Rustin Welton : Yes. Thanks, Jay. I’ll go ahead and start, and then I’ll flip it over to Tom to add a little bit more color on sort of how we’re addressing the inventory situation. So as you indicated, we did finish the quarter up 64% versus the prior year, that’s up 30% versus 2019 just to dimensionalize that and down $81 million from where we ended Q3. Again, we feel good about the quality of the inventory, Jay, which I think is important with approximately 90% in core styles, and as I indicated in my prepared remarks, the majority is in North America, where we’re really seeing the strongest brand heat and POS strength. As we think about how this plays out, it does create some near-term gross margin pressure as we take downtime in the plants, but it also reduces the markdown in brand equity risks that are out there relative to liquidation and off-price channels.
And I think that’s a really meaningful and unique position we’re in, given our internal manufacturing. We do expect that to sequentially year-over-year improve as we move through 2023 and in our inventory growth rate as the year progresses and to be more normalized by mid-2023 in our inventory levels. Tom, you want to add some color on exactly what we’re doing to address the inventory.
Tom Waldron : Yes. Absolutely. Hey, Jay, thanks for the question. As you saw, we had some really nice demand in the fourth quarter, and it’s important for us to balance service and bringing inventory down. As you mentioned, downtime is a great strategic lever we have, given our internal manufacturing, and we’ll be using more of that in the first half than we did in the second half of 2022. And additionally, we do have, as another strategic lever, our 30-plus outlets. So we’re able to move through our inventory in a very brand right way. And as Rustin mentioned, we’ll be more normalized by the second half of 2023. Thanks, Jay.
Operator: Thank you. Our next question is from Bob Drbul with Guggenheim. Please proceed with your question.
Bob Drbul: Hi and good morning. Just a couple of questions. On the DTC business, I guess, for Chris, can you talk a little bit more sort of where the growth is coming from like the customer base, essentially, I mean, those numbers are pretty impressive. I’m just wondering if you could expand a little bit more in terms of what you’re seeing there? And then the second question really, if we go back a little bit, I think to Jay’s question. But Scott, on the demand side, when you think about the category, I guess, both on the denim now, the non-denim is actually getting to be pretty significant as low. If you could talk about the demand expectations either just in those core categories that you’re seeing and how you think about that? Thanks.
Chris Waldeck : So I’ll lead off, Bob, it’s Chris. Thanks for the question. As we think about DTC, building an ever closer connection with our consumers really important to the long-term growth for our brands. And we led our strategy with our investments in digital. And those investments, as you said, are showing some really solid returns. We’re seeing our overall penetration doubling since 2019. And — but an important part of that really is connecting the retail experience for that true omnichannel consumer experience. And that’s really always been part of our strategy. And looking at doing that through full-price stores, like the three new stores we just opened up in Europe with more to follow. And — as I go around the world and think about this in APAC, we really already have a really great retail strategy already.
