we're now back to normal.
And during the COVID situation, I would say that we have experienced that tenants clearly have been using more time to assess what kind of office solutions they need. The decision processes have been much more timely. We have also experienced that more contracts have been renegotiated. However, we do expect that to be more of a temporarily effect. Relocations should pick up again once the companies get their heads around what their future solutions will be.
And we do note that lease contracts signed during this period have had the same average size and lease duration as before the pandemic. In respect to vacancy, it has picked up from 5.5% and is expected now to trail down again from the peak of around 7%, according to Entra's consensus report. We also clearly see that activity level in the letting market has steadily increased over the past 6 months and continue to increase. We have a very positive outlook on the rental market in Oslo going forward and do also expect to see a pretty strong demand side in the years to come. In Oslo, we are clearly seeing that if you look at all the lease expiries going forward, there's a huge lump of them coming in 2023.
And some of those will probably also roll over into 2024. There are solid expectations for economic growth also supporting a strong letting market going forward. We saw that Idealstad did an analysis on office related jobs employment growth within office related jobs recently. And when they stripped out the sectors within office related jobs, which were exposed directly to COVID, such as culture, education and travel agents, they actually saw that they only had 1 quarter with slightly negative employment growth. And as of the Q2 this year, the annualized growth for office related jobs were 3% in Oslo.
And on the general note, we're hearing from our customers now that when they're coming back to the office, they're experiencing that its struggle to find enough meeting room capacity, which would imply that they would need more space for these functions. And at the same time, when you look at service which I've done in the market, Akashu's JLL has done one on an annual basis asking customers whether they expect to increase, reduce their occupancy. They're also supporting that customers don't really expect to increase sorry, decrease occupancy or densify more going forward. We clearly saw before the pandemic that companies were densifying much more the office desk Space, but that's been reversed now. And if you a look into the work solutions that the companies are discussing.
More and more are opening up for more flexible work, home office as part of the solution. However, we're clearly also seeing that they're conscious about maintaining sufficient space or capacity in the office because it is still very difficult to plan when people will come in, when they work from home. It's and also the savings from reducing space is easily outweighed by loss of productivity, seeing that rent cost is only around 3% to 5% compared to what you pay on average for total employee cost. The short term inflation position in Norway is currently high. In September, we saw inflation come out at 4.1%.
On our lease contracts. We have November, November adjustments of our leases, and more or less 100% of our lease contracts are CPI linked. The transaction market. We have had record high levels in 2020 year to date, EUR 87,000,000,000 of transaction volume. There is very strong competition for attractive office buildings and also for the projects.
We continue to see price levels being challenged. The finance market the financing market is very competitive, and we're seeing margins are under pressure. So combined with expectations for market rental growth, we do believe that this will have some balancing effects on rising interest rates when it comes to property pricing. Prime yield currently still at 3.25 to 3.30 in Oslo. So I think that's it from me now.
And I'll leave it the floor to you, Anders.
Thank you. Looking at the numbers side, there are a couple of key takeaways that we would like to leave with you. Firstly, on the P and L. Revenues are a tad higher than we actually expected. The Hotel Savoy brings it up.
And also, we've seen very positive development in our co working relationship or partnerships with IWG And also the positive development in the rebel concept. So that basically explains the pickup from the 631 that we sort of expected and the 639 where we ended up. 2nd, value changes were also strong this quarter. Thirdly, we see that the financing market has been extremely good this quarter, and we have utilized that to the extent possible. And fourthly, with the development pipeline and the 2 projects that we have delivered, we are solidly back on the growth track.
I think those are the sort of 4 key takeaways from the numbers side this quarter. Okay, diving into the details. Revenues at €639,000,000 so we're up SEK 37,000,000 from the 602 in the 2nd quarter, primarily driven by acquisitions of SEK 27,000,000 And then the introduction of those 2 projects at SEK 6,000,000. If we compare the revenues to last quarter The quarter last year at €589,000,000 were up at full €50,000,000 And again, net acquisitions, We acquired 6 assets and divested 1, yielded another SEK 37,000,000 in positive revenue contribution in the quarter. And then we put 4 assets into operations from our project pipeline and took 2 larger assets out of operations, which yielded In total, a net of negative SEK 2,000,000.
