Financial Data and Key Metrics Changes - The company reported a net income of $56.4 million for Q2 2025, an increase of $17 million or 43% from the previous year, with a return on assets of 1.23% and an efficiency ratio of 54% [4][5] - Year-to-date net income totaled $111.2 million, up $24.3 million or 28% from the first half of 2024, with earnings per share increasing to $1.92, a rise of $0.44 or 30% [5] - The tangible common equity ratio stands at 8.92%, above the target level, providing optimal capital flexibility [5][19] Business Line Data and Key Metrics Changes - Commercial loan growth was strong, with $262 million for the quarter, representing over 10% annualized growth, and $430 million year-to-date, at 9% annualized [7] - The consumer segment contributed $36 million in loan growth for the quarter, driven by residential mortgage, HELOC, and private banking relationships [8] - Total revenues in Q2 increased, with net interest income growing by $2.7 million and non-interest income by $1.3 million [12] Market Data and Key Metrics Changes - The commercial segment was the primary driver of deposit growth, contributing $347 million in total deposits for the quarter [9] - Non-maturity deposit balances increased by $108 million year-to-date, indicating a focus on low-cost deposit categories [11] - The total cost of deposits rose by seven basis points to 2.3%, reflecting competitive deposit dynamics [16] Company Strategy and Development Direction - The company maintains a commercially focused strategy across all business segments, primarily in Indiana, Michigan, and Ohio [6] - There is a strong emphasis on organic growth, with selective mergers and acquisitions considered only when beneficial [26] - The company is focused on enhancing its technology infrastructure to improve operational efficiency and customer service [44][48] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about maintaining loan growth and increasing market share, supported by a strong pipeline [8][20] - The company anticipates modest margin compression in the latter half of the year due to rising deposit costs and competitive pressures [31][64] - The outlook for non-interest income is expected to grow in the mid-single digits for the second half of the year [42] Other Important Information - The company repurchased $22.1 million worth of shares in the quarter, totaling $31.7 million year-to-date [5] - The allowance for credit losses was $195.3 million, with a coverage ratio of 1.47, reflecting improvements in non-performing loans [15][19] Q&A Session Summary Question: Margin outlook and funding costs - Management noted that deposit costs have risen due to strong loan growth, leading to expectations of modest margin compression in the second half of the year [31][64] Question: Loan growth sustainability - Management views the current loan growth as core and driven by direct client needs, with some pull-through effects from earlier in the year [32][33] Question: Wealth management fees and total fee income outlook - Non-interest income is expected to grow in the mid-single digits, with wealth management fees remaining flat year-over-year [42][43] Question: Technology upgrades benefits - The company has implemented internal technology improvements to enhance efficiency and customer service, with positive early results [44][48] Question: Capital deployment strategy - The company plans to use a third of earnings for balance sheet growth, a third for dividends, and the remaining third for other capital activities, including share repurchases and potential acquisitions [53] Question: Credit and provision outlook - Management indicated that the current provision level is appropriate for anticipated growth, with adjustments made based on macroeconomic forecasts [86]

Financial Data and Key Metrics Changes - Operating net income for Q2 2025 was $31.6 million, up 14% linked quarter and up 36% year over year [4][5] - Operating earnings per share increased to $0.69, a rise of 15% from the first quarter and 25% year over year [5] - Operating expenses decreased to $67 million, down 2% linked quarter and down 7% year over year, resulting in positive operating leverage of 5% linked quarter and 11% year over year [5][10] - Net interest margin improved to 3.27%, up three basis points linked quarter [10] Business Line Data and Key Metrics Changes - Average loans increased by $95 million or 1% linked quarter and up $327 million or 4% year over year, with growth led by commercial and industrial (C&I) loans [11] - Average deposits rose by 6% year over year, with a 1% increase linked quarter excluding payroll and broker deposits [11][12] - Operating non-interest income was up $1.1 million or 5% linked quarter and up $1.6 million or 8% year over year [12] Market Data and Key Metrics Changes - Non-performing loans (NPLs) remained low at 27 basis points of total loans, with net charge-offs at 14 basis points [5][14] - The company reported a coverage ratio of 124 basis points for loan reserves to NPLs [14] Company Strategy and Development Direction - The company is focused on a merger of equals with