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The Vital Role of Regulatory Compliance: A Guide for Convenience Store Managers
Howdy folks. Mike Hernandez here. Welcome to the Vital Role of Regulatory Compliance! As a Convenience Store Manager, you are the cornerstone of your store's operations. You oversee daily activities, manage a team, and ensure customers have a seamless shopping experience. However, one aspect of your role should always remain at the forefront of your mind – regulatory compliance.
Understanding the Legal Framework: Laws and Regulations
Before delving into why regulatory compliance is crucial, let's establish a foundational understanding of the legal framework. Convenience stores, like any other business, are subject to numerous laws and regulations at the federal, state, and local levels. These laws cover a wide range of areas, including:
1. Health and Safety: Regulations related to food safety, employee health, and workplace safety. For example, the Food Safety Modernization Act (FSMA) mandates food safety protocols, and OSHA standards ensure employee safety.
The Paramount Importance of Compliance with Health and Safety Laws for Convenience Store Managers
As a Convenience Store Manager, your commitment to abide by health and safety laws and regulations is not just a box to check – it's a cornerstone of responsible and ethical business management. Convenience store companies place immense importance on this commitment for several compelling reasons. Here, we explore why, backed by an example illustrating the consequences that can unfold if these laws are violated.
1. Ensuring the Well-being of All Parties Involved
Why it's Important: The primary purpose of health and safety laws is to protect people. This includes your customers, employees, suppliers, and anyone interacting with your store. Compliance is, first and foremost, about safeguarding their well-being.
Consequences of Violation:
Injuries and Illnesses: Failure to adhere to safety regulations can result in accidents and health issues. For instance, improper food handling can lead to foodborne illnesses among customers.
Legal and Financial Implications: Violations can trigger legal consequences, including fines and potential lawsuits. Additionally, the store may face increased insurance costs following accidents or incidents.
Example: Food Contamination Incident
Consider a scenario where food items in your store are not stored at the correct temperatures, leading to contamination.
As a result:
Several customers who consumed the contaminated food fell ill and required medical attention.
Health authorities investigated the incident and discovered violations of food safety regulations.
The store is not only liable for the medical expenses of affected customers but also faces hefty fines imposed by health authorities.
2. Legal Obligations and Reputation Protection
Why it's Important: Health and safety laws are legally binding. Non-compliance can result in severe legal and financial repercussions, tarnishing the store's reputation.
Consequences of Violation:
Fines and Legal Fees: Regulatory bodies can impose significant penalties for violations. For instance, if the store doesn't maintain proper fire safety measures, it may face fines from the fire department.
Damage to Reputation: Violations can lead to negative media coverage and public backlash, eroding customer trust and tarnishing the store's reputation.
Example: Fire Safety Neglect
Suppose the store needs to pay more attention to routine fire safety inspections and provide adequate fire exits. A fire breaks out, leading to these consequences:
The fire department issues substantial fines for fire code violations.
Media coverage highlights the store's negligence, damaging its reputation and deterring customers.
Adherence to health and safety laws and regulations is not just a legal requirement; it's a moral and ethical obligation. Convenience store companies emphasize compliance significantly because it's the foundation of responsible business operations. The consequences of violating health and safety laws can extend beyond financial penalties – they can harm people, tarnish reputations, and jeopardize the store's future. As a Convenience Store Manager, your role in ensuring compliance is pivotal to protecting lives, upholding the law, and maintaining the store's integrity.
1. Tobacco and Alcohol: Laws governing the sale of tobacco and alcohol products, such as the minimum legal age for purchase and restrictions on sales hours.
The Crucial Role of Compliance with Tobacco and Alcohol Laws for Convenience Store Managers
For convenience store companies, strict adherence to the legal framework governing the sale of tobacco and alcohol products is not just a legal requirement; it's a cornerstone of responsible business operations. The sale of tobacco and alcohol comes with a set of regulations that are vital to understand and implement correctly. Let's delve into why this commitment to compliance is essential, illustrated by an example of the consequences that can result from violations.
1. Protecting Public Health and Safety
Why it's Important: The regulations surrounding tobacco and alcohol sales are primarily designed to protect public health and safety. Compliance is crucial for preventing underage access to these products and promoting responsible consumption.
