Earnings Call: Q3 2021

Oct 21, 2021

Good day, ladies and gentlemen, and welcome to the S and T Bancorp Third Quarter Earnings Conference Call. At this time, all participants have been placed on a listen only mode and the floor will be open for questions and comments after the presentation. It is now my pleasure to turn the floor over to your host, Mark Kochvar. Sir, the floor is yours. Thank you very much, and good afternoon, everyone, and thank you for This is taking today's conference call. Before beginning the presentation, I want to take time to refer you to our statement about forward looking statements and risk factors, which is on the screen in front of you. The statement provides cautionary language required by the Securities and Exchange Commission for forward looking statements that may be included in this presentation. A copy of the Q3 2021 earnings release can be obtained by clicking on the press release link on your or by visiting our Investor Relations website at www.stbancorp.com. We will be reviewing an earnings supplement slide deck. As part of this presentation, you can obtain a copy of those slides by clicking on the link On your screen or on our website under Events and Presentations, Q3 2021 Earnings Conference Call, click on the Q3 2021 earnings supplement. With me today are Chris Nakhamish, S&T's CEO and Dave Antolik, S&T's President. I would now like to turn the program over to Chris. Thanks, Mark, and good afternoon, everybody. I'm very pleased to be with you this afternoon. And on behalf of Mark and Dave, welcome to our call. Firstly, I'm particularly pleased as I wrap up my 1st 2 months. And needless to say, it's been a very busy 8 weeks as the new CEO at S&T Bank and today is another milestone. And as you know, when you're new, you have a lot of firsts. This quarterly earnings call is the last of my significant firsts and we're now 100% focused on moving forward. I'm going to touch on a couple of things, 2 main things in my remarks. 1, where we've been focused since I arrived and briefly touch on our financial performance. I don't want to steal Dave or Mark's thunder as they will provide more detail And they, along with our entire leadership team and employee base deserve real credit for some solid results. First, on what I've been doing front. You'll see on the slide Page 3 on the left hand side, I view These first days is simply an integration into this company. I'm becoming part of S and T. S and T is learning about me and we're moving forward Together, the term integration is something that we've used collectively as a leadership team and an employee base in order to, 1, understand a lot about who we are, We differentiate ourselves, how we're winning in the market and where the opportunities may be for growth and improved performance. That will build to our future state and we'll have more details around that as we head into 2022. Within this activity in this integration, it's been a very busy one. We've had significant number of Employee meetings, both 1 on 1 and in group sessions, and we've told them enough that I've had the opportunity over the past 8 weeks to be in front of almost 1 third of our entire employee base. We've also had significant senior leadership engagement, including a few day off-site strategic planning session at the end of September that did a lot to build the team as well as Organize our focus around how we move forward together. Obviously, significant engagement with our Board, Shareholders and the investor community to not only introduce myself, discuss our future as well as Most importantly significant customer engagement out in the marketplace. By the end of the week, I will have been in all of our markets And have come away from this time extremely, extremely optimistic about our future. We have many strengths. Most importantly, we have a fairy tale employee base driving customer engagement and customer experience and that Speaks a lot to the bottom left hand side of this page and there's really 3 big areas of focus. How I think about this business and Where our leadership team is focused is very much around doing everything we can to drive employee engagement first, engaged, excited Employees that have the tools and the skills to perform and to deliver for customers are going to lead to high levels of customer engagement as well as market following. We have a great name and reputation in the marketplace and focusing in this way is only That work is very much underpinned by an everyday focus on not only safety and soundness, Delivering our results as we expect them, but operational excellence, whether we're face to face with our customers, with a digital Interxion or in the back office from an operations standpoint, this focus is on operational excellence, safety and soundness and delivering for those engaged customers in markets that we have the honor to serve. Our focus is on profitable growth and the consistency thereof. That's the output of the work that we're doing around these 2 big inputs around engagement, soundness and operational excellence. Again, More to come, a lot more details to follow. This is the perfect time of year for us to be planning for 2022 and beyond, and we look forward to discussing those things with you in the future. On the right hand side of the page, a couple of highlights that I want you to hear and again, Dave and Mark will go into more details. First, we had earnings of $0.70 a share. We feel very good about those solid earnings, Primarily because of how they were driven and that was