Thank you for coming. The idea here is to have a very nice and easygoing conversation with you, so we can talk about the next few years of the company and the last few years. We have just a few numbers to share with you. I would like to thank you for joining us in person and for joining us online as well. I would like to start, and this is a slide that we call the Klabin Aspiration, and I'll try to put things into perspective and put it into a context to explain how did we come up with that Klabin Aspiration. I started in this position in April 2017, and back then, we just had a message to our controlling shareholders through our Klabin board. We had the youngest president of the board, or chairman of the board of the Klabin board. Back then, in 2017, I asked our controlling shareholders about the purpose of that mandate and how we would design the company's growth cycle. So this statement was drafted in 2018, and it's still valid to this date. And I would just like to stress the first part of this statement, because behind the statement, there is a strategy that I would like to share with you. The first part of the statement is when we reinstate our purpose to work with renewable and recyclable solutions based on planted forests, according to the protocols that we are committed to abide by. And the second part of the statement says that we will try to be closer to the most sophisticated products that are made of paper in the world. So all paper-based solutions in the world, whatever was more sophisticated, we would try to do it, because we wanted to influence consumers. It would be some kind of Klabin insight that would be embedded in our packaging. So that was our inspiration, and this statement is still very valid today. During the strategy process that we are involved in now, we revisited this statement, and we didn't think that we needed to change, not even a comma. So everything remains the same, and I just wanted to put it on the slide here for you to see, because this aspiration is also part of our new cycle, and we are now going to show you this new cycle. Next slide, please. Back then, as I was saying, when back in 2018, when we asked our controlling shareholders about what would be our mandate, and that the mandate included a very solid growth, growth that would bring about stability for the company. This slide depicts a little bit about everything we did from 2018 to 2024. We, we increased our forestry by 3.5. I mean, that was a very silent expansion, and this happened during Klabin's investment. Somehow here you see some very historical paradigm changes because we promoted the forest expansion, while at the same time we were building the machines, and I will get to that soon. What changes in the process? Due to market reasons, because I don't even have to tell you how much faster the market is today when compared to what it was 20, 30 years ago. So according to the market dynamics and in order to keep pace with the speed of the market, and so we decided to use the debt of the company to bring machinery that will bring more stability using third-party woods. We have been telling that. We used third-party wood in the first cycle, and then the second cycle, we would buy adjacent areas. So once we harvest that first cycle tree to use in the machine in the second cycle, we can certainly reduce the cost of fiber by a great amount. And sometimes people don't realize what is behind the strategy, because we are thinking today about what we are going to do in the future. Back in 2018, according to the mandate we had, at least for the first period, back in 2018, the view was to grow in a very sound and robust way. What are the products that can grow in a very sound and robust way? Okay, we have two paper machines, so we brought about 1 million tons of paper in two phases with two machines, and I will refer to them in a short while, and I will tell you where this soundness come from, and I will also refer to the products. In the midst of this process, we expanded our forest area, you know, including the second cycle of the machines for, you know, for the use of raw material. As a reminder, you know, close by plants, using wood from third parties, you know, lower cost of raw material. We have, you know, sound and long-term commitments, and that also includes integration. And why do I say integration? Because these products, the products from this line down below. So look at all of the investments. We acquired International Paper. That was, in my view, in terms of investment, not in terms of absolute value, because I'm sure you understand, but in terms of investment value and opportunity cost, this was the highest investment in Klabin's history. Well, but Puma, you may say, Puma II, was the largest investment in Klabin's history. No, here I'm referring to the opportunity cost. I think you, you understand what I'm saying. That was a brilliant acquisition for Klabin. I mean, everything was happening in parallel, and this is also related to the charter to shareholders that was drafted in 2017. So we had the written aspiration, and then we started with the execution, you know, that contemplates a few cycles. So we had expansion, machinery, and integration. International Paper, we also acquired a unit in Ceará, in the state of Ceará, from HeinekenRipasa. That was a great opportunity for Klabin. We also use exchange of assets in São Paulo. This plant, from all of our packaging area, this is indeed the largest plant. This is just to illustrate how big it is. This is an extraordinary plant, close to the Santos port. You know, the location of the plant is outstanding. And then Figueira. I will talk a lot about Figueira further on, and then you will understand that Figueira, in terms of our mandate of soundness and being very robust, in 2023, it consumed 70% of the paper from machine 27. 70%, and we'll refer to that in a few moments. So to conclude this slide, in 2017, you know, I had the charter to controlling shareholders. I asked them about the mandate. The mandate was to present stability and results in being a sound and robust company, and linked to that, we start investing in the machines, and we integrate everything in our units. That's why that required investment in the conversion units, while at the same time, we have to ensure that the future of the machines would have a very low cost cash cost. And then the second cycle would involve having our own wood. In terms of our concept that contemplates being robust and sound, these two machines are just not only the two state-of-the-art machines, these are the two most technological machines in the world in terms of the products that they manufacture. But in addition to world-class and state-of-the-art machines, we will be able to keep, you know, having the lowest cash cost for 20 consecutive years. So we have the two most modern plants in the world, and they will help us to sustain at least, you know, 20 years of the low cash costs in the world. So these are the two most competitive machines that exist to date, especially if you look at the product niche that we can do, that we have, you know, PM27 and long-term contract for the PM28. So the cycles that started with that initial conversation with the controlling shareholders, where I asked them about our growth mandate, robustness and soundness, and then from then on, we decided to draft our strategic cycle for the next 10 years. In 2018, we started with our first cycle, and that is that green chart on the left. This is just a picture of a physical document, and we call it, you know, the, the green booklet or the booklet of vision. The color green is just a coincidence. So the cycle that started in 2018 with the board at the time, we chose to hire the best consulting companies in the world for the period of a year. They provided structural analysis, like product trends, where that idea came from for geriatric diapers, et cetera. Everything we launch is based on consumer behavior through consulting companies. On the other hand, we also conducted studies about return on invested capital. Not so much focused on the financial aspect, but mostly focusing on the asset side. That study was provided by a Swedish company. We also used the services of business consulting companies and many other consulting companies that are well-known in the market for paper and pulp, especially because we wanted a deeper analysis of cash cost. So we started the first cycle with consulting companies, and this was part of our annual view. Together with the board, we delivered that in 2018. So in the following years, 2019, 2020, and 2022, we are now concluding that. Next week, we will then deliver the booklet for 2022, pointing to the following year with a new mandate and a new vision for Klabin going forward. As part of this strategic planning process, all the contribution that was then in conjunction with the board, was also supported by consulting companies. So we would use consulting services every two years, and our internal teams that we call market and strategy, they had to be prepared to run the cycle on their own. So in 2018, we were able to present a very sound and robust implementation of the process at Klabin, always looking forward towards the next 10 years. So let's move on. So these were the deliveries. Now, I will talk a little bit about the machines in a moment. Let me now start with the PM 27, the paper machine 27. As I was telling you, we went to keep this machine operational, both the 27 and the 28 PMs, for at least 20 years, and because they are champions in terms of, of cash costs. But the machine will not be a leading cash cost machine by only ensuring the best margins for Klabin, because this is part of the process that will allow us to have a return on capital. But this machine has a lot of technology and innovation embedded, and as part of this innovation and technology process, Klabin was pioneer in the use of eucalyptus, and you are very familiar with that because we've been talking about it for quite some time. And throughout these years, we innovated with this machine because it produces kraftliner from 100% eucalyptus. I mean, this is a market of 120 million tons in a universe of 400 million tons. 400 million tons is the size of the pulp and paper market in the world. I mean, hardwood pulp is 150,000 tons, and the container boards involve 180 million tons. So the machine will enter this market, and this market provides low grammage products that are quite efficient. It's easier for us to have a direct connection between product and the machine. It. That's. They produce e-commerce boxes. All of the mainstream products or companies that use standardized packaging when we go to other countries, that involves a process of quality gate. Remember that with e-commerce, when you receive boxes at home, sometimes the boxes are totally twisted and squashed. Once a country gains maturity, the process then involves more standardized boxes and fanfold, fanfold materials that are machines that are sophisticated to produce packaging in the e-commerce packaging provider. But the machine not only is a world-class, state-of-the-art, and very innovative because it uses eucalyptus and it's a patented product, it also brings about cost reductions to converters. And in terms of converters, 60% of the paper used in this machine, you know, comes from Klabin itself. So in my conversion machine, I use less energy. It's a thinner paper, so it has less weight. You know, it has the same resistance when compared to a heavier box, and it is just as good and sturdy. The machine has been tested in very