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Medtronic, Inc. (NYSE:MDT)

Goldman Sachs Healthcare Conference Call

June 10, 2014 06:20 PM ET

Executives

Gary Ellis - Chief Financial Officer

Omar Ishrak - Chairman and CEO

Analysts

[No formal presentation for this event]

Question-and-Answer Session

Unidentified Analyst

[Call Starts Abruptly] and Gary Ellis, Chief Financial Officer. It’s [timely] to have you in front of investors even though you’re just in front of investors. But maybe I could just ask you to start with the look back to the investor meeting and your fourth fiscal quarter’s set of results. I mean you've had -- you are here at this conference, I think there have been some other conferences too. What's your sense on people’s response to your message? Do you feel that you are getting across the sort of vision from Medtronic that you want investors to run with, do you think that there is things that people are missing, maybe just any perspective you can provide on how you are meetings are going, what feedbacks you are getting?

Omar Ishrak

I'll let Gary comment on it, because he is maybe closer to the investment community directly. But the sense that I get is that look we've been consistent in what we've been saying over several years.

And we've been trying to get our strategy down to something that you can measure, because strategies by definition are not yearly patents or even long-term plans, but they drive long-term plans. And so we're beginning to make that transition. I think it dose encompass a new set of thinking. I think we're beginning to fill out the strategies with better and better examples of as we do them and as we learn about them.

So, I think in general I get from the questions an increasing understanding of what our strategy is. But at the end of the day, the culture within medtech is one of here is a new product and that drives growth and wait for the next new product. And that's something we're trying to break and to keep that but fill it in with a lot of diversified revenue. And I think that's a bit of a different culture and that's our strategy at the end of the day. And we're still I think in the middle of trying to not explain it, but demonstrate that it's incredible. Gary?

Gary Ellis

Yes, I would agree with what Omar just said. I think overall, the story has remained the same but now I think we're getting to the point that we can actually show examples of how that strategy is starting to play out. And as a result of that I think there is a growing confidence that yes there is something to the strategy itself and more importantly that it can give us more reliable and more consistent growth and leverage than what we’ve had in the past.

So I think in general, it's not that investors haven’t understood our strategy, I think they’ve understood it but it was whether they can really measure and count on it, but now I think they're starting to see some of the early returns on that whether it's Cardiocom or even some of our Cath Lab, Managed Cath Lab Services that yes, there is something broader than this therapy innovation occurring at Medtronic.

Unidentified Analyst

So why don’t you continue down this path? I think you bring up probably the primary question that I get on Medtronic, which is a lot of what you're saying makes a ton of sense. We know that the industry is changing, we know that the healthcare environment is changing, but I always get the question show me, show me the money, and I say how does strategy become performance and how does performance become value. So maybe it will be helpful if we could walk through a couple of examples of where you are starting to see the strategy morph into the performance of the business and then after that we can talk about the therapy innovation side because I’m sure you want to talk about CoreValve and some of the other products.

Omar Ishrak

And one of the key elements for our strategy is that as you all know, we've talked about therapy innovation, we've talked about globalization, and we've talked about services and solutions, our integrated health solutions as we’ve recently started to call it. And the most important point in that thinking that I think we keep emphasizing and I don't want anyone to lose is that these three vectors if you like, address independent markets but are interconnected in what to provide. In other words, our initial goal towards emerging markets is to address, initial goal of globalization is to address within emerging markets, the penetration of our existing therapies amongst people who can afford them. So that’s a very finite end market which is different from the end market that new therapy addresses because the new therapy goes after usually developed markets and is obviously not in existing therapy. And that difference is important to understand knowing that our movement in emerging markets however is dependent on our initial investment in and development of what we call an existing therapy and the same is true for services and solutions. The goal there is to provide value, is to isolate and identify the value that is lost in the innovation that we have in diseases that we’ve got expertise in, that is lost as we translate, the promise benefits which is identified in clinical trials, to the real benefit which is realized by payers. And there is a gap there, a significant gap which is in the end what causes the cost of healthcare to go up all the reimbursement levels by definition are chosen to provide economic productivity. And that gap is well identified and we can create a business model around.

