Category: 3. Business

The opening of the Regional Cyber Center not only strengthens Leonardo’s positioning as a leader in global security, but also consolidates Malaysia’s role as a strategic hub for the Southeast Asia

The Global CyberSec Center based in Kuala Lumpur joins Leonardo’s global network, which already includes the federated centers in Chieti, Bristol, Brussels and Riyadh

 

The opening of the new Regional Cyber Center strengthens Leonardo’s positioning as a leader in technologies for global security. The inauguration, which took place today in the presence of the Malaysian Minister of Communications, Yang Berhormat Datuk Fahami Fadzil, underlines the company’s commitment to ensuring global security, responding proactively to today’s increasingly complex and rapidly evolving cyber threats. 

The strategic choice of Malaysia reflects the country’s leading role in cybersecurity. Malaysia stands out in the region for its advanced legislation on the subject and its protection of critical national infrastructure. Leveraging the integration of Leonardo’s proprietary technologies in the field of cyber security, physical security and mission-critical communications and its experience in strategic sectors in Italy and abroad, the new Center will make a substantial contribution to global protection against new hybrid threats, strengthening the digital autonomy and supporting the sustainable development of Malaysia and the entire region.

The new center in Kuala Lumpur is part of the Global CyberSec Center (GCC), Leonardo’s trusted and mission-critical cybersecurity service provider headquartered in Chieti (Italy), and joins the already operational federated Regional Cyber Centers in Brussels (European Union), Bristol (United Kingdom) and Riyadh (Saudi Arabia). The GCC’s global network is designed to ensure cyber mission assurance for strategic customers – including defence organisations and critical national infrastructures – by pooling processes, information on threats, and cutting-edge technologies. This federated model ensures both the ability to operate on a global scale in preventing, countering and responding to new threats, and the control of strategic data, fully respecting individual national sovereignty.

“This initiative is a long-term investment reflecting Leonardo’s major commitment to building a strong industrial and technological partnership with Malaysia while contributing to the development of high specialised local human capital. In a world where cyber self-reliance has become the new currency of stability, we enable National Strategic Organizations to assure security and continuity of their operations leveraging our Global CyberSec Platform. Through this investment in Malaysia, our objective is to support the transformation of critical infrastructures, such as National Cloud and National Security Operation Centers, into autonomous strategic assets”. States Andrea Campora, Leonardo’s Managing Director Cyber & Security Solutions Division.

The inauguration of the new regional Cyber Center in Malaysia represents a key milestone in Leonardo’s long-term strategy of expanding its international presence in the country and throughout the region. The initiative, combined with recent acquisitions in Zero Trust architecture, further strengthens Leonardo’s leading role in ensuring global security, and consolidates Malaysia as a crucial and strategic hub for the Southeast Asia and, in perspective, for the Far East.

Leonardo has had an established presence in Malaysia for over forty years, making a significant contribution to its defence and aerospace sectors. Over the decades, the company has supported the country with a comprehensive portfolio of advanced solutions, including helicopters for military and commercial operations, military aircraft, integrated defence systems – such as radar and both naval and electronic warfare capabilities – and security solutions for critical infrastructure and mission-critical communications.

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CVC, one of the world’s leading private markets investment firms, today announced that it has entered into an agreement to acquire Smiths Detection, a global leader in threat-detection and security-screening technologies for airports and critical infrastructure, from Smiths Group plc. Leveraging CVC’s extensive experience in executing corporate carve-outs and history of scaling newly independent companies, Smiths Detection is well placed to build on its strong market positions and unlock substantial long-term value.

Headquartered in the UK, Smiths Detection employs 3,400 people, including over 1,100 field service engineers and over 500 R&D professionals and operates from facilities across Europe, the US and Asia. The business has a global #1 position in aviation security – i.e. screening technology for carry-on bags, hold luggage, and air cargo at airports – where it serves 47 of the world’s top 50 airports, with both industry-leading hardware and sector-leading digital capabilities, including automated detection algorithms. Smiths Detection also serves other critical infrastructure end markets such as urban security (screening systems for government and commercial buildings, public venues and spaces ) and ports and borders (cargo and vehicle inspection) and the business has a leading niche chemical threat identification capability for defense end markets.

