Ladies and gentlemen, welcome to the Sanofi First Quarter 2015 Results Announcement Conference Call. I will now hand over to Mr. Sébastien Martel, Head of Investor Relations. Sir, please go ahead. Sébastien Martel: Thank you. Good morning and good afternoon to everyone. And thanks for joining us to discuss Sanofi's financial results for the first quarter 2015. As always, the slides to this call are available on the Investors page of sanofi.com. Before we begin, as you can see on slide two, I’d like to remind you that information presented in the call today will contain forward-looking statements that involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially. I refer you to our Form 20-F documents on file with the SEC and also our document reference for a description of these risk factors. You can see on slide five, sorry, you can see on slide three, the agenda for the call. So we expect the call to last about an hour today. With us on the call are Olivier Brandicourt, our Chief Executive Officer; Jérôme Contamine, Executive Vice President and Chief Financial Officer. Also joining us for the Q&A session will be Elias Zerhouni, President of Global R&D; Peter Guenter, Executive Vice President, Global Commercial Operations; Olivier Charmeil, Executive Vice President, Vaccines; David Meeker, Executive Vice President and Chief Executive Officer, Genzyme; and Carsten Hellmann, Executive Vice President for Merial. So without any further ado, I will now turn the call over to Olivier.

Thank you, Sébastien. Good morning and good afternoon to everyone who has joined our conference call today. I am going to say, I am very privilege to be here today representing the company with such a long standing history of success in the healthcare industry. As you all know, I joined Sanofi on April the 2nd, has been a great first weeks, providing me with many insights. And let me start off today’s call by sharing what is likely of most interest to you which are my near-term priorities. First, I have started to work closely with leadership teams, both in Europe and in the U.S., in particular across the commercial pharma organization, Genzyme and R&D. I will be in China and Japan next month. And I want to go deep into the organization to learn more about our people, prophecies and capabilities, because I want to understand the challenges and opportunities laying ahead. We will also lead company through a strategy review of its businesses which is already underway in parallel. Second, I am intensely focused on the successful launch of multiple new medicines and vaccines. Next, I will make sure that we continued the strong momentum with R&D and focus on driving innovation. I have already met our teams in the Boston and Frankfurt R&D hubs, and with Regeneron and have also plan the deep dive on our R&D pipeline in the next few weeks. And lastly, I will engage soon with Sanofi’s key shareholders around the world to better understand their expectations. I also wanted to take this first opportunity to share with you why I decided to join Sanofi and some of my initial observations. Sanofi is diversified healthcare company which is well positioned within our fast evolving industry and benefits from established leadership in its…

Thank you, Jérôme. Let me wrap up the presentation with a few concluding remarks on slide 19. So we indeed had a good start to the year. First, we delivered topline growth with sales up 2.4% at constant exchange rates, thanks to the solid performance of Genzyme and Merial and the despite lower U.S. sales of Lantus. Then, we also posted strong financial results. Despite higher OpEx driven by new launches, our business EPS was up 2.6% at constant exchange rate. And lastly, as I mentioned earlier, we made great progress in bringing innovative medicine to market, with important milestone achieved for late stage R&D projects and multiple new product launches underway are imminent. At this point, I would like to turn the call back to Sébastien to open the Q&A session. Sébastien Martel: Operator, we are now ready to open the call to questions. As always, I will ask you to limit yourself to one or two question at a time to allow as many participants as possible in the Q&A session. You can always return to the queue if you have further questions.

Thank you. [Operator Instructions] We have a first question from Michael Leuchten, Barclays. Please go ahead.

Thank you. It’s Michael Leuchten from Barclays. Two question for me, please. One for Olivier. The Capital Markets Day in the second half is setting yourself quite an ambitious timetable to communicate your view of the company’s strategy and positioning going forward. But one of the challenges I think in the recent past has been accountability within the organization. So, I’m just wondering, are you thinking around the timing and then secondly how are you thinking will it be addressing the softer factors as opposed to the hard monitoring of launches and maybe R&D productivity? And then the second question for Jérôme. I appreciate your comment around the operating expenses, still expect to grow 5% in the full year but it did grow less than that in the first quarter and if we think about the timing of the additional launches coming through where exactly do you expect that acceleration to kick in on the operating expense side, please? Thank you.