various countries, the U.S., Europe, and Asia. We believe— We think that this product is, you know, a landmark of this process. The robustness cycle is very important because 70% of this machine is integrated in Klabin's packages. PM 28, remember I referred to 2 cycles. At the beginning, we would say that the second machine, or the decision for the use of that machine, was still open. It could be a, a container board machine, or it could be also a coated board machine. So we asked our engineering department to go up to the limit of the turnkey, because what we wanted was to look at the market trend so that we could come up with the machine at the right moment. You might recall that Klabin is a, a company of 125 years, so the machine. Remember I said, "Your machine will be running for 40 years." So capital allocation at Klabin is something that I would like to emphasize with you. I mean, the decision-making process that started back in 2017, when I took up the commitment to identify or to follow on the trails of the mandate and focus on the strategic planning, all of that also involved the best capital allocation. And among all of the assets that Klabin owns, capital allocation is one of our most important assets. When we introduce that machine, the machine has to contribute to the bottom line for 40-50 years, and it has to be in this mandate, contributing in a very stable way. So this coated board machine, when we decided to use the machine to produce coated board, this was the case because we noticed that there were some beer and milk products needed that package. In terms of milk packaging, it is quite unique because we live in an urban city, and sometimes we fail to realize the relevance of the long-life products, because they can reach faraway places. And so when you leave the condition of a per capita income, this long-life product packaging gains relevance when, you know, you have to use the product in Asia, in some countries in Eastern Europe, and also countries in Latin America. The per capita consumption of milk in these regions is still very low, therefore, this is the packaging that is mostly aligned with the urbanization of large part of the population. Therefore, we try to focus where consumption is, which are the mainstream countries. But the organic capacity comes from these regions. Then, when we look at the more mature consumptions of the milk that we sell in the U.K., São Paulo, or New York, this milk has a per capita growth which has almost stagnated. And then we entered in these markets more like a replacement, replacing producers that have a higher cash cost. And so when we look at our partners that are becoming more, you know, that are more urban, we might - we can migrate to these markets. But this machine is very competitive, and that was the first part of my explanation. We tend to have the most competitive machine in the world because we can ensure that we are ready to replace other manufacturers that have a higher cash cost. Well, we, in addition to per capita consumption in countries that are seeking to improve their income, in addition, the machine is very good to replace plastic, and this is what made a major difference in these markets. More recently, we are now providing different solutions for the same packaging. Not only, you know, coated boards, but also to, to store beverages or soft drinks. These are very sound markets. This can be done through conversion, Klabin itself, and it, it's also... Well, can you go back to the conversion slide? I don't know whether... Now, along the lines of that first slide, when I referred to our mandate, our growth mandate, to grow, you know, soundly and in a very robust way, packagings are very important in the process. Just as a recap, we also deliver market share, and this has a link with what I said before, with the best opportunity cost in terms of the acquisition of the asset. In addition to buying assets, we also added 4,000 employees that were very crucial in the process of maintaining things running. So in addition to our historic numbers, we were also able to guarantee market share. This is strictly related to price competitiveness. Some of you that have been talking to me for longer, I've been saying that corrugated box not only delivers gains in terms of reals per ton. In dollar terms, corrugated box, it's over $1,100, and it has been maintained stable for six years. That means that we are breaking paradigms through integration and mainly through market share gains. So let's recap again. A growth mandate with soundness and very robust state-of-the-art machines, with long-term contracts, with perennial products for consumption, very competitive machines, the lowest cash costs in the world, ensure at least for 20 years, state-of-the-art technology, and 70% conversion with price stability over $1,100 for almost 6 years. Therefore, we deliver market share, we deliver sound investments that are perennial products that are totally, totally dedicated. At least in these two machines, there is a large volume. Over 70% is earmarked for food. When we add both machines, the 28 and the 27, part of the 27 for food, which is also earmarked for e-commerce, shows a very robust growing trend for the next few years. Therefore, we are also delivering market share through M&A, a very precise M&A, with amazing and historical opportunity gains for the company. The machine startup, I mean, I already referred to the acquisition. We, we didn't buy market share in Ceará. In fact, we acquired a unit from one of our clients, from Heineken, which is also our client. So with these, with these two acquisitions, one M&A and an asset, we position ourselves in conversion in all regions of the country. We have two plants in Manaus, we have plants in Bahia, Minas Gerais, Goiás, São Paulo, and I will talk about São Paulo when I refer to Figueira, in the south of the state. So we are positioned throughout the country. Now, let me talk about Figueira. I think the next slide shows Figueira. Okay, just let me talk a little bit about Figueira. I will just give you some numbers, and then I will talk about Klabin's capacity, the flexibility that we talk about often with you. But Figueira is a site. If you're not very familiar with Piracicaba, or if you are familiar, this is very close to the Piracicaba River. The land is spectacular, and Thomas, with the engineering team, they found this land for us. This site will have two corrugated box machines or areas using state-of-the-art technology, will be involved in conversion and printing equipment. Very modern in terms of its vertical design. And the site was prepared to accommodate two recycling machines of the size of the PM27, 450,000 tons. This potential, this investment potential of recycling machines, in a given moment of our history, will really bring about capital gains in terms of the capital invested by Klabin. Exchanging forests, meaning that we are not remunerating the forest anymore, but we are just remunerating the paper machine. This is a process that has to follow a certain order. You start by establishing the market with the virgin fiber. Brazil and the U.S., it, are two countries with a great potential for virgin fibers. We are suppliers of these fibers for this coated board in the world. 90% of these boxes will be recycled, but the 20% remaining, Brazil will certainly play an important role, and Klabin will be a part of this process, you know, transforming boxes into recycled packaging. The volume that will need to come to fill in that recycling of the box—I mean, the box can be recycled 1 time, twice, 3 times, even 10 times, and then the fiber is so short that the box cannot stand alone anymore. Then you have to come up with virgin fiber just to make up for that. The need for virgin fiber in the world is just like a driving force behind the entire packaging market in the world. But the market dynamics, in terms of this transformation into recycled products, is what will ensure and improve the return on capital for this market, because that virgin fiber we use for the recycling material. I will refer to this investment a little bit. I think we have a video to show you. This plant will add 100,000 additional tons. I mean, you may think that this is not too much, but the capacity of Klabin is 1 million tons, and we will add another 1.1 million tons. But we will exchange a high conversion cost by a low conversion cost. So I already have an option here, because if the market is very good with actual, you know, gains in Brazil, always, you know, betting on actual income gains, if that happens, I could, you know, keep my other units connected, and with that, I would have about 1.25 million tons. If Brazil has no income gain, and if the actual gain of corrugated box, which has been stable for the last six years, if we stop having that actual gain, and if the focus is margin and competitiveness, I can disconnect the recycle plant, plant that has a lower capacity of cost dilution when compared to this one, and then my additional gain is 100,000 tons. Meaning that I could gain 100,000 tons by only, you know, shutting down my less competitive plants. And if the market has some income gains, I can then consider Figueira having 250,000 tons of additional gain. I mean, things are not written on stone, but you have to look at the budgets, the projects, and how macroeconomics happen. If macroeconomics can give us, you know, actual income gain from the population, then we will be able to operate in these markets in a different way. So this is Figueira. I think then we have a video now, and then I will show you another slide. So we'll continue, and here it kind of summarizes everything I've said so far. So we are talking about this mandate. So we started in that first cycle. I was already with the company, with Fabio Schvartsman. That was the first cycle when we adopted Puma I, a transformational project from 1.5 million tons, increasing to 3 million tons. In 2017, we started the new cycle, and you can see that the idea here was to kind of rebalance with higher stability products. So I'll start with packaging. Our packaging capacity is 28% of total capacity. It really depends on market moments, but about 200-350,000 tons of recycled paper, 100% converted into boxes. In here, I'd like to make a linkage. I'm not gonna follow the order of the products, but I'll—I want to explain Figueira, so I will tie these 28% that we can convert into packaging with our Kraftliner capacity, which is those 11% today or 7% projected. So talking about today, these 11% that we currently export... of about 400,000 tons, we have 350,000 tons of recycled products for boxes that we have at the top. So we talk a lot about flexibility, right? Please remember that recycled product machines are small, spread all over Brazil. They don't use forests for their base. So these recycled product machines, when we have an opportunity cost to use OCC at a low price, a low price, old corrugated containers and the Kraftliner export paper with a high price, what do we do? We convert all the recycled into boxes. We go to market, we even buy more recycled paper, and we maximize our kraftliner exporting potential. When the kraftliner exporting price, due to global macroeconomic conditions, drops because it has a cyclical commodity characteristic, we convert this paper. We have 350,000 tons on average, looking at Klabin with Figueira operating up to 350,000 tons that I can not export when the profitability is not good, and I can convert them into boxes with that strategy of having boxes at $1,100 at a stable price for almost six