Morning.
Morning.
I think we're a couple of minutes early. It all got quiet, and I thought I might as well just start the meeting. Don't worry, the legal part will start at 9:30 A.M. Good morning, and welcome to Louisville. Welcome to our annual meeting. Apologies for the humidity and for the rain, but thank you so much for making the effort to come today. Not all companies have annual stockholder meetings like this. This is pretty unique. It is unique in some ways as Brown-Forman, and thank you for keeping it that way. We've got retirees in the room, some whom I've seen. We've got advisors to shareholders in the room. Thank you for everything that you do between these meetings, and thank you for coming today. Of course, people who've come in from all parts of the country and even the world.
We're also live here online, so thank you as well to those of you out in the financial community in Pennsylvania. I think you know who you are when I say that. In New York, in London, thank you very much for dialing in this morning. In particular, I'd like to welcome some of our retired directors who are with us this morning. Martin Brown Sr. is in the room. Thank you, Martin. Ina Bond is here as well. Thank you, Ina. Dace Brown Stubbs. Where is she? Dace Brown Stubbs. Thanks, Dace. Jim Welch has just retired as the Vice Chairman of the corporation and was on our board for seven years, I think, maybe eight. He's here as well. Thank you, Jim, for coming in. Martin Brown Jr. and Sandra Frazier enjoyed 10 years on our board of directors, and they're also in the room today.
Martin, Sandra? Yep, right over there. Thank you so much for coming. Thank you. Actually, in the last 12 months, I think it was my cousin Marshall who alerted me to this, that there was an independent director of ours, John Speed, who passed away, and if you were my age growing up, he would've been one of these wise independent directors that we had who contributed to so much of what's made this company great over the decades. I just wanted to mention that Mr. Speed is on certainly my mind today also. With that, I think I'll move to the, and we're almost at 9:30 A.M., the formal legal part of the meeting. I now call to order the formal business portion of the 2016 annual stockholders meeting. We have two items of business on the agenda for today.
The first is to elect the directors for the coming year, second, we'll seek your approval of an amendment to our restated certificate of incorporation to increase the number of authorized shares of Class A common stock. Unless there's an objection, I'll waive the reading of the minutes from last year's meeting. If I could ask our Secretary and General Counsel, Matthew Hamel, to describe the notice given to the shareholders.
Thank you, Garvin. Class A shareholders who appeared on our records as of June 20th, 2016, are entitled to vote at today's meeting. On June 28th, 2016, we mailed a notice of this meeting together with a proxy statement, a proxy card, and a copy of the company's annual report, which included our Form 10-K for fiscal 2016. To establish a quorum to conduct business at today's meeting, we must have in attendance in person or by proxy, at least a majority of the outstanding Class A shares. I can report that at today's meeting, approximately 91% of Class A shares are present in person or represented by proxy. We therefore have a quorum to conduct business.
Thank you. The following people were sworn in earlier as electoral inspectors to supervise the voting: Jeff Caffey, Mike Carr, and Mohammed Lashege. At this meeting, the first item of business is the election of directors. The following 12 directors are up for election to serve for the coming year. If I could ask each of you to stand as I call out your names. Patrick Bousquet-Chavanne, Executive Director of Customer Marketing and M&S.com at Marks & Spencer. Campbell P. Brown, President and Managing Director of Old Forester, Brown-Forman Corporation. Stuart R. Brown, Managing Partner of Typha Partners LLC. Bruce L. Byrnes, retired Vice Chairman of the Board at Procter & Gamble. John D. Cook, Director Emeritus of McKinsey & Company. Marshall B. Farrer, Vice President and Managing Director of Global Travel Retail, Brown-Forman Corporation. Laura L. Frazier, Owner and Chairman, Bittners, LLC.
Augusta Brown Holland, Founding Partner, Haystack Partners LLC. Michael J. Roney, retired CEO, Bunzl PLC, and Deputy Chairman and Chairman Designate of Grafton Group PLC. Michael A. Todman, retired Vice Chairman, Whirlpool Corporation. Paul C. Varga, Chairman and CEO, Brown-Forman Corporation. I'm George Garvin Brown IV, Chairman of the Board, and I'm also standing for re-election. I'd now like to entertain the nominations for your board of directors.