Michael, unfortunately, it was not clear. We couldn’t listen very well or hear very well, sorry. I understand the Capital Market Day. As I said in my remarks, we think we are going to do that in the second half. I really need to go through deep business reviews. As I said, we’ve launched this strategic planning review also in parallel. We think we may have those results sometime during the second half, most probably during the third quarter -- fourth quarter, sorry and we will give you the exact date during our call for the second quarter. And the question on comps, really I’m not sure I understood what you usually said in this organization, accountability has not been usually very clear. Well, let me tell you one thing. If that is the case and I’ve not seen that yet, I’ll make sure that it doesn’t last too long. Jérôme Contamine: Yeah. Michael, so on OpEx as you noticed, I mean, our OpEx in the first quarter increased by 3.7%. I continue to guide around 5% increase in the mid-single digits, so not ask me to be too precise but let’s say around 5% OpEx increase for the all year. So here, I mean two things. I mean OpEx, R&D plus SG&A. So on R&D clearly, I don’t think the pattern of decreased net R&D expenses, which you saw in the first quarter will be repeated in the next quarter. Clearly, we have a large clinical trial program and we expect to see that increasing somewhat on the call this year what we gave as a full year guidance when we had the call in February. When it comes to SG&A, I won’t go into too much detail but maybe you should recall a few things. First of all, we have now fully hedged sales and marketing organization for Lemtrada, which has its own sales force. And this happened to took place in the second half, this time basically in the fourth quarter. So, on a like-for-like basis, it will continue to impact our OpEx evolution in Genzyme between quarter-to-quarter. Second, clearly we are going to invest more beyond the preparation of the launch of Praluent, as we go and even more if we launch it, we clearly expect to get that and take place in second half of the year. And then as you know, I mean, there is also some seasonality in the OpEx and whether you take vaccine or you take Merial. It’s not just a regular evolution. So altogether, I mean there is nothing really new here. We need to invest in sustaining the launches of these very exciting products and also there are some mechanical effects, which are just resulting from investments we did on the full year impact we will have in the coming quarters. Sébastien Martel: Thank you, Jérôme. Next question, please?

Thank you. The next question is from Vincent Meunier, Morgan Stanley. Please go ahead.

Hello. Thank you for taking my questions. So the first one is on the U.S. diabetes trend. So, I understand that the 15% price decline in first quarter will remain at similar level in the remaining of the year, so can you elaborate on the impact for Toujeo? I mean, what is for instance, the net price of Toujeo versus Lantus now and how it is likely to evolve in the next quarters? And the second question is on Genzyme, which is an important driver for you not only for the topline but also the bottom line. Can you please give more details on the profitability of Genzyme? And should we expect the new product launches to cap further improvements of the profitability of Genzyme?

All right. Thank you, Vincent. So, I think the first question is for Peter. Peter, if you are ready to answer the question on Toujeo? And then David, you will take question on Genzyme.

Yeah. Vincent, so thanks for the question. A couple of points on Lantus Toujeo. So first, we have some very encouraging signs. It is now since five consecutive months, our overall market share over within the basal insulin market has stabilized at the level of 69% if you look at the Rxs. As already mentioned by Olivier in the introduction, we are making extremely good and fast progress with market access and actually beyond our expectations. And that is actually due to a refinement, the recent refinement of our contracting strategy on the overall glargine franchise. You will understand that I will not give you any details between the different elements of this mix for competitive reasons. The key point really here is that on top of the stabilization of the Lantus market share, which obviously is the stable base now for the Toujeo launch and we have 70% of commercial lives covered without restrictions and already close to 50% of the Part D population, which is really according to our knowledge an extremely rapid access of the market. And another point, I would like you to mention is that we have reissued our long-term guidance on diabetes which is flat to slightly growing, so there is no change in our long-term guidance on diabetes. And we continue to be absolutely convinced that these rates of Lantus to Toujeo will beat the consensus, which is today as you probably know at 20%. Now in terms of initial feedback on Toujeo launch, obviously it’s really early days. We have launched our product since less than a month. What I can tell you is that the initial feedback from the customers is very good, which is frankly took us another surprise that we have a permanent in stream in the U.S. market of $1 million patients on the yearly basis of new to be insulin eye inspections and these are obvious candidates for Toujeo. And then the next pool of patients is of course, those patients who are today not optimally treated with the existing basal insulin, whether that is Lantus or any other basal insulin. Either for reasons of insufficient HbA1c control, either for reasons of high pose or a combination of both end and frankly it is of course obviously, often a combination of both. And so on pricing, the only thing I can tell you on top of that is that the WACC price, so the wholesale of acquisition price is between Lantus and Toujeo is identical on the unit, per unit price. But of course, I will not give you anymore detail on that pricing. Sébastien Martel: All right. Thank you, Peter. David, are you ready to answer the question on Genzyme?

