Greetings. Welcome to Novelis' second quarter fiscal year 2027 earnings call. At this time, all participants are in listen-only mode. A question-and-answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star 0 from your telephone keypad. Please note, this conference is being recorded. At this time, I'll turn the conference over to Megan Cochard, Vice President, Treasury and Investor Relations. Thank you. You may now begin. Thank you, Rob, and good morning or evening, everyone. Welcome to Novelis' second quarter of fiscal year 2027 earnings conference call. Hosting our call today is Steve Fisher, our President and Chief Executive Officer, and Dev Ahuja, our Chief Financial Officer. Following the presentation, the call will be open to analysts and investors for questions. This conference call is being broadcast on the internet at novelis.com in the Investors section. A replay of this call will also be available on our website. Before I turn the call over to Steve, let me remind you that statements made on today's call, including in response to questions, as well as in our earnings release and presentation, that are not historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These include statements about our outlook, expectations, and plans. These statements are based on management's current expectations and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied. Please refer to the cautionary statement on slide two of our presentation and to the risk factors in our annual report on Form 10-K and our subsequent quarterly reports on Form 10-Q. Our statements speak only as of today, including for anyone listening to a replay, and we undertake no obligation to update them except as required by law. Today's discussion also includes certain non-GAAP financial measures. Reconciliations to the most directly comparable GAAP measurements are included in our earnings release and in the appendix to our presentation, both of which are available in the Investors section of novelis.com. Now let me turn the call over to Steve. Thanks, Megan, and good morning or evening, everyone, and thanks for joining us today. We delivered strong results in the second quarter with Adjusted EBITDA up 20% year-over-year, supported by a favorable market environment and the continued impact of our cost efficiency initiatives. These results demonstrate the underlying earnings capability of our business and the progress our teams are making across our operations. Market conditions remain constructive overall. While there are some pockets of macroeconomic-related softness, underlying demand for aluminum products across regions continues to provide a solid foundation for the business, while the metal environment was also favorable during the quarter. Our Oswego plant is back to normal operations following the two fires last year. While production at the hot mill has normalized, we are still working through some residual effects across the broader supply chain. By this, I mean expected temporary lower customer pull as customers work through alternative sources of supply they procured while the hot mill was down. In addition, our Q2 results were affected by production stoppages associated with a union strike at our Yeongju facility in South Korea that began in early September. After hundreds of hours committed to negotiation, an agreement was reached and signed earlier this week with the union. Workers have returned to the plant, and production has resumed. One of the drivers of our strong financial results is the strength of the fire-related insurance recovery. Through the end of the second quarter, we have received $519 million in aggregate cumulative insurance recoveries related to the fires, including $219 million received in Q2. We are also advancing several important strategic priorities. At the end of fiscal 2025, we rolled out a significant cost efficiency program to actively manage our operating footprint and cost structure to streamline operations and improve competitiveness. Over the past 18 months, this program has already delivered more than $240 million in run rate savings, with more to come. We also continue to take actions to mitigate tariff exposure. In September, we announced plans to reduce production in Kingston, Canada, over the coming quarters in an effort to reduce the 232 tariff impact on our business. This will be a minimum six-month process, as we are still leveraging some of that capacity currently for customers as Oswego supply chains normalize. Commissioning at Bay Minette is underway and remains on track. This facility is central to our long-term growth strategy and will significantly expand our ability to serve the capacity-constrained North America market. We achieved an exciting milestone in September with the cold mill producing its first coil at the plant. Our focus is on executing the commissioning process safely and methodically, achieving each milestone with the operating discipline required for a successful ramp-up. Meanwhile, it is important to recognize the strength of our core operations and how firmly our teams remain focused on daily operational excellence and customer service across the company. Novelis was recently recognized at the 2026 Airbus Supplier Conference in France, with the Zhenjiang plant in China receiving Airbus' Quality Champion. Novelis' Zhenjiang plant also recently received or achieved Bronze status in the Aero Excellence Initiative. Supported by major aerospace OEMs, Aero Excellence is a global improvement and certification program that assesses industrial maturity and supply chain performance across the aerospace industry. In addition, three Novelis innovations were recognized at the 2026 ALUMINIUM Innovation Awards, with wins for the Ideal Furnace Program and Advanced Predictive Maintenance