Brown IV, Stuart R. Brown, Bruce L. Byrnes, John D. Cook, Marshall B. Farrer, Laura L. Frazier, Augusta Brown Holland, Michael J. Roney, Michael A. Todman, Paul Varga.
Is there a second? I second the nomination. Are there any other nominations? If there are none, I declare the nominations closed. The second order of business here today is described as Proposal 2 in your proxy statement. We're asking you to approve a proposed amendment to our restated certificate of incorporation to increase the number of authorized shares of Class A common stock. Your approval of this proposal will allow the company to execute the previously announced two-for-one stock split of both our Class A and Class B common stock. I always like the numbers around share splits. Of course, Warren Buffett has his opinions if you read any of his annual reports. Since 1933, we've had 12 share splits, so this would be the 13th. Paul, I've done a bit of research. Since you came to the company in 1986 as a summer intern, we've had six.
Actually, we've had two since Paul and I have been working together in this capacity. Our share price without any of these splits today would be $137,460. I love Warren Buffett as much as anyone. Your board recommends that that's just not really the way to manage our share price. I'm not sure it would fit on your iPhone, if that's how you track your shares. Anyway, enough of the aside. Matt, would you please describe the voting process?
Thanks, Garvin. If you completed and returned your proxy card, you've already voted and you don't need to do anything further. If you did not send in a proxy card, or you did but would like to change your vote, please ask for a ballot from one of the people now walking through the aisles. In the election of directors, only Class A shares may vote, and a nominee will be elected if he or she receives a majority of the votes cast. For Proposal 2, the approval of the proposed amendment to the company's restated certificate of incorporation to increase the number of authorized shares of Class A stock, only Class A shares vote, and approval requires an affirmative vote of the majority of the outstanding shares of Class A common stock.
Would the inspectors please provide the results to the secretary? Thank you.
At today's meeting, each of the 12 director nominees has received at least 98% of the Class A votes cast. Therefore, each nominee is duly elected to be a director of the Corporation. For Proposal 2, I'm pleased to report that 89% of the outstanding shares of Class A common stock were voted in favor of the proposed amendment to the company's restated certificate of incorporation to increase the number of authorized shares of Class A common stock. Therefore, Proposal 2 is approved.
Thank you. On behalf of your board, thank you for your continued support. This concludes the formal business portion of our meeting. Unless there's any other business to come before us, I declare the 2016 Annual Stockholders Meeting adjourned. Okay. Thank you. Before I bring Paul up, to talk to us about the business over the past year, and probably other years, too, I know he'll use some metrics today, I imagine. I bumped into a new metric this year on a flight from London to Warsaw, of all places, in April. It's qualitative. You're going to have to bear with me as I explain it. I was off to visit the Polish team. Wonderful business. They've actually doubled the Jack Daniel's family of brands in the last five years to 350,000 cases. It's run by Ricardo Cupido, who's a Portuguese national, Polish wife.
He's been living in Warsaw. Where's Thomas? For how long now? Five years he's been in Warsaw? Okay. Running our business there for 18 months, maybe 24. Thomas Hinrichs is here today. He runs everything from the United Kingdom to Australia. He'll be at the brand fair. If you want to learn more about the Polish business, please do find him, and lots of other businesses. I was very excited. Off to see Ricardo and his team. Hadn't been to Poland in a while. Great business. The flight was a bun fight. It was packed. A bunch of angry businesspeople off to leave their homes for the week and go do business in Poland. I was lucky. I got the aisle seat. Sorry, I got the exit row, and I got an aisle seat. I love a good aisle seat. Exit row is even better.
No one can lean back on you, et cetera. I know that if you're sitting on the exit row, you need to put your bags up above, right? Which I did. The good news is there was no one in the window seat either, no one in the middle. I thought, "Oh, this is just golden." Right before we take off, angry Englishman about my age comes onto the flight, makes a whole flurry. He forgets to put his bags up above. He takes the window seat, bags under. He's got to get out. My seat belt's off, second time now. Of course, he forgot something in his bags, third time. Now I'm really not liking my neighbor very much. Anyway, we take off, the snack car comes down the aisle. I took a water, Paul. Traveling on business, took a water.