Yes. So the Genzyme within Sanofi, we don’t breakout a full complete P&L. So we can’t give you exact profitability for Genzyme. Early R&D is carried on the corporate page and shared services also are carried on a corporate page. So like I said, the exact numbers are forthcoming. What I can tell you is that the rare disease business is even when you do rough calculations, robustly profitable and that profitability is quite a stable situation and pricing as remained relatively stable. The other lines on the P&L have a certain level of stability. So, I think that should continue to a bit profitable and robustly profitable and we continue growth on this good prospects for the rare disease business. The MS business, I’m launching two of these, both of these products in the past 18 months. And obviously there is a significant investment that goes along with that. We did turn profitable last year. Even acknowledging, we don’t have full insight if you will into all aspects that might hit that P&L. But the MS franchise I think, Jérôme highlighted and we’re on track and fairly steep growth pattern here. And I think the profitability from this point forward should grow quite significantly for the MS business as well. So absent numbers and those are the trends. Sébastien Martel: All right. Thank you very much, David. Next question please.

Thank you. The next question is from Steve Scala, Cowen. Please go ahead.

Thank you. A couple on Toujeo, can you elaborate on the refined contracting strategy in the U.S.? And why a refinement was necessary and what is the refinement relative to? So for instance, is it refinement versus the strategy you had a year ago or is it a more recent shift? And related to that the prior guidance for Toujeo was well more than 20% of the glargine franchise in three years. So based on this refined contracting strategy, are you ready to refine that estimate and maybe may get well more than 50% in three years? Thanks. Sébastien Martel: Thank you, Steve. So that’s again for you, Peter.

Yeah. Steve, so thanks for the question. The contracting strategy is indeed a recent refinement of the contracting strategy. And as I mentioned before, the strategic aim is really to speed up the market excess for Toujeo because we are fully committed and fully confident to the long-term potential of this product and of course, the strategic importance of not only having new patients but also searching patients from the existing Lantus to the new Toujeo. In terms of where we should land, this is a very difficult question. We are today not ready to give you any precise number. But we remain committed what we said during the New Medicines Day that is to say, we are confident that we will have switch rates and well above the consensus that is out there today which is 20%. And I remind you also that the access that we have already got it so far is without restrictions, which is of course also facilitating significantly the prescription by the physician.

Thank you. Sébastien Martel: All right. Thank you, Steve. Next question, please?

Thank you. The next question is from Jo Walton, Credit Suisse. Please go ahead.

Thank you. I wonder if you could tell us a little bit about how Lantus is doing in Western Europe where you’ve had very strong growth for the past few quarters. Is this sustainable at the current level? And on Praluent, in the core case that you identified in March -- you identified it as March 2016 as of expedited date. Does that mean that the court isn’t going to intervene at anytime before than because we would’ve expected both products to have been approved well before March 2016?

Mr. David Meeker, can you please reply to the question? I’m reconnecting the other speaker. Thank you.

As the only one on -- again, I think we should wait until they join back since that’s on the diabetes Praluent business, so let’s give it a minute.

Ladies and gentlemen, thank you for holding we are reconnecting one of the speaker. Thank you. Would you like me to take another question sir?

Are we able to reconnect or...

We are still trying to contact the other speaker, we can take another question, if you would like?

So obviously we can speak to Genzyme issues, but I think we should definitely try to reconnect here, we need to...

We are on a separate line here Elias.

We currently are unable to join the speaker. Would you like to -- would you like us to give the floor to another question?

Should we try a question on Genzyme would that be better?

Yeah. We can certainly do that again, I think, with 10 minutes to go on the call here, we should look to wrap it up, but they are not able to be on, I think, the -- it’s probably not worth trying to continue the full call.