And then we have a strong also this quarter, a strong like for like growth 2.1%, which equals SEK 16,000,000 on the NOK on the quarter. And this 2.1%, as we discussed actually every quarter, has compared is to also be compared with the CPI, which was only 0.7% last year. So it's an underlying very strong like for like growth driven by basically the renegotiations and the increased occupancy On our assets from last quarter. Net income for management coming in at €402,000,000 And you see profit before tax at $11.92 primarily driven by the value changes. As you see in the last three quarters, the value changes Between SEK 7.24 billion and SEK 7.81 billion this quarter, while it was in the Q3 last year, a full SEK 4,600,000,000.
That explains sort of the big uptick in the profit before tax on that quarter alone. Moving into the Numbers per share, we see that the cash earnings annualized 4 quarter rolling is picking up at 8.3 Which actually is a CAGR of 11% since 2014. Look at the NROV, it comes at 205 This is then we have not deducted the dividends that was paid out earlier in October. So it's basically apples to apples to the share price as of September 30. With a CAGR of 14%, quite solid since 2014.
And also, if we include the dividends that we have paid out at SEK 27, it actually gives a CAGR of 17%. On the number part, a few words on the operating cost coming in at EUR 58,000,000. We said last quarter and the quarter before, we are working on getting our operating costs down. We're currently at 9.1% of revenues Yes, in this quarter, compared to 9.4% year to date. So clearly, we're trending in the right direction, But there's still more work to do from our side.
If you compare to the SEK 46,000,000 of the Q3 of last year, Please bear in mind that, that also includes those SEK 46,000,000. That also includes a negative provision of SEK 5,000,000. So basically, we made accruals in Q2 for possible COVID-nineteen effects. And when we saw that it basically didn't materialize, we reversed that In the Q3 of €5,000,000 So real sort of like for like comparisons to it that way would be €51,000,000 not 46,000,000 other revenues, other costs coming in at €8,000,000 with the standard. We see that admin costs coming at €43,000,000 so basically online With previous, we will, in the 4th quarter, have triggered some advisory costs Due to the Balder mandatory offer for all the shares in Entra, which will give us another, give or take, SEK 25 SEK 1,000,000 in additional costs on the Q4.
So that means admin costs for this year would be probably slightly north of SEK 200,000,000 of which total SEK 37,000,000 will be sort of one off or extraordinary costs. So sort of baseline is that we're okay with situation being in the sort of 170 ish Range for admin cost, but it will be higher for this quarter for this year. I'll come back to the value changes afterwards. If you're looking at the rental income bridge, you see that we're now Changed the revised the numbers somewhat. The biggest change has been on the CPI, where we had in our Q2 numbers put in 1.7% CPI.
Currently, September to September in Norway is 4.1%, driven by higher electricity prices. We have for in these figures used 2.5%. So which clearly picks drives up the numbers For Q1 next year and thereafter. Then we put in 2% in Q1 2023, Sort of back to normalized levels. There might be some upside on the CPI adjustments For 2022, but we'll we left it at 2.5% for the time being.
And then we're basically seeing that the When we put assets into operations from our project development pipeline, it takes about 2, maybe up to 3 quarters to get the full effect. So Intersjeskata 2 and Intersjeskata 7 to 9 will also yield an additional revenues in the Q4 and into the Q1. Then we see that in the Q3 of next year, Turin has got a 12% and so up 5% will add revenues and then into Which also spills into the Q4 of 2022. So clearly, if this plays out, Please bear in mind, this is a summary of sort of known effects, what is known in the market. We will have a revenue growth of 6% from 2020 to 2021 and another 11% income growth from 2021 to 2022.