Brookline Bancorp, which is expected to enhance scale and profitability, with an estimated 40% accretion to Berkshire's 2026 consensus estimates [7] - The strategic initiatives include a new digital deposit program that has generated over $100 million in new deposits since its inception earlier in the year [6][7] - The management emphasized a commitment to relationship-focused, personalized solutions for clients, which has contributed to improved financial performance [6][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate macroeconomic headwinds while positioning for long-term strength [15] - The leadership team is actively working on integration planning for the merger, aiming for a seamless transition [8][40] Other Important Information - The company received recognition from Time Magazine as one of the top-performing mid-sized U.S. companies in 2025 [6] - Non-operating expenses of $1.5 million were primarily related to the merger [13] Q&A Session Summary Question: Inquiry about margin and FHLB drop - The spot net interest margin for June was approximately 3.22%, with the FHLB decline coinciding with an increase in deposits throughout the quarter [20][23] Question: Credit quality and C&I non-performers - The increase in C&I non-performers was attributed to a few smaller credits with individual issues, and the Firestone C&I balance is down to $28 million with NPLs at $1.3 million [25][28] Question: Non-interest income and BOLI gains - BOLI gains for the quarter were about $800,000 above normal, considered a nonrecurring benefit [32] Question: Tax rate expectations - The tax rate is expected to normalize to around 24-25% going forward [36] Question: Deal tangible dilution and FASB impact - The final impact of the ASU on tangible book dilution is still being analyzed, and the timing for the merger closing is expected in September pending regulatory approval [39][40]

Financial Data and Key Metrics Changes - Loans held for investment increased by $223 million or 1.7% linked quarter and $374.8 million or 2.9% year to date [4][5] - Deposit base grew by $35 million during the quarter, with personal and commercial deposits totaling $13 billion at June 30, an increase of $103.8 million or 0.8% from the prior quarter [5] - Net income for the second quarter was $55.8 million, representing fully diluted EPS of $0.92, up 4.5% from the prior quarter [5] - Return on average assets was 1.21% and return on average tangible equity was 13.13% in the second quarter [5] - Net interest income expanded by 4.3% to $161.4 million, producing a net interest margin of 3.81%, an increase of six basis points from the prior quarter [5][6] - Non-interest income totaled $39.9 million, unchanged linked quarter [6] Business Line Data and Key Metrics Changes - Growth in loans was diversified across one to four family mortgage loans, other loans and leases, and commercial and industrial loans [4] - Non-interest expense increased by $1.1 million or 0.9% linked quarter, following a decline in the previous year [6] - Credit quality remained solid, with non-performing assets declining by $5 million or 5.3% linked quarter [8] Market Data and Key Metrics Changes - The cost of total deposits in the second quarter was 1.8%, a decline of three basis points linked quarter [5] - The CET1 ratio increased by seven basis points to 11.7%, while the total risk-based capital ratio increased by five basis points to 14.15% [9] Company Strategy and Development Direction - The company is focusing on organic loan growth, potential market expansion, and M&A opportunities depending on market conditions [13] - The company is actively recruiting talent in key growth markets such as Houston, Birmingham, Atlanta, and South Alabama [35] - The company is monitoring the impact of tariffs and other administrative policies on its customer base [11] Management's Comments on Operating Environment and Future Outlook - Management expects loans held for investment to increase in mid-single digits for the full year, revised upward from low single-digit growth [11] - The net interest margin guidance has been tightened to a range of 3.77% to 3.83% for the full year [12] - The provision for credit losses is expected to trend lower compared to the previous year [12] Other Important Information - The company repurchased $11 million of common stock during the quarter, with a remaining repurchase authority of $74 million for the year [9] - The Board declared a quarterly cash dividend of $0.24 per share payable on September 15 [10] Q&A Session Summary Question: What is driving the increase in growth guidance to mid-single digits? - Management indicated it is a combination of strong production in non-CRE categories and delays in scheduled maturities for the CRE book [18][19] Question: Are there further profitability improvements expected? - Management believes there is potential for continued profitability improvement driven by operating leverage and net interest margin expansion [22][25] Question: What are the assumptions regarding NIM guidance? - The baseline forecast includes a Fed rate cut in September and December, with ongoing repricing of fixed-rate loans and securities expected to support NIM [31][32] Question: What is the company's approach to M&A? - The company is interested in both organic growth and M&A opportunities, focusing on contiguous markets and being conservative in its approach [35][36] Question: How does the recent M&A activity affect the company's partner program? - Management stated that while Texas is an attractive market, they remain open to opportunities in other high-growth markets [40][41] Question: What are the expectations for the reserve and provisioning? - The reserve level was slightly reduced, and provisioning is expected to remain similar to the first half of the year, with a positive trend in criticized and classified loans [43][46]

