Morning. I wanna thank you guys, GOL's investors for joining us today for this investor roundtable at the New York Stock Exchange, as well as those of you that are listening in from around the world on the webcast. I'm Richard Lark, and with me today is Mario Liao, our finance director, to share with you where we are currently and where we're going in the near term. Today is the eighteenth anniversary of our initial listing on June 24th, 2004, and we appreciate the support and investment by many of you in our growth and development over the decades. Today is also a huge follow-on for Eletrobras, which is one of the largest follow-ons, I guess, in Brazilian history. There are a ton of Brazilians here today, and as I saw them walk in this morning, it reminded me all the way back 18 years ago, standing on the platform here with Júnior and his brothers, ringing the bell after our original listing. After which I went and had lunch at Barney's on the Upper East Side, and then I went back to my hotel and lost my voice for two days. I also wanna welcome the many members of our team of eagles who are listening from Brazil, Argentina, and Florida. We know that many of you listen in to our webcasts and follow us in all possible ways. GOL is in its 21st year providing passenger transportation in Brazil and to other destinations in South America, Caribbean, and the U.S., as you can see on the map on the first page of our presentation today. Our team of eagles has been a key driver in our achievements. GOL has become Brazil's leading passenger airline because of its great product, its fares, and its lowest cost. One of the key individuals in the development of this over the last decade has been Paulo Kakinoff, GOL's CEO. Next week is his last week as CEO, after which he'll keep working with us from the board. On behalf of all of us, I want to thank Kaki for his work over the last decade in taking GOL to its leadership position. We're also very excited to begin our next cycle under the leadership of Celso Ferrer, who I've had the pleasure of working with over the last two decades. With that, we'll dive into the presentation on the webcast here. I think those of you on the platform have to press the button and move the slides along. Here on page three, we have our disclaimer. After our formal presentation, we'll have a Q&A session. For those of you here sitting at the table, if you could just write your questions on a piece of paper and hand them to Mario. For those of you participating remotely, you can send your questions via the WebPlus platform. To send your questions, you need to click on the question mark just below the video area in the upper left corner, and then you type in your question, and we'll answer those questions in the Q&A session that will start in around 30 minutes. Moving to page number three. GOL is emerging stronger after the recent pandemic. We have proven our flexibility in capacity management with one of the most experienced teams in the industry. We have lower leverage than our competitors, with more unencumbered assets available. We have valuable brands with very high customer loyalty, and all these brands are top of mind with our customers. In Brazil, in the first quarter of 2022, GOL had the highest margins through the lowest unit costs and relative better improvements in yields relative to our competitors. We've been very disciplined with both our capacity and our liquidity. The Boeing MAX is increasing our productivity and cost advantage. Moving to page four. During the pandemic, our team focused on two primary objectives. Normally, we manage our company with roughly 50 directives that kind of guide us what we do in terms of policies and procedures. During the pandemic, we honed in on two. One, emerging with a unit cost lower than we came into the pandemic. Two, maintaining economic equilibrium. In other words, matching our cash outflows with our cash inflows, matching our assets and liabilities. We achieved both of these objectives. Here on this slide, I show our unit cost performance over the last few years. During the pandemic, our unit cost increased primarily due to the fleet idleness, which was as a result of the rapid demand destruction and our desire to, you know, preserve the fleet, for the eventual recovery. In the fourth quarter of 2021, with the acceleration of our fleet transformation to the 737 MAX and the gradual normalization of the operating fleet, our CASK ex-fuel began decreasing. Excluding accumulated inflation in Brazil since 2019, you know, that accumulated inflation since 2019 has been over 20%. Our CASK ex-fuel in the first quarter of 2022 would have been $0.03. Our cost position is well below our competitors and is going to continue to be supported by our more efficient single fleet type business model. As you can see, we're expecting the actual cost to track for the rest of the year with our objective of getting it back to where we were pre-pandemic at around $0.027. Moving to page five. As I mentioned, we had kind of a second primary objective, which was the proper matching of assets and liabilities of cash inflows with cash outflows, and that continues to be one of our key management objectives. This slide here summarizes the last nine quarters of cash flow management. Obviously, one of the challenges of the quarterly reporting process, which most of you follow, especially during the pandemic period, it didn't really allow a proper measurement of how we were managing. One of the reasons why I put this slide together is you can see how we manage this. What we have to do is match this in with the span of the pandemic, which ended up being longer than I think anyone expected. Since the beginning of 2020 until the first quarter of this year, of 2022, and you can see it on this slide here, but I'll summarize it. You know, we generated BRL 2.3 billion of positive operating cash flow, which was from BRL 1.1 billion of positive operating results and BRL 1.2 billion of negative working capital. The negative working capital for us is and continues to be a strategy. In addition to that, 1.4 billion of cash from aircraft sales allowed us to match that with about BRL 1.6 billion of CapEx, operating CapEx. Then we raised BRL 6.3 billion of new capital, which included BRL 422 million from an equity sale. That was used to allow us to affect BRL 5.3 billion of debt amortization and a little over BRL 1 billion acquisition of the minority stake at Smiles. As you can see at the end of this year, we paid BRL 4.4 billion in leasing and interest payments. Moving to the next page six. I highlight the results now, which is, you know, at the end of... I think this week is the one year anniversary of our take in of the minority interest of our loyalty program, Smiles. Over the last year, we generated BRL 1.3 billion of incremental cash flow, which represents a one-year payback on the acquisition on a cash basis. Almost 40% of the synergies have derived from better yield management of our inventory, with that synergy coming from customers. Around BRL 300 million was derived from NOL usage and lower taxes on revenues in Brazil through the reduction in the PIS and COFINS tax. Additionally, Smiles sales levels today are approximately 40% higher than pre-COVID levels. With that, I'll hand you over to Mario, who's gonna review for you some details, kind of drilling down a bit and go through it with you, our performance in the management of sales, working capital management, liability management, and fleet management. I think as most of you know as well, you know, we don't have a official permanent IR team. You know, Mario and I basically take care of the IR in addition to our day jobs, which are actually managing the items that we're presenting to you here. You know, you have in front of you here today, the people who actually have been managing these things. That's just you know, philosophically, we think that's the best way to interact with you on the buy side and the sell side. With that, I'll turn it over to you, Mario. All right. Thank you, Richard. Good morning, everyone. In this page seven, we show our current sales per ASK that is higher than pre-COVID levels, increased 35% compared to pre-COVID levels, even in volume and ASKs. While we continue to keep capacity below pre-pandemic levels to ensure the continuity of the economic equilibrium, sales increases has been pretty much supported by this year first half, a strong recovery in demand for travel to leisure destinations. Also driven by the hybrid working formats and the return of the corporate events, especially in the second quarter, when we start to see the lifting of masking relaxed in Brazil. We show here, when you compare to the level of sales that is pretty much driven by the recovered demand and also on the strong yields that are seen in the market, the focus of GOL to pass through the increase in the fuel costs into higher yields, into higher fares as well. Moving to page eight. Here on page eight, we present how our management of the main components of the working capital, represented by suppliers payable and accounts receivable, maintain the equilibrium in the operating cash flow through the last two years of pandemic. The negative working capital translated into operating cash generation during pandemic sufficient to pay the negotiated monthly lease payments and the CapEx obligations. The remaining cash was reserved to meet and pay all the debt service, especially interest obligations. We expanded payment terms from 45 - 50 days average pre-pandemic to beyond 100 days during the pandemic, and we are continuing to keep it structural around 70 days in the post-pandemic period in terms of the payment terms for suppliers payable. Suppliers payable has increased due mainly by the deferrals that have been negotiated with the suppliers, but grew much less than