Consequences of Violation:
Underage Sales: Selling tobacco or alcohol products to minors can lead to severe legal consequences, including fines and suspending or revoking your store's license.
Irresponsible Consumption: Failure to adhere to restrictions on sales hours or quantity limits can contribute to irresponsible alcohol consumption, potentially leading to accidents and health issues.
Example: Sale to a Minor
Suppose an employee at your store mistakenly sells a pack of cigarettes to an underage customer who presents a fake ID. The repercussions might include:
Legal penalties, such as fines imposed by the local authorities.
The store's tobacco sales license may be temporarily suspended, impacting revenue.
Damage to the store's reputation can deter responsible customers.
2. Legal Obligations and Reputation Protection
Why it's Important: The legal framework governing tobacco and alcohol sales is binding. Non-compliance can result in severe legal and financial repercussions and harm to the store's reputation.
Consequences of Violation:
Fines and Legal Fees: Regulatory bodies can impose substantial penalties for violations. For instance, selling alcohol outside of permitted hours can lead to fines.
Damage to Reputation: Violations can lead to negative media coverage and public backlash, eroding customer trust and tarnishing the store's reputation.
Example: After-Hours Alcohol Sale
Imagine your store sells alcohol after the legally permitted hours. Consequences may include:
The store faces fines and legal penalties from alcohol control boards. The store may also lose its license to sell alcohol.
Negative publicity and customer distrust impact future sales and the store's reputation.
Compliance with tobacco and alcohol laws is non-negotiable for convenience store companies. These regulations exist to protect public health and ensure responsible sales and consumption. The consequences of violating tobacco and alcohol laws can be severe, encompassing legal penalties, damage to the store's reputation, and financial losses. As a Convenience Store Manager, your commitment to adherence is pivotal to protecting public health, upholding the law, and safeguarding your store's reputation and financial stability.
1. Environmental: Requirements related to waste disposal, energy efficiency, and sustainability.
The Vital Emphasis on Compliance with Environmental Regulations for Convenience Store Managers
Compliance with environmental regulations encompassing waste disposal, energy efficiency, and sustainability is critical to managing a convenience store. Convenience store companies prioritize adherence to these laws for several compelling reasons. Here, we explore why this commitment to compliance is crucial, accompanied by an example of the consequences that can result from violations.
1. Environmental Stewardship and Responsibility
Why it's Important: Convenience store companies recognize their role as responsible stewards of the environment. Compliance with environmental regulations is vital to minimize the ecological footprint of their operations.
Consequences of Violation:
Environmental Damage: Non-compliance can result in environmental harm, such as soil or water contamination from improper waste disposal practices.
Fines and Legal Consequences: Violations of environmental regulations can lead to substantial fines and legal actions, with associated legal fees.
Example: Improper Hazardous Waste Disposal
Suppose your store fails to properly dispose of hazardous waste, such as used motor oil, by pouring it down the drain. The potential consequences might include:
Contamination of local water sources leads to ecological damage.
Environmental agencies impose substantial fines.
The need to engage in costly cleanup and remediation efforts.
2. Legal Obligations and Reputation Protection
Why it's Important: Environmental laws and regulations have legal backing. Non-compliance can result in serious legal and financial repercussions and harm to the store's reputation.
Consequences of Violation:
Fines and Penalties: Regulatory bodies can impose significant fines for environmental violations. For example, improper disposal of recyclables may result in fines.
Reputation Damage: Violations can lead to negative media coverage and public backlash, damaging the store's reputation and deterring customers.
Example: Failure to Recycle
Suppose your store has no recycling program and disposes of recyclable materials in the regular trash. Consequences may include:
Fines imposed by local environmental agencies.
Negative publicity highlighting the store's environmental negligence.
Decreased customer loyalty from environmentally conscious patrons.
Compliance with environmental regulations is not just a legal requirement; it's a moral and ethical obligation. Convenience store companies prioritize adherence because it aligns with responsible business operations and environmental stewardship. The consequences of violating environmental regulations can profoundly affect the environment and the store's bottom line. As a Convenience Store Manager, your role in ensuring compliance is pivotal to upholding environmental responsibility, adhering to the law, and protecting the store's reputation and financial stability.
