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  • MIL-OSI Economics: [Interview] The Premiere 5: Probably the Largest Touchscreen You’ll Use at Home

    Source: Samsung

    “Expanding the projection surface naturally broadens the range of use.”
    — Jaeyoung Park, Visual Display Business, Samsung Electronics
     
    With the right projector, you can enjoy a 100-inch screen in compact home spaces. The portability of smaller projectors also enable more flexible entertainment spaces. Turning a living room into a theater or a bedroom into a concert hall — that’s an experience you don’t come back from.
     
    Samsung Electronics is redefining home entertainment with The Premiere 5, introducing a new product identity by expanding the projection surface from walls to floors and tables and incorporating touch Interaction.1
     
    Samsung Newsroom spoke with Seung-Hyun Moon from the New Projector Lab, Yuri Kim from Innovative Product Planning and Jaeyoung Park from Lifestyle Product Marketing — all part of the Visual Display (VD) Business at Samsung Electronics — to learn more about how the largest in-home touchscreen came to life.
     
    ▲ (From left) Yuri Kim, Jaeyoung Park and Seung-Hyun Moon from the Visual Display Business at Samsung Electronics
     
     
    Ultra-Short Throw, Ultra-Clear Picture in an Ultra Cute Form
    A compact ultra-short throw projector equipped with advanced triple laser technology as well as touch interaction, The Premiere 5 transforms everyday spaces into immersive environments with vivid picture quality. The device can display an image up to 100 inches from just 17 inches away2 when aimed at a wall and up to 40 inches when projecting onto the floor or tabletops.
     
    ▲ (From left) In the box: The Premiere 5, SolarCell Remote, front and back sides of the Touch Stand, power adapter and cable
     
    “We applied ultra-short throw technology so the projector can still deliver a large screen even when placed very close to the wall,” said Moon. “A specially designed aspheric mirror bends the light path by more than 90 degrees, allowing light to spread evenly across the surface.”
     
    “Thanks to the short projection distance, The Premiere 5 can be easily set up in confined spaces,” he added. “Another key strength is that it minimizes shadow interference — a common issue with conventional standard (or long) throw projectors.”
     
    Triple laser technology uses red, green and blue — the three primary colors of light — to produce bright, vivid images.
     
    “Traditional lamp-based or single-laser projectors rely on passing light through a color wheel to generate color,” said Moon. “In contrast, The Premiere 5 uses pure red, green and blue light sources from the start to deliver higher color purity and greater optical efficiency.”
     
    ▲ (From left) The top projection unit features a dual-mirror structure with an aspheric mirror, enabling ultra-short throw projection in a flat design. The camera unit uses 3D ToF technology for auto keystone and auto focus.
     
    The two cameras built into the projector use 3D time-of-flight (ToF) technology3 to automatically detect the shape and distance of the projection surface and make adjustments in real-time. Auto focus keeps the image sharp, whereas auto keystone corrects trapezoidal distortion for a properly aligned rectangular image. As a result, users get an optimal viewing experience without needing to make any manual adjustments.
     
    “3D ToF works by projecting infrared light onto the wall and calculating the time it takes to bounce back, allowing the projector to read the shape of the wall in real time,” he continued. “Thanks to this, the image can be instantly recalibrated even if the projector is accidentally moved during use.”
     
    ▲ Seung-Hyun Moon, New Projector Lab, Visual Display Business, Samsung Electronics
     
     
    Touch Interaction — The Projector for Smartphone Habits
    Touch interaction is a key feature that defines The Premiere 5.
     
    “When projecting onto the floor, the screen becomes very close to the user,” said Kim. “The Premiere 5 was developed with the idea that touch is the most intuitive way to interact with screens — especially for users who are already familiar with smartphones and tablets.”
     
    ▲ Yuri Kim, Innovative Product Planning, Visual Display Business, Samsung Electronics
     
    Touch interaction on The Premiere 5 uses infrared (IR) image sensors. An IR laser at the bottom of the stand and an IR camera at the top of the projector operate simultaneously to generate a calibration pattern, creating a map of the screen. When a user touches the surface, the upper sensor detects the reflected IR signal from the touch point and compares it with the existing map to determine the exact touch location.
     
    “For precise touch recognition, we created and refined an error map across the entire IR range and went through countless rounds of calibration,” said Moon. “We worked extensively to ensure touch accuracy.”
     
    ▲ (From left) The IR camera and the IR laser
     
    To activate touch interaction, users simply attach the front and rear stands to the main unit, lay it horizontally. The projector automatically switches to floor projection mode and enables touch. The magnetic connectors on the stands snap into place instantly, making assembly easy for anyone.
     
    The key to the stand design is ensuring both easy assembly and stable support for the sensors and main unit so the touch feature functions smoothly.
     
    “Before arriving at the current Touch Stand design, we went through numerous prototypes — continuously refining it to address shortcomings in both structure and usability,” said Park. “We were relentless in our pursuit of a safe, stable and effortless assembly.”
     
    ▲ Jaeyoung Park, Lifestyle Product Marketing, Visual Display Business, Samsung Electronics
     
    Kim also recalled the intensive development process behind the Touch Stand.
     
    “We experimented with countless attachment methods including detachable camera modules and cable connections,” she reflected. “There were easier ways to do this from a product development perspective, but our focus on user convenience helped us arrive at an optimal design. Ultimately, product development is driven by the user.”
     

    Towering Design Requirements — Stacking Form and Function
     
    “The process of stacking various parts in layers was simultaneously a design trial and technical challenge.”
    — Seung-Hyun Moon, Visual Display Business, Samsung Electronics
     
    One of the standout features of The Premiere 5 is its vertical tower design.
     
    “Unlike conventional projectors, ultra-short throw projectors emit light at a wide angle. To avoid obstructing the projection path, part of the main body is typically recessed in a valley structure,” said Park. “In contrast, The Premiere 5 uses a dual-mirror structure that creates a flat top for a cleaner, more refined appearance.”
     
    ▲ The Premiere 5
     
    “We aimed for a design that would blend naturally into any space and still look cohesive even when moved around — like a beautiful vase placed on furniture,” said Kim. “By shifting from the traditional horizontal form to a vertical design, we also improved space efficiency.”
     
    Focus was placed not only on design but also on sound quality. Featuring 10W stereo speakers and Dolby Atmos support, The Premiere 5 delivers a powerful, rich sound. When paired with the Music Frame speaker via Q-Symphony,4 the projector creates an even more immersive audio experience.
     
    “A cinematic experience is defined by both picture and sound quality, meaning high-quality audio is not optional — it’s essential,” said Park. “While delivering rich sound was a challenge given the spatial constraints, our team’s collaborative efforts allowed us to achieve both aesthetic design and impressive audio.”
     
    “Ultimately, product development is driven by the user.”
    — Yuri Kim, Visual Display Business, Samsung Electronics
     
    “While horizontal projectors allow internal components to be distributed more broadly, the vertical structure of The Premiere 5 required stacking various parts in layers,” said Moon. “Incorporating premium features — such as ultra-short throw, triple laser technology, high-quality speakers and an internal sound chamber — meant every component had to be smaller and efficiently placed. The process was simultaneously a design trial and a technical challenge.”
     
     
    Setting a New Standard for Projectors
    The Premiere 5 brings innovation to projector use by introducing the concept of floor projection.
     
    “By combining the projector with a Touch Stand, we extended the projection surface down to the floor,” said Park. “Expanding the projection surface naturally broadens the range of ways The Premiere 5 can be used.”
     
    For example, users can mirror mobile content and project it onto a table — turning the surface into an interactive touchscreen. They can also enjoy a richer home entertainment experience through Samsung TV Plus, Gaming Hub and more.
     
    “We highly recommend this product to those who want to share a large-screen experience with their family,” he added. “Through the ‘Enjoy With Family’ section within the Smart TV features, users can explore a wide range of touch-based content including educational and casual games.”
     
    “Touch is the most intuitive way to interact with screens — especially for smartphone users.”
    — Yuri Kim, Samsung Electronics
     
    “I often follow recipe videos on YouTube while cooking at home,” said Park. “When projecting onto the kitchen island, I can play and pause the video with a simple touch — even if my hands are messy.”
     
    He also noted that projecting onto the floor allows for convenient access to Samsung Health and guided workout videos during exercise.
     
    ▲ In the kitchen, The Premiere 5 can provide an easy-to-clean screen so you don’t have to worry about spills and accidents.
     
    “My goal is to deliver a new level of immersion — one that makes users feel as if they’re truly inside the screen, not just watching it,” said Kim, describing her aspirations for the future.
     
    “The new value of projectors lies in their ability to transform any surface into a screen,” added Park. “We will continue to overcome the limitations of projection surfaces through innovation.”
     
    The Premiere 5 stays true to the essence of a projector while unlocking new possibilities through touch interaction. With the Premiere series, Samsung continues to push the boundaries of innovation and elevate everyday screen experiences.
     
    ▲ Jaeyoung Park, Seung-Hyun Moon and Yuri Kim of the Visual Display Business at Samsung Electronics say The Premiere 5 now feels like family.
     
    ▲ Engineers say it’s safer to hold The Premiere 5 with both hands when moving the device.
     
     
    1 Touch interaction is only available with the Touch Stand connected. Touch Interaction may not function properly depending on set up and the condition of the surface projection surface.
    Touch interaction support may vary by app, some apps may not support the feature. Some functions may be limited when using the feature.
    2 Screen sizes for each projection distance may differ depending on the installation environment.
    3 Time-of-Flight (ToF) technology is a depth-sensing method that measures the time it takes for a signal — usually infrared light — to travel from a source to an object and back to a sensor.
    4 Q-Symphony is audio technology that allows a compatible Samsung TV or projector and a compatible Samsung sound device (such as a soundbar or the Music Frame speaker) to connect for a holistic listening experience.

    MIL OSI Economics –

  • MIL-OSI China: China, ASEAN fully complete negotiations on CAFTA 3.0 upgrade

    Source: People’s Republic of China – State Council News

    An aerial drone photo taken on April 30, 2025 shows a cargo ship berthing at a container dock of Qingdao Port in Qingdao, east China’s Shandong Province. [Photo/Xinhua]

    China and 10 ASEAN countries have fully completed negotiations on the Version 3.0 China-ASEAN Free Trade Area (CAFTA), a milestone in bilateral trade cooperation that will inject greater momentum and stability into the world economy.

    The achievement was announced during a special online meeting of economic and trade ministers from China and ASEAN on Tuesday, according to China’s Ministry of Commerce.

    CAFTA 3.0 will send a strong signal in support of free trade and open cooperation, said the ministry, noting that the agreement will inject greater certainty into regional and global trade, and serve as a model for openness, inclusiveness and win-win cooperation.

    Launched in 2010, the CAFTA, the world’s largest free trade zone among developing countries, has undergone continuous upgrades, with its Version 2.0 agreement signed in 2015 and coming into effect in 2019.

    With negotiations for CAFTA 3.0 now concluded, both parties will strive to formally sign the CAFTA 3.0 upgrade protocol before the end of this year, the ministry revealed.

    Exemplifying cooperation across the Global South, the conclusion of CAFTA 3.0 negotiations will greatly enhance China-ASEAN cooperation concerning industrial capacity, technology and trade, while boosting ASEAN countries’ economic growth and industrialization, said Feng Gui, a law professor at Guangxi University of Finance and Economics in south China.

    According to the commerce ministry, CAFTA 3.0 will introduce nine new chapters covering areas such as the digital economy, the green economy and supply chain connectivity.

    These new chapters are major breakthroughs as they will help China and ASEAN promote broader and deeper regional economic integration under new circumstances, and will facilitate the integration of their industrial and supply chains, the ministry said.

    In particular, the establishment of supply chain connectivity rules under CAFTA 3.0 marks a new milestone in supply chain cooperation between the two sides, as these rules will effectively facilitate the flow of critical goods and services while enhancing infrastructure connectivity, said Zhang Xiaojun, vice president of Southwest University of Political Science and Law in Chongqing Municipality.

    “These rules will not only optimize the efficient cross-border flow of production factors but also provide institutional support for building secure and stable supply chains,” Zhang explained.

    According to multiple experts, the digital economy will be another key sector to benefit from CAFTA 3.0, as closer cooperation under the agreement will help bridge the digital gap between China and ASEAN countries, paving the way for further economic integration.

    China’s experience in digital infrastructure development is expected to provide significant investment and technological support to ASEAN nations, and create more opportunities for small and medium-sized enterprises, said Chen Zhe, an associate professor at the School of International Law of Southwest University of Political Science and Law.

    Negotiations for CAFTA 3.0 have surpassed China’s previous free trade agreements in both scope and depth, demonstrating the country’s resolve to deepen openness in the digital economy sector, Chen added.

    “CAFTA 3.0 will not only strengthen economic and trade cooperation between China and ASEAN countries, but also underscore China’s proactive stance in actively shaping international digital trade rules and advancing global digital economic development,” Chen noted.

    Home to nearly a quarter of the world’s population, China and ASEAN had by 2024 been each other’s largest trading partner for five consecutive years. Bilateral trade value soared from less than 8 billion U.S. dollars in 1991 to nearly 1 trillion dollars in 2024.

    Data from the General Administration of Customs showed that in the first four months of 2025, trade between China and ASEAN had reached 2.38 trillion yuan (about 330.85 billion U.S. dollars), up 9.2 percent from a year earlier.

    ASEAN and China can further deepen their partnership, achieve high-quality common development, promote cooperation in areas such as intelligent manufacturing, and enhance connectivity and green transformation, Kao Kim Hourn, secretary-general of ASEAN, said at Tuesday’s meeting.

    Experts emphasized that the conclusion of CAFTA 3.0 negotiations will further strengthen the institutional framework for economic and trade cooperation between China and ASEAN, exploring a rule-based approach to cooperation. The CAFTA, through the integration of rules and standards, breaks away from the traditional models of rule- and standard-setting dominated by developed nations.

    Feng said that in an era marked by global trade protectionism and decoupling, China and ASEAN, as friendly neighbors and models of economic cooperation, are providing new support for the global multilateral trade system.

    “China is willing to work with ASEAN to maintain the stability and smooth operations of global industrial and supply chains, make greater contributions to the development of both sides, and safeguard international fairness and justice,” said China’s Commerce Minister Wang Wentao. 

    MIL OSI China News –

  • MIL-OSI China: China’s e-bike trade-in program fuels over 6M new sales

    Source: People’s Republic of China – State Council News

    Customers apply for trade-in subsidy from the government at a cashier in Fuyang, Hangzhou, east China’s Zhejiang Province, Oct. 31, 2024. [Photo/Xinhua]

    China’s electric bicycle trade-in program has generated robust sales since the start of 2025, with about 6.08 million vehicles traded in as of Tuesday, the Ministry of Commerce said on Wednesday.

    New vehicle sales worth 17.82 billion yuan (about 2.48 billion U.S. dollars) were recorded during the period, the ministry said.

    China’s e-bike trade-in scheme renewed its momentum after five government departments, including the ministry, issued a joint notice in January extending the program.

    So far, the initiative has attracted participation from about 79,000 retail outlets, primarily individual businesses and small enterprises, indicating growing market enthusiasm.

    The program has gathered pace nationwide, with both Jiangsu and Hebei provinces seeing their new vehicle sales top 1 million units, the ministry said.

    MIL OSI China News –

  • MIL-OSI USA: Murray Slams Secretary Burgum’s Plans to Fire National Park Staff, Sell Off Public Lands, & Slash Funding for Tribes

    US Senate News:

    Source: United States Senator for Washington State Patty Murray
    Murray: “Our public lands are not for sale. Protecting our wilderness, living up to our tribal obligations, keeping our communities safe—it’s just not negotiable. It’s actually a core reason your Department does exist—and these have been places with strong, bipartisan support.”
    NEW REPORT: President Trump’s Attacks on National Park Service are Hurting Communities Across Washington State
    ***WATCH: Senator Murray’s remarks and questioning***
    Washington, D.C. — Today, at a Senate Appropriations Interior, Environment, and Related Agencies Subcommittee hearing on the fiscal year 2026 budget request for the Department of Interior (DOI), U.S. Senator Patty Murray (D-WA), Vice Chair of the Senate Appropriations Committee, slammed Secretary Doug Burgum’s efforts to fire staff across the Department, sell off our public lands and abandon the National Park Service’s conservation mission, and betray the United States’ obligation to Tribes with devastating proposed funding cuts. Also today, Senator Murray released a new report on how President Trump’s attacks on the National Park Service are hurting communities in Washington state.
    In opening comments, Vice Chair Murray said:
    “Washington state is home to a number of pristine public lands—people travel from all over the world to experience my state, and Oregon.
    “Secretary Burgum, our public lands are not for sale. Protecting our wilderness, living up to our tribal obligations, keeping our communities safe—it’s just not negotiable. It’s actually a core reason your Department does exist—and these have been places with strong, bipartisan support.
    “So, I’m really concerned that one of the first things you did was make deep, painful cuts at our national parks, and start talking about our public lands kind of like they are a piggy bank.
    “I do not want to tell future generations: ‘See that that river of sludge—it used to be clear, it used to have salmon. See that charred mountainside—it used to be a forest with campgrounds and trails. See that smokestack? That used to be a National Park.’
    “I worry because it feels to me like your vision could lead to that with your budget cuts, and mass firings, and reorganization.
    “And I’m deeply concerned about the proposed cuts to programs and funding that our Tribes rely on, the mass firing of park rangers—they’re the people who help visitors, they clear trails, they clean the bathrooms, and they respond to emergencies.
    “As I watch this and hear from folks, and see what’s happening, on top of gutting bedrock environmental protections, I just don’t see how your Department can execute the law without staff in place.”
    [HURRICANE RIDGE REBUILD]
    Senator Murray began by her questioning by discussing the rebuild of Hurricane Ridge Day Lodge in Washington State: “I wanted to start by touching briefly on Hurricane Ridge, a place that as you know is very special to people in my home state of Washington and visitors who come from all over the world. I know that you visited Olympic National Park last week—and you saw how scenic it is, and a hint of how brutal the weather can be. It’s called Hurricane Ridge for a reason. The Hurricane Ridge Day Lodge burned down in a tragic fire two years ago. Congress delivered the emergency funding necessary to rebuild it last year. In the execution report that you delivered to the Committee in February—the disaster funding spend plan—you included the money for Olympic National Park, which I understand is for Hurricane Ridge. Do you have any updates on the next steps for that project?”
    Secretary Burgum said, “No, but I did have an opportunity with a park superintendent and some of the lead people who actually work at hurricane ridge and thankfully there was not 70 mile-per-hour wind, it was beautiful, sunny, calm, gorgeous. But I got to see the site where the fire had happened and was able to meet with them regarding the plans they have. It looks like a great project.”
    “Good, and can you just keep my staff and me updated on that project as it moves forward, it’s really important to all of us,” Senator Murray replied.
    [SWEEPING STAFF CUTS AT NATIONAL PARKS]
    Senator Murray turned her questioning to the sweeping staffing reductions taking place under Secretary Burgum’s leadership at DOI, “In your short tenure, you have overseen significant staffing reductions—over 10 percent—and reorganization efforts across the Department of the Interior, with I understand more firings to come. The National Park Service has lost 18 percent of its staff. You managed to fire the only plumber at Mount Rainier National Park. There is just nothing efficient about that kind of management. You’ve also decided that what few staff remain at our National Parks will focus solely on visitor services—that really abandons the conservation mission, which no doubt will lead to the degradation of our natural resources and our parks. On May 8th, five former NPS directors—from Republican and Democratic administrations alike—raised really grave concerns about these decisions. They wrote that the National Park Service’s founding statute requires conservation at our parks so they will be ‘unimpaired for the enjoyment of future generations.’ We need trail guides and biologists. We need EMTs and geologists. We need snow plow drivers and historians. Mr. Secretary, do you acknowledge that you have a statutory obligation to conserve our national parks? A simple yes or no here please.”
    Secretary Burgum responded, “Yes.”
    “Well, it just feels to me watching this that you are abandoning that obligation with your staffing cuts. Your job is to carry out the laws that Congress has passed, not as you wish they were written. Let me ask you, how many people do you plan to fire from the National Park Service?” Senator Murray pressed.
    “Let me respond by saying I’m going to repeat myself, that there is an opportunity to have more people working in our parks in all the positions that you described, Senator, and to have less people working for the National Park Service. We just have to accept that this math, that if you have a situation where slightly less than 50% of the people actually work in the park, that everything you said, I can increase the number of people in the park but still decrease the number of people on payroll at the National Park Service because we are eliminating overhead back office, IT, and HR roles,” answered Secretary Burgum in part.
    Senator Murray pushed back, “It’s huge cuts. The people you’re talking about are actually the support staff, and when you cut support staff, that’s not efficient. How does someone drive a snowplow if you don’t have a staffer that makes sure that the government gets the best deal to buy that snowplow? There is many, many detailed people that you are talking about that actually make sure that the spending is efficient, that the people are efficient. We all know how important staff is, you can’t survive without them. Those are the people that you are letting go. We can’t be efficient if they are not there.”
    Secretary Burgum tried to change the subject, “Are you suggesting that the National Park Service today is operating at peak efficiency?”
    “I would suggest that I welcome any suggestions to us about how to be efficient, but just mass across-the-board cuts and firing is really going to not increase efficiency at our parks. And that, I think, we all should be very concerned about,” Senator Murray responded, emphasizing that mass firings are not the answer.
    “But if the goal is for us to have more people working in the parks, you’re comfortable if I could get to a spot where I have more people working—” Secretary Burgum again avoided the question.
    Senator Murray said, “You show me what employees you are leaving behind that don’t support someone that makes sure that they have the equipment that they need that is up to date, it is running. Those kinds of things, you can’t just cut those people and expect people to be out in the national park without somebody who is making sure that their equipment is safe, that their hours are maintained, all the things that it takes to run a place. Our national parks are huge. They take a lot of people to run.”
    Secretary Burgum again dodged, failing to state the number of employees he expects to lose at NPS.
    Senator Murray then followed up to state: “One thing that I’m really concerned about, and everyone should be, is our national wildland firefighting efforts and countless staff who provide the necessary support there. For example, firefighters put their lives at risk. Without the support they need in many different roles, it just gets more dangerous. Those are the kinds of people I’m extremely concerned about, that without thought or really smart moves, that we are going to be putting our parks at risk.”
    [DEVASTATING PROPOSED FUNDING CUTS FOR TRIBES]
    Senator Murray then asked about proposed budget cuts at DOI, such as cuts of $617 million from core programs at the Bureau of Indian Affairs, $107 million from the BIA’s law enforcement office, and $187 million—nearly eliminating—funds to build Tribal schools, “You have a role in fulfilling the Federal Government’s trust and treaty responsibilities to our Tribes. I see numerous cuts across the budget that defunds Tribal police, the Bureau of Indian Affairs. How many Tribes have you personally consulted with on your budget request?”
    “I’ve been meeting with tribes every week since I’ve been here. I’ve got a deep understanding of our challenges and shortage in law enforcement,” replied Secretary Burgum.
    “There’s 574 Tribe—which ones have you consulted or met with?” Senator Murray asked again.  
    Secretary Burgum said, in part: “I’m happy to provide you a list, but I just recently had the Interior Secretary Tribal Advisory Committee, we had 24 representatives from tribes from across the country actually meeting in my office just a couple weeks ago.”
    Senator Murray and Secretary Burgum discussed the funding, and Murray concluded: “I just want to say that my tribes in Washington state are deeply concerned, they’re telling us that these layoffs will eliminate natural resource management, basic social services and they are horrified. So, I hope that in your list you will provide me, that I see some of their names.”
    [NEW MURRAY REPORT ON NATIONAL PARK SERVICE]
    Also today, Senator Murray released a new report on how the Trump administration’s cuts and planned cuts of National Park staff will reduce access to our public lands, harm Washington state’s gateway communities, jeopardize natural resources, and make National Parks less safe for visitors.
    The full report is available HERE and below:
    Report: President Trump’s Attacks on National Park Service are Hurting Communities Across Washington State
    This report is part of a series detailing the harm President Trump and Elon Musk’s reckless and devastating attacks on the federal workforce are causing on the ground in Washington state. The Trump administration’s mass firings and harmful actions have real consequences for Washington state residents and their communities.
    This report focuses on how the Trump administration’s cuts and planned cuts of National Park staff will reduce access to our public lands, harm Washington’s gateway communities, jeopardize natural resources, and make National Parks less safe for visitors.
    National Park Service is Critical to Ensuring All Americans Can Safely Visit Our Most Iconic Public Lands This Summer and Beyond
    Across the country, National Park Service rangers work hard to keep visitors safe, protect natural resources, and create an inspiring and educational experience for visitors. For over a decade, the National Park Service has had to operate at low staffing levels, despite significant increases in visitation.[1] Yet, under the Trump Administration, the National Park Service has frozen hiring, rescinded seasonal employment offers, pushed employees to resign, and laid off 1,000 permanent employees.[2] The National Park Service has also been ordered to submit a restructuring plan, and the Department of the Interior plans “additional massive layoffs” in the coming months. Without sufficient staff, visitor centers and campgrounds may close, bathrooms will not be properly maintained, emergency response times will drop, and important ranger services from interpretation to providing safety advice will be unavailable.
    Layoffs at the National Park Service Will Reduce Access to Washington’s National Parks.
    The National Park Service has a significant footprint in Washington, home of the iconic Mount Rainier, Olympic, and North Cascades National Parks, along with historically significant sites across the state—like Fort Vancouver, the Manhattan Project National Historical Park, the Bainbridge Island Japanese American Exclusion Memorial, and more. At the Lake Roosevelt National Recreation Area, Sam Peterson was one of the National Park Service staff fired on February 14, after accepting a promotion to become a park ranger just three months prior.
    “Americans aren’t getting what they’ve paid for—they’re not operating under a new budget. The Park Service is supposed to have a park ranger in my position at Lake Roosevelt, so there’s going to be fewer visitors who get important safety messaging, fewer visitors who can have their questions answered, and fewer kids that can go on a field trip led by a ranger. There may be safety impacts during the busy season, if we aren’t able to get out safety messaging as effectively. There’s supposed to be a team of nine interpreters at Lake Roosevelt—now there are only three,” said Peterson.
    In response to court orders, the National Park Service offered many fired employees, including Peterson, their positions back.[3]
    “I want to return to the Park Service someday, but right now, it doesn’t feel stable for either myself or my family, because we just don’t know what the next couple of months—and certainly the next couple of years—will bring. I turned down my job when it was offered back to me, because I was living in government housing at the time of my termination—I was given 60 days to leave. I signed a new lease and started a new job six hours away just before I was offered my job back. Even though it was tempting to accept my job back, I couldn’t do it,” said Peterson.
    Washington state’s outdoor recreation community has a front row seat to the local impacts of cutting staff at the National Park Service. Last year, the Mountaineers—an outdoor recreation group—led 727 trips, activities, and courses in Washington’s National Parks, serving 3,456 students.
    “We got word that the only plumber at Mount Rainier National Park was fired. That’s the kind of thing that you don’t see when you’re visiting the parks. But if a wastewater system goes down then they’re going to have to close bathrooms, that’s a public safety issue. You can’t have people visiting our parks if there are no sanitary facilities,” said Betsy Robblee, Conservation and Advocacy Director for the Mountaineers.
    “We’re also concerned about campgrounds opening up. There’s a lot of staff that are needed to open campgrounds, whether that’s removing hazardous trees from areas near campsites or opening up and testing the water system. If you don’t have staff to do that, that’s going to either delay or maybe prevent many campsites from opening. Hurricane Ridge, in Olympic National Park, lost one of their road crew members as part of the firing of probationary employees. If you don’t have enough road crew members to clear the road up to Hurricane Ridge, that area just can’t open,” said Robblee.
    In addition to the critical work conducted by National Park Service staff, Washington state has a uniquely strong volunteer community. The Washington Trails Association contributes thousands of volunteer hours to critical trail maintenance projects in places like Mount Rainier National Park.
    “We have had a decades-long relationship with Mount Rainier, but it’s built on working with National Park Service staff to plan projects so that we can leverage volunteers and bring them to the Park to help steward those places. The fear is that the public side of that public-private partnership is being eroded. We won’t be able to complete our mission to take care of these places without the Park Service being there as our partner,” said Michael DeCramer, Policy and Planning Manager for the Washington Trails Association.
    DeCramer is keenly aware of how reduced staffing will impact visitor experience.
    “There are just enough people at Mount Rainier National Park in the winter to keep the roads open and if somebody calls out sick, the gate doesn’t open,” said DeCramer, highlighting how vital staff are for providing access to our public lands.
    Following public outcry, the National Park Service proposed expanding their hiring of seasonal workers to meet the needs of increased visitation during the high season.
    “While that’s great in theory, a lot of parks haven’t been allowed to repost seasonal job postings, so they’re having to use the candidate pool from when the job was posted in October or November of last year. That’s now almost six months ago—a lot of the people who applied have already moved on,” said Peterson.
    “Seasonal employees do great work, and they’re absolutely necessary, but you also need stability year-over-year through permanent employees to train those seasonal employees and maintain institutional integrity, especially in the off season. Even though we think of parks as places we go to in the summer, staff are still needed for visitors during the off season and shoulder season. The off season is also when a lot of maintenance and repair work takes place, so that parks are ready for their high season. It’s not efficient to just say, ‘oh, we will fire all of these people and then hire a bunch of part time workers instead,’” said Peterson.
    Reduced Park Access Will Hurt Local Economies in Washington’s Gateway Communities
    In 2023, outdoor recreation contributed $22.5 billion to Washington’s economy and made up 3.2% of the state’s total jobs.[4] This economic impact is particularly important for gateway communities—those located closest to Washington’s National Parks. 
    The American Alpine Institute is a mountain climbing school and guide service with 60 employees and a significant presence in Washington state. Executive Director Jason Martin is also a mountain rescue volunteer, a former president of the Bellingham Mountain Rescue Council, and has worked extensively with the American Mountain Guides Association. After the initial round of layoffs, he reached out to people working in the National Park Service to try to understand how the layoffs may impact outdoor recreation.
    “Throughout the outdoor industry—which I represent in a couple of different ways: as a commercial operator, as a volunteer rescuer, and as an outdoor recreationalist—in many cases, we just don’t know what’s going on right now. We don’t know who to talk to. We don’t know who to ask about things,” said Martin.
    The Mount Rainier Business Alliance is a coalition of local business owners in Ashford, Elbe, Alder, and Mineral, Washington, whose members deeply understand the economic impacts of staffing cuts to the National Park Service.
    “In Ashford, which is the main town right outside of Mount Rainier National Park, everything is closely tied to the National Park—from our economy to our safety. So these cuts, while perhaps just seen as being cuts to the National Park, in some ways are really cuts to our community,” said Nickolas Neville, President of the Mount Rainier Business Alliance.
    For small business owners near Mount Rainier National Park, reductions in staffing at the National Park Service could make it impossible for them to keep their doors open.
    “This whole part of our county relies entirely on the people that decide to make the trip out to Mount Rainier. Making that more difficult, especially with how challenging access to the mountain has been because of lack of staffing—I could see causing businesses to shut down, businesses that are already struggling. I could see it impacting how often we get tourists here renting out properties and short-term rentals. This part of Pierce County is already on life support,” said Cat Larrow, head of the Community Advocacy Committee of the Mount Rainier Business Alliance.
    Layoffs at the National Park Service Will Reduce Emergency Services at Washington’s National Parks
    In addition to maintaining the parks and educating visitors, park rangers ensure that visitors are safe and serve as first responders when emergencies arise. 
    “The Golden West Visitor Center at North Cascades National Park on Lake Chelan has struggled to stay open because they just haven’t had the staff they need to operate. That’s a key entry point for the Steven Mather Wilderness and the southern end of North Cascades National Park. My fear is that there’s just no slack at the Park Service. These folks are already doing everything they can. And you’re still going to have people wanting to visit the parks, but services are going to suffer,” said Michael DeCramer, Policy and Planning Manager for the Washington Trails Association. 
    “If there is a search and rescue operation needed, they might not be able to provide the staff for the level of service that we expect. Things might have to close if there’s a wildfire in the Park. We may not have the staff with the skills needed to respond in the way that we’re used to. And I see a lot of potential risk to the public. Not to be dire, but these cuts will be felt both in terms of loss of services but also decreased safety for the public, because park rangers are first responders,” said DeCramer.
    In addition to search and rescue and wildfire response, park rangers provide valuable safety information to visitors to prevent emergencies from happening in the first place.
    “Even just the rangers who sit at Artist Point handing out information to people about mountain rescues are important. I’ve done dozens and dozens of rescues in that area, mostly people who have broken bones. But if there’s nobody sitting there to warn someone that they’re actually walking into the wilderness. There’s a lot of concern,” said Jason Martin, the Executive Director of the American Alpine Institute, and a mountain rescue volunteer.
    Across Washington’s Parks, decreased staff creates safety concerns for visitors.
    “We are a very outdoor engaged state and people just go up to visit the woods constantly. I love that people are engaged, but the Park Service is putting people at risk on any given day by not having enough staff to maintain these parks,” said David Beard, Director of Policy & Government Affairs for the Children & Nature Network.
    Layoffs at the National Park Service Will Harm Washington’s Natural Resources for Future Generations
    Washington’s National Parks contain some of America’s most precious natural resources and iconic landscapes. When people visit these special places, it often has a lasting impact.
    “We all have memories of a visit to our National Parks. My three kids have more than 50 Junior Ranger badges they have earned over the years. Are there going to be people there to raise their hand and swear in the six-year-old to be a Junior Ranger? All those things are likely going to be in question,” said Tom Uniack, Executive Director for Washington Wild.
    “If people aren’t able to visit our Parks, or they have negative experiences, then we’re losing out on those amazing connections that people have to the natural world that can change their lives. They develop a stewardship ethic. They want to care for these places, and they want to advocate to protect these places. And looking towards future generations, if this continues, future generations may not get to have the same experiences in these places as we are fortunate to have today,” said Betsy Robblee, Conservation and Advocacy Director for the Mountaineers.
    “Washington is a beautiful state. I was born and raised here. My dad was a climber. I really worry that whether it’s the National Park Service or the Forest Service or the Bureau of Land Management, not having the funding and staff to clean bathrooms, keep the gates open, and haul out trash. Garbage piling up can have lasting impacts on wildlife like bears and ravens and mountain lions,” said Jonathan Spitzer, Director of Operations for Alpine Ascents.
    As the summer season approaches, cuts to the National Park Service will be acutely felt across Washington state—from small businesses in gateway communities to the safety and quality of visitor experiences in Olympic, North Cascades, and Mount Rainier National Parks. Washingtonians understand that these iconic public lands belong to the public, and that it takes a strong National Park Service to steward them for visitors today and tomorrow.