the industry average, and has been reduced right now as accounts receivable continue to increase due to the demand and also driven by the yield management. Those components that are moving in a different direction will lead working capital going forward to be expected to be neutral in the upcoming quarters. Moving to slide nine. Here in this page we show the operating CapEx management, mainly related to capitalized engine overhaul performed since 2018. The net CapEx is currently right now 50% financed through dedicated credit lines, while in 2018, around 85% was financed through dedicated CapEx financings like FINAMEs, import finance in Brazil, and also some CapEx financing supported by Ex-Im Bank guarantee. In 2022, major portion of the CapEx is gonna be for engine overhauls supporting the existing operating fleet, and in order to allow the continuity of the growth of the recovery in terms of supply and capacity for the company. Expected CapEx in 2022 is gonna be stable at BRL 700 million, while in 2023 we expect to start to ramp up when compared to 2018 levels. Switching now to page 10. We're gonna show in the aircraft CapEx management. From 2018 until the end of the year, GOL will be returning 33 engines and receive 38 new MAXs. This is part of a very active fleet management as related to the current fleet transition. The fleet transformation drives significant multi-year benefits from reducing unit costs and also increasing productivity in the company. GOL is renewing its fleet to a newer type of aircraft, that is a 737 MAX, that will represent more than 40% of the total operating fleet until the end of the year. At the same time, we started to rebuild our finance lease portfolio this year. To renew the fleet, GOL will utilize a portion of the existing maintenance deposits that is part of the total liquidity, and we also utilize credit lines, dedicated credit lines that was obtained from the new MAX finance lease financings, especially that has been executed this year. I presented what is gonna be the movement, in terms of the fleet management, and here in this slide we show that through the fleet renewal, GOL will achieve the following breakdown of MAX on the left graph, that through 2028, MAX is gonna be accounted by more than 70% of the total fleet. Until 2025, 50% of the total fleet is gonna be represented by MAX as well. That's gonna be represent a much larger portion of the current operating fleet, represented by MAX. As the new MAX, 737 MAX consumes 15% less fuel consumption and also carbon emission, the fleet transformation towards the 737 MAX represent an important cost reduction, but also a much less CapEx requirements as new aircraft have lower heavy maintenance requirements compared to the current engines. With that transition, GOL's average age, the fleet average age is gonna be reduced from the current 11 years to seven years until 2028. In addition to the more efficient fleet, the fleet idleness will be reduced through a combination of organic contractor deliveries with the existing partner lessors, and conversion of up to 12 aircraft into dedicated cargo aircraft for the Mercado Livre partnership. Now, here on page 12, I wanna move to the liabilities management. I'm gonna present how our active liabilities management reduce short-term debts to the lowest since 2014. As Richard mentioned previously in the slide, during the pandemic, GOL executed the matching between assets and liabilities and inflows and outflows. Here's the breakdown on how GOL raised and amortized over the BRL 6 billion during these last two years. By doing that, GOL achieved lowest short-term debt position in the last eight years, demonstrating the focus on preserving a sustainable balance sheet even in the middle of the pandemic. In the next page 13, I present the current debt breakdown and amortization schedule. The gross debt when translated into USD debt, that is in the table on the left side, was stable even after the impact of the COVID, considering the current difference in FX effects for 2019 and the beginning of 2022. On the right graph, we show that GOL has no significant financial debt to be amortized in the next two years, while the current amortizations that is in this slide, gray bar, for the next two years is represented by BRL-denominated debt that is manageable considering the current relationship with the Brazilian banks. Moving to page 14. In this slide on the top of the graph, which I show GOL's unsecured bond prices. GOL delivered everything that has been promised during this pandemic. GOL's capacity, CASK and yields are now close to pre-COVID levels. Short-term debt is much lower than back in 2018. Showing that, the current bond prices appear to be somehow disconnected with the fundamentals and the current recovery trends in the Brazilian demand market. With that, I'll now hand back over to Richard. Thank you. Here on page 15 is our full year guidance that we have already provided previously. Fuel price per liter for the year is currently tracking around a little over 20% higher than our initial expectation of BRL 4.3 per liter. Thus far, this increase in fuel costs has been offset by fare increases that could result in net revenues being around 10% higher for the full year if those trends were to maintain. The main priorities of GOL in the near term are now on page 16 of the presentation are as follows. You know, we'll continue to keep capacity and demand discipline. Let's say capacity discipline matched with demand by deploying new revenue initiatives and continue to capture synergies from the reincorporation of Smiles. If you remember on the previous slide, I showed that we've captured over BRL 1 billion of synergies that generate the one-year payback on the around BRL 1 billion that we used to do the take in, but we still have about another BRL 3 billion of synergies left to capture in the near term. These factors will allow us to keep load factors around 80%. The combination of the capacity, discipline, and new revenues initiatives, and the synergies from Smiles will allow us to keep load factors around 80%. Smiles, work we do with Smiles is an important component of load factor to produce sufficient cash generation in operations to finance our growth. As we mentioned, we're committed to bring back productivity to 2019 levels, absorbing the influx of the effects of inflation in order to maintain our over 15% cost advantage versus competitors. That was reflected in some of the previous data we showed of getting back to our 2019 CASK ex-fuel level. We think that's gonna be achieved in the fourth quarter when we'll have a full normalization of our operating fleet in terms of the idleness that we've been keeping in the fleet since the second quarter of 2020 when the pandemic started. That will be fully normalized operationally by the fourth quarter of this year and will allow us to return to our pre-COVID CASK ex-fuel. We're also gonna enhance, additionally, Smiles work in creating new products. Combined with our new aircraft and new routes in the domestic international markets, GOL will continue to be the best positioned and the preferred airline for both leisure as well as corporate clients. The fleet transition and repayment of deferrals will allow us to meet our policy of three times leverage, which is what we believe minimizes our WACC, and we're increasing the number of initiatives to reduce GOL's carbon footprint beyond what we've already achieved. In 2018, GOL had the lowest CO2 emissions per ASK in the Americas. Moving to page 17. That, you know, will wrap up our formal remarks for today's session. We'll now move to the Q&A session. As a reminder, to those of you on the platform, if you wanna send a question, you need to click on the question mark on the upper left side, which is below this video on the platform, and type in your question that we will receive here, and then will be filtered and passed up to here, and we'll read the question and provide an answer. For those of you here in the room, I think the most efficient way is, you know, just maybe take one of the pieces of paper on the back of those things, write your question out, give it to Mario. Or you could risk and press that button on that thing, and if it becomes green, you could ask a question as well, and everybody will hear your question. However you guys wanna do it. Okay. First question from the platform. Take this off here. Please detail the source of liquidity, available liquidity, what is untapped? There's a second. How can we deal with recession or high oil prices? Well, the liquidity numbers that we've presented represent how we actually manage our liquidity. I think, you know, very few people here are asking how much money you keep in your checking account. It's probably not all of your liquidity is not in your checking account. What you see in our cash account there is basically what's in our checking account that's meant to manage day-to-day operations. Those other amounts that we have in there that where you've seen that we've been kind of maintaining our liquidity, you know, bouncing around between BRL 3 billion-BRL 4 billion throughout the pandemic. Those other sources are accounts receivable. Those are available. You know, we factor those as needed. As was highlighted, you know, our sales levels today are approaching BRL 50 million per day, which is above our pre-COVID levels on a sales basis, with more or less almost 100% normalization on the buying side and the rest coming from fare increase. That continues to be enough to finance operations. In addition to that, we still, you know, manage our deposits, which are sources of liquidity that can be used to cover expenses such as aircraft redeliveries and engine overhauls. In addition to that, we also have, in our, you know, in our secured capital markets vehicle, an LTV below, well below 