“Now I don't want to give you the false impression that we are not going to have inflation in cocoa in '25 because reality is, in 2024, we are covered at materially better prices than current market.”

In context

“likely, the answer is in September, October as the data for the new crop becomes available. We cannot stay still until then. We will have to protect ourselves. But our implementation strategy for 2025 is around flexibility. And so we are putting in place very flexible structures, namely pure vanilla call options. We bought a few where price of those options was very affordable, I would say, particularly in light of today's prices. But we are putting in place multiple structures that would allow us to participate in a potential market correction. So you're absolutely right. We believe the market is overreacting. The current prices are not sustainable. And should the correction happen, which we expect towards the end of Q3, most likely, we will be ready to take advantage of lower prices. Now I don't want to give you the false impression that we are not going to have inflation in cocoa in '25 because reality is, in 2024, we are covered at materially better prices than current market. So you might want to take a look at the total mark-to-market in the noncash to adjusted GAAP results. Bryan Spillane: Yes. Appreciate that. Yes, we were looking at that. Actually, Pete Galbo pointed out to me just how big the gain was, so definitely, I get that piece. Operator: We'll take our next question from Robert Moskow with TD Cowen. Robert Moskow: I guess one of the more pleasant surprises is that European chocolate retail data looks very, very strong. The elasticity looks de minimis. And I want to know if you think that will help in your negotiations with retailers heading into 2025. Are the retailers happy with how the category is performing, how the consumer is handling the pricing so far? Does that help at all? Dirk Van de Put: Yes. So of course, it does help in the sense t”