    MIL OSI USA News –

  • MIL-OSI USA: Senator Murray Presses Trump’s Small Business Administrator on Canceled Grants, Immense Costs of Trump’s Trade War for Small Businesses

    US Senate News:

    Source: United States Senator for Washington State Patty Murray
    ***WATCH: Senator Murray’s Q&A with SBA Administrator Loeffler***
    Washington, D.C. — Today, U.S. Senator Patty Murray (D-WA), Vice Chair of the Senate Appropriations Committee, questioned Small Business Administration (SBA) Administrator Kelly Loeffler at a Senate Appropriations Financial Services and General Government (FSSG) Subcommittee hearing on the president’s fiscal year 2026 budget request for SBA. Murray pressed Administrator Loeffler on the Trump administration’s cancellation of SBA grants and how Trump’s trade war is imposing serious costs on small businesses in Washington state.
    [GRANT TERMINATIONS]
    Senator Murray began by pressing Loeffler on funding she terminated: “I’ve been hearing from small businesses in my state about the SBA grants that have been cancelled and frozen. One example is you canceled a $2.5 million Regional Innovation Cluster contract in Washington state that would have supported small businesses that were working on carbon capture and utilization and storage. It’s not an isolated case but that is a program that Congress historically funded with strong bipartisan support. I wanted to ask you today: why have you canceled funding for a program that has both bipartisan support and really drives small business growth in emerging sectors?”
    Administrator Loeffler refused to answer the question directly but stated in part: “I have broad authority in this administration to reshape the Regional Innovation Clusters, and we are undertaking a review of those programs to right-size them and form them to where the needs are most urgent right now.”
    Senator Murray countered: “I would just say this is a regional need, and I would just ask you to go back and look at that one. Happy to provide you information, but it really is a critical one for our region.”
    [TRUMP’S TRADE WAR]
    Senator Murray then asked about the steep cost of Trump’s trade war on small businesses: “I met with small business owners in Seattle, one of them runs a coffee shop and imports green tea. Like a lot of small business owners that I am talking to, and you know, they operate on thin margins so even the current tariffs are hitting them really hard. We don’t grow much green tea in the United States. I doubt we ever will. Given that the increased costs imposed by these tariffs could really—he told me—shutter his business. What should they do in this situation?”
    Administrator Loeffler replied: “This period of negotiation, you know, is not one where we don’t acknowledge their near-term effects, but for the long term, we want—”
    Senator Murray interjected: “This is a small business. They can’t last much longer.”
    Avoiding the question of how a small business is supposed to cope, Loeffler replied: “We’re focused on is ensuring that we never get in the position again of having unfair trade. And that’s what President Trump’s fighting for. That’s what we’re fighting for. We, just yesterday, put out our Make Onshoring Great Again directory to ensure that small businesses have access to millions—a million suppliers across this country that can offer alternatives—”
    Senator Murray again interjected: “But this country doesn’t produce green tea, and this small business is not going to last more than a few months. I hear your bigger scheme is that someday this will all pay off. This small business won’t be there. I’m just asking you: what are they supposed to do? Are you going to – do you have anything drafted? Are you looking at anything that can help these small businesses who are on the verge of closing right now? They can’t wait 2, 3, 5, 6 months from now.”
    Offering SBA loan financing to cover turbulent times thanks to Trump’s tariffs, Secretary Loeffler replied in part: “Well, what the SBA is offering is certainly the capital, the counseling that they need, as well as import and export loan financing to deal with these times of uncertainty.”
    Senator Murray replied: “I appreciate that you have an optimistic view. I’m just telling you, having sat down and met with these small businesses, whether it’s shutting the regional SBA office or canceling these grants to support our entrepreneurs, or these tariffs that are having impact, there are small businesses that will not make it based on your optimism.”
    ______________________
    Senator Murray has been a vocal opponent of Trump’s chaotic trade war from the very start and has been lifting up the voices of people in Washington state harmed by this administration’s approach to trade and calling on Republicans to end Trump’s trade war—which Congress has the power to do—and take back Congress’ Constitutionally-granted power to impose tariffs. Earlier last month, Senator Murray brought together leaders across Washington state who highlighted how Trump’s ongoing trade war is already a devastating hit to Washington state’s economy, businesses, and our agriculture sector. Senator Murray also took to the Senate floor to lay out how Trump’s chaotic trade war is seriously threatening our economy, American businesses, families’ retirement savings, and so much else.
    Murray has also been sounding the alarm on Trump’s tariffs across Washington state. Recently, Senator Murray held a roundtable discussion in Tacoma with local businesses and ports, met with farmers in Yakima to discuss the consequences of Trump’s tariffs, and held a roundtable discussion in Vancouver at a local metal fabrication company to highlight how Trump’s trade war is hurting businesses and our economy Washington state. Just last week, Senator Murray met with small business owners in Seattle’s University District to hear how Trump’s tariffs and the broader economic uncertainty are affecting them, and later she met with farmers in Skagit County to discuss tariffs, and visited Blaine near the Canadian border to highlight the impacts of Trump’s trade war. Earlier this month, Senator Murray rallied her West Coast colleagues and ports from Washington state and California to sound the alarm on how Trump’s tariffs will mean bare shelves, higher prices, and painful layoffs.

    MIL OSI USA News –

  • MIL-OSI Australia: Shannakian Jewellery Pty Ltd Public warning

    Source: Australian Capital Territory Policing

    Consumer Affairs Victoria is warning anyone wanting to buy jewellery from Shannakian Jewellery to be careful, after receiving 67 complaints from consumers about the company.

    Trading as Shannakian Fine Jewellery, the company sells jewellery on its website, Instagram and in its Melbourne showroom. Most of the complaints received by Consumer Affairs Victoria are from sales on their Instagram page, which has over 25,000 followers.

    Since 15 February 2021, complaints have been received from consumers across Australia and overseas who allege the business:

    • accepted payment for jewellery but failed to provide it in a reasonable time, or at all
    • failed to provide refunds when requested and required, and
    • failed to provide a refund for faulty products.

    In one case, a consumer claimed to have paid the business $27,000 for a necklace. The jewellery was not provided. After following up many times, the consumer asked for a refund, which was not provided.

    Consumer Affairs Victoria Acting Director, David Joyner, is urging consumers to be wary before purchasing Shannakian Fine Jewellery products.

    If you have had a bad experience with Shannakian Fine Jewellery, contact us through our complaint form, email or by calling 1300 55 81 81.

    Read our public warning:

    MIL OSI News –

  • MIL-OSI China: Key trade expo to open in central China to boost China-Africa ties

    Source: People’s Republic of China – State Council News

    BEIJING, May 21 — The fourth China-Africa Economic and Trade Expo is set to take place in Changsha, the capital of central China’s Hunan Province, from June 12 to 15, with more than 12,000 participants expected to attend, organizers said at a press conference on Wednesday.

    The event, co-hosted by China’s Ministry of Commerce and the Hunan provincial government, is one of the most important events in the field of economy and trade between China and Africa this year. Over 2,800 enterprises, business associations and financial institutions from China and Africa have registered, along with representatives from 44 African countries, six international organizations and 23 Chinese provincial-level regions.

    Themed “China and Africa: Together Toward Modernization,” the biennial expo will feature exhibitions on sectors including smart mining technology and equipment, clean energy, modern agricultural machinery and construction equipment. More than 20 economic and trade events have been scheduled to take place during the expo.

    Shen Yumou, head of the Hunan provincial commerce department, said 128 cooperation projects with a total value exceeding 7 billion U.S. dollars have been proposed for signing or matchmaking during the expo, spanning areas including manufacturing, power and energy, transportation, information services, culture and healthcare.

    Launched in 2019, the expo has evolved into a major platform for enhancing China-Africa economic cooperation. Shen Xiang, director of the West Asia and Africa Department under the Ministry of Commerce, said the event is expected to inject fresh momentum into practical collaboration between the two sides.

    China has been Africa’s largest trading partner for 16 consecutive years, said Tang Wenhong, assistant minister of commerce. In 2024, trade between China and African countries hit a record high of 295.6 billion U.S. dollars, up 4.8 percent year over year; while imports from Africa reached 116.8 billion U.S. dollars, up 6.9 percent year over year.

    MIL OSI China News –

  • MIL-OSI USA: Klobuchar Opening Remarks and Questions at Antitrust Subcommittee Hearing on AI-Generated Deepfakes

    US Senate News:

    Source: United States Senator for Minnesota Amy Klobuchar
    WATCH KLOBUCHAR’S FULL REMARKS AND QUESTION HERE
    WASHINGTON – U.S. Senator Amy Klobuchar (D-MN), Ranking Member of the Senate Judiciary Subcommittee on Privacy, Technology, and the Law, held a hearing titled “The Good, the Bad, and the Ugly: AI-Generated Deepfakes in 2025.” 
    Testifying at the hearing was Country Music Singer-Songwriter, Martina McBride; CEO of the Recording Industry Association of America, Mitch Glazier; Senior Legal Counsel at the National Center on Sexual Exploitation (NCOSE), Christen Price; Director of Technology Policy at Consumer Reports, Justin Brookman; and Head of Music Policy at Youtube, Suzana Carlos.
    “AI-enabled scams have become far too common. We know that it takes only a few seconds of audio to clone a voice. Criminals can pull the audio sample and personal back story from public sources, said Klobuchar at the hearing. “We also need rules of the road to ensure that AI technologies empower artists and creators and not undermine them. Art just doesn’t entertain us. It’s something that uplifts us and brings us together.”
    “That’s why this NO FAKES Act is so important. It protects people from having their voice and likeness replicated using AI without their permission, all within the framework of the Constitution, and it protects everybody, because everyone should have a right to privacy.” 
    A rough transcript of Klobuchar’s opening remarks and questions is available below. Video is available HERE.
    Senator Klobuchar: Thank you very much, Senator Blackburn, I’m very excited about this subcommittee and the work we’ve already done together for years on this issue and similar issues when it comes to tech.
    I share your hopes for AI and see that we’re on this cusp of amazing advancements if this is harnessed in the right way, but I’m also concerned if things go the wrong way. I think it was David Brooks, a columnist, that said he has trouble writing about it because he doesn’t know if it will take us to Heaven or Hell. So it’s our job to head to heaven, and it’s our job to put some rules in place, and this is certainly one of them. 
    We want this to work for children, for consumers, for artists, and not against them. And you brought up the example Chair, of Randy Travis who was at the event that we recently had with you, and Senator Coons and myself about the bill and how he used AI in such a positive way. But then we know there are these risks. 
    And one of the things that I think is really exciting about this week is that, in fact, on Monday, the President signed my bill with Senator Cruz, the TAKE IT DOWN Act, into law. This was a bill I discussed with him and the First Lady at the inaugural lunch. 
    It’s an example of “use-every-moment-you-have” to advance a cause. And then she supported the bill and helped to get it passed in the House. Senator Cruz and I had already passed it in the Senate, and we were having some trouble getting it done over in the House. So we’re really pleased, because it actually does set some track moving forward, even though this bill, that bill, is about nonconsensual porn, both AI created and non AI created, it’s had huge harmful effects, about 20 some suicides a year of young kids who think they’re sending a picture innocently to a girlfriend or a potential boyfriend, and then it gets sent out on their school internet. It gets sent out to people they know, and basically, they believe their life is in ruins, and don’t have any other context, and take their own lives. And that’s just the most obvious and frightful part of this, but there’s others as well. So I’m hoping this is going to be a first step to some of the work that we can do, including with the bill that we’re going to be discussing today. 
    AI-enabled scams have become far too common. We know that it takes only a few seconds of audio to clone a voice. Criminals can pull the audio sample and personal back story from public sources. 
    Just last week, the FBI was forced to put out an alert about scams using AI-cloned voices of FBI agents and officials asking people for sensitive payment information.
    Jamie Lee Curtis was forced to make a public appeal to Mark Zuckerberg to take down an unauthorized, deepfake ad that included her digital replica endorsing a dental product. While Meta removed the ad after her direct outreach, most people don’t have that kind of influence. 
    We also need rules of the road to ensure that AI technologies empower artists and creators and not undermine them. Art just doesn’t entertain us. It’s something that uplifts us and brings us together. 
    When I recently met with Cory Wong, a Grammy-nominated artist from Minnesota, he talked about how unauthorized digital replicas threaten artists’ livelihoods and undermine their ability to create art. 
    So this is not just a personal issue. It’s also an economic issue. One of the reasons our country, one of our best exports to the world, is music and movies. When you look at the numbers and how we’ve been able to captivate people around the world, that’s going to go away if people can just copy everything that we do. 
    And one of the keys to our success as a nation in innovation has been the fact, and Senator Coons does a lot of work in this area, [that] we’ve been able to respect copyrights and patents and people’s own right to their own products. 
    So that’s why this NO FAKES Act is so important. It protects people from having their voice and likeness replicated using AI without their permission, all within the framework of the Constitution, and it protects everybody, because everyone should have a right to privacy. 
    I also am working in the space on AI to put some base rules in place in my role on the Commerce Committee. Senator Thune and I have a bill that we’re reintroducing on this to set some rules for NIST to be able to put out there for companies that are using AI. And then I’m always concerned about its effect on democracy, but that is for a different day and in a different committee. 
    But I do want to thank Senator Blackburn for her willingness to come out on doing something about tech, including the work she does with Senator Blumenthal, the work that we’ve done together on commerce. And if Monday is any sign with the first bill getting through and there in that Rose Garden signing ceremony, there’s more to come, and so thank you and look forward to hearing from the witnesses.
    …
    Klobuchar: All right. Thank you very much. I guess I’ll start with Mr. Brookman, the non-Grammy winner. I want to talk to you just a little bit about this consumer angle here, which I think is interesting to people. And I think at its core, all of us involved in this legislation have made it really clear that’s not just people who are well known that will be hurt by this eventually, and that getting this bill passed as soon as possible is just as important for everyone, but I do so appreciate Ms. McBride being willing to come forward, because those stories and the stories that we’ve heard from, like I mentioned, Jamie Lee Curtis, or the stories that we’ve heard from many celebrities, are very important to getting this done. So you just did a report on AI-generated voice cloning scams, including that, AI voice cloning applications, in the words of the report, presents a clear opportunity for scammers, and we need to make sure our consumer protection enforcers are prepared to respond to the growing threat of these scams. I had this happen to my state director’s husband, who their kid is in the Marines, and they got a call. They figured out that it wasn’t really him asking for stuff and money. They knew he couldn’t call from where he was deployed to. This is just going to be happening all over the place, and the next call will be to a grandma who thinks it’s real, and she sends her life savings in. So I have called on the FTC and the FCC to step up their efforts to prevent these voice cloning scams. And what are some of the tools that agencies need to crack down on these scams, even outside of this bill?
    Justin Brookman: Yeah, absolutely, so I think the first thing the Federal Trade Commission probably needed is more resources. They only have like 1200 people right now for the entire economy. That’s down from like seven, that’s down from like 100 just in the past couple of months.
    Klobuchar: Down from way down from even during like, the Nixon Era.
    Brookman: Yeah, like 1700 it used to be and the economy has grown like three or four times. Chairman Ferguson has, Chairman Ferguson has said more cuts are coming, which I think is the wrong direction. I worked for the Federal Trade Commission for a couple of years. We could not do, like, a fraction of all the things that we wanted to do to protect consumers, so more people, more capacity, more technologists. Like, there’s just not enough technology capacity in government. I was in the office of technology research and investigation there, that was like five people. That’s just not enough, obviously, with all these very sophisticated, I mean, just deep fakes alone, let alone the rest of the tech economy, the ability to get penalties and even injunctive relief, right if someone, if someone gets caught stealing something, the FTC often doesn’t have the ability to make them give the money back. I know this, under this committee has tried to restore that authority, but that would be important. And also, like again, maybe the FTC could have rule-making authority. But also this, I would like to see Congress consider legislative authority to address tools like again, if you are offering a tool that can be used only for harm, voice impersonation, deepfake pornographic images, maybe there should, there should be responsibilities to make sure it’s not being used for harm.
    Klobuchar: Okay, thank you. Ms. Carlos, can you talk about what YouTube is doing to ensure it’s not facilitating these scams?
    Suzana Carlos: Sure, and thank you for the question, Senator.
    Klobuchar: And thanks for your support for the bill
    Carlos: Of course. So, just to primarily consider, we obviously see great and tremendous opportunity coming from AI, but we also acknowledge that there are risks, and it is our utmost responsibility to ensure that it is deployed responsibly. So we’ve taken a number of efforts to protect against unharmful contact on our platform. Primarily, we have uploaded, we have updated our privacy policies last year to ensure that all individuals can now submit a notice to YouTube when their unauthorized voice or likeness has been used on our platform, and once reviewed, if it is applicable, and we’ve confirmed that that content should be removed, we will take it down. We’ve additionally implemented watermarks on our AI products. We originally began with both image and watermarks using our SynthID technology, and we’ve recently expanded it to also be applied to text generated from our Gemini app and web experience. And most recently, as part of our VO video tool. We’ve also taken the additional step to become a member of C2PA, the Coalition for Content Provenance and Authenticity, and there, we’re serving as a steering member to work with the organization to create indicators and markings that will allow the content provenance that was created off platforms to additionally be recognized, and we’re deploying those technologies across our platform.
    Klobuchar: Okay, thank you. We mentioned the TAKE IT DOWN Act, and thank you for the support for that. Mr. Glazer, you talked about how this is the first federal law related to generative AI, and that it’s a good first step. And could you talk about how, if we don’t move on from there and we just stop and don’t do anything for years, which seems to be what’s been going on, what’s going to happen here, and why it’s so important to do this.
    Mitch Glazier: I think there’s a very small window, and an unusual window, for Congress to get ahead of what is happening before it becomes irreparable. The TAKE IT DOWN Act was an incredible model. It was done for criminal activity, you know, …
    Klobuchar: Yeah, I know. 
    Glazier:  Yeah, right. You know, you wrote it, but it was a great model, but it only goes so far. But we need to use that model now, and we need to expand it carefully in a balanced way to lots of other situations, which is exactly what the NO FAKES Act does. And I think, you know, we have a very limited amount of time in order to allow people and platforms to act before this gets to a point where it’s so far out of the barn that instead of encouraging responsible AI development, instead, we allow investment and capital to go into AI development that hurts…
    Klobuchar: Stealing things…
    Glazier: So let’s encourage investment the right way to boost great AI development and be first. Let’s not be the folks that encourage investment in AI technologies that really harm us.
    Klobuchar: And Ms. Price, you’ve expressed concerns about this 10-year moratorium on state rules. I’m very concerned, having spent years trying to pass some of these things, and I think that one of the ways we pass things quickly, like Mr. Glazier was talking about, is if people actually see a reason that they don’t want to patch work, they want to get it done. But if you just put a moratorium, and you look at, like, the Elvis law coming out of Tennessee, Ms. McBride, and some of the other things that would stop all of that. Could you, my last question here before we go to another round, could you talk about why you’re concerned about what is right in front of us now, which is this 10-year moratorium?
    Christen Price: Yes, thank you for the question, Senator. We’re concerned about the moratorium because it’s basically signaling to the AI companies that they can kind of do whatever they want in the meantime, and it inhibits States’ ability to adapt their laws to this form of technology that’s changing very quickly and then has this potential to cause great harm. 
    Klobuchar: Thank you.

    MIL OSI USA News –

  • MIL-OSI Security: City of Miami Police Officer Pleads Guilty to COVID-19 Relief Fraud

    Source: Office of United States Attorneys

    MIAMI – Yesterday, Tramaine Liptrot, 43, a police officer with the City of Miami Police Department (MPD) who has been relieved of duty, pleaded guilty to wire fraud in connection with fraudulent applications for two Paycheck Protection Program (PPP) loans totaling over $200,000. Liptrot entered his guilty plea in Miami before U.S. District Judge Beth Bloom.

    According to the facts admitted at the change of plea hearing, Liptrot, along with being an MPD Police Officer, was the owner and President of Liptrots Tax Services L.L.C (Liptrots Tax). With the assistance of an associate, Liptrot fraudulently obtained two PPP loans in the name of Liptrots Tax.

    On June 22, 2020, working with the associate, Liptrot caused the submission of a false and fraudulent PPP loan application on behalf of Liptrots Tax, falsely claiming that Liptrots Tax had an average monthly payroll of $36,700 for four employees, and a fraudulent IRS Form 944 in support thereof, falsely claiming that Liptrots Tax paid its employees $440,397 during 2019. As a result of this fraudulent PPP application, Liptrots Tax obtained approximately $91,750 in PPP loan proceeds from an SBA approved PPP lender.

    On March 3, 2021, again working with the associate, Liptrot caused the submission of a false and fraudulent second-draw PPP loan application on behalf of Liptrots Tax, falsely claiming that Liptrots Tax had an average monthly payroll of $43,369, and including as part of the application process, a fraudulent IRS Form 944, falsely claiming that Liptrots Tax paid $496,428 in wages and other compensation in 2020. As a result of this fraudulent second-draw PPP application, Liptrots Tax obtained approximately $108,422 in PPP loan proceeds from a different SBA approved PPP lender. 

    Liptrot is scheduled for sentencing on August 6, 2025, at 10:30 a.m., where he faces a possible maximum sentence of up to 20 years in prison.

    U.S. Attorney Hayden P. O’Byrne for the Southern District of Florida, acting Special Agent in Charge Brett D. Skiles of FBI Miami and Special Agent in Charge Amaleka McCall-Brathwaite, U.S. Small Business Administration Office of Inspector General (SBA-OIG), Eastern Region, announced the guilty plea.

    FBI Miami’s Area Corruption Task Force, which includes task force officers from the City of Miami Police Department’s Internal Affairs Section, and SBA-OIG investigated the case. Assistant U.S. Attorney Edward N. Stamm is prosecuting the case and Assistant U.S. Attorney Gabrielle Raemy Charest-Turken is handling asset forfeiture.

    In March 2020, the Coronavirus Aid, Relief, and Economic Security (CARES) Act was enacted. It was designed to provide emergency financial assistance to the millions of Americans suffering the economic effects caused by the COVID-19 pandemic. Among other sources of relief, the CARES Act authorized and provided funding to the SBA to provide Economic Injury Disaster Loans (EIDLs) to eligible small businesses, including sole proprietorships and independent contractors, experiencing substantial financial disruptions due to the COVID-19 pandemic to allow them to meet financial obligations and operating expenses that could otherwise have been met had the disaster not occurred.  EIDL applications were submitted directly to the SBA via the SBA’s on-line application website, and the applications were processed and the loans funded for qualifying applicants directly by the SBA.

    On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.

    On September 15, 2022, the Attorney General selected the Southern District of Florida’s U.S. Attorney’s Office to head one of three national COVID-19 Fraud Strike Force Teams. The Department of Justice established the Strike Force to enhance existing efforts to combat and prevent COVID-19 related financial fraud. For more information on the department’s response to the pandemic, please click here.

    Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.

    Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 23-cr-20155.

    ###

    MIL Security OSI –

  • MIL-OSI Security: Former Defense Contractor Pleads Guilty to Tax Crimes

    Source: Office of United States Attorneys

    Defendant Admits to Concealing 50% Ownership of $7B Defense Contracting Business to Evade Taxes

               WASHINGTON – Douglas Edelman, 73, a former defense contractor, pleaded guilty today to tax crimes related to a scheme to defraud the United States and evade taxes on income he earned from his contracts with the U.S. Department of Defense.

               The sentence was announced U.S. Attorney Jeanine Ferris Pirro, Acting Deputy Assistant Attorney General Karen E. Kelly of the Justice Department’s Tax Division, and Special Agent in Charge Kareem A. Carter with IRS-Criminal Investigation (IRS-CI) Washington, D.C. Field Office. 

               Edelman pleaded guilty to 10 felony counts: conspiracy to defraud the United States, seven counts of tax evasion, and two counts of making a false statement.  U.S. District Court Judge Colleen Kollar-Kotelly scheduled a hearing on issues related to sentencing on Nov. 17, 2026. Trial on the remaining counts of the indictment will be in 2026.

               According to court documents and statements made in court, Edelman founded and owned 50% of Mina Corp. and Red Star Enterprises (Mina/Red Star), a defense contracting business that received more than $7 billion from contracts with the U.S. Department of Defense to provide jet fuel in the United States’ post-9/11 military efforts in Afghanistan and the Middle East. 

               Working with others, Edelman engaged in a lengthy scheme to hide his Mina/Red Star profits to evade U.S. taxes, including by concealing his income in undisclosed foreign bank accounts, creating false documents and making false statements that one of his co-conspirators — a French citizen residing abroad and without U.S. tax obligations — founded and owned Mina/Red Star. 

               For example, when the company became profitable in 2005, Edelman began taking distributions which he deposited into Swiss bank accounts, primarily at Credit Suisse, in the name of other companies he owned. In 2008, Credit Suisse informed Edelman that he had to either close his accounts or disclose them to U.S. authorities. Rather than come into compliance with his tax and reporting obligations, Edelman closed his accounts and opened new ones at Bank Julius Baer in Singapore in the name of a nominee entity, the beneficiaries of which were purportedly Edelman’s daughters. He then directed the subject income he earned from Mina/Red Star to those bank accounts. 

               In 2010 the U.S. House of Representatives Committee on Oversight and Government Reform’s Subcommittee on National Security and Foreign Affairs began investigating allegations of corruption in connection with Mina/Red Star’s contracts with the Department of Defense. As part of this inquiry, the subcommittee became interested in the identity of Mina/Red Star’s owners. At this time, Edelman had not filed U.S. tax returns to report the millions of dollars he had earned from Mina/Red Star and had not paid U.S. taxes on his income. 

               Rather than disclose his ownership, Edelman caused his attorneys to tell Congress a false story that a French co-conspirator who had no U.S. tax or reporting obligations founded and co-owed Mina/Red Star with another individual. To corroborate the false story, Edelman and a co-conspirator caused false and backdated paperwork to be created. 

               To continue the scheme, Edelman conveyed the false story about Mina/Red Star’s ownership to other arms of the U.S. government, including to the Department of Defense during contract negotiations in 2010 and 2011, to the IRS in a 2016 application to the Offshore Voluntary Disclosure Program, and to the Justice Department in a 2018 presentation. 

               In conjunction with his 2016 application to the IRS’s Voluntary Disclosure Program, Edelman filed false tax returns for several prior years that only reported income from gifts or purported consulting payments, continuing to conceal the millions he had earned from his company. On the returns, he also concealed profits he had earned from a separate business to provide internet service to members of the armed forces at Kandahar Air Base in Afghanistan. 

               Instead of paying the taxes that he knew he owed, Edelman used the money to fund his lifestyle and additional investments. He invested in a music television franchise in Eastern Europe, a land venture in Tulum, Mexico, and a farm in Kenya, and purchased property around Europe, including a home in Ibiza, Spain, and a townhouse in London.

               Edelman faces a maximum penalty of five years in prison for each of the 10 counts to which he has pleaded. He also faces a period of supervised release, restitution, and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

               This case is being investigated by special agents from IRS-CI’s International Tax & Financial Crimes specialty group, a team based out of Washington, D.C., that is dedicated to uncovering international tax crimes, along with the Special Inspector General for Afghanistan Reconstruction. The Justice Department’s Office of International Affairs assisted in the investigation. His Majesty’s Revenue & Customs of the United Kingdom also provided assistance, as did the Joint Chiefs of Global Tax Enforcement (J5), which brings together the taxing authorities of Australia, Canada, the Netherlands, the United Kingdom, and the United States. The Guardia Civil of Spain assisted with the arrest. 

               This case is being prosecuted by Assistant U.S. Attorney Joshua Gold for the District of Columbia and Assistant Chief Sarah Ranney and Trial Attorney Ezra Spiro of the Tax Division.

    24cr239

    MIL Security OSI –

  • MIL-OSI Security: Chief Executive Officer of Digital Asset Company Found Guilty in Multi-Million Dollar Crypto-Fraud Scheme

    Source: Office of United States Attorneys

    Defendant Misappropriated Millions of Dollars of Investors’ Funds for His Own Use Including to Purchase Real Estate and Luxury Vehicles

    Earlier today, at the federal courthouse in Brooklyn, a federal jury convicted Braden John Karony on all counts of a three-count indictment charging him with conspiracy to commit securities fraud, wire fraud, and money laundering.  The charges arose from the defendant’s and his co-conspirators’ roles in defrauding investors in a decentralized finance digital asset called “SafeMoon,” issued by their company SafeMoon LLC.  As alleged, the defendant agreed with his co-conspirators to lie to SafeMoon investors about whether SafeMoon executives could access the liquidity pool and whether they were using the assets from the liquidity pool for their personal benefit.  As SafeMoon’s market capitalization grew to more than $8 billion, the defendant fraudulently diverted and misappropriated millions of dollars’ worth of  liquidity from the SafeMoon liquidity pool for their personal benefit.  The verdict followed a 12-day trial before United States District Judge Eric R. Komitee.  When sentenced, Karony faces up to 45 years in prison.  The jury also issued a verdict to forfeit one residential property and the proceeds from the sale of another residential property, amounting to approximately $2 million.

    Joseph Nocella, Jr., United States Attorney for the Eastern District of New York;   Christopher G. Raia, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); Harry T. Chavis, Jr., Special Agent in Charge, Internal Revenue Service Criminal Investigation, New York (IRS-CI); and Darren B. McCormack, Acting Special Agent in Charge, Homeland Security Investigations, New York (HSI New York) announced the verdict. 

    “As proven at trial, the SafeMoon digital asset was anything but safe and turned out to be pie in the sky for investors who were deliberately misled by Karony, a man who sought to get rich quick by stealing and diverting millions of dollars,” stated United States Attorney Nocella.  “Karony used his scheme to purchase multiple homes, sports cars, custom trucks, and other luxury goods.  Today’s guilty verdict should serve as a warning to all would-be fraudsters that my Office will vigorously prosecute individuals like the defendant who victimize digital asset investors and undermine investor confidence in digital assets markets, thereby threatening the stability and growth of these emerging technologies.”

    Mr. Nocella expressed his appreciation to the U.S. Securities and Exchange Commission for its work on the case. 

    “Braden Karony, the CEO of SafeMoon, exploited his company’s digital portfolio with fictional success stories and stole millions of dollars in crypto-assets to finance luxury purchases,” stated FBI Assistant Director in Charge Raia.  “Along with his co-conspirators, Karony violated his clients’ trust and wallets while attempting to conceal his misconduct through discreet transactions.  May today’s conviction emphasize the FBI’s commitment to securing all markets and protecting the American people from individuals who abuse their position to satisfy personal greed.”

    “Braden Karony misled investors; intentionally diverted and misappropriated millions in cryptocurrency for his personal benefit; and lined the driveways of his million dollar homes with luxury cars.  While the name of his company is SafeMoon, there was nothing safe about this investment that was just a front for theft.  By following the money with complex cryptocurrency tracing, IRS-CI New York’s Cyber and J5 groups worked with our investigative partners to see that this conman is held accountable for his greedy acts,” stated IRS-CI New York Special Agent in Charge Chavis.  “The Joint Chiefs of Global Tax Enforcement (J5) is a global partnership that works together to gather information, share intelligence, and conduct coordinated operations against transnational financial crimes.  The J5 includes the Australian Taxation Office, the Canada Revenue Agency, the Dutch Fiscal Intelligence and Investigation Service, His Majesty’s Revenue and Customs from the U.K. and IRS-CI from the U.S.”

    “Steered by his selfish desires and insatiable greed, Braden John Karony treated millions of dollars in investors’ funds as his own personal bank account,” stated HSI New York Acting Special Agent in Charge McCormack.  “The defendant will soon be trading his sprawling real estate and luxury vehicles for a jail cell within the four walls of a federal penitentiary.  As reflected by today’s conviction, whether it involves fiat or crypto, HSI New York’s El Dorado Task Force will relentlessly pursue individuals intent on exploiting investors and the American financial system for their own gain.”

    Background on SafeMoon

    As proven at trial, SafeMoon tokens were digital assets first issued in March 2021 by SafeMoon LLC on a public blockchain.  Through the operation of SafeMoon’s smart contract, every transaction in SafeMoon was automatically subject to a 10% tax, meaning, for example, that if a holder of SafeMoon transferred 10 SafeMoon to another user, 1 SafeMoon would automatically be retained from the transfer as a tax and the remaining 9 SafeMoon would be received by the other party.  As marketed to SafeMoon investors, the proceeds of SafeMoon’s 10% tax were split into two 5% tranches, the proceeds of which were supposed to benefit holders of SafeMoon in specific ways.  The first 5% tranche of the tax proceeds would be “reflected” back to, and distributed among, all SafeMoon holders in proportion to their current SafeMoon holdings and thereby increase the total quantity of SafeMoon held by every SafeMoon investor automatically.  The remaining 5% tranche of SafeMoon tax proceeds would be deposited into designated SafeMoon liquidity pools.  The larger the SafeMoon liquidity pool, the greater the liquidity in the market for SafeMoon.  In the months after its launch in March 2021, SafeMoon grew to have millions of holders and a market capitalization of more than $8 billion.

    The Defendants’ Fraudulent Scheme

    Karony and his co-conspirators misrepresented various material aspects of the SafeMoon offering to investors.  Such misrepresentations included that SafeMoon relied on “locked” liquidity pools that would automatically increase in size due to a 10% tax imposed on every SafeMoon transaction; that the “locked” SafeMoon liquidity pool prevented the defendants and other insiders at SafeMoon from being able to “rug pull”—a type of crypto fraud— SafeMoon investors by removing liquidity from the SafeMoon liquidity pool; that tokens in the liquidity pool would only be used for limited pre-defined business purposes, not personal enrichment; that the defendants would manually add token pairs to the SafeMoon liquidity pool when transactions of SafeMoon occurred on specific centralized exchanges; and that the developers were not and had not been holding and trading SafeMoon for their benefit.

    In reality, Karony and his co-conspirators retained access to the SafeMoon liquidity pools and used that access to intentionally divert and misappropriate millions of dollars’ worth of tokens for their personal benefit.  In addition, although they publicly denied that they personally held or traded SafeMoon, they repeatedly bought and sold SafeMoon, sometimes at the height of SafeMoon market price, which generated millions of dollars in profits.  Karony and his co-conspirators masked their movement of the fraudulent proceeds via numerous private un-hosted crypto wallet addresses, complex transaction routing, and pseudonymous centralized exchange accounts.  Karony acquired over $9 million in crypto assets from the scheme and used some of the proceeds to purchase luxury vehicles and real estate, including a $2.2 million home in Utah, additional homes in Utah and Kansas, a $277,000 Audi R8 sports car, another Audi R8, a Tesla, and custom Ford F-550 and Jeep Gladiator pickup trucks.

    Co-conspirator Thomas Smith previously pleaded guilty and is awaiting sentencing. Co-conspirator Kyle Nagy remains at large. 

    The government’s case is being handled by the Office’s Business and Securities Fraud Section.  Assistant United States  Attorneys Dana Rehnquist, Sara K. Winik, and Jessica K. Weigel are in charge of the prosecution, with assistance from Paralegal Specialists Asher Martin-Rosenthal and Madison Bates. Assistant United States Attorney Laura Mantell is handling forfeiture matters.

    The Defendant:

    BRADEN JOHN KARONY
    29
    Provo, Utah

    E.D.N.Y. Docket No. 23-CR-433 (EK)

    MIL Security OSI –

  • MIL-OSI: ReconAfrica Announces the Appointment of Mark Friesen as Managing Director, Investor Relations and Capital Markets, an Update on the Transaction with NAMCOR and Proposed Warrant Extension

    Source: GlobeNewswire (MIL-OSI)

    CALGARY, Alberta, May 21, 2025 (GLOBE NEWSWIRE) — Reconnaissance Energy Africa Ltd. (the “Company” or “ReconAfrica”) (TSXV: RECO) (OTCQX: RECAF) (Frankfurt: 0XD) (NSX: REC) announces an update to its investor relations contact, an update on the transaction with Namcor Exploration and Production (Pty) (“NAMCOR”) announced in the Company’s news release dated September 22, 2022 and that it intends to extend the expiry date of certain common share purchase warrants of the Company.

    UPDATE TO INVESTOR RELATIONS CONTACT

    Mr. Grayson Andersen has left ReconAfrica to pursue new career opportunities. The Company, its Board of Directors and Management thank Grayson for his contributions and wish him the best in his future endeavours.

    Effective immediately, Mark Friesen has joined ReconAfrica as Managing Director, Investor Relations and Capital Markets and is based in Calgary. Mark has extensive energy finance and investor relations experience in the Canadian and U.S. markets. Mark’s prior corporate experience includes being the Director of Investor Relations with Kiwetinohk Energy Corp. and doing business development and corporate planning with Kiwetinohk, Murphy Oil Corporation and through his own consulting company. Mark began his career in equity research covering the energy sector at Bank of Montreal (BMO), FirstEnergy Capital Corp., TD Bank and Royal Bank of Canada (RBC). Mark holds a CFA (Chartered Financial Analyst) designation and received a Bachelor of Commerce (Hons) degree in Finance from the University of Manitoba.

    Investors can continue to contact the Company by email at investors@reconafrica.com or by phone at +1-877-631-1160.

    UPDATE ON NAMCOR TRANSACTION

    The Company and NAMCOR have not yet completed the transaction pursuant to the definitive purchase and sale agreement announced September 22, 2022, but report that discussions are ongoing.

    PROPOSED WARRANT EXTENSION

    The Company intends to extend the expiry date of an aggregate 6,795,454 outstanding common share purchase warrants of the Company (the “July Warrants”) by 18 months to January 18, 2027 and an aggregate 1,071,500 outstanding common share purchase warrants of the Company (the “September Warrants” and collectively with the July Warrants, the “Warrants”) by 18 months to February 1, 2027 (collectively with the extension of July Warrants, the “Extension”).

    The July Warrants were issued pursuant to a public offering which closed on July 18, 2023 and are set to expire on July 18, 2025. The July Warrants were issued pursuant to a warrant indenture dated July 18, 2023 between the Company and Odyssey Trust Company. Each July Warrant entitles the holder thereof to acquire one common share of the Company at a price of CAD $1.35 and all other terms of the July Warrants, including exercise price, will remain the same.

    A total of 295,227 outstanding compensation warrants issued as compensation to the underwriters for part of the financing in July 2023 cannot be extended and will expire on July 18, 2025.

    The September Warrants were issued pursuant to a non-brokered private placement which closed on September 1, 2023 and are set to expire on September 1, 2025. Each September Warrant entitles the holder thereof to acquire one common share of the Company at a price of CAD $1.40 and all other terms of the September Warrants, including exercise price, will remain the same.

    220,000 of the July Warrants are held by parties who are considered to be “related parties” of the Company. The September Warrants are all held by parties who are considered to be “related parties” of the Company. Therefore, the amendment of Warrants constitutes a “related party transaction” as contemplated by Multilateral Instrument 61-101 Protection of Minority Shareholders in Special Transactions, and TSXV Policy 5.9 Protection of Minority Shareholders in Special Transactions. However, the exemptions from formal valuation and minority approval requirements provided for by these guidelines have been relied upon as the fair market value of the Warrants held by insiders does not exceed 25% of the market capitalization of the Company.

    The Extension remains subject to receipt of approval of the TSX Venture Exchange.

    About ReconAfrica

    ReconAfrica is a Canadian oil and gas company engaged in the exploration of the Damara Fold Belt and Kavango Rift Basin in the Kalahari Desert of northeastern Namibia, southeastern Angola, and northwestern Botswana, where the Company holds rights to petroleum licences comprising over 13 million acres. The Company will be drilling its next well, Prospect I which is located onshore Namibia in Petroleum Exploration Licence 073 (“PEL 73”). This will be the Company’s largest exploration prospect drilled to date. In all aspects of its operations, ReconAfrica is committed to minimal disturbance of habitat in line with international standards and implementing environmental and social best practices in all of its project areas.

    Neither the TSXV nor its Regulation Services Provider (as that term is defined in policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release.

    For further information contact:

    Brian Reinsborough, President and Chief Executive Officer | Tel: +1-877-631-1160

    Mark Friesen, Investor Relations | Tel: +1-877-631-1160

    IR Inquiries Email: investors@reconafrica.com

    Media Inquiries Email: media@reconafrica.com

    Cautionary Note Regarding Forward-Looking Statements:

    Certain statements contained in this press release constitute forward-looking information under applicable Canadian, United States and other applicable securities laws, rules and regulations, including, without limitation, the Company’s commitment to minimal disturbance of habitat, in line with best international standards and its implementation of environmental and social best practices in all of its project areas. These statements relate to future events or future performance. The use of any of the words “could”, “intend”, “expect”, “believe”, “will”, “projected”, “estimated” and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on ReconAfrica’s current belief or assumptions as to the outcome and timing of such future events. There can be no assurance that such statements will prove to be accurate, as the Company’s actual results and future events could differ materially from those anticipated in these forward-looking statements as a result of the factors discussed in the “Risk Factors” section in the Company’s annual information form for the period ended December 31, 2024, available under the Company’s profile at www.sedarplus.ca. Actual future results may differ materially. Various assumptions or factors are typically applied in drawing conclusions or making the forecasts or projections set out in forward-looking information. Those assumptions and factors are based on information currently available to ReconAfrica. The forward-looking information contained in this release is made as of the date hereof and ReconAfrica undertakes no obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. Because of the risks, uncertainties and assumptions contained herein, investors should not place undue reliance on forward-looking information. The foregoing statements expressly qualify any forward-looking information contained herein.

    The MIL Network –

  • MIL-OSI: LexinFintech Holdings Ltd. Reports First Quarter 2025 Unaudited Financial Results

    Source: GlobeNewswire (MIL-OSI)

    SHENZHEN, China, May 21, 2025 (GLOBE NEWSWIRE) — LexinFintech Holdings Ltd. (“Lexin” or the “Company”) (NASDAQ: LX), a leading technology-empowered personal financial service enabler in China, today announced its unaudited financial results for the quarter ended March 31, 2025.

    Mr. Jay Wenjie Xiao, Chairman and Chief Executive Officer of Lexin, commented, “The continued improvement across key performance indicators marks the success of our transformation towards a business model driven by data analytics, risk management, and refined operations.

    In the first quarter, key risk metrics continued to trend strongly, validating the effectiveness of our risk management revamp initiatives. Thanks to the ongoing improvements in risk performance, net income for the first quarter exceeded RMB430 million, sustaining its strong growth trajectory and returning to the highest level for the past 13 quarters. 

    Looking ahead, we will focus on prioritizing customer-centric approaches, elevating customer experience and boosting the competitiveness of our offers, strengthening the business synergies across our ecosystem, and driving technological innovation—particularly in the application of AI. Through operational excellence and strategic agility, we aim to build long-term resilience and competitiveness in a dynamic environment. 

    Despite the challenging macroeconomic environment, evolving industry landscape, and geopolitical uncertainties, the management remains confident in achieving a significant year-over-year growth in net income, reaffirming our full-year net income guidance. 

    The management has consistently attached great importance to delivering value to shareholders through various approaches. In November 2024, the board raised the cash dividend payout ratio from 20% to 25% of total net income. We are pleased to announce that the board of directors has approved to further increase the cash dividend payout ratio from 25% to 30% of total net income, effective from the second half of 2025.”

    Mr. James Zheng, Chief Financial Officer of Lexin, commented, “Our first-quarter financial results mark another key milestone in our net income target. In the quarter, net income exceeded RMB430 million, representing a 19% quarter-over-quarter and 113% year-over-year increase. Net profit take rate was 1.58%, calculated as net income divided by average loan balance, advancing by 27 basis points compared to the previous quarter. The strong net income growth was underpinned by sustained improvements in asset quality, alongside a further reduction in funding costs.

    Looking ahead, we’re committed to a prudent operating strategy, ecosystem synergy enhancement and operational refinement. For the full year 2025, we expect our net income to deliver strong year-over-year growth.”

    First Quarter 2025 Operational Highlights:

    User Base

    • Total number of registered users reached 232 million as of March 31, 2025, representing an increase of 8.1% from 215 million as of March 31, 2024, and users with credit lines reached 46.2 million as of March 31, 2025, up by 7.8% from 42.8 million as of March 31, 2024.
    • Number of active users1 who used our loan products in the first quarter of 2025 was 4.8 million, representing an increase of 6.0% from 4.5 million in the first quarter of 2024.
    • Number of cumulative borrowers with successful drawdown was 34.5 million as of March 31, 2025, an increase of 7.6% from 32.0 million as of March 31, 2024.

    Loan Facilitation Business

    • As of March 31, 2025, we cumulatively originated RMB1,376.7 billion in loans, an increase of 17.6% from RMB1,171.1 billion as of March 31, 2024.
    • Total loan originations2 in the first quarter of 2025 was RMB51.6 billion, a decrease of 11.0% from RMB58.0 billion in the first quarter of 2024.
    • Total outstanding principal balance of loans3 reached RMB107 billion as of March 31, 2025, representing a decrease of 11.7% from RMB122 billion as of March 31, 2024.

    Credit Performance4

    • 90 day+ delinquency ratio was 3.3% as of March 31, 2025, as compared with 3.6% as of December 31, 2024.
    • First payment default rate (30 day+) for new loan originations was below 1% as of March 31, 2025.

    Tech-empowerment Service

    • For the first quarter of 2025, we served over 95 business customers with our tech-empowerment service.
    • In the first quarter of 2025, the business customer retention rate5 of our tech-empowerment service was over 80%.

    Installment E-commerce Platform Service

    • GMV6 in the first quarter of 2025 for our installment e-commerce platform service was RMB1,126 million, representing an increase of 24.7% from RMB903 million in the first quarter of 2024.
    • In the first quarter of 2025, our installment e-commerce platform service served over 310,000 users and 200 merchants.

    Other Operational Highlights

    • The weighted average tenor of loans originated on our platform in the first quarter of 2025 was approximately 13.4 months, as compared with 12.5 months in the first quarter of 2024.
    • Repeated borrowers’ contribution7 of loans across our platform for the first quarter of 2025 was 86.1%.

    First Quarter 2025 Financial Highlights:

    • Total operating revenue was RMB3,104 million, representing a decrease of 4.3% from the first quarter of 2024.
    • Credit facilitation service income was RMB2,191 million, representing a decrease of 17.3% from the first quarter of 2024. Tech-empowerment service income was RMB625 million, representing an increase of 72.8% from the first quarter of 2024. Installment e-commerce platform service income was RMB288 million, representing an increase of 24.4% from the first quarter of 2024.
    • Net income attributable to ordinary shareholders of the Company was RMB430 million, representing an increase of over 100% from the first quarter of 2024. Net income per ADS attributable to ordinary shareholders of the Company was RMB2.39 on a fully diluted basis.
    • Adjusted net income attributable to ordinary shareholders of the Company8 was RMB472 million, representing an increase of over 100% from the first quarter of 2024. Adjusted net income per ADS attributable to ordinary shareholders of the Company8 was RMB2.62 on a fully diluted basis.

    __________________________

    1. Active users refer to, for a specified period, users who made at least one transaction during that period through our platform or through our third-party partners’ platforms using the credit line granted by us.
    2. Total loan originations refer to the total principal amount of loans facilitated and originated during the given period.
    3. Total outstanding principal balance of loans refers to the total amount of principal outstanding for loans facilitated and originated at the end of each period, excluding loans delinquent for more than 180 days.
    4. Loans under Intelligent Credit Platform are excluded from the calculation of credit performance. Intelligent Credit Platform (ICP) is an intelligent platform on our “Fenqile” app, under which we match borrowers and financial institutions through big data and cloud computing technology. For loans facilitated through ICP, the Company does not bear principal risk.
    5. Customer retention rate refers to the number of financial institution customers and partners who repurchase our service in the current quarter as a percentage of the total number of financial institution customers and partners in the preceding quarter.
    6. GMV refers to the total value of transactions completed for products purchased on our e-commerce and Maiya channel, net of returns.
    7. Repeated borrowers’ contribution for a given period refers to the principal amount of loans borrowed during that period by borrowers who had previously made at least one successful drawdown as a percentage of the total loan facilitation and origination volume through our platform during that period.
    8. Adjusted net income attributable to ordinary shareholders of the Company, adjusted net income per ordinary share and per ADS attributable to ordinary shareholders of the Company are non-GAAP financial measures. For more information on non-GAAP financial measures, please see the section of “Use of Non-GAAP Financial Measures Statement” and the tables captioned “Unaudited Reconciliations of GAAP and Non-GAAP Results” set forth at the end of this press release.

    First Quarter 2025 Financial Results:

    Operating revenue was RMB3,104 million in the first quarter of 2025, as compared to RMB3,242 million in the first quarter of 2024.

    Credit facilitation service income was RMB2,191 million in the first quarter of 2025, as compared to RMB2,648 million in the first quarter of 2024. The decrease was due to the decrease in guarantee income and loan facilitation and servicing fees-credit oriented, partially offset by the increases in financing income.

    Loan facilitation and servicing fees-credit oriented was RMB1,136 million in the first quarter of 2025, as compared to RMB1,417 million in the first quarter of 2024. The decrease was primarily due to the decrease in the origination of off-balance sheet loans.

    Guarantee income was RMB548 million in the first quarter of 2025, as compared to RMB744 million in the first quarter of 2024. The decrease was primarily due to the decrease of outstanding balances in the off-balance sheet loans funded by certain institutional funding partners, which are accounted for under ASC 460, Guarantees.

    Financing income was RMB507 million in the first quarter of 2025, as compared to RMB487 million in the first quarter of 2024. The increase was primarily driven by the increase in the average outstanding balance of the on-balance-sheet loans.

    Tech-empowerment service income was RMB625 million in the first quarter of 2025, as compared to RMB362 million in the first quarter of 2024. The increase was primarily driven by the increase of loan facilitation volume through ICP and the increase of referral services.

    Installment e-commerce platform service income was RMB288 million in the first quarter of 2025, as compared to RMB232 million in the first quarter of 2024. The increase was primarily driven by the increase in transaction volume in the first quarter of 2025.

    Cost of sales consisted of cost of inventory sold and other costs. Cost of sales was RMB262 million in the first quarter of 2025, as compared to RMB236 million in the first quarter of 2024, which was consistent with the increase in installment e-commerce platform service income.

    Funding cost was RMB83.0 million in the first quarter of 2025, as compared to RMB90.7 million in the first quarter of 2024. The decrease was primarily driven by the decrease in the funding rates to fund the on-balance sheet loans.

    Processing and servicing costs was RMB551 million in the first quarter of 2025, as compared to RMB588 million in the first quarter of 2024. The decrease was primarily driven by a decrease in risk management expenses.

    Provision for financing receivables was RMB182 million for the first quarter of 2025, as compared to RMB137 million for the first quarter of 2024. The increase was primarily due to the increase of the outstanding loan balances of on-balance sheet loans and reflects the most recent performance in relation to on-balance sheet loans.

    Provision for contract assets and receivables was RMB130 million in the first quarter of 2025, as compared to RMB166 million in the first quarter of 2024. The decrease was primarily driven by the improvement of credit risk performance and the decrease of the outstanding loan balances of off-balance sheet loans.

    Provision for contingent guarantee liabilities was RMB677 million in the first quarter of 2025, as compared to RMB828 million in the first quarter of 2024. The decrease was primarily driven by the improvement of credit risk performance and the decrease of outstanding balances in the off-balance sheet loans funded by certain institutional funding partners, which are accounted for under ASC 460, Guarantees.