years and growing above inflation. So the strategy is, if we look at our kraftliner capacity, about 1.2 million tons, and our box capacity with the ramp-up of the Figueira project, which will give us about 1.2 million tons again. So what do I mean by that? So really, depending on market conditions and maintaining our stable market share in Brazil, and perhaps gaining a little more market share in Brazil, at the limit, I can convert 100% of the virgin fiber paper of Klabin, at Klabin, at a sound and stable price for six years now in dollars. This is what we call operational hedging. This is not in our short-term strategy today. We operate part of our volumes like this, but I need to extrapolate this example so that you can get a good sense of where our flexibility comes from. I'm going to give you the opposite example now. Let's suppose the market price comes back, and market, I mean, box consumption in the United States mainly, in Europe, recovers, China, and this will happen eventually, perhaps in two years. So export prices vigorously improve again, and we have the machines with the lowest cash cost in the world. Technology is approved by all continents, and we start consuming all recycled paper for our boxes, and we use the marginal gain exporting Kraftliner. So this is not a binary operation, it's a three-D operation, because we have to look at the cost of OCC, export price, and price of boxes. But it is this three-D approach, a three-D view, and sometimes we try to explain it to the market. I hope I managed to convince you, but it is this 3-D approach that gives us flexibility in packaging and makes the investments of the machines and PM27 in particular, and the future machines that are in our strategic view and strategic vision, but not in the budget for this year and not for 2024 and 2025. But it is this investment in container board that brings us flexibility, combining virgin fiber and recycled fiber. Now, talking about the other products. Coated board. Coated board, 19%. That's the coated board machine that we're starting up now. So it will start producing in a stable fashion. Like I said, it's a very technological PM, and the output is a high-end product, LPB, which is the focus of this machine, and in parallel COK, which is packaging for beer. These products have an approval process that will take up to 18 months, and while the approval process is unfolding, by serving our clients, we produce other coated board, heavier kraft, and some technological innovations that our commercial officer brought with our Ortigueira site. It's a product we call 8K, that was very much accepted in the market for electronics and household appliances. So we are at 19% of the volume, increasing to 28%. So all the gains coming from this PM with solid, sound, 3-year long-term contracts, etc., with global players. We only talk about global players that consume the output of this machine, so this will become much more sound and solid in the next 18-24 months. Then fluff, 11% share of our result. 10% when the machines have a full ramp-up. Fluff, it's basically we're talking about pine tree, long fiber fluff. That's the focus for geriatric diapers that have higher added value. These are niche products, a product that we actually envision will grow in the future. And I'd like to remind you, fluff is one of the highest margin products for the company. We're very competitive in terms of cash cost, and it has a stable price. And the floor price of this product in the world is high. The big manufacturers of this product globally have a very high cash cost, and they cannot lower from $800. So the floor price for this product is quite high. And here, Klabin has a very high-margin product, so it's high-technology product with long fiber. It's a very sophisticated product that can be sold to global markets, particularly for geriatric diapers. There's no market that will not take this product. It's very diversified with long-term contracts, and it is a product in high demand. Then Kraftliner, I've spoken about it. And lastly, our short fiber pulp, market pulp. We've been doing brilliant work in this market. Ben and Eva has been doing great work. And this is the share. When PM 28 has had its full ramp-up, it seems that we'll get to a balance linked to that story that I told you at the start, a mandate of solidity and robustness. So we have this composition. This is a strong cash cow for the company, the market short fiber pulp, where we have a characteristic of a follower, but with a lot of intelligence in the mix. In Kraftliner, that I can integrate everything I produce in my boxes, ensuring stability. That came from the acquisitions that we've made and acquisitions we will still make to ensure price stability, among other things. And we have fluff. Although it accounts for a small share of our portfolio of products, it is a product with a strategic vision when the company is ready for it, and we'll definitely try to increase capacity. Given stable prices, a product with a long-term trend, geriatric diapers, a high price, given a high cash cost. So this is a high-end product in the sector. It's very specific, it's very safe, and by safe, I mean in terms of safe consumption by mainstream brands. So it is a candidate product for the future vision of the company. And of course, coated boards. I spoke a lot about them. They bring long-term contracts for all of us. So through the realization of this cycle, the execution of this cycle, pursuing solidity, robust and stable results, we are delivering this kind of volume. Revenue increased 2.2 times over 2017 when we accepted the challenge, and in this period, our EBITDA grew 2.4 times. Among other things, I'm trying to show you that we delivered what we set out to do. We delivered robustness and stability for the company. We delivered earnings and results. And with a high return on invested capital, as we can see in our ROIC and TSR, total shareholder return. So in our ROIC, well, there's a lot of EBITDA that came given all of the explanation I've given you about the market, and also due to rationalization of our forestry assets. Marcos Ivo is the person who is kind of the mentor of this process, and Klabin has been rationalizing its forestry assets with increasing, increasingly profitable forests. I'd like to mention, sometimes we are asked about our compensation of all of us executives and officers of the company. All the management of the company have one third of our compensation that is linked to our salary. One third of our compensation is bonus, bonus that are linked to indicators, the most modern indicators, target indicators or targets for all officers and executives, ensuring the deliverables that I talked about. The third third is long-term. Half of this third third is three years through matching. In other words, we get half of our bonus or 40%-50% of the bonus. So bonus that I got in the second third, I buy company shares, and I get a match. I get the same number of shares, and I can only convert these shares into cash after three years. And also, we have a commitment of, in the first years, not converting the shares, so we keep them on average five years with the shares. In practice, no one sells them, but I just want to explain the rule to you. And the second part of the third third. So So one third is salary, one third is bonus. Half of the bonus, I buy shares of the company, and the third third is long-term, five years. Half is TSR, half ROIC. So all executives and officers of the company, one third is linked to TSR and ROIC, with you, like any other investors. The other half of this third third, I commit to buying shares of the companies, and only one third of our compensation is actually salary. Marcos, I think that now I'll give you the floor, so you can continue to tell our story. CFO of the company, and I see this as a great opportunity for us to speak a little more in, and more in-depth about the vision of the management and the vision of Klabin. When I look at the numbers presented by Cristiano, I get re-energized. I get even more encouraged and motivated, because in my view, the figures that show robust growth for the company with value creation, and I always like to mention these two points: growth, creating value. Growing, creating value, and we clearly see this at the company. And this is the result of a lot of discipline. Discipline in the strategic planning process, as Cristiano showed you. Also, discipline in executing the strategic plan. In other words, how we make decisions for capital allocation, project by project, and all capital allocation decisions. And clearly, this is associated with good execution, diligent and disciplined execution. Cristiano clearly explained the ROIC of Klabin from 2017 to date. He talked about TSR, and I bring you complementary view. Not every investors can clearly see this, but it is the importance of the capital structure of Klabin. And by capital structure, I mean equity and debt, and Klabin's cost of debt. The fact that Klabin has a business model that brings stable perennial earnings and results, given the positioning of the company, integration, and everything you know about, associated with a company that has 125 years of existence, a company that enjoys credibility that was built over decades. All of this provides Klabin access to the bank debt market and the capital markets at very competitive costs. This is a driver of value creation for all shareholders. Simply put, you know the concept. Using the slide just as a support, if we look at the average cost of a debt of Klabin, it's about 5%, 5.2% in this period, with an ROIC of close to 15%. Now, what does this mean in practice? This difference between the cost of debt in the ROIC that was generated, this spread is for the shareholders. The shareholders get the ROIC and the spread compared to the debt, and this is important. Looking at the recent period, the last three years, the return on equity will give us numbers above 20%. I always like to compare so that we can ponder about pricing of the company's assets. If we compare these more intrinsic indicators of value creation, such as ROIC and ROE with TSR, we see the TSR of the company has not—well, it has a good return, but it does not follow these value creation indicators, which are intrinsic. Klabin continues and will continue to enjoy a very sound financial position. By the end of September, we had a liquidity of 10.4 billion BRL. Of this, 7.9 billion BRL were in cash. Cash which is sufficient to pay the debts maturing in the next 4 years, showing that from the standpoint of liquidity, the company is super comfortable and prepared for opportunities that may arise. If we consider the capital structure and leverage, we have also worked with a lot of discipline. We evolved in our accountability, transparency in communicating with the market. In mid-2020, we approved clear policies for dividends and financial indebtedness, and Klabin has been working strictly within the parameters set out in our policies, and we will continue to do so. By the end of September, the average maturity of our debt was 8.3 years, very long. Leverage measured as net debt over EBITDA ratio at 3.2 times, and the average cost of debt in dollars of 5.5% per annum. All right, speaking more about the cost of debt, given that this is very relevant in a capital-intensive industry, and in recent years, this has been also a driver of value creation for the shareholders. On your left—actually, on the right, in the pie chart, we can see where the gross debt streams come from. So we can see 60%, from the capital market, and