Financial Data and Key Metrics Changes - Net income for the quarter was approximately $69 million or $0.91 per share, exceeding consensus estimates of around $79 million [6] - Return on Assets (ROA) improved to 78 basis points from 68 basis points last quarter and 61 basis points a year ago [6] - Return on Equity (ROE) increased to 9.4%, up from 8.2% last quarter and 8% a year ago [6] - Net interest margin expanded from 2.81% to 2.93%, reflecting a 12 basis points improvement [9][25] - Net interest income rose by 5.6% quarter over quarter [10] Business Line Data and Key Metrics Changes - Commercial loans grew by $68 million, with Commercial Real Estate (CRE) increasing by $267 million, while Commercial and Industrial (C&I) loans declined by $199 million [10] - The residential loan portfolio decreased as expected, with a decline of $160 million [20] - Total criticized and classified loans decreased by $156 million, marking one of the largest reductions in recent times [11] Market Data and Key Metrics Changes - Non-Interest Bearing Deposits (NIDDA) increased by over $1 billion, with average NIDDA up by $581 million [7] - Total non-broker deposits grew by $1.2 billion, with NIDDA now representing 32% of total deposits [8] - The cost of deposits declined by 15 basis points to 2.37% from 2.52% [9][25] Company Strategy and Development Direction - The company aims to run a safe and sound bank, grow its balance sheet responsibly, and return excess capital through buybacks [14] - Recent expansions into New Jersey and Charlotte are part of the strategy to enhance market presence and capitalize on growth opportunities [17] - The company is focused on maintaining profitability while managing credit risk and optimizing the balance sheet [16] Management's Comments on Operating Environment and Future Outlook - Management noted a shift in the operating environment compared to three months ago, with less uncertainty but still caution advised [15] - The company expects continued double-digit growth in NIDDA and solid growth in non-brokered deposits [34] - Management anticipates margin expansion throughout the year, driven by a favorable mix shift and pricing discipline [104] Other Important Information - The company authorized a $100 million stock buyback program, reflecting confidence in capital management [13] - The Common Equity Tier 1 (CET1) ratio stands at 12.2%, indicating a strong capital position [13] Q&A Session Summary Question: Credit and office detail regarding non-performing loans - Management confirmed that properties are reappraised before moving to non-accrual status, and LTVs and debt service coverage ratios are updated accordingly [46] Question: Breakdown of provisions and charge-offs - Specific reserves increased by $33 million, with net charge-offs totaling $12.7 million, including $5.2 million from office charge-offs [49] Question: Deposit strength and seasonality - Management expects deposit balances to remain stable through Q3, with a potential decline in Q4 due to seasonality [50] Question: M&A activity and market expansion - Conversations around M&A have been consistent, but the company prefers organic growth and will only consider opportunities that align with its strategy [112] Question: Loan yield and origination rates - New production rates are generally higher than existing loans being replaced, indicating a positive repricing outlook [119]

Financial Data and Key Metrics Changes - The company reported a net income of $11.7 million or $0.69 per diluted share for Q2 2025, indicating strong performance [6] - Tangible book value increased to $24.42 per share, representing over 13% annualized growth quarter over quarter [7] - Total revenue for the quarter was $49.2 million, with net interest income expanding as anticipated [9] Business Line Data and Key Metrics Changes - Loan growth was at a 13% annualized pace for Q2, exceeding expectations, while deposit growth was 5% quarter over quarter annualized [8] - Noninterest income rose by $300,000 to $8.9 million, driven by higher insurance and mortgage banking revenues [16] Market Data and Key Metrics Changes - The average portfolio yield, including fees and accretion, was up to 6.07%, with new loan production contributing positively [12] - The loan to deposit ratio was maintained at 85%, with noninterest bearing deposits comprising 90% of total deposits [14] Company Strategy and Development Direction - The company aims to deepen its presence in existing markets rather than pursuing new market expansions, focusing on organic growth [33][81] - Talent acquisition remains a priority, with plans to add 10 new revenue-producing team members in commercial banking, private banking, and treasury management [21] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about continued growth in EPS and revenue, with solid pipelines and a focus on operational efficiency [20][22] - The company anticipates margin expansion of 2 to 3 basis points per quarter for the second half of 2025, despite expected increases in deposit costs [15][47] Other Important Information - The company maintained a strong credit quality with non-performing assets at just 0.19% of total assets [16] - Operating expenses were recorded at $32.6 million, at the low end of the guided range, with a modest increase attributed to merit increases and incentive compensation [17] Q&A Session Summary Question: Loan growth and future potential - Management believes maintaining a high single-digit growth rate is feasible, with potential for low double-digit growth if new hires are effective [25][28] Question: Geographic focus for new hires - New hires are spread across various regions, including Tennessee, Alabama, and the Gulf Coast, with no specific geographic concentration [29][30] Question: Future revenue targets and growth strategy - The company is focused on deepening its market presence and achieving set targets for 2025, with ongoing planning for 2026 [31][34] Question: Margin expectations and deposit costs - The company expects to see margin expansion despite rising deposit costs, with a forecasted margin of 3.3% to 3.35% for Q3 [15][47] Question: Credit quality and stress testing - Management reported no signs of weakness in credit quality and has conducted stress testing on lower-yielding loans maturing in Q4 [71][75] Question: Recruitment and market expansion - The company is focused on organic growth and recruitment within existing markets, with no immediate plans for major market expansions [81][82]

Financial Data and Key Metrics Changes - The company reported a fourth quarter loss of $82.3 million compared to a loss of $0.863 million for the same quarter last year [8] - Full year fiscal 2025 earnings were $367.1 million, down from $628.7 million in fiscal 2024 [8] - EBITDA for the Moving and Storage segment increased by $5.6 million for the quarter to $217.3 million, largely from revenue growth [8] - Full year fiscal 2025 EBITDA increased by just under $52 million to $1.6197 billion [9] - Equipment rental revenue increased by $29 million or just over 4% for the fourth quarter [10] - Operating expenses at Moving and Storage were up $53.6 million [17] Business Line Data and Key Metrics Changes - Self-storage revenues were up $18 million or 8% for the quarter, with a similar increase for the full year [13] - Average revenue per occupied foot improved by approximately 1.6% across the entire portfolio [13] - The average occupancy ratio across all locations declined about 2.5% to just over 77% [15] - U Box revenue results were up just under $14 million, with both U Box moving transactions and related storage transactions growing [16] Market Data and Key Metrics Changes - The company experienced a $244 million increase in capital expenditures for new rental equipment compared to fiscal 2024 [12] - Proceeds from the sales of retired rental equipment declined by $76 million to a total of $652 million [12] - The company added 82 new storage locations, resulting in 6.5 million new net rentable square feet across 71,000 new rooms [14] Company Strategy and Development Direction - The company aims to position itself as the best choice for customers in self-move and self-storage needs [7] - There is a focus on improving execution in storage operations to capitalize on customer demand [6] - The company plans to leverage its newly developed assets and expand its U Box capacity throughout North America [47] Management's Comments on Operating Environment and Future Outlook - Management noted signs of consumer optimism and a willingness to engage in moving transactions [25] - There is an expectation for continued growth in U Box moving transactions, with a higher growth rate than truck share operations [44] - Management expressed confidence that the depreciation of equipment will normalize and align with revenue over time [36] Other Important Information - The company invested $1.507 billion in real estate acquisitions and self-storage development during fiscal 2025 [15] - The average move-in rates for the same store portfolio were up just over 4.5% compared to the fourth quarter of last year [13] Q&A Session Summary Question: Interpretation of fourth quarter strength - Management acknowledged the fourth quarter as the strongest in six years, indicating a strengthening top line business [23][24] Question: Outlook for top line growth - Management expects to see modest growth, with signs of consumer optimism and willingness to accept rate increases [25][26] Question: U Box growth attribution - U Box moving transactions are growing faster than storage transactions, with both in the 20% range [41][42] Question: Real estate CapEx expectations - Management indicated that they are not in an emergency construction phase and will focus on leveraging existing assets [47] Question: Impact of tariffs on customer behavior - Management has not observed significant shifts in customer behavior due to tariffs, noting continued consumer movement [56] Question: Valuation of self-storage assets - Management acknowledged a disconnect in the market valuation of self-storage assets compared to their intrinsic value [72][73] Question: Financial performance of property and casualty business - The decline in operating profits was attributed to market valuation changes in the investment portfolio [78] Question: Fleet age and maintenance expenses - Management indicated that the fleet is improving, with a focus on increasing unused mileage and managing repair expenses [83][84]

Financial Data and Key Metrics Changes - For Q1 2025, consolidated revenue decreased by $4.9 million to $40.2 million compared to Q1 2024, primarily due to lower attendance across all markets and the closure of two cinemas [40][41] - The net loss attributable to Reading International for Q1 2025 was $4.8 million, an improvement from a loss of $13.2 million in Q1 2024, with basic loss per share decreasing to $0.21 from $0.59 [42] - Adjusted EBITDA increased to $2.9 million in Q1 2025, a significant improvement from a negative EBITDA of $4 million in Q1 2024 [43] Business Line Data and Key Metrics Changes - Global cinema revenue for Q1 2025 was $36.4 million, down 12% from Q1 2024, representing just under 63% of pre-pandemic levels [13] - Global real estate revenue decreased by 2% to $4.8 million, while operating income increased by 79% to $1.6 million, driven by improved live theater performance and reduced holding expenses [12][30] Market Data and Key Metrics Changes - The average exchange rates for the Australian and New Zealand dollars weakened against the U.S. dollar by 4.5% and 7.3% respectively, impacting revenue as approximately 50% of total revenue is generated internationally [9] - The cinema industry faced challenges due to a weaker box office, attributed to the lingering effects of the 2023 Hollywood strikes and underperforming film releases [8][15] Company Strategy and Development Direction - The company is focused on reducing debt and rebuilding operational cash flow, with plans for cinema renovations and upgrades in the U.S., Australia, and New Zealand [50][51] - Strategic initiatives include enhancing food and beverage offerings, expanding loyalty programs, and recalibrating occupancy costs with landlords to reflect current economic conditions [20][25] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for a stronger 2026 and beyond, anticipating improvements in the interest rate environment and a stabilizing film slate [38] - The second quarter of 2025 has shown better box office performance, with successful film releases contributing to improved theater-level cash flow [15][17] Other Important Information - The company completed the sale of its Wellington assets for NZD 38 million, which helped eliminate significant debt and reduce annual interest expenses [6] - The company is actively working on selling its Cannon Park assets in Townsville, Australia, with an expected closing date of May 21, 2025 [7][47] Q&A Session Summary Question: What is your cinema CapEx forecast for 2025? - The company plans to renovate one theater in the U.S. and is working on upgrades for several others in New Zealand and Australia, though completion is not guaranteed [50][51] Question: What are Reading's intermediate term plans for the Minetta Lane and Orpheum sites? - The focus is on reducing debt and maintaining cash flow from these assets while exploring future opportunities [52][54] Question: Do you expect to refinance the Santander loan? - Discussions are ongoing to extend the existing loan for another year, with expected terms including a partial pay down [56] Question: What steps will the company take to attract analysts and investors? - The company will participate in the Sidoti conference and host one-on-one meetings with potential shareholders to enhance visibility and valuation [57][58]

Core Insights - The article discusses the recent earnings call for Henry Schein, Inc (NASDAQ: HSIC), a healthcare distribution company, highlighting the author's perspective on investment strategies and market conditions [1]. Company Overview - Henry Schein, Inc is positioned in the healthcare distribution sector, focusing on building financial assets for investors nearing retirement [1]. Investment Strategies - The author emphasizes the importance of having both long-term and short-term trading strategies, aiming for proper execution of trading plans and achieving absolute investing results [1]. Market Conditions - The article reflects an interest in utilizing inverse ETFs to capitalize on market declines, indicating a proactive approach to market volatility [1].

