NewzIntel.com

Category: Australia

  • MIL-OSI Security: U.S. and Allied Forces Conduct La Perouse 2025

    Source: United States INDO PACIFIC COMMAND

    INDIAN OCEAN  –  

    La Perouse is a biennial, multilateral exercise demonstrating a shared commitment to enhance regional and international cooperation in support of a free and open Indo-Pacific.

    This exercise is designed to advance maritime security in the region through maritime surveillance, interdiction, and air operations through progressive training and information sharing.

    This exercise provided an opportunity for U.S. and allied and partner navies, who have shared values, fulfill maritime integration training objectives by emphasizing collaboration, warfighting, and readiness in a dynamic theater, resulting in enhanced maritime security and continued deterrence.

    “USS Savannah’s opportunity to operate with our foreign partners this week was exciting. The French and American navies have shared priorities and an enduring mission in the Indo-Pacific,” said Capt. Matt Scarlett, commodore, Destroyer Squadron 7. “Our ability to conduct consistent bilateral operations, conduct information sharing, and participate in realistic scenarios at sea, increases our interoperability as a joint force and ensures sustained maritime security in the region.”

    Named after an 18th-century French naval officer and explorer, La Perouse reflects longstanding values and a shared commitment to maritime security with like-minded nations.

    The French Navy Charles de Gaulle carrier strike group is represented by their aircraft carrier FS Charles de Gaulle (R91). Charles de Gaulle carrier strike group is operating in the Indo-Pacific as part of their Clemenceau 25 deployment.

    “We welcome the opportunity to operate alongside the French navy, our friend and longtime ally, out here in the Indo-Pacific,” said Vice Adm. Fred Kacher, commander, U.S. 7th Fleet. “Their exercise La Perouse underscores the value our European allies place on this critical maritime region, and we look forward to advancing interoperability at sea between our forces.”

    Additional participating units included Royal Australian Navy’s Hobart Class guided missile destroyers HMAS Hobart (DDG 39); Royal Canadian Navy’s Halifax-class frigate HMCS Ottawa (FFH 341); the Indian Navy’s Delhi-class guided-missile destroyers INS Mumbai (D 62); Royal Malaysian Navy’s Lekiu-class guided missile frigate FFG Lekir (FFG 30) and Gagah Samudera-class training ship KD Gagah Samudera (271); Royal Navy of the United Kingdom’s River-class off-shore patrol vessel HMS Spey (P 234); and Republic of Singapore Navy’s Independence-class littoral mission vessel RSS Independence (15)

    As the U.S. Navy’s forward-deployed DESRON in Southeast Asia, DESRON 7 serves as the primary tactical and operational commander of littoral combat ships rotationally deployed to the U.S. 7th Fleet area of operations, functions as Expeditionary Strike Group 7’s Sea Combat Commander and builds partnerships through training and exercises and military-to military engagements.

    U.S. 7th Fleet is the U.S. Navy’s largest forward-deployed numbered fleet, and routinely interacts and operates with allies and partners in preserving a free and open Indo-Pacific region.

    MIL Security OSI –

  • MIL-OSI Australia: 19-2025: Further Information Regarding Changes to Import Conditions for New and Aged/Used Oversize Tyres

    Source: Australia Government Statements – Agriculture

    28 January 2025

    Who does this notice affect?

    This notice is of relevance to importers, manufacturers, customs brokers, agents and associated biosecurity industry participants involved in the importation of new and aged/used oversize tyres.

    What has changed?

    As per import industry advice notice…

    MIL OSI News –

  • MIL-OSI Australia: 20-2025: Services Restored: Tuesday 28 January 2025 – BICON external website

    Source: Australia Government Statements – Agriculture

    28 January 2025

    Who does this notice affect?

    All clients required to use the department’s Biosecurity Import Conditions System (BICON) – external website.

    Information

    Between 10:06 and 10:53 on Tuesday 28 January 2025 (AEDT) the BICON external website was experiencing an unplanned outage.

    This issue has since been resolved, and BICON external website users can now access these services as normal.

    Action

    No action required. The department…

    MIL OSI News –

  • MIL-Evening Report: What’s the difference between a food allergy and an intolerance?

    Source: The Conversation (Au and NZ) – By Jennifer Koplin, Group Leader, Childhood Allergy & Epidemiology, The University of Queensland

    Feel good studio/Shutterstock

    At one time or another, you’ve probably come across someone who is lactose intolerant and might experience some unpleasant gut symptoms if they have dairy. Maybe it’s you – food intolerances are estimated to affect up to 25% of Australians.

    Meanwhile, cow’s milk allergy is one of the most common food allergies in infants and young children, affecting around one in 100 infants.

    But what’s the difference between food allergies and food intolerances? While they might seem alike, there are some fundamental differences between the two.

    What is an allergy?

    Australia has one of the highest rates of food allergies in the world. Food allergies can develop at any age but are more common in children, affecting more than 10% of one-year-olds and 6% of children at age ten.

    A food allergy happens when the body’s immune system mistakenly reacts to certain foods as if they were dangerous. The most common foods that trigger allergies include eggs, peanuts and other nuts, milk, shellfish, fish, soy and wheat.

    Mild to moderate signs of food allergy include a swollen face, lips or eyes; hives or welts on your skin; or vomiting. A severe allergic reaction (called anaphylaxis) can cause trouble breathing, persistent dizziness or collapse.

    What is an intolerance?

    Food intolerances (sometimes called non-allergic reactions) are also reactions to food, but they don’t involve your immune system.

    For example, lactose intolerance is a metabolic condition that happens when the body doesn’t produce enough lactase. This enzyme is needed to break down the lactose (a type of sugar) in dairy products.

    Food intolerances can also include reactions to natural chemicals in foods (such as salicylates, found in some fruits, vegetables, herbs and spices) and problems with artificial preservatives or flavour enhancers.

    Lactose intolerance is caused by a problem with breaking down lactose in milk.
    Pormezz/Shutterstock

    Symptoms of food intolerances can include an upset stomach, headaches and fatigue, among others.

    Food intolerances don’t cause life-threatening reactions (anaphylaxis) so are less dangerous than allergies in the short term, although they can cause problems in the longer term such as malnutrition.

    We don’t know a lot about how common food intolerances are, but they appear to be more commonly reported than allergies. They can develop at any age.

    It can be confusing

    Some foods, such as peanuts and tree nuts, are more often associated with allergy. Other foods or ingredients, such as caffeine, are more often associated with intolerance.

    Meanwhile, certain foods, such as cow’s milk and wheat or gluten (a protein found in wheat, rye and barley), can cause both allergic and non-allergic reactions in different people. But these reactions, even when they’re caused by the same foods, are quite different.

    For example, children with a cow’s milk allergy can react to very small amounts of milk, and serious reactions (such as throat swelling or difficulty breathing) can happen within minutes. Conversely, many people with lactose intolerance can tolerate small amounts of lactose without symptoms.

    There are other differences too. Cow’s milk allergy is more common in children, though many infants will grow out of this allergy during childhood.

    Lactose intolerance is more common in adults, but can also sometimes be temporary. One type of lactose intolerance, secondary lactase deficiency, can be caused by damage to the gut after infection or with medication use (such as antibiotics or cancer treatment). This can go away by itself when the underlying condition resolves or the person stops using the relevant medication.

    Whether an allergy or intolerance is likely to be lifelong depends on the food and the reason that the child or adult is reacting to it.

    Allergies to some foods, such as milk, egg, wheat and soy, often resolve during childhood, whereas allergies to nuts, fish or shellfish, often (but not always) persist into adulthood. We don’t know much about how likely children are to grow out of different types of food intolerances.

    How do you find out what’s wrong?

    If you think you may have a food allergy or intolerance, see a doctor.

    Allergy tests help doctors find out which foods might be causing your allergic reactions (but can’t diagnose food intolerances). There are two common types: skin prick tests and blood tests.

    In a skin prick test, doctors put tiny amounts of allergens (the things that can cause allergies) on your skin and make small pricks to see if your body reacts.

    A blood test checks for allergen-specific immunoglobulin E (IgE) antibodies in your blood that show if you might be allergic to a particular food.

    Blood tests can help diagnose allergies.
    RossHelen/Shutterstock

    Food intolerances can be tricky to figure out because the symptoms depend on what foods you eat and how much. To diagnose them, doctors look at your health history, and may do some tests (such as a breath test). They may ask you to keep a record of foods you eat and timing of symptoms.

    A temporary elimination diet, where you stop eating certain foods, can also help to work out which foods you might be intolerant to. But this should only be done with the help of a doctor or dietitian, because eliminating particular foods can lead to nutritional deficiencies, especially in children.

    Is there a cure?

    There’s currently no cure for food allergies or intolerances. For allergies in particular, it’s important to strictly avoid allergens. This means reading food labels carefully and being vigilant when eating out.

    However, researchers are studying a treatment called oral immunotherapy, which may help some people with food allergies become less sensitive to certain foods.

    Whether you have a food allergy or intolerance, your doctor or dietitian can help you to make sure you’re eating the right foods.

    Victoria Gibson, a Higher Degree by Research student and Research Officer at the School of Nursing, Midwifery and Social Work at the University of Queensland, and Rani Scott-Farmer, a Senior Research Assistant at the University of Queensland, contributed to this article.

    Jennifer Koplin receives funding from the National Health and Medical Research Council of Australia. She is a member of the Executive Committee for the National Allergy Centre of Excellence (NACE), which is supported by funding from the Australian government. She was a named investigator on a grant from Sanofi Regeneron for unrelated research and has received a research award from the Stallergenes Greer Foundation.

    Desalegn Markos Shifti is supported by a Postdoctoral Fellowship funded through the Centre for Food Allergy Research Centre of Research Excellence.

    – ref. What’s the difference between a food allergy and an intolerance? – https://theconversation.com/whats-the-difference-between-a-food-allergy-and-an-intolerance-243685

    MIL OSI Analysis – EveningReport.nz –

  • MIL-OSI Australia: Minns Government moves to ban gambling advertising from trains

    Source: New South Wales Government 2

    Headline: Minns Government moves to ban gambling advertising from trains

    Published: 28 January 2025

    Released by: Minister for Gaming and Racing, Minister for Transport

    The Minns Government has moved to ban gambling advertising on public transport in NSW.

    The prohibition applies to Transport owned and controlled assets, including internal and external advertising on trains, metro, buses, light rail, train stations, and ferry terminals.

    Transport operates one of the largest portfolios of advertising assets across Australia. This includes 798 advertising boards at Sydney train stations, 49 road facing digital billboards, adverts on up to 3,711 urban buses, 76 trams and across the Tangara train fleet.

    The ban extends to all casino, lottery, and online betting advertising

    The NSW Government will now work with multiple advertising contract holders to implement the required changes over the next 12 months.

    Transport’s advertising suppliers must ensure that all advertising material complies with all applicable laws, accepted industry standards and codes of conduct established by the advertising industry for example, the Australian Association of National Advertisers (AANA) Advertiser Code of Ethics and AANA Code of Ethics Practice Note.

    There are also additional rules that apply to Transport’s contract holders. These include a ban on political advertising on all assets, which applies equally to all political parties. 

    Where assets are not owned by Transport (e.g. bus stops, retail outlets or nearby private property), the NSW Government will work with the relevant entitles to see how their advertising can align with the gambling advertising ban.

    This is the latest in a suite of reforms introduced by the Minns Labor Government to reduce gambling harm. The reforms include:

    • reducing the statewide gaming machine entitlement cap in June 2023
    • banning political donations from clubs with electronic gaming machines on 1 July 2023
    • reducing the cash input limit on new gaming machines from $5,000 to $500 on 1 July 2023
    • banning all external gambling signage in venues on 1 September 2023
    • banning the placement of any signage or advertising relating to gaming machines either on, or visible from an ATM or EFTPOS terminal with cash withdrawal facilities and introduced Responsible Gambling Officers for venues with more than 20 machine entitlements, on 1 July 2024
    • requiring Automatic Teller Machines (ATMs) or EFTPOS terminals that allow cash withdrawals to be  placed at least 5m from the entry to a gaming room and not be visible from any machine or entry to a gaming room, from 1 January 2025
    • established an Independent Panel to conduct a trial of cashless gaming in pubs and clubs throughout 2024
    • committing $100 million to harm minimisation – investing in research, treatment, services and reform.

    Minister for Transport Jo Haylen said:

    “Gambling advertising has been a common sight on our public transport for a couple of years now, and I’m pleased our Government is taking action to remove it.  Parents are rightly worried about the impact it has on their kids, so its not something that we think that needs to be on our transport network.”

    “With over 3,500 buses, close to 800 advertising assets at train stations, as well as advertising on light rail and trains, Transport’s advertising contracts are vast. Because of the scale it will take some time to implement this change, but we will be working closely with our contract partners over the next 12 months to get this done.”

    Minister for Gaming and Racing David Harris said:

    “Removing gambling advertising from public transport is another demonstration of the Minns Labor Government’s commitment to reducing gambling harm in NSW.

    “This move will reduce the public’s exposure to gambling advertising and builds on the suite of reforms the government has introduced over the past 20 months to reduce harmful impacts of gambling.”

    MIL OSI News –

  • MIL-OSI Australia: Roadmap needed to navigate the edtech landscape

    Source: Australian Education Union

    28 January 2025

    The burgeoning national edtech market must be built around high-quality resources to establish a resilient baseline for the rapid infiltration of digital resources and learning applications, say Professor Leslie Loble AM and Dr Kelly Stephens, from University of Technology (UTS) Sydney Centre for Social Justice and Inclusion.

    Loble and Stephens are the authors of a new research paper, Towards high quality in Australian educational technology, which raises concerns about the dark side of artificial intelligence (AI), including data sovereignty and safety, equity and inclusion, inherent bias, and commercial interests.

    The paper addresses concerns about public school resourcing and teacher workloads, roles and relationships with students, and generative artificial intelligence (GenAI), which is capable of mimicking human content, ideas and data, adds a layer of complexity.

    Despite the rapid growth of the market and the proliferating number of publicly available edtech apps, which number around 500,000 on Apple and Google, with more still marketed directly to schools, there is “no independent, comprehensive source of information about the quality of digitally enabled education resources in Australia”, the paper says.

    “Schools, teachers, students and their parents can find themselves having to navigate a confusing market without the time, information, or technical expertise they need to answer critical questions like:

    • -Are these tools aligned to the Australian curriculum (or local variants) and to evidence-backed approaches to teaching and learning?
    • -Are they designed to benefit the full range of learners?
    • -Who owns the data and what does that mean for data sovereignty and safety?
    • -Is there evidence that they work, and for whom?

    “In worst-case scenarios, edtech is not only ineffectual, but dangerous,” the paper says.

    Stephens says robust quality assurance (QA) can alleviate burden from teachers and schools, who should not have responsibility for making detailed and sometimes technical judgements about
    a resource’s fitness for purpose.

    The need for GenAI literacy and training for leaders, teachers, support staff, students, parents, guardians and policymakers was among the 25 recommendations of a federal parliamentary committee report, Study buddy or influencer, released in September.

    GenAI “presents exciting opportunities and yet high-stakes risks for the Australian education system”, the House of Representatives Standing Committee on Employment, Education and Training acknowledged following its inquiry into the use of GenAI.

    The recommendations included providing funding to set up virtual and physical hubs to provide expert and technical advice and support to institutions, regulating edtech companies and developers through a system-wide risks-based legal framework, and expediting the implementation of the Australian Framework for GenAI in Schools (released in January).

    Loble was an expert advisory panel member for the inquiry and is Chair of the Australian Network for Quality Digital Education (ANQDE), a cross-industry leadership group.

    “The good news is that the recommendations are substantively aligned with our QA report, and the committee has specifically called out the need to address the digital and educational divide, as well as safety and security,” she says.

    “They recognise the existing risks of these tools, which we need to mitigate, but also the risk of doing nothing – we need to be alert to both to avoid worsening Australia’s learning divide.”

    Quality assurance can support systems by providing a national process and avoiding unnecessary duplication of effort by states and territories. But states would still be able to “run their own ruler over a resource” if they wanted to assure themselves of alignment with any particular state-based criteria.

    “National quality standards mean this would be a less resource-intensive process if all the fundamentals have already been assessed,” she says.

    NSW Teachers Federation deputy president Amber Flohm agrees it would be “untenable to simply assume that school leaders, teachers and support staff possess the technical expertise, time, and resources to manage these risks on their own”.

    “Sufficient and effective regulation and scrutiny by education systems and government is the only way to ensure educational integrity, privacy and ethical concerns are balanced against commercial interests as the use of edtech and generative artificial intelligence becomes more widespread,” Flohm says.

    From trial to tool

    From Term 4, public teachers in NSW will have access to the department of education’s endorsed NSWEduChat GenAI tool, initially trialled for students in response to statewide bans on ChatGPT last year.

    The department says the trials, conducted in 50 schools, showed the tool could save time by producing student resources and automating administrative tasks, “giving teachers more time to focus on personalised learning and student interactions”.

    “NSWEduChat does not replace the valuable work of our teachers, it helps them to save time, tailor their resources, and focus on their critical work in the classroom,” says education minister Prue Car.

    Flohm says NSWEduChat was initially designed to assist with student tasks such as essay writing, and collect data on equity and data privacy, but cautions against the de-professionalisation of teachers.

    “When it comes to professional tools for teacher use, available technology should not determine what the solution is and then work back to the problem. Rather teachers should work out what they want AI to do to support their work,” she says.

    “The capacity of GenAI to create immediate lesson plans is obvious, and no doubt attractive to a time-poor profession. However, understanding how syllabus, curriculum and the associated pedagogies interact to benefit the growth of students’ knowledge and skills is the core of teachers’ intellectual labour, and this must never be reduced or outsourced to technology.”

    Testing the tools

    Though work is being done at all levels, national standards are needed, and teachers must be brought in to help with evaluation. They will need to ensure GenAI tools align with their schools’ needs, including student literacy and learning levels and backgrounds, and that teacher knowledge and skill is used to turn data into effective classroom practice.

    Dr Kelly Stephens says there is “currently nothing in the way of national standards, apart from ESA’s Safe Technology for Schools program, recently updated for GenAI”.

    She says evaluation is benefiting from reviews across diverse fields, including by teachers, edtech and learning media experts, child development scholars, instructional designers, K-12 subject matter experts, and school technology leaders.

    “Our consultations with teachers have suggested that rather than diminishing the importance of teacher professionalism, edtech highlights it.

    “This might include using an online curriculum application to help cater to a very broad range of learning levels in a classroom and rely on their breadth and depth of subject expertise to provide point-in-time support and monitoring of student progress,” says Stephens.

    “Or using generative image software to improve engagement with school and learning, build digital literacy and super-charge English language acquisition by recent migrants and refugees.”

    Equity and inclusion must remain a significant priority in the evaluation process, particularly as GenAI has the potential to increase disadvantage through cost, literacy and digital access.

    “If we drop our guard on this, there is every chance that better resourced students, families, schools and systems will be better equipped to assess, explore, and benefit from existing and emerging digital tools,” says Stephens.

    “This absolutely requires adequate and equitable resourcing at the school level. It also invites governments to consider how best to use other levers at their disposal, to bend the market toward equity, such as quality standards and procurement processes.”

    Statewide challenges

    AEU Victorian Branch vice president, secondary, Marino D’Ortenzio warns that despite the national framework for GenAI, there are different views on its use and implementation between jurisdictions in Australia. “For example, in NSW AI is permitted to be used to create newsletters, whereas in Victoria this is explicitly forbidden in the Victorian government school system policy.”

    D’Ortenzio says that as GenAI and machine learning systems become ubiquitous, system-wide training will be vital to prepare staff adequately and schools must be given the means to analyse impact on teacher workload.

    “We recognise that GenAI is here and, that students and teachers are using it. This means our approaches to learning tasks have already begun to alter. Teachers must be at the centre of decisions relating to AI and pedagogy in schools as it expands in its scope and use,” he says.

    “We know of schools that are changing the way they approach tasks to ensure that GenAI does not give students who use it an advantage. Some are returning to hand-written assessment pieces. Others are setting tasks that assume GenAI is going to be used, by getting students to identify how they might ask a GenAI model to produce a result, and then analysing the result to examine where they are flawed.

    “The department of education and training must be accountable for the implementation, use and decisions of GenAI in schools. This accountability should be set out in clear, publicly available guidelines for schools and their communities.”

    D’Ortenzio also says commercial businesses who see an opportunity for profit making must be deprioritised behind educational programs, pedagogical models, student development and student achievement.

    Ad-hoc regulation

    Use of AI technology in Queensland remains ad-hoc and regulation of platforms and guidelines for digital technology have not kept pace with change, says Queensland Teachers’ Union honorary vice president Josh Cleary.

    “There is an urgent need for the profession to adopt a decision-making framework and ensure there is industrial consultation that addresses the full suite of legal, professional and educational issues,” he says.

    When the Queensland Department of Education began consultation in 2020 it assumed teachers would familiarise themselves with new digital technologies outside of working hours.

    “The QTU successfully negotiated an allocation of additional funds for the purpose of releasing teachers to undertake training. The rollout of the professional training was not perfect, but the approach to consultation between the parties has significantly improved,” he says.

    Excessive data entry and unreasonable quantities of email are two common examples of work intensification that detract from teachers’ time to plan, implement, and evaluate effective teaching and learning practices, and the use of AI has so far added to teacher workloads rather than allow teachers to focus on what they do best: teaching students.

    “A future-focused pedagogy might use GenAI technology as a platform, but classrooms should not become subordinate to technology’s use. Teachers must be given training to help them ensure students learn to maintain a critical awareness of information and make discerning choices about the use of GenAI,” Cleary says.

    This article was originally published in the Australian Educator, Summer 2024

    MIL OSI News –

  • MIL-Evening Report: NZ-Kiribati fallout: Maamau govt minister says ‘impacts to be felt by the people’

    By Lydia Lewis, RNZ Pacific Bulletin editor/presenter

    Kiribati President Taneti Maamau was unable to meet New Zealand Foreign Minister Winston Peters because he had “a pre-planned and significant historical event”, a Cabinet minister in Kiribati says.

    Alexander Teabo, Education Minister in Maamau’s government, told RNZ Pacific that “it is important for the truth to be conveyed accurately” after the “diplomatic tiff” between the two nations was confirmed by Peters as reported.

    Maamau is currently in Fiji for his first state visit to the country.

    Peters said New Zealand could not commit to ongoing monetary aid in Kiribati after three cancelled or postponed visits in recent months.

    A spokesperson from Peters’ office said the Deputy Prime Minister’s visit to Tarawa was set to be the first in over five years and took a “month-long effort”. However, the NZ government was informed a week prior to the meeting that Maamau was no longer available.

    His office announced that, as a result of the “lack of political-level contact”, Aotearoa was reviewing its development programme in Kiribati. It is a move that has been described as “not the best approach” by Victoria University’s professor in comparative politics Dr Jon Fraenkel.

    Minister Teabo said that Peters’ visit to Kiribati was cancelled by the NZ government.

    “It is correct that the President was unavailable in Tarawa due to a pre-planned and significant historical event hosted on his home island,” he said.

    Date set ‘several months prior’
    “This important event’s date was established by the Head of the Catholic Church several months prior.”

    He said Maamau’s presence and support were required on his home island for this event, and it was not possible for him to be elsewhere.

    Teabo pointed out that Australia’s Deputy Prime Minister was happy to meet with Kiribati’s Vice-President in a recent visit.

    “The visit by NZ Foreign Minister was cancelled by NZ itself but now the blame is on the President of Kiribati as the reason for all the cuts and the impacts to be felt by the people.

    “This is unfair to someone who is doing his best for his people who needed him at any particular time.”

    ‘Tried several times’ – Luxon
     The New Zealand aid programme is worth over NZ$100 million, but increasingly, Kiribati has been receiving money from China after ditching its diplomatic ties with Taiwan in 2019.

    Prime Minister Christopher Luxon said the country was keen to meet and work with Kiribati, like other Pacific nations.

    Luxon said he did not know whether the lack of communication was due to Kiribati and China getting closer.

    “The Foreign Minister has tried several times to make sure that as a new government, we can have a conversation with Kiribati and have a relationship there.

    “He’s very keen to meet with them and help them and work with them in a very constructive way but that hasn’t happened.”

    New Zealand’s Minister of Defence Judith Collins agrees with Peters’ decision to review aid to Kiribati.

    Collins said she would talk to Peters about it today.

    “I think we need to be very careful about where our aid goes, how it’s being used and I agree with him. We can’t have a disrespectful relationship.”

    This article is republished under a community partnership agreement with RNZ.

    MIL OSI Analysis – EveningReport.nz –

  • MIL-OSI New Zealand: Auckland’s most colourful festival returns this February

    Source: Auckland Council

    A burst of colour is on the horizon for Tāmaki Makaurau as Auckland Pride Festival returns for February 2025. As a proud Strategic Partner, Auckland Council is calling on all Aucklanders to join the vibrant festivities in support of rainbow communities across our region. 

    The month-long festival kicks off on 1 February and is an annual open-access arts, cultural and community fiesta featuring 160 events, with major events like Pride Fest Out West and Big Gay Out. Also included are key works as part of Te Tīmatanga, a rangatahi-led exhibition at Season Gallery Aotearoa, and Pride Elevates at Q Theatre Loft, within Auckland Pride’s own curated arts programme.   

    The festival celebrates and empowers Auckland’s rainbow communities with a special focus this year on fostering resilience, visibility, and unity through events, creativity, and advocacy – a focus that strongly aligns with Auckland Council values. 

    Councillor Richard Hills says Auckland Council is committed to supporting our rainbow communities in Tāmaki Makaurau.  

    “As a Pride Pledge partner, we’re happy to be on board for yet another year of fabulous celebrations alongside Auckland Pride Festival,” says Cr Hills.  

    “The festival has a fantastic programme for us all this year, with something on offer for everyone to enjoy including live performances, community events, art installations and new and exciting activity in our Proud Centres and libraries to name a few. It’s the perfect opportunity to get out and about, show your support and make the most of the community-focused activities on offer”. 

    Hāmiora Bailey, Auckland Pride’s Executive Director says the theme of this year’s festival is Tētahi Ki Tētahi or ‘to one another, and each other’ which encompasses Auckland Pride’s values of inclusivity, respect and peace.  

    “Auckland Pride Festival offers a safe space for all, and we’re back this year to continue championing our takatāpui and rainbow community members who make Auckland a more liveable and exciting city,” adds Hāmiora. 

    “We are thought leaders, business owners, creatives and artists who contribute to the lifeblood of Tāmaki Makaurau. We’re proud to be back and working alongside Auckland Council as we align with its long-term plan of ‘providing for our communities in the greatest need’ and in addition, through Waimahara and Te Tīmatanga, we enact the council’s commitment to deliver outcomes for and with Māori. We’re excited for what’s ahead and look forward to celebrating in unison right across Tāmaki Makaurau”. 

    At Pride Festival 2025 be sure to check out: 

    Proud Centres  

    Auckland Council’s Proud Centres are back! Proud Centres offer opportunities for people to come together in their local neighbourhoods across Auckland, providing a dynamic range of events and activities that champion local takatāpui and rainbow community members.  

    Highlights for this year’s Proud Centres programme include Ang Sininang Bulawan (The Golden Dress) by Marc Conaco at Studio One Toi Tū, Embroidery for Crafty Queers, Proud Voices Open Mic Night on Waiheke Island, The Starlight Disco at Onehunga Oranga Community Centre, Insider Outsider at Mt Albert Library, and the LGBTQIA+ Craft Club (Pride Edition) at Point Chevalier.  