50%. Market permitting, would also allow us to potentially add on additional cash from that. Also we have a substantial amount of the collateral available from our loyalty program, which can also be used to generate additional sources of long-term funding if that would be needed. I think that data has provided extensive detail in all of our monthly and quarterly releases over the past two years. I just kinda would direct you to study that if you need some more information there. That's how we've been managing the business over this last nine quarters. If anybody has any doubts that we're gonna continue to manage the business that way, you know, I don't think I can provide any additional information to you. That's how we managed the business also pre-pandemic. There was much less focus on it pre-pandemic, but it's nothing new in terms of how we're managing our working capital. You know, we consider ourselves, you know, working capital optimizers and, you know, we'll continue to be so. The other question, how to deal with recession and high oil prices. I think, you know, since the end of February when we had... February 24th, to be exact, when Cold War II started and the pandemic officially ended, we in our markets experienced over the following weeks the return of the missing large corporate clients, you know, the mega corporations in Brazil. That allowed us to basically pass on, you know, for all intents and purposes, the effects of the combination of increase in oil prices plus the appreciation of the Brazilian real. I think what you also have to do, for those of you who look more intensely at U.S. airlines, you know, we did not get as big of an increase as the U.S. airlines had because we also had the benefits of the depreciation of the U.S. dollar reflected into our local costs. So far, so good. Obviously, there's a lot of pressure on that. I think fortunately, we were able to bridge the gap through our weak quarter, which is the second quarter. Normally, April and May are our weakest months of the year. Now we're basically selling into our high season. You know, July is our high season. We'll have to see how things are in August. We did, over the last couple of months, before the recent run-up over the last couple of weeks, revise our view upward on oil prices, and we did add some additional hedges. We didn't get as much as we wanted to, but we did add some additional hedging exposure, not just for 2023, but also for the short term. To the extent you wanna delve into that, if for your modeling purposes, we can come back to that. Mario can give you some more detail on that. We don't expect a recession, you know, in the terminology that they're talking about it up here in the U.S., in Brazil. You know, economic growth has been fairly paltry since the 2015-16 recession. How we deal with that is on the capacity side. I think you guys have seen how we've managed capacity. You know, we've kept it at the lower end of the possibility where, you know, during the pandemic, flights had to, at a minimum, cover the variable cost of operations, and we'll continue to manage that way. In the overall toolbox, you know, how we would deal with a potential recession, in other words, lower passenger demand and/or higher oil prices, effectively has to come through the capacity management dynamic. Another question here: To what extent can you still increase your yields without lowering the load factors? As I was just saying, you know, through the third quarter, we probably have if we need to. I mean, obviously, our social mission is not to charge increasingly higher ticket prices to passengers. It's quite the opposite. It's to stimulate demand and grow the market. We're not happy about having to be forced to increase ticket prices. We probably do have a little bit of capacity left to do that, but it's not ideal. Part of that will depend on the strength of corporate demand, especially from the large corporates, which are relatively price inelastic in Brazil. You know, in Brazil, you know, air transportation is strategically important for business activity. I would say, you know, we do have with the corporate customer, they're using air travel as a tool, you know, an ability to, at least for 70% of our business, pass on any additional increases in oil prices. Okay, a lot of questions coming in, so let me just kind of filter here. Question about if we're satisfied with the pace of the MAX delivery so far. Yeah. I think we're satisfied with the pace of the MAX deliveries, yes, that we've contracted. Having said that, it has been challenging for us to accelerate further our transition from NGs to MAXs because of the lack of availability of MAXs currently. From 2023 on, our needs are perfectly satisfied from our order book with Boeing. This year, we've been working a lot on getting additional aircraft from the white tail market, from aircraft that were already produced and don't have a current destination. That has been more difficult. As you know, in our forecast for this year, we have 44. Our objective is to get to 44 MAXs n the overall fleet. We're still short a couple of MAXs sourced to be able to meet that target. Having said that, we have financing lined up for another 20 MAX aircraft if we would be able to find those. The problem is not on the availability of financing, it's on the availability of the assets. I'm going to leave the Abra questions in a separate category here. This is a couple of questions on what we're doing with Abra. Let me just see here. Okay. Here's a question from the webcast participants. When do you expect to achieve three times net leverage? Will that be achieved through EBITDA? Yes. That will be achieved through EBITDA. As we're showing the presentation, if you look at it on a dollar basis, we basically have the same amount of debt today as we had pre-pandemic. On a real denominated basis, that's higher because of the depreciation of the real today versus where it was in 2019 pre-pandemic. Yes, we've done all the work we need to do on the balance sheet is done. We don't have any plans to use any cash to return cash to bondholders. We'll get that question also out of the way. That would not be the highest return use of our cash today. We will obviously, in 2023 and 2024, be working on refinancing some of our long-term debt, you know, and, you know, we'll continue to have a constructive relationship with the debt capital markets in that regard. You know, Gol's gonna need secured and unsecured financing to continue to finance its asset growth and its fleet growth for the next cycle of the next 10 years, which has generally been how we've done it through a combination of operating leases and finance leases complemented with long-term funding from the capital markets. In terms of coming back to the 3x leverage, the reason for that we set that is roughly the number that we believe minimizes our weighted average cost of capital, which is very hard to quantify today. It's almost impossible to quantify what the true WACC is today given the uncertainty beyond the normal volatility. That should be over the next 24 months. It will depend on the EBITDA. We just need to get the EBITDA roughly back to where we were in 2019. If you remember, in 2019, we were below that number. We were at 2.8 x. You know, we're even starting to think about some bond buybacks in the beginning of 2020 before the pandemic hit, because at that point in time, you know, it was more attractive to do that, which is not the case today. There was another question here. You know, your 2024 and 2025 notes, will you look to address both or at the same time? It's interesting. We've had a lot of questions recently about people. It's been interesting to me over the last 30 days, a lot of people provoking me to start talking about 2024 and 2025, which I guess is glass half full, people which I count myself among. No, we're not thinking about the 2024 or 2025 maturities now. You know, we are still emerging from, you know, stabilizing our operations and our working capital and our operating CapEx because of the effects of the pandemic. Q3, we expect to have a normalization on the sales side, right? In other words, we're not fully normalized on sales. We expect that to be Q3, and then we expect operationally us to be normalized in Q4. We're not even with the current level of the market today, it's not feasible to try to think about doing any capital raising. Now, having said that, you know, we have a maturity on the exchangeable in mid-2024, and then we have maturity in 2025. I think you should expect we will do how we normally would do these things, you know, with the instruments that we have in, you know, very constructive dialogues, you know, with the buy side in terms of how we piece these things together. But you know, those would be done in the two. Whatever the 2023 market environment is gonna be, not the 2022 market environment. Thanks everybody for asking that. Also, I found it very curious the number of questions I've gotten, people ask me if I would consider bond buybacks today. Like, I guess that's a compliment that I have been getting those questions. Here's another question, I guess from the webcast platform. Does GOL have any deferred lease payments or step-up lease payments that are due in the near term like its competitors? Not sure what like its competitors mean. Yes, we have deferrals. When we engaged with our lessor relationships at the beginning of the pandemic, we did on a very slow basis between March and October. We achieved what we were able to do during the pandemic with a combination of reductions in our cost of ownership, reductions in the lease payments, if you will, mark to markets on aircraft that we had leasing that was above market at the time, power by the hour, to kind of allow us to keep our fleet on the ground for as long as possible, which was roughly