EVR
#The loan with Mizuho, the new loan is LIBOR -based.
So you might think of it currently, as about a 3% interest rate.
When you put their margin on top of it, that number will move around, both as rates and other factors move.
And then opportunistically, we will look at sort of other financing.
We've sought to refinance that debt for some time, and this transaction enables that.
But whether this is the right form of longer-term financing, we will address that in future quarters.
Hey, good morning.
We'll be opportunistic in the latter part of the year.
As you know, we were pretty aggressive in the first half, and continue to look to offset the dilution, particularly related to the ISI shares if the opportunities are there.
I think, we've said this a number of times.
The operating leverage in this business as a general matter, is pretty negligible in terms of adding SMDs and teams to support them.
It's basically the operating leverage is spreading, <UNK>'s comp, my comp, and maybe a handful of other people's comp over a broader SMD pool, and that's not a whole lot of operating leverage.
The operating leverage in this business generally, comes from a very ---+ I guess, I would use the term hot M&A environment, where productivity per partner goes up a fair ---+ somewhat from where it is today.
We are in a good, very good M &A environment.
And so, the idea of expecting that revenues are going to go up 20%, and comp is going to go up 10%, rest your mind, that's just not going to happen, except in a year where there is just extraordinary revenue growth.
I think you can be pretty simple-minded about this.
If you just look at how Evercore has done over the past say, five years, we been able to grow the firm quite consistently, quite steadily, maintaining comp in the high 50[%] and absent some really sharp change in the macro environment, we hope to be able to continue that.
And that's really it (multiple speakers) that's really it.
We focus on the per share value of the Company and the earnings per share.
That's not to say we don't aggressively focus on costs ---+ keeping costs under control, and comp costs and non- comp costs.
But I've been doing this for 6 1/2 years, <UNK> has been doing it for 20.
I haven't seen any real evidence that there is this fantastic operating leverage opportunity coming down the pike.
Also one of the wisest ways ---+ one of the oldest adages in businesses, if it ain't broke, don't fix it.
And I think our point of view about Evercore is ain't broke.
I have nothing to add other than, we look forward to talking to you next quarter.
Thank you.
