“But I think the general assumption is that we will over the next couple of quarters start to annualize both SK-II and the major China market contraction and that will help towards the stabilization of the total.”

In context

“The same is true for Europe. And maybe for perspective, there are some markets in Europe that drag the performance down. France, for example, had a change in terms of legislation on how promotions can be executed in March of last year -- in March of this year, but last fiscal year. And that has significantly impacted our performance in France along with everybody else. So, France is down 11%. Normalizing that will give us on top of the same opportunity I described for the US will lead to a level of acceleration that we expect. On the 15% of the business, again, our base assumption is that we simply annualize most of these effects. We see stabilization across categories. There are quarter-to-quarter effects in China that need to be taken into account with shifts in key consumption periods. But I think the general assumption is that we will over the next couple of quarters start to annualize both SK-II and the major China market contraction and that will help towards the stabilization of the total. The same is true for the Middle East. Most important point I still want to make is we're not just sitting there and waiting for the business to annualize. We're fundamentally improving every aspect of how we operate the business from innovation to go-to-market to media both in the Middle-East and in China. Operator: Our next question will come from Bryan Spillane of Bank of America. Please go ahead. Bryan Spillane: Hey, thanks, operator. Good morning, Andre. Good morning, John. My question is just around the gross margins and the cost of goods sold inflation. And this morning, the inflation came moderated a bit. So I guess two questions. One, was any of that moderation of inflation present in the quarter, so did it affect at all gross margins in this quarter? And then as we're thinking ab”