Good morning. My name is Jamie and I will be your conference operator today. At this time, I would like to welcome everyone to the Ritchie Bros. Auctioneers Q3 2015 earnings call. [Operator Instructions] Ravi Saligram, CEO, you may begin your conference.

This is actually Jamie, Director of IR, and thank you, operator. Good morning, everyone, and thanks for joining us on our fiscal third quarter 2015 results earnings conference call. Discussing Ritchie Bros' performance today are Ravi Saligram, Chief Executive Officer, and Sharon Driscoll, Chief Financial Officer. Joining them for the Q&A session following the formal remarks will be Jim Barr, Group President; Rob McLeod, Chief Business Development Officer; Todd Wohler, Chief Human Resources Officer; Randy Wall, President of Canada; and Terry Dolan, President of US and Latin America. The following discussion will include forward-looking statements as defined by SEC and Canadian rules and regulations. Comments that are not a statement of fact, including projections of future earnings, revenue, gross auction proceeds and other items are considered forward-looking and involve risks and uncertainties. The risks and uncertainties that could cause our actual financial and operating results to differ significantly from our forward-looking statements are detailed in our SEC and Canadian Securities fillings available on the SEC and SEDAR websites, as well as rbauction.com. Our definition of gross auction proceeds may differ from those used by other participants in our industry. It is not a measure of financial performance, liquidity or revenue and is not presented in our statement of operations. Our third quarter 2015 results were made available yesterday after market close. We encourage you to review our earnings release, MD&A and financial statements, which are available on rbauction.com as well as EDGAR and SEDAR. Presentation slides accompany our commentary today. These slides can be viewed through the live or recorded webcast or downloaded from our website. All figures discussed on today's call are in US dollars, unless otherwise indicated. While we may use million- or billion-dollar figures for brevity in today's discussion, all percent changes have been calculated using full, unrounded figures. I'll now turn the call over to Ravi Saligram, the Chief Executive Officer.

Thank you, Jamie, and thanks to everybody for joining us on our earnings call today. By the way, Carl Warner, our Head of Operations and Head of Middle East, will also be joining in the Q&A. Our fiscal third quarter demonstrated yet another strong effort by our team in driving year-over-year revenue growth and improved underwritten performance. As you likely noted from our recent earnings call discussions, our focus is squarely on generating revenue growth through a combination of GAP generation and driving higher revenue rates through more disciplined contract negotiation on our underwritten business while accelerating straight commission growth. These efforts have sustained a much improved revenue rate for the first nine months of 2015, which has helped us to offset continued foreign exchange headwinds and marginally lower used equipment values relative to the peak we saw in the first quarter of the year. As you'll have noticed in our third quarter GAP results, GAP grew 9.4% on an organic basis using the same exchange rates as last year, but a more modest 0.9% as reported in US dollars. I'm pleased to report that we achieved significantly better growth on key performance metrics for the third quarter. On a reported basis, revenue for the quarter grew 7%. Operating profit grew 47%. Diluted EPS of $0.19 grew 41% compared to adjusted EPS of $0.13 in the third quarter last year, or 118% compared to the unadjusted EPS in the same quarter last year. Operating free cash flow improved 75% from the year-ago quarter. RONA improved 1,065 bps. RONA, excluding a term loan reclassification, grew 826 bps. And our ROIC, on a 12-month rolling basis, was 15.1%, the highest level since 2009. As mentioned previously, foreign exchange headwinds are still causing drag on our reported US dollar results given the amount…

Thank you, Ravi, and good morning, everyone. As you saw in our pre-released monthly GAP disclosures, gross auction proceeds during the third quarter were $895 million. On a reported US dollar basis, this was a 1% increase from GAP reported in Q3 2014. But as you are all aware, foreign exchange translation did have a meaningful impact. On an organic basis, using the same exchange rates as Q3 last year to remove the impacts of the foreign exchange translation, GAP growth was over 9% compared to Q3 last year. On a 12-month trailing basis ending September 30, Ritchie Bros. has sold over $4.35 billion of assets on behalf of our customers, a 7% increase relative to the same period ended September 30 last year. We have also disclosed this morning that October GAP came in at $351 million. This is a 1% decline from October last year on a reported US dollar basis, but a 9% increase on an organic basis. We expect the next two quarters will be impacted most significantly – most negatively by FX translation on a comparative basis to last year. Barring any further erosion of the Canadian dollar and the euro against the US dollar, beginning in Q2 2016, FX translation headwinds should dissipate. Although we are not providing forward guidance, we do acknowledge that we're lapping Q4 2014 strong GAAP performance from our US region. This, coupled with the FX headwinds, will prove challenging to our reported GAP growth performance for Q4 this year. As Ravi mentioned earlier, our third quarter generated $109 million of revenue, a 7% increase from Q3 last year. This was bolstered by the 12.22% revenue rate we achieved during the quarter, which was 69 basis points higher than the 11.53% rate we achieved in the third quarter last year.…

