Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from Bill Tanona - Goldman Sachs.
William Tanona – Goldman Sachs
So, just obviously you were pretty defensive I would say this quarter as you went through the whole deleveraging process. How do you change the attitude of the traders and to get back into a profit making, risk-taking mode after going through that type of a deleveraging process?
Erin Callan
I think part of the rationale for us this quarter of why we were so aggressive, why we put out a list of targets and why we had such a tight schedule, was exactly that. We didn’t want to create a long-term distraction factor to the business operators. So, we’ve done that, they knew what the targets were.
We were explicit from the beginning of the quarter. They knew there was light at the end of the tunnel. We’re already seeing them back in business in terms of risk taking in an active way and so I think the discipline of getting it done primarily in a single quarter was important to keep the mindsets focused.
William Tanona – Goldman Sachs
Is that also why there was possibly no strategic investor involved in this capital raising? You felt you had gone as aggressively as you should have and didn’t have the need for additional balance sheet help if you will?
Erin Callan
Yes, on the strategic side, look for several years, and you have heard it from Dick. We have talked about interest in a strategic partner. So, it’s not to say we don’t continue to have interest, if there is an appropriate partner for us. But it will be consistent with our objectives and certainly balance sheet is not something we need at this point from a strategic partner.
William Tanona – Goldman Sachs
And then obviously you’ve commented briefly on the Level 3 assets, but given the commentary that you had provided and the level of liquidations that you have done and the number of sales that were done is it safe to assume that your Level 3 assets are going to be down materially here in the quarter?
Erin Callan
Bill, that’s not safe to assume. Certainly there has been a significant portion that went out the door in the sales out of Level 3, but there is a number of other asset class reclassifications that I am expecting can happen this quarter.
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