    Love is Love: Take 3 Romances 
      
    Calling all book worms! From 1 February, you’re invited into our libraries to celebrate Auckland Pride Festival and our rainbow communities, and mark Valentines Day by making the most ‘Love is Love: Take 3 Romances’. 

    Auckland Council Libraries will feature a Love is Love display showcasing books from a curated list that celebrations the rainbow community. Members aged 18 and over who borrow three or more books from the collection will be automatically in to win one of five eGift vouchers to spend on something special for themselves and their dearest – don’t miss out! 

    Pride Artist Residencies 

    If you’re in the city centre, be sure to check out The Ellen Melville Centre’s Queer Creative Residency, as part of Auckland Council’s Proud Centre initiatives for Auckland Pride Festival 2025. This exciting opportunity offers one takatāpui creative from any discipline the chance to transform the Marilyn Waring Room into a public-facing studio space, visible from High Street. 

    Rainbow storytelling on the Auckland Harbour Bridge  

    Vector Lights is proud to present its first rainbow story on the Auckland Harbour Bridge! Contemporary installation and takatāpui artist, and a master’s student at Unitec, Alex Watene (Ngāpuhi, Ngāti Whātua, Te Arawa a Tūhoe) brings his thesis to life in a new dynamic light and sound show). ‘Re-indigenising gender diversity here in Aotearoa New Zealand’ explores the impact of colonisation and raises awareness about Takatāpui identity and its acceptance in Aotearoa New Zealand. 

    The show will repeat every 15 minutes from 9pm until midnight and is the feature of Vector Lights for Auckland Pride Festival. Head to vector.co.nz/lights and listen live from some of the best viewing spots including, Silo Park, Bayswater Marina and Takarunga Mt Victoria. 

    Due to critical maintenance work by NZTA, some of the lights will not appear on the west side overarch of the Auckland Harbour Bridge. Completion of the work is expected by 31 March 2025. 

    Waimahara at Myers Park for the big finish! 

    Auckland Pride Festival has something special in store before the curtains shut for another year. Pride month will culminate at Waimahara at Myers Park, a reimagined gathering that shifts the traditional Pride March and Pride Party to an activation that reflects on the strength within rainbow communities and galvanises the shared vision of queer liberation and social justice.  

    All are welcome to join in on the celebration, beginning with a rally in Aotea Square Grass Terraces. Attendees will walk together to Myers Park, experiencing multi-sensory artwork Waimahara by Graham Tipene (Ngāti Whātua, Ngāti Kahu, Ngāti Hine, Ngāti Hauā, Ngāti Manu), for a day of connection, learning, and organising around shared advocacy goals. 

    Visit aucklandpride.co.nz for the full programme 

    MIL OSI New Zealand News –

  • MIL-OSI Australia: Centre of Excellence to shape the future of disability employment

    Source: Ministers for Social Services

    The Albanese Labor Government is committed to an inclusive Australia where everybody has the opportunity for secure, fairly paid work – including people with disability.

    The unemployment rate for people with disability has remained stubbornly high for the past three decades and Labor has been acting to implement a range of changes to help shift this.

    To further assist, our Government has awarded $22.1 million to the Swinburne University of Technology and its consortium partners to realise our election commitment for a Disability Employment Centre of Excellence.

    The consortium includes representatives from peak disability and capacity building organisations, including Inclusion Australia, Family Advocacy, Disability Employment Australia, National Disability Services and the University of Melbourne.

    The Centre of Excellence will improve job outcomes for people with disability seeking to find and keep a job, by strengthening the capacity of employment service providers to deliver quality employment services and supports to people with disability and employers.

    Service providers will have centralised access to evidence-based best-practice resources developed by the Centre of Excellence. The resources will be specialised, innovative and drive quality practice.

    Minister for Social Services, Amanda Rishworth, said the Centre will bring together lived experience and expertise from across the disability community and beyond, including researchers, advocates, peak bodies, employers and service providers.

    “In order to deliver real change to disability employment in Australia, we need evidence of effective service approaches and what works to reduce the barriers preventing the participation of people with disability in the workforce,” Minister Rishworth said.

    “The Centre will collect and translate this evidence into best-practice resources to help support all employment service providers improve the services they deliver to people with disability and employers.

    “The establishment of the Centre of Excellence is a cornerstone of the Government’s package of reforms to disability employment, and it will help support the beginning of the new specialist disability employment program which commences this year,” Minister Rishworth said.

    Professor Karen Hapgood, Deputy Vice-Chancellor of Research at Swinburne University said the partnership will help shape a fairer, more inclusive future for disability employment.

    “Swinburne University of Technology is excited to work with the Commonwealth Government, our partners and stakeholders across the sector to lead change and increase the employment of people with disability in Australia,” Professor Hapgood said.

    “Our vision for the Centre of Excellence is to provide best-practice, evidence-based information that can bring people and technology together for a better world.

    “By harnessing the collective expertise, knowledge and resources of those with lived experience, their families, researchers, service providers, employers and industry bodies, we can help providers improve employment outcomes for people with disability.”

    The Centre of Excellence will commence in March 2025 and be funded for a period of four years to 2027-28.

    More information about the Centre of Excellence is available on the Department of Social Services website at www.dss.gov.au/disability-employment-reforms/disability-employment-centre-excellence

    MIL OSI News –

  • MIL-OSI Australia: New data shows Albanese Labor Government’s early childhood education plan is working for families and educators

    Source: Australian Ministers for Education

    New data released today shows families across Australia have saved up to $2,768 since childcare subsidies came into effect in 2023, as the Albanese Labor Government shores up the early childhood education workforce and moves towards universal childcare.

    The data, provided by the Department of Education, shows an Australian family on an income of $120,000 a year paying the average quarterly fee for 30 hours childcare per week has saved approximately $2,768 since September 2023.

    This is real cost of living relief, going back into the pockets of Australian families.  

    This comes on top of new data released by Jobs and Skills Australia showing workforce vacancy rates in the early education and care sector have plummeted over the last 12 months, with internet vacancy rates down 22 per cent since December 2023.

    The decrease coincides with the Albanese Labor Government’s commitment last year to fund a 15 per cent wage increase over two years for ECEC workers.

    In addition, Goodstart, the biggest ECEC employer in Australia, says completed job applications have increased by 35 per cent year-on-year and expressions of interest are up 50-60 per cent.

    More than 50 per cent of services have now applied for Labor’s Worker Retention Payment.

    The Worker Retention Payment supports pay rises for up to 200,000 ECEC workers, recognising the important work they do and helping with cost-of-living pressures.

    Pay rises of 10 per cent above the award rate started hitting the pay packets of eligible ECEC workers in December, with a further 5 per cent increase due in December this year.

    The wage increase will support early education and care providers to give their employees a pay boost, helping to retain the existing workforce and attract new workers to the sector.

    We know Building Australia’s Future is about more than bricks and mortar. It’s about investing in people, in skills and education.

    That’s why the Albanese Labor Government is committed to establishing a $1 billion Building Early Education Fund from July 2025 and guaranteeing every child access to at least three days of high-quality early education as critical next steps to building a universal early education and care system.

    Quotes attributable to Minister for Education Jason Clare:

    “We have cut the cost of child care for more than 1 million families. The next step is fixing the pay of some of the most important workers in this country.

    “This shows our 15 per cent pay rise for early educators is working. Applications are up and job vacancies are down.

    “If we win the next election, we will build more centres where they are needed in the outer suburbs and the regions and guarantee every child who needs it three days of subsidised early education so they start school ready to learn.”

    Quotes attributable to Minister for Early Childhood Education Anne Aly:

    “Properly valuing the early childhood education and care workforce is crucial to attracting and retaining workers and vital to achieving the quality universal early learning sector Australian families deserve.

    “We’re boosting the wages of early childhood education workers, while relieving cost of living pressures on Australian families.

    “I urge all eligible early learning services to sign up to this important initiative, so their hardworking staff get the full benefit of this wage increase.”

    MIL OSI News –

  • MIL-OSI Australia: A plan for Central Coast maternity services

    Source: New South Wales Premiere

    Published: 28 January 2025

    Statement by: Minister for the Central Coast

    Last week the Member for The Entrance, the Member for Gosford, a representative for the Member for Swansea and I met with executives from the Central Coast Local Health District (CCLHD), the NSW Ministry of Health and Minister for Health Ryan Park’s office to express the concerns of the Central Coast community about maternity service provision on the Coast.

    The CCLHD is developing a Clinical Services Plan for Women, Children and Families on the Central Coast which addresses both the closure of Gosford Private Hospital’s maternity services and the region’s projected population growth.

    It’s important to note there is no reduction in public maternity services on the Central Coast and expectant mothers wishing to have their birth on the Coast will be able to do so.

    Gosford Hospital provides 24-hour midwifery, obstetric, anaesthetic, and paediatric support including a Special Care Nursery to support the maternity needs of the Central Coast community.

    Wyong Hospital also continues to provide care through the Midwifery Group Practice and Gosford outreach Midwife-led Antenatal Clinic.

    In late 2023, the CCLHD introduced a Midwifery Group Practice Homebirth Service to provide local women with more choice about where they give birth.

    We were advised the CCLHD is actively recruiting specialist maternity clinician staff.

    I look forward to viewing the Clinical Services Plan which is being developed to ensure the maternity needs of the Central Coast community continue to be met.

    MIL OSI News –

  • MIL-OSI USA: Fischer Introduces Legislation to Strengthen U.S. Telecommunications Against Foreign Adversaries

    US Senate News:

    Source: United States Senator for Nebraska Deb Fischer
    Today, U.S. Senator Deb Fischer (R-Neb.), a member of the Senate Commerce Committee, introduced the Foreign Adversary Communications Transparency (FACT) Act.
    The legislation would require the Federal Communications Commission (FCC) to publicly identify entities that hold FCC licenses, authorizations, or other grants of authority that are owned, wholly or partially, by foreign adversarial governments. This includes the governments of China, Russia, Iran, and North Korea.
    U.S. Senators Jacky Rosen (D-Nev.), John Cornyn (R-Texas), and Ben Ray Luján (D-N.M.) joined Senator Fischer as original cosponsors of the bipartisan bill.
    U.S. Representatives Thomas Kean (NJ-07), Rob Wittman (VA-01), Kathy Castor (FL-14), and Ro Khanna (CA-17) will lead companion legislation in the House.
    “Authoritarian regimes like China and Russia are actively working to undermine the security of our domestic communications. My bill will better position the FCC to evaluate the risks foreign ties pose to America’s national security so that we can respond to these network infrastructure threats,” said Senator Fischer.
    “The U.S. must protect our telecommunications systems from global adversaries that are trying to do us harm,” said Senator Rosen. “That’s why I’m helping to introduce this bipartisan bill to increase transparency and publicly keep track of companies with influence from adversaries, including China, Russia, and Iran. I’ll always work to support our national security.”
    “It’s no secret that foreign adversaries threaten our national security by exploiting both legal and illegal access to technology and communication infrastructure,” said Senator Cornyn. “The FACT Act would shine light on these vulnerabilities by identifying foreign entities that hold FCC licenses, helping to reduce national security risks and strengthen oversight.”
    “Securing our telecommunications systems is crucial for our country’s national security,” said Senator Luján. “The FACT Act is a critical step to promote transparency and boost the FCC’s ability to detect risks posed by our adversaries. I’m proud to introduce this bipartisan bill with my colleagues to safeguard our telecommunications networks.”
    Background:Until now, there has been no mandated public disclosure of companies linked to foreign adversaries operating within U.S. technology and telecommunication markets.
    Although the FCC is prohibited from granting licenses or authorizations deemed a national security threat, some entities with ties to adversarial foreign governments continue to hold certain approvals. As a result, more transparency is necessary.
    Click 
    here to read the text of the bill.

    MIL OSI USA News –

  • MIL-OSI New Zealand: The State of the Nation

    Source: ACT Party

    The Haps

    Public hearings for the Treaty Principles Bill have begun. David Seymour kicked off proceedings, throwing down the gauntlet on equal rights and fielding questions from hostile MPs. His submission to the Justice Committee is a must-watch.

    Even people who say there should be no bill seem to want the debate. The hearings are a major milestone for New Zealand, it is now possible for ordinary people to go to Parliament and say they are equal.

    The State of the Nation

    David Seymour’s 2025 State of the Nation speech has been overwhelmed with praise from those who attended and watched it online. If you missed it, the video is here and we have reproduced the text below.

    Thank you, Brooke, for your kind introduction. I’m biased, but I think you’re the Government’s most quietly effective Minister. Your labour law reforms are making it easier to employ workers and to be employed. Your minimum wage increases are announced early to give business certainty, and relief. You are taking on two of the hardest chestnuts in the workplace – holiday pay and health and safety – by listening to the people affected. You’ve put together an honest Royal Commission on COVID-19, and got wait times down for new passports and Citizenships. All the while you attract growing respect as a hard-working local MP here in Tamaki.

    It’s easy to forget Brooke’s 32. She has the biggest future in New Zealand politics.

    The only problem with mentioning one ACT MP is they’re all kicking goals with both feet, so you have to mention the lot. Nicole McKee is speeding up the court system, rewriting the entire Arms Act to make New Zealand safer, and reforming anti-money laundering laws so people can business done.

    Andrew Hoggard handles the country’s biosecurity, managing would-be outbreaks with steady hands. He is also dealing to Significant Natural Areas that erode farmers’ property rights and correcting the naïve treatment of methane that punishes the whole country.

    He’s able to do that in large part because of the work Mark Cameron did, and continues to do. From 2020 onwards he scared the bejesus out of every other party in rural New Zealand. He shifted the whole political spectrum right on the split gas approach, SNAs, and freshwater laws. Now the Government is changing those policies. As Chair of the Primary Production Committee, Mark stays in the headlines championing rural New Zealand every week. He is the definition of an effective MP.

    Karen Chhour is the embodiment of ACT values. Her life gives her more excuses than anyone in Parliament, but she makes none, and she accepts none. She is reforming the government department that let her down when she was small. If every New Zealander had Karen’s attitude and values, we’d be a country with no problems.

    Perhaps the biggest single policy problem we face is the Resource Management Act. Somone once said you can fill a town hall to stop anything in this country, but you can’t fill a telephone box to get something started. In steps Simon Court who, with Chris Bishop, is designing new resource management laws based on property rights. That’s an ACT policy designed to unleash the latent wealth our country has by letting people develop and use the property they own.

    Our new MPs that you helped elect last year are also making their marks. Todd Stephenson has picked up the End of Life Choice baton, with a bill to extend compassion and choice to those who suffer the most: those with long-term, degenerative illnesses. Parmjeet Parmar is one of the hardest working MPs I have seen, and a great chair of the Economic Development, Science and Innovation Committee. Cam Luxton and Laura McClure speak to a new generation of young parents who want their children to grow up in a free society.

    If you gave your Party Vote to ACT last year, you can be proud of the New Zealanders you put in Parliament to represent you. I am proud to lead this team of free thinkers in our House of Representatives, and I think we can all be proud of their efforts.

    New Zealand’s origin story: a nation of immigrants

    The summer is a good time to think about the state of our nation, and I got to thinking about who we are and how we got here. Whatever troubles we may face today, I couldn’t help coming back to something that unites New Zealand.

    Our country at its best is a place that welcomes hopeful people from all over the earth. People with different languages, religions and cultures united by one thing. When you look at the map it jumps out at you. We are the most remote country on Earth. If you’ve never stood at Cape Reinga and looked out to see wide open spaces for 10,000 kilometres, you owe it to yourself just once.

    It shows that one thing makes us all different from the rest of the world. No matter when or where you came from, you or your ancestors once travelled farther than anyone to give your children and theirs a better tomorrow.

    That is the true Kiwi spirit. Taking a leap into the unknown for a chance at better. Compared with what divides us, our spirit as a nation of pioneers unites us ten times over. Migrating from oppression and poverty for freedom and prosperity is what it means to be Kiwi.

    If that bright and optimistic side of our psyche, got half as much time as the whinging, we would all be better off. We would see ourselves as people unafraid of challenges, freed from conformity, with the power to decide our best days are always ahead of us.

    New Zealand’s inherent tension: two tribes

    I got to wondering why that isn’t a more popular story. Why do we cut down tall poppies? Why do we value conformity over truth? Why do people who came here for a better life grow up disappointed and move away again?

    I believe our nation is dominated by two invisible tribes. One, I call ‘Change Makers’. People who act out the pioneering spirit that built our country every day. We don’t just believe it is possible to make a difference in our own lives; we believe it’s an obligation.

    Change makers load up their mortgage to start a business and give other people jobs. They work the land to feed the world. They save up and buy a home that they maintain for someone else to live in. They study hard to extend themselves. They volunteer and help out where they can. They take each person as they find them. They don’t need to know your ancestry before they know how to treat you.

    Too often, they get vilified for all of the above. I know there’s many people like that in this room today. ACT people are Change Makers; we carry the pioneering spirit in our hearts.

    Then there’s the other tribe – people building a Majority for Mediocrity. They would love nothing more than to go into lockdown again, make some more sourdough, and worry about the billions in debt another day.

    They blame one of the most successful societies in history for every problem they have. They believe that ancestry is destiny. They believe people are responsible for things that happened before they were born, but criminals aren’t responsible for what they did last week.

    Far from believing people can make a difference in their own lives, they believe that their troubles are caused by other people’s success. They look for politicians who’ll cut tall poppies down – politicians who say to young New Zealanders ‘if you study hard, get good grades, get a good job, save money, and invest wisely, we’ll tax you harder’.

    I wasn’t kidding about the lockdowns; they were a litmus test. In early 2022, after this city had been locked down for months, and the borders had been closed for two years, a pollster asked New Zealanders if they’d like to be locked down again for Omicron.

    Now, I know it’s painful to think back, but bear with me. Omicron spread more easily than any earlier variant. It was also less harmful if you caught it. That was especially so because we were then among the most vaccinated nations on earth. The damage to business, education, non-COVID healthcare, and the government’s books was already massive and painful.

    And yet, 48 per cent of New Zealanders wanted another lockdown for Omicron. 46 per cent didn’t. That for me put the tribes into sharp relief. If you were a business owner who needed to open, a parent worried about missed education, a migrant missing their family, or just someone who wanted their life back, you wanted to open.

    When the Government finally lifted restrictions, many of those people left. Real estate agents report people selling because they’re moving to Australia every day. This is where the balance between these two invisible tribes comes into focus.

    Remember the gap in that poll was two per cent. Since the borders opened a net 116,000 citizens have left New Zealand. That’s a touch over two per cent.

    A tipping point

    The more people with get up and go choose to get up and leave, the less attractive it is for motivated people to stay here.

    Muldoon once quipped, ‘New Zealanders who leave for Australia raise the IQ of both countries.’ Actually, New Zealanders who leave for Australia  are tipping us towards a Majority for Mediocrity. Motivated New Zealanders leaving is good news for the shoplifters, conspiracy theorists, and hollow men who make up the political opposition.

    A few more good people leaving is all they need for their Majority of Mediocrity. The more that aspirational, hardworking people get up and leave New Zealand, the more likely it is we’ll get left-wing governments in the future.

    That’s why I say we’re at a tipping point.

    There’s another reason why the mediocrity majority is growing, young people feel betrayed and disillusioned.

    A new generation looks at the housing market and sees little hope. Imagine you’re someone who’s done it all right, you listened to your teacher and did your homework. You studied for a tertiary education like everyone told you. Now you have $34,000 in debt, you start on $60,000, and you see the average house is 900,000 or fifteen times your (before tax) income.

    Nobody can blame a young person for wondering if they aren’t better off overseas. Many decide they are. Those who stay are infected  by universities  with the woke mind viruses of identity politics, Marxism, and post-modernism.

    Feeling like you’ll never own your own capital asset at the same time as some professor left over from the Cold War tells you about Marx is a dangerous combination.

    This is the other political tipping point that risks manufacturing a majority for mediocrity. A bad housing market and a woke education system combined are a production line for left-wing voters.

    The hard left prey on young New Zealanders. They tell them that their problems are caused by others’ success. That they are held back by their identity, but if they embrace identity politics, they can take back what’s theirs. Their mechanism is a new tax on wealth.

    These are the opposite of the spirit brings New Zealanders to our shores in the first place. The state of our nation is that we’re at a tipping point , and what we do in the next few years will decide which way we go.

    The short-term outlook is sunny, but only because Labour was so bad.

    We can afford to hope that this year will be better than 2024. By that standard, 2025 will be a success. Interest rates will be lower. The Government will have stopped wasting borrowed money, banning things, punishing employers, landlords, farmers, and anyone else trying to make a difference, with another layer of red tape.

    In fact, we have a Government that’s saving money, cutting red tape, and paring back identity politics. With those changes we will see more hope than we’ve seen in years, and hopefully a slowdown in citizens leaving. That is good, it’s welcome, and ACT is proud to be part of the coalition Government that’s doing it.

    ACT is needed to be brave, articulate, and patriotic

    The truth is, though, it’s easy to do a better job of Labour over 12 months. It’s much harder to muster the courage to keep making difficult decisions over several years, even if they’re not immediately popular. Our nation is in a century of decline. Just stopping one Government’s stupid stuff and waiting for a cyclical recovery won’t change the long-term trend. We need to be honest about the challenges we face and the changes needed to overcome them.

    We need to act like a country at risk of reaching a tipping point and losing its first world status. We are facing some tough times, and tough times require tough choices to be made.

    ACT’s goal is to keep the Government, and make it better. We may have gone into Government, but we never went into groupthink. It’s the role of ACT to be the squeaky wheel, pointing out where the Government needs to do better.

    The Government cannot measure itself by just being better than Labour. Instead, we need to ask ourselves, is this policy good enough to make New Zealand a first world country that people want to stay in?

    It’s easy to have big plans, we are the world, but charity begins at home. We need to focus only on what the government does, and ensure it does it well.

    We need to think carefully about three areas of government activity: spending, owning, and regulating. There is nothing the government does that doesn’t come down to one of those three things.

    Why government spends a dollar it has taxed or borrowed, and whether the benefits of that outweigh the costs.

    Why government owns an asset, and whether the benefits to citizens outweigh the costs to taxpayers of owning it.

    Why a restriction is placed on the use and exchange of private property, and whether the benefits of that regulation outweigh the costs on the property owner.

    When it comes to spending, we have a burning platform.

    Last year the economy shrunk by one per cent, even as the population grew slightly thanks to births and inbound migration. This year the Government is planning to borrow $17 billion, about $10 billion is for interest on debt, and we’ll have to pay interest on that debt the following year. Next year, government debt will exceed $200 billion.

    There lots of reasons why this situation will get harder.

    We’ve claimed an exclusive economic zone of four million square kilometres by drawing a circle around every offshore island we could name. We spend less than one per cent of GDP defending it, while our only ally, across the ditch, spends twice that.

    Put another way, we’re a country whose government gives out $45 billion in payments each year but spends only $3.2 billion defending the place. Does that sound prudent to you? Doubling defense would cost another $3.2 billion per year, effectively paying more for what we already have. We may face pressure to do just that thanks to US foreign policy.

    There’s a tail wind on balancing the books, and it’s affecting every developed country, our population is ageing faster than it’s growing.

    Every year around 60,000 people turn sixty-five and become eligible for a pension. To the taxpayer, superannuation expenses increase by $1.4 billion each year.

    Healthcare spending has gone from $20 billion to $30 billion in five years, but people are so dissatisfied that healthcare is now the third biggest political issue. Put it another way, we are now spending nearly $6,000 per citizen on healthcare.

    How many people here would give up their right to the public healthcare system if they got $6,000 for their own private insurance? Should we allow people to opt out of the public healthcare system, and take their portion of funding with them so they can go private?

    Education is similar. We spend $20 billion of taxpayer money every year, and every year 60,000 children are born. By my count that’s $333,000 of lifetime education spending for each citizen.

    How many people would take their $333,000 and pay for their own education? How many young New Zealanders would be better off if they did it that way?

    Instead of spending next year because we did it this year, we need to ask ourselves, if we want to remain a first world country, then do New Zealanders get a return on this spending that justifies taking the money off taxpayers in the first place? If spending doesn’t stack up, it should stop so we can repay debt or spend the money on something that does.

    Then there’s the $570 billion, over half a trillion dollars of assets, the government owns. The one thing we know from state houses, hospital projects, and farms with high levels of animal death, is that the government is hopeless at owning things.

    But did you know you own Quotable Value, a property valuation company chaired by a former race relations conciliator that contracts to the government of New South Wales?

    What about 60,000 homes? The government doesn’t need to own a home to house someone. We know this because it also spends billions subsidising people to live in homes it doesn’t own. On the other hand, the taxpayer is paying $10 billion a year servicing debt, and the KiwiBuild and Kainga Ora debacles show the government should do as little in housing as possible.

    There are greater needs for government capital. We haven’t built a harbour crossing for nearly seven decades. Four hundred people die every year on a substandard road network. Beaches around here get closed thanks to sewerage overflow, but we need more core infrastructure. Sections of this city are being red zoned from having more homes built because the council cannot afford the pipes and pumping stations.

    We need to get past squeamishness about privatisation and ask a simple question: if we want to be a first world country, then are we making the best use of the government’s half a trillion dollars’ plus worth of assets? If something isn’t getting a return, the government should sell it so we can afford to buy something that does.

    Finally, there’s regulation. That is placing restrictions on the use and exchange of property that the government doesn’t own or hasn’t taxed off the people who earned it already. That is, your property. Bad regulation is killing our prosperity in three ways.

    It adds costs to the things we do. It’s the delays, the paperwork, and the fees that make too many activities cost more than they ought to. It’s the builder saying it takes longer to get the consent than it took to build the thing. It’s the anti-money laundering palaver that ties people in knots doing basic things but somehow doesn’t stop criminals bringing in half a billion dollars of P each year. It’s the daycare centre that took four years to open because different departments couldn’t agree about the road noise outside. I could go on all afternoon.

    Then there’s the things that just don’t happen because people decide the costs don’t add up once the red tape is factored in.

    Then there’s the big one that goes to the heart of our identity and culture. It’s all the kids who grow up in a country where people gave up or weren’t allowed to try. It’s the climbing wall at Sir Edmund Hillary’s old school with signs saying don’t climb. It’s the lack of nightlife because it’s too hard to get a license. It’s the fear that comes from worrying WorkSafe or some other regulator will come and shut you down. You can’t measure it, but we all know it’s there.

    The Kiwi spirit we are so proud of is being chipped away and killing our vibe. Nobody migrated here to be compliant, but compliance is infantilising our culture, and I haven’t even mentioned orange cones yet.

    If we want to remain first world, we need to change how we regulate. No law should be passed without showing what problem is being solved, whether the benefits outweigh the costs, and who pays the costs and gets the benefits. These are the basic principles of the Regulatory Standards Bill that the Government will pass this year.

    Conclusion

    Of course, the Government IS doing many things that will change how it operates. There is a drive to reduce waste. There is a drive to get more money from overseas investment. The Regulatory Standards Bill will change how we regulate. The Resource Management Act is being replaced. Anti-money laundering laws are being simplified. Charter schools are opening, more roads are being built. These are all good things.

    But make no mistake, our country has always been the site of a battle between two tribes. The effect of emigration, and the world faced by young New Zealanders risks creating a permanent majority for mediocrity. Our country is at a tipping point.

    We need honest conversations about why government spends, owns, and regulates, and whether those policies are good enough to secure our future as a first world nation.

    You may have seen the ACT Party has been involved in a battle to define the principles of the Treaty democratically. It’s caused quite a stir. If you missed it, please check out treaty.nz where we outline what it’s about. It may still succeed this time, or it may be one of those bills that simply breaks the ground so something like it can proceed in the future.

    Either way, the tribe of change makers has a voice. People who want equal rights for all New Zealanders to be treated with respect and dignity because they’re citizens have a position that others need to refute. Good luck to them arguing against equal rights.