1. Labor: Employment laws covering wage and hour regulations, anti-discrimination, and more.
The Paramount Significance of Labor Law Compliance for Convenience Store Managers
Compliance with labor laws, encompassing wage and hour regulations, anti-discrimination measures, and more, is integral to running a convenience store. Convenience store companies emphasize their managers' commitment to following these laws for several compelling reasons. Here, we delve into why this commitment to compliance is crucial, backed by an example of the consequences that can result from violations.
1. Protecting Employee Rights and Well-being
Why it's Important: Labor laws are designed to safeguard the rights and well-being of employees. Compliance is a moral and legal obligation to ensure fair and just treatment.
Consequences of Violation:
Wage Disputes: Failure to comply with wage and hour regulations can lead to disputes over unpaid wages or overtime.
Discrimination Claims: Violations of anti-discrimination laws can result in employees filing legal claims for damages and compensation.
Example: Overtime Wage Violation
Imagine an employee regularly working overtime but is not paid the legally mandated overtime rate. The consequences might include:
The employee filed a complaint with the labor department to recover unpaid overtime.
The store is facing legal action, including fines and potential legal fees.
2. Legal Obligations and Reputation Protection
Why it's Important: Labor laws have legal backing. Non-compliance can result in serious legal and financial repercussions and damage to the store's reputation.
Consequences of Violation:
Legal Penalties: Regulatory bodies can impose fines and penalties for labor law violations. For instance, failure to pay employees according to minimum wage laws can lead to fines.
Reputation Damage: Violations can lead to negative media coverage and public backlash, harming the store's reputation and deterring customers.
Example: Discrimination in Hiring
Suppose your store is found to have engaged in discriminatory hiring practices, such as favoring certain demographics over others. The potential consequences might include:
Legal action taken by affected job applicants, seeking damages for discrimination.
Negative publicity and public outcry against the store affect its reputation and customer trust.
Compliance with labor laws is not just a legal requirement; it's a moral and ethical obligation. Convenience store companies prioritize adherence because it aligns with responsible and ethical business operations. The consequences of violating labor laws can be profound, affecting both employees' rights and the store's financial stability and reputation. As a Convenience Store Manager, your role in ensuring compliance is pivotal to protecting employee rights, upholding the law, and safeguarding the store's reputation and financial viability.
1. Consumer Protection: Regulations on product labeling, pricing accuracy, and customer data handling.
The Crucial Emphasis on Consumer Protection Compliance for Convenience Store Managers
Compliance with consumer protection regulations, encompassing product labeling, pricing accuracy, and handling customer data, is a fundamental aspect of managing a convenience store. Convenience store companies prioritize adherence to these laws for several compelling reasons. Here, we delve into why this commitment to compliance is essential, accompanied by an example of the consequences that can result from violations.
1. Upholding Consumer Rights and Trust
Why it's Important: Consumer protection regulations exist to safeguard the rights and interests of customers. Compliance is a moral and legal obligation to ensure fair and transparent business practices, fostering trust.
Consequences of Violation:
Consumer Complaints: Failure to comply with pricing accuracy or product labeling regulations can result in customer complaints and dissatisfaction.
Legal Action: Violations may lead to legal action, including fines, injunctions, and orders to cease non-compliant practices.
Example: Misleading Product Labeling
Suppose your store inadvertently sells a food product with a misleading label, falsely claiming it's organic when it's not. The potential consequences might include:
Customer complaints and requests for refunds.
Legal action by consumer protection agencies leads to fines and mandatory corrective actions.
2. Legal Obligations and Reputation Protection
Why It's Important: Consumer protection laws have legal backing. Non-compliance can result in serious legal and financial repercussions and damage to the store's reputation.
Consequences of Violation:
Fines and Penalties: Regulatory bodies can impose fines and penalties for violations. For example, inaccurate pricing can lead to fines from consumer protection agencies.
Reputation Damage: Violations can lead to negative media coverage and public backlash, harming the store's reputation and customer trust.
Example: Mishandling of Customer Data
Imagine a scenario where your store mishandles customer data, leading to a data breach. The potential consequences might include:
Regulatory fines for not adequately safeguarding customer information.
A damaged reputation due to negative media coverage and customer distrust.