Thank you, Sharon. Given the current macro trends and as the competitive environment is intensifying, we've received some questions from analysts and investors that we would like to address today. These topics aren’t areas I plan to spend time on every call, but we believe there is value in discussing these aspects of our business at this specific point in time. First on our sector exposure, while construction equipment continues to be the majority of what we sell, we have been actively engaged in driving further share growth in both transportation and agricultural equipment sectors. During the first nine months of 2015, transportation sector assets comprised 18% of GAP, up nearly 300 basis points from prior year and agricultural assets and related real estate continue to comprise 10%. The increase of transportation assets in our overall mix is a direct result of executing against our sectoral growth strategy. On the construction sector front, the equipment we sell comes from a wide variety of brands, makes and models, including all of the top brands. CAT-branded equipment does comprise a portion of what we sell, especially in North America, but it is important to note that all of the CAT-branded equipment sold at our auctions, the majority of it, more than 85% in fact, comes from end users, as well as well as finance and rental companies. Only about 15% of CAT-branded equipment we sell is consigned to us by CAT dealers. We're also pleased to tell you that the volume in GAP from CAT-branded equipment consigned to end users, rental companies, finance companies, et cetera, grew both in third quarter and year-to-date in both the US and Canada. Our value proposition is recognized as putting our clients at the very center of all the decisions we make. We work for, and…

[Operator Instructions] And your first question comes from Bert Powell with BMO Capital Markets. Your line is open.

Yes, thanks. Ravi, this quarter the composition of the revenue rate has shifted. It's gone away from auction commissions, more towards auction fees relative to the first couple of quarters. So I'm just wondering has the performance of the underwritten business, while up year-over-year, been lackluster this quarter relative to the first couple of quarters? And I'm guessing that the auction fees increases all Ritchie Bros. financial services?

I don't know – thanks Bert. I don't know that it is all. Definitely, RBFS contributes to the revenue rate. We did have – the volume of underwritten business did go down versus last year. We are not sure that's necessarily a trend because we are encouraging our sales teams to go after it. And the third quarter generally is a soft quarter so we are watching it closely. The fees sometimes – it is a mix issue and we're going to just keep pushing all the levers. But as I said on the call, the underwritten business continues to be a great focus for us and to drive volume through it.

Okay. So there's no real read that you would say is a major trend, the fact that the auction commissions have gone down from close to 9.75% down to 9.35%, it's just that's seasonally the weaker quarter?

I would just say that, look, yes, it came down in terms of the underwritten business volume, and remember with the underwritten business, it is – that is why we always say look, guide between 11% and 12% because – I am sorry, the total revenue rate of 11% and 12% because there's going to be fluctuation. We do a lot of deals and some do better, some don't do as well. Our view is really continuous improvement over the longer-term and so far we are satisfied with the improvements we are seeing and we are not seeing any underlying shifts that we would comment on.

Okay, just a second question related to that, Ravi. I know you made some changes in the organization that I think speak to a permanently higher rate. I'm just wondering, one of those things was the percentage of the outperformance that you participate in whether, that's 10% of the upside or 30%, can you just give us a sense as to how that is going, year-end or year-to-date relative to prior periods?

Are you talking about…?

Yes, when you do an unwritten big deal, and you share the upside of the econmics, 90:10, 70:30?

Got it, got it. We – clearly that's been the overage you are talking about, the overage in underwritten deals?

Yes.

But we are pushing every lever we can and we don't comment on specifically where it comes from because clearly that's a competitive and confidential information. But definitely one of the things is, the philosophy is on one hand, it is our capital and we need to get better returns on it, but recognize when we go into – when we do these deals, the owner has a certain view of what the value may be, and we have a certain value and we get to a compromise. So it is not – and so we have different structures. Sometimes we may say, here's a base rate and a let's push more on the overage, but certainly I'm encouraging our sales teams to do more on the overage so that we gain on the upside as well, but each deal is unique and we look at a variety and it all depends on where the starting point or where the owner was and where we were.

Okay, that's great. Thanks, Ravi.