Dominic Murphy, a Managing Partner and Co-Head of the UK private equity team at CVC and Conor Keogh, Managing Director at CVC, said: “Smiths Detection’s industry-leading threat detection and security screening technologies play a crucial role in helping protect people and critical infrastructure worldwide. We look forward to supporting the business during the next phase of its growth and development through continued investment in technology innovation, high-quality engineering and best-in-class aftermarket service.”

James Mahoney, Partner and Head of CVC’s private equity activities in the Aviation, Defence & Space sectors added: “We are excited to partner with Jérôme de Chassey and his team. Smiths Detection’s strong market positions, anchored by its global leadership in aviation, create a compelling platform for long-term value creation.”

The transaction is subject to customary regulatory approvals and is expected to close in the second half of 2026. Barclays acted as financial advisor and Latham & Watkins acted as legal counsel to CVC. 

The investment will be made through CVC Capital Partners IX.

BANGKOK — Asian shares were mixed Wednesday after stocks on Wall Street held steadier as both bond yields and bitcoin stabilized.

U.S. futures rose and oil prices edged higher.

Tokyo’s Nikkei 225 jumped 1.6% to 50,063.65 on big gains for technology shares like Tokyo Electron, which jumped 5.6%. Adventest, a maker of computer chip testing equipment, surged 6.9%.

Technology and telecoms giant SoftBank Group Corp. surged more than 8% following reports that its founder, Masayoshi Son, regretted having to sell shares in computer chip maker Nvidia to help pay for other investments. The company’s share price sank after it announced last month that it had sold the shares for $5.8 billion.

South Korea’s Kospi also got a lift from tech shares, gaining 1.2% to 4,042.40. Shares in Samsung Electronics, the country’s biggest company, rose 1.8%.

But Chinese markets declined following the release of data showing weaker factory activity.

Hong Kong’s Hang Seng fell 1.1% to 25,797.24, while the Shanghai Composite index shed 0.3% to 3,885.36.

Australia’s S&P/ASX 200 edged 0.2% higher, to 8,595.20.

On Tuesday, the S&P 500 rose 0.2% to 6,829.37. The Dow Jones Industrial Average added 0.4% to 47,474.46, and the Nasdaq composite gained 0.6% to 23,413.67.

Boeing soared 10.1% and was one of the strongest forces lifting the S&P 500. Chief Financial Officer Jay Malave said the plane maker expects growth next year in an underlying measure of how much cash it produces.

Database company MongoDB also helped lead the market, jumping 22.2% after it delivered stronger results for the latest quarter than analysts expected.

They helped offset a 6.8% drop for Signet Jewelers, which gave a forecast for revenue in the holiday shopping season that fell short of analysts’ expectations. The jeweler said it’s expecting “a measured consumer environment.”

Another potential warning about U.S. shoppers’ strength came from the chief financial officer of Procter & Gamble, the giant behind Tide detergent and Ivory soap, whose shares slipped 1.1%.

The U.S. economy has been holding up overall, but that’s masking sharp divisions beneath the surface. Lower-income households are struggling with higher prices while richer households are benefiting from a stock market that’s within 1% of its all-time high set in late October.

In the bond market, Treasury yields calmed following their jumps the day before. The 10-year yield edged down to 4.08% from 4.09% late Monday, while the two-year yield eased to 3.51% from 3.54%.

Higher yields can drag prices lower for all kinds of investments, and those seen as the most expensive can take the biggest hit.

Monday’s climb in Treasury yields came after the governor of the Bank of Japan hinted that it may raise interest rates there soon. But hopes are still high that the Federal Reserve will cut its main interest rate when it meets in Washington next week.

The Japanese central bank is likely to raise its benchmark rate at its Dec. 19 meeting, Tan Boon Heng of Mizuho Bank in Singapore, because failing to do so could lead investors to sell off Japanese yen.

“Yet, delivering a ‘done deal’ hike may perversely deny any appreciable JPY (Japanese yen) gains, whilst boosting long-end yields,” he said in a report.

The Fed has already cut its overnight interest rate twice this year in hopes of shoring up a slowing job market. But lower rates can fan inflation, which has stubbornly remained above its 2% target.

Complicating things is the U.S. government’s earlier shutdown, which delayed reports on the job market and other areas of the economy.