So, the one of the most important elements of the strategy is to realize that these are all linked in terms of therapies. We are not going to go and become a generic management consulting company going and streamlining hospitals. To the degree that that helps people accept our therapy, develop our therapy, penetrate the more -- make it more accessible to patient, make sure the outcomes are better that’s where we will step in. So quickly the examples that we have talked about, hospital situations in Europe where even year ago, I’m not sure we even had one contract, and now we’ve got 14 and with the funnel, a very rich funnel, and a methodology through which we know how to come, how much is existing device revenue, how much is incremental share that we get from it, how much is OEM revenue, how much is revenue that is provided from a service perspective through which we improve efficiency of the hospital.

Not only that, we have a roadmap through which that framework can be extended to provide continuous value creation within that hospital by using the value propositions that our devices have within the hospital and drive changing procedure and [care properties] within the hospital to fully benefit from those features. We work in a full chain of the hospitals and eventually we will take post acute management and integrate them together with these hospitals. So not only do we have these contracts which are meaningful from a five to seven year roadmap, but we have a game plan through which we can enhance them even for the initial contract is over.

In the U.S., our approach has been more around post-acute care through Cardiocom as our base, but there too, we are beginning to integrate data from our devices into Cardiocom. And although right now our revenue projections are primarily Cardiocom which is in the generic heart failure population, we have plans in place that can address patients with our devices in a much more aggressive way. So those are examples if you like for services and solution with integrated health solutions that we are going after.

Unidentified Analyst

And maybe Gary, to talk about this or out either of you, Cardiocom versus CardioMEMS, can you talk about that a little bit, I mean are they are they serving same population, different population…

Omar Ishrak

I think today, it’s really different population. So just today, the Cardiocom addresses the general heart failure patients. As far as I know CardioMEMS is much more focused on extremely acute care with a lot of patient involvement to the management and a lot more kind of goes into the process. Cardiocom is designed to be much easier to use, it’s designed for the Medicare population. It’s interesting to note, efforts for the products. They don’t appear like fancy computers with touch screens. They have touch screens, but not your regular iPad type of format because those patients want to a big fat button to press and they’re not interested interesting in going through websites and all those stuffs. So it is very, very customized to that patient population. Also at the end of the day Cardiocom is an overall solution, while CardioMEMS is probably a technology. And for that to be effective, you have built a solution around it for the very specific classifications. To the degree that Cardiocom together with our device data that we’ve got studies in, can start to approach the very acute patient. There is at least a strong possibility that we can do that.

Unidentified Analyst

I guess the other area where I think the strategy comes into the play is sort of cross-selling or sort of leverage across different channels and the example that we keep pointing to is Resolute Integrity. And I guess there are sort of two pieces to Resolute, well, one was to whatever share you gain in the debt market but then there is also the pull through effect that what that did, but for the rest of the business and maybe the math we do is just bit but at least it appeared to us is that you gain share across other platforms, CRM, endovascular, peripheral, it’s better. I mean do you think the Resolute experience is unique or can you see that type of leverage play through the other products in your pipeline, is it CoreValve, or IN. PACT or Micra or….

Omar Ishrak

No, I think we're depending on it, not to be unique and that it will play through because, having said that, we've got to take each new therapy by itself and understand completely what it takes for adoption, because the Resolute adoption didn't require proctoring and training and setting up sides, it's in many ways the procedure for using it was fairly standard. And the benefits do ignore that, but it didn't require massive amount of training. CoreValve does now that’s good and bad, it's good in the sense that it does give us an even stronger position with the customer, because it’s tough for everyone else to replicate that easily and there is a lot more stickiness with that customer once they are used to using our product and more reason why they'd want to bring in other product categories into that.

What's bad about it is that it takes longer and it does require some level of added resources which Resolute Integrity required less.

As you go through that spectrum it varies, with the drug coated balloon, we probably need to create some form of peripheral sales channel of some sort, because that customer base is a little bit different. So, again we look at each one, we think the CVG Umbrella will help all of them, but the degree to which we need to add resources will depend on the specifics of that therapy.

Unidentified Analyst

But does it have to sort of happen sequentially I mean, I understand that I think you said at your ATC presentation that from the time you qualified center to the primary you are implanting CoreValve to 10 weeks to 12 weeks.

Omar Ishrak

Yes.

Unidentified Analyst

But in the interim just sort of [Multiple speakers] products in that 10 week to 12 week timeframe, is there any way you want to have that due in CoreValve plan?