Thank you, Bert.

Your next question comes from Nate Brochmann with William Blair. Your line is open.

Good morning, everyone, and congrats on another great quarter there.

Thanks, Nate.

Ravi, so on the operating margin side, obviously I know there are some puts and takes with the FX but there continues to obviously be a focus and you guys are doing a great job there. How much more is there to go in terms of the sustainability of continuing to lower that as a percentage in terms of just internal initiatives rather than relying just on upside volume leverage?

Sharon, you want to comment on it?

So I think we would still point you towards the Evergreen model kind of growth expectations that we have over the long-term. We would continue to improve our management of expense control. However, as you notice that the foreign exchange translation is benefiting that SG&A rate, particularly in this quarter.

Okay. And then Ravi, in terms of obviously you're rolling out the Private Treaty, EquipmentOne seems to be getting an ounce of traction. What are some of the key milestones in terms of thinking about those businesses and where you would like them to go and how fast they can kind of get there in terms of at least your internal outlooks or the levers that you are pushing to grow those different channels?

I think, Nate, it is really important for us to scale it, put them on a – I'll have Jim Barr make a comment or two on it. And I think it has to be an important source of growth for us and now that, as I mentioned when I first joined 15 months ago, we had the whole [rejection of E-One]. Now we brought it to acceptance and so I think we are beginning to get it going. I want to keep seeing better and better performance over time where it scaled and it is really a meaningful part of our business. I'm not prepared to disclose numbers, but suffice to say, it is got to become a meaningful size of business, not just icing on the cake, but part of the cake. Jim, you want to add anything?

Sure, as Ravi said, I mean this really goes back to customers. Customers have a variety of different needs and we are creating more channels to meet those needs over time, whether they have a need for a control or timing or price or whatever happens to be, and each of these channels has its own qualities that way. As we said at Investor Day, we are looking to build a – we're looking to be the multi-channel leader in asset disposition and asset management and this is the march that we are on. Each of these channels has a role in that. Specific to EquipmentOne, as we've discussed previously, the real hyper growth comes when you get a great balance of supply and demand. We are seeing a nice flow of supply. We have gotten our sales force around selling it more than – the vast majority of our US sales force has now at least listed something on EquipmentOne. They're learning about such metrics as yield, which are more unique to EquipmentOne and really not resident in our other business and they are really learning how to do it well. On the demand side, the crown jewel is really our Ritchie buyer base. And in so far we just barely begun to tap that buyer base. And so I got a feel the key thing here is matching that supply and demand at the appropriate pace to get a very, very robust marketplace and we are excited about the prospect of doing that.

It sounds great. I appreciate the time.

Thank you, Nate.

Your next question comes from Stephen Volkmann with Jefferies. Your line is open.

Hi, good morning.

Hi, Steve.

I guess I'm just trying to – thanks, Ravi, for all the detailed information. And I apologize, I may be slow on the uptake but I'm going to ask you one more question about some of these end market trends. I guess I'm trying to maybe the bottom line is just figure out whether, I mean, you said, I think, October was down 1% as reported. That is not terribly different than what you saw in the third quarter and I know that you said the currency headwinds get a little stronger. I guess I'm trying to figure out whether organic growth in GAP is going to be lower in the fourth quarter? In other words, have we sort of worked our way through this bubble, I don't know, bubble is probably too strong a word, but this bunch of equipment that needed to be sort of reallocated out of places like mining and oil and gas and so forth, or do you think the underlying organic fundamentals sort of remain as they are and it is just the comps that get tougher? Thanks.

I think first I'd never, ever accuse anyone of being slow on the uptake except for perhaps myself, so very, very good question there. Look, I think first of all, I'm not – again I don't know that our growth this year is just a bubble effect. I think we went through quite a bit to give you a sense that it has been a balanced growth. But notwithstanding that, I don't think there's anything underlying that has changed in our business and our momentum, but we do want to – and we are not going to give guidance on the numbers, but we thought it would be remiss if we did not point out that we had a very strong GAP comp last year, and it is a tough comp. So that's what we wanted to alert analysts and investors and I think because that was a very sizable last year, double digits, so we just need to work our way through it. The teams are going about their business as they would so that is basically what I'd have to say at this time.

Okay. All right, that's helpful color. And then maybe just a quick follow-on. I know you've sort of targeted, I don't know, let's call it, market share growth particularly in the United States as one of your strategic objectives, how do you monitor that and do you think it is happening? I will leave it at that.