    It also shows something else, that ACT is the party prepared to stand up when it’s not easy and it’s not popular. That’s exactly the type of party our country needs in our Government.

    To all the Change Makers who proudly put us there, thank you, and no matter how daunting this tipping point may feel, together we can ensure our best days are still ahead of us.

    MIL OSI New Zealand News –

  • MIL-OSI New Zealand: Parliament must condemn hateful ‘hotline’ targeting Israeli visitors

    Source: ACT Party

    Responding to the Palestinian Solidarity Network’s ‘hotline’ for reporting Israeli soldiers holidaying in New Zealand, ACT MP Simon Court says:

    “John Minto and his followers, in their pursuit of Israeli tourists, would create a real-life version of the Hunger Games movies. Their undisguised antisemitic behaviour is not acceptable in a liberal democracy like New Zealand.

    “Military service is compulsory for Israeli citizens. This means any Israeli holidaying, visiting family, or doing business in New Zealand could be targeted by John Minto’s hateful campaign.

    “This is not normal political activism, it is intimidation targeted toward Jewish visitors. It mirrors the worst instincts of humanity and should be condemned by parties across Parliament.”

    MIL OSI New Zealand News –

  • MIL-OSI New Zealand: Business Appointments – Fusion5 appoints CEO for New Zealand

    Source: NZ news tips

    Message: 28 January 2025 – Wellington, New Zealand. Australasian business solutions company Fusion5 has announced the appointment of Kristy Brown as Chief Executive Officer for its New Zealand operations.
    The appointment will see Fusion5 Australia and New Zealand led respectively by Sven Martin and Kristy Brown. Martin took on the initial Australia/New Zealand CEO role in 2023 and will now be entirely focused on the market expansion and growth opportunities in Australia.
    “Appointing dual CEOs in New Zealand and Australia is essential for realising the growth potential in both countries,” says Rebecca Tohill, Fusion5 Executive Chair. “It will allow us to harness local energy and drive without distraction as Fusion5 evolves from a business solutions provider to a transformation partner specialising in systems integration and delivering high-value, holistic solutions.”
    “Kristy has an impressive track record at Fusion5, particularly in advancing our Microsoft capabilities and business,” says Sven Martin, Fusion5 CEO – Australia. “We’ve collaborated successfully over the years, and I’m genuinely excited for her. With her as my counterpart in New Zealand, I can provide dedicated focus on the Australian market, ensuring both regions thrive.”
    An experienced business leader, Brown joined Fusion5 in 2016 and built a highly successful Microsoft practice within New Zealand. Brown was appointed Fusion5’s Chief Microsoft Officer – Australia/New Zealand in 2024. Today, Fusion5’s multi-award-winning Microsoft practice constitutes over 60% of its revenue.
    Brown is also known for her commitment to mentoring and nurturing the next generation of talent within the business.
    “I’m truly excited to be leading Fusion5 New Zealand,” says Brown, “and I appreciate the trust the business continues to show in me and the support from those around me. Being appointed to this role is a privilege and an opportunity for Fusion5 to bring significant performance improvements for our local customers. As we grow, we never want to lose sight of what’s important to our customers and our people. With dual CEOs in place, we can do this – and more – effectively and at scale.”
    “Kristy has outstanding market engagement skills; her passion, drive, and ability to connect with customers, partners, and our people make her the ideal leader to propel our growth in New Zealand,’ says Tohill. “Between Sven and Kristy, Fusion5 is in the best possible hands.”

    MIL OSI New Zealand News –

  • MIL-OSI Australia: Deadline for pubs and clubs to comply with new ATM laws fast approaching

    Source: New South Wales Premiere

    Published: 26 January 2025

    Last updated: 28 January 2025

    Released by: Minister for Gaming and Racing

    New laws regarding ATMs and EFTPOS machines near gaming machines will be enforced from next month, as part of the Minns Labor Government’s gambling harm minimisation reforms.

    Under new rules, machines that allow cash withdrawals must be placed at least 5m from the entry to a gaming room and not be visible from any machine or entry to a gaming room.

    Having ATMs and EFTPOS facilities further away from gaming machines encourages a break in play for vulnerable customers, who may benefit from taking a step away to consider how much they are spending.

    The new rules came into place on 1 January, with a one-month grace period to comply. From this Saturday, 1 February Liquor and Gaming NSW will take a zero-tolerance approach, with venues in breach liable to fines, statutory directions and/or prosecution.

    The new measures are the latest in a suite of reforms introduced by the NSW Government since 1 June 2023 to reduce gambling harm, including:

    • banning the placement of any signage or advertising relating to gaming machines either on, or visible from an ATM or EFTPOS terminal with cash withdrawal facilities
    • reducing the statewide gaming machine entitlement cap by more than 3000
    • banning political donations from clubs with electronic gaming machines
    • reducing the cash input limit on new gaming machines from $5,000 to $500
    • banning all external gambling signage in venues
    • introducing Responsible Gambling Officers for venues with more than 20 machine entitlements
    • establishing an Independent Panel to conduct a trial of cashless gaming in pubs and clubs throughout 2024
    • committing $100 million to harm minimisation – investing in research, prevention, services and reform.

    Liquor and Gaming NSW is conducting a compliance campaign throughout January and February to work with venues to ensure they are meeting the new requirements.

    More than 225 venues across 17 Local Government Areas have been inspected and while most have been found to be doing the right thing, 30 of the venues were yet to comply with the requirements.

    Minister for Gaming and Racing David Harris said:

    “The Minns Labor Government is committed to reforms to reduce gambling harm in clubs and hotels and we have achieved more in 22 months of office than the Liberal Coalition did in 12 years.

    “All pubs and clubs in NSW with gaming machines must comply with gambling harm minimisation requirements and do the right thing by their patrons.

    “It’s pleasing to hear the majority of venues inspected have complied with the new rules regarding placement of cash dispensing machines.

    “I urge any licensees still to make the necessary changes to do so as quickly as possible or they can expect a strong enforcement response.”

    MIL OSI News –

  • MIL-OSI Australia: NSW’s frontline heroes celebrated with Australia day honours

    Source: New South Wales Premiere

    Published: 26 January 2025

    Last updated: 28 January 2025

    Released by: Minister for Emergency Services

    Sixteen emergency services personnel from NSW have been recognised on the Australia Day 2025 Honours List for their service to the community during times of crisis.

    The Australian Fire Service Medal was awarded to eleven recipients representing Fire and Rescue NSW (FRNSW) and the NSW Rural Fire Service (NSW RFS).

    The Emergency Services Medal was awarded to five recipients representing the NSW State Emergency Service (NSW SES), Surf Life Saving NSW (SLS NSW), and VRA Rescue NSW.

    Medal recipients are announced twice a year as part of the Australia Day and the Kings Birthday Honours Lists, recognising the dedication, bravery, and leadership of emergency services personnel to keeping our communities safe. 

    Australian Fire Service Medal recipients

    • Mr Gregory Reuben Houston, FRNSW
    • Mr Samuel James Parkhouse, FRNSW
    • Mr Garry James Reardon, FRNSW
    • Mr Samuel Stuart Clark AM, NSW RFS
    • Ms Robyn Leslie Reynolds, NSW RFS
    • Ms Jennifer Ann Farrell, NSW RFS
    • Mr Scott Alexander Campbell, NSW RFS
    • Mr Wayne Robert Keel, NSW RFS
    • Mr Anthony Clough, NSW RFS
    • Mr John Duncan Hedley, NSW RFS
    • Mr Robert James Conroy, NSW RFS

    Emergency Services Medal recipients

    • Mrs Christine Speer, NSW SES
    • Mr Anthony Gerard Battam, NSW SES
    • Mr Michael Anthony Wasley, SLS NSW
    • Mrs Julie Wilcox, SLS NSW
    • Mr Daniel John van Keimpema, VRA Rescue NSW

    Minister for Emergency Services Jihad Dib said:

    “I’m thrilled to see so many of our outstanding emergency services personnel recognised on the Australia Day Honours List. Their service is a testament to the very best of our state and we’re proud to honour their achievements.

    “From bushfires to floods, surf rescues and storms – our emergency services workers go above and beyond to protect the people of NSW and demonstrate exceptional bravery, compassion, and commitment.

    “The Australian Fire Service Medal and the Emergency Service Medal is a well-deserved recognition of their tireless efforts to keeping our communities safe.”

    MIL OSI News –

  • MIL-OSI Australia: Championing creativity and diversity during NSW Women’s Week 2025

    Source: New South Wales Premiere

    Published: 28 January 2025

    Released by: Minister for Women

    Fifteen organisations across New South Wales have received a share of more than $430,000 to host events that highlight women’s creativity, diversity and empowerment during this year’s Women’s Week.

    The NSW Government is building better communities where women and girls can achieve their potential and thrive.

    Women’s Week Grants have been running since 2018 to fund innovative events that empower women and girls to participate in our communities, to advance gender equality in the longer term.

    The 15 successful recipients of the 2025 Women’s Week Grants include:

    1. Interrelate Ltd – Empowerment through education: addressing the need for menstrual education to support young women in need (Coonamble LGA)
    2. Kiama Municipal Council - Paint the Town Femme (Kiama LGA) 
    3. Powerhouse Youth Theatre Inc. - Khair (خير): A Woman’s Tale (Fairfield LGA)
    4. NSW Tonga Netball Association Inc - Her Journey (Queanbeyan-Palerang LGA)
    5. Mudgee Local Aboriginal Land Council - Yinaagirbang Maywang (Women Together) (Mid-Western LGA)
    6. Accessible Arts - Wellbeing Through Art (City of Sydney LGA)
    7. African Sub-Sahara International Development Agency (ASSIDA) - African Women Celebration Week (Liverpool LGA)
    8. SSI – Settlement Service International – Celebrating the diversity of regional women (Coffs Harbour LGA)
    9. Walhallow Local Aboriginal Land Council - Rise & Shine: Gamilaroi Women’s Week Celebration (Liverpool Plains LGA)
    10. Lane Cove Council – Resilience and Radiance (Lane Cove LGA)
    11. Diversity Arts Australia - Empowering Diversity: Women in Arts and Creativity Symposium (Parramatta LGA)
    12. Northern Beaches Council - NSW Women’s Week Writing and Poetry Workshop Series – Celebrating Female Authors living with a Disability (Northern Beaches LGA)
    13. Nourish Nation Foundation Inc – Nourishing Women: A Path to Health Empowerment (Wagga Wagga LGA)
    14. Randwick City Council – Women’s Work art show and live music performance (Randwick LGA)
    15. Maari Ma Health Aboriginal Organisation –Because of Her, We Can: Health and Wellbeing in Far West NSW (Broken Hill, Central Darling Shire and Balranald LGAs)

    NSW Women’s Week, which runs from Sunday 2 to Saturday 8 March, is an annual showcase of the stories and remarkable achievements of women in our state.

    The NSW Government’s Women of the Year Awards at the International Convention Centre is the culmination the week-long celebrations and will be held in Sydney on Thursday 6 March.

    To find out more about Women’s Week 2025 events, visit NSW Women’s Week 2025 | NSW Government.

    Minister for Women Jodie Harrison said:

    “The NSW Government is thrilled to fund one of the most diverse range of Women’s Week events this year.

    “Alongside some great activities that focus on women’s health, art and stories, we have funded events we hope will engage Aboriginal and Torres Strait Islander women, women from culturally and linguistically diverse backgrounds, the LGBTIQA+ community, women with a disability and women from rural, regional and remote NSW.

    “We want these events to inspire creativity and talent, empower women of all ages and backgrounds and encourage diversity and inclusion. I encourage everyone to get involved in the events that are planned in your communities.

    “NSW Women’s Week gives women a platform to honour the many contributions to our families and communities in all aspects of social, cultural, and political life.”

    MIL OSI News –

  • MIL-OSI Australia: Seniors set for laughs during free NSW Seniors Festival Comedy Shows in Sydney and Port Stephens

    Source: New South Wales Premiere

    Published: 28 January 2025

    Released by: Minister for Seniors

    Nine comedy geniuses will take to the stage for the NSW Seniors Festival Comedy Shows this March to entertain seniors in Sydney and Port Stephens.

    The free events will deliver a day of laughs as comedians Bec Melrose, Rebecca De Unamuno, Simon Kennedy, Gary Eck, Anisa Nandaula, Mat Wakefield, Laura Hughes, Peter Berner, and Tommy Dean show off their talents at the Seniors Festival Comedy Shows.

    Emcee Andrew Barnett, will host the fun-filled events at:

    • Sydney Town Hall on Tuesday 4 March at 11am
    • Soldiers Point Hall in Port Stephens on Thursday 6 March at 10:30am and 1:30pm

    Tickets will be available from Tuesday 11 February at 9am at https://www.nsw.gov.au/arts-and-culture/seniors-festival/whats-on/nsw-seniors-festival-comedy-show.

    The annual NSW Seniors Festival takes place from 3 to 16 March. The festival is the largest of its kind in the southern hemisphere, with more than 500,000 people participating in events held across NSW.

    Highlights of the festival include the Expo with a range of activities and stalls for seniors to engage in, as well as the free Premier’s Gala Concerts, both of which will be held at Sydney’s International Convention Centre on Wednesday 12 and Thursday 13 March.

    For tickets to these events and to keep up to date with everything happening at the NSW Seniors Festival, visit https://www.nsw.gov.au/arts-and-culture/seniors-festival.

    Minister for Seniors Jodie Harrison said:

    “It’s fantastic to see the comedy shows being held again – they always draw a great crowd and leave seniors in stitches.

    “These events offer our seniors the opportunity to enjoy time out with friends, while watching comedians they know or discover new ones. It’s a popular event that helps keep seniors connected and feeling included. I’m looking forward to seeing them enjoy the shows.

    “This is the NSW Government’s way of saying thank you for all the valuable contributions our older generation has made and continues to make to society. I encourage seniors to get their free tickets and attend these great shows in Sydney and Port Stephens.”

    Member for Port Stephens Kate Washington MP said:

    “It’s terrific news that Port Stephens’ seniors are going to have a laugh soon, especially after the difficult weeks we’ve had recently.

    “I just love how the NSW Seniors Festival Comedy Show will be held at two sites in the state – Sydney Town Hall and Soldier’s Point Hall.

    “Port Stephens is a beautiful community because of the significant contribution our seniors make. Like me, the NSW Government is grateful to them, and this comedy show is our way of giving back.”

    MIL OSI News –

  • MIL-OSI Australia: New life-saving defibrillators awarded for NSW sports facilities

    Source: New South Wales Premiere

    Published: 28 January 2025

    Released by: The Premier, Minister for Sport

    The Minns Labor Government is today announcing the delivery of almost 200 life-saving defibrillators to sporting and recreation organisations across the state.

    This announcement brings the total number of devices awarded under this program to more than 2,500 defibrillators.

    Every year, more than 9,000 people experience cardiac arrests outside of hospitals and these defibrillators play a key role in helping save the lives of a number of these people.

    These portable defibrillators detect and analyse a person’s heart activity and, if needed, deliver an electric shock through the chest to the heart.

    The NSW Government’s Local Sport Defibrillator Grant Program provides up to $3,000 for the purchase, installation and training in new automated external defibrillators.

    A total of $500,000 has been made available each year to NSW sporting organisations to pay for these devices.

    Importantly, approximately 80 per cent of defibrillators awarded under this round of funding went to regional and remote communities, where emergency medical services naturally are further apart.

    This follows a decision made by the Minns Labor Government to ensure funding was directed to grassroots sporting organisations in some of NSW’s most disadvantaged areas for new life-saving defibrillators at local sports facilities.

    The NSW Labor Government is committed to rebuilding our grassroots sporting communities and ensuring local facilities are fit-for-purpose.

    To view the full list of recipients, visit: https://www.sport.nsw.gov.au/grants/local-sport-defibrillator-grant-program

    Premier of NSW Chris Minns said:

    “Access to one of these defibrillators can be the difference between life and death for thousands of people across NSW who suffer cardiac arrests each year – which is what makes this so important.”

    “Delivering hundreds of new defibrillators to sporting organisations across our state will give even more people the confidence to exercise and play sport safely.”

    “We’re making sure that areas that have been neglected for far too long, also have access to these life saving devices.”

    Minister for Sport Steve Kamper said:

    “The Local Sport Defibrillator Grant Program equips sports clubs to be able to respond to potentially life-threatening emergencies at their sports facilities.”

    “The first few minutes following out-of-hospital cardiac arrest are critical, that is why the NSW Government is ensuring people participating in sport activities have access to potentially life-saving equipment.

    “This investment by the NSW Government has the potential to mean the difference between life and death.”

    Founder, Heartbeat of Football Andy Paschalidis said:

    “I applaud the NSW Government for the ongoing defibrillator rollout programme which is saving lives.”

    “Last year, at least six footballers in Sydney alone were saved because of defibrillator access at their grounds and the rapid response by individuals trained in CPR.

    “It’s wonderful to see 200 sporting clubs will now be able to purchase and install these life saving devices.”

    Co-deputy Director of the Victor Chang Cardiac Research Institute Professor Jamie Vandenberg said:

    “Around 10,000 people in NSW suffer a cardiac arrest outside of hospital each year, and currently the vast majority will die.

    “Being able to access a defibrillator in those crucial first minutes can make all the difference, so it’s incredibly heartening to see that almost 200 sporting clubs will now be able to purchase and install these lifesaving devices. This will help keep families together

    “This is a sobering statistic but it’s one we can change for the better by installing more of these lifesaving devices in sports clubs across the State.”

    MIL OSI News –

  • MIL-OSI Submissions: Australia Economy – WA tops economic leaderboard as Queensland rises up the ranks: CommSec State of the States – CBA

    Source: Commonwealth Bank of Australia (CBA)

    WA leads on five of eight economic indicators as Australian state economies remain resilient in the face of higher interest rates and inflation pressures.

    Western Australia has held off a fast-finishing Queensland to claim top spot as the country’s best performing economy for the second quarter in a row in the latest CommSec State of the States report.

    Now in its 16th year, the State of the States report determines which state or territory economy is performing best, by tracking eight key economic indicators and comparing the latest data with decade averages (or the “normal”).

    Western Australia led the national performance rankings for the second time in a decade, ranked first on five of the eight economic indicators.

    In a closely fought contest, Queensland moved up from third spot, joining South Australia in second spot. Victoria remains in fourth place, with Tasmania steady in fifth place.

    NSW leapfrogged the ACT into sixth from seventh place, with the nation’s capital slipping back to seventh. The Northern Territory remains in eighth spot.

    “Overall, economies have slowed in response to higher interest rates and inflation, however Australian states and territories are proving resilient due to a strong job market and solid population growth. As consumers respond to higher borrowing costs and price pressures, the future path will depend on whether the job market can hold up as well as the trajectory of interest rates over the coming months,” Chief CommSec Economist Ryan Felsman said

    “Western Australia’s performance across a number of indicators, namely retail spending, unemployment, population growth, housing finance and dwelling starts powered the state to the top of our economic leaderboard for the second quarter in a row. Queensland however is nipping at WA’s heels, having shot up to equal second place alongside South Australia, with solid results across the eight economic indicators and strong economic momentum. As expected, the interest-rate sensitive south-eastern states remained in a tight cluster mid-table.”

    Additional state and territory highlights include:

    Western Australia ranks first on retail spending, relative unemployment, relative population growth, housing finance and dwelling starts.
    Queensland is now equal second, up from third place, with solid results across the board. South Australia, now joint second, ranks first on economic growth.
    Victoria remains in fourth place – leading on construction work done – and is in fourth spot on two indicators.
    Tasmania is steady in fifth spot — ranking second on equipment spending — but is held back by lower rankings on other indicators.
    NSW moves up to sixth from seventh position and now ranks fifth on four indicators. The ACT has slipped back to seventh — in that position on four indicators.
    The Northern Territory remains in last place. But the “Top End” has performed better over the past 12 months, ranking first for retail spending and equipment investment when annual growth rates are considered.

    Annual growth rates

    The State of the States report also compares the annual growth rates of the eight major indicators, enabling comparisons in terms of more recent economic momentum. This quarter’s report showed:

    Resources-focused Queensland and Western Australia both have the strongest annual economic momentum, and Queensland is now in first spot with Western Australia slipping to second.
    There is little to separate the states with Queensland ranked first or second on five out of the eight key economic indicators. Western Australia is top ranked on three indicators.
    The biggest mover is Victoria, which has jumped to third from seventh place in a sign of improvement in underlying economic activity.  
    South Australia has ascended to fourth from sixth place.
    The Northern Territory has eased back to fifth from third spot. The ACT and NSW are now in joint sixth position, ahead of Tasmania in eighth spot – all held back by higher borrowing costs and slower population growth.

    About the CommSec State of the States Report

    The January 2025 edition of the State of the States report uses the most recent economic data available. While population growth data relates to the June quarter of 2024, other data – such as unemployment – is much timelier, covering the month of December 2024, with housing finance figures focusing on the month of September 2024.

    CommSec, the digital broking arm of Australia’s largest bank, assesses the performance of each state and territory on a quarterly basis using eight key indicators. Those indicators include economic growth, retail spending, equipment investment, unemployment, construction work done, population growth, housing finance, and dwelling commencements.

    Just as the Reserve Bank of Australia (RBA) uses long-term averages to determine the level of “normal” interest rates, CommSec compares the key indicators to decade averages; that is, against “normal” performance.

    CommSec also compares annual growth rates for eight key indicators for all states and territories, in addition to Australia as a whole, enabling a comparison of economic momentum.

    MIL OSI – Submitted News –

  • MIL-OSI: Capital Bancorp, Inc. Announces 4Q and Full Year 2024 Results; Successful Close of the IFH Acquisition; Robust Organic Loan and Deposit Growth; Diversified Business Model Drives Strong Performance

    Source: GlobeNewswire (MIL-OSI)

    Fourth Quarter 2024 Results

    • Net Income of $7.5 million, or $0.45 per share, and return on average assets of 0.96%
      • Net Income of $15.5 million, or $0.92 per share, and return on average assets of 1.97% as adjusted to exclude the impact of merger-related expenses, initial Integrated Financial Holdings, Inc. (“IFH”) Allowance for Credit Losses (“ACL”) provision, and a non-recurring legacy IFH equity and debt investment write-down (non-GAAP)(1)
    • Tangible Book Value Per Share(1) of $18.77, decreased 6.8%, or $1.36 as compared to $20.13 (3Q 2024), resulting from the acquisition of IFH and related purchase accounting impacts
    • Return on average equity of 8.50%, and return on average tangible common equity(1) of 9.47%
      • Core return on average equity(1) of 17.68%, and core return on average tangible common equity(1) of 19.19%
    • Net Interest Income increased $6.0 million, or 15.6% (not annualized), from 3Q 2024
    • Net Interest Margin (“NIM”) decreased to 5.87% as compared to 6.41% (3Q 2024)
      • Core NIM, as adjusted to exclude the impact of credit card loans (non-GAAP)(1) decreased to 4.05% as compared to 4.08% (3Q 2024)
      • Net purchase accounting accretion of $0.7 million for 4Q 2024 accounted for 9 basis points of the reported 5.87% NIM and 10 basis points of the reported 4.05% core NIM, respectively
    • Fee Revenue (noninterest income) totaled $11.9 million, or 21.2% of total revenue for 4Q 2024
      • Core Fee Revenue of $14.5 million, or 24.7% of total core revenue, increased $7.9 million from 3Q 2024, excluding a non-recurring equity and debt investment write-down of $2.6 million (non-GAAP)(1), primarily due to the acquisition of IFH
    • Gross Loan Growth in the quarter of $522.6 million includes $373.5 million from the acquisition of IFH, and $149.1 million from organic growth, or 28.2% annualized for 4Q 2024
      • Commercial and industrial loans of $554.6 million, or 21.0% of total gross loans at December 31, 2024 increased $282.7 million from September 30, 2024
    • Total Deposit Growth in the quarter of $575.7 million includes $459.0 million from the acquisition of IFH, and $116.7 million from organic growth, or 21.2% annualized for 4Q 2024
      • Noninterest bearing deposits increased $92.8 million, or 51.4% annualized from 3Q 2024
    • The ratio of allowance for credit losses to total loans equaled 1.85% at December 31, 2024 including 1.44% for the legacy Capital Bank portfolio, down 7 basis points from 3Q. The additional ACL coverage results from the initial $15.5 million impact from the acquisition of the IFH portfolio.
    • Cash Dividend of $0.10 per share declared by the Board of Directors

    ROCKVILLE, Md., Jan. 27, 2025 (GLOBE NEWSWIRE) — Capital Bancorp, Inc. (the “Company”) (NASDAQ: CBNK), the holding company for Capital Bank, N.A. (the “Bank”), today reported net income of $7.5 million, or $0.45 per diluted share, for the fourth quarter 2024, compared to net income of $8.7 million, or $0.62 per diluted share, for the third quarter 2024, and $9.0 million, or $0.65 per diluted share, for the fourth quarter 2023. On October 1, 2024, the Company successfully completed its previously announced merger with IFH. Net income for the fourth quarter 2024 would have been $15.5 million, or $0.92 per diluted share if adjusted to exclude the impact of merger-related expenses, the initial IFH ACL provision, and a non-recurring equity and debt investment write down (non-GAAP)(1), compared to $9.2 million, or $0.66 per diluted share, for the third quarter 2024.

    The Company also declared a cash dividend on its common stock of $0.10 per share. The dividend is payable on February 26, 2025 to shareholders of record on February 10, 2025.

    “We are pleased to have successfully closed our acquisition of Integrated Financial Holdings, and we are now focused on merger integration and executing on the opportunities from our complementary lines of business,” said Ed Barry, CEO of the Company and the Bank. “We continue to benefit from our diversified business model which is driving growth across our platforms.”

    “The really strong performance of the commercial bank during the quarter was highlighted by record loan growth, solid deposit growth, and stable core net interest margin. I am particularly pleased by the growth of our commercial and industrial loans,” said Steven J. Schwartz, Chairman of the Company. “This outstanding organic growth is expected to continue to be a major contributing factor in our overall earnings growth in 2025 and beyond. The acquisition of IFH, while creating a lot of noise in the financial results of the 4th quarter, provides us with a new line of business – loan servicing, processing, and packaging – and a significant expansion of our government-guaranteed lending platform.”

    (1) Reconciliations of the non–U.S. generally accepted accounting principles (“GAAP”) measures are set forth in the Appendix at the end of this press release.

    Acquisition of Integrated Financial Holdings, Inc.
    On October 1, 2024, the Company successfully completed its previously announced merger with IFH. Pursuant to the terms of the Merger Agreement, each share of IFH’s common stock, par value $1.00 per share (“IFH Common Stock”) was converted into the right to receive (a) 1.115 shares of common stock of the Company, par value $0.01 per share (“Capital Common Stock”); and (b) $5.36 in cash per share of IFH Common Stock held immediately prior to the Effective Time, in addition to cash in lieu of fractional shares. In addition, each stock option granted by IFH to purchase shares of IFH Common Stock, whether vested or unvested, outstanding immediately prior to the Effective Time, was assumed by the Company and converted into an equivalent option to purchase Capital Common Stock, with the same terms and conditions as applied to the IFH stock option.

    Total assets, including purchase accounting adjustments, of $559.4 million acquired in connection with the IFH acquisition included gross loans of $373.5 million, loans held for sale of $41.7 million and total deposits of $459.0 million at October 1, 2024.

    During 2024, the Company incurred pre-tax merger-related expenses of $3.9 million, including expenses totaling $2.6 million for the fourth quarter 2024, generally consistent with modeled expectations.