    Gross profit was RMB1,219 million in the first quarter of 2025, as compared to RMB1,197 million in the first quarter of 2024.

    Sales and marketing expenses was RMB493 million in the first quarter of 2025, as compared to RMB418 million in the first quarter of 2024. This increase was primarily due to an increase in online advertising costs.

    Research and development expenses was RMB156 million in the first quarter of 2025, as compared to RMB135 million in the first quarter of 2024. The increase was primarily due to increased investment in technology development.

    General and administrative expenses was RMB101 million in the first quarter of 2025, as compared to RMB89.8 million in the first quarter of 2024. The increase was primarily due to the increase in personnel related costs.

    Change in fair value of financial guarantee derivatives and loans at fair value was a gain of RMB74.6 million in the first quarter of 2025, as compared to a loss of RMB316 million in the first quarter of 2024. The change was primarily driven by the fair value gains realized as a result of the release of guarantee obligation as loans are repaid, partially offset by the fair value loss from the re-measurement of the expected loss rates.

    Income tax expense was RMB101 million in the first quarter of 2025, as compared to income tax benefit of RMB53.4 million in the first quarter of 2024. The increase was primarily due to the increase in income before income tax expense.

    Net income was RMB430 million in the first quarter of 2025, as compared to RMB202 million in the first quarter of 2024.

    Recent Development

    Updated Dividend Policy

    In the third quarter of 2024, the Board of the Company approved to raise the cash dividend payout ratio to 25% of total net income, effective from January 1, 2025. On May 19, 2025, the Board has further approved an updated dividend policy, under which the cash dividend payout will be increased to 30% of total net income, to be paid semi-annually starting from the second half of 2025.

    Business Outlook

    Looking ahead, while our performance continues to demonstrate positive momentum, we remain prudent in light of ongoing macroeconomic uncertainties. Based on our preliminary assessment, we expect net income for the full year 2025 to achieve a significant year-over-year growth driven by continued improvements in asset quality. The forecast is subject to the impact of macroeconomic factors, and we may adjust the performance outlook as appropriate based on evolving circumstances.

    Conference Call

    The Company’s management will host an earnings conference call at 10:00 PM U.S. Eastern time on May 21, 2025 (10:00 AM Beijing/Hong Kong time on May 22, 2025).

    Participants who wish to join the conference call should register online at:

    https://register-conf.media-server.com/register/BI0dc0f8f7695c4583bd50587c8b103490

    Once registration is completed, each participant will receive the dial-in number and a unique access PIN for the conference call.

     Participants joining the conference call should dial in at least 10 minutes before the scheduled start time.

     A live and archived webcast of the conference call will also be available at the Company’s investor relations website at http://ir.lexin.com.

    About LexinFintech Holdings Ltd.

    We are a leading credit technology-empowered personal financial service enabler. Our mission is to use technology and risk management expertise to make financing more accessible for young generation consumers. We strive to achieve this mission by connecting consumers with financial institutions, where we facilitate through a unique model that includes online and offline channels, installment consumption platform, big data and AI driven credit risk management capabilities, as well as smart user and loan management systems. We also empower financial institutions by providing cutting-edge proprietary technology solutions to meet their needs of financial digital transformation.

    For more information, please visit http://ir.lexin.com.

    To follow us on Twitter, please go to: https://twitter.com/LexinFintech.

    Use of Non-GAAP Financial Measures Statement

    In evaluating our business, we consider and use adjusted net income attributable to ordinary shareholders of the Company, non-GAAP EBIT, adjusted net income per ordinary share and per ADS attributable to ordinary shareholders of the Company, four non-GAAP measures, as supplemental measures to review and assess our operating performance. The presentation of the non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with U.S. GAAP. We define adjusted net income attributable to ordinary shareholders of the Company as net income attributable to ordinary shareholders of the Company excluding share-based compensation expenses, interest expense associated with convertible notes, and investment income/(loss) and we define non-GAAP EBIT as net income excluding income tax expense, share-based compensation expenses, interest expense, net, and investment income/(loss).

    We present these non-GAAP financial measures because they are used by our management to evaluate our operating performance and formulate business plans. Adjusted net income attributable to ordinary shareholders of the Company enables our management to assess our operating results without considering the impact of share-based compensation expenses, interest expense associated with convertible notes, and investment income/(loss). Non-GAAP EBIT, on the other hand, enables our management to assess our operating results without considering the impact of income tax expense, share-based compensation expenses, interest expense, net, and investment income/(loss). We also believe that the use of these non-GAAP financial measures facilitates investors’ assessment of our operating performance. These non-GAAP financial measures are not defined under U.S. GAAP and are not presented in accordance with U.S. GAAP.

    These non-GAAP financial measures have limitations as an analytical tool. One of the key limitations of using adjusted net income attributable to ordinary shareholders of the Company and non-GAAP EBIT is that they do not reflect all items of income and expense that affect our operations. Share-based compensation expenses, interest expense associated with convertible notes, income tax expense, interest expense, net, and investment income/(loss) have been and may continue to be incurred in our business and are not reflected in the presentation of adjusted net income attributable to ordinary shareholders of the Company and non-GAAP EBIT. Further, these non-GAAP financial measures may differ from the non-GAAP financial information used by other companies, including peer companies, and therefore their comparability may be limited.

    We compensate for these limitations by reconciling each of the non-GAAP financial measures to the most directly comparable U.S. GAAP financial measure, which should be considered when evaluating our performance. We encourage you to review our financial information in its entirety and not rely on a single financial measure.

    Exchange Rate Information Statement

    This announcement contains translations of certain RMB amounts into U.S. dollars (“US$”) at specified rates solely for the convenience of the reader. Unless otherwise stated, all translations from RMB to US$ were made at the rate of RMB7.2567 to US$1.00, the exchange rate set forth in the H.10 statistical release of the Federal Reserve Board on March 31, 2025. The Company makes no representation that the RMB or US$ amounts referred could be converted into US$ or RMB, as the case may be, at any particular rate or at all.

    Safe Harbor Statement

    This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. Statements that are not historical facts, including statements about Lexin’s beliefs and expectations, are forward-looking statements. These forward-looking statements can be identified by terminology such as “will,” “ expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “confident” and similar statements. Among other things, the expectation of the collection efficiency and delinquency, business outlook and quotations from management in this announcement, contain forward-looking statements. Lexin may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the “SEC”), in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: Lexin’s goal and strategies; Lexin’s expansion plans; Lexin’s future business development, financial condition and results of operations; Lexin’s expectation regarding demand for, and market acceptance of, its credit and investment management products; Lexin’s expectations regarding keeping and strengthening its relationship with borrowers, institutional funding partners, merchandise suppliers and other parties it collaborates with; general economic and business conditions; and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in Lexin’s filings with the SEC. All information provided in this press release and in the attachments is as of the date of this press release, and Lexin does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

    For investor and media inquiries, please contact:

    LexinFintech Holdings Ltd.
    IR inquiries:
    Will Tan
    Tel: +86 (755) 3637-8888 ext. 6258
    E-mail: willtan@lexin.com

    Media inquiries:
    Ruifeng Xu
    Tel: +86 (755) 3637-8888 ext. 6993
    E-mail: media@lexin.com

    SOURCE LexinFintech Holdings Ltd.

    LexinFintech Holdings Ltd.
    Unaudited Condensed Consolidated Balance Sheets    		  
      As of  
    (In thousands) December 31, 2024   March 31, 2025  
      RMB   RMB   US$  
    ASSETS            
    Current Assets            
    Cash and cash equivalents   2,254,213     3,173,298     437,292  
    Restricted cash   1,638,479     1,545,269     212,944  
    Restricted term deposit and short-term investments   138,497     218,490     30,109  
    Short-term financing receivables, net(1)   4,668,715     4,743,393     653,657  
    Short-term contract assets and receivables, net(1)   5,448,057     5,009,319     690,303  
    Deposits to insurance companies and guarantee companies   2,355,343     2,203,109     303,597  
    Prepayments and other current assets   1,321,340     1,347,805     185,732  
    Amounts due from related parties   61,722     77,239     10,644  
    Inventories, net   22,345     19,341     2,665  
    Total Current Assets   17,908,711     18,337,263     2,526,943  
    Non-current Assets            
    Restricted cash   100,860     80,464     11,088  
    Long-term financing receivables, net(1)   112,427     92,087     12,690  
    Long-term contract assets and receivables, net(1)   317,402     350,993     48,368  
    Property, equipment and software, net   613,110     636,939     87,773  
    Land use rights, net   862,867     854,267     117,721  
    Long-term investments   284,197     244,193     33,651  
    Deferred tax assets   1,540,842     1,589,522     219,042  
    Other assets   500,363     433,738     59,772  
    Total Non-current Assets   4,332,068     4,282,203     590,105  
    TOTAL ASSETS   22,240,779     22,619,466     3,117,048  
                 
    LIABILITIES            
    Current liabilities            
    Accounts payable   74,443     63,294     8,722  
    Amounts due to related parties   10,927     9,124     1,257  
    Short-term borrowings and current portion of long-term borrowings   690,772     781,324     107,669  
    Short-term funding debts   2,754,454     3,207,177     441,961  
    Deferred guarantee income   975,102     1,158,164     159,599  
    Contingent guarantee liabilities   1,079,000     769,397     106,026  
    Accruals and other current liabilities   4,019,676     3,909,239     538,708  
    Total Current Liabilities   9,604,374     9,897,719     1,363,942  
    Non-current Liabilities            
    Long-term borrowings   585,024     505,408     69,647  
    Long-term funding debts   1,197,211     891,390     122,837  
    Deferred tax liabilities   91,380     102,617     14,141  
    Other long-term liabilities   22,784     14,006     1,930  
    Total Non-current Liabilities   1,896,399     1,513,421     208,555  
    TOTAL LIABILITIES   11,500,773     11,411,140     1,572,497  
    Shareholders’ equity:            
    Class A Ordinary Shares   205     205     30  
    Class B Ordinary Shares   41     41     7  
    Treasury stock   (328,764 )   (305,025 )   (42,034 )
    Additional paid-in capital   3,314,866     3,331,382     459,077  
    Statutory reserves   1,178,309     1,178,309     162,375  
    Accumulated other comprehensive income   (29,559 )   (31,818 )   (4,385 )
    Retained earnings   6,604,908     7,035,232     969,481  
    Total shareholders’ equity   10,740,006     11,208,326     1,544,551  
    TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY   22,240,779     22,619,466     3,117,048  

    __________________________
    (1)  Short-term financing receivables, net of allowance for credit losses of RMB102,124 and RMB118,804 as of December 31, 2024 and March 31, 2025, respectively.

    Short-term contract assets and receivables, net of allowance for credit losses of RMB409,590 and RMB287,845 as of December 31, 2024 and March 31, 2025, respectively.

    Long-term financing receivables, net of allowance for credit losses of RMB1,820 and RMB1,471 as of December 31, 2024 and March 31, 2025, respectively.

    Long-term contract assets and receivables, net of allowance for credit losses of RMB30,919 and RMB20,519 as of December 31, 2024 and March 31, 2025, respectively.

    LexinFintech Holdings Ltd.
    Unaudited Condensed Consolidated Statements of Operations    		  
      For the Three Months Ended March 31,  
    (In thousands, except for share and per share data) 2024   2025  
      RMB   RMB   US$  
    Operating revenue:            
    Credit facilitation service income   2,648,478     2,190,866     301,910  
    Loan facilitation and servicing fees-credit oriented   1,417,248     1,136,229     156,577  
    Guarantee income   744,251     547,814     75,491  
    Financing income   486,979     506,823     69,842  
    Tech-empowerment service income   361,543     624,850     86,107  
    Installment e-commerce platform service income   231,909     288,383     39,740  
    Total operating revenue   3,241,930     3,104,099     427,757  
    Operating cost            
    Cost of sales   (235,747 )   (262,032 )   (36,109 )
    Funding cost   (90,738 )   (83,004 )   (11,438 )
    Processing and servicing cost   (587,731 )   (551,141 )   (75,949 )
    Provision for financing receivables   (136,683 )   (182,149 )   (25,101 )
    Provision for contract assets and receivables   (165,942 )   (129,685 )   (17,871 )
    Provision for contingent guarantee liabilities   (828,377 )   (677,180 )   (93,318 )
    Total operating cost   (2,045,218 )   (1,885,191 )   (259,786 )
    Gross profit   1,196,712     1,218,908     167,971  
    Operating expenses:            
    Sales and marketing expenses   (417,617 )   (493,128 )   (67,955 )
    Research and development expenses   (134,982 )   (155,626 )   (21,446 )
    General and administrative expenses   (89,760 )   (100,753 )   (13,884 )
    Total operating expenses   (642,359 )   (749,507 )   (103,285 )
    Change in fair value of financial guarantee derivatives and loans at fair value   (315,923 )   74,639     10,286  
    Interest expense, net   (3,904 )   (4,702 )   (648 )
    Investment income/(loss)   90     (11,699 )   (1,612 )
    Others, net   20,425     3,832     528  
    Income before income tax expense   255,041     531,471     73,240  
    Income tax expense   (53,418 )   (101,147 )   (13,938 )
    Net income   201,623     430,324     59,302  
    Net income attributable to ordinary shareholders of the Company   201,623     430,324     59,302  
                 
    Net income per ordinary share attributable to ordinary shareholders of the Company            
    Basic   0.61     1.27     0.18  
    Diluted   0.60     1.20     0.16  
                 
    Net income per ADS attributable to ordinary shareholders of the Company            
    Basic   1.22     2.55     0.35  
    Diluted   1.21     2.39     0.33  
                 
    Weighted average ordinary shares outstanding            
    Basic   330,277,142     338,073,723     338,073,723  
    Diluted   333,650,104     359,646,902     359,646,902  
    LexinFintech Holdings Ltd.
    Unaudited Condensed Consolidated Statements of Comprehensive Income
      For the Three Months Ended March 31,  
    (In thousands) 2024   2025  
      RMB   RMB   US$  
    Net income   201,623     430,324     59,302  
    Other comprehensive income            
    Foreign currency translation adjustment, net of nil tax   2,323     (2,259 )   (311 )
    Total comprehensive income   203,946     428,065     58,991  
    Total comprehensive income attributable to ordinary shareholders of the Company   203,946     428,065     58,991  
    LexinFintech Holdings Ltd.
    Unaudited Reconciliations of GAAP and Non-GAAP Results    		  
      For the Three Months Ended March 31,  
    (In thousands, except for share and per share data) 2024   2025  
      RMB   RMB   US$  
    Reconciliation of Adjusted net income attributable to ordinary shareholders of the Company to Net income attributable to ordinary shareholders of the Company            
    Net income attributable to ordinary shareholders of the Company   201,623     430,324     59,302  
    Add: Share-based compensation expenses   23,274     29,541     4,071  
    Interest expense associated with convertible notes   5,322     –     –  
    Investment (income)/loss   (90 )   11,699     1,612  
    Adjusted net income attributable to ordinary shareholders of the Company   230,129     471,564     64,985  
                 
    Adjusted net income per ordinary share attributable to ordinary shareholders of the Company            
    Basic   0.70     1.39     0.19  
    Diluted   0.68     1.31     0.18  
                 
    Adjusted net income per ADS attributable to ordinary shareholders of the Company            
    Basic   1.39     2.79     0.38  
    Diluted   1.35     2.62     0.36  
                 
    Weighted average shares used in calculating net income per ordinary share for non-GAAP EPS            
    Basic   330,277,142     338,073,723     338,073,723  
    Diluted   339,997,043     359,646,902     359,646,902  
                 
    Reconciliations of Non-GAAP EBIT to Net income            
    Net income   201,623     430,324     59,302  
    Add: Income tax expense   53,418     101,147     13,938  
    Share-based compensation expenses   23,274     29,541     4,071  
    Interest expense, net   3,904     4,702     648  
    Investment (income)/loss   (90 )   11,699     1,612  
    Non-GAAP EBIT   282,129     577,413     79,571  


    Additional Credit Information

    Vintage Charge Off Curve1

    Dpd30+/GMV by Performance Windows1

    First Payment Default 30+1

    1. Loans facilitated under ICP are excluded from the chart.

    The MIL Network –

  • MIL-OSI USA: As Crucial House Vote Looms, Rural Hospital CEOs Make Final Plea to House GOP: Avoid Medicaid Cuts That Will Cost Lives and Burden Local Communities

    US Senate News:

    Source: United States Senator for Washington Maria Cantwell
    05.21.25
    As Crucial House Vote Looms, Rural Hospital CEOs Make Final Plea to House GOP: Avoid Medicaid Cuts That Will Cost Lives and Burden Local Communities
    NEW: 23 Republican WA state legislators join letter to full WA federal delegation, urging them to protect Medicaid
    WASHINGTON, D.C. – Today, U.S. Senator Maria Cantwell (D-WA), ranking member of the Senate Committee on Commerce, Science, and Transportation and senior member of the Finance Committee, joined Washington state health care professionals to highlight statewide alarm and opposition to proposed Medicaid cuts.
    “The House Republicans are now trying to cobble together what I believe is a serious attack on Medicaid, and these will have impacts across our economy,” said Sen. Cantwell. “It undermines the program by shifting the burden to the states and making the entire healthcare system more expensive.”
    “If you cut Medicaid, and you cut people on Medicaid, they’re not going to stop having health care needs,” added Sen. Cantwell. “They’re just going to go to a more expensive, unfunded setting to get that care. Medicaid provides the critical financial support for the healthcare sector and for our economies to keep going every day.”
    Matt Kollman, CEO of Skyline Hospital in White Salmon, warned that the cuts would endanger the survival of rural hospitals, and ultimately the health of rural residents.
    “You don’t just have the opportunity, when you live in White Salmon, to drive a few blocks extra and go to the next hospital,” Kollman said. “You’re talking about a drive that in the best of conditions might be 60 or 90 minutes. That is a disruptive burden for many families, and it would lead to their delay, or possible just outright deferral of health care altogether. And to me, that’s not acceptable.”
    “I also know that it’s not acceptable to other members of our community,” added Kollman. “Recently, I was able to present Senator Cantwell and Representative Newhouse with a letter that was signed by many elected officials and community members, including Republicans, elected Republicans in my district and throughout the state, who are asking Congress to be very careful about what they do with Medicaid. To consider the consequences, to be very thoughtful, and to understand that you’re messing with something that is a very intimate and relied on part of people’s lives every day.”
    Also today, 23 Republican members of the Washington state legislature sent a letter to the entire Washington state federal Congressional delegation, urging the delegation to “protect Medicaid funding for Washington State.”
    This week, the Republican-led U.S. House Budget Committee held a rare weekend meeting late Sunday night as part of the effort to rush to the floor a reconciliation bill containing over $700 billion in cuts and significant changes to Medicaid, the federal program that insures many low-income adults and children, pregnant people, seniors, and people with disabilities. Then, early this morning, the House Rules Committee began a meeting at 1 a.m. – when most Americans were asleep – since GOP House leadership have indicated their intent to bring the reconciliation bill and its draconian cuts to the floor for a final vote as soon as later today.   
    Republican proposals include imposition of work requirements and new restrictions on who can receive long-term care support from Medicaid.
    Other participants at the virtual presser were
    •            Rashad Collins, CEO, Neighborcare Health (Community Health Center with over 20 Seattle-area clinics)
    •            Kym Clift, CEO, TriState Health (Clarkston, WA)
    •            Lynn Kimball, Executive Director at Aging & Long Term Care of Eastern Washington
    •            Dr. Rachel Issaka, gastroenterologist and clinical researcher, Fred Hutchinson Cancer Center
    •            Jacquiline Blanco, RN, a Seattle-area perinatal obstetric nurse and Public Policy Committee member at the Association of Women’s Health, Obstetric, and Neonatal Nurses
    Video of the event is available HERE and a transcript of Sen. Cantwell’s opening remarks is available HERE.
    Also today, Sen. Cantwell delivered a speech on the Senate floor, warning of the impacts to state economies and budgets if the Republican proposal becomes law. Video of her floor speech is available HERE and a transcript is available HERE.
    Medicaid, known as Apple Health in Washington state, covers over 1.9 million Washingtonians. On May 2, Sen. Cantwell released a snapshot report highlighting the impact that Medicaid cuts would have on Washington state’s highly-ranked long-term care system for seniors and people with disabilities. In February, she additionally released a snapshot report that demonstrated how cuts would harm health care access in Washington state, and followed up with a report in March that dove into impacts on the Puget Sound region.
    Highlights of those snapshot reports include:
    In Washington state, WA-04 (Central Washington) and WA-05 (Eastern Washington) have the highest proportions of adults and total population on Medicaid (Apple Health). In District 4, 70% of children are on Medicaid.
    In the Puget Sound, children in Seattle’s blue-collar strongholds would feel the deepest pain from Medicaid cuts. More than half of children in Burien, SeaTac, Kent, Federal Way, Auburn, Renton, and Rainier Valley depend on Medicaid.
    In an exclusive new survey of 68 WA nursing homes, 67 of 68 would cut services if Medicaid were cut by 5% or more, and 65% would consider closing.
    Over the past two months, Sen. Cantwell also took a tour around the state to hear from folks who would be directly impacted by cuts to Medicare. Doctors, patients, and health care providers in Seattle, Spokane, the Tri-Cities, and Wenatchee warned that such cuts would devastate Washington state’s health care system and limit access to lifesaving care.

    MIL OSI USA News –

  • MIL-OSI USA: Congressman Danny K. Davis Applauds Reintroduction of Second Chance Reauthorization Act of 2025

    Source: United States House of Representatives – Congressman Danny K Davis (7th District of Illinois)

    Legislation Continues a Legacy of Justice Reform and Community Investment Originating from Davis’ Landmark 2008 Law

    Legislation Continues a Legacy of Justice Reform and Community Investment Originating from Davis’ Landmark 2008 Law

         Washington, DC — Today, Congressman Danny K. Davis (D-IL), original author of the Second Chance Act of 2008, proudly announced the reintroduction of the Second Chance Reauthorization Act of 2025, a bipartisan, bicameral effort to bolster reentry services across the nation. Introduced in the U.S. House by Rep. Davis and Rep. Carol Miller (R-WV) and in the Senate by Sens. Shelley Moore Capito (R-WV) and Cory Booker (D-NJ), the legislation renews vital programs that support returning citizens with housing, career development, and behavioral health services.

         “Sixteen years ago, I introduced the Second Chance Act because I believed every person deserves an opportunity to reclaim their life, reunite with their family, and rebuild their future,” said Congressman Danny K. Davis. “Since then, over 442,000 individuals across America have benefited from these services, including thousands here in Chicago. Reentry is not a privilege. It is a right backed by resources, dignity, and support.”

         With more than 600,000 individuals returning home from prison each year, and many more transitioning from local jails, reentry has become a national priority for reducing recidivism and promoting public safety. The Second Chance Act of 2008, authored by Congressman Davis and signed into law by President George W. Bush, established the nation’s first coordinated federal effort to fund reentry programs. 

         In Chicago and across Illinois’ 7th Congressional District, Second Chance funding has supported a wide array of community organizations and justice-focused initiatives, including workforce training programs, mentoring services, transitional housing, and behavioral health treatment. These services are particularly critical for Black and Brown communities that have long borne the brunt of mass incarceration.

         “This bill is about investing in people and giving communities—like those I represent in  Chicagoland—the resources to reduce crime, restore families, and rewrite futures,” Davis added. “This is bipartisan work at its best—and it’s deeply rooted in both justice and compassion.”

         From 2009 to 2024, over 1,300 Second Chance grants were awarded across 49 states and territories, supporting 871 agencies nationwide. The reauthorization will strengthen evidence-based programs and expand services for individuals struggling with substance use disorder and mental health challenges.

                  The American Jail Association, American Parole and Probation Association, Correctional Leaders Association, Council of State Governments Justice Center, Major County Sheriffs of America, National Alliance on Mental Illness, National Association of Counties, National Association of State Alcohol and Drug Abuse Directors, National Association of State Mental Health Program Directors, National District Attorneys Association, National League of Cities, Prison Fellowship, Treatment Alternatives for Safe Communities, and U.S. Chamber of Commerce support the legislation.

    ###

    MIL OSI USA News –

  • MIL-OSI New Zealand: Rural waste workshop coming to Canterbury

    Source: PISA results continue to show more to be done for equity in education

    Date:

    About the speaker

    Trish has over 20 years of national and international teaching experience combined with 15 years of dairy farming. Over the last 10 years, she has completed:

    • PG Cert in Circular Economy, Business and Innovation,
    • Diploma in Agribusiness
    • Kellogg Rural Leader Project on Reducing Farm Waste.

    Event details

    Trish Rankin – Rural leader and dairy farmer

    RSVP: Register via our

    online form or email us at events@ecan.govt.nz by Monday 16 June.

    Environment Canterbury © 2025
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    MIL OSI New Zealand News –

  • MIL-OSI: CORRECTION — LiveRamp Announces Fourth Quarter and Fiscal Year 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    SAN FRANCISCO, May 21, 2025 (GLOBE NEWSWIRE) — In a release issued earlier today under the same headline by LiveRamp (NYSE: RAMP), please note the GAAP operating income and Non-GAAP operating income for the first quarter of fiscal 2026 and fiscal 2026 were stated incorrectly. The corrected release follows:

    Q4 Revenue up 10% year-over-year

    FY25 Operating Cash Flow increases 46% year-over-year

    FY25 Share Repurchases totaled $101 million

    LiveRamp® (NYSE: RAMP), a leading data collaboration platform, today announced its financial results for the quarter and fiscal year ended March 31, 2025.

    Q4 Financial Highlights1

    • Total revenue was $189 million, up 10%.
    • Subscription revenue was $145 million, up 9%.
    • Marketplace & Other revenue was $44 million, up 14%.
    • GAAP gross profit was $131 million, up 5%. GAAP gross margin of 69% compressed by 3 percentage points. Non-GAAP gross profit was $136 million, up 5%. Non-GAAP gross margin of 72% compressed by 3 percentage points.
    • GAAP operating loss was $12 million compared to $14 million. GAAP operating margin of negative 6% expanded by 2 percentage points. Non-GAAP operating income was $23 million compared to $16 million. Non-GAAP operating margin of 12% expanded by 3 percentage points.
    • GAAP diluted loss per share was $0.10 and non-GAAP diluted earnings per share was $0.30.
    • Net cash provided by operating activities was $63 million compared to $28 million.
    • Share repurchases in the fourth quarter totaled approximately 950 thousand shares for $25 million.

    Fiscal Year Financial Highlights1

    • Total revenue was $746 million, up 13%.
    • Subscription revenue was $569 million, up 11%, and represented 76% of total revenue.
    • Marketplace & Other revenue was $177 million, up 21%.
    • GAAP gross profit was $530 million, up 10%, and GAAP gross margin of 71% compressed by 2 percentage points. Non-GAAP gross profit was $550 million, up 12%, and non-GAAP gross margin of 74% compressed by 1 percentage point.
    • GAAP operating income was $5 million compared to $11 million. GAAP operating margin of 1% compressed by 1 percentage point. Non-GAAP operating income was $136 million compared to $105 million. Non-GAAP operating margin of 18% expanded by 2 percentage points.
    • GAAP diluted loss per share was $0.01, and non-GAAP diluted EPS was $1.70.
    • Net cash provided by operating activities was $154 million compared to $106 million.
    • Share repurchases in fiscal 2025 totaled approximately 3.8 million shares for $101 million. As of March 31, 2025, there was $256 million in remaining capacity under the share repurchase authorization that expires on December 31, 2026.

    A reconciliation between GAAP and non-GAAP results is provided in the schedules to this press release.

    Commenting on the results, CEO Scott Howe said: “We had a strong finish to fiscal 2025, with fourth quarter revenue and operating income exceeding our expectations, revenue growing at a double-digit rate and operating cash flow reaching a record high. As we enter fiscal 2026, more so than ever, we are focused on controlling what we can control: Making our platform faster and easier to use; rolling out new functionality, such as our new Cross Media Intelligence measurement solution; helping customers optimize ad spend by harnessing the power of our Data Collaboration Network; and, finally, prudently managing our own costs and growth investments. The near-term macro environment may be uncertain, but we remain confident that in the long-run we can drive sustained growth and shareholder value creation.”

