“So we have a base inflation rate for MSA of at least 3%.”

In context

“mportant tool to engage with consumers who are facing difficult economic times and maybe more price sensitive. So we feel really good about the progress in the smokable segment and the progress going forward with that as well. So that's the smokable segment. As far as the back half of the year, I think I've talked to you about and talked about the individual items that were that will be tailwinds to our EPS growth in the back half of the year. But we don't manage the business quarter-to-quarter. We are managing it for the long term. and we're really pleased with the financial progress. But volumes are down and that will drive controllable costs up on a per pack basis. And part of margin growth is both pricing and effective cost management. There are a couple of items that we've mentioned. So we have a base inflation rate for MSA of at least 3%. And then, I talked about this last quarter and it disproportionately hit the first quarter but industry profits from a leading competitor are lower than expected. So that is driving some of our MSA costs. But again, our folks do a great job of using technology thinking about better ways of continuing to execute our strategy. And then having flexibility where we could manage cost between smokable and then use that infrastructure in our newer products. I think you've seen the strong results in our innovative smoke-free products. Operator: Our next question will come from Matt Smith with Stifel. Matt Smith: I want to tie together a few comments from the prepared remarks. The impact of cross-category movement on the cigarette industry, decline rate is now higher. That's -- you talked about th”