    The fourth quarter earnings were also impacted by pre-tax provision credit losses on acquired loans of $4.2 million (“Initial IFH ACL Provision”) along with a non-recurring $2.6 million write-down of a legacy IFH equity and debt investment in a start-up. The net remaining value of the equity and debt investment is $0.2 million at December 31, 2024.

    The following table provides a reconciliation of the Company’s net income under GAAP to non-GAAP results excluding merger-related expenses, Initial IFH ACL Provision, and the non-recurring equity and debt write-down.

      Fourth Quarter 2024   Third Quarter 2024
    (in thousands, except per share data) Income Before Income Taxes   Income Tax Expense   Net Income   Diluted Earnings per Share   Income Before Income Taxes   Income Tax Expense(Benefit)   Net Income   Diluted Earnings per Share
    GAAP Earnings $ 10,776     $ 3,243     $ 7,533     $ 0.45     $ 11,499     $ 2,827     $ 8,672     $ 0.62  
    Add: Merger-Related Expenses   2,615       464       2,151           520       (37 )     557      
    Add: Non-recurring Equity and Debt Investment Write-Down   2,620       —       2,620           —       —       —      
    Add: Initial IFH ACL Provision   4,194       1,025       3,169           —       —       —      
    Non-GAAP Earnings $ 20,205     $ 4,732     $ 15,473     $ 0.92     $ 12,019     $ 2,790     $ 9,229     $ 0.66  
      Year Ended December 31, 2024
    (in thousands, except per share data) Income Before Income Taxes   Income Tax Expense   Net Income   Diluted Earnings per Share
    GAAP Earnings $ 41,832     $ 10,860     $ 30,972     $ 2.11  
    Add: Merger-Related Expenses   3,930       622       3,308      
    Add: Non-recurring Equity and Debt Investment Write-Down   2,620       —       2,620      
    Add: Initial IFH ACL Provision   4,194       1,025       3,169      
    Non-GAAP Earnings $ 52,576     $ 12,507     $ 40,069     $ 2.73  
                                   

    Note: The tax benefit associated with merger-related expenses has been adjusted to reflect the estimated nondeductible portion of the expenses.

    Fourth Quarter 2024 Highlights

    Earnings Summary

    Net income of $7.5 million, or $0.45 per diluted share, decreased $1.1 million compared to $8.7 million, or $0.62 per diluted share, for the third quarter 2024. Net income of $15.5 million, or $0.92 per diluted share, as adjusted to exclude the impact of merger-related expenses, Initial IFH ACL Provision and a $2.6 million non-recurring equity and debt investment write-down (non-GAAP)(1) for the fourth quarter 2024 compared to $9.2 million, or $0.66 per diluted share, for the third quarter 2024.

    • Net interest income of $44.3 million increased $6.0 million, or 15.6%, compared to the third quarter 2024.
      • Interest income of $61.7 million increased $9.1 million, or 17.3%, over the third quarter 2024, primarily from $7.9 million in portfolio loan interest income, as growth in average balances increased $539.3 million. Interest income from interest-bearing deposits held at other financial institutions increased $0.3 million, as average balances increased $49.1 million to $140.2 million. Interest income included $0.7 million from net purchase accounting amortization.
      • Interest expense of $17.4 million increased $3.1 million, or 21.9% over the third quarter 2024 due to increases in time deposits and borrowed funds of $2.7 million and $0.6 million, respectively, offset by a decrease in customer money market deposits of $0.3 million. Average balances increased $367.8 million, $53.5 million and $65.3 million, respectively. Interest expense included $1.4 million from net purchase accounting accretion.
    • The provision for credit losses was $7.8 million, an increase of $4.1 million from the third quarter 2024, which included the Initial IFH ACL Provision of $4.2 million, $2.4 million from organic commercial portfolio loan growth and $1.2 million from OpenSky provision in the quarter. Net charge-offs totaled $2.4 million, a $0.2 million decrease over the third quarter 2024, including $2.1 million from credit card related loans. At December 31, 2024, the allowance for credit losses to total loans ratio was 1.85%, up 34 basis points from the ratio at September 30, 2024 due to the initial purchase credit deteriorated (“PCD”) credit mark and initial non-PCD ACL provision. Excluding IFH, legacy Capital Bank ACL coverage ratio was 1.44%, a decrease of 7 basis points from the third quarter 2024.

    Earnings Summary (Continued)

    • Noninterest income of $11.9 million increased $5.3 million as compared to the third quarter 2024 primarily due to contributions from the IFH acquisition. Government loan servicing revenue (Windsor) totaled $4.0 million, government lending revenue totaled $2.3 million and loan servicing rights totaled $1.0 million, offset by a non-recurring equity and debt write-down of $2.6 million related to an IFH investment. Other income increased $1.0 million including $0.9 million related to an investment in an SBIC, while credit card fees declined $0.3 million.
    • Noninterest expense of $37.5 million increased $7.8 million as compared to the third quarter 2024, primarily from the IFH acquisition. Noninterest expense of $34.9 million, excluding merger-related expenses of $2.6 million, increased $5.7 million as compared to the third quarter 2024. Highlights include:
      • The fourth quarter 2024 includes $0.3 million of intangible amortization resulting from the transaction.
      • Salaries and employee benefits expenses of $16.5 million increased $3.2 million, primarily related to the acquisition of IFH.
      • Occupancy and equipment expenses of $3.0 million increased $1.2 million, primarily related to increased contract expense from the IFH acquisition of $0.5 million and software depreciation of $0.4 million.
      • Estimated total cost synergies resulting from the acquisition totaled $1.5 million in the fourth quarter 2024, generally consistent with modeled expectations.
    • Income tax expense of $3.2 million, or 30.1% of pre-tax income for the fourth quarter 2024, increased $0.4 million from $2.8 million, or 24.6% of pre-tax income for the third quarter 2024. The elevated tax rate in the quarter resulted from non-deductibility of an equity and debt write-down along with some merger-related expenses. Excluding merger-related expenses and the non-recurring equity and debt write-down, the effective income tax rate for the fourth quarter 2024 would have been 22.6%.

    Balance Sheet

    Total assets of $3.2 billion at December 31, 2024 increased $646.1 million, or 25.2% (not annualized), from September 30, 2024. Total assets, including $559.4 million acquired with the IFH acquisition, net of purchase accounting, included gross loans of $373.5 million, loans held for sale of $41.7 million and total deposits of $459.0 million at October 1, 2024.

    • Cash and cash equivalents of $205.3 million at December 31, 2024 increased $48.6 million from September 30, 2024.
    • Total portfolio loans of $2.6 billion at December 31, 2024 increased $522.6 million, or 24.8% (not annualized) from September 30, 2024. Total average loans increased $539.3 million quarter over quarter.
      • Owner-occupied commercial real estate loans increased $88.6 million, or 25.2% (not annualized) from September 30, 2024.
      • The average portfolio loans-to-deposit ratio of 99.27% for the three months ended December 31, 2024 remained stable.
    • Total deposits of $2.8 billion at December 31, 2024 increased $575.7 million, or 26.3% (not annualized), from September 30, 2024. The increase includes $190.6 million of customer time deposits, $92.8 million of noninterest-bearing deposits primarily related to growth in title company deposit balances, $130.2 million of growth in customer money market deposits and $180.0 million of growth in brokered time deposits, partially offset by a decrease in interest-bearing demand accounts of $27.6 million.
      • Insured and protected deposits were approximately $1.6 billion as of December 31, 2024, representing 57.1% of the Company’s deposit portfolio.
      • Low and no interest bearing deposits of $1.1 billion, 38.5% of deposits, increased $74.9 million, or 7.6% (not annualized) from September 30, 2024. Average noninterest-bearing deposits of $729.9 million increased $49.2 million, or 7.2% (not annualized), and represented 27.9% of total average deposits at December 31, 2024.
    • The investment securities portfolio continues to be classified as available-for-sale and had a fair market value of $223.6 million, or 7.0% of total assets, an effective duration of 3.0 years, with U.S. Treasury Securities representing 57% of the overall investment portfolio at December 31, 2024. The accumulated other comprehensive income (loss) on the investment securities portfolio increased $2.9 million during the quarter to ($11.5 million) as of December 31, 2024, which represents 3.2% of total stockholders’ equity. The Company does not have a held-to-maturity investment securities portfolio.
    • Liquidity – The Company maintains stable and reliable sources of available borrowings, generally consistent with prior quarter. Sources of available borrowings at December 31, 2024 totaled $803.0 million, including available collateralized lines of credit of $595.7 million, unsecured lines of credit with other banks of $76.0 million and unpledged investment securities available as collateral for potential additional borrowings of $131.4 million.
    • Capital Positions – As of December 31, 2024, the Company reported a common equity tier 1 capital ratio of 13.74%, compared to 14.78% at September 30, 2024. At December 31, 2024, the Company and the Bank maintain regulatory capital ratios that exceed all capital adequacy requirements.

    Financial Metrics

    Net Interest Margin – Net interest margin decreased 54 basis points to 5.87% for the three months ended December 31, 2024, compared to prior quarter. Core net interest margin, as adjusted to exclude the impact of OpenSky™ credit card loans (non-GAAP)(1), decreased 3 basis points to 4.05% as compared to prior quarter. Net purchase accounting accretion for the fourth quarter 2024 was 9 basis points and 10 basis points for NIM and core NIM, respectively.

    • The average yield on interest earning assets of 8.17% decreased 62 basis points compared to the prior quarter, including 40 basis points from inclusion of IFH commercial assets. The yield on portfolio loans, as adjusted to exclude the impact of OpenSky™ credit card loans (non-GAAP)(1), of 6.98% for the fourth quarter 2024, decreased 17 basis points, primarily as a consequence of reduced market interest rates.
    • The total cost of deposits decreased 14 basis points to 2.50% for the fourth quarter 2024 as compared to the prior quarter. The total cost of interest-bearing deposits decreased 46 basis points to 3.46% for the fourth quarter 2024 as compared to the prior quarter.

    Efficiency Ratios – The efficiency ratio was 66.7% for the three months ended December 31, 2024, compared to 66.1% for the three months ended September 30, 2024. The efficiency ratio was 59.3%, as adjusted to exclude the impact of merger-related expenses and a non-recurring equity and debt investment write-down (non-GAAP)(1), for the three months ended December 31, 2024 compared to 64.9% for the three months ended September 30, 2024.

    Credit Metrics and Asset Quality – The ratio of allowance for credit losses to total loans equaled 1.85% at December 31, 2024, an increase of 34 basis points from September 20, 2024, which includes a 1.44% ACL coverage ratio for the legacy Capital Bank portfolio, down 7 basis points from 3Q. The additional ACL coverage results from the initial $15.5 million reserve on the $373.5 million IFH loan portfolio. Underlying credit performance and metrics were relatively stable and consistent with prior quarter when excluding the impact of the combination with IFH.

    Nonperforming assets increased 34 basis points to 0.94% of total assets at December 31, 2024 as compared to September 30, 2024. Total nonaccrual loans at December 31, 2024 increased $14.8 million to $30.2 million compared to September 30, 2024. At December 31, 2024, special mention loans totaled $60.0 million, or 2.3% of total portfolio loans, as compared to $20.3 million, or 1.0% of total portfolio loans, at September 30, 2024. At December 31, 2024, substandard loans totaled $48.4 million, or 1.8% of total portfolio loans, as compared to $23.8 million, or 1.1% of total portfolio loans, at September 30, 2024.

    Performance Ratios – Annualized return on average assets (“ROAA”) and annualized return on average equity (“ROAE”), and ROATCE were 0.96%, 8.50%, and 9.47% respectively, for the three months ended December 31, 2024, compared to 1.42%, 12.59%, and 12.59% respectively, for the three months ended September 30, 2024.

    • Annualized ROAA, annualized ROAE, and annualized ROATCE were 1.97%, 17.46%, and 19.19% respectively, as adjusted to exclude the impact of merger-related expenses, Initial IFH ACL Provision, and a non-recurring equity and debt investment write-down (non-GAAP)(1), for the three months ended December 31, 2024, compared to 1.51%, 13.40%, and 13.40% respectively, for the three months ended September 30, 2024.

    Tangible Book Value – Book value per common share of $21.31 at December 31, 2024 increased $1.19 when compared to September 30, 2024. Tangible book value per common share(1) decreased $1.36, or 6.8%, to $18.77 at December 31, 2024 when compared to September 30, 2024. Tangible book value was impacted by the purchase accounting adjustments made in consequence of the IFH acquisition. The Company did not have goodwill or other intangible assets prior to the fourth quarter 2024. Therefore, tangible book value per share(1) was equal to book value per share for periods prior to the fourth quarter 2024.

    Commercial Bank

    Continued Portfolio Loan Growth – Gross portfolio loans, excluding OpenSky™ credit card loans, increased $522.9 million, to $2.5 billion, at December 31, 2024 compared to September 30, 2024.

    The $522.9 million gross portfolio loan growth includes commercial real estate loans of $156.4 million, residential real estate loans of $64.9 million and commercial and industrial loans of $282.7 million. Historical gross portfolio loan balances are disclosed in the Composition of Loans table within the Historical Financial Highlights.

    Net Interest Income – Interest income of $45.2 million increased $9.4 million from prior quarter, driven by loan growth and higher loan yields. Interest expense of $17.1 million increased $3.1 million, driven by an increase in average balances in the fourth quarter 2024.

    Credit Metrics – Nonperforming assets, comprised solely of nonaccrual loans, increased 34 basis point to 0.94% of total assets at December 31, 2024 compared to September 30, 2024. Total nonaccrual loans at December 31, 2024 increased to $30.2 million compared to $15.5 million at September 30, 2024 due primarily to the acquisition of IFH.

    Classified and Criticized Loans – At December 31, 2024, special mention loans totaled $60.0 million, or 2.3% of total portfolio loans, as compared to $20.3 million, or 1.0% of total portfolio loans, at September 30, 2024. At December 31, 2024, substandard loans totaled $48.4 million, or 1.8% of total portfolio loans, as compared to $23.8 million, or 1.1% of total portfolio loans, at September 30, 2024.

    OpenSky™

    Revenues – Total revenue of $19.2 million decreased $0.5 million from the prior quarter. Interest income of $15.5 million decreased $0.2 million from the prior quarter. Average OpenSky™ credit card loan balances, net of reserves and deferred fees of $121.0 million for the fourth quarter 2024, increased $1.5 million, or 1.3% (not annualized), compared to prior quarter. Noninterest income of $3.7 million decreased $0.4 million as compared to the prior quarter, primarily related to lower annual fee income.

    Noninterest Expense – Total noninterest expense of $12.6 million decreased $0.7 million, primarily related to a reduction in quarterly advertising expense.

    Loan and Deposit Balances – Loan balances, net of reserves, of $127.8 million at December 31, 2024 increased by $0.7 million, or 0.5%, compared to $127.1 million at September 30, 2024. Corresponding deposit balances of $166.4 million at December 31, 2024 decreased $4.4 million, or 2.6%, compared to $170.8 million at September 30, 2024. Gross unsecured loan balances of $42.4 million at December 31, 2024 increased $2.7 million, or 6.8%, compared to $39.7 million at September 30, 2024. During the fourth quarter 2024, the number of credit card accounts increased by 3,614 to 552,566 from September 30, 2024.

    OpenSky™Credit – Portfolio credit metrics continue to be generally consistent with modeled expectations during the fourth quarter 2024. The provision for credit losses of $1.2 million decreased $1.1 million when compared to the prior quarter.

    Capital Bank Home Loans

    Originations of loans held for sale totaled $90.0 million during the fourth quarter, with $77.4 million of mortgage loans sold resulting in a gain on sale of loans of $1.9 million, representing a 2.45% of gain on sale as a percentage of total loans sold.

    Windsor Advantage

    Windsor Advantage is a loan service provider that offers community banks and credit unions with a comprehensive outsourced U.S. Small Business Association (“SBA”) 7(a) and U.S. Department of Agriculture (“USDA”) lending platform. Windsor Advantage generates fee income for the Company in connection with its servicing, processing and packaging of such loans for its financial institution clients.

    Fee Income – Gross government loan servicing revenue totaled $4.6 million, including $0.5 million of Capital Bank related servicing fees, during the fourth quarter 2024. Windsor’s total servicing portfolio was $2.5 billion at December 31, 2024.

    COMPARATIVE FINANCIAL HIGHLIGHTS – Unaudited            
                               
      Quarter Ended   4Q24 vs 3Q24   4Q24 vs 4Q23
    (in thousands, except per share data) December 31, 2024   September 30, 2024   December 31, 2023   $ Change   % Change   $ Change   % Change
    Earnings Summary                          
    Interest income $ 61,707     $ 52,610     $ 46,969     $ 9,097     17.3 %   $ 14,738     31.4 %
    Interest expense   17,380       14,256       12,080       3,124     21.9 %     5,300     43.9 %
    Net interest income   44,327       38,354       34,889       5,973     15.6 %     9,438     27.1 %
    Provision for credit losses   7,828       3,748       2,808       4,080     108.9 %     5,020     178.8 %
    Provision for (release of) credit losses on unfunded commitments   122       17       (106 )     105     617.6 %     228     (215.1 )%
    Noninterest income   11,913       6,635       5,936       5,278     79.5 %     5,977     100.7 %
    Noninterest expense   37,514       29,725       26,907       7,789     26.2 %     10,607     39.4 %
    Income before income taxes   10,776       11,499       11,216       (723 )   (6.3 )%     (440 )   (3.9 )%
    Income tax expense   3,243       2,827       2,186       416     14.7 %     1,057     48.4 %
    Net income $ 7,533     $ 8,672     $ 9,030     $ (1,139 )   (13.1 )%   $ (1,497 )   (16.6 )%
                                       
    Pre-tax pre-provision net revenue (“PPNR”) (1) $ 18,726     $ 15,264     $ 13,918     $ 3,462     22.7 %   $ 4,808     34.5 %
    PPNR, as adjusted(1) $ 23,961     $ 15,784     $ 13,918     $ 8,177     51.8 %   $ 10,043     72.2 %
                                       
    Common Share Data                                  
    Earnings per share – Basic $ 0.45     $ 0.62     $ 0.65     $ (0.17 )   (27.4 )%   $ (0.20 )   (30.8 )%
    Earnings per share – Diluted $ 0.45     $ 0.62     $ 0.65     $ (0.17 )   (27.4 )%   $ (0.20 )   (30.8 )%
    Earnings per share – Diluted, as adjusted(1) $ 0.92     $ 0.66     $ 0.65     $ 0.26     39.4 %   $ 0.27     41.5 %
    Weighted average common shares – Basic   16,595       13,914       13,897                  
    Weighted average common shares – Diluted   16,729       13,951       13,989                  
                               
    Return Ratios                          
    Return on average assets (annualized)   0.96 %     1.42 %     1.63 %                
    Return on average assets, as adjusted (annualized)(1)   1.97 %     1.51 %     1.63 %                
    Return on average equity (annualized)   8.50 %     12.59 %     14.44 %                
    Return on average equity, as adjusted (annualized)(1)   17.46 %     13.40 %     14.44 %                
    Return on average tangible common equity (annualized)(1)   9.47 %     12.59 %     14.44 %                
    Core return on average equity, as adjusted (annualized)(1)   17.68 %     13.40 %     14.44 %                
    Core return on average tangible common equity, as adjusted (annualized)(1)   19.19 %     13.40 %     14.44 %                

    ______________
    (1) Refer to Appendix for reconciliation of non-GAAP measures.

    COMPARATIVE FINANCIAL HIGHLIGHTS – Unaudited (Continued)  
                   
      Year Ended        
      December 31,        
    (in thousands, except per share data)   2024       2023     $ Change   % Change
    Earnings Summary              
    Interest income $ 213,301     $ 183,206     $ 30,095     16.4 %
    Interest expense   58,555       41,680       16,875     40.5 %
    Net interest income   154,746       141,526       13,220     9.3 %
    Provision for credit losses   17,720       9,610       8,110     84.4 %
    Provision for (release of) credit losses on unfunded commitments   385       (101 )     486     (481.2 )%
    Noninterest income   31,410       24,975       6,435     25.8 %
    Noninterest expense   126,219       110,767       15,452     14.0 %
    Income before income taxes   41,832       46,225       (4,393 )   (9.5 )%
    Income tax expense   10,860       10,354       506     4.9 %
    Net income $ 30,972     $ 35,871     $ (4,899 )   (13.7 )%
                     
    Pre-tax pre-provision net revenue (“PPNR”) (1) $ 59,937     $ 55,734     $ 4,203     7.5 %
    PPNR, as adjusted(1) $ 66,487     $ 55,734     $ 10,753     19.3 %
                     
    Common Share Data                
    Earnings per share – Basic $ 2.12     $ 2.56     $ (0.44 )   (17.2 )%
    Earnings per share – Diluted $ 2.11     $ 2.55     $ (0.44 )   (17.3 )%
    Earnings per share – Diluted, as adjusted(1) $ 2.73     $ 2.55          
    Weighted average common shares – Basic   14,584       14,003          
    Weighted average common shares – Diluted   14,660       14,081          
                   
    Return Ratios              
    Return on average assets (annualized)   1.21 %     1.64 %        
    Return on average assets, as adjusted (annualized)(1)   1.57 %     1.64 %        
    Return on average equity (annualized)   10.78 %     14.91 %        
    Return on average equity, as adjusted (annualized)(1)   13.94 %     14.91 %        

    ______________
    (1) Refer to Appendix for reconciliation of non-GAAP measures.

    COMPARATIVE FINANCIAL HIGHLIGHTS – Unaudited (Continued)        
                           
      Quarter Ended       Quarter Ended
      December 31,     September 30,   June 30,   March 31,
    (in thousands, except per share data)   2024       2023     % Change     2024       2024       2024  
    Balance Sheet Highlights                      
    Assets $ 3,206,911     $ 2,226,176       44.1 %   $ 2,560,788     $ 2,438,583     $ 2,324,238  
    Investment securities available-for-sale   223,630       208,329       7.3 %     208,700       207,917       202,254  
    Mortgage loans held for sale   21,270       7,481       184.3 %     19,554       19,219       10,303  
    Portfolio loans receivable (2)   2,630,163       1,903,288       38.2 %     2,107,522       2,021,588       1,964,525  
    Allowance for credit losses   48,652       28,610       70.1 %     31,925       30,832       29,350  
    Deposits   2,761,939       1,895,996       45.7 %     2,186,224       2,100,428       2,005,695  
    FHLB borrowings   22,000       22,000       — %     52,000       32,000       22,000  
    Other borrowed funds   12,062       27,062       (55.4 )%     12,062       12,062       12,062  
    Total stockholders’ equity   355,139       254,860       39.3 %     280,111       267,854       259,465  
    Tangible common equity (1)   312,685       254,860       22.7 %     280,111       267,854       259,465  
                           
    Common shares outstanding   16,662       13,923       19.7 %     13,918       13,910       13,890  
    Book value per share $ 21.31     $ 18.31       16.4 %   $ 20.13     $ 19.26     $ 18.68  
    Tangible book value per share (1) $ 18.77     $ 18.31       2.5 %   $ 20.13     $ 19.26     $ 18.68  
    Dividends per share $ 0.10     $ 0.08       25.0 %   $ 0.10     $ 0.08     $ 0.08  

    ______________
    (1) Refer to Appendix for reconciliation of non-GAAP measures.
    (2) Loans are reflected net of deferred fees and costs.

    Consolidated Statements of Income (Unaudited)        
      Three Months Ended Year Ended
    (in thousands) December 31, 2024   September 30, 2024   June 30, 2024   March 31, 2024   December 31, 2023   December 31, 2024   December 31, 2023
    Interest income                          
    Loans, including fees $ 58,602     $ 50,047     $ 48,275     $ 45,991     $ 45,109     $ 202,915     $ 174,760  
    Investment securities available-for-sale   1,539       1,343       1,308       1,251       1,083       5,441       4,815  
    Federal funds sold and other   1,566       1,220       1,032       1,127       777       4,945       3,631  
    Total interest income   61,707       52,610       50,615       48,369       46,969       213,301       183,206  
                               
    Interest expense                          
    Deposits   16,385       13,902       13,050       12,833       11,759       56,170       39,625  
    Borrowed funds   995       354       508       528       321       2,385       2,055  
    Total interest expense   17,380       14,256       13,558       13,361       12,080       58,555       41,680  
                               
    Net interest income   44,327       38,354       37,057       35,008       34,889       154,746       141,526  
    Provision for credit losses   7,828       3,748       3,417       2,727       2,808       17,720       9,610  
    Provision for (release of) credit losses on unfunded commitments   122       17       104       142       (106 )     385       (101 )
    Net interest income after provision for credit losses   36,377       34,589       33,536       32,139       32,187       136,641       132,017  
    Noninterest income                          
    Service charges on deposits   241       235       200       207       240       883       964  
    Credit card fees   3,733       4,055       4,330       3,881       3,970       15,999       17,273  
    Mortgage banking revenue   1,821       1,882       1,990       1,453       1,166       7,146       4,896  
    Government lending revenue   2,301       —       —       —       —       2,301       —  
    Government loan servicing revenue   3,993       —       —       —       —       3,993       —  
    Loan servicing rights (government guaranteed)   1,013       —       —       —       —       1,013       —  
    Non-recurring equity and debt investment write-down   (2,620 )     —       —       —       —       (2,620 )     —  
    Other income   1,431       463       370       431       560       2,695       1,842  
    Total noninterest income   11,913       6,635       6,890       5,972       5,936       31,410       24,975  
    Noninterest expenses                          
    Salaries and employee benefits   16,513       13,345       13,272       12,907       11,638       56,037       48,754  
    Occupancy and equipment   2,976       1,791       1,864       1,613       1,573       8,244       5,673  
    Professional fees   2,150       1,980       1,769       1,947       1,930       7,846       9,270  
    Data processing   7,210       6,930       6,788       6,761       6,128       27,689       25,686  
    Advertising   1,032       1,223       2,072       2,032       1,433       6,359       6,161  
    Loan processing   969       615       476       371       198       2,431       1,633  
    Foreclosed real estate expenses, net   —       1       —       1       —       2       7  
    Merger-related expenses   2,615       520       83       712       —       3,930       —  
    Operational losses   993       1,008       782       931       1,490       3,714       4,613  
    Other operating   3,056       2,312       2,387       2,212       2,517       9,967       8,970  
    Total noninterest expenses   37,514       29,725       29,493       29,487       26,907       126,219       110,767  
    Income before income taxes   10,776       11,499       10,933       8,624       11,216       41,832       46,225  
    Income tax expense   3,243       2,827       2,728       2,062       2,186       10,860       10,354  
    Net income $ 7,533     $ 8,672     $ 8,205     $ 6,562     $ 9,030     $ 30,972     $ 35,871  
                                                           
    Consolidated Balance Sheets                  
      (unaudited)   (unaudited)   (unaudited)   (unaudited)   (audited)
    (in thousands, except share data) December 31, 2024   September 30, 2024   June 30, 2024   March 31, 2024   December 31, 2023
    Assets                  
    Cash and due from banks $ 25,433     $ 23,462     $ 19,294     $ 12,361     $ 14,513  
    Interest-bearing deposits at other financial institutions   179,841       133,180       117,160       72,787       39,044  
    Federal funds sold   58       58       57       56       407  
    Total cash and cash equivalents   205,332       156,700       136,511       85,204       53,964  
    Investment securities available-for-sale   223,630       208,700       207,917       202,254       208,329  
    Restricted investments   4,479       5,895       4,930       4,441       4,353  
    Loans held for sale   21,270       19,554       19,219       10,303       7,481  
    Portfolio loans receivable, net of deferred fees and costs   2,630,163       2,107,522       2,021,588       1,964,525       1,903,288  
    Less allowance for credit losses   (48,652 )     (31,925 )     (30,832 )     (29,350 )     (28,610 )
    Total portfolio loans held for investment, net   2,581,511       2,075,597       1,990,756       1,935,175       1,874,678  
    Premises and equipment, net   15,525       5,959       5,551       4,500       5,069  
    Accrued interest receivable   16,664       12,468       12,162       12,258       11,494  
    Goodwill   21,126       —       —       —       —  
    Intangible assets   14,072       —       —       —       —  
    Loan servicing assets   5,511       —       —       —       —  
    Deferred tax asset   16,670       10,748       12,150       12,311       12,252  
    Bank owned life insurance   43,956       38,779       38,414       38,062       37,711  
    Other assets   37,165       26,388       10,973       19,730       10,845  
    Total assets $ 3,206,911     $ 2,560,788     $ 2,438,583     $ 2,324,238     $ 2,226,176  
                       
    Liabilities                  
    Deposits                  
    Noninterest-bearing $ 810,928     $ 718,120     $ 684,574     $ 665,812     $ 617,373  
    Interest-bearing   1,951,011       1,468,104       1,415,854       1,339,883       1,278,623  
    Total deposits   2,761,939       2,186,224       2,100,428       2,005,695       1,895,996  
    Federal Home Loan Bank advances   22,000       52,000       32,000       22,000       22,000  
    Other borrowed funds   12,062       12,062       12,062       12,062       27,062  
    Accrued interest payable   9,393       8,503       6,573       6,009       5,583  
    Other liabilities   46,378       21,888       19,666       19,007       20,675  
    Total liabilities   2,851,772       2,280,677       2,170,729       2,064,773       1,971,316  
                       
    Stockholders’ equity                  
    Common stock   167       139       139       139       139  
    Additional paid-in capital   128,598       55,585       55,005       54,229       54,473  
    Retained earnings   237,843       232,995       225,824       218,731       213,345  
    Accumulated other comprehensive loss   (11,469 )     (8,608 )     (13,114 )     (13,634 )     (13,097 )
    Total stockholders’ equity   355,139       280,111       267,854       259,465       254,860  
    Total liabilities and stockholders’ equity $ 3,206,911     $ 2,560,788     $ 2,438,583     $ 2,324,238     $ 2,226,176  
                                           

    The following tables show the average outstanding balance of each principal category of our assets, liabilities and stockholders’ equity, together with the average yields on our assets and the average costs of our liabilities for the periods indicated. Such yields and costs are calculated by dividing the annualized income or expense by the average daily balances of the corresponding assets or liabilities for the same period.