    GAAP and Non-GAAP Results
    The following table summarizes the Company’s financial results for the fiscal 2025 fourth quarter and full year ended March 31, 2025 ($ in millions, except per share amounts):

           
      GAAP   Non-GAAP
      Q4 FY25 FY25   Q4 FY25 FY25
    Subscription revenue $145 $569   — —
    YoY change 9% 11%   — —
    Marketplace & Other revenue $44 $177   — —
    YoY change 14% 21%   — —
    Total revenue $189 $746   — —
    YoY change 10% 13%   — —
               
    Gross profit $131 $530   $136 $550
    % Gross margin 69% 71%   72% 74%
    YoY change (3 pts) (2 pts)   (3 pts) (1 pt)
               
    Operating income (loss) ($12) $5   $23 $136
    % Operating margin (6%) 1%   12% 18%
    YoY change 2 pts (1 pt)   3 pts 2 pts
               
    Net earnings (loss) ($6) ($1)   $20 $115
    Diluted earnings (loss) per share ($0.10) ($0.01)   $0.30 $1.70
               
    Shares to calculate diluted EPS 66.0 66.1   67.5 67.5
    YoY change (1%) (3%)   (1%) (1%)
               
    Net operating cash flow $63 $154   — —
    Free cash flow — —   $62 $153
               
    Totals may not sum due to rounding.
     
     

    A detailed discussion of our non-GAAP financial measures and a reconciliation between GAAP and non-GAAP results is provided in the schedules attached to this press release.

    Additional Business Highlights & Metrics

    • On February 25 we hosted an investor day presentation in San Francisco. The video replay, slide presentation and transcript are available on our investor relations website. Additionally, please see our investor day recap that highlights 10 interesting slides from the presentation, available here.
    • On February 25-27 we hosted our annual customer and partner conference, RampUp, in San Francisco, bringing together more than 2,500 leaders at the intersection of marketing, technology and data science. The event featured product demonstrations and 40+ panels and presentations featuring 110 leaders from some of the largest brands in the world, including Disney, Home Depot, P&G and Uber – to name a few. Video replays of these sessions are available here and an event recap for investors is available here.
    • On February 25 we announced Cross-Media Intelligence, a new capability that enables marketers to better measure and optimize campaigns anywhere their customers are. LiveRamp’s Cross-Media Intelligence is a premier solution for next-generation cross-media measurement, unifying insights across partners and datasets, and delivering actionable, repeatable insights with unmatched speed and precision. With Cross-Media Intelligence, marketers for the first time can access unified, deduplicated reporting across screens and platforms (additional information).
    • On April 22 Google announced that it will no longer roll out a new standalone prompt for consumers to opt-in to third-party cookie tracking on Chrome. LiveRamp’s mission remains the same: Enable best-in-class addressable reach and connectivity across every consumer experience by continuing to develop the largest and most useful data collaboration network. We will use cookies to extend reach on Chrome, while continuing to invest and expand our authenticated ecosystem across cookieless browsers (Safari, Firefox, and Edge), direct publisher integrations, CTV, mobile/gaming, and new AI integrations. Please see our blog post for additional information.
    • On March 6 we announced a workforce restructuring involving approximately 5% of our full-time employees. The restructuring is part of a broader strategic reprioritization to build a stronger, more profitable company by tightening our focus and simplifying and driving efficiency into our business processes. In the fourth quarter we incurred $7.2 million of restructuring and related charges primarily related to employee severance and benefits.
    • LiveRamp ended the year with 128 customers whose annualized subscription revenue exceeds $1 million, compared to 115 in the prior year.
    • LiveRamp ended the year with 840 direct subscription customers, compared to 900 in the prior year.
    • Fourth quarter subscription net retention was 104% and platform net retention was 106%.
    • Fourth quarter annualized recurring revenue (ARR), which is the last month of the quarter fixed subscription revenue annualized, was $504 million, up 8% compared to the prior year period.
    • Current remaining performance obligations (CRPO), which is contracted and committed revenue expected to be recognized over the next 12 months, was $471 million, up 14% compared to the prior year period.

    Financial Outlook

    LiveRamp’s non-GAAP operating income guidance excludes the impact of non-cash stock compensation, purchased intangible asset amortization, and restructuring and related charges.

    For the first quarter of fiscal 2026, LiveRamp expects to report:

    • Revenue of $191 million, an increase of 9%
    • GAAP operating income of $6 million
    • Non-GAAP operating income of $33 million

    For fiscal 2026, LiveRamp expects to report:

    • Revenue of between $787 million and $817 million, an increase of between 6% and 10%
    • GAAP operating income of between $85 million and $89 million
    • Non-GAAP operating income of between $178 million and $182 million

    Conference Call

    LiveRamp will hold a conference call today at 1:30 p.m. PT (4:30 p.m. ET) to further discuss this information. Interested parties are invited to listen to a webcast of the conference, which can be accessed on LiveRamp’s investor site. A slide presentation will be referenced during the call and is available here.

    About LiveRamp

    LiveRamp is a leading data collaboration technology company, empowering marketers and media owners to deliver and measure marketing performance everywhere it matters. LiveRamp’s data collaboration network seamlessly unites data across advertisers, platforms, publishers, data providers, and commerce media networks—unlocking deep insights, delivering transformational consumer experiences, and driving measurable growth.

    Built on a foundation of strict neutrality, interoperability, and global scale, LiveRamp enables organizations to maximize the value of their data while accelerating innovation. Trusted by many of the world’s leading brands, retailers, financial services providers, and healthcare innovators, LiveRamp is helping shape the future of responsible data collaboration in an AI-driven, outcomes-focused world where advertisers reach intended audiences and consumers receive more relevant advertising messages.

    LiveRamp is headquartered in San Francisco, California, with offices worldwide. Learn more at LiveRamp.com.

    Forward-Looking Statements

    This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, as amended (the “PSLRA”). Forward-looking statements are often identified by words or phrases such as “anticipate,” “estimate,” “plan,” “expect,” “believe,” “intend,” “foresee,” or the negative of these terms or other similar variations thereof, but the absence of these words does not mean that a statement is not forward-looking. These statements, which are not statements of historical fact, include, but are not limited to, the Company’s guidance regarding revenue, GAAP operating loss and Non-GAAP operating income for the first quarter and full year of fiscal 2026 and other similar estimates, assumptions, forecasts, projections and expectations regarding market position, product development, growth opportunities, economic conditions and other future events and trends.

    These forward-looking statements are not guarantees of future performance and are subject to a number of factors and uncertainties that could cause the Company’s actual results and experiences to differ materially from the anticipated results and expectations expressed in the forward-looking statements.

    Among the factors that may cause actual results and expectations to differ from anticipated results and expectations expressed in forward-looking statements are economic uncertainties that could impact us or our suppliers, customers and partners, including, geo-political circumstances, including risk related to tariffs and other trade restrictions, the possibility of a recession, general inflationary pressure and high interest rates; the ability and willingness of our customers to renew their agreements with us upon their expiration; our ability to add new customers and upsell within our subscription business; our reliance upon partners, including data suppliers, who may withdraw or withhold data from us; increased competition and rapidly changing technology that could impact our products and services; the risk that we fail to realize the potential benefits of or have difficulty integrating acquired businesses; and our inability to attract, motivate and retain talent. Additional risks include maintaining our culture and our ability to innovate and evolve while operating in a hybrid work environment, with some employees working remotely at least some of the time within a rapidly changing industry, while also avoiding disruption from reductions in our current workforce as well as disruptions resulting from acquisition, divestiture and other activities affecting our workforce. Our global workforce strategy could possibly encounter difficulty and not be as beneficial as planned. Our international operations are also subject to risks, including the performance of third parties as well as impacts from war and civil unrest, that may harm the Company’s business. The risk of a significant breach of the confidentiality of the information or the security of our or our customers’, suppliers’, or other partners’ data and/or computer systems, or the risk that our current insurance coverage may not be adequate for such a breach, that an insurer might deny coverage for a claim or that such insurance will continue to be available to us on commercially reasonable terms, or at all, could be detrimental to our business, reputation and results of operations. Other business risks include unfavorable publicity and negative public perception about our industry; interruptions or delays in service from data center or cloud hosting vendors we rely upon; and our dependence on the continued availability of third-party data hosting and transmission services. Our clients’ ability to use data on our platform could be restricted if the industry’s use of third-party cookies and tracking technology declines due to technology platform changes, regulation or increased user controls. Continued changes in the judicial, legislative, regulatory, accounting, cultural and consumer environments affecting our business, including but not limited to litigation, investigations, legislation, regulations and customs at the state, federal and international levels relating to information collection and use represents a risk, as well as changes in tax laws and regulations that are applied to our customers which could cause enterprise software budget tightening. In addition, third parties may claim that we are infringing their intellectual property or may infringe our intellectual property which could result in competitive injury and / or the incurrence of significant costs and draining of our resources.

    For a discussion of these and other risks and uncertainties that could affect LiveRamp’s business, reputation, results of operation, financial condition and stock price, please refer to LiveRamp’s filings with the U.S. Securities and Exchange Commission, including in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of LiveRamp’s most recently filed Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and subsequent filings.

    The financial information set forth in this press release reflects estimates based on information available at this time.

    LiveRamp assumes no obligation and does not currently intend to update these forward-looking statements.

    To automatically receive LiveRamp financial news by email, please visit www.LiveRamp.com and subscribe to email alerts.

    For more information, contact:

    LiveRamp Investor Relations
    Investor.Relations@LiveRamp.com

    LiveRamp® and RampID™ and all other LiveRamp marks contained herein are trademarks or service marks of LiveRamp, Inc. All other marks are the property of their respective owners.

    ________________________
    1 Unless otherwise indicated, all comparisons are to the prior year period.

                 
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    CONSOLIDATED STATEMENTS OF OPERATIONS
    (Unaudited)
    (Dollars in thousands, except per share amounts)
                 
      For the three months ended March 31,
              $ %
      2025     2024     Variance Variance
                 
    Revenues 188,724     171,852     16,872   9.8 %
    Cost of revenue 57,929     47,722     10,207   21.4 %
    Gross profit 130,795     124,130     6,665   5.4 %
    % Gross margin 69.3 %   72.2 %      
                 
    Operating expenses            
    Research and development 45,926     45,161     765   1.7 %
    Sales and marketing 56,961     60,476     (3,515 ) (5.8 )%
    General and administrative 32,175     30,252     1,923   6.4 %
    Gains, losses and other items, net 7,241     2,516     4,725   187.8 %
    Total operating expenses 142,303     138,405     3,898   2.8 %
                 
    Loss from operations (11,508 )   (14,275 )   2,767   19.4 %
    % Margin (6.1 )%   (8.3 )%      
                 
    Total other income, net 4,762     5,070     (308 ) (6.1 )%
    Loss from continuing operations before income taxes (6,746 )   (9,205 )   2,459   26.7 %
    Income tax benefit (479 )   (3,027 )   2,548   84.2 %
    Net earnings from continuing operations (6,267 )   (6,178 )   (89 ) (1.4 )%
                 
    Earnings from discontinued operations, net of tax –     805     (805 ) (100.0 )%
                 
    Net loss (6,267 )   (5,373 )   (894 ) (16.6 )%
                 
    Basic loss per share:            
    Continuing operations (0.10 )   (0.09 )   (0.00 ) (2.0 )%
    Discontinued operations 0.00     0.01     (0.01 ) (100.0 )%
    Basic loss per share (0.10 )   (0.08 )   (0.01 ) (17.3 )%
                 
    Diluted loss per share:            
    Continuing operations (0.10 )   (0.09 )   (0.00 ) (2.0 )%
    Discontinued operations 0.00     0.01     (0.01 ) (100.0 )%
    Diluted loss per share (0.10 )   (0.08 )   (0.01 ) (17.3 )%
                 
    Basic weighted average shares 65,957     66,323        
    Diluted weighted average shares 65,957     66,323        
                 
    Some totals may not sum due to rounding.            
                 
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    CONSOLIDATED STATEMENTS OF OPERATIONS
    (Unaudited)
    (Dollars in thousands, except per share amounts)
                 
      For the twelve months ended March 31,
              $ %
      2025     2024     Variance Variance
                 
    Revenues 745,580     659,661     85,919   13.0 %
    Cost of revenue 215,910     179,489     36,421   20.3 %
    Gross profit 529,670     480,172     49,498   10.3 %
    % Gross margin 71.0 %   72.8 %      
                 
    Operating expenses            
    Research and development 176,668     151,201     25,467   16.8 %
    Sales and marketing 213,106     195,693     17,413   8.9 %
    General and administrative 126,499     110,166     16,333   14.8 %
    Gains, losses and other items, net 7,993     11,708     (3,715 ) (31.7 )%
    Total operating expenses 524,266     468,768     55,498   11.8 %
                 
    Income from operations 5,404     11,404     (6,000 ) (52.6 )%
    % Margin 0.7 %   1.7 %      
                 
    Total other income, net 17,436     22,957     (5,521 ) (24.0 )%
    Income from continuing operations before income taxes 22,840     34,361     (11,521 ) (33.5 )%
    Income tax expense 25,342     24,270     1,072   4.4 %
    Net earnings (loss) from continuing operations (2,502 )   10,091     (12,593 ) (124.8 )%
                 
    Earnings from discontinued operations, net of tax 1,688     1,790     (102 ) (5.7 )%
                 
    Net earnings (loss) (814 )   11,881     (12,695 ) (106.9 )%
                 
    Basic earnings (loss) per share:            
    Continuing operations (0.04 )   0.15     (0.19 ) (124.8 )%
    Discontinued operations 0.03     0.03     (0.00 ) (5.5 )%
    Basic earnings (loss) per share (0.01 )   0.18     (0.19 ) (106.9 )%
                 
    Diluted earnings (loss) per share:            
    Continuing operations (0.04 )   0.15     (0.19 ) (125.5 )%
    Discontinued operations 0.03     0.03     (0.00 ) (3.1 )%
    Diluted earnings (loss) per share (0.01 )   0.17     (0.19 ) (107.0 )%
                 
    Basic weighted average shares 66,126     66,266        
    Diluted weighted average shares 66,126     67,918        
                 
    Some totals may not sum due to rounding.            
                 
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    RECONCILIATION OF GAAP TO NON-GAAP EPS (1)
    (Unaudited)
    (Dollars in thousands, except per share amounts)
                   
      For the three months
    ended March 31,    		   For the twelve months
    ended March 31,
      2025     2024     2025     2024
                   
    Income (loss) from continuing operations before income taxes (6,746 )   (9,205 )   22,840     34,361
    Income tax expense (benefit) (479 )   (3,027 )   25,342     24,270
    Net earnings from continuing operations (6,267 )   (6,178 )   (2,502 )   10,091
    Earnings from discontinued operations, net of tax –     805     1,688     1,790
    Net earnings (loss) (6,267 )   (5,373 )   (814 )   11,881
                   
    Basic earnings (loss) per share (0.10 )   (0.08 )   (0.01 )   0.18
    Diluted earnings (loss) per share (0.10 )   (0.08 )   (0.01 )   0.17
                   
    Excluded items:              
    Purchased intangible asset amortization (cost of revenue) 3,135     3,097     14,415     8,785
    Non-cash stock compensation (cost of revenue and operating expenses) 24,166     24,780     107,979     71,304
    Restructuring and merger charges (gains, losses, and other) 7,241     2,516     7,993     11,708
    Transformation costs (general and administrative) —     —     —     1,875
    Total excluded items from continuing operations 34,542     30,393     130,387     93,672
                   
    Income from continuing operations before income taxes and excluding items 27,796     21,188     153,227     128,033
    Income tax expense (2) 7,759     3,947     38,296     29,882
    Non-GAAP net earnings (loss) from continuing operations 20,037     17,241     114,931     98,151
                   
    Non-GAAP earnings per share from continuing operations              
    Basic 0.30     0.26     1.74     1.48
    Diluted 0.30     0.25     1.70     1.45
                   
    Basic weighted average shares 65,957     66,323     66,126     66,266
    Diluted weighted average shares 67,479     68,471     67,499     67,918
                   
    (1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures and the material limitations on the usefulness of these measures, please see Appendix A.
                   
    (2) Non-GAAP income taxes were calculated by applying the estimated annual effective tax rate to year-to-date pretax income or loss and adjusting for discrete tax items in the period. The differences between our GAAP and non-GAAP effective tax rates were primarily due to the net tax effects of the excluded items, coupled with the valuation allowance and smaller pre-tax income for GAAP purposes.
                   
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    RECONCILIATION OF GAAP TO NON-GAAP INCOME FROM OPERATIONS (1)
    (Unaudited)
    (Dollars in thousands)
                   
      For the three months
    ended March 31,    		   For the twelve months
    ended March 31,
      2025     2024     2025     2024  
                   
    Income (loss) from operations (11,508 )   (14,275 )   5,404     11,404  
    Operating income (loss) margin (6.1 )%   (8.3 )%   0.7 %   1.7 %
                   
    Excluded items:              
    Purchased intangible asset amortization (cost of revenue) 3,135     3,097     14,415     8,785  
    Non-cash stock compensation (cost of revenue and operating expenses) 24,166     24,780     107,979     71,304  
    Restructuring and merger charges (gains, losses, and other) 7,241     2,516     7,993     11,708  
    Transformation costs (general and administrative) –     –     –     1,875  
    Total excluded items 34,542     30,393     130,387     93,672  
                   
    Income from operations before excluded items 23,034     16,118     135,791     105,076  
    Non-GAAP operating income margin 12.2 %   9.4 %   18.2 %   15.9 %
                   
    (1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures and the material limitations on the usefulness of these measures, please see Appendix A.
                   
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    RECONCILIATION OF ADJUSTED EBITDA (1)
    (Unaudited)
    (Dollars in thousands)
                   
      For the three months
    ended March 31,    		   For the twelve months
    ended March 31,
      2024     2023     2024     2023  
                   
    Net earnings (loss) from continuing operations (6,267 )   (6,178 )   (2,502 )   10,091  
    Income tax expense (benefit) (479 )   (3,027 )   25,342     24,270  
    Total other expense, net (4,762 )   (5,070 )   (17,436 )   (22,957 )
                   
    Income (loss) from operations (11,508 )   (14,275 )   5,404     11,404  
    Depreciation and amortization 3,803     3,823     17,207     11,508  
                   
    EBITDA (7,705 )   (10,452 )   22,611     22,912  
                   
    Other adjustments:              
    Non-cash stock compensation (cost of revenue and operating expenses) 24,166     24,780     107,979     71,304  
    Restructuring and merger charges (gains, losses, and other) 7,241     2,516     7,993     11,708  
    Transformation costs (general and administrative) –     –     –     1,875  
                   
    Other adjustments 31,407     27,296     115,972     84,887  
                   
    Adjusted EBITDA 23,702     16,844     138,583     107,799  
                   
    (1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures, the usefulness of these measures and the material limitations on the usefulness of these measures, please see Appendix A.
                   
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    CONSOLIDATED BALANCE SHEETS
    (Dollars in thousands)
                 
      March 31   March 31   $ %
      2025     2024     Variance Variance
    Assets            
    Current assets:            
    Cash and cash equivalents 413,331     336,867     76,464   22.7 %
    Restricted cash 595     2,604     (2,009 ) (77.2 )%
    Short-term investments 7,500     32,045     (24,545 ) (76.6 )%
    Trade accounts receivable, net 186,169     190,313     (4,144 ) (2.2 )%
    Refundable income taxes, net 9,708     8,521     1,187   13.9 %
    Other current assets 38,886     31,682     7,204   22.7 %
    Total current assets 656,189     602,032     54,157   9.0 %
                 
    Property and equipment 23,813     25,394     (1,581 ) (6.2 )%
    Less – accumulated depreciation and amortization 17,629     17,213     416   2.4 %
    Property and equipment, net 6,184     8,181     (1,997 ) (24.4 )%
                 
    Intangible assets, net 20,167     34,583     (14,416 ) (41.7 )%
    Goodwill 501,756     501,756     –   – %
    Deferred commissions, net 44,452     48,143     (3,691 ) (7.7 )%
    Other assets, net 30,623     36,748     (6,125 ) (16.7 )%
      1,259,371     1,231,443     27,928   2.3 %
                 
    Liabilities and Stockholders’ Equity            
    Current liabilities:            
    Trade accounts payable 112,271     81,202     31,069   38.3 %
    Accrued payroll and related expenses 50,776     61,575     (10,799 ) (17.5 )%
    Other accrued expenses 38,586     42,857     (4,271 ) (10.0 )%
    Deferred revenue 45,885     30,942     14,943   48.3 %
    Total current liabilities 247,518     216,576     30,942   14.3 %
                 
    Other liabilities 62,994     65,732     (2,738 ) (4.2 )%
                 
    Stockholders’ equity:            
    Preferred stock –     –     –   n/a
    Common stock 15,918     15,594     324   2.1 %
    Additional paid-in capital 2,045,316     1,933,776     111,540   5.8 %
    Retained earnings 1,313,358     1,314,172     (814 ) (0.1 )%
    Accumulated other comprehensive income 4,295     3,964     331   8.4 %
    Treasury stock, at cost (2,430,028 )   (2,318,371 )   (111,657 ) 4.8 %
    Total stockholders’ equity 948,859     949,135     (276 ) (0.0 )%
      1,259,371     1,231,443     27,928   2.3 %
                 
           
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    CONSOLIDATED STATEMENTS OF CASH FLOWS
    (Unaudited)
    (Dollars in thousands)
      For the three months
    ended March 31,
      2025     2024  
    Cash flows from operating activities:      
    Net loss (6,267 )   (5,373 )
    Earnings from discontinued operations, net of tax —     (805 )
    Non-cash operating activities:      
    Depreciation and amortization 3,803     3,823  
    Loss on disposal or impairment of assets 44     6  
    Lease-related impairment and restructuring charges (28 )   (546 )
    Gain on sale of strategic investments (515 )   —  
    Loss on marketable equity securities 206     —  
    Provision for doubtful accounts (453 )   1,947  
    Deferred income taxes (496 )   (498 )
    Non-cash stock compensation expense 24,166     24,780  
    Changes in operating assets and liabilities:      
    Accounts receivable, net 25,187     8,700  
    Deferred commissions 46     (3,971 )
    Other assets 4,703     8,514  
    Accounts payable and other liabilities 11,738     (246 )
    Income taxes (523 )   (7,285 )
    Deferred revenue 969     (1,403 )
    Net cash provided by operating activities 62,580     27,643  
    Cash flows from investing activities:      
    Capital expenditures (293 )   (1,791 )
    Cash paid in acquisitions, net of cash received —     (170,281 )
    Purchases of investments —     (24,509 )
    Proceeds from sales of investments —     25,000  
    Proceeds from sale of strategic investment 763     —  
    Net cash provided by (used in) investing activities 470     (171,581 )
    Cash flows from financing activities:      
    Proceeds related to the issuance of common stock under stock and employee benefit plans 202     1  
    Shares repurchased for tax withholdings upon vesting of stock-based awards (1,026 )   (719 )
    Acquisition of treasury stock (25,447 )   (15,177 )
    Net cash used in financing activities (26,271 )   (15,895 )
    Net cash provided by (used in) continuing operations 36,779     (159,833 )
    Cash flows from discontinued operations:      
    From operating activities (798 )   805  
    Net cash provided by (used in) discontinued operations (798 )   805  
    Net cash provided by (used in) continuing and discontinued operations 35,981     (159,028 )
    Effect of exchange rate changes on cash 580     (447 )
           
    Net change in cash, cash equivalents and restricted cash 36,561     (159,475 )
    Cash, cash equivalents and restricted cash at beginning of period 377,365     498,946  
    Cash, cash equivalents and restricted cash at end of period 413,926     339,471  
           
    Supplemental cash flow information:      
    Cash paid for income taxes, net from continuing operations 558     4,905  
    Cash received for income taxes, net from discontinued operations —     (1,258 )
    Cash paid for operating lease liabilities 2,426     2,594  
           
           
    Operating lease assets obtained in exchange for operating lease liabilities —     148  
    Operating lease assets, and related lease liabilities, relinquished in lease terminations (40 )   —  
    Purchases of property, plant and equipment remaining unpaid at period end 20     104  
    Marketable equity securities obtained in disposition of strategic investment 652     —  
    Excise tax payable on net stock repurchases 64     —  
           
           
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    CONSOLIDATED STATEMENTS OF CASH FLOWS
    (Unaudited)
    (Dollars in thousands)
      For the twelve months
    ended March 31,
      2025     2024  
    Cash flows from operating activities:      
    Net earnings (loss) (814 )   11,881  
    Earnings from discontinued operations, net of tax (1,688 )   (1,790 )
    Non-cash operating activities:      
    Depreciation and amortization 17,207     11,508  
    Loss on disposal or impairment of assets 85     1,219  
    Lease-related impairment and restructuring charges 14     1,769  
    Gain on sale of strategic investments (515 )   —  
    Loss on marketable equity securities 206     —  
    Provision for doubtful accounts 695     2,254  
    Impairment of goodwill —     2,875  
    Deferred income taxes (447 )   (458 )
    Non-cash stock compensation expense 107,979     71,304  
    Changes in operating assets and liabilities:      
    Accounts receivable, net 3,547     (32,336 )
    Deferred commissions 3,691     (11,113 )
    Other assets 2,105     9,426  
    Accounts payable and other liabilities 3,573     8,508  
    Income taxes 3,430     22,275  
    Deferred revenue 14,897     8,334  
    Net cash provided by operating activities 153,965     105,656  
    Cash flows from investing activities:      
    Capital expenditures (1,042 )   (4,255 )
    Cash paid in acquisitions, net of cash received (1,951 )   (170,281 )
    Purchases of investments (1,967 )   (48,894 )
    Proceeds from sales of investments 26,989     50,750  
    Proceeds from sale of strategic investment 763     —  
    Purchases of strategic investments (1,400 )   (1,000 )
    Net cash provided by (used in) investing activities 21,392     (173,680 )
    Cash flows from financing activities:      
    Proceeds related to the issuance of common stock under stock and employee benefit plans 8,833     7,222  
    Shares repurchased for tax withholdings upon vesting of stock-based awards (10,331 )   (5,835 )
    Acquisition of treasury stock (101,198 )   (60,502 )
    Net cash used in financing activities (102,696 )   (59,115 )
    Net cash provided by (used in) continuing operations 72,661     (127,139 )
    Cash flows from discontinued operations:      
    From operating activities 1,688     1,790  
    Net cash provided by discontinued operations 1,688     1,790  
    Net cash provided by (used in) continuing and discontinued operations 74,349     (125,349 )
    Effect of exchange rate changes on cash 106     372  
           
    Net change in cash, cash equivalents and restricted cash 74,455     (124,977 )
    Cash, cash equivalents and restricted cash at beginning of period 339,471     464,448  
    Cash, cash equivalents and restricted cash at end of period 413,926     339,471  
           
    Supplemental cash flow information:      
    Cash paid for income taxes, net from continuing operations 22,548     2,465  
    Cash received for income taxes, net from discontinued operations (2,486 )   (2,765 )
    Cash received for tenant improvement allowances (2,628 )   —  
    Cash paid for operating lease liabilities 9,798     10,293  
           
           
    Operating lease assets obtained in exchange for operating lease liabilities 2,327     11,825  
    Operating lease assets, and related lease liabilities, relinquished in lease terminations (595 )   (4,486 )
    Purchases of property, plant and equipment remaining unpaid at period end 20     104  
    Marketable equity securities obtained in disposition of strategic investment 652     —  
    Excise tax payable on net stock repurchases 128     —  
           
    LIVERAMP HOLDINGS, INC AND SUBSIDIARIES
    CALCULATION OF FREE CASH FLOW (1)
    (Unaudited)
    (Dollars in thousands)
                           
      6/30/2023 9/30/2023 12/31/2023 3/31/2024 FY2024   6/30/2024 9/30/2024 12/31/2024 3/31/2025 FY2025
                           
    Net cash provided by (used in) operating activities $ 25,693   $ 35,764   $ 16,556   $ 27,643   $ 105,656     $ (9,328 ) $ 55,596   $ 45,117   $ 62,580   $ 153,965  
                           
    Less:                      
    Capital expenditures   (53 )   (200 )   (2,211 )   (1,791 )   (4,255 )     (226 )   (241 )   (282 )   (293 )   (1,042 )
                           
    Free Cash Flow $ 25,640   $ 35,564   $ 14,345   $ 25,852   $ 101,401     $ (9,554 ) $ 55,355   $ 44,835   $ 62,287   $ 152,923  
                           
                           
    (1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures and the material limitations on the usefulness of these measures, please see Appendix A.
     