Program, as well as a runner-up finish for the 100% recycled end-of-life automotive coil. These projects reflect the many ways our teams were working to improve performance, reduce waste, and keep valuable aluminum in circulation. Taken together, the quarter reflects meaningful progress. We delivered strong financial performance, brought Oswego back to full production, advanced Bay Minette commissioning, and took decisive actions to strengthen the long-term competitiveness of the business. While there's still work ahead, we are encouraged by the momentum we are building and confident in our ability to serve our customers and capture the market growth opportunities in front of us. With that, I'd like to turn the call over to Dev for a more detailed review of our financial results. Thank you, Steve. Let's turn to slide five and our second quarter financial highlights compared to the prior year period. Net sales increased 25% year-over-year to $5.9 billion, primarily driven by higher average aluminum prices, while total rolled product shipments declined 2% year-over-year to 919 kilotonnes. Oswego production is back online, and demand generally remains resilient across regions. On a global basis, higher beverage packaging and aerospace shipments were offset by lower specialties and automotive shipments impacted by pockets of macroeconomic uncertainty. Adjusted EBITDA increased 20% year-over-year to $508 million in the second quarter. I'll cover the drivers of the Adjusted EBITDA improvement on the next slide, but I do want to note that this quarter's results included a $39 million positive impact from fire-related business interruption insurance proceeds. Adjusted EBITDA per ton was up 23% to $553. Excluding the insurance benefit, Adjusted EBITDA per ton would have been $510. Net income attributable to our common shareholder increased 29% year-over-year to $210 million. This increase was due primarily to higher Adjusted EBITDA, fire-related insurance recoveries outside of EBITDA, and lower restructuring costs, partially offset by lower metal price lag tailwinds and higher taxes. Net income attributable to our common shareholder, excluding special items, was $146 million, up 29% year-over-year. Let's turn to the Adjusted EBITDA bridge for Q2 on slide six. We saw a negative contribution of $29 million from lower volume, partially due to the strike in Korea. Price and mix contributed $14 million, as higher pricing both from new contracts as well as inflationary pass-throughs were partially offset by less favorable product mix. Operating costs contributed $86 million in EBITDA improvement. The favorable costs year-over-year were primarily a result of favorable metal results, including both higher scrap consumption and improved scrap and aluminum prices. These were partially offset by higher net negative tariff impact in the current year period and some higher operating costs, such as freight and coatings associated with higher oil prices. While we do have a tariff mitigation strategy in place due to the temporary disruptions to our supply chain as a result of the Oswego fires, we are using a higher level of interregional imports subjected to 232 tariffs. At the same time, aluminum prices have increased, increasing the cost of those tariffs. In the second quarter, the net negative tariff impact was $78 million. As Steve just discussed, as we reduce production and imports from Kingston to the U.S., we expect a majority of this net tariff impact to be mitigated as we move into the next fiscal year. Foreign exchange and others contributed $18 million, including $39 million from Oswego business interruption insurance proceeds. Moving to regional performance on slide seven. North America performance has reached an inflection point, with shipments and Adjusted EBITDA increasing 1% and 9% respectively versus the prior year. With the Oswego hot mill having restarted in early June, the direct impacts from the 2025 Oswego fires in Q2 were limited. However, there are some lagging impacts as supply chains continue to normalize, as some customers work through alternative sources of inventory. Underlying market demand for aluminum beverage packaging and automotive rolled products remains strong. Overall, higher beverage packaging shipments were offset by lower automotive and specialties shipments, driving unfavorable volume and product mix impacts in the quarter. In addition, we continue to manage higher net negative tariff impacts until we can shift more production into the U.S. However, we were able to more than offset these headwinds as we increased scrap consumption in a market with favorable scrap pricing trends and record business interruption insurance recoveries. In Q2, these insurance recoveries represented a $39 million benefit. In Europe, shipments decreased by 2% year-over-year, driven by lower beverage packaging and specialties shipments, partially offset by higher automotive shipments than the prior year, which was impacted by customer disruptions. Meanwhile, Adjusted EBITDA increased 25%. Results were supported primarily by favorable product mix and metal benefit, partially offset by unfavorable foreign exchange translation. On slide eight, Asia shipments decreased 7% year-over-year, primarily driven by a union workforce strike at our Yeongju, South Korea plant, negatively impacting production and beverage packaging shipments in September. In addition, we continue to see softness in the Chinese aluminum automotive market, resulting in lower shipments of automotive products. Despite an estimated $20 million negative impact from the strike, Adjusted EBITDA increased 2%, due mainly to favorable metal benefit and favorable foreign exchange. In South America, shipments were flat year-over-year, as slightly higher beverage packaging shipments