Well, I think first I've got – we've got a great team in the US and now they have a great leader in Terry, and we've got other functional leaders who are outstanding, and so Terry has got a complete team to support him. And I think the results show ultimately, action speaks louder than words, just look at the results, how we have done in revenues this year. If the US had not performed the way it did, we would be sunk with our FX headwinds because that's what's [Indiscernible] – and that's why fourth quarter, by the way, going back to your earlier question, my concern on the comps is that big growth last year was driven by the US. And the US is what's been helping us offset the currency declines. But outside of that, we are very focused on operating reviews, looking at how we're doing auction by auction. This is a granular business and Terry looks at it, I look at it but we have calls and just monitor performance. And Terry is very aware and I will let him speak to it for a second of how important the US is and the number-one priority.

Yes, again, this is Terry Dolan. Thanks, Steve, and Ravi, thank you for that. Our approach is really about making sure we have a disciplined approach to driving growth and expanding our customer base. That's a lot of what our sales teams and organizations out there are doing is a concentration on taking care and satisfying the customers that we do business with on a regular basis and continue to do that while continuing to expand and grow our customer base and bring more people in to understand the value proposition of what we have done. That's the reason why were seeing some of the growth in transportation and we're starting to see more traction in agricultural, those kind of areas.

Thank you.

Your next question comes from Yuri Lynk with Canaccord Genuity.. Your line is open.

Hi, thanks for taking my question. Just a quick one for me, Ravi, the number of territory managers has remained fairly flat over the last few quarters. Is that on purpose or is it harder to find people, and at what point does productivity top out and you are going to need to hire some more TMs?

Yes, I think there are a couple of things, Yuri. We're clearly in the past, the only strategy we seem to have had was just keep adding TMs and hopefully it will stick. I think we have changed that in terms of one, hey, what is the type of TMs and we continue to have turnover which we want to reduce. But the quality of TMs, improving their productivity, sales productivity has again increased, so we are pleased with the productivity gains we are making. And when appropriate and where appropriate, we will absolutely add TMs, because that is the lifeblood of this business. And where, for instance, in RBFS, we've been adding a lot of sales people there because that business needs to be scaled. We are adding it there. Terry is also working now on a potentialization project. Give 30 seconds on that, Terry.

So to your point, our goal is to make sure we increase the productivity and efficiency of our sales people, to maximize the time that they can spend in front of customers. So we are going through and making sure we have a more disciplined approach to the types of customers who we're calling on and how we are calling on them. And then trying to take some of the non-value added things we had the territory manager do in the past, and put that more on the shoulders of the operations teams, so we have a better partnership with that, and that shift will give us a better coverage with our organization.

When Terry said non-value added, it's value added ultimately to the customer but better served by the operations team. So it is really – our sales team had the whole focus of cradle to grave and doing everything as project managers. I mentioned that at the investor conference. It is really now as we scale, our operations team or marketing teams are all very capable and it is passing the baton. The other thing we are trying to really push is doing more hunting for new customers. So all of that is going on, but be reassured we will add the TMs wherever which region needs it. If there's growth potential, we are not trying – that is one place we will not be ever stingy about.

Okay. And would you happen to have the number of regional sales managers handy?

Yuri, I could follow up with you on that after the call.

That's great. That's it for me, guys. Thanks.

Thank you.

Your next question comes from John Healy with Northcoast Research. Your line is open.

Thank you. Ravi, I wanted to talk a little bit about the outperformance on the auction rate line. I know going into the year, one of the big priorities was to help work on the underwritten business here in the US. Could you tell us maybe what inning you are in terms of getting that business to function the way you would like? And then, if I think about the improvements that you are making in that business as well as the launch into some of these additional financing services on RBFS, why wouldn't the auction rate have the potential to maybe have a more normalized high-end, maybe around 12.5 or something like that?

First I have to clarify, since I'm originally from the Commonwealth, which game you are talking about, cricket or baseball, in terms of innings, so let's use baseball, or hockey, where I just discovered there are three periods.

You guess well.