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    CONSOLIDATED STATEMENTS OF OPERATIONS
    (Unaudited)
    (Dollars in thousands, except per share amounts)
                              Yr-to-Yr
      FY2024   FY2025   FY2025 to FY2024
      6/30/2023 9/30/2023 12/31/2023 3/31/2024 FY2024   6/30/2024 9/30/2024 12/31/2024 3/31/2025 FY2025   % $
                                 
    Revenues   154,069     159,871     173,869     171,852     659,661       175,961     185,483     195,412     188,724     745,580     13.0 % 85,919  
    Cost of revenue   45,621     41,212     44,934     47,722     179,489       51,749     51,234     54,998     57,929     215,910     20.3 % 36,421  
    Gross profit   108,448     118,659     128,935     124,130     480,172       124,212     134,249     140,414     130,795     529,670     10.3 % 49,498  
    % Gross margin   70.4 %   74.2 %   74.2 %   72.2 %   72.8 %     70.6 %   72.4 %   71.9 %   69.3 %   71.0 %      
                                 
    Operating expenses                            
    Research and development   34,519     33,733     37,788     45,161     151,201       44,118     43,889     42,735     45,926     176,668     16.8 % 25,467  
    Sales and marketing   44,879     44,135     46,203     60,476     195,693       54,175     51,107     50,863     56,961     213,106     8.9 % 17,413  
    General and administrative   26,664     26,009     27,241     30,252     110,166       30,961     31,369     31,994     32,175     126,499     14.8 % 16,333  
    Gains, losses and other items, net   116     6,574     2,502     2,516     11,708       206     397     149     7,241     7,993     (31.7 )% (3,715 )
    Total operating expenses   106,178     110,451     113,734     138,405     468,768       129,460     126,762     125,741     142,303     524,266     11.8 % 55,498  
                                 
    Income (loss) from operations   2,270     8,208     15,201     (14,275 )   11,404       (5,248 )   7,487     14,673     (11,508 )   5,404     (52.6 )% (6,000 )
    % Margin   5.0 %   24.3 %   40.2 %   (31.6 )%   1.7 %     (3.0 )%   4.0 %   7.5 %   (6.1 )%   0.7 %      
                                 
    Total other income, net   4,849     6,431     6,607     5,070     22,957       4,444     4,197     4,033     4,762     17,436     (24.0 )% (5,521 )
                                 
    Income (loss) from continuing operations before income taxes   7,119     14,639     21,808     (9,205 )   34,361       (804 )   11,684     18,706     (6,746 )   22,840     (33.5 )% (11,521 )
    Income tax expense (benefit)   8,705     10,163     8,429     (3,027 )   24,270       6,685     9,952     9,184     (479 )   25,342     4.4 % 1,072  
    Net earnings (loss) from continuing operations   (1,586 )   4,476     13,379     (6,178 )   10,091       (7,489 )   1,732     9,522     (6,267 )   (2,502 )   (124.8 )% (12,593 )
                                 
    Earnings from discontinued operations, net of tax   –     387     598     805     1,790       –     –     1,688     –     1,688     (5.7 )% (102 )
                                 
    Net earnings (loss) $ (1,586 ) $ 4,863   $ 13,977   $ (5,373 ) $ 11,881     $ (7,489 ) $ 1,732   $ 11,210   $ (6,267 ) $ (814 )   (106.9 )% (12,695 )
                                 
    Basic earnings (loss) per share:                            
    Continuing Operations   (0.02 )   0.07     0.20     (0.09 )   0.15       (0.11 )   0.03     0.15     (0.10 )   (0.04 )   (124.8 )% (0.19 )
    Discontinued Operations   0.00     0.01     0.01     0.01     0.03       0.00     0.00     0.03     0.00     0.03     (5.5 )% (0.00 )
    Basic earnings (loss) per share   (0.02 )   0.07     0.21     (0.08 )   0.18       (0.11 )   0.03     0.17     (0.10 )   (0.01 )   (106.9 )% (0.19 )
                                 
    Diluted earnings (loss) per share:                            
    Continuing Operations   (0.02 )   0.07     0.20     (0.09 )   0.15       (0.11 )   0.03     0.14     (0.10 )   (0.04 )   (125.5 )% (0.19 )
    Discontinued Operations   0.00     0.01     0.01     0.01     0.03       0.00     0.00     0.03     0.00     0.03     (3.1 )% (0.00 )
    Diluted earnings (loss) per share   (0.02 )   0.07     0.21     (0.08 )   0.17       (0.11 )   0.03     0.17     (0.10 )   (0.01 )   (107.0 )% (0.19 )
                                 
                                 
    Basic weighted average shares   66,497     66,284     65,961     66,323     66,266       66,621     66,294     65,631     65,957     66,126        
    Diluted weighted average shares   66,497     67,868     67,943     66,323     67,918       66,621     67,309     66,743     65,957     66,126        
                                 
    Some earnings (loss) per share amounts may not add due to rounding.         
                                 
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    RECONCILIATION OF GAAP TO NON-GAAP EXPENSES (1)
    (Unaudited)
    (Dollars in thousands)
      FY2024   FY2025
      6/30/2023 9/30/2023 12/31/2023 3/31/2024 FY2024   6/30/2024 9/30/2024 12/31/2024 3/31/2025 FY2025
    Expenses:                      
    Cost of revenue 45,621   41,212   44,934   47,722   179,489     51,749   51,234   54,998   57,929   215,910  
    Research and development 34,519   33,733   37,788   45,161   151,201     44,118   43,889   42,735   45,926   176,668  
    Sales and marketing 44,879   44,135   46,203   60,476   195,693     54,175   51,107   50,863   56,961   213,106  
    General and administrative 26,664   26,009   27,241   30,252   110,166     30,961   31,369   31,994   32,175   126,499  
    Gains, losses and other items, net 116   6,574   2,502   2,516   11,708     206   397   149   7,241   7,993  
                           
    Gross profit, continuing operations: 108,448   118,659   128,935   124,130   480,172     124,212   134,249   140,414   130,795   529,670  
    % Gross margin 70.4 % 74.2 % 74.2 % 72.2 % 72.8 %   70.6 % 72.4 % 71.9 % 69.3 % 71.0 %
                           
    Excluded items:                      
    Purchased intangible asset amortization (cost of revenue) 3,290   1,217   1,181   3,097   8,785     3,846   3,748   3,686   3,135   14,415  
    Non-cash stock compensation (cost of revenue) 629   629   817   1,478   3,553     1,596   1,499   1,455   1,615   6,165  
    Non-cash stock compensation (research and development) 5,077   5,293   6,960   9,859   27,189     10,205   10,920   10,085   10,494   41,704  
    Non-cash stock compensation (sales and marketing) 3,736   4,786   4,089   6,337   18,948     7,093   7,383   7,278   5,716   27,470  
    Non-cash stock compensation (general and administrative) 3,850   5,027   5,631   7,106   21,614     9,091   9,266   7,942   6,341   32,640  
    Restructuring charges (gains, losses, and other) 116   6,574   2,502   2,516   11,708     206   397   149   7,241   7,993  
    Transformation costs (general and administrative) 1,875   —   —   —   1,875     —     —   —   —  
    Total excluded items 18,573   23,526   21,180   30,393   93,672     32,037   33,213   30,595   34,542   130,387  
                           
    Expenses, excluding items:                      
    Cost of revenue 41,702   39,366   42,936   43,147   167,151     46,307   45,987   49,857   53,179   195,330  
    Research and development 29,442   28,440   30,828   35,302   124,012     33,913   32,969   32,650   35,432   134,964  
    Sales and marketing 41,143   39,349   42,114   54,139   176,745     47,082   43,724   43,585   51,245   185,636  
    General and administrative 20,939   20,982   21,610   23,146   86,677     21,870   22,103   24,052   25,834   93,859  
                           
    Gross profit, excluding items: 112,367   120,505   130,933   128,705   492,510     129,654   139,496   145,555   135,545   550,250  
    % Gross margin 72.9 % 75.4 % 75.3 % 74.9 % 74.7 %   73.7 % 75.2 % 74.5 % 71.8 % 73.8 %
                           
    (1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures, the usefulness of these measures and the material limitations on the usefulness of these measures, please see Appendix A.
     
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    RECONCILIATION OF GAAP TO NON-GAAP EPS (1)
    (Unaudited)
    (Dollars in thousands, except per share amounts)
      FY2024   FY2025
      6/30/2023 9/30/2023 12/31/2023 3/31/2024 FY2024   6/30/2024 9/30/2024 12/31/2024 3/31/2025 FY2025
                           
    Income (loss) from continuing operations before income taxes 7,119   14,639 21,808 (9,205 ) 34,361   (804 ) 11,684 18,706 (6,746 ) 22,840  
    Income tax expense (benefit) 8,705   10,163 8,429 (3,027 ) 24,270   6,685   9,952 9,184 (479 ) 25,342  
    Net earnings (loss) from continuing operations (1,586 ) 4,476 13,379 (6,178 ) 10,091   (7,489 ) 1,732 9,522 (6,267 ) (2,502 )
                           
    Earnings from discontinued operations, net of tax –   387 598 805   1,790   –   – 1,688 –   1,688  
                           
    Net earnings (loss) (1,586 ) 4,863 13,977 (5,373 ) 11,881   (7,489 ) 1,732 11,210 (6,267 ) (814 )
                           
    Earnings (loss) per share:                      
    Basic (0.02 ) 0.07 0.21 (0.08 ) 0.18   (0.11 ) 0.03 0.17 (0.10 ) (0.01 )
    Diluted (0.02 ) 0.07 0.21 (0.08 ) 0.17   (0.11 ) 0.03 0.17 (0.10 ) (0.01 )
                           
    Excluded items:                      
    Purchased intangible asset amortization (cost of revenue) 3,290   1,217 1,181 3,097   8,785   3,846   3,748 3,686 3,135   14,415  
    Non-cash stock compensation (cost of revenue and operating expenses) 13,292   15,735 17,497 24,780   71,304   27,985   29,068 26,760 24,166   107,979  
    Restructuring and merger charges (gains, losses, and other) 116   6,574 2,502 2,516   11,708   206   397 149 7,241   7,993  
    Transformation costs (general and administrative) 1,875   – – –   1,875   –   – – –   –  
    Total excluded items from continuing operations 18,573   23,526 21,180 30,393   93,672   32,037   33,213 30,595 34,542   130,387  
                           
    Income from continuing operations before income taxes and excluding items 25,692   38,165 42,988 21,188   128,033   31,233   44,897 49,301 27,796   153,227  
    Income tax expense (2) 6,167   9,036 10,732 3,947   29,882   7,371   10,745 12,421 7,759   38,296  
    Non-GAAP net earnings from continuing operations 19,525   29,129 32,256 17,241   98,151   23,862   34,152 36,880 20,037   114,931  
                           
    Non-GAAP earnings per share from continuing operations                      
    Basic 0.29   0.44 0.49 0.26   1.48   0.36   0.52 0.56 0.30   1.74  
    Diluted 0.29   0.43 0.47 0.25   1.45   0.35   0.51 0.55 0.30   1.70  
                           
    Basic weighted average shares 66,497   66,284 65,961 66,323   66,266   66,621   66,294 65,631 65,957   66,126  
    Diluted weighted average shares 67,388   67,868 67,943 68,471   67,918   68,463   67,309 66,743 67,479   67,499  
                           
    Some totals may not add due to rounding           
                           
    (1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures and the material limitations on the usefulness of these measures, please see Appendix A.
     

     

    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    RECONCILIATION OF GAAP TO NON-GAAP OPERATING INCOME GUIDANCE (1)
    (Unaudited)
    (Dollars in thousands)
      For the   For the
      quarter ending   year ending
      June 30,
    2025    		   March 31,
    2026
               
          Low   High
               
    GAAP income from operations $ 6,000   $ 85,000   $ 89,000
               
    Excluded items:          
    Purchased intangible asset amortization   3,000     11,000     11,000
    Non-cash stock compensation   24,000     82,000     82,000
    Total excluded items   27,000     93,000     93,000
               
    Non-GAAP income from operations $ 33,000   $ 178,000   $ 182,000
               
               
    (1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our condensed consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures, the usefulness of these measures and the material limitations on the usefulness of these measures, please see Appendix A.
               
    APPENDIX A
    LIVERAMP HOLDINGS, INC. AND SUBSIDIARIES
    Q4 FISCAL 2025 FINANCIAL RESULTS
    EXPLANATION OF NON-GAAP MEASURES AND OTHER KEY METRICS
     
    To supplement our financial results, we use non-GAAP measures which exclude certain acquisition related expenses, non-cash stock compensation and restructuring charges. We believe these measures are helpful in understanding our past performance and our future results. Our non-GAAP financial measures and schedules are not meant to be considered in isolation or as a substitute for comparable GAAP measures and should be read only in conjunction with our consolidated GAAP financial statements. Our management regularly uses these non-GAAP financial measures internally to understand, manage and evaluate our business and to make operating decisions. These measures are among the primary factors management uses in planning for and forecasting future periods. Compensation of our executives is also based in part on the performance of our business based on these non-GAAP measures.
     
    Our non-GAAP financial measures, including non-GAAP earnings (loss) per share, non-GAAP income (loss) from operations, non-GAAP operating income (loss) margin, non-GAAP expenses and adjusted EBITDA reflect adjustments based on the following items, as well as the related income tax effects when applicable:
     
    Purchased intangible asset amortization: We incur amortization of purchased intangibles in connection with our acquisitions. Purchased intangibles include (i) developed technology, (ii) customer and publisher relationships, and (iii) trade names. We expect to amortize for accounting purposes the fair value of the purchased intangibles based on the pattern in which the economic benefits of the intangible assets will be consumed as revenue is generated. Although the intangible assets generate revenue for us, we exclude this item because this expense is non-cash in nature and because we believe the non-GAAP financial measures excluding this item provide meaningful supplemental information regarding our operational performance.
     
    Non-cash stock compensation: Non-cash stock compensation consists of charges for employee restricted stock units, performance shares and stock options in accordance with current GAAP related to stock-based compensation including expense associated with stock-based compensation related to unvested options assumed in connection with our acquisitions. As we apply stock-based compensation standards, we believe that it is useful to investors to understand the impact of the application of these standards to our operational performance. Although stock-based compensation expense is calculated in accordance with current GAAP and constitutes an ongoing and recurring expense, such expense is excluded from non-GAAP results because it is not an expense that typically requires or will require cash settlement by us and because such expense is not used by us to assess the core profitability of our business operations.
     
    Restructuring charges: During the past several years, we have initiated certain restructuring activities in order to align our costs in connection with both our operating plans and our business strategies based on then-current economic conditions. As a result, we recognized costs related to termination benefits for employees whose positions were eliminated, lease and other contract termination charges, and asset impairments. These items, as well as third party expenses associated with business acquisitions in the prior years, reported as gains, losses, and other items, net, are excluded from non-GAAP results because such amounts are not used by us to assess the core profitability of our business operations.
     
    Transformation costs: In previous years, we incurred significant expenses to separate the financial statements of our operating segments, with particular focus on segment-level balance sheets, and to evaluate portfolio priorities. Our criteria for excluding transformation expenses from our non-GAAP measures is as follows: 1) projects are discrete in nature; 2) excluded expenses consist only of third-party consulting fees that we would not incur otherwise; and 3) we do not exclude employee related expenses or other costs associated with the ongoing operations of our business. We substantially completed those projects during the third quarter of fiscal year 2018. Beginning in the fourth quarter of fiscal 2018, and through most of fiscal 2019, we incurred transaction support expenses and system separation costs related to the Company’s announced evaluation of strategic options for its Marketing Solutions (AMS) business. In the first and second quarters of fiscal 2021 in response to the potential COVID-19 pandemic impact on our business and again during fiscal 2023 in response to macroeconomic conditions, we incurred significant costs associated with the assessment of strategic and operating plans, including our long-term location strategy, and assistance in implementing the restructuring activities as a result of this assessment.  Our criteria for excluding these costs are the same. We believe excluding these items from our non-GAAP financial measures is useful for investors and provides meaningful supplemental information.
     
    Our non-GAAP financial schedules are:
     
    Non-GAAP EPS, Non-GAAP Income from Operations, and Non-GAAP expenses: Our Non-GAAP earnings per share, Non-GAAP income from operations, Non-GAAP operating income margin, and Non-GAAP expenses reflect adjustments as described above, as well as the related tax effects where applicable.
     
    Adjusted EBITDA: Adjusted EBITDA is defined as net income from continuing operations before income taxes, other income and expenses, depreciation and amortization, and including adjustments as described above. We use Adjusted EBITDA to measure our performance from period to period both at the consolidated level as well as within our operating segments and to compare our results to those of our competitors. We believe that the inclusion of Adjusted EBITDA provides useful supplementary information to and facilitates analysis by investors in evaluating the Company’s performance and trends. The presentation of Adjusted EBITDA is not meant to be considered in isolation or as an alternative to net earnings as an indicator of our performance.
     
    Free Cash Flow: To supplement our statement of cash flows, we use a non-GAAP measure of cash flow to analyze cash flows generated from operations. Free cash flow is defined as operating cash flow less capital expenditures. Management believes that this measure of cash flow is meaningful since it represents the amount of money available from continuing operations for the Company’s discretionary spending. The presentation of non-GAAP free cash flow is not meant to be considered in isolation or as an alternative to cash flows from operating activities as a measure of liquidity.
     

    PDF available: http://ml.globenewswire.com/Resource/Download/d38f8ec4-85ab-47f8-b916-e99c4789ac26 

    The MIL Network –

  • MIL-OSI Submissions: Tech – Europe’s Largest Inaugural Tech and Startup Event Opens in Berlin as the Continent Spurs Momentum for Open Innovation and AI Leadership

    Source: GITEX EUROPE x Ai Everything 2025

    EconomyEntrepreneurs / Start-UpTech / DigitalInnovation – Ministers and senior tech stakeholders from the European Union, Germany and the UAE inaugurate the momentous first edition of GITEX EUROPE x Ai Everything.

    Berlin, Germany – 21 May 2025: Berlin became the focal point of Europe’s tech momentum and global digital cooperation as GITEX EUROPE x Ai Everything 2025 opened its doors today at Messe Berlin, launching the region’s largest inaugural tech, startup and digital investment event to capacity crowds and the biggest, most international lineup of tech and businesses converging in Europe. The show arrives at an inflection point in Europe’s digital future, sparked by a continent-wide ‘Choose Europe’ movement to anchor the next wave of innovation, research, investment, talent and deep-tech breakthroughs on home ground; alongside a renewed impetus in Germany represented by the formation of a new government and the country’s first digital ministry taking stewardship on digital transformation, AI excellence and data policy.

    Born in the UAE with global editions now running in seven countries, GITEX is the world’s largest and best-rated tech and startup event, reflecting the UAE’s wider national commitment to global digital collaboration. With the show’s expansion into Europe, it echoes the UAE’s shared commitment to advance innovation and scientific frontiers, recently strengthened with Abu Dhabi’s MGX investment and Nvidia partnering to develop Europe’s largest AI data center campus (1) alongside the development of a new 5GW AI campus (2), the largest of its kind outside the US to be based in Abu Dhabi.

    Welcome addresses led the inauguration ceremony from European and global leaders, including Kai Wegner, Governing Mayor of Berlin; H.E. Alia Al Mazrouei, UAE Minister of State for Entrepreneurship; Clara Chappaz, the Minister of AI and Digital of France; Thomas Jarzombek, Parliamentary State Secretary at the Federal Minister for Digital and State Modernization, Germany; Jan Kavalírek, Deputy Minister of Industry and Trade, Czech Republic; Franziska Giffey, Mayor of Berlin & Senator for Economic Affairs, Energy and Public Enterprises; and Trixie LohMirmand, EVP of Dubai World Trade Centre, the global organiser of GITEX.

    With participation from over 100 countries, 1,400 tech companies, startups, and SMEs, more than 600 influential investors, and 500 industry leaders on-stage, the event sparked strategic dialogues on innovation, investment, policy shifts and business transformations, as well as catalysed collaborations at scale – across sectors and geographies. Taking place until 23 May at Messe Berlin, GITEX EUROPE x Ai Everything 2025 is organised in partnership with the Berlin Senate Department for Economics, Energy and Public Enterprises, Germany’s Federal Ministry for Economic Affairs and Climate Action, Berlin Partner for Business and Technology, and the European Innovation Council (EIC).

    Kai Wegner, Governing Mayor of Berlin: “The GITEX tech fair – which is taking place in Berlin for the very first time – brings founders from around the world, investors, and established companies together. As Germany’s startup capital, Berlin is the perfect place for GITEX. We want to create the best environment for founders in our city. Networking events and industry fairs like GITEX are part of that effort.”

    Her Excellency (H.E.) Alia Al Mazrouei, the UAE Minister of State for Entrepreneurship: “Moving beyond economic diplomacy, the UAE is now championing entrepreneurial diplomacy, guided by our diligent efforts in fostering global partnerships to empower entrepreneurs in the country. GITEX EUROPE’s vision of bringing together SMEs, investors, accelerators, incubators and industry leaders to ignite innovation, foster collaboration, and drive growth aligns with the UAE’s aspirations to strengthen partnerships with Europe in entrepreneurship and digital economy.”

    Clara Chappaz, the Minister of AI and Digital of France, commented on the development of AI: “When you were hear about Europe being a continent of regulation, this is the past. Today, Europe is all about innovation. More than ever, we have all the ingredients to succeed as Europeans building these amazing technologies when it comes to AI. The partnerships between France and Germany is extremely determined to accelerate Europe when it comes to innovation, and in particular when it comes to everything we can do on digital innovation.”

    Thomas Jarzombek, Parliamentary State Secretary at the Federal Minister for Digital and State Modernization reiterated: “It’s a great opportunity here to connect startups and also for investment opportunities right now here in Berlin. We have to move forward, faster than we did in the past. Easy for you to do business in Germany, easy for every citizen to do everything with an app and to digitalize things you have in our pocket right now.”

    Jan Kavalírek, Deputy Minister of Industry and Trade, Czech Republic: “One of our top priorities right now, is to create the best possible environment for AI researchers and to deploy artificial intelligence across all the industrial sector. This is the reason why we invest in AI heavily, both in software and in hardware infrastructure, and this is also the reason why we are glad to part of GITEX EUROPE.”

    Franziska Giffey, Mayor of Berlin and Senator for Economic Affairs, Energy and Public Enterprises: “We have more than 5,000 startup enterprises here in Berlin, and of course we want to do more. We want to be the number one innovation place in Europe. Whenever you think about coming to the place of freedom, the place of possibilities, come to Berlin.”

    Trixie LohMirmand, global organiser of GITEX: “As the world’s third largest economy, Germany’s market gravity and Europe’s openness create a powerful test-bed where capital, code and talent can cross-pollinate at speed, forging new collaborative forces across geographies and sectors. GITEX EUROPE proves that innovations can scale beyond borders, opening new markets and opportunities for Europe’s most ambitious companies.”

    Spanning high impact showcases and talks covering AI, cybersecurity, deep tech, green tech, quantum computing, SMEs, and startup, scaleup and investments, GITEX EUROPE x Ai Everything offers unmatched opportunities to access new markets, breakthrough technologies, industry transformations and business insights.

    Across the show floor, global tech enterprises including IBM, AWS, Bosch, Cisco, CrowdStrike, Dell, Fortinet, Lenovo, ManageEngine, NinjaOne, NVIDIA, and SAP, alongside over 750 startups from 60 countries, showcase how infrastructure, intelligence, and investment intersect to propel Europe’s digital future forward. From business leaders to AI architects, quantum researchers to CIOs, green tech innovators to global investors, the opening day’s gathering set the tone for decisive partnerships accelerating the continent’s AI and digital competitiveness.

    The opening day conference programme was headlined by Dr. Geoffrey Hinton, Nobel Physics Laureate and ‘Godfather of AI’ with a riveting keynote on ‘AI for Humanity’s Greatest Challenges’. In April 2025, the United Arab Emirates and European Union delivered a joint statement to begin dialogue toward a Comprehensive Economic Partnership Agreement (CEPA) (3) aimed at strengthening bilateral trade and investment ties across key sectors such as AI, advanced manufacturing, healthcare and more.

    GITEX EUROPE x Ai Everything leverages a powerful network of established relationships in tech, policy, investment and business spanning four regions and seven countries, with more new international editions in the wings. Currently the GITEX global network of events takes place in Abu Dhabi, Dubai, Germany, Morocco, Nigeria, Singapore, Thailand, and Vietnam.

    (1) https://fastcompanyme.com/news/nvidia-and-abu-dhabis-mgx-join-french-partners-to-build-europes-largest-ai-campus/
    (2) https://www.techrepublic.com/article/news-uae-us-ai-campus/
    (3) https://www.wam.ae/en/article/bj3wkyv-uae-president-president-european-commission-agree

    For more information, visit: www.gitex-europe.com.

    About GITEX EUROPE x Ai Everything 2025

    GITEX EUROPE x Ai Everything 2025, Europe’s most global, collaborative, and cross-industry tech event, taking place from May 21–23, 2025, at Messe Berlin, Germany. Convening over 1,400 exhibiting enterprises, SMEs and startups from 100-plus countries, alongside over 600 investors, and 500 expert speakers across AI, Deep Tech, Quantum, Cybersecurity, Connectivity, Smart Cities, Green Tech, and many more, GITEX EUROPE x Ai Everything is advancing the continent’s digital future in partnership with the world. This inaugural edition features the new SMEDEX, GITEX SCALEX, and GQX, and brings to Germany the world’s largest and best-rated startup and investor event – North Star Europe. GITEX EUROPE x Ai Everything is seamlessly connected with the GITEX network of tech and startup events in Germany, Morocco, Nigeria, Singapore, Thailand, UAE, and Vietnam. For more information, please visit: www.gitex-europe.com

    MIL OSI – Submitted News –

  • MIL-OSI USA: Capito, Colleagues Introduce Bill to Enhance Reentry Programs, Promote Public Safety

    US Senate News:

    Source: United States Senator for West Virginia Shelley Moore Capito
    WASHINGTON, D.C. – Today, U.S. Senators Shelley Moore Capito (R-W.Va.) and Cory Booker (D-N.J.), along with Representatives Carol Miller (R-W.Va.-1) and Danny K. Davis (D-Ill.-7) introduced the Second Chance Reauthorization Act of 2025.
    The legislation would reauthorize critical reentry grant programs from the Second Chance Act of 2008, which was most recently reauthorized during the first Trump administration as part of the First Step Act in 2018, including services and supports for housing, career training, and treatment for substance use disorders and/or mental illness. The legislation would also reauthorize critical programs to reduce recidivism, invest in communities, and promote public safety. 
    “Over 95% of incarcerated people will be released at some point,” Senator Capito said. “The Second Chance Reauthorization Act will help people reentering society get the resources they need to become productive and successful members of their communities. Whether it’s helping them find a job, providing therapy and rehabilitation services for those struggling with addiction, providing faith-based programming to help people turn over a new leaf, or many other services, this legislation will help provide resources to a wide range of programs across the country that have been proven to reduce recidivism rates.”
    “Since 2008, the Second Chance Act has supported programs across the country that provide opportunities to those rebuilding their lives after incarceration. This is why this there has always been bipartisan support for funding for second chance programs – we have seen that these programs work in communities everywhere. In fact, they have helped reduce the three-year rate of recidivism in our country by almost a quarter since its passage,” Senator Booker said. “This bipartisan legislation provides the necessary tools and reentry services that formerly incarcerated individuals need to be successful when they leave prison. Empowering these individuals is not just the right thing to do, it makes our communities safer for us all. And Congress should ensure that every community, red or blue, rural or urban, is able to access these critical grant funds.”
    “Since the Second Chance Act passed in 2008, formerly incarcerated West Virginians reentering our communities have received the vital services and support they needed to return home successfully,” Congresswoman Miller said. “We have seen the benefits of the Second Chance Act in West Virginia and across the country. When we put in place strong reentry programming, we are creating safer communities where individuals feel supported and empowered to break the cycle of recidivism.”
    “Second Chance reentry programs and services have reached hundreds of thousands of individuals and families across the country, creating healthier families and safer communities,” Congressman Davis said. “Continuing to invest in these evidenced-based interventions is a commonsense approach to strengthen individuals, re-build families, and grow our economy.”
    The Second Chance Reauthorization Act of 2025 would: 
    Reauthorize key grant programs that provide vital services, supports, and resources for people reentering their communities after incarceration;
    Expand allowable uses for supportive and transitional housing services for individuals reentering the community from prison and jail; and
    Enhance addiction treatment services for individuals with substance use disorders, including peer recovery services, case management, and overdose prevention.
    Since its passage 16 years ago, Second Chance has supported states, local governments, tribal governments, and nonprofit organizations in their efforts to reduce recidivism. To date, Second Chance grants have reached more than 442,000 justice-involved individuals who participated in reentry services or parole and probation programs. West Virginia has received more than $5 million in funding through Second Chance grants.
    From 2009 to 2024, the U.S. Department of Justice awarded over 1,300 Second Chance Act grants to states, local, and tribal governments, as well as reentry-focused community organizations. Second Chance grants have been administered to 871 agencies across 49 U.S. states, territories, and the District of Columbia.
    The Second Chance Reauthorization Act of 2024 is endorsed by the following organizations: American Correctional Association, American Jail Association, American Parole and Probation Association, Catholic Charities USA, Correctional Leaders Association, Council of State Governments Justice Center, CPAC, Major County Sheriffs of America, National Alliance on Mental Illness, National Association of Counties, National Association of State Alcohol and Drug Abuse Directors, National Association of State Mental Health Program Directors, National District Attorneys Association, National League of Cities, Prison Fellowship, Treatment Alternatives for Safe Communities, and U.S. Chamber of Commerce.
    To read the full text of the bill, click here. 