that's why a good part of our audience is also related to the debt market, particularly bonds in the international market, but also accessing Brazil via ABS and the debentures. When we look at Klabin, Klabin has a global rating of double B plus. We are one grade below investment grade, and Klabin has been enjoying this rating for a long time with a stable outlook. But I'd like you to understand that Klabin is priced already as an investment-grade company. So the debt market, in our view, and as the numbers show, already understands that the business profile of the company, coupled with the net profile of the company, already puts us as an investment-grade company, and the market prices us as such. And when we see this indicator, we can see how much a Klabin bond is paying more than a U.S. Treasury bond. This G- spread is 242 points. It considers the secondary market. At what price the Klabin bond was being traded on November seventeenth? That's when we collected the data. That's a good number already, but I draw your attention to the fact that when we look at the actual executions of Klabin bonds, which is our main resource stream, given that we are very careful and disciplined in our treasury in how to treat the debt, Klabin, in the last several years, has been taking advantage of good market windows, making Klabin execution, as it relates to other Latin American companies, be even greater than what the security is traded in the secondary market. In practice for Klabin, what matters is what we are going to pay in terms of servicing the debt along the life term of the debt. Sustainability is an important topic. You all have been following Klabin, and you know that Klabin has sustainability in its DNA for many, many decades now. Even before the term sustainability came to exist, we have used other Klabin Days to tap into this topic. So my goal here is not to detail what we do in terms of sustainability, but I'd like to remind you that the connection between sustainability and the capital markets, particularly in the debt world, is more and more present, and this has become a reality. Klabin today has 38% of its gross debt linked to green finance instruments. The important highlight here is that we have been able to see the true benefit of green bonds and the cost of debt. This was not true when Klabin had its first green finance instrument over six years ago. Back then, it was neutral, but if we look at the track record of the last three years, we have indeed seen the famous premium, which is nothing but a discount in the cost of debt. There are two examples. One you know, which was the bond issued in January 2021, paying BRL 3.20. 3.20. And the other example is something that is being completed this week. Klabin has a recurring project of discounted receivables, and we are making this program green, linking it to the same target we have in other instruments of reducing solid residues, solid waste. And with this, we are saving five basis points compared to the cost that was practiced. So we've been able to monetize sustainability, and this is translated into better debt conditions. Despite the excellent reputation we enjoy and the good indicators that we have related to sustainability, the company continues its journey, continues to look for improvements. We have ambitious targets, ambitious goals. We recently reviewed our CO2 emission targets, and always working with science-based targets. We submit these targets to SBTi for approval. Lastly, we've been, we've been having a lot of discipline and transparency. Klabin has been periodically reporting the performance of its targets. I invite you to visit our ESG panel, where in a structured and simplified way, we periodically report the evolution of each one of the targets. All right, let's change gears a little bit. Let's talk a little about the current moment of the company. When I talk about the current moment, it's 2023 and 2024. We have been working hard using this gap between large products, given that Puma II second phase started operating a few months ago. The Figueira project is well underway, and we have this gap between two major projects associated with the macroeconomic context, which is more complex, particularly in some markets. So we have used this to look inward, working with great focus on the efficiencies. So efficiencies will be broken down into four blocks, and this whole conversation starts with the backdrop, which is supplying wood in the state of Paraná, which is related to the Puma II project. Cristiano has already recapped the concept. The concept in Puma II was to break away from the paradigm, and we can state that this worked. Klabin had the first plant before we actually bought land, forest, and before we allocated capital in land and forest. The previous model was the opposite. We would spend years allocating capital on land and forest. We'd build a plant and then start generating cash. Here, we built a plant, generated cash, and are using cash generation to buy wood to supply the plant. Clearly, you can all see how this improves the ROIC of the project. We've also been very disciplined, consistent, and transparent in our communications. If you look at the presentation of earnings release call in April of 2019, when the Puma II project was approved, we explained that the first wood cycle to supply to Puma II would use third-party wood. The first cycle means seven years for eucalyptus and 16 years for pine trees, and we've been following that plan very precisely. This slide, the that shows that this is one of the many ways that we communicated that fact to the market. It was presented by Sandro, our industrial officer, and he presented that during our Klabin Day 2022. Did I make a mistake here, he says? Forestry officer. Oh, the forestry officer. Sandro. Sorry. Sandro is a friend of mine, also a Flamengo soccer fan. Well, this slide shows an update of what we showed you last year. You will see that there are no changes. There are just some fine-tunings, because you're always seeking for optimizations. But there's no change to the main message, and the main message is the eucalyptus supply from Paraná. So as of 2025, we will phase out our acquisition of third-party woods, reaching our target self-sufficiency by 2029. Therefore, that's the same information we gave you back then, about 2019, 2022. When we talk about pine trees, I mean, the curve is much longer. First of all, because consumption of pine trees started later with the PM 28, because the PM 27 is 100% eucalyptus, and also because it takes 16 years for pine trees to be ready. So what else do we have to do? Given the fact that we made advancements or we made a progress in the program since 2017. Now, we are almost in the last mile. We almost concluded the acquisition and the lease of land that will supply the second cycle forward, I mean, in the areas adjacent to Klabin. We achieved 90% of the execution. We're still lacking the last mile, but we still have time to conclude that 10% remain, that still remains. In terms of the acquisition of third-party wood, the process is well in place. And why do I say that? Because we went through the learning curve. This year or next year of 2024, the PM27 will be operating at full nominal capacity, meaning that it will consume all of the wood, and PM28 will already be way into production. And the forestry area is already being optimized. I mean, we ensured supply, we learned, and now we are seeking for optimizations. There are two ways of optimizing: one is short term, and the other optimization, it's mid to long term. What is this that is more structural, that will be a midterm optimization? That means that we are seeking for strategic opportunities that will allow us to anticipate that target of being self-sufficient. That means that we will certainly have some capital expenditure, because we want to have that wood, you know, with us earlier, and this means that we will be anticipating our self-sufficiency. And we are very safe with our, in terms of our supply, with our original plan, where we will acquire things with time. But depending on the context, there may be opportunities along the way, and if these opportunities are materialized, and if they make economic sense, if there is a good, you know, IRR, then Klabin will invest. So we are looking into that right now, and we will make moves, you know, in a timeline. Now, in terms of the short-term optimizations, this year, especially in the second half of 2023, and also going towards 2024, led by Sandro, given the fact that we made great progress in land expansion and that we already have a very clear definition about third-party wood, allowing the forestry area to have some optimizations and also to form blocks. We want to plan harvesting in advance, and then we will be able to reduce expenses with people transportation of people. This entire process between harvest and transporting the wood to the plant has to be cheaper, because you pay for the standing tree the same amount, but the process of delivering in the plant, if you optimize that process, that can bring about cost reductions. This is already a fact when compared to the budget we had lined up for 2023, and now we are already budgeting that for the year 2024. This will ensure, you know, cost stabilization in terms of wood cost in this transition from 2023 to 2024. This is something that we already told you before, and then we are saying to you that the cost of wood is already stable, and that cost will slowly and gradually come down as we replace third-party wood by our own wood. This has nothing to do with some strategic opportunities. Now, with this stable supply, we are now putting people to look at what else we could do. If there is anything that we could do that could enhance or improve our landscape, our current situation or current landscape. Now, looking at the 2023-2024 period, as I said before, we spent great part of this year looking for fixed cost efficiencies in the supporting areas of Klabin and the G&A of the company. Between June and September, we implemented actions that will certainly bring about savings of BRL 150 million a year to the G&A of the company. A small portion will be on an annual basis. Small portion is already reflected in our last results, but you will see this much better in the fourth quarter and certainly throughout 2024. With this optimization to G&A, we have a better baseline. So based on the same baseline, we are looking at structural opportunities, and I would like to mention one of the most important one, and we gave it a name. It's called Project Smart. This Project Smart focuses on efficiency in the company's admin areas, starting with payroll, procurement, materials, finance, and tax areas. Therefore, we are currently re-reviewing all the processes. And this is also linked to the fact that we will change our SAP version. This is Klabin's ERP system. So in addition to that, we will replace our SAP version to S/4HANA. But at the end of the day, this will ensure, you know, serenity to that BRL 150,000 in G&A, and this will also a llow us to get 150% of that, 150 that has already been done once we deliver both phases of the project, phase I and II. The CapEx of the process is BRL 200 million. That is already part of our CapEx, CapEx to be used in 2023 all the way through 2025. I like to look at value creation, given the fact that once we reduce G&A, this has a direct impact on EBITDA and the cash generation of the company. We are talking about figures that once we add up, it's 150 and probably BRL 230-150 million in savings. If we look at Klabin's