offset a similar decline in specialties shipments. Adjusted EBITDA increased 48%, primarily driven by favorable metal benefit and favorable product mix. Turning to slide nine, we remain on track to meet efficiency targets from our structural cost reduction initiative, which continues to deliver strong results. Through the second quarter, we achieved more than $240 million of run rate savings. We remain on track for approximately $300 million of run rate savings by the end of FY 2027, and are moving towards our ultimate target of $350 million-$400 million in total savings by the end of fiscal 2028. The most significant portion of the savings to date have come from SG&A efficiencies, a leaner organizational structure, and technology-enabled process streamlining, driving labor productivity and faster decision-making. We will continue to work to enhance those benefits while making continued improvements in operational efficiency. Our South America business offers examples of how we are embedding efficiency into everyday operations. Closer collaboration with customers is improving inventory visibility and reducing manual work. At our Pinda plant, teams are strengthening daily management practices and using data to improve problem-solving across the plant, supporting more consistent, reliable performance. Both illustrate the operational discipline that helps sustain efficiency improvements over time. Together, our cost reduction and operational improvement efforts are building a simpler, more efficient operating model and delivering lasting benefits to our cost structure. Now, let's turn to adjusted free cash flow and net leverage on slide 10. Year-to-date adjusted free cash flow was an outflow of $1.8 billion in FY 2027, compared with an outflow of roughly $500 million in the prior year period. The year-over-year change was driven primarily by higher planned capital expenditures associated with Bay Minette, as well as higher working capital and other uses driven by higher metal prices and the timing of Oswego fire impacts. These factors were partially offset by stronger Adjusted EBITDA and favorable metal price lag. But as previously guided, adjusted free cash flow has improved sequentially, and we believe most of the negative fire-related impacts are behind us. Insurance recoveries are coming in, and while supply chains are still normalizing, working capital pressures have lessened. As such, we continue to expect to return to a positive free cash flow position in the fourth quarter of this fiscal year. This includes FY 2027 capital spending to be at the top end of our previously guided range of $2.1 billion-$2.4 billion as we get closer to start of production at Bay Minette. Liquidity remained solid at $2 billion, and net leverage was 4.7 times. We believe net leverage is at or near its peak, and we continue to expect net leverage will begin to step down beginning in Q4 this fiscal year. As announced on our last earnings call, to provide additional flexibility as we near the final quarters of our peak investment phase, in July, we entered into a $500 million two-year term loan. With Bay Minette near completion, insurance recoveries progressing faster than expected, and underlying business resilience, we believe we are near the inflection point as it relates to cash flow and net leverage, and see a clear path to improved metrics as we exit this fiscal year. I'd now like to hand the call back to Steve for a market and business outlook. Thanks, Dev. Turning to slide 12, demand across our end markets remains broadly stable and in line with our expectations. In beverage packaging, our largest end market, we continue to expect long-term growth of approximately 4% annually. Near-term global beverage packaging demand remains strong across regions, driven by growth from energy drinks, carbonated soft drinks, and specialty aluminum cans. Beer consumption trends remain a bit soft, particularly in South America, due to a weaker consumer and unseasonably poor weather. However, this is being offset by aluminum packaging share gains. In automotive, long-term demand is supported by lightweighting and performance-driven innovation. Near-term demand in North America remains positive, driven by continued strength in sales of larger truck and SUV platforms, which use a higher percentage of aluminum content, as well as now easing North American capacity constraints with Oswego hot mill back in production. However, the European market remains sluggish, reflecting weak economic conditions, while Asia aluminum demand has declined due to automotive market share gains by Chinese EV manufacturers. In aerospace, the long-term outlook remains positive, supported by multi-year OEM order backlogs and ongoing demand for new aircraft. Near-term demand has also improved as aerospace supply chain constraints have eased. In specialties, long-term growth is expected to track GDP plus rates, supported by lightweighting, sustainability trends, and an undersupplied U.S. housing market. Near-term building and construction demand is subdued amid high interest rates, while other segments such as food, coffee capsules, batteries, and cables have strengthened. Overall market demand remains resilient and broadly stable, and we remain well-positioned across a diversified end market portfolio. Turning to slide 13, our new plant in Bay Minette is a critical step in addressing the capacity-constrained U.S. market, and activity to bring the plant online is progressing very well. As one of the most advanced aluminum rolling and recycling facilities in the world, Bay Minette will provide the flexibility, scale, and sustainability benefits to capitalize on long-term growth trends in beverage packaging, automotive, and other high-value end markets. We continue to achieve exciting