through some very strong loan growth of north of $100,000,000 linked quarter that loan growth was broad based both in our commercial C and I business as well as in our consumer portfolios. The good news here is our pipelines remain strong and again Dave will give you more details. And during all of this change, One of the things that we also wanted to pay attention to and it's a testament to this leadership team as we've also stayed focused on expenses, The efficiency of this company is part of what we're known for. And in spite of change in transition and new leadership, we kept our eye on that ball. Last, as we talked about in the earnings release, we're seeing positive trends in our hotel portfolio. This is a topic that's been of discussion for the past few quarters and past few months and things seem to be moving in the right direction, certainly stabilizing Compared with where they were. And as it relates to confidence in our future, I am very pleased to Reemphasize the decision that was made at our board meeting earlier this week and that was an increase of our dividend by a penny or 3.6 percent to $0.29 a share. I look forward to your questions as we move forward in the call, but now, I'm going to turn it over to Dave and he can provide more details. Great. Thank you, Chris, and good afternoon, everyone. If I could refer you to Slide 4. As Chris mentioned, we're pleased to report loan growth excluding Triple P of $118,000,000 during the quarter. This represents a 7% annualized growth rate when compared to Q2. Drivers of growth include increased revolving Line utilization in our C and I book from 31% to 33%, which translates into approximately $31,000,000 of balance growth. We also experienced an increase in our total revolving commitments of $23,000,000 during Q3 as new customer acquisition remained solid. Most of this commitment growth was in our asset based lending division, where we continue to carve a niche of providing a unique banking solution for the lower middle market. Asset based lending will continue to be a strategic focus for us moving forward. For the quarter, we also experienced total consumer loan growth of $38,000,000 Driven primarily by residential balance mortgage balance increases, which are primarily the result of a shift in customer activity away from refinancing to the purchase where our balance sheet products are preferred. Looking forward, our commercial loan pipelines improved quarter over quarter. This includes C and I, Commercial Real Estate and our Business Banking segment. We also anticipate increased utilization from the 33% that I mentioned Earlier as our commercial borrowers seek additional working capital to support growth. As a comparison, Pre pandemic utilization rates averaged approximately 42%. Getting back to pre pandemic levels would result in approximately $200,000,000 of additional loan growth. The consumer pipeline also grew quarter over quarter and reflects the shift in Customer activity that I mentioned earlier with demand for our portfolio residential first mortgage and home equity loans both increasing. I thank you for your continued support and interest in our company, and I'll now turn the call over to Mark for his comments. Thanks, Dave. Net interest income improved by about $400,000 compared to the 2nd quarter. This is due in part to an increase in PPP activity, which was $4,200,000 compared to $4,100,000 in the 2nd quarter. An extra day in the 3rd quarter also helped net interest income along with an increase in average loan balances, excluding PPP, of almost $100,000,000 These improvements were offset by lower loan yields As the rates on new loans are tracking about 50 basis points lower than paid rates. The headline net interest margin rate decreased just 2 basis The loan yield decrease combined with higher average cash balances of $129,000,000 were offset by the relatively higher PPP revenue. Although the dollar amount of PPP revenue increased only slightly compared to the 2nd quarter, the average balance of the PPP loan declined by 193,000,000 resulting in an outsized impact on the NIM rate. There remains about $181,000,000 of PPP loans on our balance sheet and approximately $5,700,000 of related fees to be recognized. Looking ahead with loan growth returning and PPP coming to an end, We should begin to deploy the higher cash levels on the balance sheet. This should help offset the loan yield pressure I mentioned earlier and stabilize the net interest margin rate and importantly improved net interest income. The influence of Shopify should end after the Q1 of 2022 when forgiveness is expected to be essentially completed. Next, non interest income in the 3rd quarter increased by about $400,000 compared to the 2nd quarter. The largest increase was in mortgage banking, which improved by about $400,000 primarily due to a higher mortgage servicing rights valuation. Wealth Management showed continued improvement through a combination of higher assets under management and increased customer activity. We expect the run rate in non interest income to be $15,000,000 to $16,000,000 per quarter. Non interest expense increased by $1,400,000 Compared to the Q2, we remain well controlled at $47,200,000 in line with our expectations. Higher salary and benefits $700,000 came mainly through incentives and higher base salaries related to some new hires. Other expense categories were in line with the prior quarter. We expect our expenses to be $48,000,000 to $49,000,000 in the 4th quarter as investments in our production capacity will continue And incentives will be higher related to the increased activity we experienced. Next, our allowance for credit losses to loans decreased from 1.56% in the 2nd quarter to 1.55% in the 3rd quarter with the release of about 1,300,000 There were several moving parts of the reserve this quarter. 