In other dealings early Wednesday, bitcoin, which tumbled below $85,000 on Monday as bond yields worldwide marched higher, rose to $94,000.

U.S. benchmark crude oil edged 3 cents higher to $58.67 per barrel. Brent crude, the international standard, gained 4 cents to $62.49 per barrel.

The U.S. dollar slipped to 155.68 Japanese yen from 155.87 yen. The euro rose to $1.1645 from $1.1626.

___

AP Business Writers Matt Ott and Stan Choe contributed.

Pork is the “new beef”, with Britons increasingly making the money-saving meat swap for dishes such as spaghetti bolognese or T-bone steak, according to a new report.

With the latest official figures showing beef price inflation running at 27%, customers are looking to buy pork cuts that you would typically associate with beef. That list runs to free-range fillets and short ribs as well as T-bone and rib-eye steaks, Waitrose says in its annual food and drink report.

Recipe searches for “lasagne with pork mince” have doubled on its website, while searches for “pulled pork nachos” are up 45%. Its sales of pork mince are up 16% on last year, as home cooks adapt favourite recipes.

Pork is making a “massive comeback but in a premium way”, according to Matthew Penfold, a senior buyer for Waitrose. Shoppers can buy pork for a fraction of the cost, with a fillet costing about £20 a kg, while beef is £80 a kg or more.

The annual exercise by the upmarket retailer highlights the food trends that will shape what is being sold on supermarket shelves. Ones to watch include new portmanteau flavours “spour” (spicy and sour) and “fricy” (fruity and spicy). It also flags the rise of the “fibremaxxing” movement, which involves going to town with linseeds and dried fruit.

But while much of this excitement is driven by TikTok, the increased demand for pork is down to cold, hard economics as shoppers make tight household budgets stretch further.

This cost consciousness is also behind the renaissance of the baked potato – if it ever went away. Sales of large potatoes are up by more than third in Waitrose stores but bog-standard toppings such as beans and cheese will no longer do. The alternatives dreamed up by food influencers include kimchi, and chicken shawarma with tahini.

The impact of high food prices on shopping habits is writ large in separate figures prepared by the Agriculture and Horticulture Development Board (AHDB).

With the average price for a kilogram of beef mince in the shops up by 37% year on year in the 12 weeks to 2 November, the quantity sold tumbled nearly 11%. Consumers were opting to buy smaller 250g packs (saving £1.77 on average compared with a 500g pack) and frozen mince instead, it said.

The financial squeeze meant consumers were seeking out cheaper proteins such as chicken, pork sausages and fish, AHDB said. Its data showed pork mince sales volumes surging 36.6% year on year, and chicken mince by 65.6%. “Some consumers are looking for cheaper substitutes for cooking their family favourites such as spaghetti bolognese or chilli con carne,” it said.

Katharina Erfort, the principal at the supply chain experts Inverto, said higher feed and labour costs were among the factors driving beef prices higher. “That has led to a reduction in the raising of beef cattle in the UK, impacting the overall supply. Pork has traditionally been cheaper to produce because pigs need far less feed than cattle – around four times less for every kilo of meat,” she said, adding that they also required less space and reached full size in about six months.

• Next strategic phase to realign, simplify, and strengthen the business 
• Clear execution focus: brand, distribution, and operational excellence through 2028
• Strong free cash flow of around EUR 300 million annually targeted until 2028¹
• 2026 as year of brand and channel realignment for long-term efficiency improvements
• Currency-adjusted Group sales expected to decline mid- to high-single digits in 2026
• EBIT expected between EUR 300 million and EUR 350 million in 2026 as top-line development will outweigh targeted gross margin improvements and cost efficiency
• Return to profitable growth expected from 2027 onward
• Long-term potential: Outgrow the market and drive EBIT margin to a level of around 12%

“Since 2021, we have repositioned our Company with CLAIM 5, creating a strong foundation for the future. We have refreshed our two brands and invested extensively in our organizational platform,” says Daniel Grieder, Chief Executive Officer of HUGO BOSS. “Following the successes of recent years, we are now deliberately taking a step back to prepare for tomorrow’s growth. Our focus in the coming years will be on the ongoing optimization in the areas of brand, distribution, and operations with the clear ambition to transform them from great to excellent. Next to strong cash generation, this will drive sustainable profitable growth and long-term value for our shareholders. Our vision is clear: to be the premium, tech-driven, customer-centric global fashion platform.” 