through the fourth quarter of last year, and deferrals. Yes, we do have deferrals, which are on the upper right-hand side of the balance sheet. We also have agreements with respect to how those deferrals are managed across our leasing portfolio of almost 30 lessors. You know, generally, those deferrals are returned over a multi-year period. There's nothing that is. You know, some of those are in short-term liabilities, some of those are in long-term liabilities. I think what this person is referring to is that, some of our competitors have very big maturity stacks in deferrals in the short term, but that's not the case with our airline. That's not how we've managed our airline. Let me just take a quick look here and see if there's any questions that I haven't already answered. All right, I'm gonna make you do some work here. Maybe I already should have done this. Just trying to get through quickly here. There's a question here to comment on our hedging strategy and how much fuel and currency do we plan to hedge going forward? We never change our policy really to have at least 50% of hedge for fuel risk being covered by derivatives, given that always in a normalized market we can achieve up to 60% of pricing power coverage through using yield management. Right now, in the first quarter or the movement in the last four months from the beginning of 2022, the recapture on the yield, the pass-through on the fuel costs was almost 100%. We have this new scale-up of fuel prices combined by also the bullish of USD BRL. Given that we are starting to get back some of the credit capacity, especially for derivative counterparties, we of course are not wasting a lot of premiums or cash to buy derivatives. Also, we're not taking so much risk on some derivatives that kinda have some downside risk as well. We are building that in some opportunity when the markets can take some volatility. As Richard mentioned in the beginning, we have been increasing the derivative position in a very attractive prices. Right now below $100, so close to $90, around 15%-20% in terms of the next 12 months for fuel price. Affecting Brazil, as you know, emerging markets have been suffering due to this, you know, external inflation or what's happening with rising related to rates. And also in Brazil, due to the carry costs to buy hedges for FX has been very expensive. We protect short-term volatility on FX in order to buy something closer to 20%, but no more than that because it gonna be very expensive and not gonna be attractive. The best way to protect margins, especially on the FX volatility, is really through yield management and doing on the fuel side, given that it's more structural, we try to focus then more in terms of the hedge strategy for the fuel side. You know, I have a question, maybe you can take this one. There's a question on cargo. Because as you've seen, we've been doing a lot with the cargo business. Question here is to provide some further perspective on our initiatives in cargo that can drive competitive advantages. Yeah. Our business model, we never intended to have dedicated cargo aircraft or to take the risk of cargo business as some of the competitors, because they really need to fulfill those aircraft with cargo and manage the yield. That new partnership that we made with Mercado Livre, Mercado Livre takes the risk. We operate the aircraft to them. Why they choose us, because as a single-type fleet model, we can deliver the lowest unit cost for Mercado Livre, where in Brazil, we are experiencing the same shortening in terms of delivering packages as you have seen right now in the U.S. That can allow Mercado Livre also to increase the freight price with the more fast delivery and also with the lowest cost that we can provide to them. One strategy for us is not only to capture the revenue coming from the cargo dedicated cargo business without the cost that's gonna be associated to that. At the same time, we can start to address the idleness of the company as was disclosed in our recent presentation. This year, we're gonna be starting, especially in the second half of the year, to operate between 2-3 aircraft. Three aircraft is gonna be expected for the next year, and that can be achieved up to 12 aircraft until the end of the long-term partnership. We can start to reduce the idleness by converting the existing aircraft into cargo. The conversion of the aircraft into cargo aircraft is much cheaper than actually the ending. End of these adjustments or end of these obligations that we need to pay back to the lessor if we decide to return the aircraft to them. That creates, of course, a new opportunity to increase and scale their revenues through cargo and also have a benefit on the cost side. What I'll do now is I'm gonna. There's a, you know, a couple of questions on Abra. I think we'll wrap up this kind of our Q&A. We could also have a dialogue here. However you guys wanna do it, I just, you know, just in terms of the efficiency for the platform, and then we can have a conversation here if you guys have other questions. You know, just there's kind of some general questions, you know, about Abra. How does it make GOL stronger? Could it be a source for additional capital? What synergies? What will. You know, maybe this is a question for Pedro. What role will GOL play in the structure that the controlling shareholder of GOL has just created? There's a final one here. How do you view this transaction for GOL BZ, which is specifically the bonds, in terms of synergies and future growth, change of control? Is it a JV with equal parts, or is it a permitted holders group and controlled part? Kind of going through these things. You know, we tried to explain the basics when we did the announcement. The closing is expected for the end of July. We already have antitrust approval from the relevant markets, which is Brazil and U.S. That's already occurred. You know, the closing is expected towards the end of July. I think at that point in time, we will, you know, have a much more detailed conversation about what things are gonna look like going forward. I think what was announced was what the shareholders did, the controlling shareholder of GOL and the principal shareholders of Avianca. Also, the expectation that the shareholders of Sky Airline in Chile will come into the Abra structure at a moment in time in the future. There's four operating companies involved, GOL, Avianca, Viva, and Sky in the overall birth of this portfolio, which is called Abra. This is obviously something that's developed over a long period of time. You know, in terms of, you know, building the social relationships and the trust to allow this type of a venture to happen. At the highest level, it's gonna bring very important benefits to putting more stability into the business models of all of the companies that are participating. You know, for those of you who follow airlines closely, and I think some of you could back me up on this, that some people in this room I mean, I've been working with airlines for around 25 years, and some people in this room I think that have been even longer than that. The you know, the airline business model on its own requires a high level of stability, you know, just airline specific. I'm not talking about loyalty, which is a much more agile business that has helped a lot in this current cycle. Stability is something that we have increasingly not have at present, especially if you look at, you know, post, 2008. Which has been a big problem, especially for airlines in developing markets, emerging markets. That's a problem that has increased over time where, you know, black swans then just became, you know, constant flock of swans hitting you. One of the objectives at the business level that we believe we'll achieve is greater stability in the business model, which will allow us to, you know, pursue our strategies more successfully and create more value, you know, out of the core airline business model. This pan-regional group will bring those benefits. As we made clear in the announcement, we're not doing merger. We're not merging airlines. Each operating airline will keep its consumer focus, its brand, its operating teams, and, you know, its culture and its agility on the ground. It's very important. Yes, there are substantial synergies in the future. Interesting thing, probably compared to what you would normally characterize as the benefit of what you would call airline mergers, majority of the synergies are not on the cost side. They're on the revenue side, which is cross-selling and loyalty and network and along those lines. Yeah, we'll provide for those of you that are, you know, interested in, you know, our ecosystem. Many of you are already part of our ecosystem. You know, we'll provide more details on that, you know, once we get beyond closing. The second benefit, in addition to the increased stability that we're gonna be able to put into our business model through the creation of this portfolio, is a better equilibrium in the environment, which is separate from stability, but you know, better overall equilibrium to allow us to manage our businesses through what is a longer cycle than you are looking at as investors. I mean, our economic cycle is 8-12 years. In terms of the assets we have to invest in and how we have to finance them, it's over a very long cycle where it has become increasingly difficult to keep the average level of margins that allow to have a return on capital in excess of the WACC. You know, we only had a very few sparse years where you've been able to be at a certain level, and the descents into the bad part of the cycle have been very fast, and we've stayed longer in the bad part of the cycle, and the emergence out of the bad part of the cycle has been very slow. Those are the other benefits on an industry level that we believe will