Look, I think the idea here is continuous improvement and I want to really caution here that I don't want irrational exuberance, and that this is a rocket ship that can keep going up on revenue rates, because ultimately we have to – it is going to be a balanced growth between GAP growth and revenue rate. So our focus is really – and this is the kind of thing, because we do 1,000 deals per year. So we are very fortunate that the first nine months have gone well. That is why I'm still not, in terms of overall revenue rate, willing to get off the 11% to 12%, because sometimes you take one step forward, it may be two steps back because you may have one big deal that goes sour on you. The good news is, in aggregate we make money. I am just trying to get the volatility less, and I'm not trying to sandbag or be conservative, it is just the nature of the business. We just need to be careful about it. But having said that, look I've been consistent in mentioning Canada is our best-performing business on underwritten. Then the US is the next, but in US each region is at a different level, and then Europe comes after that. So what we want to do is steadily keep improving each of those and – but we are also in an era of increased competition. We're going to vigorously defend our share as well. So you've got to take all of that into account. Now clearly, one of the things, the revenue rate is also bolstered by RBFS, which is a beautiful business for us, so that is something to keep in mind as well. I think you had a question about RBFS, Sharon or Rob, anyone who wants to answer that? You want to just repeat that Yuri in terms of the RBFS question?

Yes. I was just wondering why the contribution of kind of some of the extensions you are getting into in terms of the leasing business that you talked a bit about, why the penetration rate of that product just wouldn't help push the higher end of the auction rate revenues higher?

Okay I will have Jim, who oversees that business, talk to…

First of all, as Ravi said, we really like the RBFS business. It is a great example of how we can use our ecosystem that we created over decades and monetize that ecosystem in a way that benefits customers, brings more to auctions, and so we're very excited about that business. We have a great team and great leader there and it is a nice model with great lending partners that help us create this value. Still, most of what we do there is penetrating really what we called addressable GAP, which is the part of the GAP that can be financed, and we are not near topping out on our penetration rate on that one, so that's really carrying most of the growth there. But just as we think about our multi-channel business where we are trying to help more and more customers in different ways, same way here. We found that if we just follow the customer, even if we did not actually transact with them this time, but we can help their business in a way and finance their business and help them grow, that's what we are all about, being a trusted advisor for our customers and we are very pleased with the direction of this business.

Great. And then just one other question on the commentary you gave about the fourth quarter. And I think about some of the things you've said, US has clearly been a driver for you guys. Is it reasonable to think that the comparisons will remain difficult in the first part of 2016, just given what you have to grow over in the US in the currency issues? Should we be thinking about maybe some of these comp issues continuing into 2016 or is it too early to tell?

One, it is a bit early to tell, but Q1 definitely will still be – that's when the FX headwinds are a big issue globally, because that's when the plunge occurred so we've got that. Then we had a very strong first quarter. But I think the whole point about this business, because I try not to run the Company on a quarter-to-quarter basis and really look at so what are we trying to achieve in the longer term where we can deliver consistently on our Evergreen model. What we are trying to do, the whole essence of our strategy is diversification and it is finding ways of different sectors that we can continue to drive growth. As I already said, transportation we grew. But now we're going to continue to try and scale that business. Agriculture I think is a great opportunity. We are already do well in Canada but US is a big opportunity for us. So we will try to find new ways. The key is we are a growth Company. We are very committed to that. Each quarter we'll – they will have issues, but I would say yes, your – in terms of some of the challenges, Q4 and Q1 definitely represent tougher comps and tougher FX.

Okay. Thank you, guys.

Thanks John. We will go another five minutes and a few more questions.

Your next question comes from Nick Coppola with Thompson Research Group. Your line is open.

Hi, good morning.

Good morning, Nick.

Another ARR question, can you just give us any concrete examples of what you are doing there to improve performance? Just help us think about that.

Sure. I can give you – I don't want to get too detailed. This is like saying to our competition, here is our play book, why don't you copy it. So you will understand and respect that I'm not exactly going to divulge our secret sauce here, so please don't think I'm being rude. But look, here's – I think let me just reiterate a few things we are doing. Number one, on smaller deals, there used to be a little less oversight and control, so like $0 to $0.5 million, where our valuation groups were not as involved in the past. Our valuations group is an outstanding group and they are definitely weighing in on those. And they have veto rights on things that – and remember the $0 to $500,000 is driven by our TMs and whereas the higher, the bigger deals it goes up to RSMs and VPs and so on. So it is also really a training and education thing, where as our valuations teams are very experienced. So part of that is better oversight and coaching and saying, hey, when do you walk way, because our same TMs do an amazing job driving straight commission business on the $0 to $500,000. So we're putting a little bit more oversight in that regard. Secondly, we've regionalized our valuations group so that it builds more and more expertise in the regional market. So we've got valuators now in the US specific than and they partner alongside their VPs. So there's – we've got a valuator, a senior valuation person for the East, someone for Central, someone for the West and so they start getting to really know and understand, and they are working a lot closer with our business teams. Third is just trying to reduce the number of dumb deals we do. If we know going in that – by the way, that's not my term, it's my valuations team who gave me that word, which is, if you know going in you will lose money and you just want to do it because you want to drive GAP, and that's the shift we are creating in the organization that is about revenue, not just GAP. So that we are trying to play it a little bit more disciplined on that. So I will stop there because I don't want to go into each deal in how we tactically approach it, because that would just be telling our competitors, here is the play book.