      Three Months Ended
    December 31, 2024    		   Three Months Ended
    September 30, 2024    		   Three Months Ended
    December 31, 2023
      Average
    Outstanding
    Balance    		   Interest Income/
    Expense    		   Average
    Yield/
    Rate(1)    		   Average
    Outstanding
    Balance    		   Interest Income/
    Expense    		   Average
    Yield/
    Rate(1)    		   Average
    Outstanding
    Balance    		   Interest Income/
    Expense    		   Average
    Yield/
    Rate(1)
      (in thousands)
    Assets                                  
    Interest earning assets:                                  
    Interest-bearing deposits $ 140,206     $ 1,446       4.10 %   $ 91,089     $ 1,137       4.97 %   $ 65,336     $ 680       4.13 %
    Federal funds sold   58       —       —       57       1       6.98       1,574       21       5.29  
    Investment securities available-for-sale   236,951       1,539       2.58       221,303       1,343       2.41       223,132       1,083       1.93  
    Restricted investments   7,292       120       6.55       4,911       82       6.64       4,518       76       6.67  
    Loans held for sale   25,614       193       3.00       9,967       161       6.43       4,601       83       7.16  
    Portfolio loans receivable(2)(3)   2,592,960       58,409       8.96       2,053,619       49,886       9.66       1,863,298       45,026       9.59  
    Total interest earning assets   3,003,081       61,707       8.17       2,380,946       52,610       8.79       2,162,459       46,969       8.62  
    Noninterest earning assets   117,026               56,924               40,020          
    Total assets $ 3,120,107             $ 2,437,870             $ 2,202,479          
                                       
    Liabilities and Stockholders’ Equity                                  
    Interest-bearing liabilities:                                  
    Interest-bearing demand accounts $ 257,446       424       0.66     $ 228,365       321       0.56     $ 195,539       90       0.18  
    Savings   13,497       20       0.59       4,135       5       0.48       5,184       2       0.15  
    Money market accounts   763,526       7,131       3.72       698,239       7,442       4.24       680,697       7,139       4.16  
    Time deposits   847,618       8,810       4.13       479,824       6,134       5.09       380,731       4,528       4.72  
    Borrowed funds   97,116       995       4.08       43,655       354       3.23       41,823       321       3.05  
    Total interest-bearing liabilities   1,979,203       17,380       3.49       1,454,218       14,256       3.90       1,303,974       12,080       3.68  
    Noninterest-bearing liabilities:                                  
    Noninterest-bearing liabilities   58,460               28,834               27,529          
    Noninterest-bearing deposits   729,907               680,731               622,941          
    Stockholders’ equity   352,537               274,087               248,035          
    Total liabilities and stockholders’ equity $ 3,120,107             $ 2,437,870             $ 2,202,479          
                                       
    Net interest spread           4.68 %             4.89 %             4.94 %
    Net interest income     $ 44,327             $ 38,354             $ 34,889      
    Net interest margin(4)           5.87 %             6.41 %             6.40 %

    _______________
    (1)   Annualized.
    (2)   Includes nonaccrual loans.
    (3)   For the three months ended December 31, 2024, September 30, 2024, and December 31, 2023, collectively, portfolio loans yield excluding credit card loans was 6.98%, 7.15% and 6.89%, respectively.
    (4)   For the three months ended December 31, 2024, September 30, 2024, and December 31, 2023, collectively, credit card loans accounted for 182, 233 and 248 basis points of the reported net interest margin, respectively.

      Year Ended December 31,
        2024       2023  
      Average
    Outstanding
    Balance    		   Interest Income/
    Expense    		   Average
    Yield/
    Rate(1)    		   Average
    Outstanding
    Balance    		   Interest Income/
    Expense    		   Average
    Yield/
    Rate(1)
      (in thousands)
    Assets                      
    Interest earning assets:                      
    Interest-bearing deposits $ 98,319     $ 4,569       4.65 %   $ 70,407     $ 3,211       4.56 %
    Federal funds sold   57       3       5.26       1,597       74       4.63  
    Investment securities available-for-sale   228,909       5,441       2.38       245,466       4,815       1.96  
    Restricted investments   5,563       373       6.71       5,016       346       6.90  
    Loans held for sale   12,121       569       4.69       5,755       382       6.64  
    Portfolio loans receivable(2)(3)   2,142,638       202,346       9.44       1,816,968       174,378       9.60  
    Total interest earning assets   2,487,607       213,301       8.57       2,145,209       183,206       8.54  
    Noninterest earning assets   66,442               43,090          
    Total assets $ 2,554,049             $ 2,188,299          
                           
    Liabilities and Stockholders’ Equity                      
    Interest-bearing liabilities:                      
    Interest-bearing demand accounts $ 221,437     $ 1,003       0.45 %   $ 201,194     $ 298       0.15 %
    Savings   6,732       27       0.40       5,768       8       0.14  
    Money market accounts   704,002       28,741       4.08       642,013       23,510       3.66  
    Time deposits   561,369       26,399       4.70       360,464       15,809       4.39  
    Borrowed funds   63,686       2,385       3.74       59,302       2,055       3.47  
    Total interest-bearing liabilities   1,557,226       58,555       3.76       1,268,741       41,680       3.29  
    Noninterest-bearing liabilities:                      
    Noninterest-bearing liabilities   34,043               24,026          
    Noninterest-bearing deposits   675,360               655,013          
    Stockholders’ equity   287,420               240,519          
    Total liabilities and stockholders’ equity $ 2,554,049             $ 2,188,299          
                           
    Net interest spread           4.81 %             5.25 %
    Net interest income     $ 154,746             $ 141,526      
    Net interest margin(4)           6.22 %             6.60 %

    (1)   Annualized.
    (2)   Includes nonaccrual loans.
    (3)   For the years ended December 31, 2024 and 2023, collectively, portfolio loans yield excluding credit card loans was 7.03% and 6.65%, respectively.
    (4)   For the years ended December 31, 2024 and 2023, collectively, credit card loans accounted for 222 and 264 basis points of the reported net interest margin, respectively.

    The Company’s reportable segments represent business units with discrete financial information whose results are regularly reviewed by management. The five segments include Commercial Banking, Capital Bank Home Loans (the Company’s mortgage loan division), OpenSky™ (the Company’s credit card division), Windsor Advantage and the Corporate Office.

    Effective January 1, 2024, the Company allocated certain expenses previously recorded directly to the Commercial Bank segment to the other segments. These expenses are for shared services also consumed by OpenSky™, CBHL, and Corporate. The Company performs an allocation process based on several metrics the Company believes more accurately ascribe shared service overhead to each segment. The Company believes this reflects the cost of support for each segment that should be considered in assessing segment performance. Historical information has been recast to reflect financial information consistently with the 2024 presentation.

    The following schedule presents financial information for the periods indicated. Total assets are presented as of December 31, 2024, September 30, 2024, and December 31, 2023.

    Segments                            
    For the three months ended December 31, 2024                
    (in thousands)   Commercial Bank   CBHL   OpenSky™   Windsor Advantage   Corporate(2)   Eliminations   Consolidated
    Interest income   $ 45,195     $ 192     $ 15,454     $ —     $ 874     $ (8 )   $ 61,707  
    Interest expense     17,086       131       —       —       171       (8 )     17,380  
    Net interest income     28,109       61       15,454       —       703       —       44,327  
    Provision for credit losses     6,651       —       1,177       —       —       —       7,828  
    Provision for credit losses on unfunded commitments     122       —       —       —       —       —       122  
    Net interest income after provision     21,336       61       14,277       —       703       —       36,377  
    Noninterest income (loss)     4,547       1,676       3,743       4,566       (2,619 )     —       11,913  
    Noninterest expense(1)     16,539       2,377       12,595       2,670       3,333       —       37,514  
    Net income (loss) before taxes   $ 9,344     $ (640 )   $ 5,425     $ 1,896     $ (5,249 )   $ —     $ 10,776  
                                 
    Total assets   $ 2,994,356     $ 21,691     $ 125,913     $ 7,922     $ 376,930     $ (319,901 )   $ 3,206,911  
                                 
    For the three months ended September 30, 2024                
    (in thousands)   Commercial Bank   CBHL   OpenSky™   Windsor Advantage   Corporate(2)   Eliminations   Consolidated
    Interest income   $ 35,805     $ 161     $ 15,625     $ —     $ 1,049     $ (30 )   $ 52,610  
    Interest expense     13,984       108       —       —       194       (30 )     14,256  
    Net interest income     21,821       53       15,625       —       855       —       38,354  
    Provision for credit losses     1,453       —       2,294       —       1       —       3,748  
    Provision for credit losses on unfunded commitments     17       —       —       —       —       —       17  
    Net interest income after provision     20,351       53       13,331       —       854       —       34,589  
    Noninterest income     726       1,811       4,096       —       2       —       6,635  
    Noninterest expense(1)     12,422       2,395       13,276       —       1,632       —       29,725  
    Net income (loss) before taxes   $ 8,655     $ (531 )   $ 4,151     $ —     $ (776 )   $ —     $ 11,499  
                                 
    Total assets   $ 2,358,555     $ 19,831     $ 121,587     $ —     $ 300,325     $ (239,510 )   $ 2,560,788  
                                 
    For the three months ended December 31, 2023                
    (in thousands)   Commercial Bank   CBHL   OpenSky™   Windsor Advantage   Corporate(2)   Eliminations   Consolidated
    Interest income   $ 30,957     $ 83     $ 15,035     $ —     $ 964     $ (70 )   $ 46,969  
    Interest expense     11,884       31       —       —       235       (70 )     12,080  
    Net interest income     19,073       52       15,035       —       729       —       34,889  
    Provision for (release of) credit losses     691       —       2,125       —       (8 )     —       2,808  
    Release of credit losses on unfunded commitments     (106 )     —       —       —       —       —       (106 )
    Net interest income after provision     18,488       52       12,910       —       737       —       32,187  
    Noninterest income     773       1,166       3,996       —       1       —       5,936  
    Noninterest expense(1)     12,303       1,617       12,669       —       318       —       26,907  
    Net income (loss) before taxes   $ 6,958     $ (399 )   $ 4,237     $ —     $ 420     $ —     $ 11,216  
                                 
    Total assets   $ 2,051,945     $ 8,589     $ 117,477     $ —     $ 277,565     $ (229,400 )   $ 2,226,176  

    ________________________
    (1) Noninterest expense includes $6.3 million, $6.2 million, and $5.7 million in data processing expense in OpenSky’s™ segment for the three months ended December 31, 2024, September 30, 2024, and December 31, 2023, respectively.
    (2) The Corporate segment invests idle cash in revenue-producing assets including interest-bearing cash accounts, loan participations and other appropriate investments for the Company.

    Segments                            
    For the year ended December 31, 2024                
    (in thousands)   Commercial Bank   CBHL   OpenSky™   Windsor Advantage   Corporate(2)   Eliminations   Consolidated
    Interest income   $ 147,464     $ 568     $ 61,785     $ —     $ 3,646     $ (162 )   $ 213,301  
    Interest expense     57,536       363       —       —       818       (162 )     58,555  
    Net interest income     89,928       205       61,785       —       2,828       —       154,746  
    Provision for credit losses     10,331       —       7,329       —       60       —       17,720  
    Provision for credit losses on unfunded commitments     385       —       —       —       —       —       385  
    Net interest income after provision     79,212       205       54,456       —       2,768       —       136,641  
    Noninterest income (loss)     6,654       6,684       16,122       4,566       (2,616 )     —       31,410  
    Noninterest expense(1)     53,429       9,377       53,245       2,670       7,498       —       126,219  
    Net income (loss) before taxes   $ 32,437     $ (2,488 )   $ 17,333     $ 1,896     $ (7,346 )   $ —     $ 41,832  
                                 
    Total assets   $ 2,994,356     $ 21,691     $ 125,913     $ 7,922     $ 376,930     $ (319,901 )   $ 3,206,911  
                                 
    For the year ended December 31, 2023                
    (in thousands)   Commercial Bank   CBHL   OpenSky™   Windsor Advantage   Corporate(2)   Eliminations   Consolidated
    Interest income   $ 116,408     $ 382     $ 62,476     $ —     $ 4,238     $ (298 )   $ 183,206  
    Interest expense     40,896       135       —       —       947       (298 )     41,680  
    Net interest income     75,512       247       62,476       —       3,291       —       141,526  
    Provision for credit losses     1,540       —       7,948       —       122       —       9,610  
    Release of credit losses on unfunded commitments     (101 )     —       —       —       —       —       (101 )
    Net interest income after provision     74,073       247       54,528       —       3,169       —       132,017  
    Noninterest income     2,737       4,909       17,325       —       4       —       24,975  
    Noninterest expense(1)     48,347       8,155       52,752       —       1,513       —       110,767  
    Net income (loss) before taxes   $ 28,463     $ (2,999 )   $ 19,101     $ —     $ 1,660     $ —     $ 46,225  
                                 
    Total assets   $ 2,051,945     $ 8,589     $ 117,477     $ —     $ 277,565     $ (229,400 )   $ 2,226,176  

    (1) Noninterest expense includes $24.9 million and $23.7 million in data processing expense in OpenSky’s™ segment for the years ended December 31, 2024 and 2023, respectively.
    (2) The Corporate segment invests idle cash in revenue-producing assets including interest-bearing cash accounts, loan participations and other appropriate investments for the Company.

    HISTORICAL FINANCIAL HIGHLIGHTS – Unaudited
        Quarter Ended
    (in thousands, except per share data)   December 31,
    2024    		   September 30,
    2024    		   June 30,
    2024    		   March 31,
    2024    		   December 31,
    2023
    Earnings:                    
    Net income   $ 7,533     $ 8,672     $ 8,205     $ 6,562     $ 9,030  
    Earnings per common share, diluted     0.45       0.62       0.59       0.47       0.65  
    Net interest margin     5.87 %     6.41 %     6.46 %     6.24 %     6.40 %
    Net interest margin, excluding credit card loans (1)     4.05 %     4.08 %     4.00 %     3.85 %     3.92 %
    Return on average assets(2)     0.96 %     1.42 %     1.40 %     1.15 %     1.63 %
    Return on average equity(2)     8.50 %     12.59 %     12.53 %     10.19 %     14.44 %
    Efficiency ratio     66.70 %     66.07 %     67.11 %     71.95 %     65.91 %
                         
    Balance Sheet:                    
    Total portfolio loans receivable, net deferred fees   $ 2,630,163     $ 2,107,522     $ 2,021,588     $ 1,964,525     $ 1,902,643  
    Total deposits     2,761,939       2,186,224       2,100,428       2,005,695       1,895,996  
    Total assets     3,206,911       2,560,788       2,438,583       2,324,238       2,226,176  
    Total stockholders’ equity     355,139       280,111       267,854       259,465       254,860  
    Total average portfolio loans receivable, net deferred fees     2,592,960       2,053,619       1,992,630       1,927,372       1,863,298  
    Total average deposits     2,611,994       2,091,294       2,010,736       1,957,559       1,885,092  
    Portfolio loans-to-deposit ratio (period-end balances)     95.23 %     96.40 %     96.25 %     97.95 %     100.35 %
    Portfolio loans-to-deposit ratio (average balances)     99.27 %     98.20 %     99.10 %     98.46 %     98.84 %
                         
    Asset Quality Ratios:                    
    Nonperforming assets to total assets     0.94 %     0.60 %     0.58 %     0.62 %     0.72 %
    Nonperforming loans to total loans     1.15 %     0.73 %     0.70 %     0.73 %     0.84 %
    Net charge-offs to average portfolio loans (2)     0.37 %     0.51 %     0.39 %     0.41 %     0.53 %
    Allowance for credit losses to total loans     1.85 %     1.51 %     1.53 %     1.49 %     1.50 %
    Allowance for credit losses to non-performing loans     160.88 %     206.50 %     219.40 %     204.37 %     178.34 %
                         
    Bank Capital Ratios:                    
    Total risk based capital ratio     12.82 %     13.76 %     14.51 %     14.36 %     14.81 %
    Tier 1 risk based capital ratio     11.56 %     12.50 %     13.25 %     13.10 %     13.56 %
    Leverage ratio     9.12 %     9.84 %     10.36 %     10.29 %     10.51 %
    Common equity Tier 1 capital ratio     11.56 %     12.50 %     13.25 %     13.10 %     13.56 %
    Tangible common equity     9.31 %     9.12 %     9.53 %     9.66 %     9.91 %
    Holding Company Capital Ratios:                    
    Total risk based capital ratio     15.48 %     16.65 %     16.98 %     16.83 %     17.38 %
    Tier 1 risk based capital ratio     13.83 %     14.88 %     15.19 %     15.03 %     15.55 %
    Leverage ratio     11.07 %     11.85 %     11.93 %     11.87 %     12.14 %
    Common equity Tier 1 capital ratio     13.74 %     14.78 %     15.08 %     14.92 %     15.43 %
    Tangible common equity     11.07 %     10.94 %     10.98 %     11.16 %     11.45 %

    _______________
    (1) Refer to Appendix for reconciliation of non-GAAP measures.
    (2) Annualized.

    HISTORICAL FINANCIAL HIGHLIGHTS – Unaudited (Continued)
        Quarter Ended
    (in thousands, except per share data)   December 31,
    2024    		   September 30,
    2024    		   June 30,
    2024    		   March 31,
    2024    		   December 31,
    2023
    Composition of Loans:                    
    Commercial real estate, non owner-occupied   $ 471,329     $ 403,487     $ 397,080     $ 377,224     $ 351,116  
    Commercial real estate, owner-occupied     440,026       351,462       319,370       330,840       307,911  
    Residential real estate     688,552       623,684       601,312       577,112       573,104  
    Construction real estate     321,252       301,909       294,489       290,016       290,108  
    Commercial and industrial     554,550       271,811       255,686       254,577       239,208  
    Lender finance     28,574       29,546       33,294       13,484       11,085  
    Business equity lines of credit     3,090       2,663       2,989       14,768       14,117  
    Credit card, net of reserve(3)     127,766       127,098       122,217       111,898       123,331  
    Other consumer loans     2,089       2,045       1,930       738       950  
    Portfolio loans receivable   $ 2,637,228     $ 2,113,705     $ 2,028,367     $ 1,970,657     $ 1,910,930  
    Deferred origination fees, net     (7,065 )     (6,183 )     (6,779 )     (6,132 )     (7,642 )
    Portfolio loans receivable, net   $ 2,630,163     $ 2,107,522     $ 2,021,588     $ 1,964,525     $ 1,903,288  
                         
    Composition of Deposits:                    
    Noninterest-bearing   $ 810,928     $ 718,120     $ 684,574     $ 665,812     $ 617,373  
    Interest-bearing demand     238,881       266,493       266,070       193,963       199,308  
    Savings     13,488       3,763       4,270       4,525       5,211  
    Money markets     816,708       686,526       672,455       678,435       663,129  
    Customer time deposits     548,901       358,300       317,911       302,319       268,619  
    Brokered time deposits     333,033       153,022       155,148       160,641       142,356  
    Total deposits   $ 2,761,939     $ 2,186,224     $ 2,100,428     $ 2,005,695     $ 1,895,996  
                         
    Capital Bank Home Loan Metrics:                    
    Origination of loans held for sale   $ 89,998     $ 74,690     $ 82,363     $ 52,080     $ 45,152  
    Mortgage loans sold     77,399       67,296       66,417       40,377       34,140  
    Gain on sale of loans     1,897       1,644       1,732       1,238       1,015  
    Purchase volume as a % of originations     90.42 %     90.98 %     96.48 %     97.83 %     89.99 %
    Gain on sale as a % of loans sold(4)     2.45 %     2.44 %     2.61 %     3.07 %     2.97 %
    Mortgage commissions   $ 620     $ 598     $ 582     $ 490     $ 465  
                         
    OpenSky™Portfolio Metrics:                    
    Open customer accounts     552,566       548,952       537,734       526,950       525,314  
    Secured credit card loans, gross   $ 87,226     $ 89,641     $ 90,961     $ 85,663     $ 95,300  
    Unsecured credit card loans, gross     42,430       39,730       33,560       28,508       30,817  
    Noninterest secured credit card deposits     166,355       170,750       173,499       171,771       173,857  

    _______________
    (3) Credit card loans are presented net of reserve for interest and fees.
    (4) Gain on sale percentage is calculated as gain on sale of loans divided by mortgage loans sold.  

    Appendix

    Reconciliation of Non-GAAP Measures
     

    The Company has presented the following non-GAAP (U.S. Generally Accepted Accounting Principles) financial measures because it believes that these measures provide useful and comparative information to assess trends in the Company’s results of operations and financial condition. Presentation of these non-GAAP financial measures is consistent with how the Company evaluates its performance internally and these non-GAAP financial measures are frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the Company’s industry. Investors should recognize that the Company’s presentation of these non-GAAP financial measures might not be comparable to similarly-titled measures of other companies. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures and the Company strongly encourages a review of its condensed consolidated financial statements in their entirety.

    Earnings Metrics, as Adjusted Quarter Ended
    (in thousands, except per share data) December 31,
    2024    		   September 30,
    2024    		   June 30,
    2024    		   March 31,
    2024    		   December 31,
    2023
                       
    Net Income $ 7,533     $ 8,672     $ 8,205     $ 6,562     $ 9,030  
    Add: Merger-Related Expenses, net of tax   2,151       557       62       538       —  
    Add: Non-recurring equity and debt investment write-down   2,620       —       —       —       —  
    Add: IFH ACL Provision, net of tax   3,169       —       —       —       —  
    Net Income, as Adjusted $ 15,473     $ 9,229     $ 8,267     $ 7,100     $ 9,030  
                       
    Weighted Average Common Shares – Diluted   16,729       13,951       13,895       13,919       13,989  
    Earnings per Share – Diluted $ 0.45     $ 0.62     $ 0.59     $ 0.47     $ 0.65  
    Earnings per Share – Diluted, as Adjusted $ 0.92     $ 0.66     $ 0.59     $ 0.51     $ 0.65  
                       
    Average Assets $ 3,120,107     $ 2,437,870     $ 2,353,868     $ 2,299,234     $ 2,202,479  
    Return on Average Assets(1)   0.96 %     1.42 %     1.40 %     1.15 %     1.63 %
    Return on Average Assets, as Adjusted(1)   1.97 %     1.51 %     1.41 %     1.24 %     1.63 %
                       
    Average Equity $ 352,537     $ 274,087     $ 263,425     $ 258,892     $ 248,035  
    Return on Average Equity(1)   8.50 %     12.59 %     12.53 %     10.19 %     14.44 %
    Return on Average Equity, as Adjusted(1)   17.46 %     13.40 %     12.62 %     11.03 %     14.44 %
                       
    Net Interest Income (a) $ 44,327     $ 38,354     $ 37,057     $ 35,008     $ 34,889  
    Noninterest Income   11,913       6,635       6,890       5,972       5,936  
    Total Revenue $ 56,240     $ 44,989     $ 43,947     $ 40,980     $ 40,825  
    Noninterest Expense $ 37,514     $ 29,725     $ 29,493     $ 29,487     $ 26,907  
    Efficiency Ratio(2)   66.70 %     66.07 %     67.11 %     71.95 %     65.91 %
                       
    Noninterest Income $ 11,913     $ 6,635     $ 6,890     $ 5,972     $ 5,936  
    Add: Non-recurring equity and debt investment write-down   2,620       —       —       —       —  
    Noninterest Income, as Adjusted (b) $ 14,533     $ 6,635     $ 6,890     $ 5,972     $ 5,936  
    Total Revenue, as Adjusted (a) + (b) $ 58,860     $ 44,989     $ 43,947     $ 40,980     $ 40,825  
                       
    Noninterest Expense $ 37,514     $ 29,725     $ 29,493     $ 29,487     $ 26,907  
    Less: Merger-Related Expenses   2,615       520       83       712       —  
    Noninterest Expense, as Adjusted $ 34,899     $ 29,205     $ 29,410     $ 28,775     $ 26,907  
    Efficiency Ratio, as Adjusted(2)   59.29 %     64.92 %     66.92 %     70.22 %     65.91 %

    _______________
    (1) Annualized.
    (2) The efficiency ratio is calculated by dividing noninterest expense by total revenue (net interest income plus noninterest income).

    Earnings Metrics, as Adjusted Year Ended
    (in thousands, except per share data) December 31, 2024   December 31, 2023
           
    Net Income $ 30,972     $ 35,871  
    Add: Merger-Related Expenses, net of tax   3,308       —  
    Add: Non-recurring equity and debt investment write-down   2,620       —  
    Add: IFH ACL Provision, net of tax   3,169       —  
    Net Income, as Adjusted $ 40,069     $ 35,871  
           
    Weighted average common shares – Diluted   14,660       14,081  
    Earnings per share – Diluted $ 2.11     $ 2.55  
    Earnings per share – Diluted, as Adjusted $ 2.73     $ 2.55  
           
    Average Assets $ 2,554,049     $ 2,188,299  
    Return on Average Assets(1)   1.21 %     1.64 %
    Return on Average Assets, as Adjusted(1)   1.57 %     1.64 %
           
    Average Equity $ 287,420     $ 240,519  
    Return on Average Equity(1)   10.78 %     14.91 %
    Return on Average Equity, as Adjusted(1)   13.94 %     14.91 %
           
    Net Interest Income (a) $ 154,746     $ 141,526  
    Noninterest Income   31,410       24,975  
    Total Revenue $ 186,156     $ 166,501  
    Noninterest Expense $ 126,219     $ 110,767  
    Efficiency Ratio(2)   67.80 %     66.53 %
           
    Noninterest Income $ 31,410     $ 24,975  
    Add: Non-recurring equity and debt investment write-down   2,620       —  
    Noninterest Income, as Adjusted (b) $ 34,030     $ 24,975  
    Total Revenue, as Adjusted (a) + (b) $ 188,776     $ 166,501  
           
    Noninterest Expense $ 126,219     $ 110,767  
    Less: Merger-Related Expenses   3,930       —  
    Noninterest Expense, as Adjusted $ 122,289     $ 110,767  
    Efficiency Ratio, as Adjusted(2)   64.78 %     66.53 %

    _______________
    (1) Annualized.
    (2) The efficiency ratio is calculated by dividing noninterest expense by total revenue (net interest income plus noninterest income).