give us a better economic equilibrium through this longer cycle. Now just going through some of the other questions here. Could it be the source for a capital raise? Well, as you saw, we announced, we've got $350 million coming into the holding company at closing, which then will be, you know, at the discretion of the managers of the group in terms of how that gets deployed. That's private capital coming in. Just looking at the other questions here on this, then I'll lump them in here. Some questions about, you know, how the governance and the shareholdings are coming out here. Yes. Yes, the controlling shareholder of GOL will be the largest individual shareholder of the group at closing. You know, there'll be a shareholder's agreement among the group at closing. Constantino de Oliveira Jr., the original CEO of GOL for the first 10 years, will be group CEO. There is no change of control in terms of how this legally was structured through the governance of the holding as well as the relationships between the holding and the operating companies there, you know, at the GOL level, which is the question of some people holding bonds. You know, we have three different bonds in the indentures. There's, you know, slightly different versions of the language around change of control, you know, in the convert, it's called fundamental change. In the other two bonds, it's change of control. There is no change of control that would impact any of GOL's contractual relationships, be they bonds or any other contracts that GOL has. You know, we've stated that. You know, at closing when we move on the other side of that, you know, I fully expect that we'll provide information to show that. Obviously, right now we're in the pre-closing phase, and we can't provide any information, additional information on that other than what I just said. There is no change of control at GOL. With that, I think we've covered all the relevant questions. We had allocated an hour for this presentation, so we got about 4 minutes left. Of course, Mario and I can stay a little bit longer if you want, maybe another, you know, 10 or 15 minutes to the extent that anybody else has any questions. Otherwise, we can just wrap up, and you can go to lunch or. Yeah, Mike. You know, I. You hadn't talked about. Mike, can you just. Press your button. Yeah, the green. Yeah. Name and affiliation. Michael Linenberg, Deutsche Bank. Rich, can you or Mario just opine on the slot reallocation at Congonhas. There's been a lot written about that. There's a lot out there. I guess it still hasn't been formalized. Do you get any additional slots, or can you maybe give us some color on a lot of interpretations, and I'm trying to. No, no, it is finalized. As you know, the overarching driver there is the government's objectives for privatization, right? Mm-hmm. I believe in August will begin the process for the privatization of the Congonhas Airport, which is extremely important. It's, you know, kind of one of the crown jewels in what formerly was the federal government's, you know, huge portfolio of the majority of Brazilian airports. For the most part, the airport privatization program has been successful in terms of improving the, you know, the passenger experience if you look at the various phases that have happened. The beginning of that process is August for the Congonhas Airport. This is something that they wanted to get done prior to that, so there would be clarity for that process on what's gonna happen there. At the Congonhas Airport, this relates to basically an increase in the operations at Congonhas. I'll kind of keep it general as opposed to giving specific numbers, which can sometimes be confusing if it's, you know, per hour or per day or so on. Basically, roughly take the airport back to the capacity it operated prior to the TAM accident in terms of the number of operations per hour, roughly goes back to that. You can complement with some specific numbers after this. You know, when the TAM accident happened, there was a big reduction in capacity. They had to do some refurbishments at the airport. You remember that. It goes back to that. At the macro level, it's a positive because also whoever ends up effectively winning the concession of Congonhas, there's a multi-year project over about three years where they're gonna expand the terminal. I don't know if you know, if you remember Congonhas, but you know, the terminal's gonna expand out. There's gonna be additional fingers. It's gonna replace that remote access where you have to take the bus and go up the stairs out on the tarmac there. It's gonna go all the way down to, I don't know if you remember where that old VASP hangar is. It's gonna go all the way down there. Yep. It's gonna be a massive expansion. There's even on the drawing board, potentially to have flights between Congonhas, which is the downtown São Paulo airport, and Aeroparque, which is the downtown Argentina airport. Probably not in this phase, but the government also wants to make it an international airport and have other activities there. It's a fantastic project for the long term because as you know, one of the key constraints on our ability to grow as airlines in Brazil is airport infrastructure. You know, it's not a mystery that, you know. If you look at just our 21 years, which we finished, in our first 10 years, you know, we went from 25 million enplanements per year when we started to 90 around year 10. Brazil basically has not grown that much. It's been bouncing around that. A lot of reasons, some of it related to what I was talking about, the increasing instability and ability to invest, but another big component has been infrastructure. Like, a lot of times when I look at Mexico now is the same size as Brazil, roughly, in terms of enplanements. One of the reasons for that is the big investment in airport infrastructure around Mexico. This is a necessity, for us, and so we have to embrace that and get behind it. Now, specifically in terms of how it's being divided, a couple of things. Yes, it was complex in terms of the categories they created, but what I would say is what they did is the government came up with a scheme that basically reflected everybody's requests, and they figured out a way to kind of, at the limit, keep everybody happy. I think it was very smart what they did. You know, we today have what we have, about 43% market share? Yeah. Around. We got about 42%-43% market share at Congonhas. Mm-hmm. One of the things that they will put in there as a rule. There's some carve-outs, but there will be a cap on that of 45%. Okay. There'll be a cap on market share of 45%. Richard, would that be applied to you plus your affiliates? I'm gonna go into that. Okay. Because that's very nuanced. We're just gonna take it down. Then, of course, M&A would be excluded. Sorry, acquisitions would be excluded. Mm-hmm. Because, you know, we can't sell or trade slots. If you acquire a company, and the government approves the acquisition, well, then you can. There is a carve-out for that type of activity. What you're specifically referring to is the acquisition we did of MAP, which, you know, effectively kinda goes back to the Avianca Brasil bankruptcy process, where the slots there were divided among three companies, roughly a third each, Azul, MAP, and Passaredo. Passaredo bought MAP, transferred the slots to MAP, and sold MAP to us. That's under analysis. If we wanna proceed with that, we have the ability to not proceed with that if we do not want to, or we could proceed with it if we want to. It would more or less fall into the categories I just described, but that's being still discussed on our side. When you say proceed, are you talking about acquiring Passaredo or? Oh, no. Because you own MAP. Our if you remember, our acquisition of MAP is contingent upon certain things. Oh, okay. Right. I see. Yeah. They relate to government approvals. Okay? The way that this specific, you know, the new rules that came out, if we wanted to, we would not have to proceed with the acquisition because it didn't meet all the requirements there. I see. that's something that we're analyzing and discussing in terms of how it would be done. No, it would not be acquisition of Passaredo, no. Okay. You do have an affiliation with Passaredo as well through- Passaredo, we have a commercial relationship with. I mean, now it's VOEPASS, right? We have a commercial relationship with. Yep. Which, you know, Passaredo or VOEPASS, which is basically kinda like what you have here. With the regional. On the flight I took from Grand Rapids yesterday to New York. I'm saying that wouldn't be accounted against the 45% if you have a marketing relationship. Yeah. with Passaredo, and they bring on another 5% or 6, 7%. Okay, that's important, I think. I was gonna say that the flight I took from Grand Rapids yesterday to here was on Endeavor Air, but it was a Delta-branded airline. Yep. Yep. We don't have that. We do effectively have a marketing relationship with Passaredo, where they are able to plug into our sales platform. We also have capacity purchase agreements and so on. You know, that would not be necessarily impacted by that. These last two pieces that we discussed, they are still under, I would say, under design and redesign because of the rules that came out when they came out, right? You know, the government kinda had to thread the needle on kinda keeping everybody happy. You know, in terms of the categories that were created, you know, there was a specific category created to which one company qualified, and that one company will go to 14% of the slots of GOL Linhas. That one company. I think LATAM has, like, what, like 42 or- Yeah. Now you can go into some numbers, because I know you like to give the exact numbers. Yeah. The numbers is still not defined, so, you know, we're still in the process. I'll say