Understood, and that was certainly very helpful. And then I guess shifting gears a little bit, can you guys talk a little bit more about the Private Treaty channel and how that fits certain customer needs and how it differs maybe from EquipmentOne?

Why don't I have Karl, who has also worked on some of these, actually give an example of how we may go, without mentioning the specific. Karl, are you there on the phone?

Yes, I'm here, Ravi.

Go ahead and talk about that, on a hypothetical example.

Sure. So in this market right now, there are certain categories of assets are challenged, to put it lightly. So in one example would be in the mining industry, where you've got reduced demand on some larger type assets. And those are typical types that we can utilize a Private Treaty strategy on to take more time to market, go to the right places in the world to find buyers for them, and give the seller a little more control over their destiny when they are letting something like that go.

Randy, you worked on a few of these in the recent past, want to – is there anything you want to add?

Thank you, Ravi. I think Karl has hit the nail on the head. In terms of the asset categories that are large, sometimes have unusual circumstances in terms of their location physically, their cost to move and their relative value sometimes will be more suited for a model like a Private Treaty. If you imagine very, very large capital items involved in the mining business, the decision-making process for organizations to acquire or spend that capital is more complex and time-consuming and that also fits better with the Private Treaty style model. That's one particular example, I think, where it is really well suited.

Nick, the strategy is when you think about customers, as we have done on our segmentation, there is a huge level of, there's a customer segment that are fans of the auction and get used to it, but even they don't give us 100% share of wallet. Then there is the whole risk-averse one. So the dynamics in this is immediacy of price and getting liquidity versus control and control would be on price, product, place, et cetera. So the more control you need, especially if they are very high-value assets, it is catering to that segment. And as Randy and Karl pointed out, if those fleets are quite large in value, the customers really want one, a personal touch, but they appreciate the reach that Ritchie Bros. has. In the past, they've approached us, but we were, as you know, we were a very single-channel company. As our vision has changed to really become a multi-channel provider of diversified sectors, services and channels, this is definitely leveraging all our current equity and assets. Okay. Next?

That's helpful. Thanks for answering my questions.

All right. One last question and then we will – is there any other questions waiting?

Do we have time for one more?

Time for one more then, and we will end it there.

So your next question comes from Scott Schneeberger with Oppenheimer. Your line is open.

Thanks, I will be quick. Just one topic, Ravi, on the transportation group, almost a fifth of the business up 300 bps year-over-year, it's quite impressive. Could you speak to, is that mostly a component of the sales team and the focus or is there a competitive dynamic that may be at work, or is there an end-market dynamic that may be at work just solely on that? And then lastly, is there a lot of that risk business in the transportation space? Thanks.

So, and Terry, you may want to also add something here. The key is, we've made it a dedicated focus. We've created a Transportation Center of Excellence in Texas and a couple of other areas in the West coast. So we are doing a number of things to improve our expertise in that area, so it is getting – going about in a more disciplined way and concentrating. In the past, it was mostly vocational stuff. Now we are focusing more on the on-the-road stuff. The market has been there and so it is just improving our share of market and driving it.

Yes, it's become recognized as a significant leader in this space. We are now being recognized in transportation. Having dedicated people, having people who understand the transportation market, being involved in their associations, et cetera, has been really what's driving a lot of that.

You had another question about do we do underwritten? Yes, we do underwritten business in the transportation. We are getting smarter about it. But in the past, when we looked at it just like [Indiscernible], and made mistakes and lost money on a number of deals. As we get to know this area better and smarter, we are trying to improve our product knowledge and expertise, so we will continue to not hesitate but we just want to make sure we have the expertise before we plunge in. I think with that first I want to apologize to all of you that our written remarks, or commentary today was a little longer than usual. It is just that we had so many questions from analysts and investors that we thought it is better to do it publicly and do it once and for all. So, we really thank you for your patience and we will revert back to our shorter prepared comments in the future, but appreciate all the support, and onwards and upwards. Thank you very much.

This concludes today's conference call. You may now disconnect.