milestones as we transition from construction phase of the project to production. With commissioning at key assets well underway, we are excited to share that we produced our first cold mill coil in September 2026. We will be bringing additional production capabilities online over the coming weeks, ultimately leading to commercial shipments beginning in the first quarter of next fiscal year. We are building Bay Minette to serve the next generation of aluminum demand. This is a transformational investment that reflects our deep commitment to innovation, decarbonization, and long-term partnership with customers, while strengthening our supply chain and creating a platform for growth for decades to come. Now, in summary, we delivered strong results in the second quarter and continue to make good progress against our key priorities. Our cost efficiency initiatives are delivering results, Oswego is back to normal production, and we are making tremendous progress commissioning Bay Minette as we prepare for commercial shipments next fiscal year. We still have work ahead of us, but we are confident in the direction of the business. As Bay Minette advances and our capital requirements begin to moderate, we remain focused on execution, serving our customers, and positioning Novelis for stronger cash flow, lower leverage, and long-term growth. With that, we are happy to take your questions and turn it back over to the operator. Thank you. We will now be conducting a question-and-answer session. We ask that you please limit yourself to one question and one follow-up to allow as many as possible to ask questions. If you would like to ask a question at this time, please press star one on your telephone keypad, and a confirmation tone will indicate your line is in the question queue. You may press star two if you would like to remove your question from the queue. For participants who are using speaker equipment, it may be necessary to pick up your handset before pressing the star keys. One moment, please, for our first question. Thank you. And the first question comes from the line of Amit Murarka with Axis Capital. Please proceed with your questions. Yeah. Hi. Thanks for the opportunity. On North America, like in the presentation, the Adjusted EBITDA mentioned as $146 million for Q2 FY 2027. So that includes the $39 million of business interruption recovery. Is that correct? That is absolutely right. If I just remove that, then the Adjusted EBITDA seems to have dropped 20% YoY. Could you just throw some more light on that? Is it because of weaker scrap spreads or something? Yeah. The decrease in the Adjusted EBITDA YoY is still related to some of the lingering impacts of the Oswego fire last year that was not there. We have tariffs. The impact of the tariffs in this quarter is significantly higher as compared to the same time last year. As we said, the tariff impact is $78 million, and that is transitory as we look to reducing dependence on importation into the U.S., and use more of onshore capacity. I would say that once we are able to mitigate the tariffs with more onshore production, and also as we continue to normalize our supply chains, which in some ways is really still suppressing the shipments and the demand potential, North America Adjusted EBITDA should keep coming back on track. Got it. Could you also kind of talk a bit about how the scrap are moving? Because at least what we see based on the numbers on the screen, they seem to have dropped a lot in the last few quarters. Drop? Sorry. Can you I mean, when you say dropped in the last few quarters, you are talking about North America? I mean, the scrap prices seem to have moved up, whereas as, you know, LME has corrected. So in that sense, the spread has seemed to be lower now versus what it was back in May, June. Yeah. I mean, I would say spreads are really still very good. We continue to see the scrap market being very positive. We will see some correction, not in this quarter, but we will It is not visible in this quarter, Q2, but as we move forward and as we start buying more scrap with Oswego coming to full normalization, we will see some pressure on the spreads. But otherwise, spread conditions are still pretty good. There was a drop in LME between last quarter and this quarter. That has a little bit of an impact, but overall, we are still in very positive conditions when it comes to spreads and scrap. Understood. Last question, if I may. So when you say in Q4 you will see a positive FCF, like how much of that is premised on working capital release? I would say about $300 million should come out of working capital as we reduce inventories. The rest is that we have a seasonality of cash flows. Fourth quarter is always our highest quarter. A couple of things will happen. So number one, there is seasonality. If you see our historical trends, fourth quarter is always our big cash flow quarter. We expect about $300 million release coming from working capital. We expect to have continued insurance recoveries, and we expect to really taper down on Bay Minette spend, as Bay Minette is getting commissioned by the fourth quarter of this fiscal, the spend will taper down. There are a lot of positive triggers which will result in a positive free cash flow in the fourth quarter, a very significantly positive free cash flow. Also from a net leverage perspective, as I said earlier, we are at 4.7 now. By the end of the fiscal, you should see a pretty rapid and meaningful decline to somewhere around four. So that's what you should be looking for. Thank you. Our next question is from the line of Satyadeep Jain with Ambit Capital. Please proceed with your questions. Hi. Thank you. First question on the South Korean strike. Just wanted to understand, this facility seems to be different from Ulsan. So