1st, specific reserves were higher than the 2nd quarter and all but about $500,000 of $6,500,000 as of the end of the second quarter, both related to the hotels, saw improved valuations resulting in the elimination of those specific reserves. 2nd, we added a new $9,300,000 specific reserve related to C and I relationship. This resulted in a net increase in Specific reserves of about $3,400,000 3rd, for the ACL in total offsetting the net additions in specific reserves was lower qualitative adjustments related to Just totaling $12,200,000 to OREO. So although NPLs decreased by $1,300,000 with this move to OREO, NPAs increased by 10.9%. Our capital ratios improved in the 3rd quarter and are in excess of regulatory well capitalized level, And our capital position continues to expand. While we have $37,400,000 remaining on our buyback authorization, We have no media plans for buybacks. We're monitoring valuations and are prepared to respond should conditions warrant. Our preference is to utilize our capital to Thank you very much. At this time, I'd like to turn the call back over to the operator to provide instructions for asking questions. Your first question for today is coming from Michael Perito with KBW. Michael, your line is live. Thank you. Good afternoon, Chris. Good to speak with you. Dave, Mark, good to speak with you again. Good morning, Mike. A couple of things. I want to start on the loan growth. It was good to kind of see the reacceleration here in the quarter. Dave, based on your comments, I mean, it sounds like the consumer and commercial pipelines are up quarter on quarter. So I mean, as we think about, obviously, There's other items like pay downs and closings that get pushed and things of that nature. But I mean is it do you feel like ex With the PPP balances largely gone, I mean that we can kind of derive like 5% to 7% loan growth give or take years from here annualized. I mean is that In the realm of what you guys are thinking based on the pipelines you see and if anything above that likely comes from maybe a bigger pickup in line utilization? Yes. Your description is right on, Mike. So with the existing pipeline of new business activity that we have, we are comfortable Guiding towards that low single digit loan growth number through the balance of the year with the additional tailwinds of increased utilization in both Our revolving C and I book, the higher utilization that comes along with some of the ABL book And as construction projects continue to fund through the balance of the year, I think we would look at a higher number or guidance for Overall loan growth. And then in the consumer business, as I mentioned, the activity has moved more towards a purchase market, Which is where our balance sheet plays more of a role in terms of growth in assisting those customers. Helpful. And then just a couple more on the expense side. Maybe Chris would love to hear kind of I know you kind of just got there, but any areas of investment or anything like that that are particular interest or focus For you and as we look out to next year, and I know you guys are probably just starting the budgeting season, but how do you guys kind of internally think of Expense growth with potentially some revenue growth acceleration, obviously, push some more digital. Yes, I'll start there and then I have a follow-up. Yes. So I'll put it in a couple of buckets. Mark touched on it a little bit. We will continue to look for Talented teams of commercial, middle market, asset based bankers that are in the marketplace and We continue to look for expansion there. That could that would require additional FTEs in kind of the Frontline Commercial Banking, Steve. We're also looking at what I've defined and what we've talked about is what does the operational excellence look like. And there's opportunities within the organization to continue to digitize processes and take paper out of what we're doing, Anything from front end capabilities that may look like CRM opportunities to, as I said, back office more, Call it the loan processing and origination function in the mortgage standpoint. But today, we're in the assessment phase And thinking about where the needs are and the prioritization of those needs. But we do know that growth Does require continued investment. We do have again, as I said earlier, I'm very pleased with the discipline that's shown within the company Around expense management, it's not a new thing to talk about with our organization, but we do also need to recognize the fact that in order to grow, investments That's required and we'll continue to balance those things out. Helpful. And then just lastly On the capital side, would love to hear you guys kind of alluded to some things in the prepared remarks. It sounds like you had the dividend increase. It doesn't sound like buybacks are kind of top Of the list here. But, we'll push you guys a little bit here. I mean, at least by my math, I mean, the tangible ratio probably going to 10% next year, even if you grow 5%, 6%, 7% on the loan side, the economic environment doesn't seem to be getting worse. Obviously, you have the 10,000,000,000 Threshold to contend with here, but would love some updated thoughts around capital and how comfortable are