Today, HUGO BOSS launches CLAIM 5 TOUCHDOWN, setting the course through 2028 and paving the way for sustainable, profitable growth. Amid a challenging market environment, this strategy builds on the successes of CLAIM 5 since 2021. Both brands, BOSS and HUGO, delivered strong growth (CAGR 2020-2024: +22%) and global market share gains, while structural investments have created a robust business platform for the future. 

Moving forward, HUGO BOSS’ strategic direction remains unchanged, but the focus sharpens. 2026 will serve as a year of realignment, strengthening the business by streamlining processes, refining assortments, and optimizing the distribution network. At the same time, HUGO BOSS will significantly accelerate free cash flow generation, forming the foundation for continued shareholder returns. To deliver against this, execution will center on three key fields of excellence: brand, distribution, and operations. These priorities will boost efficiency and set the stage for renewed top- and bottom-line growth from 2027 onward.

Brand Excellence
HUGO BOSS is committed to driving Brand Excellence by further elevating BOSS and HUGO, strengthening brand relevance, and deepening customer loyalty. While BOSS Menswear will continue to leverage its strong 24/7 lifestyle positioning, the Company is improving the long-term performance of BOSS Womenswear and HUGO. BOSS Womenswear will focus on a refined product assortment built around essential products, to strengthen resonance with female consumers. HUGO will sharpen its identity with a refined positioning and a more accessible product range centered even more on contemporary tailoring. A new organizational setup with two dedicated powerhouses for menswear and womenswear will unlock synergies across the two brands. Marketing spendings are targeted at around 7% of Group sales, with priority on high-return initiatives, including key partnerships like Beckham x BOSS and product-led campaigns that drive conversion.

Distribution Excellence 
A clear focus on Distribution Excellence will elevate the brand experience across all touch-points, with a more targeted, higher-quality distribution footprint. HUGO BOSS will continue to optimize its own store portfolio for an even better customer experience while enhancing sales productivity and retail efficiency. In brick-and-mortar wholesale, the Company will foster strategic partnerships, adopt a more selective assortment approach, and expand its franchise business. HUGO BOSS will strengthen its digital business by further advancing seamless brand and customer experiences across platforms. From a regional perspective, the Company will further build on its position in the U.S. and China, with a particular focus on optimizing its distribution and tailoring brand activities to local needs. HUGO BOSS will leverage its strong presence in Europe for further market share gains and it will also capture new business opportunities in emerging markets.

Operational Excellence 
HUGO BOSS will elevate Operational Excellence across the value chain by leveraging its past investments to fuel long-term growth, profitability, and cash generation. Key priorities include driving further sourcing efficiency through ongoing vendor optimization, a sea-freight-first approach, and shorter lead times. In parallel, the Company will enhance its planning capabilities and enable faster, smarter decisions through technology and artificial intelligence. HUGO BOSS will also maximize the benefits of its expanded automated logistics network and strengthen back-end efficiency through streamlined processes and automation.

Financial ambition centered on profitability and cash generation 
CLAIM 5 TOUCHDOWN builds on past successes and centers on efficiency for future sustainable growth. Over the medium to long term, the Company aims to outgrow the market and achieve an EBIT margin of around 12%. Against this ambition, the next years will mark a phase of deliberate refocus and realignment, as HUGO BOSS further strengthens its operational and financial base. Free cash flow is targeted at around EUR 300 million annually, nearly tripling as compared to recent years². This will be supported by lower capital expenditure (3% to 4% of Group sales) and strict trade net working capital management (18% to 20% of Group sales). Inventory levels are expected to be reduced steadily, approaching 20% of sales by 2028. 

“2026 will be a year of consolidation and realignment and an important step toward positioning HUGO BOSS for long-term profitable growth,” says Yves Müller, Chief Financial Officer and Chief Operating Officer of HUGO BOSS. “While we expect a temporary decline in sales, we will continue to drive our efficiency agenda along the value chain to safeguard margins and strongly accelerate cash flow generation. With this stronger financial foundation, we are well positioned to return to top- and bottom-line growth from 2027 onward and progress toward our long-term EBIT margin ambition of around 12%, reinforcing our commitment to delivering value to all shareholders.” 