maybe can you talk about what exactly this facility is, and would there be separate unions for this and Ulsan, and there is no impact on Ulsan? What is the impact on earnings that we can look at for 3Q? Just wanted to understand the South Korea thing. Yeah. Yeongju is a fully beverage packaging facility. It is a facility that is shipping and supporting the North America marketplace as well as, you know, Asian market. It is a different union from the Ulsan plant. The Ulsan plant did not have a strike. It was only at Yeongju. As I said in the prepared remarks, the strike had begun in early September, and we have settled it this week. We are back up in production. I will turn it over to Dev just to talk about the impact both in Q2 and what you should expect in Q3. The Q2 impact was $20 million, as we said in our prepared script. In Q3, we should directionally see a similar impact because you can take it that we lost about a month of production in Yeongju, the entire month of October. Similar was the case in the previous quarter. We lost a full month of September practically. You can expect a similar impact in Q3. Okay. On the tariffs impact, you mentioned the tariffs impact increased Q1, Q, even though aluminum prices came up. I just wanted to understand, does that mean you are importing more to Even though Oswego is coming back up, why is tariff impact increasing? Then let us say when you have Bay Minette come up. Hypothetically, if tariffs go away by then, would that have a negative or a positive impact? Let us say if tariffs go away next year by the time Bay Minette comes. I am just trying to understand why did tariffs impact increase Q1 to Q, and then what happens if tariffs go away next year? Yeah. One thing you should understand is Kingston is a cold mill and auto finishing plant, right? It was being fed by the hot mill at Oswego before the fire. When the hot mill went down in Oswego, we could not feed Kingston. That is why you do not see Kingston, us having any tariff impact in the previous few quarters. Now when Oswego is back up and running, in order to help our customers catch back up, Kingston supplies a lot of auto, we have run that route for customers as we get the supply chains more normalized and then reroute it back into the U.S. As we have done that, we will continue to do that and continue to decrease that amount as we qualify different routes in the U.S. over the next couple of quarters. That's why we're saying that will taper down to minimal zero after we get through the fourth quarter and into next year. Then we'll be self-sufficient in the U.S., and the Kingston facility will then be used for Canada to Canada to Mexico, but not for importing into the U.S. going forward. Certainly, yes, when Bay Minette comes up, we have even a more significant presence in the U.S., which helps with avoidance of imported tariffs. In that case, what I can understand is you have reduced dependence on outside North America for finished products. By the time if tariffs come down, that would lead to reduced premiums, and then you would have a negative tariff impact, or tariff going away would mean negative impact for you, right? In FY 2028. Yeah. So for FY 2028, and tapering down has nothing to do with reduction in the tariff rate coming down yet. If the tariff rate comes down from, say, 50% to 25%, that immediately will reduce tariffs. But what we're talking about is reduction of imported product from Kingston into the U.S., tapering down over the next couple quarters so that in FY 2028, we've reduced the tariff exposure. That I understood. I'll take it offline maybe. Just one quick question on the Bay Minette. Just wanted to understand how does I think in the previous call you'd mentioned that auto qualification will take some time, so in the meantime, this Bay Minette will maybe cater to beverage packaging. Novelis as a whole already has customer approvals, but any new facility would also require approvals for both can sheet and auto. How long is that? Because one of the competitors has taken a long time for approvals. Does it mean that you would also take similar long time to get customer approvals for a new line, and then for majority of FY 2028, should we look at beverage can, only an auto comes up maybe in FY 2029? Is that fair to assume? Yeah. As we previously stated, as we bring Bay Minette up and commission it, we will focus first on can body stock. After we have got can body stock and the plant stabilized and we are selling commercial coils, of course, we will then begin to focus on other products, including auto. But can body stock will be our first product that we will be producing at Bay Minette. As we said, we believe we will be selling coils. So we are commissioning right now, and we are commissioning through the end of this fiscal year, and we are confident that we will be selling commercial coils in the first quarter of next year. I think the difference between Novelis and the other competitor that you are referencing in the U.S. is we are in the aluminum industry. We are the largest. We have the scale, we have the skill sets, we have similar assets already that we can use our technical experts, our operators across the world to bring these assets up and qualify them in a more efficient manner than many other companies could. So both of you have a new facility, but because of your expertise in aluminum, you can get customer approval for auto faster than somebody who is new. Is that a fair statement? That is a fair statement. Okay. Thank you so much. The next question is from the line of Pinakin Parekh with HSBC. Please proceed with your question. Yeah. Thank you very much. The first question is, if you look at the Adjusted EBITDA reconciliation, there is roughly a $23 million startup cost related to Bay