    Net Interest Margin, as Adjusted Quarter Ended
    (in thousands) December 31,
    2024    		   September 30,
    2024    		   June 30,
    2024    		   March 31,
    2024    		   December 31,
    2023
                       
    Net Interest Income $ 44,327     $ 38,354     $ 37,057     $ 35,008     $ 34,889  
    Less: Credit Card Loan Income   15,022       15,137       15,205       14,457       14,677  
    Net Interest Income, as Adjusted $ 29,305     $ 23,217     $ 21,852     $ 20,551     $ 20,212  
    Average Interest Earning Assets   3,003,081       2,380,946       2,307,070       2,254,663       2,162,459  
    Less: Average Credit Card Loans   120,993       119,458       111,288       110,483       114,551  
    Total Average Interest Earning Assets, as Adjusted $ 2,882,088     $ 2,261,488     $ 2,195,782     $ 2,144,180     $ 2,047,908  
    Net Interest Margin, as Adjusted   4.05 %     4.08 %     4.00 %     3.85 %     3.92 %
           
    Net Interest Margin, as Adjusted Year Ended
    (in thousands) December 31,
    2024    		   December 31,
    2023
           
    Net Interest Income $ 154,746     $ 141,526  
    Less: Credit Card Loan Income   59,821       61,096  
    Net Interest Income, as Adjusted $ 94,925     $ 80,430  
    Average Interest Earning Assets   2,487,607       2,145,209  
    Less: Average Credit Card Loans   115,581       114,450  
    Total Average Interest Earning Assets, as Adjusted $ 2,372,026     $ 2,030,759  
    Net Interest Margin, as Adjusted   4.00 %     3.96 %
                   
    Portfolio Loans Receivable Yield, as Adjusted Quarter Ended
    (in thousands) December 31,
    2024    		   September 30,
    2024    		   June 30,
    2024    		   March 31,
    2024    		   December 31,
    2023
                       
    Portfolio Loans Receivable Interest Income $ 58,409     $ 49,886     $ 48,143     $ 45,908     $ 45,026  
    Less: Credit Card Loan Income   15,022       15,137       15,205       14,457       14,677  
    Portfolio Loans Receivable Interest Income, as Adjusted $ 43,387     $ 34,749     $ 32,938     $ 31,451     $ 30,349  
    Average Portfolio Loans Receivable   2,592,960       2,053,619       1,992,630       1,927,372       1,863,298  
    Less: Average Credit Card Loans   120,993       119,458       111,288       110,483       114,551  
    Total Average Portfolio Loans Receivable, as Adjusted $ 2,471,967     $ 1,934,161     $ 1,881,342     $ 1,816,889     $ 1,748,747  
    Portfolio Loans Receivable Yield, as Adjusted   6.98 %     7.15 %     7.04 %     6.96 %     6.89 %
           
    Portfolio Loans Receivable Yield, as Adjusted Year Ended
    (in thousands) December 31, 2024   December 31, 2023
           
    Portfolio Loans Receivable Interest Income $ 202,346     $ 174,378  
    Less: Credit Card Loan Income   59,821       61,096  
    Portfolio Loans Receivable Interest Income, as Adjusted $ 142,525     $ 113,282  
    Average Portfolio Loans Receivable   2,142,638       1,816,968  
    Less: Average Credit Card Loans   115,581       114,450  
    Total Average Portfolio Loans Receivable, as Adjusted $ 2,027,057     $ 1,702,518  
    Portfolio Loans Receivable Yield, as Adjusted   7.03 %     6.65 %
                   
    Pre-tax, Pre-Provision Net Revenue (“PPNR”) Quarter Ended
    (in thousands) December 31, 2024   September 30, 2024   June 30, 2024   March 31, 2024   December 31, 2023
                       
    Net Income $ 7,533     $ 8,672     $ 8,205     $ 6,562     $ 9,030  
    Add: Income Tax Expense   3,243       2,827       2,728       2,062       2,186  
    Add: Provision for Credit Losses   7,828       3,748       3,417       2,727       2,808  
    Add: Provision for (Release of) Credit Losses on Unfunded Commitments   122       17       104       142       (106 )
    Pre-tax, Pre-Provision Net Revenue (“PPNR”) $ 18,726     $ 15,264     $ 14,454     $ 11,493     $ 13,918  
                                           
           
    Pre-tax, Pre-Provision Net Revenue (“PPNR”) Year Ended
    (in thousands) December 31, 2024   December 31, 2023
           
    Net Income $ 30,972     $ 35,871  
    Add: Income Tax Expense   10,860       10,354  
    Add: Provision for Credit Losses   17,720       9,610  
    Add: Provision for (Release of) Credit Losses on Unfunded Commitments   385       (101 )
    Pre-tax, Pre-Provision Net Revenue (“PPNR”) $ 59,937     $ 55,734  
                   
    PPNR, as Adjusted Quarter Ended
    (in thousands) December 31, 2024   September 30, 2024   June 30, 2024   March 31, 2024   December 31, 2023
                       
    Net Income $ 7,533     $ 8,672     $ 8,205     $ 6,562     $ 9,030  
    Add: Income Tax Expense   3,243       2,827       2,728       2,062       2,186  
    Add: Provision for Credit Losses   7,828       3,748       3,417       2,727       2,808  
    Add: Provision for (Release of) Credit Losses on Unfunded Commitments   122       17       104       142       (106 )
    Add: Merger-Related Expenses   2,615       520       83       712       —  
    Add: Non-recurring equity and debt investment write-down   2,620       —       —       —       —  
    PPNR, as Adjusted $ 23,961     $ 15,784     $ 14,537     $ 12,205     $ 13,918  
                                           
           
    PPNR, as Adjusted Year Ended
    (in thousands) December 31, 2024   December 31, 2023
           
    Net Income $ 30,972     $ 35,871  
    Add: Income Tax Expense   10,860       10,354  
    Add: Provision for Credit Losses   17,720       9,610  
    Add: Provision for (Release of) Credit Losses on Unfunded Commitments   385       (101 )
    Add: Merger-Related Expenses   3,930       —  
    Add: Non-recurring equity and debt investment write-down   2,620       —  
    PPNR, as Adjusted $ 66,487     $ 55,734  
                   
    Allowance for Credit Losses to Total Portfolio Loans Quarter Ended
    (in thousands) December 31, 2024   September 30, 2024   June 30, 2024   March 31, 2024   December 31, 2023
                       
    Allowance for Credit Losses $ 48,652     $ 31,925     $ 30,832     $ 29,350     $ 28,610  
    Total Portfolio Loans   2,630,163       2,107,522       2,021,588       1,964,525       1,903,288  
    Allowance for Credit Losses to Total Portfolio Loans   1.85 %     1.51 %     1.53 %     1.49 %     1.50 %
                                           
    Nonperforming Assets to Total Assets Quarter Ended
    (in thousands) December 31, 2024   September 30, 2024   June 30, 2024   March 31, 2024   December 31, 2023
                       
    Total Nonperforming Assets $ 30,241     $ 15,460     $ 14,053     $ 14,361     $ 16,042  
    Total Assets   3,206,911       2,560,788       2,438,583       2,324,238       2,226,176  
    Nonperforming Assets to Total Assets   0.94 %     0.60 %     0.58 %     0.62 %     0.72 %
                                           
    Nonperforming Loans to Total Portfolio Loans Quarter Ended
    (in thousands) December 31, 2024   September 30, 2024   June 30, 2024   March 31, 2024   December 31, 2023
                       
    Total Nonperforming Loans $ 30,241     $ 15,460     $ 14,053     $ 14,361     $ 16,042  
    Total Portfolio Loans   2,630,163       2,107,522       2,021,588       1,964,525       1,903,288  
    Nonperforming Loans to Total Portfolio Loans   1.15 %     0.73 %     0.70 %     0.73 %     0.84 %
                                           
    Net Charge-Offs to Average Portfolio Loans Quarter Ended
    (in thousands) December 31, 2024   September 30, 2024   June 30, 2024   March 31, 2024   December 31, 2023
                       
    Total Net Charge-Offs $ 2,427     $ 2,655     $ 1,935     $ 1,987     $ 2,477  
    Total Average Portfolio Loans   2,592,960       2,053,619       1,992,630       1,927,372       1,863,298  
    Net Charge-Offs to Average Portfolio Loans, Annualized   0.37 %     0.51 %     0.39 %     0.41 %     0.53 %
                                           
    Net Charge-offs to Average Portfolio Loans Year Ended
    (in thousands) December 31, 2024   December 31, 2023
           
    Total Net Charge-Offs $ 9,004     $ 8,473  
    Total Average Portfolio Loans   2,142,638       1,816,968  
    Net Charge-Offs to Average Portfolio Loans, Annualized   0.42 %     0.47 %
                   
    Tangible Book Value per Share Quarter Ended
    (in thousands, except share and per share data) December 31, 2024   September 30, 2024   June 30, 2024   March 31, 2024   December 31, 2023
                       
    Total Stockholders’ Equity $ 355,139     $ 280,111     $ 267,854     $ 259,465     $ 254,860  
    Less: Preferred Equity   —       —       —       —       —  
    Less: Intangible Assets   42,454       —       —       —       —  
    Tangible Common Equity $ 312,685     $ 280,111     $ 267,854     $ 259,465     $ 254,860  
    Period End Shares Outstanding   16,662,405       13,917,891       13,910,467       13,889,563       13,922,532  
    Tangible Book Value per Share $ 18.77     $ 20.13     $ 19.26     $ 18.68     $ 18.31  
                                           
    Return on Average Tangible Common Equity Quarter Ended
    (in thousands) December 31, 2024   September 30, 2024   June 30, 2024   March 31, 2024   December 31, 2023
                       
    Net Income $ 7,533     $ 8,672     $ 8,205     $ 6,562     $ 9,030  
    Add: Intangible Amortization, Net of Tax   198       —       —       —       —  
    Net Tangible Income $ 7,731     $ 8,672     $ 8,205     $ 6,562     $ 9,030  
    Average Equity   352,537       274,087       263,425       258,892       248,035  
    Less: Average Intangible Assets   27,653       —       —       —       —  
    Net Average Tangible Common Equity $ 324,884     $ 274,087     $ 263,425     $ 258,892     $ 248,035  
    Return on Average Equity   8.50 %     12.59 %     12.53 %     10.19 %     14.44 %
    Return on Average Tangible Common Equity   9.47 %     12.59 %     12.53 %     10.19 %     14.44 %
                                           
    Core Return on Average Tangible Common Equity Quarter Ended
    (in thousands) December 31, 2024   September 30, 2024   June 30, 2024   March 31, 2024   December 31, 2023
                       
    Net Income, as Adjusted $ 15,473     $ 9,229     $ 8,267     $ 7,100     $ 9,030  
    Add: Intangible Amortization, Net of Tax   198       —       —       —       —  
    Net Tangible Income, as Adjusted $ 15,671     $ 9,229     $ 8,267     $ 7,100     $ 9,030  
    Core Return on Average Equity, as Adjusted   17.68 %     13.40 %     12.62 %     11.03 %     14.44 %
    Core Return on Average Tangible Common Equity, as Adjusted   19.19 %     13.40 %     12.62 %     11.03 %     14.44 %
                                           

    ABOUT CAPITAL BANCORP, INC.

    Capital Bancorp, Inc., Rockville, Maryland is a registered bank holding company incorporated under the laws of Maryland. Capital Bancorp has been providing financial services since 1999 and now operates bank branches in six locations in the greater Washington, D.C. and Baltimore, Maryland markets, one bank branch in Fort Lauderdale, Florida and one bank branch in Chicago, Illinois. Capital Bancorp had assets of approximately $3.2 billion at December 31, 2024 and its common stock is traded in the NASDAQ Global Market under the symbol “CBNK.” More information can be found at the Company’s website www.CapitalBankMD.com under its investor relations page.

    FORWARD-LOOKING STATEMENTS

    This earnings release contains forward-looking statements. These forward-looking statements reflect our current views with respect to, among other things, future events and our financial performance. Any statements about our management’s expectations, beliefs, plans, predictions, forecasts, objectives, assumptions or future events or performance are not historical facts and may be forward-looking. These statements are often, but not always, made through the use of words or phrases such as “anticipate,” “believes,” “can,” “could,” “may,” “predicts,” “potential,” “should,” “will,” “estimate,” “plans,” “projects,” “continuing,” “ongoing,” “expects,” “optimistic,” “intends” and similar words or phrases. Any or all of the forward-looking statements in this earnings release may turn out to be inaccurate. The inclusion of forward-looking information in this earnings release should not be regarded as a representation by us or any other person that the future plans, estimates or expectations contemplated by us will be achieved. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy and financial needs. Our actual results could differ materially from those anticipated in such forward-looking statements.  Accordingly, we caution you that any such forward-looking statements are not a guarantee of future performance and that actual results may prove to be materially different from the results expressed or implied by the forward-looking statements due to a number of factors. For details on some of the factors that could affect these expectations, see risk factors and other cautionary language included in the Company’s Annual Report on Form 10-K and other periodic and current reports filed with the Securities and Exchange Commission.

    While there is no assurance that any list of risks and uncertainties or risk factors is complete, below are certain factors which could cause actual results to differ materially from those contained or implied in the forward-looking statements: changes in general economic, political, or industry conditions; geopolitical concerns, including the ongoing wars in Ukraine and in the Middle East; uncertainty in U.S. fiscal and monetary policy, including the interest rate policies of the Board of Governors of the Federal Reserve System; inflation/deflation, interest rate, market, and monetary fluctuations; volatility and disruptions in global capital and credit markets; competitive pressures on product pricing and services; success, impact, and timing of our business strategies, including market acceptance of any new products or services; the impact of changes in financial services policies, laws, and regulations, including those concerning taxes, banking, securities, and insurance, and the application thereof by regulatory bodies; cybersecurity threats and the cost of defending against them, including the costs of compliance with potential legislation to combat cybersecurity at a state, national, or global level; climate change, including any enhanced regulatory, compliance, credit and reputational risks and costs; the expected cost savings, synergies and other financial benefits from the acquisition of IFH or any other acquisition the Company has made or may make might not be realized within the expected time frames or at all; the effect of acquisitions we have made or may make, including, without limitation, the failure to achieve the expected revenue growth and/or expense savings from such acquisitions, and/or the failure to effectively integrate an acquisition target into our operations; and other factors that may affect our future results.

    These forward-looking statements are made as of the date of this communication, and the Company does not intend, and assumes no obligation, to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made or to reflect the occurrence of unanticipated events or circumstances, except as required by law.

    FINANCIAL CONTACT: Dominic Canuso (301) 468-8848 x1403

    MEDIA CONTACT: Ed Barry (240) 283-1912

    WEB SITE: www.CapitalBankMD.com

    The MIL Network –

  • MIL-OSI: Enact Mortgage Insurance Enters into Two Forward XOL Reinsurance Transactions as Part of its Diversified Credit Risk Transfer Program

    Source: GlobeNewswire (MIL-OSI)

    RALEIGH, N.C., Jan. 27, 2025 (GLOBE NEWSWIRE) — Enact Holdings, Inc. (Nasdaq: ACT) (Enact), a leading provider of private mortgage insurance through its insurance subsidiaries, today announced that its flagship legal entity, Enact Mortgage Insurance Corporation, has secured approximately $225 million and $260 million of additional excess of loss (XOL) reinsurance coverage. These credit risk transfer (CRT) transactions cover a portion of expected new insurance written for the 2025 book year (policies written from January 1, 2025 through December 31, 2025) and 2026 book year (policies written from January 1, 2026 through December 31, 2026) respectively, and are effective January 1, 2025 and January 1, 2026. Reinsurance coverage for both transactions are provided by a panel of reinsurers each currently rated “A-” or better by Standard & Poor’s (“S&P”) or A.M. Best Company, Inc., or rated “A3” or better by Moody’s.

    “Today’s announcement reflects our on-going commitment to proactively manage credit risk and strengthen our financial position,” said Rohit Gupta, President and CEO of Enact. “Looking ahead, we remain committed to continuing to successfully execute on our CRT strategy while helping people responsibly achieve the dream of homeownership.”

    Safe Harbor Statement
    This communication contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements may address, among other things, our expected financial and operational results, the related assumptions underlying our expected results, guidance concerning the future return of capital and the quotations of management. These forward-looking statements are distinguished by use of words such as “will,” “may,” “would,” “anticipate,” “expect,” “believe,” “designed,” “plan,” “predict,” “project,” “target,” “could,” “should,” or “intend,” the negative of these terms, and similar references to future periods. These views involve risks and uncertainties that are difficult to predict and, accordingly, our actual results may differ materially from the results discussed in our forward-looking statements. Our forward-looking statements contained herein speak only as of the date of this press release. Factors or events that we cannot predict, including risks related to an economic downturn or a recession in the United States and in other countries around the world; changes in political, business, regulatory, and economic conditions; changes in or to Fannie Mae and Freddie Mac (the “GSEs”), whether through Federal legislation, restructurings or a shift in business practices; failure to continue to meet the mortgage insurer eligibility requirements of the GSEs; competition for customers; lenders or investors seeking alternatives to private mortgage insurance; an increase in the number of loans insured through Federal government mortgage insurance programs, including those offered by the Federal Housing Administration; and other factors described in the risk factors contained in our most recent Annual Report on Form 10-K and other filings with the SEC, may cause our actual results to differ from those expressed in forward-looking statements. Although Enact believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, Enact can give no assurance that its expectations will be achieved and it undertakes no obligation to update publicly any forward-looking statements as a result of new information, future events, or otherwise, except as required by applicable law.

    About Enact Holdings, Inc.
    Enact (Nasdaq: ACT), operating principally through its wholly-owned subsidiary Enact Mortgage Insurance Corporation since 1981, is a leading U.S. private mortgage insurance provider committed to helping more people achieve the dream of homeownership. Building on a deep understanding of lenders’ businesses and a legacy of financial strength, we partner with lenders to bring best-in class service, leading underwriting expertise, and extensive risk and capital management to the mortgage process, helping to put more people in homes and keep them there. By empowering customers and their borrowers, Enact seeks to positively impact the lives of those in the communities in which it serves in a sustainable way. Enact is headquartered in Raleigh, North Carolina.

    This press release was published by a CLEAR® Verified individual.

    The MIL Network –

  • MIL-OSI: Park National Corporation reports 2024 results

    Source: GlobeNewswire (MIL-OSI)

    NEWARK, Ohio, Jan. 27, 2025 (GLOBE NEWSWIRE) — Park National Corporation (Park) (NYSE American: PRK) today reported financial results for the fourth quarter and full year of 2024. Park’s board of directors declared a quarterly cash dividend of $1.07 per common share, payable on March 10, 2025, to common shareholders of record as of February 14, 2025.

    “Our consistent and measured growth stems from our team’s absolute focus on meeting customer needs to produce meaningful results,” said Park Chairman and Chief Executive Officer David Trautman. “Helping customers flourish remains our primary goal.”

    Park’s net income for the fourth quarter of 2024 was $38.6 million, a 57.7 percent increase from $24.5 million for the fourth quarter of 2023. Fourth quarter 2024 net income per diluted common share was $2.37, compared to $1.51 for the fourth quarter of 2023. Park’s net income for the full year of 2024 was $151.4 million, a 19.5 percent increase from $126.7 million for the full year of 2023. Net income per diluted common share for the full year of 2024 was $9.32 compared to $7.80 for the full year of 2023.

    Park’s total loans increased 4.6 percent during 2024. Park’s total deposits increased 1.3 percent during 2024, with an increase of 2.7 percent including off balance sheet deposits. The combination of solid loan growth and steady deposits contributed to Park’s success in 2024.

    “As we enter the new year, we look forward to the opportunity to deepen relationships with our customers, communities and all stakeholders,” said Park President Matthew Miller. “Our bankers are dedicated to helping all those we serve achieve their financial goals and thrive in 2025.”

    Headquartered in Newark, Ohio, Park National Corporation has $9.8 billion in total assets (as of December 31, 2024). Park’s banking operations are conducted through its subsidiary The Park National Bank. Other Park subsidiaries are Scope Leasing, Inc. (d.b.a. Scope Aircraft Finance), Guardian Financial Services Company (d.b.a. Guardian Finance Company) and SE Property Holdings, LLC.

    Complete financial tables are listed below.

    Category: Earnings

    SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995

    Park cautions that any forward-looking statements contained in this news release or made by management of Park are provided to assist in the understanding of anticipated future financial performance. Forward-looking statements provide current expectations or forecasts of future events and are not guarantees of future performance. The forward-looking statements are based on management’s expectations and are subject to a number of risks and uncertainties, including those described in Park’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023, as updated by our filings with the SEC. Although management believes that the expectations reflected in such forward-looking statements are reasonable, actual results may differ materially from those expressed or implied in such statements.

    Risks and uncertainties that could cause actual results to differ materially include, without limitation: (1) Park’s ability to execute our business plan successfully and within the expected timeframe; (2) adverse changes in future economic and financial market conditions; (3) adverse changes in real estate values and liquidity in our primary market areas; (4) the financial health of our commercial borrowers; (5) adverse changes in federal, state and local governmental law and policy, including the regulatory landscape, capital markets, elevated government debt, potential changes in tax legislation, government shutdown, infrastructure spending and social programs; (6) changes in consumer spending, borrowing and saving habits; (7) our litigation and regulatory compliance exposure; (8) increased credit risk and higher credit losses resulting from loan concentrations; (9) competitive pressures among financial services organizations; (10) changes in accounting policies and practices as may be adopted by regulatory agencies; (11) Park’s assumptions and estimates used in applying critical accounting policies and modeling which may prove unreliable, inaccurate or not predictive of actual results; (12) Park’s ability to anticipate and respond to technological changes and Park’s reliance on, and the potential failure of, a number of third-party vendors to perform as expected; (13) failures in or breaches of Park’s operational or security systems or infrastructure, or those of our third-party vendors and other service providers; (14) negative impacts on financial markets and the economy of any changes in the credit ratings of the U.S. Treasury obligations and other U.S. government-backed debt, as well as issues surrounding the levels of U.S., European and Asian government debt and concerns regarding the growth rates and financial stability of certain sovereign governments, supranationals and financial institutions in Europe and Asia; (15) effects of a fall in stock market prices on Park’s asset and wealth management businesses; (16) continued availability of earnings and excess capital sufficient for the lawful and prudent declaration of dividends; (17) the impact on Park’s business, personnel, facilities or systems of losses related to acts of fraud, scams and schemes of third parties; (18) the impact of widespread natural and other disasters, pandemics, dislocations, regional or national protests and civil unrest (including any resulting branch closures or damages), military or terrorist activities or international hostilities on the economy and financial markets generally and on us or our counterparties specifically; (19) the potential further deterioration of the U.S. economy due to financial, political, or other shocks; (20) the effect of healthcare laws in the U.S. and potential changes for such laws that may increase our healthcare and other costs and negatively impact our operations and financial results; (21) the impact of larger or similar-sized financial institutions encountering problems that may adversely affect the banking industry; and (22) other risk factors relating to the financial services industry.

    Park does not undertake, and specifically disclaims any obligation, to publicly release the results of any revisions that may be made to update any forward-looking statement to reflect the events or circumstances after the date on which the forward-looking statement was made, or reflect the occurrence of unanticipated events, except to the extent required by law.

       
    PARK NATIONAL CORPORATION  
    Financial Highlights  
    As of or for the three months ended December 31, 2024, September 30, 2024 and December 31, 2023  
                     
        2024       2024       2023       Percent change vs.  
    (in thousands, except common share and per common share data and ratios) 4th QTR 3rd QTR 4th QTR   3Q ’24   4Q ’23  
    INCOME STATEMENT:                
    Net interest income $ 103,445     $ 101,114     $ 95,074       2.3   % 8.8   %
    Provision for credit losses   3,935       5,315       1,809       (26.0 ) % 117.5   %
    Other income   31,064       36,530       15,519       (15.0 ) % 100.2   %
    Other expense   83,241       85,681       79,043       (2.8 ) % 5.3   %
    Income before income taxes $ 47,333     $ 46,648     $ 29,741       1.5   % 59.2   %
    Income taxes   8,703       8,431       5,241       3.2   % 66.1   %
    Net income $ 38,630     $ 38,217     $ 24,500       1.1   % 57.7   %
                     
    MARKET DATA:                
    Earnings per common share – basic (a) $ 2.39     $ 2.37     $ 1.52       0.8   % 57.2   %
    Earnings per common share – diluted (a)   2.37       2.35       1.51       0.9   % 57.0   %
    Quarterly cash dividend declared per common share   1.06       1.06       1.05       —   % 1.0   %
    Special cash dividend declared per common share   0.50       —       —       N.M.   N.M.  
    Book value per common share at period end   76.98       76.74       71.06       0.3   % 8.3   %
    Market price per common share at period end   171.43       167.98       132.86       2.1   % 29.0   %
    Market capitalization at period end   2,770,134       2,713,152       2,141,235       2.1   % 29.4   %
                     
    Weighted average common shares – basic (b)   16,156,827       16,151,640       16,113,215       —   % 0.3   %
    Weighted average common shares – diluted (b)   16,283,701       16,264,393       16,216,562       0.1   % 0.4   %
    Common shares outstanding at period end   16,158,982       16,151,640       16,116,479       —   % 0.3   %
                     
    PERFORMANCE RATIOS: (annualized)                
    Return on average assets (a)(b)   1.54   %   1.53   %   0.98   %   0.7   % 57.1   %
    Return on average shareholders’ equity (a)(b)   12.32   %   12.56   %   8.81   %   (1.9 ) % 39.8   %
    Yield on loans   6.21   %   6.24   %   5.84   %   (0.5 ) % 6.3   %
    Yield on investment securities   3.46   %   3.74   %   3.88   %   (7.5 ) % (10.8 ) %
    Yield on money market instruments   4.75   %   5.38   %   5.30   %   (11.7 ) % (10.4 ) %
    Yield on interest earning assets   5.82   %   5.88   %   5.48   %   (1.0 ) % 6.2   %
    Cost of interest bearing deposits   1.90   %   2.06   %   1.84   %   (7.8 ) % 3.3   %
    Cost of borrowings   3.86   %   3.97   %   4.42   %   (2.8 ) % (12.7 ) %
    Cost of paying interest bearing liabilities   1.99   %   2.15   %   2.01   %   (7.4 ) % (1.0 ) %
    Net interest margin (g)   4.51   %   4.45   %   4.17   %   1.3   % 8.2   %
    Efficiency ratio (g)   61.60   %   61.98   %   70.93   %   (0.6 ) % (13.2 ) %
                     
    OTHER DATA (NON-GAAP) AND BALANCE SHEET INFORMATION:                
    Tangible book value per common share (d) $ 66.89     $ 66.62     $ 60.87       0.4   % 9.9   %
    Average interest earning assets   9,176,540       9,100,594       9,120,407       0.8   % 0.6   %
    Pre-tax, pre-provision net income (j)   51,268       51,963       31,550       (1.3 ) % 62.5   %
                     
    Note: Explanations for footnotes (a) – (k) are included at the end of the financial tables in the “Financial Reconciliations” section.  
                     
