H&R Block Inc (NYSE:HRB) recently reported its first quarter earnings and discussed the following topics in its earnings conference call.
Bank Sale Details
Kartik Mehta – Northcoast Research: I think initially when you talked about the bank sale, you had indicated that you thought it was going to be $0.06 to $0.09 dilutive and as you look at the fact that it’s been delayed, would that mean there won’t be, at least, that dilutive for the upcoming fiscal year or have things changed or are there other expenses may be that you weren’t thinking about that have to be considered now?
Gregory J. Macfarlane – CFO: So, in earlier this summer, when we made the announcement about the signing of the purchase assumption agreements that were filed with the various regulators, we’d also shared our thoughts on what the financial implications of the transaction would be and so you’re correct and that we had said, but we would expect $0.06 to $0.09 per share in fiscal year 2014 and we also indicated that there’d be an additional $0.03 to $0.04 of one-time charges that we’d incur. Given the regulatory delay and our belief that tax season ’14 will be processed in H&R Block Bank, the $0.06 to $0.09 will not impact us this year. However, the one-time cost, $0.03 to $0.04, we still estimate will impact us. In fact, in the first quarter that we just reported, you already saw $0.02 of that included in those numbers.
Kartik Mehta – Northcoast Research: Then, I think Bill, you talked about, you had gone to the regulators to try to buy back share, but obviously they said no. Maybe a two part question here. Can you talk about maybe the amount of authorization you were requesting and maybe what their hesitation was, if they told you?
William C. Cobb – President and CEO: So, no and no. The answers to the question, but I’ll elaborate a little bit. No, I’m not going to discuss conversations we have with our regulator. I don’t think that’s appropriate. So, I’m not going to talk about that. Obviously, with regard to – there are very specific capital holding requirements that have been published and we are obviously fully mindful of those, but Greg, I don’t know if you want to add anything but we’re not going to discuss amounts…