He, of course, wants something, and he asks for a Jack Daniel's on the rocks. It's not so bad. I look to the stewardess, and she says, "I'm so sorry, sir. We're out of Jack Daniel's." It goes back and forth, and back and forth, and she's offering him this other whiskey brand. She's got a red label and a black label of that brand. He's so bent out of shape. He said, "Look, if you don't have Jack Daniel's, I'll take a glass of champagne." What's this metric? Not only did he leave the category, but he left the entire spirits industry when he couldn't get Jack Daniel's. Brand loyalty, unaided awareness, recall. Past 30-day usage, almost. I bet he had a Jack when he got to the hotel that night.
On a flight from London to Warsaw in 2016, you're overhearing this conversation in the exit row? How did that happen? It took me right back to 2003, when I was interviewing with Mark McCallum, Michael Keyes for a Jack Daniel's marketing job. "Guys, the whiskey category's not looking too good." "Don't worry, Garvin. We're not here to take share of the whiskey category. We're here to transcend the category. It's about building this brand. If the whiskey category grows, that's low-hanging fruit. With Jack Daniel's, we transcend the category." Okay. I guess they were right. How does Brown-Forman do it? Here they talk about the art and science of brand building.
On the art side, it's all the nice soft creative stuff, consumer insights, marketing, those Postcards from Lynchburg that I wrote about in the annual report that are on the subway line in London that my neighbor probably has been reading for 30 years. Postcards from Lynchburg. People call it globalization. That's localization of the world of Lynchburg, Tennessee. On the science side, it's production, it's finance, it's the sales guys getting rejected at accounts in those early days and going back, and back, and back. Art and science of brand building at Brown-Forman. I remember leaving this meeting about 10 years ago, I overheard a conversation between my mother, who's here today, and Patrick Bousquet-Chavanne, one of our directors, just reelected. "Mrs. Brown, how did you like the meeting?" "It's fine, thank you. You know, I'm just not so interested in business.
I'm not really a business person, I'm really not sure about the content. It all looked lovely. Lovely feel in the room." He goes, "Mrs. Brown, what are your interests?" "Honestly, I love music. I love classical music." We've just left a concert. Don't you know a great CEO is like a conductor of a symphony, he knows when to call on the percussion, and the strings, and the wind instruments. We've just left a concert. She beamed. I beamed. Our conductor's Paul Varga, we're all actually in the symphony. Shareholders who made the effort to be here today, despite this weather, the traffic, I-65. Paul's team, transcending this category, building businesses around the world are the wisdom of our board of directors, retired and active. All of us, we're all in the symphony, it's Paul who's our conductor.
Please join me in welcoming our conductor, Paul Varga. Thank you. Your first gig.
Thank you. Thank you. Thank you. Garvin's introductions are always so nice. It's a pleasure and a privilege to be here to represent the groups that he just referenced. Before I even get started, let me thank all of you for the support you provide to what I'm about to say, as well as our board for the guidance, counsel, and support they give this executive leadership team that's at the front of the room here, who I hope you'll have a chance to interact with at the brand fair. They'd be mad at me, and would be correct, too, if we didn't honor the 4,200 people around the world who actually produced what I'm about to share with you. Always the Brown-Forman Annual Shareholders Meeting is a family affair. We have many, many faces in here, of course, from the Brown-Forman family.
The place is absolutely flooded with Brown family members, as is our tradition, which is wonderful and unique, as Garvin mentioned. I've actually got family here this year. Some years I've had it and others I've not. We have an intern in the back, my nephew, who is interning here, who counted votes, and I hope he did that right. My wife, Misty's here, and my dad's here for a repeat performance. I think he first came down to sort of check me out, and now I think he's down here looking after his investment a little bit more. I think he's been coming down, like, several of the last few years. After the first time Dr. Don came down, several people came up to me afterwards and said, "My God, he looks exactly like you.
Exactly like you." If you get a chance afterwards and you want to see what I look like at the young age of 84, come up and visit my dad because we're a spitting image, so. Anyway, the theme here, as you can tell behind me, is Building Forever. They're just two words. They do use the initials of the company, but I thought I'd try to, again, bring it to life. We've referenced it many, many times here at Brown-Forman. This process of Building Forever, it is intended to be a statement that marries our highest ambition of building an enduring company with the process that actually will do that, which is a growth mindset.