today, you know, both GOL and LATAM, we split this kind of 42%-44% of market share. Mm-hmm. The existing rule was supposed to even considering back to the Avianca bankruptcy that those players gonna be expected to divide the pizza into three slices. Of course, the priority of the government is in order to bring in new entrants to the market that doesn't exist currently. Of course, all the slots gonna be started to be split by the existing players. You do have some specific requirements in terms of recent track record, the size of the aircraft in order to be qualifying in order to acquire those results. That's why there's one player, as Richard mentioned, that is gonna be qualifying those terms. Beyond the existing past rule, if nothing happened, probably the slots from GOL is gonna be divided equally by three pieces. That after that. It would be trying to do slots that would come. Yeah, the new slots. Mm-hmm. Mm-hmm. Beyond this reallocation, if there's any slots in the ftture, then they would also be slots, yeah. That's not gonna be the reality. Even GOL and LATAM is gonna be acquiring these slots, but it's not gonna be changed significantly their market share. Of course, Azul is gonna be growing market share, but not that is gonna be achieving the same size. As Richard mentioned, it was kind of something that was gonna start to create more equilibrium for those. At the same time that we're gonna start to increase market share for the third participant, GOL is gonna be increasing also the number of hours that has been operating, that has been reduced after the TAM accident few years ago. Rich, I had a second question just on with the creation of Abra. If we think ahead a few years, will people when they want to invest in, say, GOL, will the option be that they will do it through an investment in Abra shares? Is that kind of like the long term? I know you said you can't reveal until things get. No, I think a couple of things. No, it's. I mean, you know, Abra is a private company, right? Mm-hmm. Obviously, at the first level, I think each company is gonna keep its activities from a debt perspective, be it, you know, aircraft leasing. I think also at the GOL level, it's gonna be continued to be extremely important, its relationship also with the debt capital markets. Mm-hmm. In terms of financing. Mm-hmm. I don't see that changing at all. On the equity side, you know, on the Avianca side, there's a large number of investors that have just converted from debt to equity, many of a financial nature. They're gonna want liquidity. I think it's reasonable to expect that the way that our liquidity is gonna be generated is Abra is gonna have to list, be a public company, and generate liquidity for those equity investors. Abra will have huge benefits in terms of the equation, your equation that I very much like, which is how to increase the spread between return on invested capital and WACC, right? Abra will be able to have significant reduction in equity cost of capital. Also potentially contribute to the reduction in the debt cost of capital of all the members of the group. Yes, it would make strategic sense to concentrate equity at the holding company and not have split liquidity. Right. Those are decisions I think we'll make down the road. For us to make any decisions about GOL would relate to that. You know, how long Abra would stay as a private entity, and if it were to become a public entity. At that point in time, then we could sit down and discuss what to do with the GOL public float. I don't think anybody should think that we would do things. You know, the same human beings are involved with this project going forward, for at least the next phase, right? Yeah. You know, It's interesting because today is kind of like the end of the last 10 years of GOL, you know, of GOL. You know, the end of this cycle. You know, we've had two 10-year cycles. This is really the beginning of the next 10-year cycle for us. I don't think anyone, either on the debt investor side or the equity side, should expect that we would treat them any different. Because also, you know, we as an airline, you know, it's absolute requirement that we have equity capital market access to finance our business. Yep. in the most efficient, best way possible. I think it's reasonable to expect that that would be ultimately concentrating the equity capital raising activities at a group basis at the holding company. You know, absolutely. I think just your point about cost of equity, I mean, I could foresee down the road where ABRA ends up selling shares to take out or to take in the GOL minorities. Mm-hmm. GOL can still maintain its own debt in the public markets, and Avianca can do. Yes. That's. I mean, again, I know I'm sure many other people have said this, you know, they've thrown around the IAG structure, you know, that today. You know, Aer Lingus and Iberia finance using their own balance sheet, but at the end of the day, it's IAG that issues the equity capital. No, I think it's. Correct. Yeah. We didn't copy IAG. I mean, you kind of have two- There's some elements, though, that are similar, for sure. Oh, yeah. Benchmarks out there. The one that most people think of is IAG, but AirAsia also has some. Yep. As it's on the other side of the planet, a lot of people here don't look at it. We did obviously study the best practices of those companies. It's adapted to, you know, South America. You know, we have a you know, we're coming from I mean, there's more similarities from AirAsia from a customer perspective than in Europe, right? I mean, 'cause, you know, we're in developing countries. You know, the problems we have to deal with are additional in addition to the problems that a U.S. or a European airline has to deal with. Yes, we're more like Europe than we are the U.S. If you want to think South America, it's much more like, say, if you take the portfolio, it's much more like a European reality than a U.S. reality. There's a lot of very interesting components there. Yes, in addition to the operating synergies, you know, which we'll, I think, probably share after closing, what we're seeing there as we continue to keep a dialogue with everybody. I mean, at some point we'll pivot and share more about that. Also on the cost of capital side, there are substantial synergies. Yeah. From a credit perspective, as well as from an access perspective. We're gonna do it in a very slow, you know, methodical way. There has been a lot of anxiety, too, I would say, in our ecosystem, more from the bondholder side. Frankly, I would almost venture to say that we've gotten zero questions from equity investors. There's probably gonna be a lot of reasons for that. On the bond side, there's been a lot of anxiety, to which I say two things. One is our capital market access from the debt markets is going to continue to be extremely important. We're going to continue to build those relationships and treat that in the right way. Number two, there is no change of control. Nobody's getting any money back in the next 30 days. It's gonna be status quo for the time being. Next year, at the GOL level, we'll be sitting down and probably like we've already done, you know, having conversations with buy-side people to, you know, you know, figure out how we navigate the next couple of years from a financing perspective, like we've done, you know, during the pandemic and like we've done pre-pandemic. In our capital structure today and the GOL capital structure, you know, the tools we have are the tools we're gonna use. I mean, we have. The PERP was a bit of a opportunistic transaction, and that structure doesn't exist today, okay? We spent a lot of time developing that technology. Unlikely we would repeat that at the GOL level, but it's still a technology that we'd like to use in the group. The primary two tools we have in terms of the public capital markets are the secured and unsecured structures. We spent a lot of time developing those and not just from a structure perspective, but also from an investor perspective. You know, there's no reason not to expect that, you know, we'll use those tools through the next cycle, you know, at GOL. We like those tools. They work very well. We have some great relationships with the buy side, and it's kind of worked out very well. Including, you know, we'll also look at ways we could replicate best practices across the group, you know. If there's something that Avianca is doing well operationally, financially that we could apply to GOL, we're gonna do that. If we have some good technologies at GOL on the debt capital market side, we can also use them across the group. I would say it's unlikely that we'd be using the holding company to raise debt. It'll be at the operating company level. I think that's how we'll do it, not just from a tax perspective. I think that's the way that makes sense. Yes, talking about, you know, at the equity, it would make sense to concentrate that at one level, not that's fully equitable. We'll have to analyze a lot to see how things are. I mean, right now, we don't really even have the luxury of, there's several steps we have to get through before we can sit down and look at that. I would say the earliest that's more of a next year type issue. Of course, we have to treat everybody fairly. We have to not just respect the minimum rules of each local regulatory environment, but we have to respect the rules of playing repeat game with our investors. Yeah. That's how we've done it, you know. Regardless of what some, you know, short-term anxieties would be. You know, part of the reason why we're here today, in addition to, you know, we normally try to do this event on our anniversary here, is also because there's been a lot of. It's not about the Abra transaction. It just relates more to how we're managing, you know, the tail end of the pandemic here and