Refocus in 2026 to pave the way for renewed profitable growth in 2027
Against the backdrop of deliberate brand and channel realignment, currency-adjusted sales are expected to decline mid- to high-single digits in 2026, before returning to growth in 2027, and accelerating in 2028. Gross margin improvements are expected in 2026 and beyond, supported by sourcing efficiencies, selective price adjustments, and even stronger full-price sell-through. Against the backdrop of ongoing cost discipline, EBIT is expected between EUR 300 million and EUR 350 million in 2026, with profitability improving from 2027 onward. 

Capital allocation framework with firm commitment to shareholder returns
As part of CLAIM 5 TOUCHDOWN, the Company’s capital allocation framework is designed to balance investment, value creation, and resilience. The framework emphasizes continued investments into the business to support long-term profitable growth, while also including a firm commitment to delivering continued shareholder returns via dividends and/or share buybacks. At the same time, HUGO BOSS will continue to further strengthen its balance sheet over the coming years, aiming to reduce financial leverage while remaining within its target corridor and maintaining strong investment-grade ratings from S&P (“BBB”) and Moody’s (“Baa2”). The Company will also preserve the strategic flexibility needed to pursue future M&A opportunities.

From Great to Excellent 
CLAIM 5 TOUCHDOWN serves to sharpen focus, discipline, and execution across the business. With clear priorities, a performance-driven culture, and fully committed teams, HUGO BOSS is ready to navigate today’s challenges, by turning strategic focus into tangible results for tomorrow. Backed by its strong cash flow profile and a clear trajectory toward sustainable, profitable growth, HUGO BOSS is firmly committed to driving long-term shareholder value.

HUGO BOSS will present its detailed outlook for fiscal year 2026 including details on shareholder returns on March 10, 2026, as part of its full-year 2025 results release. 

¹Average annual free cash flow target stated excluding the impact of IFRS 16. Including IFRS 16, this corresponds to around EUR 500 million.
²Average annual free cash flow target stated excluding the impact of IFRS 16. Including IFRS 16, this corresponds to around EUR 500 million.

For further information, please contact:  
Media Relations 
Carolin Westermann 
Senior Vice President Global Corporate Communications 
Phone: +49 7123 94-86321 
E-mail: carolin_westermann(at)hugoboss.com 

Investor Relations 
Christian Stöhr 
Senior Vice President Investor Relations 
Phone: +49 7123 94-87563 
E-mail: christian_stoehr(at)hugoboss.com

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LINKEDIN: HUGO BOSS

Scotland’s space sector will receive a £4.6m funding boost to accelerate breakthrough technologies, the UK Space Agency has announced.

The funding includes a £3.7m sum from the Agency’s National Space Innovation Programme (NSIP), which will go towards four Scottish universities to advance innovations in the likes of satellites and ways of monitoring pollution from space.

The news comes on the opening day of the biggest space industry event ever held in the country, Space-Comm Expo Scotland.

More than 2,300 delegates, 100 speakers and 80 exhibitors are attending the conference at Glasgow’s SEC campus.

Dr Natasha Nicholson, chief executive of Space Scotland, said the new investment was a vote of confidence in the country’s space sector.

“These projects demonstrate the strength of our research base and the talent driving advancements in secure communications, environmental monitoring, and resilient navigation — technologies that will shape the future of global space infrastructure,” she said.

The four universities receiving funding include the University of Edinburgh, for work developing an instrument to measure pollution from space.

Also benefitting are the University of Strathclyde, to develop a satellite navigation system that doesn’t rely on GPS, and Heriot-Watt University to help build a quantum communication transmitter for small satellites.

Strathclyde will receive further funding as part of a consortium led by the University of Bristol. It is developing a UV-based device to enable secure data transmission between satellites, strengthening cybersecurity in orbit.

Scotland Office Minister Kirsty McNeill, who is giving a keynote speech at the expo, said the Scottish space sector was now “a vitally important industry”.

She said: “With our globally renowned expertise in designing and building satellites and rockets, world-leading universities and research centres analysing and applying space data, a commitment to sustainability and unrivalled geographical launch advantages, Scotland is rightly positioned at the forefront of the ever accelerating space revolution.”