Compliance with consumer protection regulations is not just a legal requirement; it's a moral and ethical obligation. Convenience store companies prioritize adherence because it aligns with responsible and transparent business operations. The consequences of violating consumer protection laws can profoundly affect customer trust, the store's financial stability, and reputation. As a Convenience Store Manager, your role in ensuring compliance is pivotal to protecting consumer rights, upholding the law, and safeguarding the store's reputation and financial viability.
The Role of Convenience Store Managers in Compliance
Now, let's discuss your pivotal role in ensuring compliance with these laws and regulations.
1. Team Training: You are responsible for training your staff on compliance requirements. This includes educating them on food safety practices, age verification for alcohol and tobacco sales, and safety protocols.
The Role of Convenience Store Managers in Team Training for Compliance
Convenience store companies entrust their store managers with a pivotal responsibility: team training for compliance. This includes educating staff on various compliance requirements, such as food safety practices, age verification for alcohol and tobacco sales, and safety protocols. The importance of this role cannot be overstated, and it extends far beyond mere legality. Here, we explore the significance of this role, underpinned by an example of the negative outcomes that can occur if managers don't fulfill it.
1. Ensuring Legal Compliance
Why it's Important: The legal framework governing convenience stores necessitates strict adherence to compliance requirements. Training staff on these requirements is essential to ensure that the store operates within the bounds of the law.
Negative Outcomes of Neglect:
Legal Consequences: Failure to train staff on compliance requirements can result in legal violations. For instance, if employees sell alcohol to a minor due to lack of proper training, the store can face hefty fines and legal repercussions.
Loss of License: In some cases, repeated violations can lead to suspending or revoking the store's licenses for selling alcohol or tobacco.
Example: Alcohol Sale to a Minor
Imagine a store employee selling alcohol to a minor because they were not adequately trained to verify the customer's age. The potential consequences might include:
Legal penalties and fines are imposed on the store for selling alcohol to a minor.
A damaged reputation and a loss of trust among customers and the community.
2. Mitigating Health and Safety Risks
Why it's Important: Compliance requirements related to food safety practices and safety protocols are in place to protect the health and safety of customers and employees. Proper training is crucial to mitigate risks.
Negative Outcomes of Neglect:
Foodborne Illnesses: Inadequate food safety training can result in foodborne illnesses among customers due to improper handling or storage of food products.
Accidents and Injuries: Failing to train staff on safety protocols can lead to workplace accidents and injuries, potentially resulting in legal claims and workers' compensation costs.
Example: Foodborne Illness Outbreak
Suppose a store's staff lacks proper food safety training, leading to the mishandling of food products. This may result in a foodborne illness outbreak affecting several customers. The potential consequences might include:
Legal actions and financial liabilities stemming from customer lawsuits.
Severe damage to the store's reputation and a loss of customer trust.
Convenience Store Managers' role in team compliance training is multifaceted and crucial. It ensures legal compliance, mitigates health and safety risks, and upholds the store's reputation and financial stability. Neglecting this role can have serious negative outcomes, ranging from legal consequences to reputational damage. As a Convenience Store Manager, your commitment to practical team training on compliance is instrumental in maintaining a successful and compliant store operation.
1. Record-Keeping: Maintaining accurate records is crucial. This involves keeping track of employee training, safety inspections, food safety logs, and more.
The Role of Convenience Store Managers in Record-Keeping for Compliance
Convenience store companies place a significant responsibility on store managers regarding record-keeping for compliance. This encompasses meticulously maintaining accurate employee training records, safety inspections, food safety logs, and other critical aspects of store operations. The importance of this role cannot be overstated, as it directly impacts legal compliance, safety, and overall store efficiency. Here, we explore the significance of this role, supported by an example of the negative outcomes that can occur if managers neglect it.
1. Ensuring Legal Compliance
Why It's Important: Accurate record-keeping is a cornerstone of legal compliance. It provides a documented trail that regulatory bodies can review to confirm that the store is operating within the bounds of the law.
Negative Outcomes of Neglect:
Legal Consequences: Failure to maintain accurate records can result in legal violations. For example, if an employee is found selling tobacco without proper age verification due to a lack of training documentation, the store can face fines and legal repercussions.
Loss of License: Repeated violations or inadequate record-keeping can lead to suspending or revoking the store's licenses for selling alcohol, tobacco, or other regulated products.