how we're thinking about things. It's an efficient way for us to kind of answer questions. But we don't have much more information than we provided today. That's it. I mean, that's it as simple as that in terms of how we're managing the business. If there's other information that you guys have, it doesn't come from us as managers of the business, you know, be it competitively or otherwise. You know, we continue to work on getting our operations fully normalized, which is gonna be in Q4. You gotta when you look at the numbers, you know, those numbers are still there. They're gonna be in the Q2 numbers also. There's still a lot. Till we get GOL back to 12 hours a day of aircraft utilization, we're not satisfied, and we're not there yet. You know, we're still carrying inefficiency on the operating side. Once that comes in, we start to get on the other side of it fully, where, you know, not just is our nose above the water, but the whole body is. We start to generate that excess liquidity that you see. All of that has nothing to do with Abra, right? Abra is a separate element that's gonna take a time to build in the synergies and the structures to do it. It does represent kind of a platform for our next ten years. Mm-hmm. Which is how we're looking at it also, you know, on a very long-term basis. On a short-term basis, you know, it's status quo and say short term. You know, for at least the next couple of quarters, you know, we're all in this together, and we'll all have to navigate it. We'll continue to have consistency in our management team, right? You know, the same people that you've been dealing with us are the same people you're gonna be dealing with in the foreseeable future as well. You know, I mentioned very briefly at the beginning, you know, we're doing a transition now from Paulo Kakinoff to Celso Ferrer. Celso Ferrer and I have been working together for, you know, almost two decades. You know, Celso has grown up in the GOL structure, worked in a variety of areas, became a Boeing 737 pilot and, you know, has worked through all the relevant areas and crises to be the perfect guy to assume this job. Does he still fly the line? Yeah. Yeah. Okay. Is he gonna continue with the CEO role? Every Thursday at about noon, he comes in the office with this huge smile on his face. How the MAX is a great aircraft. It's just something like Celso, just, you know, go have a coffee. You know, kind of jealous, if you will, when he comes back with that adrenaline. Yeah, no, he does it. It's something that GOL has kind of always had. We've always had our COO person. You know, hopefully he doesn't get consumed. Barioni? Barioni was an MD-11 captain. Oh, Barioni and, you know, Richard Lark and Yeah, all those guys. and Celso Ferrer has kind of been our tradition. It makes a huge difference. It also gives us a lot of street cred with labor. You know, it's a totally different scenario. No, I think when you're asking the question, I'll have to keep on him that he doesn't get consumed by other responsibilities that he falls off. Generally with pilots, they. You know, you have the frequency issue, right? Every fifty—at least, you know, once a week you gotta be doing something. I don't think he's gonna give that up. It's interesting, though, because he's still a. In that hierarchy there, he's still a subordinate as well for the seniority. So it kinda keeps his feet on the ground, which I think is good as well. Does his pay rate per hours change? Is he a 12-year captain now? No, I'm just kidding. Usually not. It's good. It's so they kinda keep him grounded there. That's a good question. I think that's a good place to kind of wrap it up. Unless anybody has anything, you know, really important that you need to talk to me. Yes. You do. Thank you. No, just super quickly. Any sort of very high-level idea, you know, we think the 2028 sort of what sort of top line you can see coming from Smiles, you know, as a maybe a weighting of, For when? 2026, 2027. Oh. Just kinda longer term. Yeah. High level. Five years from now. Yeah. Sky's the limit, but what do you got? Yeah. You know, Smiles has been increasing their business even in the middle of the pandemic. We've always treated Smiles as kind of a protective product and, you know, counter-hedge product where when you see some slow down the traffic, you'll see more MTCs to be fulfilled by Smiles product. That has been boosted, especially during this pandemic due to this, you know, new behavior of the customer related to e-commerce, you know, buying stuff in their commerce platform. So Smiles has been consistent beating, you know, even the Black Friday months during the sequential last four months. This has been also one of the main tools for us in terms of working capital management. If you take the rule of 72, at the rate Smiles is growing it, by 2028 should be double. Yeah. It should be double the rate it's at now. If you assume it's gonna grow at the average rate as it's been doing. You know, it's the thing with Smiles, the wrong thing to do with Smiles is just to try to think about it, well, anyway, without getting into it's a very agile business, right? Mm-hmm. Just looking at it during the pandemic, you know, yes, but then it just kind of got back, right? You know, it's not that it's a question of resilience, it's just very agile and dynamic. It has, you know, fungibility across a whole, you know. We're also expanding it geographically. Smiles right now is the second-largest loyalty program of anything in Argentina. Wow. It's been there for, you know, a couple years. Also, you know, potentially together with LifeMiles, there's a lot we can do on a pan-regional basis, you know, across that. I said, really the sky is the limit, and the main customer there, remember, is banks. Even more basic than that, remember the whole reason why airline loyalty program has such value is, again, this combination of the moral hazard with the aspirational nature of the product, meaning that, you know, most people think that they didn't pay anything to get that mileage point. That mileage point, even though it was paid by Citibank, you know, if you're traveling, you're getting the points. Yeah. You think you got them for free, but you don't have 100% breakage. I mean, if your points you got were to pay to buy toaster ovens, you know, you probably have 90% breakage, 95% breakage, right? Why do we have, you know, 20 going to 15% breakage? Because there is this aspirational, emotional thing attached to. Of course, the people like you also value the status components that you get in terms of making your travel a little bit marginally better. The airline business has been one of the few businesses that, you know, maybe an exception is a little bit hotels, but very few other businesses have been able to capture that. It's got massive potential, you know, over the next cycle. You know, the... We've also been able to use it and just kinda make it relevant for people here. They don't realize it, right? We didn't get credit for it. It's funny because I think. The way I think about it, you know, it took us two years, and then we got it done. Then I think literally, like, 30 days later, everybody was like, you know, "What's next?" Right? It was like nobody but when you look at the numbers, you know, that was 5, you know, since we took it in, that was BRL 5 million-BRL 6 million per day of cash flow that we would not have had access to, which is very large, right? It's about that number, BRL 4 million- BRL 6 million of cash flow. I think, like, from a credit perspective, when I look about how some of you, including in this room, looked at Gol and thought about Gol pre-pandemic and previous miles taken, if the market is not properly valuing what was structurally done. You know, that BRL 1.1 billion, of which BRL 700 million was cash. When you look at it was BRL 1.3 billion gross and then about BRL 1 billion net because there was around $250 million dividend that we recycled. Mm-hmm. We actually paid minorities with the dividend because once we announced it was pre-dividend, and then it was ex-dividend, but we paid them with the dividend. Yeah. The 250 that went out of the dividend, plus the cash portion we paid was BRL 750 million of cash that we used during the pandemic. I mean, hello, right? We did that during the pandemic, and then we did BRL 600 million of equity as well. You know, we did BRL 1 billion of equity during the pandemic, you know, the BRL 400 million that was anchored by Júnior, and the BRL 600 million was Smiles. I don't think we get credit for these things. It's like, you know, that cash flow became ours in July of 2020. By September of that year, we had already effected a 30% improvement in the yields on the inventory of GOL that was being sold by Smiles to Smiles customers as of September. We shared this data with everybody. Everybody's like, "Yeah, whatever." I don't mind because it made a big difference in how we were managing the working capital because we no longer have to do these kind of acrobatics to try to get the cash from one side to the other. We had a very different which came in at the right time as well, because if you remember, nobody expected the Delta variant, and we had that. I, we definitely did have not gotten credit for that. When I say that, it's not just that we... The Smiles taken is paid for. It's fully paid for already. We've got a one-year payback on it from a cash perspective, is that where we are right now, that is accruing and growing in the business. That's definitely not in the, I would say, the credit analysis. Frankly, I don't know exactly why because, it's almost like as if we haven't, hadn't done it. I still have BRL 700 million of cash on the balance sheet. I get more credit for that than having done it. It's BRL 5 billion reais NPV difference between having done it and not done it. Sure. I