Omar Ishrak

Yes, that's there. Once we get a contract, other products will pickup, I think we're going to see that but there is no reason why that shouldn't happen?

Unidentified Analyst

Okay.

Gary Ellis

Yes. I think in Micra he would even tell you that for example CoreValve has probably already been even benefiting us on some of the CBG strategy up this point in time even this is for approval, because obviously all these hospitals and cardiac administrators want to have the newest technology coming forward. And so even before products get there and have the benefit of that there is been benefit obviously in the entire strategy, because of the entire portfolio.

And so there is no question ones it's launched I think there is clearly a benefit back to point. But I think there was no question that on Resolute Integrity, CoreValve on some of the other products you mentioned. That portfolio not only what that we have, but where it's going and that is a leading portfolio is extremely important for the CBG strategy to work. If they see we are losing a technology lead in any area clearly that will be area that we're going to increase focus on.

So no I think there is clearly leverage that we even saw prior to the launch and as we rolled this out, it clearly will help, we believe it will help the launch and with CoreValve as we saw with Resolute Integrity. As Omar said, won’t be as quick because of the requirement, but there is also a benefit on other parts of the business just with the strength of that portfolio.

Unidentified Analyst

And maybe just more specifically on CoreValve, this came up at our breakfast though this morning is maybe two questions. One is on your supply situation and the second was in response to a comment, you made around stickiness of share. Is that, do you think may how sticky your share in the valve market or what do you see in terms of conversion?

Omar Ishrak

Well, let me take the second one first. Because the first one is essentially the demand is so strong, we're just going to keeping up, trend keep with the -- it’s a manufacturing ramp up issues. Now the stickiness of share, I see two dimensions to this, I have learned about this market one is there are aspects of the product that are uniquely beneficial for certain types of patients that means one product works for one patient and another one doesn’t. So to the degree that that exists that product will be adopted because you are addressing a new class of patients.

Once you have sorted that out as to which is good for who the training levels that are required to get physicians comfortable and completely ready to use this on a regular basis is quite stringent and long. And for them to go off and spend another three months is to learn another product which doesn’t serve any more new patients but it’s just different from a different manufacturer. I think that’s going to be difficult for a new manufacture to come in we will have to do real differentiation at a patient level and I don’t mean just few seconds easier to put in or some anecdotal stuff like that but it has to be grounded in some level of pretty clear clinical trials.

I think then you can differentiate a market but that’s the way you have got to do it, you’ve got to segment the patient through hard clinical data and then you train doctors to do that and once you do that for that type of patient and that type of product especially as we continue to evolve our technologies it’s tough for others to break into.

Gary Ellis

No I would agree and we have seen that not just in obviously whether it’s transcatheter valves et cetera even in Europe for example since there is other competitors coming in the marketplace the impact is there are still the two major players are kind of taken the majority of the share in those in that international market with a small amount of share kind of needs but between the others because once you get several years of experience to get the training, education, and you have the platform that you need to manage your patients, most physicians are not going to want to go through another training program as Omar mentioned earlier unless there is a significant advantage. And so we just have to make sure we keep the product innovation clear, but we expect the same thing in the U.S. as we have launched and you have seen that in that market place the surgical valves for example for years, I mean you get comfortable with the clinical data, you get comfortable with other performances and you start want to go through the additional training education that the ends up in relatively sticky.

Unidentified Analyst

So it sounds like also that there is an element of CoreValve that as market expenses and you’ve got to phase every launch that kind of Phase 1 that’s sort of the lowest hanging fruit there, a whole bunch of patients step in just can't treat because of the size or the…..

Gary Ellis

I think it is more parallel than that.

Unidentified Analyst

Okay.

Omar Ishrak

I think is more parallel than that. We are not going to selecting those alternate things, because there is lots of -- the lowest hanging fruit are patients that have been our clinical site so obviously [converting] goes easiest. And then beyond that, I don’t think we are just seeking out places which have safety and -- I think we are just going to whoever wants it and perhaps you can bundle it most you are going to give this more interest becomes a commercial transaction at that point.

Gary Ellis

Okay. And one of the fears I think about CoreValve in bundling it’s just on the pricing environment where I think Mike has been and [Ronda] and team have been very [clear] about not cutting price at CoreValve.

Omar Ishrak

Go ahead.