Financial Data and Key Metrics Changes - The company reported a significant increase in Marcellus upstream cash flows, which were up over 200% sequentially due to a 58% increase in production and a 70% increase in realized pricing [5] - Midstream cash flows also increased by 140% sequentially on higher throughput volumes [5] - The company plans to allocate total capital expenditures of $9 million to $12 million for 0.5 net wells in Texas and Alberta for the remainder of the year [5] Business Line Data and Key Metrics Changes - The Marcellus business demonstrated strong performance, with substantial cash flow increases attributed to both upstream and midstream operations [6][7] - The company has a remaining undeveloped inventory of approximately 500,000 completed lateral length feet gross, expected to be developed starting late next year or early in 2027 [7] - In Texas, the Barnett type curve is delivering above a 15% rate of return down to $55 WTI [8] Market Data and Key Metrics Changes - The company is approximately 45% hedged on forecasted PDP oil production for the remainder of the year at just over $71 WTI and approximately 30% hedged for gas at $3.33 NYMEX [8] Company Strategy and Development Direction - The company is focused on minimizing near-term activity in light of current oil price volatility while maintaining its dividend [5][6] - The strategy includes limiting capital spending in Texas to leasehold obligations, with plans for two gross wells over the remainder of the year [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's strong balance sheet and projected cash flows, positioning it well to capitalize on attractive opportunities [6] - The operator's stated plans for development are subject to change based on gas market conditions and other factors [7] Other Important Information - The first two horizontal Manville wells in Canada were completed in the first quarter, with production sales commencing in April [11] Q&A Session Summary Question: Details on the first two wells in Alberta - Management indicated that oil and gas started flowing to sales in early April, with ongoing efforts to install artificial lift and tie down facilities, expecting a more definitive update in the next quarterly report [15][16]

Financial Data and Key Metrics Changes - For Q1 2025, the company generated GAAP net investment income of $0.35 per share and core net investment income of $0.37 per share, which excludes estimated excise taxes [6] - Net asset value per share decreased by $0.21 during the quarter, primarily due to company-specific write-downs in the loan portfolio and a reduction of spillover income [6] - The company has paid $295 million in dividends since its IPO, representing $17.9 per share to an investor in the IPO [6] Business Line Data and Key Metrics Changes - The investment portfolio at fair value increased to $991.1 million across 110 portfolio companies, up from $953.5 million across 105 companies as of December 31, 2024 [7] - During Q1, the company invested $46.7 million in seven new portfolio companies and had $8.7 million in other investment activity at par [7] - 90% of the loans were secured, and 91% were priced at floating rates, with an average loan per company of $9.4 million [7][8] Market Data and Key Metrics Changes - The company noted that 52% of the portfolio is rated two or on or ahead of plan, while 21% is marked at an investment category of three or below [8] - Loans to five portfolio companies are on non-accrual, comprising 6.7% of the total cost and 4% of the fair value of the total loan portfolio, representing a decrease from the prior quarter [8] Company Strategy and Development Direction - The company plans to draw new leverage under the SBIC III license to continue funding qualifying portfolio company investments [9] - The company aims to grow the portfolio to over $1 billion, with potential for more than $10 million in equity gains by year-end [11] Management's Comments on Operating Environment and Future Outlook - Management expects new loan originations to be offset by loan repayments for the remainder of Q2 2025, indicating a flat portfolio [11] - The management expressed optimism about the return of M&A activity, which was temporarily disrupted due to tariff-related uncertainties [20][50] Other Important Information - The company issued $75 million in aggregate principal amount of 7.25% notes due April 1, 2030, to repay the bank facility [9] - The company has received a green light letter from the Small Business Administration for Stellus Capital SBIC III, which is a significant step in the licensing process [10] Q&A Session Summary Question: Impact of first quarter originations on interest income - Management indicated that the average portfolio in Q1 was higher than in Q4, which should lead to a pickup in yield for Q2 [15][16] Question: Pipeline status and lending opportunities - Management noted that the pipeline is slower compared to three months ago, but they expect interesting opportunities to close in the upcoming quarters [19][20] Question: Trajectory of net investment income (NII) to cover dividends - Management acknowledged that NII is currently less than the dividend but expects to be in a good position by the end of the year due to potential equity co-investments [23][24] Question: Trade education acquisition restructuring - Management confirmed that the business was restructured and recapitalized satisfactorily, expecting it to perform well moving forward [27][28] Question: Logic behind issuing fixed-rate debt - Management explained that the issuance was necessary to retire maturing bonds and to have some unsecured debt in the capital stack [34][35] Question: Future issuance of unsecured debt - Management indicated that more unsecured debt will be needed before the maturity of existing bonds, with the magnitude still being determined [54]