A way I like to think about it, because it's a play on words, of course, is in order to build the end state of forever, we have to be Building Forever. That building is this growth mindset about not only the company, but the brands I'll talk about, and something I talked about in great part last year that I won't go into as much today, which is about the building of our people. We think there's a very direct correlation between the company's progress, the brand's progress, and our people's progress. Now, I'll try to give you some insight of that, and I think one of the most important aspects of it is to first touch base on the year we just concluded, because it's a fine example of this Building Forever. There are five highlights I would note here from the year.
The first, of course, being the brand performance, there's no new news from last year really here. Maybe one thing I'll cite, Jack Daniel's led it, the American whiskey brands of Brown-Forman, Woodford Reserve, Old Forester particularly, continued to perform extremely well. It was a Jack Daniel's-led business performance as in past years. Of note, the tequilas really had their breakout year in the first decade of Brown-Forman's ownership of Casa Herradura. Alongside it was continued geographic balance. Probably the most noteworthy thing was something you would have observed in the headlines around the world over the last year or so, which was the slowdown in emerging markets. Brown-Forman was not immune to that.
While we still grew in the emerging markets, our growth rates moderated, we were more dependent on the United States, which had another excellent year, as well as our developed international markets. Currency headwinds continued. It's been a theme for US-based companies the last few years is the strong dollar. When we translate profits back, we actually have what we call currency headwinds, they don't convert at the rate they did two and three years ago. It's a prominent topic in all of business today. Some people benefiting from it, some people being hurt by it clearly was a theme in the FY 2016 performance. Despite it, Brown-Forman continued to have great business efficiency, I call it. Within our industry, we have the leading operating margin and return on invested capital, two of our foremost metrics. Finally, we made significant long-term investments.
We reshaped our portfolio, through share repurchases and the continued success of our dividend program, provided cash back to shareholders. For those of you who've been coming here for years, other than things like currency headwinds, it's been a pretty consistent story. One thing I would note across all of it, though, that really will emphasize this point of Building Forever, what we're striving to do and what I hope you will take away that what Building Forever represents is the desire to perform in the present while continuing to invest for the future. Performing in the present while continuing to invest in the future. This is the one-year total shareholder return, and I'm going to show you four of these. The first one just captures the last 12 months ending April 30th, the end of our fiscal year.
You'll see we were not the best performing within our industry, as a couple of companies really rebounded versus some prior years. Even consumer staples in the one year was ahead of us. This is a benchmark set of companies and benchmarks. We never go out with some mandate that we have to be first. We just let these results fall where they may. We love the fact when we are the first, but we can only control our own performance. We guide ourselves based on the strategies and investments we make to try to deliver consistent results. In this year, we were about mid-pack here, and you see a variation as you always do on a one-year basis. Important, we performed very nicely with the 8% TSR, but we're doing things to position the company very well for continued success.
Again, this idea of Building Forever. One thing we did was the very difficult decision to sell Southern Comfort and Tuaca, particularly Southern Comfort, a brand that had been with us since the late 1970s. Had been very successful at Brown-Forman. A lot of us attached to it because we'd done such good work on it over the years. We made the decision to sell that and at the same time make investments via acquisition and innovation. I've got a sampling here, and it goes well beyond this, but these are some of the more noteworthy ones. Jack Daniel's Tennessee Fire had a successful introduction this year. You see pictured there a wonderful picture at the ribbon cutting of the Slane Irish distillery that we're building, and we'll soon enter the Irish whiskey business.
BenRiach Distillery, which encompasses three single malt brands we closed on, which reenters Brown-Forman in the single malt scotch business. Coopers' Craft, a brand that alongside Woodford Reserve and Old Forester, which by the way we continue to invest significantly behind, Coopers' Craft joins our stable of Kentucky bourbons. You might ask, what is Coopers'? I'm going to show you a video because they can say it a lot better than I can.
We here at the Brown-Forman Cooperage are proud to announce First new bourbon in over 20 years. A toast to wood whiskey made with our distillers' finest bourbon and our own barrels. We're proud to be a part of one of the oldest and leading whiskey makers in the world and the only major distiller to own its own coopers. Raising our barrels since 1945 here in Louisville, Kentucky, U.S.A. Our barrels. Our bourbon. Coopers' Craft Kentucky Straight Bourbon Whiskey. With barrels created with the heritage skill, hard-learned, hand-taught knowledge from two years. Four years. Five years. 10 years. 15 years. Almost 25 years. 26 and a half years. 27 years. 36 years. 38 years. Almost 47 years of expertise. Because what matters most, we do ourselves. Coopers' Craft Kentucky Straight Bourbon Whiskey. Because what matters most, we do ourselves.