Well, if I can ask a question on Genzyme? I wonder if you could tell us a little bit more about the uptake of Cerdelga. You've obviously just launched it. It's been into a few countries. Can you tell us where it's being used? Is it patient holidays? Just give us a little bit more of a sense of how quickly we could see that ramp up?

Sure. Yeah. I think when we launched Cerdelga, the oral therapy for Gaucher disease. The spirit of that launch was that we created a choice for patients and the data show that it was highly comparable to Cerezyme or enzyme replacement therapy. And so we expect to going in that it would be the right option for some patients not for others. So today we are pleased with our launch. I think, what I would encourage you to look at as I said last time as the overall Gaucher franchise, we are growing at over 10% at the current rate globally. In the U.S. we have over 200 patients on therapy and the number of patients were going through screening for to make sure that they have the right mutation to be able to metabolize the drug that is also -- I think those numbers look good. So, again, I might focus here as very much on the overall franchise less on the Cerdelga uptakes specifically, but I am please so far with where we are.

Thank you.

Thank you. We have another question from Florent Cespedes from Société Générale. Please go ahead.

Good afternoon, gentlemen. Thank you for taking my questions. Two quick ones, one for Olivier, one for Elias. First, for Olivier, in your previous company, we appreciated your pragmatic approach and your balanced view on the group. What could you do at Sanofi to...

Excuse me, I’ve got him on the phone, Elias. Hello?

Hi sorry.

Excuse me, can you hear me?

Anny.

Yes.

You can you can hang up, we are -- we have reconnected we had major power break here in the Paris HQ officer.

Okay. Thank you.

Reconnected into the call. Sorry, Florent you are going to have to repeat your question, Olivier.

Okay. No problem. So for Florent Cespedes, Société Générale. Two quick questions, the first for Olivier. So as I said, in your previous company, we appreciated your pragmatic approach or your balanced view on the group. Now, at Sanofi, what could you do to increase visibility on the group? Could you envisage maybe to give a kind of aspirational long-term guidance later this year during the Investor Day or something more kind of precise guidance like at Bayer, could we have your thoughts on that? My second question, for Elias. Could we have more details on why you decided to stop the different projects in R&D in oncology, Crohn's and ophthalmology? Is it due to the lack of differentiation, safety or prioritization? Thank you very much.

Yeah. All right, Florent. So your question, again, we couldn’t hear you very well, but it’s on the LT guidance latter this year. I mean to be honest it would be premature, right, for me to tell you that I am going to switch to guidance, it’s a same type of guidance we have and we had Bayer for instance. I have to go through what I described a business review and strategic planning and come to a conclusion of how to best guide in future years. So it's definitely something I have in mind, that's certainly there, but you need to give me some time. And so, R&D, Elias.

Yes. So the question relates, if I heard it properly about the decisions we made in oncology. Fundamentally, we decide to focus on the promising programs the CD38 antibody program the or antibody drop conjugate programs we have and the c-MET kinase. And as you mentioned, we -- I predictably reviewed all the other programs with the results, and somewhere primarily terminated because of lack of differentiated efficacy, we thought in a couples for signals that I didn’t think could be managed forward given the current environment. And the third reason is we are also working on the very early portfolio immuno-oncology that we want to make some room for it, which we’ll talk about later.

Thank you very much.

Yes. So again our apologies, but as I just said before you, Florent, we had a power cut and at the time we had a question from Jo Walton on Lantus, so maybe Peter, if you want to take this one.

Yeah. So maybe, the part of the question we still received before the power cut was on the situation of Lantus in Western Europe and I guess, also by extension your question was also pertained to the overall Lantus, Toujeo. So a couple of points on Western Europe, so we are doing well, we are very pleased by the performance. There is definitely no price increase in Europe rather a constant price erosion and we have again delivered more than 6% growth from Lantus in the first quarter and we are actually very competitive within the basal segments in quasi all the countries in Western Europe. And for what concerns Toujeo and the good news is that Toujeo will in Germany not have to go through the unknown procedure and we have seen in the last couple of years especially in the field of diabetes some major drawbacks of diabetes drugs going through the unknown procedure. So that is a very good news. And a little bit like in the U.S. by the way, we have made -- we have been making very strong progress on contracting with the German [indiscernible] with the German funds. So we are confident of having a good lift up in Germany. Also that we got registration end of last week, we have a very competitive label this time in Europe and so all this makes us pretty confident actually on the European launch of Toujeo. And so that is a little bit the picture I can paint to you in nutshell for Europe.