Minette in 2Q. It was $21 million in 1Q. How should we look at this number over the next few quarters as you scale up Bay Minette? Will this go down materially? Will this reduce going forward? Yeah. Pinakin, here is how you should think about it. The startup cost that you see right now is related to operational readiness for Bay Minette. This is a team that is not the projects team, but the team that is going to run the plant. They are basically the people who are getting trained. They are the people who are doing the equipment oversight, testing, and making sure that, in short, when the construction is over, everything is well set to get the production started quickly, including starting qualifications. This is related to that cost. Now, as we start supplying commercial coils from next fiscal year onwards, what you will see is the startup cost relating to things like unabsorbed fixed costs as we ramp up. It is, in short, the ramp-up cost, and that is as per U.S. GAAP. I mean, there is an accepted GAAP principle which we follow about taking costs which are related to ramp-up below Adjusted EBITDA. In short, that is what you will see. At this point, I would be a bit cautious about quantifying it because ramp-up curve is not like a straight smooth line, and ramp-up happens rather a bit sort of not in an even pattern. If you ask me for guidance right now, if you ask me for direction, I would say you should think about seeing something like up to $200 million of startup cost at least in the year one. But I would put a caution around it. As we see how the ramp-up is happening, we will be able to give finer guidance. This is what I can tell you for now. Got it. My second question is, you have $519 million of insurance payout received until now. Yeah. How much of this event do you have visibility on? Yeah, we have good visibility on this, Pinakin. Fair visibility, I would say. What you should expect is that versus the $519 million that we have received as at this point in time, by the end of this fiscal, we should be somewhere around already $900 million. The total receivable that we expect is $1.3 billion. What we think is that about a $900 million cumulative recovery will happen by the end of this fiscal, and we should expect another $400 million to flow into the next fiscal. This is, I would say, tremendous speed. This is like a very, very positive trajectory of recoveries. Perfect. Just one last question. Working capital, the drag reduced substantially Q1 by $600 million. How do you see You have mentioned Q4 being a release, but Q3 should we see an improvement? Will this entire 1x- Pinakin, your voice, Pinakin, we can hear every kind of second word. It is not coming very clearly. Does that help? It is not very good. I mean, if your question was about Because I heard parts of your question, and I think you were asking about the working capital release in the fourth quarter. Is that what you are talking about? Yes. Yes. Will the working capital Specifically, what were you trying to ask? drag we have seen in the first half get reversed? Yeah. Yeah. I think I understood the question, but really, what we are saying is that right now, as we are normalizing our supply chains, and some of our customers are normalizing the supply chain, and as we had a strike in Yeongju, which means that our inventories were a bit stranded, we expect that in the next two quarters, the December and the March quarter, we will see some positive correction on inventory, and we expect to therefore get a release of cash from inventory of the order of about $300 million or thereabouts, primarily driven by the factors that I just mentioned, correcting themselves to the right place. That is going to be a meaningful positive trigger on our fourth quarter free cash flows, which are anyway seasonally going to be pretty good. If I got your question right, I hope I have addressed it. Thank you. Our next question is from the line of Sumangal Nevatia with Kotak Securities. Sir, you have three questions. Yeah. Hi, good morning. Thanks for the chance. I got disconnected two times, so please pardon me if it's a repeat. The first one on Bay Minette. What is the latest mix of contracted and open volumes? I just want to know what is the plan for the open volumes. Given now we are very close to commercial volume, is it possible to share what sort of commercial volumes to expect in the first year, which is FY 2028? Yeah. Thanks for the question. Bay Minette is going to add domestic capacity for a very capacity-constrained North America system. As we've been talking about before, we have already signed the North American beverage contracts for the portion that we need off of Bay Minette through the end of the decade. That's all contracted and continues to, as we said, in the growth of beverage packaging in the North America marketplace and across the world has been very, very strong. We continue to see a priority to actually, if anything, move up in the beverage packaging overall percentage of volume in the North America space. We continue to contract into the auto space as well. This, again, we feel very comfortable that as we bring Bay Minette up over the next 18 to 24 months, and we need the capacity in the auto space that contracts, that we'll have the full contracts. Also, we certainly will be looking at other high-value-end products too that we see in the North American marketplace. All in all, we feel very good about the overall ability to sell everything we can produce off of Bay Minette. As it relates to getting into first-year volumes, we're commissioning it right now. Give us a little bit more time. I think as we get into late this fiscal year, we can give you a little bit more guidance associated with exactly what kind of volumes. But again, I will tell you that what our