We feel this is a very big idea for not just today, but for 20 years from now. If you get a chance, we'll have, I'm sure, outside copies of our annual report. Most of you would have received them in the mail, on the back of it is something that as we think about Coopers' and we think about the investments we're making today, there's a quote. It says, "Plant trees so that others might enjoy their shade." That was an Owsley Brown quote. He loved it. It was a Greek proverb, he would cite it often. Bill Street, who I didn't see here today, used to tell us to plant acorns to become oaks.
What that reminded me of, that video and some of the activities of the last year are exactly captured in this idea of planting trees so that we might enjoy their shade. That's what I'm going to talk about here with these next segments of time, where we have begun to recognize the benefit of earlier investments. One of the things that gives us confidence about what we've done here in the last 12 months is to start to look at, let's say, 5, 10, and 20-year segments, because this isn't new at Brown-Forman. We've been doing this for a very long time. Here's our 5 year, you see here that if you spread the results out over 5 years, Brown-Forman having a significant advantage over many of the benchmarks and at the very top of our industry set.
It didn't just happen by absolute coincidence. One of the most important things we did 5 years ago was to devote our energies toward the spirits business in an even more concerted way. One of the things we did to enable that was to sell our popular priced wines. Another difficult decision for us because they'd served us well to that point. When we shifted out of there, we really focused our efforts on Jack Daniel's Tennessee Honey. Those are in these 5-year results. I can tell you that the result of that is that this brand today, in a 5 short years, is easily Brown-Forman's second most important brand, behind only Jack Daniel's Black Label. If you spread it out to 10 years. Let's go back a full decade.
Brown-Forman, again, fortunately for us, at the very top, very strong results on an absolute and relative basis. What might have propelled this? Happens that 10 years ago was the time when we, again, a business that had served the company well until this time, we decided to exit the consumer durables business, which was Lenox and Hartmann, in 2 transactions. At the time, we even focused more on distilled spirits, particularly the premium end, with the acquisition of Casa Herradura. You see pictures here. This was fun as I saw it, as it was prepared. These were the bottles and what they looked like back 10 years ago when we bought it.
If you ever wanted to know one of the little capabilities that Brown-Forman brings in the brand-building process, I think tested over time, we've been very good at evolving and improving the brand identity through packaging. Also feel our manufacturing units are excellent at ever improving the liquid that's in these bottles. This was something I thought was very helpful, that shift from consumer durables and Hartmann luggage focus to this, giving the organization even more clarity about what would be the most important priorities and could drive our results. Probably the thing that should give us the most confidence about what we've done in the last year and what might happen going forward is to look at the 20 year. Now we're going back an entire generation, and this is just not management taking credit for stuff that happened a long time ago.
This really is the story of Brown-Forman's continuing success, and it's this renewal of performing in the current time while investing to make sure that might continue. If you'll remember, probably one of the most significant strategic actions of the company of the modern era was Owsley's and Bill's push to globalize. You see it captured here in the map, but also how we were going to go take Brown-Forman's brands and values around the world. If you think about why we have performed in the way that we have against this competitive set and these benchmarks, the big factor has been the appeal of Jack Daniel's globally, just the appeal of Jack Daniel's worldwide. It's captured through that sliver called globalization, which, by the way, is going to continue.
Also, we did something else back then, which was we planted a tree called Woodford Reserve. At that time, several of us were around, but at that time, we wouldn't have imagined that Woodford Reserve might become what it's become today. We sure hoped it might. We sure hoped it could. What you see here is from 1997 through to today, the ascent of Woodford Reserve. I'm going to give you just something, because the scale here has 100,000 cases going up to 500. For those who are not that close to the business, there are typically, for a brand, two very meaningful milestones at its early stage. Getting through that 100,000 case mark, and I don't mean just pushing it out there, I mean truly selling.
When a brand is so rare at the premium, and in this case, super premium level for brands to go through in a healthy way, a half a million cases, and Woodford Reserve eclipsed that during FY 2016. The way I'd say it is, the team before us planted the tree here, and that's the shade we're enjoying. We really are. As we go do that for the next group with the BenRiach acquisition, with Coopers' Craft, et cetera, we hope that somebody will be up here 20 years from now saying, "Thank you for planting that tree." It's this idea of renewal where you perform in the current and invest for the future. Now, how do you keep confidence against the backdrop outside this room?