Thanks Peter. We are going to take next question please?

Thank you very much. The next question is from Graham Parry, Bank of America. Please go ahead.

Great. Thanks for taking my questions. So, firstly, Olivier, you've outlined your priorities for the near-term and discussed the strategic review? But could you give us a feel for the extent of that strategic review? So do you think the scope of the company, as it sits right now is about right? So is the review about thinking around the edges or is there something potentially more cathartic than this about to happen? And then secondly, on Toujeo, could you just give us a feel for initially where patients are coming from? Is this predominantly new patients or switches from Lantus and on the access, how much of that is Tier 2 preferred status or perhaps just in a same or better Tier than Lantus rather than just being unrestricted access? Thank you.

All right. Thank you, Graham. And since we are on Toujeo can you take the Toujeo question first?

Yeah. Hi, Graham. So as I already mentioned in terms of patient sourcing, so there are two obvious segments, so its approximately 1 million new patients in the U.S. So this is for us the low hanging crew we are going after aggressively. And also those patients that are not a goal experiencing high post-combination of both fear of hypos, and we have all programs in place actually to make sure that we maximize the revenue stream of these two segments. Your questions on market access Tier 2, Tier 3 is dependent from plan to plan, obviously, today there is a mixture of both. In commercial you probably will have captured that we have a good effort in place with co-payment offset programs whether this is a classical couponing program or with a more automated co-pay offset program in the pharmacies, with Relay Health. So actually the co-pay for the patient is very competitive compared to what is out there for existing base of insulins. And then in the Medicare Part D, actually, as it becomes public in the coming days, you will see a lot of actually tier two coverage. Jérôme Contamine: On the strategic review, this is again going to be the subjects of the next few months. But I want to be clear when I was referring to for the second half of the year will be business update rather than a presentation on a strat plans for the overall group. Now I have to say, that Board and I, we are already free aligned around executing what Sanofi diversified business models is. And we keep in mind that, while diversified, we want to complete in the business where we can and we will win. So we’ll keep also an open mind regarding further opportunities to optimize the companies’ portfolio while we are doing that thorough business review and strategic review. So that’s what I can share at this point. So thank you, Graham. Next question please.

Thank you. The next question is from Tim Anderson with Sanford Bernstein. Please go ahead.

Hi. I'm imagining that you'll say it's too early to comment on 2016 in terms of the outlook for the diabetes franchise, but investors are certainly looking past 2015 at this point and into 2016, because the landscape gets more competitive and I think more uncertain for Lantus and Toujeo with Lilly coming to market and with Novo probably coming to market. Wondering if you can at least confirm directionally how you expect that franchise, your overall diabetes franchise, to perform in 2016? Would it be safe to assume that it would likely be lower in 2016 overall than what it would be in 2015? And second question for you is on dupilumab. In the press release and the slide deck, you talk about various upcoming catalysts across the pipeline. I didn't see on there the first Phase III readout of dupilumab in atopic dermatitis. I thought that might happen by year end, but can you give us updated timing for when investors might learn about the first -- the readout of that first Phase III trial? Jérôme Contamine: Well, I’ll answer the first -- Tim, the first question quickly. Our guidance is stable between 2015 to 2018 for diabetes business is concerned. So it’s stable, just slightly increasing. So that has no chance and to give you a more granular picture for 2016 at this point would be very difficult. So the other question has to do is LixiLan or dupilumab? Dupilumab.

Well, maybe, Peter, you want it say we’re about LixiLan and this is obviously part of the year outlook

Year outlook.

Yeah. Tim so in the long term outlook, there are as you mentioned yourself, a couple of elements. There are competitive elements. There are elements of the increasing Sanofi portfolio in diabetes. Of course this price pressure on the market we have baked in all these elements in the long-term guidance. And for example, if you think about the LixiLan now that we have ELIXA process positive study, and we would have the readouts of the LixiLan studies in the third quarter of this year. We will file LixiLan of course as subject to a positive readout of Phase III by the end of this year, and LixiLan would therefore be the first and only fix those between basal insulin and the GLP-1 with proven cardiovascular safety and for the insulin and for the GLP-1. You know also that old products fit extremely well together. Lantus is working on FPG, Lixi working on PPG so this is a very synergetic combination. So we can lift thing, this is one of the asset we have in the portfolio which is a little bit overlooked by some of your, I must say and we’re pretty excited by this product. And so I think I’ll turn it over to Elias for the question on dupilumab.