you letting these ratios build, I guess before we could start to see some more diversified deployment? Yes. I think it's something we constantly look at. I mean One thing with our balance sheet is that we are have a heavier loan base and it's commercial oriented. It uses or requires more regulatory capital than the average balance sheet, I think, of some of our peers. So even though our tangible might look high on a regulatory basis, we tend to be in line or actually a little bit below Some are peers. So we have to be cognizant not only of the tangible impact but also the regulatory impact to make sure we maintain Correct and sufficient cushions to weather any storm. So I think that limits that puts some limits on how much we would be comfortable Buying back in the current environment. But that said, our as Chris mentioned, we're in that assessment phase. And I mean, reluctant before we kind of flesh that out a little bit more to do anything that would impede our options when it comes to Our first and second parties, which are organic and M and A. That's helpful. I mean, just one quick clarification. I mean, As we think about what you just laid out there, Mark, I mean, so your Tier one leverage is like 9.7% your total risk, but it's 14%. I mean, Is it fair though to think that closer to 9% and maybe 13%, 13.5%, I mean those are would you guys consider these current levels still In excess, I guess, relative to how you think about the capital the balance sheet needs? Yes, a little bit, but not overly so much that there would be room for a Significant buyback program that would really move the needle. I mean, I think to be that we will pay attention to It's where our stock is trading and what the implied earn back of those buybacks are. And even in that kind of low 30 range, The earn back on that, it gets to be a little bit long, but you have to wonder if that's the right way to deploy the capital. Your next question is coming from Daniel Tamayo with Raymond James. Daniel, your line is live. Hi, everyone. Just wanted to maybe touch first on the expenses. I know you went into some detail there, but and I appreciate the guidance for the Q4, around that $48,000,000 $49,000,000 level. But kind of digging in on your comments on continued investments and higher incentives, how should we think about As we look into 2022, what a good base might be or normalized growth rate? Well, in the past, we've always strived to hit that pretty low single digits, so that 2% to 3% range. Yes, I think with the readjustment that we're doing and the need to have a higher growth rate, that could be higher in 2022 Then in prior years, as some of those investments need to be made and they may not come right away with revenue That followed immediately. So one of the things we're thinking about in the planning process is potentially a little bit higher expense run rate in In 2022, but that would begin to normalize as the revenue started to catch up and we could go back to a more normal increase And then second, just a modeling question. Do you have the amount of what the MSR valuation adjustment was in the 3rd quarter? The amount wasn't very much, it's about $160,000 It's more of a change. It was negative Last quarter, so the delta was about $400,000 It was like negative $200,000 and some, followed by a positive $160,000 So the overall was Overall change is about $400,000 Okay. All right. That's helpful. Thank you. And then finally, just maybe to touch a little bit on the C and I credit that was moved into nonperforming status in the quarter. If there's anything else you could disclose there in terms of industry or The type of borrower and I'm assuming that that was a one off situation, but if there's anything else that you discovered in the portfolio and Finding that credit, that'd be helpful. Thank you. Yes, sure, Daniel. So, I'm not prepared to comment on the industry because it is an active workout, but the total Exposure in that relationship, and it is a C and I relationship, is $21,700,000 We continue to work with the customer and the customer has been cooperative in an effort to work to resolve the credit. The loan was downgraded to substandard and moved to nonperforming during Q3. The customer was impacted to a certain by COVID, but there were some other operational issues that were evident in our review of the credit. We expect to formalize our workout strategy during Q4, which could result in a charge off. And we do, however, expect ultimately to resolve this credit sometime in 2022. All right, terrific. Thanks for taking all my questions. Appreciate it. Thank you, Tanner. Your next question is coming from Russell Gunther with D. A. Davidson. Russell, your line is live. Hey, good afternoon, guys. Hey, Russell. Hi. I just want to start with the ABL portfolio and a reminder of what the size Of the portfolio is today, ask some comments on what that contributed to growth in the quarter and then how you ultimately kind of would look to scale that going forward? Yes. So the commitments at the end of the quarter were around $165,000,000 Utilization rates in that portfolio tend to run-in the 60% range. That Vertical is 2 years old. The folks that we brought on board to lead that charge just celebrated their 2nd anniversary. Yes, we plan to accelerate our growth in that space. We do feel that from a risk perspective, we have a very Strong practice. There's a very rigid monitoring in that space and Our risk appetite in terms of size of credit is unique in the market. Most of our competitors are going up Stream, we're