Unidentified Analyst

Then I guess, as we are tied to your fiscal ‘15 guidance to 3% to 5% revenue growth, the mid-point of that is not all that much higher than what you did in fiscal ‘14.

Omar Ishrak

That’s correct.

Unidentified Analyst

It was 40 basis points. But as I think, I know you gave a lot of statistics at the analyst meeting on the (inaudible) but just conceptually as I think about ‘15 versus ‘14, in ‘15 you have got CoreValve in the U.S. in a full commercial launch.

Omar Ishrak

Yes.

Unidentified Analyst

You’ve got SureScan for the full year, you’ve got 530G for the full year and maybe you are going to have Micra toward the very end of the year, but there are things in the full year, those three things in full year ‘15 that you’ve owned for part of ‘14 would leave me to think that the growth could be better.

Gary Ellis

Well there is a lot more. There is a 640G in Europe and there is a stabilization of infusion in [BMP] and [BKP] I think those are important factors that something that has been trending down one by 5% the other by 10% you just make those zero. The swing factor in that is 50 basis points to 80 basis points in our growth. So none of the others happened and just this happened that cross the bridge between last year and this year. So there are different factors and I agree that if all of them played through then which we’re confident actually biggest are known as the BMP and the BKP only because it’s a little more externally dependent sometimes and so it’s a little more new territory.

Unidentified Analyst

But the downside be keep doing what it’s been doing?

Omar Ishrak

Right. In which case it won’t make any difference, correct. So side and upside are zero. And so based on that thinking we should be at the higher end of our range but we are just trying to bake in in surprises. We were addressing a broad market. I think in many ways, the way I look at FY14 internally and we try to project it as transparent of fashion as possible is that in many ways it was a difficult and challenging year, but we overcame those challenges and sort of delivered to our guidance and a lot of the good news in that is that love these challenges since either being mitigated or stabilized.

Whether you’re going to [hold rush at] them again, who know, but we're planning for it to make guidance to some degree, but we don't know of anything today, that is lurking on the corner or anything like that.

So, if anything we're actually feeling pretty optimistic, but I love this six weeks per quarter. So this is really

Gary Ellis

And yes, because I going to add Link and quadpol and a few other things and probably the reality is as we talked through at the Analyst Meeting, there is a lot of reasons why we go optimistic about where FY15 is at, our guidance we think is relatively conservative, but on the other hand, there as Omar said we just want to be prepared that if there is something we haven't counted on that comes into that we have baked enough [ruining] the guidance to meet that.

Unidentified Analyst

Yes.

Gary Ellis

We have every expectation we're going to drive as hard as we can to meet or exceed the guidance, as we do every year, but we just have to be prepared for the unusual thing that we had encountered on.

Omar Ishrak

I think the other points that I will make, is that you've got start seeing Medtronic as a reliable company who can deliver to their commitments and guidance. And whose guidance overtime should gradually inches up in shareholder value.

So our growth rate overtime will start to grow, we're not a company, we're not trying to create a company, we're too big for that, that can rely on one huge swing and then wait for the next huge swing and growth rate’s going to swing from 10% to minus 10%. I mean that's not the kind of company we're trying to build nor is -- we are way too diversified for that.

So I think that in my view is a little bit of not a foreign concept, but not the Norman medtech because most companies within medtech are pretty focused. And so they are big swing companies. We are more diversified than that and then we want to build something that's reliable which you can rely on, but yet at the same time, the performance continues to grow and it's not static at 3% or something like that. So seeing growth point of growth a year I think that's pretty good, I don't know if you do the math, what happened in past years. So that's the way we think about the financial proposition.

Unidentified Analyst

And you kind of bring up something that I think is worth exploring because I think sometime you will do like Medtronic and say is a one shot in the pan product, I mean Resolute my point that will grow at 5% that year that’s going to grow 3%. And as we play through thinking about FY16 as we are getting the extra week for a second. But if I think you'll have a full year of Micra you have IN. PACT you will than a full year of CoreValve in the high risk population, you’ve Evolut R. So it seems like FY15 is enough to keep things going?

Omar Ishrak

Well that's in cardiology and we have, I have talked about a whole lot to do franchise this continuous improvement, hopefully by then we'll have figured something of infuse out, we'll have product releases in newer modulation as well as diabetes so we're going to build all that stuff up. And in all of this we haven't talked about emerging markets as our play with channel optimization (inaudible) gives us value. There is work that we are doing with several governments, which are one swing, hence that can move the needle dramatically. There are partnerships we are doing with providers.