historical multiples, I would like to talk about a fair multiple, but if you want to look at 8.5 historical multiple, we are talking about a value generation, value creation of almost BRL 2 billion reais. All of that is translated into the stable cost of wood when you look at 2023 versus 2024. The initiatives to reduce fixed costs in the supporting areas are already in place, in addition to dilution of fixed costs by higher production volume. We've been talking a lot about this with you because Puma II, in II phases, would also bring about a dilution in fixed costs throughout the ramp-up phase. These three events put together would allow us to have a total cash cost per ton, and this is the indicator that we have in our rules, total cash costs per ton of all products, including SG&A. I just want to make sure that this is very clear. Therefore, for 2024, we expect to see this number in nominal terms to be the same as 2023, meaning that all of the efficiencies are absorbing all of the inflation in the period, fixed cost and the dilution by higher volumes. Regarding CapEx, I just have a brief comment on 2023. During Klabin Day of last year, we, you saw a CapEx projection for this year of BRL 5.4 billion. This number should be about BRL 900 million less, or we are forecasting 4.5 billion for 2023. If you look at what changed from what we indicated last Klabin Day to today, this mainly involves the projects, Puma II and Figueira. Puma II was delivered on time, so that was fine to postpone payment. Figueira will be delivered on time, therefore, it will be fine to postpone payment. As we are talking about BRL 900 million from 2023 to 2024, as we, you know, delay that, we did that without changing the schedule of the projects. Now, speaking about 2024, earlier this morning, we published a material fact with the CapEx guidance for 2024. BRL 4.5 billion reais, already including that BRL 900 million of carryover from 2023. I also have three additional comments related to the numbers for 2024. One relates to the Monte Alegre boiler. This has been an issue that has stirred up lots of questions from you. Today, we have a more mature view on the topic. That means the replacement of the current boiler by a new boiler of equal capacity. The engineering team has been refining that in talking to suppliers. We anticipate that maybe this final project will be submitted to the board for final approval, but by the midst of next year. The total CapEx expectation is BRL 1.8 billion, BRL 1.8 billion. From this total, 300 is already contemplated in our CapEx projection for 2024. That is mostly concentrated in prep, construction work. The other comment refers to the acquisition of standing trees, the CapEx for standing tree, you know, third-party wood. As I said before, we are in full production of the two machines now for Puma II, and this is along the lines of our strategy of buying in advance, you know, two or three years in advance, to allow us to expand our forestry area. And finally, and maybe the most important item, is the maintenance CapEx of Klabin. What do I mean by maintenance CapEx? I'm referring to the operating capacity of the plants plus forestry, which are the two lowest bars in the chart. For next year, this has been budgeted at BRL 2.1 billion. I mean, here it says BRL 2.2, but it's BRL 2.1 billion, and this should be Klabin sustainable level with the new scope. The new scope means, you know, the Horizonte plant, Figueira, and the two paper machines of the Puma II project. And finally, my two final takeaways. The first one summarizes our focus, Klabin's priority for 2024, which is the ramp-up or to conclude the production ramp-up of the PM 27. We intend to reach its nominal capacity by next year. So next year is a very important year for PM 28. The Figueira project has been extensively mentioned by Luciano, and we want to seek for additional forestry efficiency, because with the expansion in place, we already, we already have people and time to focus there, including possible opportunities to anticipate our self-sufficiency. Also, we are focusing on the fixed costs of the supporting areas. I mean, also related to our focus for 2024, we know that Klabin has some clear paths of growth. We have competitive and comparative advantages, which is very clear in several product, products. These investments are not earmarked for 2024, but the company continues to work on that. And I'll, I'll give the floor back to Luciano to elaborate more on these two tracks. So Cristiano, you have the floor, the floor. Thank you, Marcos, and congratulations on your fifth Klabin Day, I think. Is it, is it your fifth? Yes. Congrats! Well deserved. He has been with us for many years. He, he was once the controller of the forestry area, he worked in planning, and he has been a great CFO for the company. I'll be brief so that we can move to our Q&A session. We have some room for a Q&A. Therefore, now, we are in the cycle of our green notebook for 2023. We already sent the booklet to our board. This year, we didn't use a lot of consulting services. Most of the work was done internally, but with a great contribution from that debate that took place early on this year, you know, with the board, the executive board, and the group that we call market strategy. This is a very active group. They monitor all listed companies in the world that operate in paper and pulp, and they provide us with very dedicated reports on the industry, and through that, we evaluate Klabin vis-à-vis the other peers around the world. This analysis and short-term relationship, the way we call it, which is this quarterly analysis, this is something we've been doing since 2017. We started looking at our peers or the main paper and pulp manufacturers in the world. That ensures part of the information that is then fed up into this strategic planning cycle, which is a 10-year cycle, as I mentioned before. So now we are looking at a new cycle. We delivered the soundness and robustness that was demanded for the first cycle. This was concluded, and we are very happy with the results. And as Marco was saying, we have a major focus on operational improvement, focusing on a six-year growth. At some point, and this is what we are doing now, we need to absorb even the culture that was renewed in the company in these past years. We had a very high turnover due to several reasons. I could even mention them here. Some were important things. Klabin is an educator of people in this industry. We are pioneers when it comes to educating forestry technicians. We have a school developed together with the state government of Paraná, and the school is based on some fundamentals that we brought from Finland. We inherited some forestry equipment, and we are training our own staff in-house, and that's why we train people. In view of the fact that the industry has some deficiencies in terms of personnel, it's important that we ensure that once we have new people aligned with Klabin's culture, it's important that they come in to grant more stability to our processes. We also have a paper and pulp school in Telêmaco Borba, SENAI. We also provide further education on paper and pulp. So all of this training of the labor force, sometimes Klabin is penalized by its own success, because due to this intense education of people, sometimes we lose these people to the rest of the market, because the paper and pulp market in Brazil that is now getting other companies like Suzano in April, with investment in Brazil, in Eldorado. So all of these new endeavors need additional labor, and as is the case with other plants that are ramping up in Brazil, and therefore, we end up losing this trained labor to other companies. But all of that ensures the replenishing of people. The arrival of all these newcomers to the company allows us to grow more. And in this growth period, I think what we are lacking is this culture related to efficiency cost, and this is what we are doing now. This is part of this learning process. We are optimizing our fixed costs that Marco mentioned, and this was quite important for us in 2023. This is already bringing good results, and by 2024, we will be able to deliver the same state-of-the-art we deliver in the quality of our fibers, the quality of our assets, and this will be very apparent in terms of the quality and efficiency of our G&A. Given this backdrop, we drafted our new view for the next 10 years. We deliver the first cycles, we rebuild our people base with that culture of efficiency. We are well... I mean, we're very comfortable with what we will deliver. We are talking about investment in focus and fluff. We talk about that a lot, and this, at the moment, it's on hold because, in fact, we didn't present anything to the board, and we do not intend to do so in 2024. But this is there. This is part of our ten-year vision. We are also focusing on that product chain that we call Sack Kraft. This has been very good in terms of migrating a product that was mostly dedicated to civil construction, to hold cement, but it's being used by other industries, and this has, this represented good opportunities for Klabin, and we have a very good presence or footprint in Mexico and other countries in Latin America. Therefore, we have great intentions for this product in the future. And finally, obviously, we maintain our vision and focus on the integration, because integration is what will ensure our profitability and robustness. So with that, I conclude my presentation, but I would just like to leave you with another takeaway, is that bar that talks about, you know, investments in conversion. This is the forestry expansion. This has to do with that pillar that I mentioned related to training our labor, having the right labor, being in the right place, and knowing how to allocate capital. These three things are very important because they are part of our strategy to expand, to promote a forestry expansion. Looking at our roadmap, we will bring about leaps of cash generation, even higher than what we are presenting to you now. But obviously, due to confidentiality reasons and opportunity as well, this is a debate that is so far contained in our board, so we cannot disclose what are our future endeavors. But we are now focusing on this very robust forest expansion. With that, I conclude my presentation, and I open for questions. I would like to call in our officers, Alexandre Nicolini, José Soares, and Douglas Dalmasi. Please come forward. We can also call them Zé, Nico, and DD. They're nicknames. Thank you. Let me tell you something. Zé, José Soares, was my boss at the end of the 1980s. Did you have to say that? At Repasa. I think you did better than I did. Now, I just learned from the master. Are we all here Yeah, I think Luisa will moderate the session. Good morning, everybody, everyone. I'm from Safra Bank. I have two questions to Ivo. My first question is about a chart that we saw in past Investor Days, which was the trajectory of EBITDA growth. Correct me if I'm wrong, but I think you said that that trajectory would indicate growth of about 10% going forward, and I think it will be like that until 2032. So I would just like to get an idea about the company's view today, or maybe, you know, by 2023, that will be a CAGR over 10%, or below 10%, or like 10%, or if you can give me some color about the drivers behind this growth, that would be nice. And my second question relates to your projects? I don't want to jump the gun in terms of what we will be able to see in the future, but part of that EBITDA growth comes from projects. I mean, trying to compare with