Steve Bratspies: Yes. So in terms of restocking in the mass channel, we talk to our customers and our partners closely all the time, and kind of understand where they are. We’re also working very closely to find specific opportunities. There’s always different pockets by different customer, by different products, to be able to use the data and analytics that we’re building to find those opportunities. So I would expect those channels to probably come back faster than others. But again, it ties back with the consumer. And obviously, we all want to match shipments. They want to match up with the POS. We want to match up with the POS, so we don’t end up with big pockets of inventory to the positive or to the negative. So as we see relatively conservative view of consumer demand, we’re trying to match inventory to that point.
So that should come back, late first quarter, early second quarter, we get back to a more normalized matching of POS to shipments as we go forward. In terms of inventory, yes dollars are up about 25%. When you think about that difference versus unit, it’s about half inflation, and the other half would be roughly mix. So when you think about unit costs, you’re probably up in the in the low to mid-teens, when you average all that out.
Scott Lewis: And good morning, Michael, this is Scott. Just to add a couple of things to the inventory. I feel like we were in a really good shape and that the health of the inventory. Think we’re in good shape there. The vast majority of the inventory is replenishment in nature. So the quality inventory is really good. And if you think about inventory itself, and we’ve been very proactive in managing our inventory levels, like we talked about earlier in the prepared remarks. We took time out at our manufacturing facilities. We offered to exit a couple of manufacturing facilities as we are optimizing our manufacturing network so that really positions us really well going into 2023. And it should drive working capital benefits as we move over the course of 2023.
So feel good about it. We again, units for now we met our goal of our units being down 6% compared to last year, and we’re not stopping there and we’re looking to reducing it again, really drive away capital benefit as we move forward.
Michael Binetti: Thanks, guys.
Operator: Our next question comes from a line of Ike Boruchow with Wells Fargo.
Ike Boruchow: Hey, hey, good morning, guys. A couple of quick housekeeping questions. Excuse me on the model on the elevated interest, the 130. Is there any way you could break out how much of that is from the variable debt versus how much is the expectation on the refi on the tax rate? That’s I think, if my math is right, if they can imply 40% rate, I understand the dynamic this year. I’m just kind of curious, like when we go past this year into deferred tax dynamic, does that tax rate revert back to I believe your high teens run rate once we get through there? And the last one, just on the inventory? Is there a way, I think you’re saying that the inventory is going to be a cash benefit this year? Is there like an inventory dollar amount you can kind of let us know or something you let us know, by year-end on your expectation on the balance sheet? Thank you.