don't know. You know, I always try to think that the market is efficient, so, you know, they're seeing something that I'm not seeing. It's made a big difference in our working capital management, right? It would have been a very different last 18 months had we not got it done. It was very difficult to get it done, too, obviously. You saw how we kind of, you know, did it over a period of time. Yes, when you think about it, and you combine that with the answer to your question, which is five years from now, Smiles should on a sales basis, easily double. The way to think about those sales, it's basically 90% margin sales, right? Because the costs are so de minimis. In the old world, you had that 40%, you know, that 40% EBITDA margin that you guys always thought about with Smiles. At the end of the day, on a group basis, that was kinda 5%, right? That five is already 7%. Mm-hmm. It's coming from the outside in. We've already increased the margin of GOL on an apples-to-apples basis because of the takeover. We're also not getting credit for that 200 basis points, but it's in there. Well, we know it's in there. Yeah. As you look at the growth of it, you don't have to increase the fixed cost of Smiles to grow the business. It's also kind of like a revenue stream that grows, and it's mostly cash flow. It's extremely large. It almost doesn't matter what I'm saying because tomorrow, we're not gonna get credit for tomorrow or next week or next month or next year, which also makes me say, "Fine, I don't need to get credit for it from investors because the banks are giving us credit for it." That's what matters. Yeah. Richard, I was gonna say, just quickly to interject. In a way, it's not that investors don't appreciate. It's the difference between the long game and the short game. Yes. The analogy I'm gonna give you is there are still people today who will say GOL overpaid for Varig. If you think about that statement and where you are today and what you got from Varig, when we think about going from what, 7% in Congonhas to 45% in Smiles, and you think about all the value that the two of those have generated for the GOL franchise, which absent that, you know, think about how you would have done through the horrible recession of 2015 to 2016 and 2017. You probably would have been bankrupt. You probably would have gone bankrupt multiple times, you know? Varig acquisition was around 25% of Congonhas. Yes. which you also remember, we've used the acquisition tool to do that. We're pretty much the only one that has. You know, we paid $90 million of cash for that. We still got some money that a fund up here in New York still owes us that we might get paid. Ultimately end up being less than that. Right? Yeah. Exactly. The Smiles was the jewel. You're right. Even on that, it's like, yeah, whatever. They'll tell me today, someone will say, "Oh, they overpaid. That was the dumbest move ever." I'm like, "Have you followed the company the last 10 years? Oh, yeah. Just think about what, you know, 25% of operating rights in GOL is worth it. It's worth a lot more than $98 million. Yeah, worth it. Yeah, you're right. I think the way I view that is a little bit different. It's like, you know, I think you have to look at the, you know, the human element, right? I think there's also been a lot of competition of narratives out there, right? 'Cause there's been a lot of competition of narratives out there, right? We just don't, you know, waste a whole lot of time on that. You know, we tend to take things very personally at GOL. For us, it is more about the long-term value creation. Maybe to the detriment a little bit of us kind of having a narrative that is super short-term focused. I think it's just kinda how we are as managers. That we have more of an ownership mentality. It also relates, I think, to the way we're just structured. Yeah. With one shareholder, we have. You know, most important thing for us is unit costs and, a lot of these other things that we've been able to benefit from have come out of you know, initiatives that have related to preserving you know, the core business, such as Smiles, right? I mean, you mentioned the VRG, the Varig acquisition. That's when we got the Smiles thing as well, right? You know, at the time, I don't think we would have predicted what we could have done with it. My point is a little bit along the lines of, I think in the way I've engaged with certain people, and I think the people we've been able to raise primary capital from. Because a lot here is like secondary capital. It's like you guys are trading amongst yourselves, and, you know, we're not a direct beneficiary of that. Anytime we've had to sit down and constructively raise primary capital, we do get credit for what we've done as managers, meaning the trust that people are gonna put into us, and we'll negotiate a reasonable deal. I think that's where I'm okay with maybe us, if we don't get credit for something in the short term, because I'm not raising primary capital. The loudest to me is when I got to open the door and bring the capital in, and I can't impair the business, right? By doing a bad capital raise, and there, I think we've gotten the credit for who we are as managers. Because at the end of the day, you don't invest in a company, you invest in the manager, right? Especially when you're talking about an airline, right? And remember, we're an airline. We didn't get a dime from the government during the pandemic. Not a dime. We got indirect help through, you know, postponement of fees and taxes and things like that. But a lot of times I'm reminded when I come up here, you know, the $50 billion that went into the U.S. airlines, it's just like it's not even. Everything we did that we showed you today, we did without that equivalent of $50 billion in Brazil. Rich, when you say you're getting credit, you know, from the creditors on the Smiles program, are they taking 7% of EBITDA and, you know, putting 15-20 times the multiple on that and just saying, "Hey- Right. We like the value that's embedded on the balance sheet. What do I mean by that? Yeah. I'm just asking, you know, is that how the No. What I mean is that, for example, we do the Smiles asset has allowed us to raise debt capital directly and indirectly. We've also, throughout the pandemic, we've used Smiles to generate additional cash. So we have gotten credit in terms of primary capital coming in, you know, valuable collateral, and we've also preserved it as well. Now, just the fact that we have it and we can use it provides a big cushion. That has helped us when it has mattered. Because for me, when it really matters is like WACC is a theoretical number. But when you raise capital, on that day you raise the capital, it's a real number. It's like whatever. If you raise it at too high of a number, you've impaired your business, which our competitors did, right? If you look, you know, you know, there's a lot of reasons why somebody might have to file for bankruptcy, but one of it might be that you had the wrong capital structure or you impaired yourself in a different way, right? If you weren't impaired, you wouldn't have to do it. You know, other guys kind of live kind of half-impaired, right? We also kind of look at it from the lens of everything we have to do can't impair our business. We've made mistakes in the past as well with capital raising. You know, between 2009 and 2015, you know, there were some capital raises done there that impaired the business. They're no longer part of the capital structure, right? Yes, I think when it has mattered, we've been able to capture that. You can only see it on a long-term basis because how would you see it? We didn't file Chapter 11. We didn't impair our business. I mean, you have to look at it kind of that way, what you didn't do, right? We've made our mistakes, too. No question, right? No question. That was more kind of what I'm saying because for me it's kind of curious. We would still do it, except for us, it's very personal. You know, it's personal, the longer-term value that we're creating and it could take me. The whole Smiles project, if you go from start to finish, was about a three-year process, right? You know, most of you don't write about something over a three-year period, right? You don't analyze something over a three-year period. We've had the ability to do that, kind of look out to year two and three and manage that. That's very similar to what we're doing with the other strategic initiatives that you're saying. These aren't like financial arbitrages or, you know, a quick flip on something. These are long-term initiatives. That's what you get with us as managers. You know what I'm saying? It's like that's just our mentality. You know, it's very personal. I mean, Mario's also been working at GOL almost as long as me and Celso. There's also, you know, we really are building something for the long term in everything we do. That also relates to the Abra project. You know, it's part of the same process. We very much expect to be having these types of conversations, you know, for the next 10 years. For us, it's not something that we're just, you know, trying to fix a short-term problem. You know, during the pandemic, we had to be very methodical and very patient because it could have been very easy in 2020 to do some quick fixes so that you wouldn't have to work for a year, right? You know, it's easy to file Chapter 11 and then, you know, the hard thing is not to do it, right? I'm not judging. People have to do it for different reasons. That's just kind of our. You know, I think we are unique in that respect, still, right? Anyway, with that, I guess we'll just wrap up now. Yeah. Thank you. If you guys aren't too hungry. Are we still on the webcast or we already disconnected? Guys, we can continue for two hours. If you grab lunch here, we can still go out.