Example: Missing Food Safety Logs
Imagine a scenario where food safety logs, which document the storage temperatures of perishable goods, are not adequately maintained. A customer falls ill due to foodborne contamination linked to a product from your store. The potential consequences might include:
Legal penalties and fines are imposed on the store for food safety violations.
A damaged reputation and loss of customer trust can impact future sales.
2. Enhancing Safety and Efficiency
Why it's Important: Records related to safety inspections and employee training are crucial for maintaining a safe and efficient store environment. They ensure that employees are adequately trained and that safety protocols are adhered to.
Negative Outcomes of Neglect:
Safety Incidents: Inadequate records and training documentation can lead to safety incidents and accidents, potentially resulting in injuries and legal claims.
Inefficiencies: Without proper records, tracking employee training and certifications can be challenging, leading to inefficiencies and potential gaps in skills and knowledge.
Example: Inadequate Safety Inspection Records
Suppose a safety inspection reveals several hazards in the store, but there are no records of previous inspections or actions taken to address identified issues. The potential consequences might include:
Legal actions and fines from regulatory agencies for failure to address safety hazards.
A less efficient store operation due to ongoing safety concerns.
The role of Convenience Store Managers in record-keeping for compliance is indispensable. It ensures legal compliance, safety, and operational efficiency. Neglecting this role can lead to various negative outcomes, from legal consequences to reputational damage and safety incidents. As a Convenience Store Manager, your commitment to meticulous record-keeping is pivotal in maintaining a successful and compliant store operation.
1. Monitoring and Reporting: Regularly inspecting your store for compliance is essential. If you spot a potential violation or safety hazard, you must report it and take corrective action.
The Crucial Role of Convenience Store Managers in Monitoring and Reporting for Compliance
Convenience store companies entrust their store managers with a critical responsibility: monitoring and reporting for compliance. This involves regular store inspections to ensure that all compliance aspects, from legal requirements to safety standards, are met. When managers identify potential violations or safety hazards, they must report them promptly and take corrective action. The importance of this role cannot be overstated, as it directly impacts legal compliance, safety, and the overall reputation of the store. Here, we explore the significance of this role, supported by an example of the negative outcomes that can occur if managers neglect it.
1. Ensuring Legal Compliance
Why it's Important: Regular monitoring and reporting are essential to ensure that the store operates within the bounds of the law. It provides an opportunity to identify and rectify any potential legal violations promptly.
Negative Outcomes of Neglect:
Legal Consequences: Failure to monitor and report potential violations can result in legal violations going unnoticed. For instance, if an employee consistently fails to check identification during alcohol sales, it can lead to fines and legal repercussions.
Reputational Damage: Legal violations that become public knowledge can severely damage the store's reputation, deterring customers.
Example: Undetected Underage Alcohol Sales
Imagine a situation where store managers neglect regular inspections and fail to notice that an employee routinely sells alcohol to minors. The potential consequences might include:
Legal penalties imposed on the store for repeated underage alcohol sales.
A tarnished reputation due to media coverage and public perception of lax enforcement.
2. Ensuring Safety and Customer Well-being
Why it's Important: Monitoring for compliance includes safety inspections, which are vital for maintaining a safe store environment. Identifying safety hazards promptly helps prevent accidents and injuries.
Negative Outcomes of Neglect:
Safety Incidents: Failure to monitor for safety hazards can result in accidents or injuries among employees or customers, potentially leading to legal claims and reputation damage.
Customer Dissatisfaction: Safety hazards in the store can create an unpleasant shopping experience, dissatisfying customers and potentially leading to lost business.
Example: Unaddressed Slip Hazards
Suppose store managers neglect regular safety inspections, and a wet floor with no warning signs goes unaddressed. A customer slips and injures themselves. The potential consequences might include:
Legal claims filed by the injured customer, seeking compensation for medical expenses and damages.
Customer complaints and negative online reviews impact the store's reputation.
The role of Convenience Store Managers in monitoring and reporting for compliance is pivotal. It ensures legal compliance, safety, and the protection of the store's reputation. Neglecting this role can lead to various negative outcomes, from legal consequences to reputational damage and safety incidents. As a Convenience Store Manager, your commitment to regular inspections and reporting is essential in maintaining a successful and compliant store operation.
Vendor and Supplier Compliance: Ensure that your suppliers and vendors adhere to relevant regulations, such as providing accurate product labeling.