So happy to say that we are clearly back on the growth track for Entra, and it feels good. Looking at the balance sheet, starting off at CHF 62,700,000 adding acquisition of Savoy, another €604,000,000 in CapEx For the quarter. And then the SEK 780,000,000 on value changes on the properties. And if you look at the pie chart to the right of the exhibit, You will see that this comes from the biggest part is yield effects, totaling 41% of the SEK 780,000,000, Which comes from 2 places, to be specific, Trondheim and Skagen, the area sort of west of the Oslo city center. Then we have another 21% attributable to the project pipeline, mainly the 2 projects that have been put into operations and also the one project we're doing in Trondheim.
Then we have another 18% of market rental market rents in primarily in Oslo. And then finally, 16% attributable to net letting. So all in all, a Very strong rent or sort of value changes development for the also this quarter. So adding the portfolio that will be sold to residential developer and the value of our joint ventures. Now have a total assets of about SEK 66,100,000,000 On the financing part.
Q1 this year was a very sort of silent and quiet quarter on the financing side. Basically, given the sort of strategic interest for Entra, We were in a standstill position. It picked up again in the Q2. We did SEK 3,800,000,000 in new bonds on new green bonds. And then we continued that momentum into the Q3, basically leveraging a very attractive financing market.
So we rolled our EUR 1,200,000,000 commercial portfolio CP portfolio. We extended about SEK 8,300,000 of bank debt For 1 more year, so increased duration on our return to maturity on those. And we in 2 major operations, We issued total of SEK 7,400,000,000 in new green bonds in 4 new issues and 2 taps. And at the same time, repurchased a total of 10 different tranches of bonds. So net increase in the bond one portfolio of SEK 2,900,000,000.
So which also leaves us, as you can see, both with a Very solid liquidity position, SEK 8,200,000,000 and also sort of maturity profile on the debt now coming from going from 5 to 6.1 years. So again, a very, very solid quarter on the financing side. The debt mix, you can see on the graph to the left. Interesting enough, due to the number of green bonds issues in the quarter, we now have 67% of the Entra financing, that is green, both in terms of bond financing and bank green bank loans, 6% to 7%. And to the middle graph.
With our, again, tenant quality, the long vault, the assets with we see sort of very low residential risk residual risk And ICR of 3.5 and an LTV of 40.7, it clearly is a very solid ship we're running with significant Sort of fresh gunpowder in case we see want to explore new opportunities. Interest costs on the very right, Stable at 2.12%, and we expect that to pick up in the following quarters, Mainly following the forward curve on the interest rates. It's dampened by our hedge positions, but still we will feel Basically doing them at typical margin of NIBOR plus 20 bps. So even with a fully backstop by bank facilities, it's still a very good very strong and Attractive Financing. Bond market has been simply fantastic for the last half year, and we utilized it to the extent possible.
And the bank market, again, open, supportive from our 5 banks and flexible in terms of financing. So On the funding side, on the financing side, it's all good from Entre. And I think that concludes the financial part. Thank you.
Okay. Thank you, Anders. So some closing remarks. The market fundamentals are very solid. In Norway, most people seem to be now coming back to life and also into the office post COVID.
The letting activity is picking up, and we have a limited near term supply, which is positive for the market situation right now. And we believe this is preparing the ground for further rental growth going forward. The transaction market continues to be strong and very competitive. And on our hand, we are progressing on our highly profitable project pipeline according to time and cost. We completed 2 large projects in the quarter with yield on costs of 5.7% 5.8%.
This also enhancing the attractiveness of the Tullin area. And we have ongoing projects of 100 and 5,000 square meters, which, when completed, will be delivered at yield on costs between 4.4% 5.7%. We are also progressing on our shadow pipeline according to plan. And we continue to have a very strong balance sheet and the capital structure, which supports a potential to add significant also further growth in the years to come. So that concludes the presentation from our side, and I think we're ready to move to Q and A, Tolne.
So
we have received some questions. The first one being, when will the Board make a statement on the Boulder offer?