overall guidance is that we will be able to ramp up to full capacity within approximately two years. Thank you. The next question is from the line of Vikash Singh with ICICI Securities. Please go ahead with your questions. Thank you for the opportunity. Yes, go ahead. Oh, we've lost their line. Moving on, we have the next question from the line of Parthiv Jhonsa with Anand Rathi. Please proceed with your questions. Hi, sir. Thank you for the opportunity. My first question is pertaining to your leverage ratio. I believe you mentioned in the opening remark that you have somewhere reached the peak. Just wanted to get a clear understanding on when can we go back to that, say, 2.9 or 3x level from the current 4.7 level? Yeah, I think that the first milestone will be a very quick one. By the end of this fiscal, we expect that we will already be hovering around four. After that, really, I have said this a few times on my earlier calls, but the way to think about it is that we generate an operating cash flow of $1.1 billion, and out of that, if you take some maintenance CapEx, which is $350 million, and you take $250 million of other essential CapEx, we'll be left with about $500 million of free cash flow. And you should think about $500 million as creating an impact of about 0.25 on our net leverage. So, it will be a steady and a gradual decline, towards the levels that we are talking about, a very steady decline. On top of that, we will also be helped by the fact that there are some more insurance recoveries coming next year of the order of about $400 million. So think about a 0.25 coming from the free cash flow that I mentioned, plus the insurance recoveries coming on top of that. That would be another 0.2, if we do some math on that. So, I would say that there is a good opportunity to bring the leverage down by another about 50 basis points in the next year. So, somewhere around 3.5. And I'd leave it at that because, by implication, in the following year, we should get to those levels that you were talking about. That is actually quite helpful, sir. Sir, my second question is pertaining, I believe you have some participant actually asked before, but just wanted to just hop onto that particular part. One of your peer in North America is actually facing a tough time and actually having a slower-than-expected ramp-up, maybe due to production bottlenecks and quite a few other reasons, right? Even the operating losses, they have been consistently making losses over the last couple of quarters. My question is it that the market is not supportive or because we also have a 600 KT facility coming in, and after that, we are also having a phase 2, which is planned, right? Is it that the market is not supportive, and what is the overall scenario? Yeah. It is not market-driven at all. The market is very supportive. We see strong demand, especially, as I said before, in beverage packaging, but in other markets as well. We will, with our customer relationships, our technical expertise, our operating expertise associated with these assets that we have similar assets around the world, we can bring to bear a different level of skill set to commission these assets and get them qualified with the customers, we believe, in a very efficient manner in the industry. As we have said, we feel very comfortable that we will be selling commercial coils in the first quarter of FY 2028. So, apart from the startup costs which were extreme and you explained in the initial one, there are no further startup costs or any overhang which will basically dent the profitability at the end of the day? No, we are still very comfortable with the $1,000 per ton profitability. Obviously, the startup cost is just, as Dev said, it is just about absorption of fixed cost as we ramp it up. As you think about it on a long-term basis, we are still very comfortable with $1,000 per ton kind of Adjusted EBITDA off of the Bay Minette assets. Okay. Thank you so much. Thank you. I will just join back in the queue. The next question is from the line of Ashish Jain with Macquarie. Please proceed with your question. Hi, sir. Good evening, sir. Firstly, just wanted to reconfirm the tariff number. So, in December last year, the tariff impact was roughly $34 million, which has now gone up to $70 million, $78 million. This is all linked to the Oswego fire and the fact that we were not supplying from Oswego to Kingston. Is that right, Vijay? Yeah. So, your question is basically around why has the tariff impact spiked up compared to what you saw in quarter three last year. The answer is basically, as Steve Fisher explained earlier, that our customers who got stranded for material during the Oswego fire, we are now kind of trying to keep them as whole as we can, and therefore, we are using the Canadian cold mill to the max possible extent that we can to keep our customers supplied. That is causing us to produce higher volumes than we would normally do at Kingston. As we are now nearing Oswego, or rather, we are fully normalized in Oswego, and as we make our customers whole, we think that we will have the opportunity to onshore more production into the U.S. and reduce our dependence for importation from Kingston into the U.S., and instead use Kingston basically for the Canadian and Mexican market, which will help us to bring the tariff burden down. In short, the tariff burden right now is because of the fact that we need to keep our customers fully supplied to the max possible extent. Dev, shall we expect this to come down to near zero in Q4, or that's a very aggressive assumption? Not exactly in Q4, but directionally, Q4 will be a lot less as compared to what we have now. In fact, Q3 also, we will be reducing production in Kingston. In Q4, the numbers should become a very, very light number as