    MIL OSI USA News –

  • MIL-OSI USA: Welch and Britt’s Bill to Boost Flood Resiliency and Hydrology Research Advances Bill would make permanent the hydrology research center at UVM  

    US Senate News:

    Source: United States Senator Peter Welch (D-Vermont)

    WASHINGTON, D.C. — U.S. Senators Peter Welch (D-Vt.) and Katie Britt (R-Ala.) today celebrated the advancement of the bipartisan Water Research Optimization Act of 2025, legislation to streamline hydrological forecast modeling within the National Weather Service. The Senators’ legislation advanced out of the Senate Committee on Commerce, Science, and Transportation this morning.
    “Investing in hydrology modeling and prediction is crucial to boosting flood resilience across the country, from Vermont to Alabama. That includes supporting important hydrology research and programs at the University of Vermont that improve hydrologic forecasting, such as the Cooperative Institute for Research to Operations in Hydrology,” said Senator Welch. “Our bipartisan bill will strengthen and align current hydrology research at the National Weather Service with vital research at UVM to foster flood resilience and help communities rebuild better after natural disasters. I am thankful for the support of the Commerce Committee and urge my colleagues to support the bill as it comes to the Senate floor.”  
    “I continue to be grateful to Commerce Committee Chair Cruz for his work to advance critical legislation out of committee. I’m also thankful for Senator Welch’s partnership on this important bipartisan bill. The National Water Center has been instrumental to NOAA’s efforts to strengthen America’s water forecasting capabilities, improve weather-preparedness, and modernize water research technologies. The Center’s world-class capabilities truly benefit communities across our entire nation. I’m proud to champion this effort to further enhance this renowned research and applied science, and I’m committed to getting this signed into law,” said Senator Britt. 
    CIROH has evolved into a revolutionary, collaborative hub between the public and private sector for research and development. The Water Research Optimization Act of 2025 would make CIROH’s research center at the University of Vermont (UVM) permanent and align UVM’s hydrology work with the National Weather Service to boost flood resiliency research. 
    “We are grateful to Senators Welch and Britt for their leadership in introducing pivotal legislation to support CIROH. Funding for these efforts allows the University of Vermont to continue vital research on water that impacts the quality of life of Vermonters and communities across the country. We are proud to be able to contribute to this work,” said Kirk Dombrowski, Vice President for Research and Economic Development, University of Vermont. 
    CIROH’s national coalition of academic, industry, and non-profit partners includes the University of Vermont, which functions closely alongside the National Oceanic and Atmospheric Administration’s (NOAA) National Water Center to support stakeholders with hydrological data and important weather-related forecasts and warnings. This legislation would place CIROH Centers under the supervision and oversight of the National Weather Service’s Office of Water Protection and codify the National Water Center’s authority to lead the transition of water resources research.  
    Read and download the full text of the bill. 

    MIL OSI USA News –

  • MIL-OSI: NowVertical Group Reports First Quarter 2025 Financial Results

    Source: GlobeNewswire (MIL-OSI)

    Company Hosting Investor Webinar on Thursday May 22, 2025, at 10:00 AM EST

    • Q1 2025 revenue was $10.4 million, up 23% Y/Y excluding recent divestitures
    • Q1 2025 Income from Operations was $1.5 million, up 1,253% Y/Y excluding recent divestitures
    • Q1 2025 Adjusted EBITDA was $2.5 million, up 119% Y/Y excluding recent divestitures

    TORONTO, May 21, 2025 (GLOBE NEWSWIRE) — NowVertical Group Inc. (TSX-V: NOW) (“NOW” or the “Company”), a leader in AI-driven data solutions, announces financial results for its first fiscal quarter ended March 31, 2025. Unless otherwise specified, all dollar amounts are expressed in U.S. dollars. Management will host an investor webinar at 10:00 AM EST (7:00 AM PST) on Thursday May 22nd, to discuss the Company’s financial and business results.

    Selected Financial Highlights for the Three Months Ended March 31, 2025:

    • Revenue was $10.4 million in the three months ended March 31, 2025 (“Q1 2025”), a 20% decrease from $12.9 million for the three months ending March 31, 2024 (“Q1 2024”). Excluding the disposition of Allegient Defense, Inc. (“Allegient”) on May 24, 2024, Q1 2024 revenue was $8.4 million, translating to a year-over-year growth of 23%.
    • Gross Profit was $5.1 million in Q1 2025, a 15% decrease from $6.0 million in Q1 2024. Excluding the Allegient business, Q1 2024 gross profit was $4.5 million, translating to a year-over year increase of 15%.
    • Administrative Expenses were $3.6 million in Q1 2025, a 38% decrease from $5.8 million in Q1 2024. Excluding the Allegient business, Q1 2024 administrative expenses were $4.6 million, translating to a year-over-year decrease of 22%.
    • Income from Operations was $1.5 million in Q1 2025, a 660% increase from $0.2 million in Q1 2024. Excluding the Allegient business, Q1 2024 had a Loss from Operations of $0.1 million, translating to a year-over-year increase of 1,253%.
    • Adjusted EBITDA was $2.5 million in Q1 2025, a 69% increase from $1.5 million in Q1 2024. Excluding the Allegient business, Adjusted EBITDA was $1.2 million in Q1 2024, translating to a year-over-year increase of 119%.
    • Net Loss was $0.7 million in Q1 2025, a 55% decrease from $1.5 million in Q1 2024. Excluding the Allegient business, Net Loss was $1.9 million in Q1 2024, translating to a year-over-year decrease of 63%.

    “NOW again delivered a strong quarter and continues to demonstrate its transformation into a business defined by consistency, stability, and sustainable performance. Q1 2025 marks our fifth consecutive quarter of continuous growth and operational improvement, underscoring our momentum across the business,” said Sandeep Mendiratta, CEO of NOW. “We delivered Adjusted EBITDA of $2.5 million, representing an EBITDA margin of 24%, in line with our $10 million annual run-rate target. Our 23% year-over-year revenue growth is a direct result of disciplined execution and a sharpened operational focus. We have successfully renegotiated acquisition-related liabilities, unlocking an estimated $5.4 million in cash savings and improving our payment schedules. These efforts have strengthened our balance sheet and position us for sustained organic revenue growth with strong margins across our core markets.”

    Q1 2025 and Subsequent Business Highlights:

    • May 13, 2025: Announced that the company was named Qlik Latin America Channel Growth Partner of the Year 2024. The award highlights NOW’s ability to scale customer impact and accelerate business value.
    • May 08, 2025:  Announced its UK operations have been recognised as a Google Cloud Premier Partner, the highest designation within the Google Cloud Partner Advantage programme.
    • April 22, 2025: The company announced that further to its news release on March 10, 2025, it has settled aggregate of CAD$35,220.62 representing the net amount of certain bonus entitlements owing to certain employees through the issuance of an aggregate of 93,917 Class A Subordinate voting shares in the capital of the Company
    • April 17, 2025: NOW announced the launch of its flagship Data Catalyst Solution on the Microsoft Azure Marketplace, reinforcing the Company’s strategic positioning at the intersection of enterprise AI, data infrastructure modernisation, and Microsoft ecosystem expansion.
    • April 14, 2025: The company announced that it will be presenting at the Planet MicroCap Showcase: VEGAS 2025 in partnership with MicroCapClub.
    • April 08, 2025: Announced that it has received the 2025 Google Cloud Data & Analytics Partner of the Year award for Latin America.
    • April 01, 2025: NOW announced its 2024 record financial results.

    Q1 2025 Financial Results Investor Webinar:

    The Company invites shareholders, analysts, investors, media representatives, and other stakeholders to attend our upcoming webinar. Management will discuss Q1 2025 results, followed by a question-and-answer session.

    Investor Webinar Registration:

    Time: Thursday, May 22, 2025, 10:00 AM in Eastern Time (US and Canada)

    Registration Link: 
    https://us02web.zoom.us/webinar/register/WN_81iVl2rzQrS7E0lJ7xjlPA

    A recording of the webinar and supporting materials will be made available in the investor’s section of the Company’s website at https://www.nowvertical.com/news-and-media.

    Additional Information:

    The Company’s first quarter 2025 condensed consolidated interim financial statements, notes to financial statements, and management’s discussion and analysis for the three ended March 31, 2025, are available on the Company’s SEDAR+ profile at www.sedarplus.com. Unless otherwise indicated, all references to “$” in this press release refer to US dollars, and all references to “CAD$” in this press release refer to Canadian dollars.

    About NowVertical Group Inc.

    The Company is a data analytics and AI solutions company offering comprehensive solutions, software and services. As a global provider, we deliver cutting-edge data, technology, and artificial intelligence (AI) applications to private and public enterprises. Our solutions form the bedrock of modern enterprises, converting data investments into business solutions. NOW is growing organically and through strategic acquisitions. For further details about NOW, please visit www.nowvertical.com.

    Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

    For further information, please contact:

    Andre Garber, CDO 
    IR@nowvertical.com 
    +1(647)947-0223 

    Investor Relations:  
    Bristol Capital Ltd.
    Stefan Eftychiou
    stefan@bristolir.com
    +1(905)326-1888 x60 

    Cautionary Note Regarding Non-IFRS Measures:

    This news release refers to certain non-IFRS measures. These measures are not recognized measures under IFRS, do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these measures are provided as additional information to complement those IFRS measures by providing further understanding of the Company’s results of operations from management’s perspective. The Company’s definitions of non-IFRS measures used in this news release may not be the same as the definitions for such measures used by other companies in their reporting. Non-IFRS measures have limitations as analytical tools and should not be considered in isolation nor as a substitute for analysis of the Company’s financial information reported under IFRS. The Company uses non IFRS financial measures including “EBITDA”, and “Adjusted EBITDA”. These non-IFRS measures are used to provide investors with supplemental measures of our operating performance and to eliminate items that have less bearing on our operational performance or operating conditions and thus highlight trends in our core business that may not otherwise be apparent when relying solely on IFRS measures. The Company believes that securities analysts, investors and other interested parties frequently use non-IFRS financial measures in the evaluation of issuers. The Company’s management also uses non-IFRS financial measures to facilitate operating performance comparisons from period to period and prepare annual budgets and forecasts.

    Non-IFRS Measures:

    The non-IFRS financial measures referred to in this news release are defined below. The management discussion and analysis for the three months ended March 31, 2025, available at nowvertical.com and on SEDAR+ at www.sedarplus.com contains supporting calculations for Adjusted Revenue, EBITDA % and Adjusted EBITDA

    “Adjusted EBITDA” adjusts net income (loss) before depreciation and amortization expenses, net interest costs, and provision for income taxes for revenue adjustments in “Adjusted Revenue” and items such as acquisition accounting adjustments, transaction expenses related to acquisitions, transactional gains or losses on assets, asset impairment charges, non-recurring expense items, non-cash stock compensation costs, and the full year impact of cost synergies related to restructuring activities, such as a reduction of employees.

    “EBITDA %” is defined as Adjusted EBITDA as a percentage of Adjusted Revenue.

    “Adjusted Revenue” adjusts revenue to eliminate the effects of acquisition accounting on the Company’s revenues, which predominantly pertain to fair market value adjustments to the opening deferred revenue balances of acquired companies.

    Cautionary note regarding Forward-Looking Statements

    This news release may contain forward-looking statements and forward-looking information (within the meaning of applicable securities laws) which reflect the Company’s current expectations regarding future events. All statements in this news release that are not purely historical statements of fact are forward-looking statements and include statements regarding beliefs, plans, expectations, future, strategy, objectives, goals and targets. Although the Company believes that such statements are reasonable and reflect expectations of future developments and other factors which management believes to be reasonable and relevant, the Company can give no assurance that such expectations will prove to be correct. Forward-looking statements can generally be identified by the use of forward-looking words such as “may”, “should”, “will”, “could”, “intend”, “estimate”, “plan”, “anticipate”, “expect”, “believe” or “continue”, or the negative thereof or similar variations. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause future results, performance, or achievements to be materially different from the estimated future results, performance or achievements expressed or implied by the forward-looking statements. Forward-looking statements are not guarantees of future performance and undue reliance should not be placed thereon, as unknown or unpredictable factors could have material adverse effects on future results, performance or achievements of the Company. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected.

    All of the forward-looking statement contained in this press release are qualified by the foregoing cautionary statements, and there can be no guarantee that the results or developments that we anticipate will be realized or, even if substantially realized, that they will have the expected consequences or effects on our business, financial condition or results of operation. Unless otherwise noted or the context otherwise indicates, the forward -looking statements contained herein are provided as of the date hereof, and the Company does not intend, and does not assume any obligation, to update the forward-looking statements except as otherwise required by applicable law.

    The MIL Network –

  • MIL-OSI Canada: Construction begins on student housing at SFU, more child care on the way

    Source: Government of Canada regional news

    Students, staff and the surrounding community are one step closer to more on-campus supports at Simon Fraser University (SFU) – Burnaby as construction starts on a new student residence and will begin later this year on a new child care facility.  

    “A safe and secure place to live and conveniently located child care can be transformative for students and parents working or studying on campus,” said Bowinn Ma, Minister of Infrastructure. “These new facilities will provide shorter commute times, allow students to focus on their studies and help ease pressure on the local rental market.  Projects like this are one way we are investing in infrastructure that supports people in B.C.”

    The new eight-storey residence will provide an additional 445 beds for students at the Burnaby campus. It will include a mix of studio and four-bedroom apartments, as well as two- and four-bedroom townhouses. Construction is expected to start in fall 2025 on a stand-alone child care centre, which will add 160 new child care spaces to more than 410 existing spaces in the Burnaby campus and at SFU’s Sapperton location. With these new spaces, more than 570 child care spaces will provide support to the SFU community.

    Once complete, the residence will bring the total number of student beds on the SFU Burnaby campus to more than 3,000.  

    “I have met with many students at post-secondary campuses in B.C., and access to housing and child care are big factors when deciding if they can afford to build a better life for themselves,” said Anne Kang, Minister of Post-Secondary Education and Future Skills. “Since 2018, our government has made historic investments in student housing, making it easier for thousands of students across the province to gain the skills they need to fill the in-demand jobs our economy needs.”

    Construction is expected to be completed on the student-housing residence and child care facility in fall 2027. The total capital cost of the project is $196.6 million, shared between the Province and SFU.

    This project is Phase 3 of SFU’s ongoing student-housing expansion. Phases 1 and 2 added a combined 856 new beds for students, with funding for Phase 2 provided by the Province.

    “Watching the Phase 3 site come to life has reinforced how vital new student housing is for our community,” said Ali Asgar Abdul Udaipurwala, a fourth-year undergraduate student at SFU’s Beedie School of Business, who lives in residence at the Burnaby campus. “As a community adviser and area co-ordinator, I have loved planning late-night events, movie nights and study breaks in our halls. I am excited for Phase 3 to become our next home away from home.”

    Since 2018, the government has committed $2 billion to expand on-campus student housing at public post-secondary institutions throughout B.C. To date, 6,100 beds for students are open, with another 4,600 underway.

    Since 2018, ChildCareBC’s space-creation programs have helped fund the creation of more than 40,900 new licensed child care spaces in B.C., with more than 24,900 of those operational. This child care project received $16 million through the ChildCareBC New Spaces Fund, which is jointly supported by provincial investments and federal funding provided under the 2021-22 to 2025-26 Canada-British Columbia Canada-wide Early Learning and Child Care Agreement. British Columbia and the federal government signed an extension to the agreement for 2026-27 to 2030-31.

    Quotes:

    Joy Johnson, president, Simon Fraser University –

    “We are grateful for the Province’s continued investment in student housing and child care across the province. I look forward to continued growth of SFU’s resident student community on Burnaby Mountain and to continued partnership with the provincial government as we move forward. The post-secondary sector is united in our efforts to support British Columbians in tackling shared challenges, from housing to health care and beyond, as we make a difference for students and for communities across B.C.”

    Rohini Arora, parliamentary secretary for child care, and MLA for Burnaby East –

    “Creating 160 new child care spaces on SFU campus, where hard-working students, families and single parents can easily access the care they need, is one of the ways we are helping Burnaby get ahead. By ensuring parents, especially mothers, can access high-quality child care in Burnaby while attending higher education or working, we are setting both this generation and the next up for success.”

    Learn More:

    For more information about Simon Fraser University, visit: https://www.sfu.ca/

    MIL OSI Canada News –

  • MIL-OSI USA: Durbin Delivers Opening Statement During Senate Judiciary Committee Nominations Hearing On Four Executive. Branch Nominees

    US Senate News:

    Source: United States Senator for Illinois Dick Durbin
    May 21, 2025
    WASHINGTON – U.S. Senate Democratic Whip Dick Durbin (D-IL), Ranking Member of the Senate Judiciary Committee, today delivered an opening statement during a Senate Judiciary Committee hearing on the nominations of Joseph Edlow, to be Director of United States Citizenship and Immigration Services (USCIS); Elliot Gaiser, to be Assistant Attorney General for the Office of Legal Counsel (OLC); John Squires, to be Under Secretary of Commerce for Intellectual Property and Director of the United States Patent and Trademark Office (USPTO); and Stanley Woodward, to be Associate Attorney General. Durbin’s opening statement focused on whether the nominees’ allegiance is to the President or to the rule of law.
    Key Quotes:
    “Earlier this year, I asked Justice Department nominees a simple question: may a public official defy a court order? Shockingly, the nominees, including the future Solicitor General John Sauer, refused to give an unequivocal answer. Just days ago, Mr. Sauer repeated this egregious error before the Supreme Court. During arguments in the case challenging the President’s illegal birthright citizenship executive order, Justice Barrett, …a Trump nominee, asked Mr. Sauer if the Administration would follow circuit court rulings. Mr. Sauer responded that the federal government’s policy is to ‘generally respect circuit precedent but not necessarily in every case.’ As our colleague Senator Kennedy said earlier this year, ‘don’t ever, ever, take the position that you’re not going to follow the order of a federal court. Ever.’”
    “Mr. Gaiser has been nominated to lead the Office of Legal Counsel, which provides legal advice to the President and all executive branch agencies. I want to hear whether he believes that the policy of the federal government [should be] to ignore court rulings that don’t suit the President’s whims.”
    “Beyond unlawfully attempting to end birthright citizenship, which is enshrined in the Constitution, the Administration has made it harder for legal immigrants to apply for citizenship and naturalize. This Administration has made it harder for Dreamers, who want to do the right thing. Now these were kids who were brought to the United States by their parents… They want to apply for programs like DACA so that they can receive work permits and continue to contribute to the American economy. I am disappointed to hear that Mr. Edlow, nominated to lead USCIS, opposes DACA, when even President Trump claims that he doesn’t want to deport Dreamers. Despite his personal opinions, I want to hear how Mr. Edlow will ensure that USCIS will promptly process DACA applications of eligible Dreamers.”
    “In the name of carrying out Trump’s mass deportation agenda, Attorney General Bondi has made DOJ a shell of itself. Thousands of federal law enforcement agents have been diverted from preventing drug trafficking and violent crime to deporting immigrants who pose no threat to our safety. Mr. Woodward, nominated to be the number three official at the Justice Department, would oversee Justice Department grantmaking, the Civil Rights Division, and many other components that are now under attack.”
    “The Justice Department, at the direction of DOGE, took their chainsaw to hundreds of millions of dollars in federal grants to support public safety and our police. Programs supporting violence reduction, victims’ services, child protection, and substance use and mental health treatment have been gutted… For nearly 70 years, under Republican and Democratic Administrations alike, the Civil Rights Division protected the civil and constitutional rights of all Americans. Once known as the ‘crown jewel’ of the Justice Department, it has now been reduced to litigating a narrow set of cases aligned with the MAGA agenda. This is anathema to how this Division has operated historically.”
    “I want to hear from Mr. Woodward whether the Justice Department will continue to capitulate or if he will help restore the Justice Department to its intended function—to protect the safety and rights of all Americans.”
    Video of Durbin’s opening statement is available here.
    Audio of Durbin’s opening statement is available here.
    Footage of Durbin’s opening statement is available here for TV Stations.
    -30-

    MIL OSI USA News –

  • MIL-Evening Report: E-bikes for everyone: 3 NZ trials show people will make the switch – with the right support

    Source: The Conversation (Au and NZ) – By Caroline Shaw, Associate Professor in Public Health, University of Otago

    Getty Images

    Anyone who uses city roads will know e-bikes have become increasingly popular in Aotearoa New Zealand. But we also know rising e-bike sales have been predominantly driven by financially well-off households.

    The question now is, can e-biking be accepted and embraced by people and communities where it is currently not happening? Three pilot programmes from around the country have now given us cause for optimism.

    Understanding more about the barriers to e-bike access – especially in communities with low cycling levels or where income levels mean bikes are prohibitively expensive – has been one of the main gaps in our knowledge.

    But over the past few years, we have been involved in projects designed to examine how e-bikes might work in such places. The three pilots were based in Mangere (South Auckland), Wainuiomata (Lower Hutt) and Sydenham (Christchurch).

    These are all areas or communities with lower relative incomes and lower levels of cycling. The majority of individuals involved did not routinely cycle, and some hadn’t been on a bike for decades.

    In all three pilots, the results were positive. In some cases, participants reported long-term, life-changing benefits.

    What the pilot schemes showed

    Each pilot was different. The Mangere programme loaned e-bikes to people for two to three months between 2022 and 2023 through a community bikehub. The Wainuiomata programme involved a longer loan period of one year over 2023, and was run through a health provider at a local marae.

    The Christchurch programme, which ran between 2021 and 2024, was a free e-bike share scheme for tenants in a specific social housing complex, organised through a partnership with a shared e-bike provider.

    Where needed, participants in all pilots were supported as they gained riding confidence and knowledge of safe cycling routes.

    Participants in all the pilot programmes found e-biking acceptable, and they used and enjoyed the bikes. While these pilots were not set up to measure distance travelled, we know from other research that participants in e-bike access schemes ride on average 5km per day, half of which replaces car trips.

    Individuals reported practical benefits such as being able to travel to their jobs, mental and physical health improvements, and not having to pay for petrol each week.

    In the Wainuiomata pilot there were wider ripple effects, with participants reporting whānau members also started cycling as a result of the loan scheme. In one case, ten members of the wider whānau got involved.

    Good cycling infrastructure will encourage e-bike uptake.
    Getty Images

    3 policy actions needed now

    These results mirror what we know already about how e-bikes can improve physical and mental health, reduce transport greenhouse gas emissions, and make cities nicer places by reducing car use.

    Compared to conventional bikes, e-bikes also allow people to bike further and in hillier places. They are also great for groups with traditionally lower levels of cycling, such as people with health conditions, disabilities, older people and women.

    It also seems concerns about increased rates of injury may be less significant than initially thought. Overall, the broad benefits of e-bikes have seen hundreds of access schemes developed globally, including many in New Zealand.

    Combining international evidence and experience with the information from the three local pilot programmes, we see three main policy areas that will increase e-bike uptake and use in New Zealand.

    1. Physical infrastructure: this is needed to support cycling in all our cities and larger towns, and would involve a combination of cycle lanes and low-traffic neighbourhoods, alongside expanded bike parking and storage.

    The Climate Change Commission has recommended these networks be constructed, and experience from Wellington shows rapid construction is possible.

    2. Targeted access schemes: these help people who can’t afford e-bikes. Without targeting, such schemes tend to be mainly used by the well-off. It’s likely we will need a range of options, such as short-term and long-term low-cost (or free) loans, rent-to-buy schemes or subsidies.

    People should be able to access these schemes through a variety of organisations so as to target different motivations: saving money, improving health, commuting for work, ferrying children, environmental concern.

    3. Local organisation networks: these support individuals and communities to access bikes, maintain them, provide rider training, run bike libraries, route finding and community events to support and encourage people to ride.

    This wider support was a key factor to the success of the all pilots. Local organisations, champions and leaders are essential to help overcome some of the practical and cultural barriers that exist because we have such low levels of cycling.

    Change is achievable

    What we have outlined constitutes a different way of doing business for the transport sector. But there are already organisations doing a lot of this work, including bike hubs and cycling community organisations.

    Others have infrastructure in place that could expand to encompass e-bike programmes, such as marae and community health centres. What is needed is a commitment to support these activities as part of core transport business policy.

    We don’t need to wait for more research. The three things required – building infrastructure, increasing access and providing support programmes – are all understood and achievable.

    E-bikes can and should play an important role in expanding New Zealand’s transport options and improving the wellbeing of its people.

    Caroline Shaw receives funding from the Health Research Council of New Zealand, University of Otago and Waka Kotahi/New Zealand Transport Agency.

    Karen Witten receives funding from the Health Research Council of NZ, Ministry of Business Innovation & Employment,
    Waka Kotahi/NZTA and Auckland Council.

    Simon Kingham receives funding from Ministry of Business Innovation & Employment.

    – ref. E-bikes for everyone: 3 NZ trials show people will make the switch – with the right support – https://theconversation.com/e-bikes-for-everyone-3-nz-trials-show-people-will-make-the-switch-with-the-right-support-255956

    MIL OSI Analysis – EveningReport.nz –

  • MIL-OSI: Best Same Day Payday Loans for Quick Cash in 2025: MoneyMutual Picked as the Top Pick for Guaranteed Approval

    Source: GlobeNewswire (MIL-OSI)

    Las Vegas, NV, May 21, 2025 (GLOBE NEWSWIRE) —

    In today’s unpredictable economy, financial emergencies rarely come with a warning. A sudden car repair, medical bill, or missed paycheck can send even the most prepared households into a scramble. In such moments, speed isn’t just convenient, it’s essential.

    As Americans increasingly turn to fast, flexible lending options, the demand for same-day payday loans has surged. Just as we expect rapid food delivery and real-time updates, financial solutions must also keep pace. Consumers want cash in hand, not tomorrow, but today.

    Amid a crowded field of lenders and brokers, MoneyMutual has emerged as the leading online platform connecting borrowers with trusted same-day payday loan providers. Recognized for its efficiency, wide lender network, and secure process, MoneyMutual stands out as the top choice for those seeking fast financial relief in a pinch.

    Stay with us as we take a closer look at how MoneyMutual works and why it’s become the go-to resource for same-day lending solutions in 2025.

    >> Consider MoneyMutual for Same Payday Loans >>

    Overview of the Leading Same Day Payday Loan Connection Service – MoneyMutual

    When time is of the essence and financial relief can’t wait, MoneyMutual stands at the forefront of same-day payday loan connection services. With a reputation built on speed, simplicity, and trust, the platform offers a fast and accessible route for borrowers seeking immediate financial support.

    Speed of Potential Funding: One of MoneyMutual’s standout features is its ability to facilitate rapid access to funds, often as soon as the same business day. After submitting a short application, borrowers are swiftly connected with a lender from the platform’s expansive network. If approved, funds can be deposited directly into the applicant’s bank account within hours, depending on the lender’s processing times and bank policies.
    Extensive Lender Network: MoneyMutual doesn’t issue loans directly. Instead, it acts as a trusted intermediary, linking users to an array of verified online payday lenders. This expansive network increases the chances of loan approval by matching borrower needs with the criteria of various lending partners.

    >> Visit MoneyMutual to Find Out More >>

    Key Evaluation Factors

    To determine why MoneyMutual stands out among same-day payday loan connection services, several key factors were assessed, from lender quality to user experience.

    Quality and Size of Lender Network
    MoneyMutual partners with over 60 lenders, ranging from specialized payday providers to short-term installment loan companies. These are vetted for reliability and compliance, offering borrowers a better shot at finding a match tailored to their financial situation.

    Accessibility of Loan Options
    The platform supports a broad range of loan amounts, typically between $100 and $5,000, depending on individual lender terms and borrower qualifications. This flexibility accommodates everything from small emergencies to more urgent, moderate expenses.

    Potential for Rapid Funding
    Once connected with a lender, borrowers may receive funds as quickly as within 24 hours, and in some cases, the same day. This makes MoneyMutual a highly attractive option for those facing time-sensitive financial stressors.

    Platform Usability
    The MoneyMutual website is designed for ease and efficiency, featuring mobile compatibility and streamlined navigation. Borrowers can apply, review offers, and connect with lenders all within minutes.

