So we’re very, very excited about this award and glad we could announce it here today. And obviously, we’re limited in regards to some of the details we can share, but very positive news for AAM.
John Murphy: I sorry if I can sneak one housekeeping that 40%, 50% tax rate, Chris, you alluded to for the year, how much of that is cash and non-cash and what’s normal?
Christopher May : Yes, I mean that would, I mean technically, that’s our book rate. Our cash taxes for the year, around $65 million.
John Murphy: Okay, what rate should we think of as normal?
Christopher May : Oh, I mean from a cash perspective?
John Murphy: No booking cash. I mean a book basis going forward. I mean —
Christopher May : Yes, like outside of ‘23, think of the low 20% range under current loan.
Operator: Our next question comes from Ryan Brinkman from JPMorgan.
Ryan Brinkman: Great, thanks for taking my question. I thought to ask around the e-Beam Axle Award with Stellantis. I know the press release refers to your three in one e-Drive technology featuring an integrated motor inverter and gearbox. I think that means, but just wanted to confirm if you are integrating your components into the complete system, you’re providing your own or your JV partners components, I mean, rather than integrating the components of others. And if that is the case, maybe you can speak to how you’re able to manage that or how you’re able to or even getting the system integration, how are you able to provide the system or the components at a lower cost? Or maybe it’s a more efficient approach, how you were able to win that award.
And then do you think you’re in a good position to provide these complete integrated systems where you are providing the components too when it is attached to the axle? Because you understand the axle, you’re probably providing the axle, et cetera. Maybe you’re in a better position even to provide integrated systems when they go to the axle than maybe some other suppliers are when putting the units somewhere else, like attach the engine or transmission, because you’re an axle expert. How should we think about that?
David Dauch: There was lot there, Ryan, but I’m going to try to digest it and respond to that here. But yes, we are doing the full design, the integration, the testing, the validation, and the assembly of the entire e-Beam Axle, just like we’ve traditionally done for ICE business in the past. You participated in our Technology Day and you saw our three in one system that we shared with you all at CES. We clearly leveraging our heritage and our strength, like we said, but we’re also partnering with and leveraging our supply base for their components and subsystems. And in this case, we are using a strategic partner to support us with respect to motors and inverters. But at the same time, as we’ve mentioned to you all, we’ll continue to develop some of our efforts in R&D activity in motors and inverters ourselves.