Yes. So, as you know we started Phase III in the fourth quarter ‘14, and our plans are to submit the application for dupilumab in the fourth quarter of 16. Also, you should know we started Phase III for asthma, and we remember we have a breakthrough designation for the FDA for atopic dermatitis. So those are our plans. I can’t predict exactly when the Phase IIIs will finish, but that within the timeline that you requested. Sébastien Martel: Thank you, Elias. We’re going to take a couple of more questions. So we’ve extended the call a little bit beyond what we said, given the power break we had. So, we will take two more and then disconnect the call. Next please.

Thank you. The next question is from Alexandra Hauber of UBS. Please go ahead.

Thank you for taking my question. I have a question for David first. Given that a lot of the Lemtrada revenue occurred upfront, can you please maybe give us some idea about the addition of patients, what you see? Are they adding at a regular, similar weekly patient adds, or are they accelerating or was there a bonus upfront? And then secondly, Peter, sorry, if I come back again to the pricing question in diabetes. So to summarize everything that I've heard so far is, on the one side, you're saying the 15% price effect will stay the same for Lantus through all this year, yet there has been a refinement in the contracting strategy which was required to change the guidance. I therefore conclude that that refinement is related to Toujeo and therefore means greater discounts in the year than you had previously anticipated. Is that conclusion correct, or am I missing something? Thank you very much.

All right. And thank you Alexandra. David, Lemtrada?

Yeah. There was no bolus upfront and I think the way we think about this is there is some certain mechanics and they go with Lemtrada launch, sound specifically the REMS programs. So the first three months of launch of our post-approval period was intensively focused on getting healthcare providers on physicians, pharmacies, et cetera trained and certified in the REMS. So we made tremendous progress there. The full sales force was on board as of the beginning of the February. So we’re basically into our third month of former launch in that sense and what we’re seeing is a steady ramp in the number of patients who are signing up for the program. In other words, the patients themselves have to enter the REMS program and that’s one of our sign there so. So I would -- there's been -- there is no bolus of study ramp on the initial launch. Sébastien Martel: Thank you, David. Peter?

Yeah, Alexandra. So I’ll make a try to answer as good as I could and any additional granular information would be giving away commercially sensitive information. So thank you for your understanding.

Thank you. Sébastien Martel: We’re going to take one last question, Operator.

Thank you. The last question is from Philippe Lanone of Natixis. Please go ahead.

Hello, gentlemen. Thank you for taking my question. A couple if I may. One for Olivier on Praluent, because obviously, you come from a company initially that has been a cholesterol leader. How can you see -- can you give us more color on how you see the potential of that drug and how Sanofi is well prepared to launch it, keeping in mind that the current consensus is $1.8 billion? What are your ambitions on Praluent today? And second question, on the biosimilar insulin lispro, which is in Phase III, can you give us some calendar here for launching and how you will position that versus your other two short-acting insulins, Afrezza and Apidra?

Okay. Praluent, just to give you what I did and then let me answer your question. So I spent a fairly good amount of time, actually with the global and U.S. team, to just assess our preparedness for the launch. And I think we are refining few things but we are well on our way to be actually very ready for the launch. So I feel that is your question, I feel pretty good that we’re going to puts onto market, of course, a very powerful medicine. But we’ll have prepare for -- we’ll be prepared for a very successful launch. So what is the second question is for you Elias.

Yeah. The question is just straight forward question about lispro. As you know our strategy has been to be a complete solutions provider for diabetic patients. And as you know, [indiscernible] was a part of that scenario. So as part of the strategy, we think buying similar especially in different markets are going to be critical to provide that full spectrum if you will. And so that’s part of the strategy.

Good. Thank you. Sébastien Martel: Okay. Thank you, Elias. Olivier, we are now ready to close the call. Well, thanks very much to all participants for your interest today in Sanofi. And we look forward to talk to you very soon. Thank you everyone.

Ladies and gentlemen, this concludes this conference call. Thank you all for your participation. You may now disconnect.