the ROIC numbers that you show, which were very good, the ROIC of new projects, maybe to simplify, we could assume that the current and future operations would have the same like costs of raw material and exchange rate. The ROIC should be higher than this level we are looking at today? It should fall or just be flat? Or maybe if you could give me a breakdown of what projects would give you the greatest potential growth. Would come from recycle, packaging, you know, paper, pulp, or whatever. I would start answering you, but I will ask Cristiano for his inputs as well. Let me start with the most simple part of your question, EBITDA. Well, EBITDA will depend on price and exchange rate. So you have your own models and your own predictions, but what can I say now that EBITDA is increasing? Because based on the projects that we ramp up production volume, certainly EBITDA will grow. So if you look at what Klabin will sell this year, vis-à-vis our capacity after the ramp-up of the projects, Klabin's capacity will be 4.6 million tons. So they are more than 600,000 tons when compared to this year, until we conclude the ramp-up, you know, 2026, 2027, and this will grow Klabin's EBITDA. Maybe you should look at what is already in place and what we will deliver in terms of growth, and you just have to look at what will happen in the future. So you look at the contracted volume vis-à-vis incremental volumes. This is one part of the answer. The other part of the answer, I would just ask Cristiano to elaborate on it. The second part is related to the roadmap, so the speed of growth will be very much related to macroeconomic conditions. And before I ask Cristiano for his help, I mean, I have a comment on ROIC. This is something we often talk to you about. We shouldn't look at one given year. We have to look at a period of time. That's why we like to look at windows of five or seven years, because the company's decision in terms of capital allocation involves a maturation, a maturity period, so it takes about five to seven years. So what can we say now? These 14.5 that we saw in the past six years, this number, I mean, this is just, you know, the, the floor, because the projects that are maturing, even Puma One, it's still in its curve of increasing Klabin's ROIC. The Puma II project that has a return rate, which is quite interesting, is ramping up volume. Therefore, in normalized situations, average prices with exchange rate at the current level, Klabin's ROIC will be 14. 14 is the floor, but when we look at new projects, the vast majority of them, we see a potential of at least bringing the current ROIC, given the specificities of every project. Well, about investments. We have been very transparent regarding the paths for growth. We take into account consumption trends, and we have a great expectation for optimizing the company's capital by rationalizing the use of our assets, particularly forestry assets. We have a lot of embedded intelligence into that, which makes us continue on this trajectory of doubling the ROIC every 10 years. Of course, the projects will come in time. We're talking about great volumes here. The moment we have started up and all aligned with our board of directors to make sure that we have sound results, solid results. Now, having said that, this whole debate, this whole discussion, is in that document which was drafted with the board of directors and shared. As soon as we leave this more complex macroeconomic moment of the country, we'll be in a better condition to give you more detail. Good morning, Danielle Sasson with Itaú BBA. Thank you for the presentation. It is always a pleasure to listen to you. My first question is to Ivo. You mentioned self-sufficiency of wood as of 2029, so I just want to make sure of that, since wood perhaps is one of the big bottlenecks, virgin fiber, for the bottleneck for the expansion of the pulp and paper industry globally. So this BRL 1 billion of CapEx to buy third-party wood in the future years, will this be enough to give time for your forests to grow so that in 2029 you can use your own forests? In 2025, other than your CapEx, perhaps you will continue to invest, not spend, invest in land acquisition and forest acquisition. Do you still need to build a forestry base for the company as it is today? Or a new forestry base will only be necessary for a future expansion project? That's number one. Second question to Cristiano, a follow-up on the previous question. I, I would just like to understand how you're thinking and how you, how you balance cash generation, which is not super strong in the short term, with a CapEx that was pushed forward from 2023 to 2024, a BRL 4.5 billion CapEx. Perhaps with your 2024 EBITDA, you're not going to generate a lot of cash. So how do you balance the need, perhaps the opportunity, market opportunity windows for new projects, versus your financial solidity and soundness? In which areas do you think it's more urgent to make a decision, if any? Well, so I'm starting with a question about wood. That number is sufficient. We are absolutely sure, and for eucalyptus, it is already contracted for. The eucalyptus expansion has been fully done, so we've planted eucalyptus in 2019, 2021, 2022, 2023, and it will start being harvested in 2025 through 2029. I'm using eucalyptus as an example because the time window is shorter, so it's easier to materialize. Subjectively, that number is sufficient, and yes, it assures that we'll replace third-party woods by own wood in eucalyptus early, in this 2025, 2029 window, and for pine trees in the longer time window. And please remember, I'm just talking about Paraná State. When we go to Santa Catarina State, it's the opposite scenario. In Santa Catarina, Klabin has already a relevant amount. We shared with you this number, 35,000 hectares. This is in the Klabin Day material. This year, we held it back a little bit. This 35,000 is now 37,000. So in Santa Catarina, it's the opposite. We have 37,000 planted hectares, young wood that has just been planted, and this is for a future project. So over there, we even have a surplus if we don't have a project in this time window. In this context, in order to improve cash generation, the structure of the explanation given by Marcus gives us opportunities to improve our cash generation when we have the assortment of wood. This is an opportunity that we will not lose sight of, despite having a formed forestry base. I here make a link with something that you quickly mentioned, the need to supply wood. Yeah. And I always elaborate on this and say that I agree with you, but let's try to understand this. In practice, what we need is good forest strip planning. Since there are areas with great opportunities in Brazil, in several states for us to grow and expand forest planting. So we are talking more about planning here, rather than the land asset that gives us an opportunity for forestry planting. So this is already a given, and, and there are many opportunities. I have spoken about this in prior events over and over. And, and I'm not talking about education here, we could elaborate on that, but I'm going to talk about unlocking value in the Brazilian balance sheet. I think that the unlocking of value comes from productivity gain and turning all pasture land, cattle raising land, into agricultural areas for Brazilian traditional agriculture or for our forestry sector. I can mention some numbers. Of course, these numbers are not a direct arithmetic. It's not a one-to-one ratio, but productivity of Brazilian cattle raising has a lot to improve, and this productivity gain is linked to the LPF system, where forest, just like agriculture, can unlock a lot of value in Brazil. I just mean to say that the big assets we have in our hands and I've mentioned them several times, our people. That's why we invest a lot in training. In our forests, in order to get to know forests, you need to know in depth the geography, the geophysics, talk with people who understands about the weather and about soil. We had a very, very rich meeting yesterday with Professor Eduardo Assad. Sandro provided us with a great debate, because that's the kind of work he's been doing for us. We know Brazil, less the Amazon biome, but from the south of the Cerrado area, all the way to the south of the Atlantic Forest in Brazil, we know the geography and geophysics in depth of that area of our territory. So our forestry planning is based on long-term productivity and yield. I said that our paper machine will last 40 years. We are looking at the productivity and yield of wood 40 years ahead of us. I like to joke about this, but one of the things that I would like to see you talking more about is we speak a lot about climate change, right? And how our geophysics will be behaving in 20-30 years from now. But our assets are all for decades. Wood productivity and the planted forestry area to face these assets will lose productivity in Brazil because the temperature is increasing. Anybody doubts that? The temperature is increasing. Our rainfall conditions has been changing, and the Brazilian productivity, and this is scientific data for the work by Professor Assad, indicates where to invest in land, ensuring future yield, future productivity. So in all of the projects in this country, they discount cash flow, thinking about future productivity. So in this context, yes, we are looking at improving our cash flow now in 2024 already, thinking about wood supply solutions. Other than this possibility of increasing cash flow through by reducing the cost of wood, of course, Marco mentioned this together with wood. One of the important things, they have 600,000 tons of volume to bring. Ricardo gave us an opportunity to stress this. Investment has been made, and this is priced in the company's CapEx, and to a certain extent, this has been done already. Looking forward, it's just EBITDA. With this volume, we can have up to BRL 3 billion in EBITDA increase, depending on the macroeconomic conditions and on prices. So with the assets laid out here, at present figures, we can think of an EBITDA with price curves that are recent. If the price curves that are the recent price curves were running today, and they will definitely return soon because there's a sinusoid characteristic. When the curve returns, Klabin will increment its EBITDA by BRL 3 billion, with no investment. Good morning. Lucas Laghi with XP. Well, first, congratulations on the event and on the presentation, which was very clear. You talked a lot about ROIC, return on invested capital, and I would like to dwell on this and, and breaking down the divisions. Looking not only at the level of ROIC, but thinking about the fundamental role that each division plays for ROIC and thinking about maximizing and stabilizing return on invested capital. So first, for packaging paper, how do you evaluate the marginal ROIC between leaving kraft and having a conversion process? I think about the current levels of kraftliner prices and how this marginal ROIC will evolve over time when you go through the conversion process. And should we think about this breakdown as, playing a stabilizing role for the company, not necessarily maximizing return, but stabilizing ROIC? When you speak about pulp, thinking about finalizing the schedule for wood supply, do you have any estimates to share with us, of course, that you can share with us, of the incremental ROIC that this will bring to the operation? And should we think about the pulp operation as perhaps playing the role of maximizing return for the company? I think that there's one part more linked to