The Essential Role of Convenience Store Managers in Vendor and Supplier Compliance
Convenience store companies rely on their managers to uphold vendor and supplier compliance standards. This crucial aspect of compliance ensures that suppliers and vendors adhere to relevant regulations, including providing accurate product labeling and meeting quality and safety standards. The responsibility extends beyond the store's premises, emphasizing the importance of the manager's role in maintaining a compliant and trustworthy supply chain. Here, we explore the significance of this role, reinforced by an example of the negative outcomes that can occur if managers neglect it.
1. Ensuring Legal Compliance Across the Supply Chain
Why It's Important: Regulatory requirements extend to suppliers and vendors. Ensuring all products supplied to the store meet legal standards, including accurate labeling and adherence to safety regulations, is essential.
Negative Outcomes of Neglect:
Legal Consequences: Failure to enforce supplier and vendor compliance can lead to the store inadvertently selling non-compliant products. For example, selling products with inaccurate allergen information can result in fines and legal repercussions.
Customer Trust Erosion: Selling non-compliant or unsafe products can erode customer trust, as it can lead to health and safety concerns.
Example: Inaccurate Product Labeling by a Supplier
Imagine a scenario where a supplier provides a batch of snacks with inaccurate ingredient labeling, failing to mention potential allergens. If the store managers do not check the accuracy of these labels, the potential consequences might include:
Legal actions and fines for selling products with incorrect allergen information.
Customer complaints, possible allergic reactions, and a loss of trust among affected customers.
2. Protecting the Store's Reputation and Customer Satisfaction
Why it's Important: Ensuring supplier and vendor compliance is instrumental in maintaining the store's reputation for providing safe, reliable, and compliant products. This, in turn, fosters customer satisfaction and loyalty.
Negative Outcomes of Neglect:
Reputation Damage: If non-compliant products are discovered on the store's shelves, it can lead to negative media coverage and public backlash, damaging the store's reputation.
Customer Dissatisfaction: Customers may become dissatisfied if they discover their products do not meet safety or quality standards.
Example: Selling Expired Products from a Vendor
Suppose store managers do not routinely check the products delivered by a vendor. If expired products are inadvertently placed on the shelves, the potential consequences might include:
Legal actions and fines for selling expired products.
A damaged reputation and a loss of customer trust, potentially impacting customer loyalty.
The role of Convenience Store Managers in vendor and supplier compliance is pivotal. It ensures legal compliance, safeguards the store's reputation, and enhances customer satisfaction. Neglecting this role can lead to various negative outcomes, from legal consequences to reputational damage and customer dissatisfaction. As a Convenience Store Manager, your commitment to enforcing compliance standards throughout the supply chain is essential for maintaining a successful and compliant store operation.
Frequently Occurring Issues and How to Overcome Them
1. Employee Training: High turnover can pose challenges in consistently training new staff. Establish a comprehensive onboarding program and consider continuous training to keep everyone up-to-date.
2. Food Safety: Food safety is non-negotiable. Implement stringent practices and conduct regular checks to ensure all food items are stored and handled correctly.
3. Alcohol and Tobacco Sales: Verify the age of every customer purchasing these products, even if they seem well above the legal age. Use technology like ID scanners to assist in age verification.
4. Environmental Compliance: Work closely with your team to reduce waste, conserve energy, and follow recycling protocols.
Important Considerations
• Regularly update your knowledge of relevant laws and regulations.
• Foster a culture of compliance among your staff by leading by example.
• Don't hesitate to seek legal counsel or guidance from regulatory agencies if you have questions or concerns.
Remember, regulatory compliance isn't just about avoiding legal trouble; it's about safeguarding your customers' and employees' health and safety while operating a responsible and ethical business. Embracing this responsibility will keep you on the right side of the law and contribute to your convenience store's long-term success and reputation.
Oh, and before I go, here are some questions for you to consider:
1. How can I enhance employee training to ensure every team member is well-versed in compliance requirements?
2. Are there areas where my store could improve its environmental sustainability practices?
3. What measures can I take to stay informed about evolving regulations that may affect my store's operations?
Thank you for tuning in to another insightful episode of "Thrive" from the C-Store Center. I hope you enjoyed the valuable information. Again, I'm Mike Hernandez. Goodbye, and see you in the next episode!