In the bottom to growth drivers in emerging markets and the services solutions, I mean there will be new digital business model innovation which we are working on which we just can't predict and we have a really big thing in it, but the forecast of the big things are things that we have proven historically we can do. We are not baking in big things that can come our way that means a big partnership that might result in significant fraction, which can happen. But we really look at those as upside. But we have got enough of these in the fire here that over the next five years one or two of them have to come true.

Unidentified Analyst

So on emerging markets and it’s a completely different sector I am sure you saw a sort of year ago Baxter entered into the partnership with Brazil for exclusive access to their hemophilia markets so they basically lock up the entire market with a guaranteed revenue stream, is that the type of thing that you are talking about?

Omar Ishrak

Yes. And every country in the world is [interveneable] to that. Our formula is pretty simple, again I have talked about in the completely open fashion. We go to a country where they are willing to do three things or four things, they are willing to first they have to have a government set up who can kind of get things done top down, I mean this can be done through too much discussion. So it’s got to be health minister says we have got this thing done in portion that has to be there. We want from that country a guaranteed order just like the one you described over a certain timeframe. We want from that country manufacturing incentives because if they want us to manufacture in that country then we need our cost to be at least compatible with our lowest cost from a global perspective and even when the volumes will be lower but to give us some incentive for that to happen.

We want fast track industry approval so that government who wants to put this thing committed that look we will follow our process but we will walk it through and we want reimbursements came to that after this period it’s sustainable. What we will do is we will come in and we will train the physicians, we will set up their system, we will do the manufacturing and we will provide their product as a direct channel to that government which will give them some price advantage because we won’t have the dealer margin baked into it. So I think that’s the kind of equation that we have tried to work out and there will be some big countries, really big like all of China’s unlikely but state in China is very likely, very, very likely in certain products, other countries like Brazil and (inaudible) are absolutely in the map.

Unidentified Analyst

Okay, I will open it up to the audience if there are any questions. Yes.

Unidentified Analyst

(Inaudible).

Unidentified Analyst

And just for the benefit, you want the webcast question is that in emerging markets how do you protect your IP?

Omar Ishrak

You know, I think you really mean the emerging markets where there is a significant technology, so infrastructure where you can take that IP. Look we have decided that, we can -- we have just got to run faster than the local competition. I mean if they are going to copy to us, we know more than they do. We do all the things, if we have to do, in other words put in the legal framework but we can't depend on it.

But that’s not an acceptable reason why we don’t go to emerging markets, we have to play according to the rules on the ground. And to a large degree thankfully at this stage anyway emerging markets is a matter of taking existing therapies and driving penetration, and not talking about brand new IP. We are talking about any existing therapies and driving market penetration with them and maybe some factors. And so it’s not a whole lot of brand new IP that we just though in there. But whatever the case maybe over the long run, we need to learn how to play in those rules, it’s just as simple as that and we have got to run faster than they do, after all they are copying us.

Unidentified Analyst

All right. Other questions? Maybe we could switch gears to run on capital allocation.

Omar Ishrak

Sure.

Unidentified Analyst

I know that your 50% commitment is very, very clear. Question one on the M&A side the commitment to deals that are not dilutive to GAAP EPS.

Omar Ishrak

Yes.

Unidentified Analyst

Why is that the metric, and why is that so important to you?

Omar Ishrak

I think, look that was something we put in place when I first started because there was looseness within the organization and the perception from the outside world that we would just buy our growth, not without thinking about what it really costs. And I wanted to make it clear to the internal organization and to our external stakeholders that buying a company is not freak and someone has to pay for it. And the way we pay for it is through amortization. And if you just leave that out, that’s not a fair reflection of the company’s long-term outlook. So just to be clear about that that’s the way we -- to put some discipline and transparency into the organization, we felt that that was essential.

Now, if the investor community wants to look at cash EPS, we’re quite happy to kind of show that. But what we hold our internal team accountable for is to make sure that we understand have to pay for it and it’s not always the product group that is doing the acquisition, sometimes we realize that the amortization cannot be managed within that group, we cover it elsewhere. There will be times when we will have dilutive EPS for whatever reason but then what that would mean is that we’d have to select our shareholders and make sure that our shareholders understand that this is the right thing to do. So it’s a more a matter of discipline and communication as opposed to some kind of hard and fast rule that doesn’t kind of stubborn about, it’s just fiscal discipline.