commodities, looking at, or targeting a higher return, but considering the volatility of commodities and we have the paper and conversion division stabilizing ROIC. So I just want to think about return on invested capital and incremental ROIC from the standpoint of the other divisions of the company. Thank you very much. Well, Lucas, I just loved your explanation. You could be sitting here on the stage with us. Indeed, it is our conversion division that stabilizes our company. PM27, like I said, 70% of it is consumed by the packaging division at a transfer price where I gain $200 compared to international price today. My opportunity cost in transferring to my packaging unit is $200, and we were able to phase this box stability or box stable price, even with Brazil not showing a significant and relevant income gain, which is explained partly by consolidation in this sector. So yes, the conversion division, with this additional investment, when we look at the ROI in the chain with conversion, it is stabilized in the mid to long run. It stabilizes in the mid to long run our investments in forests and paper machines. Yes, pulp does play an important role, an important role of providing us with great leaps in cash generation. In our more long-term view, in this 2033 document, we address exactly that. First, we create a solid base. And this is a discussion we had with the controlling shareholders. We create a solid base, great leap. Solid base, great leap. So Klabin has still some room for organic growth. This explanation links with what we were telling Daniel a minute ago. Opportunities for planning, forestry and forest replanting with high yield, and Brazil will be providing the best cash cost in the world for these products. The strategy of stability and then great leaps, that is the foundation of our whole strategic plan. Good morning, this is Luisa, and now your question coming from Jonathan with HSBC. H i, good morning, everyone. But also potentially other projects, as well. I know we've discussed in the past about, you know, fluff capacity increasing. Be curious to your thoughts around that. You know, what should we expect in terms of an announcement, capacity? Is this a project that you're still potentially interested in? Any details that you could share would be great. Thank you very much. Perfect. Let's start with the end of your question. We're not talking about new capacity. Good morning, everyone. everyone. Thanks for taking my question. This is Jon Brandt from HSBC. My question is really around capital allocation. With the current CapEx cycle coming to a close, I'm curious to see the priority for- Debt, and obviously reinforcing one of the prior answers, this comparison of return will compete with greater cash generation opportunities in the short term that we might have for capital allocation. Marcos? I can only add that in terms of proceeds, Brazil will follow its policy. Likewise, it will follow its policy of financial indebtedness, so we're objectively talking about these two possibilities of capital allocation. CapEx for 2024 was very much explored here, as well as the movement for future projects. I, I believe that we've answered that. It's just that this question was recorded before, but I think that it has been answered before. Next question coming from you two. But what is the cost difference of the cost of own wood and third-party wood? Basically, third-party wood is further away from Klabin units and plants, so the cost of transporting the wood is higher. And third-party woods, while they come typically from small-- several small areas, so the cost of harvesting is higher, the cost of carrying them is higher compared with Klabin areas, which are large plots of land and close to our plants. And that's the main difference in the total cost of wood produced by Klabin and the one that is acquired from third parties. Next question from Julio. Is the hedge policy intended to reduce the volatility of net income? Julio, Klabin, about three years ago, approved a hedge accounting policy, and yes, it is being implemented. It was shown to be very effective. If you look at Klabin's net income from 2020, 2021, 2022 and 2023, it is very much compliant in matching the operating results of the company. There's no reason for us to expect any change looking forward. Next question from the audience. Good morning, everyone. Enrique from Goldman Sachs. Thank you for the presentation. I have two questions. First, regarding price negotiation with Tetra Pak. Want to understand how you're thinking about this from 2024 and onward. And then building on the last question, we see in your presentation that there will be a significant increase in third-party wood next week, and you explained stable cost. So I'd like to understand that. If you could elaborate on this first point, if fixed cost dilution will be enough to offset this potential higher cost coming from third-party wood. Thank you. These are my questions. Enrique, is your name right? Enrique, well, thank you for the question. Regarding Tetra Pak, we have a contract with them. 2024 contract conditions have been given. Of course, this contract was negotiated in 2022, so market conditions are different now. The market is a lot more challenging. So perhaps along the year, we might make some adjustments. This will be negotiated. It will depend on market conditions and how they evolve. But until 2024, we have a contract already signed with Tetra Pak. As regards, in regards to the cash cost per ton next year, yes, we are safe regarding that price indication. Enrique, as you have seen, over time, Klabin has been delivering everything we communicate to the market, including this year's cash cost in 2023. And as regards your question whether we're going to have more third-party wood, how is it that the cost is not increasing vis-à-vis this year? Well, this association is not a direct association when the percentage variation is not that great. And why? Because the profile of third-party wood in 2024 is better than in 2023. So although we're going to have more of that, one factor offsets the other. And especially what I tried to explain in the presentation, that's the work that our forestry division did of optimizing the way in which we're going to bring the third-party wood, and that partly offsets the higher cost of having a higher percentage of third-party wood. So we are sure about stabilizing the cost of wood, and we are safe to say that the total cash cost per ton will be nominally equal of that of 2023. Good morning. Camilla with Bradesco BBI. Quick question about kraft. The price has stabilized recently, but at the same time, we see an increase in imports from the United States and some markets and supply increasing, given that some producers resumed production after a maintenance period. So I'd like to hear from you. Do you think that this can drive down the price of kraft in the future, or do you think we've hit a bottom price for kraft? Thank you. Thank you for the question. Kraft, we're living a moment of stabilization for kraft, and this has been going on for more than a quarter. We have seen the prices achieving a bottom, and we've seen capacity closing down in the United States. And if we do the math, we had 2 million tons extra capacity, including recycled paper, not just kraft, and 1.6 million capacity has been shut down. So the market is a lot more balanced. Of course, this is a bet. This is not written anywhere, but obviously, the Americans tend to export less. That will be logical. They cannot continue to export the same volume if they're shutting down capacity. And you probably read in the specialized news an announcement of price increase in January by two large US manufacturers, increasing the price in $70 per ton. So we see the prices not only stabilizing, but we see a balance between supply and demand, a lot more balanced. The inventories, which was the big issue we had in the last 14-15 months, well, the inventories have been more equalized, so now there's a moment of higher demand. We already feel this in our portfolio of orders. So everybody's kind of running around to enjoy the the low levels, because looking forward, there will be a more balanced supply-demand with signs of improvement. We have seen demand improving year-on-year. We have minus 8%. In recent months, it's minus 3%, minus 4%, so this recovery has been continuous. So the conditions for price improvements are starting to be there. So it's not that we are at the bottom. There is a scenario of perhaps price recovery. It is a shy move, but there's a new scenario being designed. That's how we see this. Good morning. Thank you. This is Leonardo Correa with BTG Pactual. Question for you, Ivo. There is perhaps a little confusion regarding CapEx, so I apologize for going back to CapEx. You showed specifically standing trees. This year, the disbursement was BRL 400 million. Next year, BRL 1.1 billion is expected, and you're saying that by 2028, it will be at the level of BRL 1.1 billion. My question is: How does this compare with the previous budget? Is there inflation in this line item, or are we talking about similar numbers? That's the first question, 'cause this is kind of creating a certain confusion in the market. Second question, Nicolini, since you haven't answered any questions, I want to bring you to the debate. W e saw a rollercoaster, an impressive rollercoaster in pulp since the beginning of the year. A totally unexpected drop to $470, and a resumption to $650, which was also unexpected. So in this context and at this level, given the restocking of China, that seems to have come to an end, I'd like to hear your expectations regarding 2024. Will there be new capacity? Is this a relevant project? We know that there's a big discussion about the Chinese. There should be some kind of pushback. So I'd like to hear from you, how do you see the pulp, the outlook for pulp in the next six months to expect the levels to accommodate that $650? Thank you. Thank you for the opportunity and for giving us the opportunity to clarify. First of all, the wood price this year, and it and also in some locations and assortments, the price was down. So if you look at last year's price, there were some very minor reductions. But now, I will try to be consistent, because I don't want to tell you a new story. First cycle, third-party wood. This year, we already have PM27 in production. If you look at the incremental volume from Puma II alone, I mean, I would need twice as much wood from third parties to supply the machine. So the equation is almost done, now from 200 to 400. Now, going forward for the next few years, the numbers will remain maybe the same, maybe a little bit less, but this would be the ongoing level. So I suspect, by just looking around and talking to many of you, I think that many of you are running your models based on cost. But, and if you remove that from cost and put it on CapEx, you will, you will see neutrality probably versus most of your models. I do not remember seeing any of you modeling the cash cost per ton that we are delivering this year. Everyone was above that in general. And for next year, I've seen much higher numbers, and I am talking about a, a cash cost per ton, which will be nominally the same. So I think I clarify your questions, and maybe the confusion is related to where that expense is allocated. Yeah, but then we remove inflation, which is-- would just be allocation, because as we are buying this wood two or three years prior to consumption, this, this is turning to CapEx because the, the forestry-- the forest is