compared to what it is now. As we commission Bay Minette and there's more onshoring of capacity, very naturally, the tariff burden will really come down to near zero. Near zero is what we would like to see. Got it. Just one clarification on that. This tariff impact is not a pass-through to customers, I guess, right? No. The part that is hitting our P&L is the part that we are not able to contractually pass through. Got it. Thank you so much. Thanks a lot. Welcome. Thank you. The next question is from the line of Ritesh Shah with Investec India. Please proceed with your questions. Yeah. Hi. Thanks for the opportunity. I have two questions. One is, I wanted to understand the hedging strategy, specifically with respect to local market premium. In the annual report, we see around 11% of the volumes were hedged. This is specifically towards local market premium. Just wanted to understand, what is the underlying strategy over here? And specifically, given we have been beneficiary of the metal price lag over past several quarters, do we see this continuing in the forthcoming quarters as well? Yeah. We will not see the same extent of metal price lag benefits because the prices are now relatively at a stable level. Quarter on quarter, you should not expect too much metal price lag between this quarter and next quarter. It will kind of moderate down. Here's the thing. You should not mix the hedging strategy on the local market premium with metal price lag. The hedging strategy that we have on local market premium is more related to hedging our scrap spreads, because what we try to do is that at levels like this, on Midwest Premium or on EDP, these are the two markets where there is some hedging opportunity. It is not like LME, where we have a complete unlimited hedging possibility. In premiums, it's an opportunistic hedging market, where we basically work with specific counterparties who are willing to hedge. We basically hedge local market premiums by selling forward and thereby protecting our scrap spreads. You should not mix the metal price lag with this. As far as metal price lag is concerned, that is because we carry a premiums exposure, and you should think about metal price lag as something that over three years typically sort of evens out. The years in which premiums spike, we have a positive. When correction happens, we have a negative. Typically, if you see our cycles, in a two to three-year cycle, we have positives and negatives, and we kind of get even. That's the way to think about it. Right. Just a follow-up. When we say that there will be some moderation in metal price gains into second half, I would presume this is after factoring the hedges or the forward instruments that we already have in place? Yes. Hello? Yes, that's correct. I mean, this is net-net after taking into account any hedges that we have. So you're right. Sure. My second question is, how are you looking at the pension liability? It has increased on a year-on-year basis. It is almost like 5,300 crore. Not that big, but sizable enough. From an asset allocation standpoint also, what we see is the equity component has actually moved up very sharply. If one had to mark to market on, say, quarter end basis, is it very possible for you to give some context around it or qualitatively how you see this underfunded status going forward? Thank you. Well, let me try to simplify this. Every year, our normal cash outgo on pensions is of the order of about $100 million, $90 million-$110 million. That is the actual cash outgo. We do not see any change in that. Yes, I mean, depending upon investments and markets, there is a mark-to-market impact. Assets and liabilities get adjusted towards that. I would not make it more complicated than this. From a guidance perspective, you can take it that every year, our actual cash outgo for pension is of the order of about $100 million and thereabouts, and that is not going to change materially. Sure. This is helpful. Thank you so much. All the very best. Thank you. Thanks. Thank you. At this time, we have reached the end of our question-answer session. I will hand the call back to Steve for closing remarks. Thank you. Before we close the call, I have an important update to share. After more than 10 years as CFO of Novelis, Dev has decided to leave the company in mid-January for an external opportunity. We are conducting a thorough search and will name a successor in due course. For more than a decade, Dev has strengthened our financial foundation and played a central role in funding our strategic growth agenda. Thank you, Dev, for your leadership and contributions. Wish you every success in the next chapter of your career. Thank you so much, Steve, and thank you to the board, my Novelis colleagues around the world, our partners and lenders for their support over the years. Novelis’ financial strategy, capital allocation priorities, and balance sheet are in a great place, and I am completely committed to a seamless handover. It has been my great privilege and honor to serve as Novelis CFO, and I leave with tremendous confidence that Novelis is well-positioned for the future. I thank all of you for all the confidence that you have reposed in Novelis and Hindalco over all these years. Thank you, Dev. Again, thanks to everyone for attending our call today. Market conditions are favorable. We believe we are nearing an inflection point in net leverage, and we are excited to achieve significant milestones in the transition toward commercial production at Bay Minette in just a few months. Thank you for your support, and we look forward to providing another update next quarter. Ladies and gentlemen, thank you for your participation. This does conclude today’s teleconference. You may disconnect your lines at this time, and have a wonderful day.