Josh Rosen: That includes the cost of lease. And part of that — so basically, we’ve tried to be prudent in preserving the value of the New York operations for potential acquirers while we manage this cash flow burden. So frankly, as we sit here on kind of what should be the precipice of being able to participate in the adult use market and having a viable business there, the timing is real disappointing, but we’ve had to activate that lease given the time line of the Bluebird project. So that $1 million does include the burden, if you will.
Chris Yetter: And if you still own the New York when December rolls around, do you think you will pay the price and open it up for adult use during the potential transition?
Josh Rosen: It depends on a few variables. We’ve been doing work in New York for a long time. We would love to have the opportunity. The variables in play currently, there’s a limited fee to turn on wholesale alone that might be something that might be quite a bit easier for us. I think as folks pay attention, there’s a $5 million activation fee as currently contemplated. There is some ongoing litigation on this topic but a $5 million activation fee for the first retail store to be opened, that’s a dual store between medical and adult use, that’s the bigger price tag for us obviously. I’d be very surprised if that was achievable for us. But the expectation, the hope is that we’re unfortunately not able to get — we’re not the group activating. I think I’d also open this up to Amber to see if she have any additional context on New York that she wants to add.
Amber Shimpa: Well, I guess another reason that we’re disappointed that we’re not the ones that we’ll be able to capitalize on it is that we believe we’re one of the few remaining unique licensed operators in New York. And I guess, what do I mean by unique is that New York is arguably one of the most competitive and merit based application and licensing processes back in 2015. The state determined, we were one of the top five operators to stand up and serve the medical market, something we were and still are incredibly proud of here. And over the past eight years, our team has been good stewards of the medical program. We feel good partners to communities we serve in the state. So again, to have our eight year commitment to New York patients be adversely impacted, we feel after being identified as one of the top five to participate and to have this track record and early recognition and support not translate to our participation in adult use market timely, it’s just really disappointing to our team and has obviously had a negative impact on our business.
Chris Yetter: I appreciate that. I live in New York, and it’s really sad to see that there’s so few stores per capita when many, many other states got it right. Let me ask you on continuing the theme of cash flow about the litigation with Verano. What is the impact on your cash flow for pursuing the cost of litigation, for instance, in 2023 or in 2024?
Josh Rosen: I mean what I would say and I think it’s hard to predict with specificity because there are situations in which the — I call them kind of discovery and legal proceeding process can get quite a bit more intensive. But just to give some perspective, we’re about — in very round numbers, we’re about $150,000 all in. Given my past experience with litigation, that’s actually incredibly efficient. And I think what we’ve seen thus far is that this process that is being run in British Columbia is a relatively efficient process compared to at least my experience with US litigation and costs. And so we don’t believe — while it’s a real amount of money, we don’t think that the litigation itself is all that much of a burden from an ongoing spending standpoint.