growing. It's important that we have some planning, that we reduce the cost of extraction and transportation of wood. This was also part of this five-year learning curve, and now we see that this reduces the total cost of wood purchased from third parties. Thank you. Good morning for your question. Let me help you here. When we start thinking about that 470 that was split in May of this year, you may think that that was a very sudden move and maybe an exaggerated move. This pricing process that we can see now in the fourth quarter has started at the end of the third quarter, and now going forward into the fourth quarter, is a result of a few things. We've seen, you know, the shutting down of capacities, giving a persistent cost pressure that should persist towards next year. We saw some market shutdowns, and at the same time, the inventory levels were coming down associated to improved demand and seasonality. Even in Europe, given the fact that the third quarter was the most difficult quarter for the entire industry, demand is not at the level we would like to see, but we saw an evolution in demand from the third to the fourth quarter. In other geographies like China, Asia, the US, and even in the Brazilian market, the demand accelerated in a different way. So this price evolution, in my view, is just a natural process. You know, not only related to the marginal production cost from high-cost producers, but this is also in conjunction with the margin of paper producers. We see different prices, and that's what is supporting this price level so far. Maybe we can say that this... The increases announced for the fourth quarter in China, I mean, that $20, that leads to a price of $650. That's—it's about to be implemented in Europe, $980. So if you look at the current rate, is close to $940. That—we could assume that this price could be implemented here, too. But looking at the first half of next year, we don't see any significant change. There are some concerns, like the Chinese New Year will be February 15. So this is a month where in the second half of February, the market is totally stagnated. So if we try to anticipate moves or the behavior of the demand in China after that new year, that's difficult to anticipate. But we come into 2024 with an average price level that is much better than the predictions made by market analysts. So maybe we could think about a first half with good price levels, well, better than what we saw in the third quarter, and obviously, we have the startup in the Cerrado area at the end of June. The impact of that will come only in the fourth quarter of 2024, given the fact that it takes about three months to conclude the pipeline, and so that we could see pulp arriving to different geographies in due time. It will take about 50 to 60 days for that product to arrive in China. And then in the fourth quarter, we will see some possible pressure in terms of supply. But if you look at this year, with two new capacities, all of the shutting down of capacities or, or market shutdowns, and if we see the market being bullish, let's see what's happening in the fourth quarter. We have no visibility in terms of how the market will behave. But this entry in the fourth quarter, this is a period of better seasonality in the year, so this would help mitigate the scenario. Hi, good morning. I'm Guilherme from Bank of America. My question has to do with the standing trees, and this is a more robust investment mode. And, I mean, I was looking at IRR, ROIC. So what will be the ROIC in terms of investing in standing tree vis-à-vis buying trees from third parties? And that investment of yours in Santa Catarina, maybe it would be more advisable to invest in standing trees rather than third-party trees. I mean, you have a premium for domestic kraft in terms of exports. I just want to understand, what leads you to that premium? Is something related to the structural market in the domestic kraft, or maybe we have to increase the price of domestic kraft going forward, and this is a market condition? And if the gap closes, how does it close? Is it because the price is below cost? I just want to get an idea of what is happening. Guilherme, I'm not sure if I understood your question, so if my answer is not clear to you, please help me out here. Conceptually speaking, I will have a highest ROIC if I do not have any allocated capital in IRR. So if postponing the purchase of land and planting, once you have enough wood to supply to your plant at a reasonable cost, this will increase the ROIC of your investment. I mean, assuming you are looking at a project cycle of 15-20 years when you do your feasibility analysis, and this is what we did for Puma II, and you are seeing that now. I mean, we could have invested that $1 billion seven years ago. It would be there, you know, sitting in our P&L with the cost of capital on top of that. So what we did was just an exchange. I mean, the project itself is helping to fund that investment. We are already producing at Puma II. We are selling, generating EBITDA, and this EBITDA is now being used to buy wood. So it makes more economic sense to do what we did. And whenever possible, every time we could do, we can do that, we will do that. I cannot say that we will do that in every project, because if you are involved in a 100% fluff project, meaning a 100% pine tree, and as the pine cycle is different, you would have to make some adaptations to that strategy. Another point is, let's say you go to a region where you have other players, not Klabin. There are... In new frontiers, there is no third-party wood to buy, so you have to buy before that. So if you compare the reality of Klabin Paraná and the products we chose to produce at Puma II, maybe you could simulate in your models, you will always find a higher IRR, higher ROIC, you know, having in mind the strategy we adopted. Now, on your question about kraft and the price in the domestic market, the price in the domestic market is given by analyzing the price of kraft in the international market delivered to the customer. So when we look at the price delivered to the customer, the U.S. price, the European price, our prices are pretty much aligned. There are no major differences. Another important aspect is the import parity. If the domestic importer, we import it, they have to pay 12% import tax. There are port taxes, there are inventory levels and the cost of service. We deliver on a weekly basis if the client wants. If you are importing, you have to buy a big lot, you have to disburse a lot of money, you have to pay ICMS, and you have to pay import taxes, etc. Everything has to be considered when we define the price. The... And the other thing is, when you look at any market from any product, in general, the domestic market prices it better. You export your surplus because you're competing with the rest of the world, so it's very natural for you to see higher competition abroad, and your domestic prices are better vis-à-vis what is happening in the U.S. I just said that they announce prices to the domestic market in January. I mean, whether that will be materialized or not, that's a different story, but they are announcing $70. This leads U.S. prices to be more than $80 per ton. What, what is the international export price? It's around 500. How come their, their price is 800, and you are exporting at 500? I mean, with whom we are competing in, in the international market? And the second important aspect has to do with the prices of OCCs. OCC prices have gone down substantially, so what fell more is the price of recycled paper. Kraft follows pretty much the line of the international market, but now the price of recycled paper was very much benefited by the drop in OCC. So there is a gap that has increased between these two. So it's just a matter of time until the price of this OCC goes back to more acceptable levels, and then we will see the prices, you know, coming down... I mean, kraft prices have to go down, in my opinion. Next question comes from the online person, Wilson: "The impact of the energy crisis in the production, is that an item of attention? What strategies do you intend to pursue in your strategic planning?" It has to be. It has to do with opportunity. That's a major thing. Nobody is cheering for any energy outage, but you should bear in mind that the production process of pulp is. It has a surplus when it comes to thermal energy, and you produce energy for that, for the consumption of the paper machines. But at first, you make a projection bearing in mind long cycles. So the energy price is always a leverage of opportunities for us to grow. So I think we have no more time for Q&A. Oh, we just have one more. Well, thank you. Thank you so much. Good morning. I am an individual shareholder. Can you hear me now? Now we are. Yes, sorry. My name is Véronique. I am French. I am an individual shareholder. In France, there were many fires in forests. How do you deal with that? I know that you're buying more land, so how do you deal with, with forest fires? What is your name again? Véronique. Véronique. Okay, Veronique. I would just like to mention this very quickly, because I think this is something that we have to say. We have 630,000 private shareholders, individual shareholders, as investors, you know, and this really changed our behavior in terms of the way we deal with people online. And we are very proud of our individual shareholders. I thank you very much for coming, and we had the opportunity to talk to some other individual investors. Well, I talked a little bit about some work we did with a very renowned professor in Brazil called Eduardo Assad. I talked a little bit about some climate studies that he did for us, and as part of these studies, we looked at the wind conditions very much. In Europe, in the Mediterranean area, maybe a bit more, but Spain and Portugal, they struggle a lot with temperature increase combined with dry periods and wind. This is a very difficult combination, and this is the same thing that happens in California. We see that in Mato Grosso, they also have to deal with this combination. Now, you give me a good opportunity to mention the work we did with Professor Assad, and I think he is among the five people that are most knowledgeable in terms of what he does in agriculture. So we focus on humidity. We look for wet regions. We are conducting many studies about the wind. This is a reality in Brazil, but we are looking at the wind. We also look at water deficit in the soil and precipitation or rainfall. Several places in the world will struggle with this combination that involves heat, dry regions, and wind all combined at the same time. We try to invest in locations that are not exposed to these conditions, like in other regions of the world, mainly Brazil. Thank you. Okay, now we conclude our Q&A session. Unfortunately, we're not able to answer all the questions that came online. I would like to thank you all for joining us, and Cristiano is now available to receive the award. Good morning, everyone, analysts and other investment professionals, investors. I see a large number of investors, so congrats. On behalf of APIMEC Brasil and the Association of Analysts and other professionals in the capital markets, I would like to thank you for this wonderful Klabin Day and for this long partnership. So you are receiving an award for being with us for 22 years, rendering good services to all analysts and investment professionals. Thank you so much. I would like to call our Chairman of the Board to join us as well. Amanda Klabin. Thank you. Thank you very much.