The Scottish government’s Business Minister Richard Lochhead said the funding will help accelerate the industry.

“Scotland’s space sector and wider supply chain is already delivering on its significant economic potential but also helping solve some of the world’s most important challenges from climate change to telecommunications,” he said.

“This funding from the National Space Innovation Programme will help accelerate this work, leveraging our world-class universities to ensure the country’s industry remains at the forefront of space technology development and advancement.”

Further funding includes £350,000 for Space Scotland to strengthen capabilities in Earth Observation and In-Orbit Servicing and Manufacturing (ISAM) by fostering new partnerships between academia, industry, and government.

Another £410,000 of funding will go towards the OXYGEN project, aimed at making lunar exploration more sustainable. Partners in the project include the University of Glasgow.

The two day Space-Comm Expo will include talks and panels on topics including spaceports, rocket launches, satellite manufacturing, computing, AI and robotics.

Speakers include James ‘JD’ Polk, the chief health and medical officer at Nasa, astronaut and pilot David Mackay and Dr Sian Proctor, the first woman commercial spaceship pilot.

Space Agency statistics show that Scotland accounts for 13% of total UK space sector employment, with about 7,120 people employed, making it the third-largest employer after London (33%) and the South East (17%).

Tesla privately warned the UK government that weakening electric vehicle rules would hit battery car sales and risk the country missing its carbon dioxide targets, according to newly revealed documents.

The US electric carmaker, run by Elon Musk, also called for “support for the used-car market”, according to submissions to a government consultation earlier this year obtained by the Fast Charge, a newsletter covering electric cars.

The Labour government in April worried some electric carmakers by weakening rules, known as the zero-emission vehicle (ZEV) mandate. The mandate forces increased sales of EVs each year, but new loopholes allowed carmakers to sell more petrol and diesel cars.

New taxes on electric cars in last week’s budget could further undermine demand, critics have said.

Carmakers including BMW, Jaguar Land Rover, Nissan and Toyota – all of which have UK factories – claimed in their submissions to the consultation in spring that the mandate was damaging investment, because they were selling electric cars at a loss. However, environmental campaigners and brands that mainly manufacture electric vehicles said the rules were having the intended effect, and no carmakers are thought to have faced fines for sales in 2024.

Tesla argued it was “essential” for electric car sales that the government did not introduce new loopholes, known as “flexibilities”.

Changes “will suppress battery electric vehicle (BEV) supply, carry a significant emissions impact and risk the UK missing its carbon budgets”, Tesla said.

The chancellor, Rachel Reeves, alarmed carmakers further at the budget with the promised imposition of a “pay-per-mile” charge on electric cars from 2028, which is likely to reduce their attractiveness relative to much more polluting petrol and diesel models. At the same time, she announced the extension of grants for new electric cars, which the sector has welcomed.

Tom Riley, the author of the Fast Charge, said: “Just as the EV transition looked settled, the budget pulled it in two directions at once – effectively robbing Peter to pay Paul. If carmakers push again for a softer mandate, Labour only has itself to blame when climate targets slip.”

Tesla, Mercedes-Benz and Ford objected to their responses being shared, and were only obtained on appeal under freedom of information law. Several pages were heavily redacted, with one heading left showing Tesla called for “support for the used-car market”. Tesla declined to comment on whether that support would include grants.

In contrast, the US carmaker Ford and Germany’s Mercedes-Benz lobbied against more stringent rules after 2030 that would have forced them to cut average carbon dioxide emissions further – potentially allowing them to sell more-polluting vehicles for longer.

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Ford strongly criticised European governments for pulling support for electric car sales, saying that “policymakers in many European jurisdictions have not delivered their side of the deal”. Ford has U-turned after previously backing stronger targets.

The US carmaker also pointed to the threat of being undercut by Chinese manufacturers that “do not have a UK footprint and benefit from a lower cost base”.

Mercedes-Benz argued that the UK should cut VAT on public charging from 20% to 5% to match home electricity, and added that it should consider a price cap on public charging rates.

Tesla also called for a ban on sales of plug-in hybrid electric vehicles with a battery-only range of less than 100 miles after 2030 – a limit that would have ruled out many of the bestselling models in that category.

Ford, Mercedes-Benz and Tesla declined to comment further.