How do we go forward thinking what we did over the last 20 years will work against this context of the next 20, particularly when all of this is around us? It is around all of us. All businesses, all people have to deal with it, but businesses, too, have to navigate this. One of the ways that we keep our confidence is to look at these, be aware of them, but we also look at these headlines. You have to remember to give equal balance to the scary world we are in, but also what is happening with our category. For us, all of that progress during most of the period, say for Woodford, the bourbon category, particularly in its home, the domestic country where Woodford is strongest, the U.S., was not growing.
It happened against the grain for the first part, and in these last few years, it has actually been a tailwind for us. We consider this to be a source of optimism, even against all the negativity we might see in the world. You might ask, why American whiskey? Why is it bucking the trend of many other categories, et cetera? There is just reference points on here, but I will tell you first and foremost, that that stressful set of headlines I showed, it is in part one of the reasons that I feel personally that bourbon is thriving. Somewhere between the stress created by all of those headlines and terrorism and uncertain global economies and difficult markets and just the hectic pace of life, the world decided it needed a real drink. It really did. Why is American whiskey considered a real drink?
It is because of these things. It is made by real people, real craftsmen in real places. More often than not, the provenance happens to be small towns or not the big city. It is enjoyed by people who are. Just think of the reference point. The reference point 10 years ago were candy-coated vodkas, watered-down light beers, and sugar bomb chardonnays. This has flavor. It has taste. Acquired taste is cool. Can you imagine that? An acquired taste where everything was so easy. This has flavor and taste. I feel like this is the time for American whiskey, because where the consumer has moved, American whiskey more naturally is. Nothing, nothing has either built or represents today more American whiskey than Jack Daniel's Tennessee whiskey.
Another thing that people appreciate in addition to provenance and quality and craftsmanship and hospitality, all these things that American whiskey and Jack Daniel's have, is history. It is really cool today, even though we can never be the new kid on the block again, it is really cool today to be 150 years old. It is really cool to have survived your own prohibition. It is really cool to have lived through a few world wars. Jack Daniel's is celebrating this year with a tremendous amount of public relations. Even though I have showed the Woodford story and all these other ones that we hope will someday turn into brands like Jack Daniel's, there is no chart that I can put that even comes close to this enduring growth story. You have to really go back with me here now. This is 60 years.
This is a 60-year line of Jack Daniel's development globally. You see a 60-year cumulative annual growth rate of roughly 7% for both the main Black Label brand as well as the family. We don't take it for granted, but I would contend that enduring brand growth comes from enduring brand values that people feel are compelling. Enduring brand growth, really, to prove it over that long a time, comes from enduring brand values. I could tell you all about Jack Daniel's brand values, but I thought I'd show you just a clip because again, they can say it better than I can.
This is Lynchburg, Tennessee. This is how many people were born here. This is how many are fifth generation. This is how many are named Hiawatha Kitty McGee. These people have served their country. This is how many will still be in town when the football team plays at Huntland. She's from Taiwan. He's German. This guy keeps the town dry. These guys would prefer it a little wet. This many have ejected from an SR-71 Blackbird and lived to tell about it. He can lift a 500-pound barrel of whiskey. These are the direct descendants of Mr. Jack Daniel himself. This is how many people are proud of what we do here. This is how many will go around bragging about it. This is our town. For 150 years, the home of Jack Daniel's. If you can't get here, just look for one of our postcards.
We send them all over. They look like this.
Thank you. Let me finish with a little toast. To postcards, to 150 years, to Jack Daniel's, and to building forever. Thank you all very much for being with us today. We take questions?
Sure.
Thank you.
Okay.
Thank you, all. We, of course, have the brand fair and reception as is traditional here, but if there were any questions, we'd be happy to entertain them here. Otherwise, we'll direct everybody. I'm sure if it's really rain, I haven't seen outside, obviously, but if it's rain, there'll be umbrellas, of course, for us in order. It's just short, and you can mostly stay undercover through the buildings themselves. It'll be short amount of time you'd be out underneath the rain if it is raining. Otherwise, we welcome you all to the brand fair. Thank you very much for being with us.