kind of at the lower end of the middle market. So it's a product that we can charge for in terms of Yield and fees that surround it. We always demand and get a full service relationship So there are treasury management, private banking opportunities that revolve around these customers. So a 30% kind of annualized growth rate in the commitments, perhaps beyond that, The folks that joined had non solicitors with their previous employer that expired earlier And or at the end of last year, so that aided in some of the growth that we saw this year. But as Chris mentioned earlier, we're looking to add resources, Human Capital, we've got a very robust technology platform that supports that effort and is scalable as well. So we see that becoming more of an integral part of our growth strategy as we move through 2020 Yes, Brooks, this is Chris. I'll just add, it's part of my own assessment coming in here. 1, we I'm pleased with how the Company built this business. 1, we built an infrastructure from a technology standpoint that Dave Talked about the most current generation of the platform that's needed To service these sorts of credits, we've got a treasury management infrastructure that supports the business that puts us Right out there with anybody from a competitive standpoint talking about any of our banking competitors. And then the third piece is We're not practicing when we do this. We hired real seasoned professionals that know this space and are on top of it from a credit management and diligence standpoint. So, scenario I've spent a fair amount of time with over the past couple of weeks, Spent a whole morning with them last week going through a detailed portfolio review. And I give Dave and Mark and the team a lot of credit for having the foresight a couple of years ago to go this way. And it's a good example of kind of organic growth That can be done with relatively speaking few dollars handful of people, really smart Thanks, Dave and Chris. I appreciate your thoughts there. It's really helpful. I guess just last one for me, Chris, would be as you look to leverage your background into the legacy S and T business model, Are there any loan products or niche verticals that you're not in to be or a different approach to Fee income to try to get that as a greater contribution of revenue to peers and are those type of strategic Shifts, if there are any, something we might learn about in the 1st 100 days or what's the Yes, I think it will be a little later than the 1st 100 days, It depends on how we laugh here about defining is it 100 business days or calendar days. And it depends on which way it turns in my favor, which way We're thinking as we get to the latter half of Q1, January, February is tough time To be out here talking just from where people have their attention. So we're working through the end of the year, that aligns with Our budgeting process and I would define it as more to come. Again, there's Part of my own due diligence before I even started was looking strategically at where the company had put its emphasis. And You can look on the income statement, some good double digit growth. So there's it's small Double digit growth across the board and important customer things like treasury management fee income growth, Our wealth management fee income growth, something as simple as debit card activity And growth that actually does require our employees in our company being actively engaged with our customer base to utilize those cards and that It does nothing but connect those customers more closely to us. So we're going to look at our online and digital offerings and see We can do to upgrade and make them more user friendly. We're not missing anything, but I think there's enhancements that we can do To as much as anything drives that customer experience and customer engagement, and that's where we're focused right now. Your next question is coming from Matthew Breese with Stephens Inc. Matthew, your line is live. Hi, good afternoon, everybody. Hi, Matt. Hey, Chris. Maybe away from potential new products and services, Could you give us a sense for how you're measuring success at the bank? I mean, are there metrics that you would kind of point us to that You're watching as well that you'd say from point A to point B, we were successful in our new strategy. Yes. I mean, We've talked a fair amount of almost the simplest measure is looking at a pretax, pre provision number relative to the size of Our balance sheet and what could that be down the road, knowing the infrastructure that we have and think about just organic growth, what could that look like That requires potentially some enhancements to the capabilities that we have as well as the addition of people. I would say the other area that we've spent a lot of time internally talking about are credit metrics and back to the safety and soundness Way of running this business and we're working through that to ensure that The monitoring is staying on top of our credit book is in line with our expectations. So those are a couple of areas that make a lot of sense. You've got a lot of moving parts right now. It's tough to say, well, what is normal, right? With the PPP loans coming off, you've got a rate environment that's at floor that's going to be there for a long time. We've got liquidity on our balance sheet that we've never seen before. So it's really hard to Depends you a number that's reflective of what history looks like, but those would be a couple of areas that we're in the short term spending time on. Got it. And as