Unidentified Analyst

And I think we can appreciate a perception of Medtronic and that’s fits with what you’re describing, there was a period of time you sort of questioned that the M&A strategy but and maybe when I sort of -- when you got to Medtronic, it was all the way other but times when between the other way that you could arrest the M&A activity or the big M&A activity and do you think you’re at a point, are you comfortable with sort of the execution of the business that when you look at swings back a little?

Omar Ishrak

Well, look all acquisitions start with strategy, starts with strategy and it starts through that strategy, starts with the value propositions that's both clinical for patients and customers and economy for us and for the healthcare system. All our acquisitions start with that whether they are small or huge.

And given that, that will tell us and a very clear and transparent, a plan through which we will deliver that value, because by way in the end when they deliver financial value, you've got to get at some point, accretion and GAAP EPS, otherwise it's not going to happen at some point. So you have got to know what that is and you have got to double digit overall return.

So the financial metrics have to be clear and transparent. And within that envelope, we're willing to do different deals, but they have to be very clear, clearly put to you as to what they are. Gary, do you want to add to that?

Gary Ellis

No, I mean I think Omar said it very well. And I think the only thing I would add to that is I think we have become much more disciplined on the integration aspect.

I think the aspects that Omar put in place, some of the financial metric et cetera, we've always had, but I think of anything that I would tell you in my history of the company where we failed in some ways was not on the due diligence or even how we value some things or even the acquisitions is we didn't do as good job as we should of really making sure it was integrated and we've got the synergies and the benefits that we expected out of that. So, the execution was a little -- it was flat at times.

I think where Omar has brought in some more concepts as far as you own it, you own the amortization, you own the aspects of what's going on, the integration plans that are in existence now before we even close on a deal are much, much more expensive than they ever were in the prior years. And as a result of that, I think we’re just much more effective on hitting the ground running, getting the benefits the synergies we expect. And there is going to be pluses and minuses, I mean the acquisition strategy as we go forward. But in general, I think we just have a much better chance of realizing the potential we expect when you have a very good innovation plan and a team prepared to address it.

Unidentified Analyst

And so the last, I mean try to wrap two questions into one given the time here. This is sort of that U.S., ex-U.S. cash filing. And maybe sort of talk about the opportunities to get more U.S. cash and if you could somehow loop in the IRS potentially windfall in 1 minute and 38 seconds out here that would be helpful and we know what that the challenge is and maybe help us think to the solution?

Omar Ishrak

Gary, do you want to take that?

Gary Ellis

Well, I'll try; I mean it’s hard to do in a short period of time. As everyone knows obviously, we do generate a significant amount of cash flow as an organization, and we expect that to continue growing, grow it. But the problem that we have is obviously as many U.S. multi -- U.S. based multi-national companies, we have the U.S. OUS cash put and trapped cash offshore that is just -- it's way too expensive to bring up back based on our existing tax policy.

So obviously, we're doing a lot of things internally to try to address that. We're trying to improve the overall U.S. cash flow by working on working capital, by shifting expenses to the extent we can. There are some things that will get resolved that we identified in our Analyst Meeting that as we address in transfer pricing things that will help improve the overall situation. But even at best, we're going kind of get to a 50-50 split on U.S. OUS cash and that ultimately the only answer -- the ultimate answer is obviously tax reform and which allows basically the cash, the flexibility of coming back and obviously that would be the Holy Grail. But whether it's win and if that's ever dealt and at what levels, it's hard to imagine.

In the meantime, we'll take a look at other options that have been there in the past whether it’s tax planning, different things to basically achieve at the best we can. And currently we can continue doing what we are doing which is obviously using both the credit markets along with our own cash flow and having the cash continuing to build and the debt in the U.S. We can do that to continue our 50% commitment but obviously we would love to see more flexibility and we’re managing that internally the best we can and then externally working to make sure we give some answers.

Unidentified Analyst

Okay. Well, great. I think with that we are out of time but Omar and Gary, thank you.

Omar Ishrak

Thank you.

Gary Ellis

Thank you.

Unidentified Analyst

You have been our consistent attendees here and we certainly appreciate your support.

Omar Ishrak

Good. Thank you.

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