                     
    PARK NATIONAL CORPORATION  
    Financial Highlights (continued)  
    As of or for the three months ended December 31, 2024, September 30, 2024 and December 31, 2023
    		  
                     
              Percent change vs.  
    (in thousands, except ratios) December 31,
    2024    		 September 30,
    2024    		 December 31,
    2023    		   3Q ’24   4Q ’23  
    BALANCE SHEET:                
    Investment securities $ 1,100,861     $ 1,233,297     $ 1,429,144       (10.7 ) % (23.0 ) %
    Loans   7,817,128       7,730,984       7,476,221       1.1   % 4.6   %
    Allowance for credit losses   87,966       87,237       83,745       0.8   % 5.0   %
    Goodwill and other intangible assets   163,032       163,320       164,247       (0.2 ) % (0.7 ) %
    Other real estate owned (OREO)   938       1,119       983       (16.2 ) % (4.6 ) %
    Total assets   9,805,350       9,903,049       9,836,453       (1.0 ) % (0.3 ) %
    Total deposits   8,143,526       8,214,671       8,042,566       (0.9 ) % 1.3   %
    Borrowings   280,083       306,964       517,329       (8.8 ) % (45.9 ) %
    Total shareholders’ equity   1,243,848       1,239,413       1,145,293       0.4   % 8.6   %
    Tangible equity (d)   1,080,816       1,076,093       981,046       0.4   % 10.2   %
    Total nonperforming loans   69,932       71,541       61,118       (2.2 ) % 14.4   %
    Total nonperforming assets   70,870       72,660       62,101       (2.5 ) % 14.1   %
                     
    ASSET QUALITY RATIOS:                
    Loans as a % of period end total assets   79.72   %   78.07   %   76.01   %   2.1   % 4.9   %
    Total nonperforming loans as a % of period end loans   0.89   %   0.93   %   0.82   %   (4.3 ) % 8.5   %
    Total nonperforming assets as a % of period end loans + OREO + other nonperforming assets   0.91   %   0.94   %   0.83   %   (3.2 ) % 9.6   %
    Allowance for credit losses as a % of period end loans   1.13   %   1.13   %   1.12   %   —   % 0.9   %
    Net loan charge-offs $ 3,206     $ 4,653     $ 2,666       (31.1 ) % 20.3   %
    Annualized net loan charge-offs as a % of average loans (b)   0.16   %   0.24   %   0.14   %   (33.3 ) % 14.3   %
                     
    CAPITAL & LIQUIDITY:                
    Total shareholders’ equity / Period end total assets   12.69   %   12.52   %   11.64   %   1.4   % 9.0   %
    Tangible equity (d) / Tangible assets (f)   11.21   %   11.05   %   10.14   %   1.4   % 10.6   %
    Average shareholders’ equity / Average assets (b)   12.47   %   12.20   %   11.16   %   2.2   % 11.7   %
    Average shareholders’ equity / Average loans (b)   16.08   %   15.76   %   14.94   %   2.0   % 7.6   %
    Average loans / Average deposits (b)   93.00   %   92.69   %   89.48   %   0.3   % 3.9   %
                     
    Note: Explanations for footnotes (a) – (k) are included at the end of the financial tables in the “Financial Reconciliations” section.      
               
       
    PARK NATIONAL CORPORATION  
    Financial Highlights  
    Year months ended December 31, 2024 and December 31, 2023        
               
    (in thousands, except common share and per common share data and ratios)   2024       2023       Percent change vs ’23  
    INCOME STATEMENT:          
    Net interest income $ 398,019     $ 373,113       6.7   %
    Provision for credit losses   14,543       2,904       400.8   %
    Other income   122,588       92,634       32.3   %
    Other expense   321,339       309,239       3.9   %
    Income before income taxes $ 184,725     $ 153,604       20.3   %
    Income taxes   33,305       26,870       23.9   %
    Net income $ 151,420     $ 126,734       19.5   %
               
    MARKET DATA:          
    Earnings per common share – basic (a) $ 9.38     $ 7.84       19.6   %
    Earnings per common share – diluted (a)   9.32       7.80       19.5   %
    Quarterly cash dividend declared per common share   4.24       4.20       1.0   %
    Special cash dividend declared per common share   0.50       —       N.M.    
               
    Weighted average common shares – basic (b)   16,143,708       16,163,500       (0.1 ) %
    Weighted average common shares – diluted (b)   16,244,797       16,250,019       —   %
               
    PERFORMANCE RATIOS:          
    Return on average assets (a)(b)   1.53   %   1.27   %   20.5   %
    Return on average shareholders’ equity (a)(b)   12.65   %   11.55   %   9.5   %
    Yield on loans   6.14   %   5.55   %   10.6   %
    Yield on investment securities   3.74   %   3.73   %   0.3   %
    Yield on money market instruments   5.16   %   5.00   %   3.2   %
    Yield on interest earning assets   5.78   %   5.18   %   11.6   %
    Cost of interest bearing deposits   1.97   %   1.52   %   29.6   %
    Cost of borrowings   4.05   %   3.79   %   6.9   %
    Cost of paying interest bearing liabilities   2.08   %   1.67   %   24.6   %
    Net interest margin (g)   4.41   %   4.11   %   7.3   %
    Efficiency ratio (g)   61.44   %   65.87   %   (6.7 ) %
               
    ASSET QUALITY RATIOS:          
    Net loan charge-offs $ 10,322     $ 4,921       109.8   %
    Net loan charge-offs as a % of average loans (b)   0.14   %   0.07   %   100.0   %
               
    CAPITAL & LIQUIDITY          
    Average shareholders’ equity / Average Assets (b)   12.09   %   11.02   %   9.7   %
    Average shareholders’ equity / Average loans (b)   15.69   %   15.19   %   3.3   %
    Average loans / Average deposits (b)   92.34   %   86.39   %   6.9   %
               
    OTHER DATA (NON-GAAP) AND BALANCE SHEET INFORMATION:          
    Average interest earning assets   9,085,850       9,171,721       (0.9 ) %
    Pre-tax, pre-provision net income (j)   199,268       156,508       27.3   %
               
    Note: Explanations for footnotes (a) – (k) are included at the end of the financial tables in the “Financial Reconciliations” section.  
       
     
    PARK NATIONAL CORPORATION
    Consolidated Statements of Income
                     
        Three Months Ended   Twelve Month Ended
        December 31   December 31
    (in thousands, except share and per share data)     2024     2023     2024     2023
                     
    Interest income:                
    Interest and fees on loans   $ 120,870   $ 108,495   $ 467,602   $ 399,795
    Interest on debt securities:                
    Taxable     8,641     13,055     41,718     52,786
    Tax-exempt     1,351     2,248     5,524     10,966
    Other interest income     2,751     1,408     8,121     8,123
    Total interest income     133,613     125,206     522,965     471,670
                     
    Interest expense:                
    Interest on deposits:                
    Demand and savings deposits     19,802     19,467     82,789     71,776
    Time deposits     7,658     6,267     29,594     12,677
    Interest on borrowings     2,708     4,398     12,563     14,104
    Total interest expense     30,168     30,132     124,946     98,557
                     
    Net interest income     103,445     95,074     398,019     373,113
                     
    Provision for credit losses     3,935     1,809     14,543     2,904
                     
    Net interest income after provision for credit losses     99,510     93,265     383,476     370,209
                     
    Other income     31,064     15,519     122,588     92,634
                     
    Other expense     83,241     79,043     321,339     309,239
                     
    Income before income taxes     47,333     29,741     184,725     153,604
                     
    Income taxes     8,703     5,241     33,305     26,870
                     
    Net income   $ 38,630   $ 24,500   $ 151,420   $ 126,734
                     
    Per common share:                
    Net income – basic   $ 2.39   $ 1.52   $ 9.38   $ 7.84
    Net income – diluted   $ 2.37   $ 1.51   $ 9.32   $ 7.80
                     
    Weighted average common shares – basic     16,156,827     16,113,215     16,143,708     16,163,500
    Weighted average common shares – diluted     16,283,701     16,216,562     16,244,797     16,250,019
                     
    Cash dividends declared:                
    Quarterly dividend   $ 1.06   $ 1.05   $ 4.24   $ 4.20
    Special dividend   $ 0.50   $ —   $ 0.50   $ —
                             
       
    PARK NATIONAL CORPORATION   
    Consolidated Balance Sheets  
             
    (in thousands, except share data) December 31, 2024   December 31, 2023  
             
    Assets        
             
    Cash and due from banks $ 122,363     $ 160,477    
    Money market instruments   38,203       57,791    
    Investment securities   1,100,861       1,429,144    
    Loans   7,817,128       7,476,221    
    Allowance for credit losses   (87,966 )     (83,745 )  
    Loans, net   7,729,162       7,392,476    
    Bank premises and equipment, net   69,522       74,211    
    Goodwill and other intangible assets   163,032       164,247    
    Other real estate owned   938       983    
    Other assets   581,269       557,124    
    Total assets $ 9,805,350     $ 9,836,453    
             
    Liabilities and Shareholders’ Equity        
             
    Deposits:        
    Noninterest bearing $ 2,612,708     $ 2,628,234    
    Interest bearing   5,530,818       5,414,332    
    Total deposits   8,143,526       8,042,566    
    Borrowings   280,083       517,329    
    Other liabilities   137,893       131,265    
    Total liabilities $ 8,561,502     $ 8,691,160    
             
             
    Shareholders’ Equity:        
    Preferred shares (200,000 shares authorized; no shares outstanding at December 31, 2024 and December 31, 2023) $ —     $ —    
    Common shares (No par value; 20,000,000 shares authorized; 17,623,104 shares issued at December 31, 2024 and December 31, 2023)   463,706       463,280    
    Total shareholders’ equity $ 1,243,848     $ 1,145,293    
    Total liabilities and shareholders’ equity $ 9,805,350     $ 9,836,453    
     
    PARK NATIONAL CORPORATION 
    Consolidated Average Balance Sheets
               
      Three Months Ended   Twelve Months Ended
      December 31,   December 31,
    (in thousands)   2024     2023       2024     2023  
               
    Assets          
               
    Cash and due from banks $ 122,949   $ 134,593     $ 129,070   $ 147,414  
    Money market instruments   230,591     105,425       157,292     162,544  
    Investment securities    1,167,467     1,544,942       1,265,680     1,716,037  
    Loans   7,757,229     7,387,512       7,627,419     7,222,479  
    Allowance for credit losses   (87,608 )   (85,493 )     (85,930 )   (87,002 )
    Loans, net   7,669,621     7,302,019       7,541,489     7,135,477  
    Bank premises and equipment, net   70,615     76,718       72,689     79,443  
    Goodwill and other intangible assets   163,221     164,466       163,669     164,960  
    Other real estate owned   1,079     1,342       1,192     1,654  
    Other assets   582,785     560,683       570,183     550,025  
    Total assets $ 10,008,328   $ 9,890,188     $ 9,901,264   $ 9,957,554  
               
               
    Liabilities and Shareholders’ Equity          
               
    Deposits:          
    Noninterest bearing $ 2,593,128   $ 2,694,148     $ 2,564,009   $ 2,814,259  
    Interest bearing   5,747,671     5,561,845       5,696,185     5,546,015  
    Total deposits   8,340,799     8,255,993       8,260,194     8,360,274  
    Borrowings   279,149     394,423       309,996     371,955  
    Other liabilities   140,700     136,046       133,954     128,182  
    Total liabilities $ 8,760,648   $ 8,786,462     $ 8,704,144   $ 8,860,411  
               
    Shareholders’ Equity:          
    Preferred shares $ —   $ —     $ —   $ —  
    Common shares   462,146     461,864       461,433     460,973  
    Accumulated other comprehensive loss, net of taxes   (41,229 )   (108,219 )     (60,619 )   (98,154 )
    Retained earnings   978,267     906,091       949,160     884,711  
    Treasury shares   (151,504 )   (156,010 )     (152,854 )   (150,387 )
    Total shareholders’ equity $ 1,247,680   $ 1,103,726     $ 1,197,120   $ 1,097,143  
    Total liabilities and shareholders’ equity $ 10,008,328   $ 9,890,188     $ 9,901,264   $ 9,957,554  
               
     
    PARK NATIONAL CORPORATION 
    Consolidated Statements of Income – Linked Quarters
               
      2024 2024 2024 2024 2023
    (in thousands, except per share data) 4th QTR 3rd QTR 2nd QTR 1st QTR 4th QTR
               
    Interest income:          
    Interest and fees on loans  $ 120,870 $ 120,203 $ 115,318 $ 111,211 $ 108,495
    Interest on debt securities:          
    Taxable   8,641   10,228   10,950   11,899   13,055
    Tax-exempt   1,351   1,381   1,382   1,410   2,248
    Other interest income   2,751   1,996   1,254   2,120   1,408
    Total interest income   133,613   133,808   128,904   126,640   125,206
               
    Interest expense:          
    Interest on deposits:          
    Demand and savings deposits   19,802   22,762   20,370   19,855   19,467
    Time deposits   7,658   7,073   7,525   7,338   6,267
    Interest on borrowings   2,708   2,859   3,172   3,824   4,398
    Total interest expense   30,168   32,694   31,067   31,017   30,132
               
    Net interest income   103,445   101,114   97,837   95,623   95,074
               
    Provision for credit losses   3,935   5,315   3,113   2,180   1,809
               
    Net interest income after provision for credit losses   99,510   95,799   94,724   93,443   93,265
               
    Other income   31,064   36,530   28,794   26,200   15,519
               
    Other expense   83,241   85,681   75,189   77,228   79,043
               
    Income before income taxes   47,333   46,648   48,329   42,415   29,741
               
    Income taxes   8,703   8,431   8,960   7,211   5,241
               
    Net income  $ 38,630 $ 38,217 $ 39,369 $ 35,204 $ 24,500
               
    Per common share:          
    Net income – basic $ 2.39 $ 2.37 $ 2.44 $ 2.18 $ 1.52
    Net income – diluted $ 2.37 $ 2.35 $ 2.42 $ 2.17 $ 1.51
                         
     
    PARK NATIONAL CORPORATION 
    Detail of other income and other expense – Linked Quarters
               
       2024   2024  2024  2024   2023 
    (in thousands) 4th QTR 3rd QTR 2nd QTR 1st QTR 4th QTR
               
    Other income:          
    Income from fiduciary activities $ 11,122   $ 10,615 $ 10,728 $ 10,024   $ 8,943  
    Service charges on deposit accounts   2,319     2,362   2,214   2,106     2,054  
    Other service income   3,277     3,036   2,906   2,524     2,349  
    Debit card fee income   6,511     6,539   6,580   6,243     6,583  
    Bank owned life insurance income   1,519     2,057   1,565   2,629     1,373  
    ATM fees   415     471   458   496     517  
    Pension settlement gain   365     5,783   —   —     —  
    Loss on sale of debt securities, net   (128 )   —   —   (398 )   (7,875 )
    Gain (loss) on equity securities, net   1,852     1,557   358   (687 )   353  
    Other components of net periodic benefit income   2,651     2,204   2,204   2,204     1,893  
    Miscellaneous   1,161     1,906   1,781   1,059     (671 )
    Total other income $ 31,064   $ 36,530 $ 28,794 $ 26,200   $ 15,519  
               
    Other expense:          
    Salaries $ 37,254   $ 38,370 $ 35,954 $ 35,733   $ 36,192  
    Employee benefits   10,129     10,162   9,873   11,560     10,088  
    Occupancy expense   2,929     3,731   2,975   3,181     3,344  
    Furniture and equipment expense   2,375     2,571   2,454   2,583     2,824  
    Data processing fees   10,450     11,764   9,542   8,808     9,605  
    Professional fees and services   10,465     7,842   6,022   6,817     7,015  
    Marketing   1,949     1,464   1,164   1,741     1,716  
    Insurance   1,600     1,640   1,777   1,718     1,708  
    Communication   1,104     955   1,002   1,036     993  
    State tax expense   1,145     1,116   1,129   1,110     1,158  
    Amortization of intangible assets   288     287   320   320     334  
    Foundation contributions   —     2,000   —   —     1,000  
    Miscellaneous   3,553     3,779   2,977   2,621     3,066  
    Total other expense $ 83,241   $ 85,681 $ 75,189 $ 77,228   $ 79,043  
               
     
    PARK NATIONAL CORPORATION 
    Asset Quality Information
                 
        Year ended December 31,
    (in thousands, except ratios)     2024       2023       2022       2021       2020    
                 
    Allowance for credit losses:            
    Allowance for credit losses, beginning of period   $ 83,745     $ 85,379     $ 83,197     $ 85,675     $ 56,679    
    Cumulative change in accounting principle; adoption of ASU 2022-02 in 2023 and ASU 2016-13 in 2021     —       383       —       6,090       —    
    Charge-offs     18,334       10,863       9,133       5,093       10,304    
    Recoveries     8,012       5,942       6,758       8,441       27,246    
    Net charge-offs (recoveries)     10,322       4,921       2,375       (3,348 )     (16,942 )  
    Provision for (recovery of) credit losses     14,543       2,904       4,557       (11,916 )     12,054    
    Allowance for credit losses, end of period   $ 87,966     $ 83,745     $ 85,379     $ 83,197     $ 85,675    
                 
    General reserve trends:            
    Allowance for credit losses, end of period   $ 87,966     $ 83,745     $ 85,379     $ 83,197     $ 85,675    
    Allowance on accruing purchased credit deteriorated (“PCD”) loans (purchased credit impaired (“PCI”) loans for years 2020 and prior)     —       —       —       —       167    
    Allowance on purchased loans excluded from collectively evaluated loans (for years 2020 and prior)     N.A.       N.A.       N.A.       N.A.       678    
    Specific reserves on individually evaluated loans     1,299       4,983       3,566       1,616       5,434    
    General reserves on collectively evaluated loans   $ 86,667     $ 78,762     $ 81,813     $ 81,581     $ 79,396    
                 
    Total loans   $ 7,817,128     $ 7,476,221     $ 7,141,891     $ 6,871,122     $ 7,177,785    
    Accruing PCD loans (PCI loans for years 2020 and prior)     2,174       2,835       4,653       7,149       11,153    
    Purchased loans excluded from collectively evaluated loans (for years 2020 and prior)     N.A.       N.A.       N.A.       N.A.       360,056    
    Individually evaluated loans (k)     53,149       45,215       78,341       74,502       108,407    
    Collectively evaluated loans   $ 7,761,805     $ 7,428,171     $ 7,058,897     $ 6,789,471     $ 6,698,169    
                 
    Asset Quality Ratios:            
    Net charge-offs (recoveries) as a % of average loans     0.14   %   0.07   %   0.03   %   (0.05 ) %   (0.24 ) %
    Allowance for credit losses as a % of period end loans     1.13   %   1.12   %   1.20   %   1.21   %   1.19   %
    General reserve as a % of collectively evaluated loans     1.12   %   1.06   %   1.16   %   1.20   %   1.19   %
                 
    Nonperforming assets:            
    Nonaccrual loans   $ 68,178     $ 60,259     $ 79,696     $ 72,722     $ 117,368    
    Accruing troubled debt restructurings (for years 2022 and prior) (k)     N.A.       N.A.       20,134       28,323       20,788    
    Loans past due 90 days or more     1,754       859       1,281       1,607       1,458    
    Total nonperforming loans   $ 69,932     $ 61,118     $ 101,111     $ 102,652     $ 139,614    
    Other real estate owned     938       983       1,354       775       1,431    
    Other nonperforming assets     —       —       —       2,750       3,164    
    Total nonperforming assets   $ 70,870     $ 62,101     $ 102,465     $ 106,177     $ 144,209    
    Percentage of nonaccrual loans to period end loans     0.87   %   0.81   %   1.12   %   1.06   %   1.64   %
    Percentage of nonperforming loans to period end loans     0.89   %   0.82   %   1.42   %   1.49   %   1.95   %
    Percentage of nonperforming assets to period end loans     0.91   %   0.83   %   1.43   %   1.55   %   2.01   %
    Percentage of nonperforming assets to period end total assets     0.72   %   0.63   %   1.04   %   1.11   %   1.55   %
                 
    Note: Explanations for footnotes (a) – (k) are included at the end of the financial tables in the “Financial Reconciliations” section.
                 
     
    PARK NATIONAL CORPORATION 
    Asset Quality Information (continued)
                 
        Year ended December 31,
    (in thousands, except ratios)    2024  2023  2022  2021  2020
                 
    New nonaccrual loan information:            
    Nonaccrual loans, beginning of period   $ 60,259 $ 79,696 $ 72,722 $ 117,368 $ 90,080
    New nonaccrual loans     65,535   48,280   64,918   38,478   103,386
    Resolved nonaccrual loans     57,616   67,717   57,944   83,124   76,098
    Nonaccrual loans, end of period   $ 68,178 $ 60,259 $ 79,696 $ 72,722 $ 117,368
                 
    Individually evaluated commercial loan portfolio information (period end): (k)
    Unpaid principal balance   $ 58,158 $ 47,564 $ 80,116 $ 75,126 $ 109,062
    Prior charge-offs     5,009   2,349   1,775   624   655
    Remaining principal balance     53,149   45,215   78,341   74,502   108,407
    Specific reserves     1,299   4,983   3,566   1,616   5,434
    Book value, after specific reserves   $ 51,850 $ 40,232 $ 74,775 $ 72,886 $ 102,973
                 
    Note: Explanations for footnotes (a) – (k) are included at the end of the financial tables in the “Financial Reconciliations” section.
     
           
    PARK NATIONAL CORPORATION      
    Financial Reconciliations            
    NON-GAAP RECONCILIATIONS            
      THREE MONTHS ENDED   TWELVE MONTHS ENDED
    (in thousands, except share and per share data) December 31,
    2024    		 September 30,
    2024    		 December 31,
    2023    		   December 31,
    2024    		 December 31,
    2023
    Net interest income $ 103,445     $ 101,114     $ 95,074       $ 398,019     $ 373,113    
    less purchase accounting accretion related to NewDominion and Carolina Alliance acquisitions   250       281       124         1,154       633    
    less interest income on former Vision Bank relationships   38       9       35         54       631    
    Net interest income – adjusted $ 103,157     $ 100,824     $ 94,915       $ 396,811     $ 371,849    
                 
    Provision for credit losses $ 3,935     $ 5,315     $ 1,809       $ 14,543     $ 2,904    
    less recoveries on former Vision Bank relationships   —       (234 )     —         (1,304 )     (788 )  
    Provision for credit losses – adjusted $ 3,935     $ 5,549     $ 1,809       $ 15,847     $ 3,692    
                 
    Other income $ 31,064     $ 36,530     $ 15,519       $ 122,588     $ 92,634    
    less loss on sale of debt securities, net   (128 )     —       (7,875 )       (526 )     (7,875 )  
    less pension settlement gain   365       5,783       —         6,148       —    
    less impact of strategic initiatives   117       —       (1,038 )       775       (1,038 )  
    less Vision related OREO valuation adjustments, net   —       1       (370 )       115       (370 )  
    less other service income related to former Vision Bank relationships   299       —       40         312       175    
    Other income – adjusted $ 30,411     $ 30,746     $ 24,762       $ 115,764     $ 101,742    
                 
    Other expense $ 83,241     $ 85,681     $ 79,043       $ 321,339     $ 309,239    
    less core deposit intangible amortization related to NewDominion and Carolina Alliance acquisitions   288       287       334         1,215       1,323    
    less Foundation contribution   —       2,000       1,000         2,000       1,000    
    less special incentive   —       1,700       —         1,700       —    
    less building demolition costs   44       349       —         458       —    
    less direct expenses related to collection of payments on former Vision Bank loan relationships   215       —       —         215       100    
    Other expense – adjusted $ 82,694     $ 81,345     $ 77,709       $ 315,751     $ 306,816    
                 
    Tax effect of adjustments to net income identified above (i) $ (83 )   $ (414 )   $ 2,188       $ (787 )   $ 1,991    
                 
    Net income – reported $ 38,630     $ 38,217     $ 24,500       $ 151,420     $ 126,734    
    Net income – adjusted (h) $ 38,319     $ 36,659     $ 32,730       $ 148,459     $ 134,222    
                 
    Diluted earnings per common share $ 2.37     $ 2.35     $ 1.51       $ 9.32     $ 7.80    
    Diluted earnings per common share, adjusted (h) $ 2.35     $ 2.25     $ 2.02       $ 9.14     $ 8.26    
                 
    Annualized return on average assets (a)(b)   1.54   %   1.53   %   0.98   %     1.53   %   1.27   %
    Annualized return on average assets, adjusted (a)(b)(h)   1.52   %   1.47   %   1.31   %     1.50   %   1.35   %
                 
    Annualized return on average tangible assets (a)(b)(e)   1.56   %   1.56   %   1.00   %     1.56   %   1.29   %
    Annualized return on average tangible assets, adjusted (a)(b)(e)(h)   1.55   %   1.49   %   1.34   %     1.52   %   1.37   %
                 
    Annualized return on average shareholders’ equity (a)(b)   12.32   %   12.56   %   8.81   %     12.65   %   11.55   %
    Annualized return on average shareholders’ equity, adjusted (a)(b)(h)   12.22   %   12.05   %   11.76   %     12.40   %   12.23   %
                 
    Annualized return on average tangible equity (a)(b)(c)   14.17   %   14.52   %   10.35   %     14.65   %   13.60   %
    Annualized return on average tangible equity, adjusted (a)(b)(c)(h)   14.06   %   13.93   %   13.83   %     14.37   %   14.40   %
                 
    Efficiency ratio (g)   61.60   %   61.98   %   70.93   %     61.44   %   65.87   %
    Efficiency ratio, adjusted (g)(h)   61.63   %   61.55   %   64.48   %     61.31   %   64.28   %
                 
    Annualized net interest margin (g)   4.51   %   4.45   %   4.17   %     4.41   %   4.11   %
    Annualized net interest margin, adjusted (g)(h)   4.50   %   4.43   %   4.17   %     4.39   %   4.09   %
    Note: Explanations for footnotes (a) – (k) are included at the end of the financial tables in the “Financial Reconciliations” section.  
         
           
    PARK NATIONAL CORPORATION      
    Financial Reconciliations (continued)            
                 
    (a) Reported measure uses net income
    (b) Averages are for the three months ended December 31, 2024, September 30, 2024, and December 31, 2023 and the twelve months ended December 31, 2024 and December 31, 2023, as appropriate
    (c) Net income for each period divided by average tangible equity during the period. Average tangible equity equals average shareholders’ equity during the applicable period less average goodwill and other intangible assets during the applicable period.
                 
    RECONCILIATION OF AVERAGE SHAREHOLDERS’ EQUITY TO AVERAGE TANGIBLE EQUITY:      
      THREE MONTHS ENDED   TWELVE MONTHS ENDED
      December 31, 2024 September 30, 2024 December 31, 2023   December 31, 2024 December 31, 2023
    AVERAGE SHAREHOLDERS’ EQUITY $ 1,247,680 $ 1,210,565 $ 1,103,726   $ 1,197,120 $ 1,097,143
    Less: Average goodwill and other intangible assets   163,221   163,509   164,466     163,669   164,960
    AVERAGE TANGIBLE EQUITY $ 1,084,459 $ 1,047,056 $ 939,260   $ 1,033,451 $ 932,183
                 
    (d) Tangible equity divided by common shares outstanding at period end. Tangible equity equals total shareholders’ equity less goodwill and other intangible assets, in each case at the end of the period.
                 