you hone down that list, the top 3 or 4 items that need execution and focus and the most focus, I'm curious where does M and A stand on that list and it's important just given the size of the balance sheet, approximately $10,000,000,000 Yes. So we're certainly Mark mentioned it a couple of times, we're not opposed to it and we would be interested In the right sort of opportunity, but as you know, those things happen when they happen. And I've told the team that my focus is solely on delivering what we can control and that's organic growth. And then thinking about part of what we've described Dave's role and my role is Dave's here driving performance for today And I'm here thinking about building for tomorrow. And that building for tomorrow is going to come in a couple of forms, right? Organic growth is going to be the recipe and it's going to And it's going to be the key ingredient to our ability to have meaningful inorganic opportunities. So So we've got to deliver performance like the team did this quarter, continuing to do that. That will help us with the currency that we need in order to potentially do things down the road. But certainly not opposed to it and part of the business that I've been a part of for a long time. Understood. Thank you. Last one for me. The last handful of quarters, we've seen the securities portfolio increase anywhere from, call it, $20,000,000 to $40,000,000 As you Consider the cash position of the bank, is that something we should think about continuing until cash normalizes? Yes, I think we've especially with a little bit better rate environment farther out the curve, we see a little bit more value in It's a securities purchases. So I would anticipate that we would continue to see some increase on a quarter over quarter basis for now. Okay, Great. That's all I had. Thanks for taking my questions. Thank you. Thanks, Matt. Your next question is coming from Daniel Cardenas with Boenning and Scattergood. Daniel, your line is live. Hey, good afternoon, gentlemen. Hey, Dan. Just a quick question. You may have mentioned it, Mark, I might have missed it. But replacement yields on the loan portfolio, what do those look like now versus Where the historical yields are? And then on the funding side, What kind of levers are left to pull? I mean, your cost of funds are fairly low. What kind of levers are left Paul, that can kind of help stabilize the margin, at least in the next quarter in the next couple of quarters. So on the loan side, lately the new rate, this is overall weighted, is around 3.30 And the pay rate that includes full payouts and amortization, they're rounded 380. So That's where that kind of 50 basis point drop is coming. On the funding side, There's not many levers to pull, but we're taking a hard look at what's left in the interest expense category. And there are a few rocks yet to uncover when it comes to exceptions and some of the higher priced products that we have. There's A very small amount of CDs that are dribbling off. There's a little bit of opportunity there. But it's probably less than Less than $1,000,000 $1,500,000 overall on an annualized basis, that's how we left to get. All right, great. And then maybe on the lending side, any comments you can provide or color you can provide on competitive factors if you're starting See competitors show signs of weakness on covenants and doing stuff that perhaps is a little crazy in any part of your footprint? Yes. So there is some competitive pressure, particularly on rate. I haven't seen Significant competition where there's it works based on structure. That's one of the things we like about the ABL vertical and our ability to grow there because it is a product offering that's unique To a bank of our size and it's targeted at a section of the market that is we believe underserved. So it's not as Competitive in terms of rate or terms, so we can manage our credit risk, maintain our credit risk profile and get a return. We always have the one off competitive situation On a deal where a competitor wants the business and they're going to do whatever they have to do to win it or retain it, But that's more business as usual than anything that's outstanding in this environment. Yes. We're hearing from our customers same thing that you're hearing elsewhere, right? The desire for growth is there. They're hamstrung by labor costs or labor shortages, Issues relative to supply chain, those sorts of things. But people want to move forward. There's just some external things that are causing them to slow down. And Dan, during the quarter, we did see a modest decline in payoffs And a lot of that was related to some of the rate movement in the permanent market. So some of those Borrowers who were looking at the permanent market as a solution either delayed or decided to retain a bank relationship. Okay, excellent. All right. That's all I've got. Thanks, guys. Thank you. Thanks, Dan. There are no more questions in queue. All right. Well, we'll wrap it up. And my last first is over. So listen, thanks to all of you for your interest And our company and for the really good dialogue and questions that we've had this afternoon. Again, I'm proud of this team and what they've accomplished. And Dave has led this group through a lot. Mark has been here and we've got a lot to be optimistic about as we move forward and we look forward to Thank you, ladies and gentlemen. This does conclude today's conference call. You may disconnect your phone lines at this time and have a wonderful day. Thank you for your participation.