Okay. Well, 1st, Boulder has a 4 weeks period before they have to put forward their offer. And the offer has to be in the market for between 4 6 weeks, depending on the amount of American shareholders the first we have. And the board is then inclined to put forward their recommendation within 1 week prior to the expiry of the mandatory offer.
What are your plans for Brinsengfahr 4 to 6 following a termination by the Public Roads Administration? Will there be need to refurbishment? How long has the tenant been in the building? And how old is the building?
Okay. Well, we've already started working with the letting. We do expect that we will have to do refurbishment. The building is will be 20 when they move out. So we will probably see that we'll take that part of the building to refurbishments, and hopefully, we will have signed contracts before we get to as 2 years ahead of time into the future.
What can you say about the estimates for the 2022 CPI adjustment and what is valued into the books?
Well, we have used 2.5% in our Sort of communication on the known effects on the next 6 quarter revenues. It's again, it's September. We all our contracts or 98% of our contracts are 100% linked to the CPI in Norway from November to November the previous year. Last year, I said it was only 0.7%, mainly driven by low electricity prices in Norway. Now the opposite for this year, the opposite has happened.
So electricity prices are skyrocketing And September, December is 4.1%. So maybe somewhere north of 2.5%. I think we're just on the safe side on 2 point I think that's the way it looks like right now. On our appraisers, they actually use different estimates on the 2022 CPI expectations. One has 2%, another has 2.9%.
So I guess, on average, they feel we're quite happy with that. So there's This is also taking a sort of slightly conservative view on the CPI. But going forward, We expect sort of 2% standard CPI in Norway. And if you look at the CPI from 2000 till 2020. On average, it's been 1.9%.
So it's 2% seems like a Fair figure. So it was extraordinary low last year and is probably going to be extraordinary high this year.
Should we expect Rebell or Universitatskater 2 to result in negative contribution from Astosis and JVs in Q4 as well? And what do you expect for 2022 in terms of contribution from associates and JVs?
Yes. Our JVs are basically 2 companies. The rationale is about Rebell, Right. But it's the 2 companies. Let me just take both of them.
One is Oslo SVTvikling, the sort of residential developer in Bjorvikka in Central Oslo, which we own 50% now. We acquired the went up from 33% to 50% last quarter. As a residential developer, they will recognize the profits when they sell the apartments. So that means and right now, we're basically just done or finished off selling 1 chunk and not selling, actually taking over the apartment By the new owners, not selling. And we're now into sort of another stage, and we expect them to be negative For the full 2022 because basically and then there will be a big chunk of profits coming in afterwards.
They were, on our books, about €3,000,000 to €4,000,000 negative for the Q3, and we expect that to pretty much to continue In the coming quarters. On Rebell, as Sonja said, there were we own the asset, the building. And then we have a fifty-fifty partnership with another company, which is basically running the asset with and they the our revenues from that asset is We expect to be, give or take, in a full sort of run rate scenario, pretty much about €80,000,000 or so. We expect that of those €80,000,000 €20,000,000 or so comes from the base of that building, being the events And the sort of the flexible part of it. And that has not picked up yet.
And until that picks up, We will have we will not make a profit in that joint venture. We expect it to be negative also in the Q4. And but The underlying trend is positive. They are getting sort of business and events coming in now. So we expect them to Sort of make a break sort of breakeven in 2022.
But it will not be a humongous profit on that because That will be on our books because we are the only asset.
And then the final question being, you the margins you are seeing on bonds and commercial papers, but you did not say anything about the bank margins. What are they?
We deliberately did not say anything about the bank margins. It's We do business with 5 of the top 6 Nordic banks. And on a 5 year bond, now we'll be in the sort of the low 70 margins. I think it's fair to say that don't go into details on the bank financing, but I think it's fair to say that we have the cheapest bank financing In Norway. So there it's more expensive than the bond market, but it's significantly cheaper than what our peers and cousins and friends are getting.
But sorry, I cannot go into details on that one.