    RECONCILIATION OF TOTAL SHAREHOLDERS’ EQUITY TO TANGIBLE EQUITY:
      December 31, 2024 September 30, 2024 December 31, 2023      
    TOTAL SHAREHOLDERS’ EQUITY $ 1,243,848 $ 1,239,413 $ 1,145,293      
    Less: Goodwill and other intangible assets   163,032   163,320   164,247      
    TANGIBLE EQUITY $ 1,080,816 $ 1,076,093 $ 981,046      
                 
    (e) Net income for each period divided by average tangible assets during the period. Average tangible assets equal average assets less average goodwill and other intangible assets, in each case during the applicable period.
                 
    RECONCILIATION OF AVERAGE ASSETS TO AVERAGE TANGIBLE ASSETS      
      THREE MONTHS ENDED   TWELVE MONTHS ENDED
      December 31, 2024 September 30, 2024 December 31, 2023   December 31, 2024 December 31, 2023
    AVERAGE ASSETS $ 10,008,328 $ 9,920,633 $ 9,890,188   $ 9,901,264 $ 9,957,554
    Less: Average goodwill and other intangible assets   163,221   163,509   164,466     163,669   164,960
    AVERAGE TANGIBLE ASSETS $ 9,845,107 $ 9,757,124 $ 9,725,722   $ 9,737,595 $ 9,792,594
                 
    (f) Tangible equity divided by tangible assets. Tangible assets equal total assets less goodwill and other intangible assets, in each case at the end of the period.
                 
    RECONCILIATION OF TOTAL ASSETS TO TANGIBLE ASSETS:
      December 31, 2024 September 30, 2024 December 31, 2023      
    TOTAL ASSETS $ 9,805,350 $ 9,903,049 $ 9,836,453      
    Less: Goodwill and other intangible assets   163,032   163,320   164,247      
    TANGIBLE ASSETS $ 9,642,318 $ 9,739,729 $ 9,672,206      
                 
    (g) Efficiency ratio is calculated by dividing total other expense by the sum of fully taxable equivalent net interest income and other income. Fully taxable equivalent net interest income reconciliation is shown assuming a 21% corporate federal income tax rate. Additionally, net interest margin is calculated on a fully taxable equivalent basis by dividing fully taxable equivalent net interest income by average interest earning assets, in each case during the applicable period.
                 
    RECONCILIATION OF FULLY TAXABLE EQUIVALENT NET INTEREST INCOME TO NET INTEREST INCOME
      THREE MONTHS ENDED   TWELVE MONTHS ENDED
      December 31, 2024 September 30, 2024 December 31, 2023   December 31, 2024 December 31, 2023
    Interest income $ 133,613 $ 133,808 $ 125,206   $ 522,965 $ 471,670
    Fully taxable equivalent adjustment   617   594   838     2,432   3,726
    Fully taxable equivalent interest income $ 134,230 $ 134,402 $ 126,044   $ 525,397 $ 475,396
    Interest expense   30,168   32,694   30,132     124,946   98,557
    Fully taxable equivalent net interest income $ 104,062 $ 101,708 $ 95,912   $ 400,451 $ 376,839
                 
    (h) Adjustments to net income for each period presented are detailed in the non-GAAP reconciliations of net interest income, provision for credit losses, other income, other expense and tax effect of adjustments to net income.
    (i) The tax effect of adjustments to net income was calculated assuming a 21% corporate federal income tax rate.
    (j) Pre-tax, pre-provision (“PTPP”) net income is calculated as net income, plus income taxes, plus the provision for credit losses, in each case during the applicable period. PTPP net income is a common industry metric utilized in capital analysis and review. PTPP is used to assess the operating performance of Park while excluding the impact of the provision for credit losses.
                 
     
    RECONCILIATION OF PRE-TAX, PRE-PROVISION NET INCOME
      THREE MONTHS ENDED   TWELVE MONTHS ENDED
      December 31, 2024 September 30, 2024 December 31, 2023   December 31, 2024 December 31, 2023
    Net income $ 38,630 $ 38,217 $ 24,500   $ 151,420 $ 126,734
    Plus: Income taxes   8,703   8,431   5,241     33,305   26,870
    Plus: Provision for credit losses   3,935   5,315   1,809     14,543   2,904
    Pre-tax, pre-provision net income $ 51,268 $ 51,963 $ 31,550   $ 199,268 $ 156,508
                 
    (k) Effective January 1, 2023, Park adopted Accounting Standards Update (“ASU”) 2022-02. Among other things, this ASU eliminated the concept of troubled debt restructurings (“TDRs”). As a result of the adoption of this ASU and elimination of the concept of TDRs, total nonperforming loans (“NPLs”) and total nonperforming assets (“NPAs”) each decreased by $20.1 million effective January 1, 2023. Additionally, as a result of the adoption of this ASU, individually evaluated loans decreased by $11.5 million effective January 1, 2023.
     

    The MIL Network –

  • MIL-OSI USA: News 01/27/2025 Blackburn, Luján Introduce Bill to Safeguard U.S. Communications Networks from National Security Threats

    US Senate News:

    Source: United States Senator Marsha Blackburn (R-Tenn)
    WASHINGTON, D.C. – U.S. Senators Marsha Blackburn (R-Tenn.) and Ben Ray Luján (D-N.M.) introduced the Removing Our Unsecure Technologies to Ensure Reliability and Security (ROUTERS) Act to safeguard Americans’ communications networks from foreign-adversary controlled technology, including routers, modems, or devices that combine both:
    “Tens of millions of families and small businesses across the country use wireless routers as their primary access point to the internet,” said Senator Blackburn. “Many of these routers are susceptible to infiltration by foreign actors – including China – exposing our country to serious danger. This bill will better protect U.S. communications networks and our national security.”
    “The ROUTERS Act is a crucial step in ensuring that everyday internet devices like consumer routers and modems don’t pose a risk to our national security or consumer privacy,” said Senator Luján. “Securing our broadband infrastructure is a top priority, and we must create safeguards at every point across our systems. That is why I am proud to reintroduce this critical piece of legislation to help protect the privacy and security of millions of Americans.”

    ROUTERS ACT:

    The ROUTERS Act would require the Assistant Secretary for Communications and Information at the Department of Commerce to conduct a study of the national security risks posed by routers, modems, or other devices that are designed, developed, manufactured, or supplied by persons owned, controlled, or subject to the jurisdiction of U.S. adversaries. This includes the People’s Republic of China, Russia, Iran, North Korea, Cuba, or Venezuela.

    Click here for bill text.

    MIL OSI USA News –

  • MIL-OSI USA: Black Holes Can Cook for Themselves, Chandra Study Shows

    Source: NASA

    Astronomers have taken a crucial step in showing that the most massive black holes in the universe can create their own meals. Data from NASA’s Chandra X-ray Observatory and the Very Large Telescope (VLT) provide new evidence that outbursts from black holes can help cool down gas to feed themselves.
    This study was based on observations of seven clusters of galaxies. The centers of galaxy clusters contain the universe’s most massive galaxies, which harbor huge black holes with masses ranging from millions to tens of billions of times that of the Sun. Jets from these black holes are driven by the black holes feasting on gas.
    These images show two of the galaxy clusters in the study, the Perseus Cluster and the Centaurus Cluster. Chandra data represented in blue reveals X-rays from filaments of hot gas, and data from the VLT, an optical telescope in Chile, shows cooler filaments in red.
    The results support a model where outbursts from the black holes trigger hot gas to cool and form narrow filaments of warm gas. Turbulence in the gas also plays an important role in this triggering process.
    According to this model, some of the warm gas in these filaments should then flow into the centers of the galaxies to feed the black holes, causing an outburst. The outburst causes more gas to cool and feed the black holes, leading to further outbursts.
    This model predicts there will be a relationship between the brightness of filaments of hot and warm gas in the centers of galaxy clusters. More specifically, in regions where the hot gas is brighter, the warm gas should also be brighter. The team of astronomers has, for the first time, discovered such a relationship, giving critical support for the model.
    This result also provides new understanding of these gas-filled filaments, which are important not just for feeding black holes but also for causing new stars to form. This advance was made possible by an innovative technique that isolates the hot filaments in the Chandra X-ray data from other structures, including large cavities in the hot gas created by the black hole’s jets.
    The newly found relationship for these filaments shows remarkable similarity to the one found in the tails of jellyfish galaxies, which have had gas stripped away from them as they travel through surrounding gas, forming long tails. This similarity reveals an unexpected cosmic connection between the two objects and implies a similar process is occurring in these objects.
    This work was led by Valeria Olivares from the University of Santiago de Chile, and was published Monday in Nature Astronomy. The study brought together international experts in optical and X-ray observations and simulations from the United States, Chile, Australia, Canada, and Italy. The work relied on the capabilities of the MUSE (Multi Unit Spectroscopic Explorer) instrument on the VLT, which generates 3D views of the universe.
    NASA’s Marshall Space Flight Center in Huntsville, Alabama, manages the Chandra program. The Smithsonian Astrophysical Observatory’s Chandra X-ray Center controls science operations from Cambridge, Massachusetts, and flight operations from Burlington, Massachusetts.
    Read more from NASA’s Chandra X-ray Observatory.
    Learn more about the Chandra X-ray Observatory and its mission here:

    chandra

    https://chandra.si.edu

    This release features composite images shown side-by-side of two different galaxy clusters, each with a central black hole surrounded by patches and filaments of gas. The galaxy clusters, known as Perseus and Centaurus, are two of seven galaxy clusters observed as part of an international study led by the University of Santiago de Chile.
    In each image, a patch of purple with neon pink veins floats in the blackness of space, surrounded by flecks of light. At the center of each patch is a glowing, bright white dot. The bright white dots are black holes. The purple patches represent hot X-ray gas, and the neon pink veins represent filaments of warm gas. According to the model published in the study, jets from the black holes impact the hot X-ray gas. This gas cools into warm filaments, with some warm gas flowing back into the black hole. The return flow of warm gas causes jets to again cool the hot gas, triggering the cycle once again.
    While the images of the two galaxy clusters are broadly similar, there are significant visual differences. In the image of the Perseus Cluster on the left, the surrounding flecks of light are larger and brighter, making the individual galaxies they represent easier to discern. Here, the purple gas has a blue tint, and the hot pink filaments appear solid, as if rendered with quivering strokes of a paintbrush. In the image of the Centaurus Cluster on the right, the purple gas appears softer, with a more diffuse quality. The filaments are rendered in more detail, with feathery edges, and gradation in color ranging from pale pink to neon red.

    Megan WatzkeChandra X-ray CenterCambridge, Mass.617-496-7998mwatzke@cfa.harvard.edu
    Lane FigueroaMarshall Space Flight Center, Huntsville, Alabama256-544-0034lane.e.figueroa@nasa.gov

    MIL OSI USA News –

  • MIL-OSI: Willis Aviation Services Limited and TUI Airways Forge Transformative Long-Term Base Maintenance Partnership

    Source: GlobeNewswire (MIL-OSI)

    COCONUT CREEK, Fla., Jan. 27, 2025 (GLOBE NEWSWIRE) — Willis Lease Finance Corporation (NASDAQ: WLFC) (“WLFC” or the “Company”), the leading lessor of commercial aircraft engines and global provider of aviation services, announces its subsidiary, Willis Aviation Services Limited (“WASL”), a leading aircraft maintenance, repair and overhaul (“MRO”) provider, has entered into a long-term General Terms Agreement with TUI Airways (“TUI”) to provide long-term base maintenance on TUI’s narrowbody aircraft, starting with two Boeing 737NG maintenance checks. Utilizing its specialized knowledge, WASL will conduct comprehensive base maintenance services for TUI at its expanding facility located at Teesside International Airport in Northeastern England.

    “We are thrilled to collaborate with TUI Airways, a highly regarded airline recognized for its customer-centric approach and operational excellence. This partnership underscores our dedication to providing top-tier MRO solutions, supporting TUI’s fleet, and contributing to local economic growth by creating skilled job opportunities within the UK aerospace industry,” said Austin C. Willis, Chief Executive Officer of WLFC.

    Willis Lease Finance Corporation
    Willis Lease Finance Corporation (“WLFC”) leases large and regional spare commercial aircraft engines, auxiliary power units and aircraft to airlines, aircraft engine manufacturers and maintenance, repair, and overhaul providers worldwide. These leasing activities are integrated with engine and aircraft trading, engine lease pools and asset management services through Willis Asset Management Limited, as well as various end-of-life solutions for engines and aviation materials provided through Willis Aeronautical Services, Inc. Through Willis Engine Repair Center®, Jet Centre by Willis, and Willis Aviation Services Limited, the Company’s service offerings include Part 145 engine maintenance, aircraft line and base maintenance, aircraft disassembly, parking and storage, airport FBO and ground and cargo handling services.

    Except for historical information, the matters discussed in this press release contain forward-looking statements that involve risks and uncertainties. Do not unduly rely on forward-looking statements, which give only expectations about the future and are not guarantees. Forward-looking statements speak only as of the date they are made, and we undertake no obligation to update them to reflect any change in the Company’s expectations or any change in events, conditions or circumstances on which the forward-looking statement is based, except as required by law. Our actual results may differ materially from the results discussed in forward-looking statements. Factors that might cause such a difference include, but are not limited to: the effects on the airline industry and the global economy of events such as war, terrorist activity and the COVID-19 pandemic; changes in oil prices, rising inflation and other disruptions to world markets; trends in the airline industry and our ability to capitalize on those trends, including growth rates of markets and other economic factors; risks associated with owning and leasing jet engines and aircraft; our ability to successfully negotiate equipment purchases, sales and leases, to collect outstanding amounts due and to control costs and expenses; changes in interest rates and availability of capital, both to us and our customers; our ability to continue to meet changing customer demands; regulatory changes affecting airline operations, aircraft maintenance, accounting standards and taxes; the market value of engines and other assets in our portfolio; and risks detailed in the Company’s Annual Report on Form 10-K and other continuing  and current reports filed with the Securities and Exchange Commission. It is advisable, however, to consult any further disclosures the Company makes on related subjects in such filings. These statements constitute the Company’s cautionary statements under the Private Securities Litigation Reform Act of 1995.

    CONTACT: Lynn Mailliard Kohler
      Director, Global Corporate Communications
      (415) 328-4798
       

    The MIL Network –

  • MIL-OSI Economics: Members consider China’s request for panel to examine electric vehicle measures in Türkiye

    Source: World Trade Organization

    DS629: Türkiye — Measures Concerning Electric Vehicles and Other Types of Vehicles from China

    China submitted a request for the establishment of a dispute panel to rule on various measures taken by Türkiye concerning electric vehicles (“EVs”) and certain other types of vehicles originating in China. Consultations took place on 20-21 November in an effort to resolve the dispute but failed to produce a mutually agreed solution, prompting China to submit its request for the panel. 

    China said Türkiye’s measures are protectionist and discriminatory, and violate Türkiye’s core obligations under the WTO agreements, including most favoured nation treatment, tariff bindings, and general elimination of quantitative restrictions. China expressed grave concerns that some members, including Türkiye, have introduced restrictive measures on Chinese new energy products, including EVs, which are inconsistent with WTO rules. Increased tech protectionism is not a solution, China said, adding that the panel request is one of the responses to such unlawful measures.

    Türkiye said the two sides had constructive consultations in November 2024 and that it shared information and clarifications with its Chinese colleagues in a cooperative manner. Türkiye said its measures are completely justified against the backdrop of the strong challenges its automotive industry has been facing for many years due to anti-competitive practices, subsidization, and excess capacity. These problems should be addressed in the relevant WTO bodies for a level playing field in industrial sectors. Against that background, Türkiye said it cannot at this time agree to the establishment of a panel.

    The DSB took note of the statements and agreed to revert to this matter should the requesting member wish to do so.

    DS597: United States – Origin Marking Requirement (Hong Kong, China)

    The United States once again raised the matter of the panel ruling in DS597 at the DSB meeting. The US said it was raising the matter as a result of recent developments in Hong Kong, China regarding free speech and human rights.  The US referred back to its previous statements regarding its position on essential security and its reasons for placing this item on the DSB agenda.

    Hong Kong, China said the US again raising this matter and questioning its inherent rights under international law was an abuse of WTO rules. The panel ruling clearly confirms that the US action lacks legal justification, Hong Kong, China said, adding that it stands ready to proceed through the due process of appeal should the US lift its blockage on the appointment of Appellate Body members.

    China reiterated its objections to the item being on the DSB agenda and said any member, regardless of its power and size, should refrain from taking unilateral and protectionism measures in the name of national security or using it as a vehicle to disregard the core principles of the WTO and interfere in other members’ internal affairs.

    Appellate Body appointments

    Colombia, speaking on behalf of 130 members, introduced for the 83rd time the group’s proposal to start the selection processes for filling vacancies on the Appellate Body. The extensive number of members submitting the proposal reflects a common interest in the functioning of the Appellate Body and, more generally, in the functioning of the WTO’s dispute settlement system, Colombia said.

    The United States noted that a new US President was inaugurated on 20 January, and the US is currently transitioning to a new Administration.  Members are aware of the longstanding US concerns with WTO dispute settlement that have persisted across US administrations; those concerns remain unaddressed and it does not support the proposed decision, the United States said.

    Twenty members then took the floor to comment. Most reiterated their support for the joint proposal and for the urgent need to restore a fully functioning dispute settlement system as soon as possible. Many welcomed the progress made in the dispute settlement reform discussions to date and the proposal by the General Council Chair to initiate consultations with interested delegations to hear views on how to build on progress made in a manner that would further advance dispute settlement reform work.

    Several members said they looked forward to hearing from the Chair on how those consultations would be organized.  Ten members urged others to consider joining the Multi-party interim appeal arrangement (MPIA), a contingent measure to safeguard the right to appeal in the absence of a functioning Appellate Body. 

    Colombia said on behalf of the 130 members it regretted that for the 83rd occasion members have not been able to launch the selection processes. Ongoing conversations about reform of the dispute settlement system should not prevent the Appellate Body from continuing to operate fully, and members shall comply with their obligation under the Dispute Settlement Understanding to fill the vacancies as they arise, Colombia said for the group.

    Surveillance of implementation

    Australia presented a status report regarding its implementation of the panel ruling in the case brought by China in DS603, “Australia — Anti-Dumping and Countervailing Duty Measures on Certain Products from China.”  Australia said it provided a written status report in this dispute on 16 January noting that Australia has fully implemented the ruling and that the matter is now resolved.

    China thanked Australia for its statement and said this case demonstrates the effectiveness of the WTO dispute settlement system. At a time when the multilateral trading system faces unprecedented challenges, cooperation among members is vital to maintaining the effective operation of the dispute settlement mechanism, China said.  China added that it is ready to work with Australia and other members to continue to resolve trade frictions under the WTO framework.

    The United States presented status reports with regard to DS184, “US — Anti-Dumping Measures on Certain Hot-Rolled Steel Products from Japan”,  DS160, “United States — Section 110(5) of US Copyright Act”, DS464, “United States — Anti-Dumping and Countervailing Measures on Large Residential Washers from Korea”, and DS471, “United States — Certain Methodologies and their Application to Anti-Dumping Proceedings Involving China.”

    The European Union presented a status report with regard to DS291, “EC — Measures Affecting the Approval and Marketing of Biotech Products.”

    Indonesia presented its status reports in DS477 and DS478, “Indonesia — Importation of Horticultural Products, Animals and Animal Products.” 

    Next meeting

    The next regular DSB meeting will take place on 24 February 2025.

    Share

    MIL OSI Economics –

  • MIL-OSI Australia: PD Edge catches suspect in Colonel Light Gardens

    Source: South Australia Police

    PD Edge arrested a man in Colonel Light Gardens after he was caught allegedly stealing CCTV cameras this morning.

    About 2am Tuesday 28 January police were called to a home under construction on Goodwood Road after a man was seen on the owners CCTV cameras in the rear yard.

    The owner, who was not at the property at the time, was able to provide police with a good description of the suspect including the clothing he was wearing.

    PD Edge was called in and tracked through the property then out into an alley way and back on to Goodwood Road. Clever PD Edge quickly chased down the suspect detaining him in the front yard of a nearby home.

    Southern Patrols searched the area locating gloves, a drill, a head lamp and stolen CCTV cameras dumped in a wheelie bin.

    The 50-year-old Firle man was charged with being unlawfully on premises, theft and going equipped to commit an offence. He was bailed to appear in the Adelaide Magistrates Court on 11 March.

    MIL OSI News –

  • MIL-OSI Asia-Pac: Office of PSA, IISc and MEA organise Technology Dialogue 2025 to Explore New Frontiers in Technology Diplomacy on 24th and 25th January 2025

    Source: Government of India

    Posted On: 27 JAN 2025 6:21PM by PIB Delhi

    Office of the Principal Scientific Adviser (PSA) to the Government of India, Indian Institute of Science (IISc) and the Ministry of External Affairs (MEA) jointly organised an international technology policy summit titled “Technology Dialogue 2025: Exploring New Frontiers in Technology Diplomacy” on 24 and 25 January 2025 in IISc, Bengaluru as a continuation to Dialogue 2023 held in November 2023.

    Recognising the importance of technology in driving India’s global partnerships, the summit focused on India’s international technology engagement framework, and the need for leveraging strategic partnerships on critical and emerging technologies such as quantum, AI, semiconductors, space tech, and bioeconomy.

    The summit was inaugurated with a keynote address on International Technology Engagement Framework (ITEF) by the Hon’ble Minister of State (Independent Charge) for Science and Technology, Dr. Jitendra Singh, who highlighted various national initiatives and missions aimed at advancing India’s technological aspirations while emphasizing the importance of global partnerships and collaborations. Hon’ble Minister Dr Singh also emphasised the need for a structured framework and approach in elevating India’s International Technology Engagements. The inauguration ceremony was joined by Prof. Ajay Kumar Sood (Principal Scientific Adviser to the Government of India), H.E. Pavan Kapoor (Deputy National Security Adviser, Government of India), Shri S. Raghuram (Joint Secretary of Policy Planning & Research, Ministry of External Affairs), Prof. G. Rangarajan (Director of IISc), and Dr. Kiran Mazumdar-Shaw (Chairperson and Managing Director of Biocon), and was chaired by Prof. G.K. Ananthasuresh (Dean of the Division of Mechanical Sciences, IISc). PSA Prof. Ajay Kumar Sood delivered a special address on conceptualisation and building blocks of ITEF. Dr. Kiran Mazumdar-Shaw delivered a special address on industrial perspective that should shape India’s ITEF.

    The summit featured a keynote address on leveraging strategic partnerships on critical and emerging technologies for India by H.E. Pavan Kapoor (Deputy National Security Adviser, Government of India). This was followed by a featured panel on expanding the contours of international engagements for technology partnerships featuring H.E. Chandru Iyer (His Majesty’s Deputy Trade Commissioner for Investment for Souh Asia, Deputy High Commissioner of the United Kingdom to Karnataka and Kerala), H.E. Carly Partridge (Minister Counsellor,  Australian High Commission), H.E. Alfonso Tagliaferri (Consulate General of Italy in Bengaluru), Dr Soren Tranberg Hansen (Consulate General of Denmark) and Dr Rama Swami Bansal (Chief Scientist & Head, International S&T Affairs Directorate, Council for Scientific and Industrial Research (CSIR).

    The second day began with a keynote address on Technology and Development Partnerships of India by Shri Periasamy Kumaran, Special Secretary (ER & DPA), Ministry of External Affairs where he highlighted the ongoing bilateral efforts of Government of India with multiple countries in emerging and critical technologies.

    Thematic panel on ‘Fostering Collaboration for Quantum Revolution’ was organised on to deliberate on advancements in quantum technologies and policy imperatives globally. The panel began with a lead presentation by Prof. Ajay Kumar Sood highlighting features of India’s National Quantum Mission (NQM). The panel also featured Prof Andrew White (ARC Australian Laureate Fellow), Dr Amith Singhee (Director, IBM Research India) and Prof Urbasi Sinha (Professor at Raman Research Institute), moderated by Mr Luke Preskey (Chief Revenue Officer, Resonance).

    The summit also featured a dialogue between Dr S Somanath (Former Secretary, Department of Space and former Chairman of ISRO), and Dr Koichi Wakata (Astronaut and CTO, Asia-Pacific at Axiom Space) on the theme, ‘Unlocking Potentials of Space Tech’ discussing space exploration boom, the entry of private entities, industry partners and foreign investment, as well the encouraging growth of space startups.

    The panel on ‘Accelerating Artificial Intelligence (AI) Innovation’ featured Shri S Krishnan (Secretary, Ministry of Electronics and Information Technology), H.E. Arthur Barichard (Deputy Ambassador for Digital Affairs, Ministry for Europe and Foreign Affairs, Republic of France), Ms Laxmi Shenoy (Managing Director, Accenture), Shri Biswajit Das (Head – Data Analytics and AI, Amazon Web Services), and Dr Leah Junck (Global Center on AI Governance, South Africa), moderated by Prof Chiranjib Bhattacharyya (Chair, Department of Computer Science and Automation, IISc). The panel deliberated on building a trustworthy AI ecosystem, focusing on AI governance, the future of work, and AI for public interest.

    The panel on ‘Advancing India’s Bio-Economy’ featured Dr Alka Sharma (Adviser, Department of Biotechnology), Shri Krishna Mohan Puvvada (Senior Vice President, MEIA Novonesis), Mr Peter Bains (Group CEO of Biocon Group), Prof Usha Vijayraghavan (Dean, Biological Science Division, IISc) and Dr Bhuvnesh Shrivastava (Director- Healthcare, US-India Strategic Partnership Forum (USISPF), moderated by Prof Gayatri Saberwal (Dean, Institute of Bioinformatics and Applied Biotechnology). The panel discussed the importance of international collaboration for India to achieve its bio-economy ambitions.

    The valedictory session featured a keynote address on driving sectoral transformation through independent and synergistic technology advancements by Dr Parvinder Maini, Scientific Secretary, Office of the Principal Scientific Adviser to the Government of India. The session also featured a fireside chat on positioning India in the global semiconductor value chain between Shri Utpal Shah (Senior Vice President – Strategy and Business Development, Tata Electronics) and Prof Andrew White, chaired by Prof Navakanta Bhat (Dean, Division of Interdisciplinary Sciences, IISc).

    The Technology Dialogue 2025 also featured the India-France AI Policy Roundtable: Roadmap for the AI Action Summit 2025. The roundtable was co-chaired by Shri Abhishek Singh, Additional Secretary, Ministry of Electronics and Information Technology (MeitY), Government of India, and Chief Executive Officer of the IndiaAI Mission, representing India, and H.E. Mr. Marc Lamy, Consul General of France in Bengaluru, representing France. The discussion focused on key policy positions related to global AI development and governance, while also exploring opportunities for collaboration and synergy between India and France. The roundtable focused on the following key objectives:

     

    ●          Unified Global AI Governance

    ●          Understanding AI Technologies and Implications

    ●          Addressing Digital Divide and Market Concentration

    ●          Common and Open AI Infrastructure

    ●          Cultural and Linguistic Diversity in AI

    ●          Sustaining AI Innovation and Addressing Resource Needs

     

    The India-France AI Policy Roundtable, during Technology Dialogue 2025, served as a platform for discussions leading up to the 2025 AI Action Summit to be co-chaired by Hon’ble Prime Minister Shri Narendra Modi.

    The two day summit exploring technology policy and diplomacy efforts with key partner countries witnessed the participation from various foreign missions in India, global thought leaders on critical and emerging technologies, industry and academia thought leadership in various technologies, industries bodies, start-ups and scholars of public policy.

    More details at: https://technologydialogue.in/

    *****

    Mattu J.P. Singh/Siddhant Tiwari

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