    Simple Application Process
    Filling out MoneyMutual’s secure online form typically takes under five minutes. Applicants provide basic information about their income, employment status, and banking details. Once submitted, the platform immediately begins matching them with potential lenders.

    Features for Borrowers
    MoneyMutual allows users to compare loan offers from multiple lenders in one place. This increases transparency and empowers users to select the option that best meets their needs.

    Transparency of Lender Terms
    While MoneyMutual itself doesn’t dictate terms, it emphasizes partnerships with lenders that clearly disclose loan amounts, repayment dates, APRs, and fees, a crucial feature in helping borrowers make informed decisions.

    Ease of Navigation
    The website features a clean, modern interface with clear calls-to-action and informative content. Even first-time users will find it intuitive to use on desktop or mobile.

    Typical Loan Parameters
    Loan amounts facilitated through MoneyMutual generally range from $100 to $5,000, with repayment periods often between 14 and 30 days, depending on the lender and state regulations. Some lenders may offer extended terms for installment loans.

    >> Consider MoneyMutual for Same Payday Loans >>

    Pros and Cons of MoneyMutual for Same Day Payday Loans

    In a financial climate where speed often matters most, MoneyMutual has emerged as a go-to marketplace for borrowers seeking same day payday loans. But how does it really stack up? We take a closer look at the platform’s key advantages and potential drawbacks as more Americans turn to short-term lending for emergency expenses.

    Pros:

    • Potential for Fast Fund Access: Many users report receiving funds as soon as the next business day, sometimes even within hours, depending on the lender.
    • Large Network of Participating Lenders: MoneyMutual connects users with a broad pool of lenders, increasing the chances of finding a match, even with less-than-perfect credit.
    • Streamlined Online Application Process: The initial form takes just minutes to complete, making it ideal for time-sensitive borrowing needs.
    • User-Friendly Online Platform: The website is simple to navigate, guiding applicants from inquiry to lender match with minimal friction.
    • Opportunity to Compare Multiple Loan Offers: Users can review different offers and select terms that best align with their needs before committing.

    Cons:

    • MoneyMutual Is Not a Direct Lender: The platform acts as a facilitator, meaning users must evaluate and finalize terms with third-party lenders independently.
    • Loan Terms and Interest Rates Vary by Lender: APRs, repayment windows, and fees differ widely, and borrowers must scrutinize each offer carefully.
    • Payday Loans Typically Involve High Interest Rates and Fees: Even when fast cash is needed, these loans can become costly, especially if rolled over or extended.

    How to Utilize MoneyMutual for Potential Same Day Payday Loans

    As financial pressures grow for millions of Americans, platforms like MoneyMutual are seeing increased usage from borrowers in need of quick cash. Here’s how consumers can navigate the service to potentially access same day payday loans.

    Step-by-Step Process:

    • Visit the Official MoneyMutual Website: Begin by going to MoneyMutual.com, where users can start the loan inquiry process directly from the homepage.
    • Complete the Secure Online Application Form: Applicants are asked to enter basic personal and financial information. The form typically takes just a few minutes and is encrypted to protect sensitive data.
    • Review Loan Offers from Lenders in the Network: Once submitted, the system distributes the application to a network of participating payday lenders. Eligible borrowers may receive multiple offers to compare.
    • Examine Terms and Conditions Carefully Before Accepting: Each lender sets its own rates, fees, and repayment requirements. Experts caution that borrowers should read all terms closely and ensure they understand the total repayment cost before agreeing to any loan.

    With no obligation to accept an offer, MoneyMutual serves as a free intermediary rather than a direct lender. However, borrowers should be aware of state-specific payday loan regulations and consider all financial alternatives before proceeding.

    Types of Short-Term Financial Assistance Facilitated by MoneyMutual

    As rising costs and inflation strain household budgets, Americans are increasingly turning to alternative lending platforms for fast, flexible cash solutions. Among them, MoneyMutual has gained traction as a major online marketplace that connects borrowers with lenders offering a variety of short-term financial products. While the platform itself isn’t a direct lender, it facilitates access to multiple loan types tailored for immediate financial relief.

    Here’s a closer look at the key types of loans available through the MoneyMutual network:

    • Payday Loans: These are brief, high-cost loans intended to cover expenses until the borrower’s next paycheck. Loan amounts are typically small, often between $100 and $1,000, but carry high interest rates and fees. While controversial due to their cost, payday loans remain a common solution for those facing sudden emergencies like utility shutoff notices or medical expenses.
    • Short-Term Loans: This broader category includes installment loans and other forms of lending with short durations, usually ranging from a few weeks to several months. These loans may offer slightly more favorable repayment terms than traditional payday loans and can be used for a variety of needs, such as auto repairs, rent payments, or temporary income disruptions.
    • Bad Credit Loans: For borrowers with low credit scores or limited credit history, MoneyMutual helps facilitate access to lenders willing to work with higher-risk applicants. These loans come with elevated interest rates but offer a vital financial lifeline to consumers often excluded from traditional banking systems.
    • Cash Advances: Cash advances are designed for rapid disbursement, sometimes within 24 hours, and are ideal for extremely time-sensitive expenses. Typically repaid from the borrower’s next paycheck, these loans are often used to bridge the gap between pay periods or when an unexpected cost arises.

    While these financial products can offer short-term relief, experts caution they should be used carefully. Borrowers are urged to read loan terms closely, understand all associated fees, and assess whether repayment timelines align with their income schedule. Platforms like MoneyMutual may provide access, but financial responsibility lies squarely with the borrower.

    Customer Support and Resources Offered by MoneyMutual

    As more consumers turn to online lending marketplaces for fast financial relief, support and transparency have become increasingly important. MoneyMutual offers a basic but functional support system designed to guide users through the lending process.

    Unlike direct lenders, MoneyMutual serves as an intermediary, connecting users with its network of more than 60 short-term lenders. Because of this, its customer support doesn’t extend to loan management or repayment issues, which must be handled directly with the individual lender. However, the platform does provide users with access to key resources that help clarify how the loan matching process works.

    The company maintains a comprehensive FAQ section on its website, offering clear answers to common questions about eligibility, the loan request process, credit requirements, and fund disbursement. The site also outlines what borrowers can expect after being matched with a lender and encourages users to review terms carefully before signing any agreement.

    The platform doesn’t offer live chat or in-depth financial education tools, it emphasizes its role as a free service to connect borrowers with loan offers, placing the responsibility of further communication and decision-making on the user.

    Potential Disbursement Methods Through MoneyMutual’s Network

    As more consumers turn to online lending platforms for fast financial relief, how those funds are delivered becomes just as critical as loan approval itself. MoneyMutual, one of the most recognized payday loan marketplaces, connects borrowers with a wide range of lenders, each offering different methods of disbursing funds.

    • Direct Deposit to Bank Account: The most widely used and efficient method among lenders in the MoneyMutual network is direct deposit. Once approved, borrowers may receive funds directly into their checking account, often within 24 hours. For many facing urgent expenses, this speed and convenience are a significant advantage.
    • Other Methods (Varies by Lender): While direct deposit remains the standard, some lenders may offer alternative electronic disbursement options, such as ACH transfers or prepaid debit card funding. However, availability can vary by lender and borrower location, and these alternatives may affect how quickly funds are accessible.

    Borrowers using MoneyMutual should confirm disbursement methods and timelines directly with their matched lender to ensure there are no delays in accessing their funds.

    Navigating Same Day Payday Loans Responsibly: Important Cautions

    Same day payday loans can serve as a financial lifeline in moments of crisis, but they must be approached with caution. The high interest rates, short repayment terms, and risk of repeat borrowing make them a risky option for most consumers. 

    By understanding the costs, reading loan terms carefully, and seeking alternative financial solutions where possible, borrowers can protect themselves from unnecessary financial hardship. Responsible borrowing begins with informed decision-making, and when in doubt, seeking professional financial guidance is always a wise move.

    Understand the High Costs
    Same day payday loans may provide fast funds, but they are among the most expensive forms of borrowing available. These loans typically carry high interest rates, with annual percentage rates (APRs) that can reach or exceed 300%. 

    In many cases, the fees and interest owed may be nearly as much as the original loan amount. For example, borrowing $300 could cause repaying $375 or more in just two weeks. Without a clear repayment strategy, the costs can escalate quickly, especially if the borrower is forced to extend or roll over the loan.

    Review Loan Terms Carefully
    Payday loans are legally required to disclose all terms and fees, but borrowers often overlook the fine print. Each lender may have different repayment policies, fees for late or missed payments, or clauses that allow for automatic withdrawal from a borrower’s checking account. 

    Carefully reviewing these terms before accepting a loan is essential. Understanding the total repayment amount, due date, and what happens if repayment is delayed can help prevent surprises and avoid spiraling fees.

    Borrow Only What You Can Repay
    It may tempt you to borrow the maximum amount offered, especially when facing financial stress. However, payday loans are due in full within a short timeframe, usually on your next payday. Borrowing more than you can reasonably afford to repay can quickly result in bounced payments, overdraft fees, or the need to take out additional loans.

    A good rule of thumb is to borrow the minimum amount needed and ensure that full repayment can be made from your next paycheck without jeopardizing other essential expenses.

    Be Aware of Short Repayment Periods
    Unlike personal loans or credit cards that allow for flexible monthly payments, payday loans are typically due in a lump sum within 14 to 30 days. This compressed repayment window can strain already tight budgets.

    Missing the repayment deadline can trigger additional fees and result in a cycle of borrowing and debt accumulation. Many borrowers find themselves having to take out new payday loans just to cover the previous ones, further increasing financial stress.

    Consider Alternatives First
    Before committing to a payday loan, it’s worth exploring other, less expensive borrowing options. Credit unions often offer Payday Alternative Loans (PALs), which feature lower interest rates and longer repayment periods. Some banks provide small-dollar personal loans with predictable terms. 

    Other alternatives include negotiating payment plans with utility companies, seeking temporary hardship assistance from local nonprofits, or utilizing buy now, pay later services for specific purchases. These alternatives may not offer instant cash, but they typically come with fewer long-term risks and better repayment flexibility.

    Recognize the Risk of Debt Traps
    One of the most concerning aspects of payday loans is the potential for borrowers to fall into a debt trap. Many payday loan users find themselves unable to repay the full balance on time and must take out another loan to cover the previous one. This cycle of borrowing and repayment often continues for months, with fees compounding at every step. 

    Over time, a small loan can grow into a major debt burden, affecting a borrower’s ability to meet other financial obligations and damaging their overall financial stability.

    Seek Financial Advice if Needed
    For those considering payday loans or currently struggling with repayment, seeking help from a financial advisor or credit counselor can be a valuable step. Nonprofit credit counseling agencies offer free or low-cost services that include budgeting support, debt management plans, and guidance on safer borrowing options. 

    Some states and local governments also provide financial education programs to help consumers better understand loan terms and credit usage. Accessing these resources can provide long-term financial strategies that reduce reliance on high-cost, short-term loans.

    Frequently Asked Questions

    If you’re considering a same-day payday loan, it’s important to understand exactly how these loans work, what they cost, and what to expect from the process. Below are answers to the most common questions borrowers ask before applying.

    What Is a Same-Day Payday Loan?
    A same-day payday loan is a short-term, high-interest loan designed to give borrowers quick access to cash, usually on the same day they apply. These loans are used to cover urgent expenses such as medical bills, car repairs, or unexpected utility payments. The loan amount is usually small (often between $100 and $1,000) and must be repaid in full on your next payday, usually within two to four weeks.

    How Quickly Can I Get the Money?
    If approved, many lenders can deposit funds into your bank account within a few hours or by the end of the business day. However, actual timing depends on when you apply, the lender’s processing speed, and your bank’s deposit policies. Some lenders offer instant funding or same-day direct deposit if applications are submitted early in the day, while others may require overnight processing.

    Do I Need Good Credit to Get a Same-Day Payday Loan?
    No, same-day payday loans are generally accessible to borrowers with poor credit or no credit history at all. Most lenders don’t perform hard credit checks and instead focus on your income, employment status, and ability to repay the loan. Proof of a steady income, a valid ID, and an active checking account are typically the main requirements for approval.

    What Are the Costs Associated With Same-Day Payday Loans?
    Same-day payday loans can be very expensive. While the fees may seem modest upfront, the annual percentage rates (APRs) can reach 300% or more. For example, a $300 loan with a $45 fee for two weeks equates to a 391% APR. Failing to repay the loan on time can lead to additional fees, interest, and in some cases, collection activity. Always review the full cost of borrowing before committing.

    Can I Extend or Roll Over My Payday Loan If I Can’t Repay It on Time?
    Some lenders may offer extensions or rollovers, which allow you to delay repayment by paying an additional fee. However, this often leads to a cycle of debt, as the interest continues to accrue. Rolling over a loan once or multiple times can double or even triple your repayment obligation. If you’re struggling to repay, it’s best to contact the lender early and explore options, or seek help from a nonprofit credit counselor to avoid escalating costs.

    Editorial Note
    This article is provided solely for informational and entertainment purposes. Nothing within should be interpreted as legal, financial, or professional advice. Readers should carry out their own research before participating in payday loans.

    Affiliate Transparency
    This article may include affiliate links. If you click on a link and make a purchase or register, a commission may be earned, at no extra cost to you.

    Syndication and Liability Disclaimer
    Any third-party publishers, media platforms, or syndication partners that republish this content do so understanding that it’s meant for informational purposes only. These entities aren’t responsible for the legality, relevance, or interpretation of the material.

    Contact

    • Company: MoneyMutual
    • Address: 2510 E. Sunset Rd. Ste 6, #85 Las Vegas NV, 89120
    • Email: customerservice@moneymutual.com
    • Phone Support: 844-276-2063

    Attachment

    The MIL Network –

  • MIL-OSI: F&M Bank Promotes Eric D. Faust to Executive Vice President

    Source: GlobeNewswire (MIL-OSI)

    ARCHBOLD, Ohio, May 21, 2025 (GLOBE NEWSWIRE) — F&M Bank (“F&M”), an Archbold, Ohio-based bank owned by Farmers & Merchants Bancorp, Inc. (Nasdaq: FMAO), is proud to announce the promotion of Eric D. Faust to Executive Vice President. Faust has served as the bank’s Chief Risk Officer since 2022, where he has led significant advancements in enterprise risk and regulatory compliance.

    In his role, Mr. Faust has successfully built F&M’s comprehensive risk and compliance team, integrated regulatory compliance more deeply into strategic decision-making, and enhanced the bank’s oversight structures. His efforts have helped ensure F&M continues to meet evolving regulatory expectations while maintaining a strong foundation for safe and sound growth.

    Prior to joining F&M, Mr. Faust served as First Vice President and Director of Risk Management at Northstar Financial Group in Wyoming, Michigan. He also held the position of Examination Manager for the State of Michigan’s Department of Insurance and Financial Services. He holds an MBA from Davenport University and a Bachelor of Science in Business Administration from Central Michigan University.

    “Eric’s promotion to Executive Vice President is a testament to his leadership and deep understanding of risk and compliance in today’s banking environment,” said Lars Eller, President and CEO of F&M. “He has played a vital role in strengthening our risk culture and ensuring we remain responsive and resilient in a highly regulated landscape.”

    Mr. Faust resides in Grand Rapids, Michigan, and will continue to lead F&M’s risk and compliance efforts in his expanded role.

    About F&M Bank:
    F&M Bank is a local independent community bank that has been serving its communities since 1897. F&M Bank provides commercial banking, retail banking and other financial services. Our locations are in Butler, Champaign, Fulton, Defiance, Hancock, Henry, Lucas, Shelby, Williams, and Wood counties in Ohio. In Northeast Indiana, we have offices located in Adams, Allen, DeKalb, Jay, Steuben and Wells counties. The Michigan footprint includes Oakland County, and we have Loan Production Offices in Troy, Michigan; Muncie, Indiana; and Perrysburg and Bryan, Ohio.

    Safe harbor statement
    Private Securities Litigation Reform Act of 1995. Statements by F&M, including management’s expectations and comments, may not be based on historical facts and are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21B of the Securities Exchange Act of 1934, as amended. Actual results could vary materially depending on risks and uncertainties inherent in general and local banking conditions, competitive factors specific to markets in which F&M and its subsidiaries operate, future interest rate levels, legislative and regulatory decisions, capital market conditions, or the effects of the COVID-19 pandemic, and its impacts on our credit quality and business operations, as well as its impact on general economic and financial market conditions. F&M assumes no responsibility to update this information. For more details, please refer to F&M’s SEC filing, including its most recent Annual Report on Form 10-K and quarterly reports on Form 10-Q. Such filings can be viewed at the SEC’s website, www.sec.gov or through F&M’s website www.fm.bank.

    Company Contact: Investor and Media Contact:
    Lars B. Eller
    President and Chief Executive Officer
    Farmers & Merchants Bancorp, Inc.
    (419) 446-2501
    leller@fm.bank    		 Andrew M. Berger
    Managing Director
    SM Berger & Company, Inc.
    (216) 464-6400
    andrew@smberger.com
       

    A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/492467f9-4e52-45e6-a6fc-3278cf80cea0

    The MIL Network –

  • MIL-OSI USA: Ernst on Revitalizing Manufacturing in the Heartland

    US Senate News:

    Source: United States Senator Joni Ernst (R-IA)
    WASHINGTON – Today, Chair Joni Ernst (R-Iowa) welcomed Small Business Administration (SBA) Administrator Kelly Loeffler to a U.S. Senate Committee on Small Business and Entrepreneurship hearing to continue their “Made in America” initiative fueling the great American manufacturing comeback.
    Watch Chair Ernst’s remarks here.
    Ernst’s full remarks:
    “We are here today to discuss how the Small Business Administration (SBA) can expand and support investment in our nation’s small manufacturers.
    “Last week, the Committee examined how the Small Business Investment Company (SBIC) program could help channel more private capital into American manufacturing.
    “To better understand the urgency of this situation, we need to take a closer look at the numbers. And let me tell you folks, this is staggering. 
    “Over the past 40 years, we did not simply lose manufacturing jobs. We witnessed the steady erosion of our industrial sector to China’s delight and advantage. 
    “Over the last 25 years in Iowa alone, we have lost nearly one in six manufacturing jobs. American manufacturing employment has fared even worse over the last forty years, falling by 28 percent and reaching depths we haven’t seen since 1946.
    “Only 3.7 percent of Americans are employed in manufacturing today – half the share we had forty years ago, and barely a third of our peak in the late ‘60s.
    “To put that in perspective, there are nearly twice as many people working in state and local governments than on the factory floor.
    “This is not simply an economic decline – it is a hollowing out.
    “The steady loss of skills, infrastructure, and investment in manufacturing undermines our ability to innovate and scale new technologies, leaving our homeland weakened and vulnerable.
    “The reason for this is not a mystery: government policies that encouraged offshoring production without regard for the long-term damage done to our domestic productive capacity.
    “Today, the consequences are visible in every corner of America.
    “Shuttered plants, decaying factories, and empty parking lots stand as monuments to the multi-generational disintegration of hard-earned knowledge, talent, and tradition that once formed the bedrock of our nation.    
    “But here is the good news: we have a President and SBA Administrator who understand what is at stake.
    “They recognize the size and complexity of the work needed to revitalize American manufacturing and are committed to rebuilding our industrial strength, from the ground up.
    “As we discussed during last week’s hearing, the SBIC program will continue to play its vital role in expanding our productive capacity by facilitating private investment and through federal partnerships like that between the SBA and the Department of Defense’s newly established Office of Strategic Capital – something I championed in the annual defense bill.
    “But that is only the beginning; we must do more.
    “Today, we welcome Administrator Loeffler to discuss the SBA’s ‘Made in America Manufacturing Initiative’ and the efforts underway to support the small businesses that make up 98 percent of our nation’s manufacturing base.
    “Part of that effort involves the Made in America Manufacturing Finance Act, which I was proud to introduce last month alongside Senator Coons.
    “This bipartisan legislation would double the SBA-backed loan limit from $5 million to $10 million for small manufacturers who need that capital to modernize, grow, and train the next generation of American workers.
    “That investment will have a meaningful impact across the entire supply chain. Because the smallest startups to the largest firms all rely on small manufacturers to get the job done.  
    “Revitalizing our industrial base and reclaiming our ability to make things in America starts with small businesses. We must ensure that cutting edge innovation and high-speed, high-quality production happens right here, at home – not overseas. 
    “If we are serious about competing with and beating China, creating good-paying jobs, and restoring economic resilience, we must empower our small manufacturers to lead the way.
    “This bipartisan legislation takes a bold step in that direction. 
    “I am grateful that we’re joined today by Administrator Loeffler, and I look forward to hearing from her how Congress can better equip the SBA to invest in the industrial revitalization of America.”

    MIL OSI USA News –

  • MIL-OSI: AMSC Reports Fourth Quarter and Fiscal Year 2024 Financial Results and Business Outlook

    Source: GlobeNewswire (MIL-OSI)

    Business Highlights:

     • Full year revenues increased 53% year over year to $222.8 million
     • Full year net income increased $17.1 million year over year to $6.0 million
     • Generated $6.3 million of operating cash flow in the fourth quarter, helping to further strengthen the balance sheet

    Company to host conference call tomorrow, May 22 at 10:00 am ET

    AYER, Mass., May 21, 2025 (GLOBE NEWSWIRE) — AMSC (Nasdaq: AMSC), a leading system provider of megawatt-scale power resiliency solutions that orchestrate the rhythm and harmony of power on the grid™ and that protect and expand the capability and resiliency of our Navy’s fleet, today reported financial results for its fourth quarter and fiscal year ended March 31, 2025 (“fiscal 2024”).

    Revenues for the fourth quarter of fiscal 2024 were $66.7 million compared with $42.0 million for the same period of fiscal 2023. The year-over-year increase was driven by organic growth in New Energy Power Systems revenues along with the contributions from the acquisition of NWL, Inc. 

    AMSC’s net income for the fourth quarter of fiscal 2024 was $1.2 million, or $0.03 per share, compared to net loss of $1.6 million, or $0.05 per share, for the same period of fiscal 2023. The Company’s non-GAAP net income for the fourth quarter of fiscal 2024 was $4.8 million, or $0.13 per share, compared with a non-GAAP net income of $1.9 million, or $0.06 per share, in the same period of fiscal 2023. Please refer to the financial table below for a reconciliation of GAAP to non-GAAP results.

    Revenues for fiscal 2024 were $222.8 million as compared to $145.6 million in fiscal 2023. The year-over-year increase was driven by higher D-VAR and NEPSI revenues than in the prior year period along with the contribution from the acquisition of NWL, Inc. 

    AMSC reported net income for fiscal 2024 of $6.0 million, or $0.16 per share, compared to a net loss of $11.1 million, or $0.37 per share in fiscal 2023. The Company’s non-GAAP net income for fiscal 2024 was $24.0 million, or $0.65 per share, compared with non-GAAP net income of $0.6 million, or $0.02 per share, for fiscal 2023. Please refer to the financial table below for a reconciliation of GAAP to non-GAAP results.

    Cash, cash equivalents and restricted cash on March 31, 2025 totaled $85.4 million.

    “AMSC reported its strongest quarterly and annual performance in years,” said Daniel P. McGahn, Chairman, President and CEO of AMSC. “Fiscal fourth quarter revenue grew sequentially to over $66 million, up nearly 60% year-over-year. Net income surpassed $1.2 million, making our third consecutive quarter of profitability, and seventh consecutive quarter of positive operating cash flow. We secured $75 million in new orders, bringing total year-end orders to a recent record of nearly $320 million. Our fiscal 2024 results reflect improved financial performance, a resilient and diversified order pipeline, and solid operational execution—positioning AMSC for long-term success. With expanding end markets, we’re focused on broadening our offerings, entering new sectors, and strengthening customer relationships. We enter fiscal 2025 with strong momentum and confidence in our ability to continue building a more resilient and profitable company.”

    Business Outlook

    For the first quarter ending June 30, 2025, AMSC expects that its revenues will be in the range of $64.0 million to $68.0 million. The Company’s net income for the first quarter of fiscal 2025 is expected to exceed $1.0 million, or $0.03 per share. The Company’s non-GAAP net income (as defined below) is expected to exceed $4.0 million, or $0.10 per share. 

    Conference Call Reminder
    In conjunction with this announcement, AMSC management will participate in a conference call with investors beginning at 10:00 a.m. Eastern Time on Thursday, May 22, 2025, to discuss the Company’s financial results and business outlook. Those who wish to listen to the live or archived conference call webcast should visit the “Investors” section of the Company’s website at https://ir.amsc.com. The live call can be accessed by dialing 1-844-481-2802 or 1-412-317-0675 and asking to join the AMSC call. A replay of the call may be accessed 2 hours following the call by dialing 1-877-344-7529 and using conference passcode 4917468.

    About AMSC (Nasdaq: AMSC)
    AMSC generates the ideas, technologies and solutions that meet the world’s demand for smarter, cleaner … better energy™. Through its Gridtec™ Solutions, AMSC provides the engineering planning services and advanced grid systems that optimize network reliability, efficiency and performance. Through its Marinetec™ Solutions, AMSC provides ship protection and is developing propulsion and power management solutions designed to help fleets increase system efficiencies, enhance power quality and boost operational safety. Through its Windtec™ Solutions, AMSC provides wind turbine electronic controls and systems, designs and engineering services that reduce the cost of wind energy. The Company’s solutions are enhancing the performance and reliability of power networks, increasing the operational safety of navy fleets, and powering gigawatts of renewable energy globally. Founded in 1987, AMSC is headquartered near Boston, Massachusetts with operations in Asia, Australia, Europe and North America. For more information, please visit www.amsc.com.

    AMSC, American Superconductor, D-VAR, D-VAR VVO, Gridtec, Marintec, Windtec, Neeltran, NEPSI, NWL, Smarter, Cleaner … Better Energy and Orchestrate the Rhythm and Harmony of Power on the Grid are trademarks or registered trademarks of American Superconductor Corporation. All other brand names, product names, trademarks or service marks belong to their respective holders.

    Forward-Looking Statements

    This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Any statements in this release regarding our goals and strategies; business diversification; order pipeline; long-term success, including through expanding end markets, broadening offerings, entering new sectors; strengthening customer relationships; strong momentum; building a more resilient and profitable company; our expected GAAP and non-GAAP financial results for the quarter ending June 30, 2025; and other statements containing the words “believes,” “anticipates,” “plans,” “expects,” “will” and similar expressions, constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements represent management’s current expectations and are inherently uncertain. There are a number of important factors that could materially impact the value of our common stock or cause actual results to differ materially from those indicated by such forward-looking statements. These important factors include, but are not limited to: We have not been historically profitable, which may recur in the future. Our operating results may fluctuate significantly from quarter to quarter and may fall below expectations in any particular fiscal quarter; While we generated positive operating cash flow in fiscal 2024 and the prior year, we have a history of negative operating cash flows, and we may require additional financing in the future, which may not be available to us; Our technology and products could infringe intellectual property rights of others, which may require costly litigation and, if we are not successful, could cause us to pay substantial damages and disrupt our business; Changes in exchange rates could adversely affect our results of operations; If we fail to maintain proper and effective internal control over financial reporting, our ability to produce accurate and timely financial statements could be impaired and may lead investors and other users to lose confidence in our financial data; We may be required to issue performance bonds, which restricts our ability to access any cash used as collateral for the bonds; We may not realize all of the sales expected from our backlog of orders and contracts; If we fail to implement our business strategy successfully, our financial performance could be harmed; We rely upon third-party suppliers for the components and subassemblies of many of our Grid and Wind products, making us vulnerable to supply shortages and price fluctuations, which could harm our business; Our contracts with the U.S. government are subject to audit, modification or termination by the U.S. government and include certain other provisions in favor of the government. The continued funding of such contracts remains subject to annual congressional appropriation, which, if not approved, could reduce our revenue and lower or eliminate our profit; Changes in U.S. government defense spending could negatively impact our financial position, results of operations, liquidity and overall business; Our business and operations may be materially adversely impacted in the event of a failure or security breach of our or any critical third parties’ IT Systems or Confidential Information; Failure to comply with evolving data privacy and data protection laws and regulations or to otherwise protect personal data, may adversely impact our business and financial results; Our success is dependent upon attracting and retaining qualified personnel and our inability to do so could significantly damage our business and prospects; A significant portion of our Wind segment revenues are derived from a single customer. If this customer’s business is negatively affected, it could adversely impact our business; Our success in addressing the wind energy market is dependent on the manufacturers that license our designs; We may acquire additional complementary businesses or technologies, which may require us to incur substantial costs for which we may never realize the anticipated benefits; Many of our revenue opportunities are dependent upon subcontractors and other business collaborators; Problems with product quality or product performance may cause us to incur warranty expenses and may damage our market reputation and prevent us from achieving increased sales and market share; Many of our customers outside of the United States may be either directly or indirectly related to governmental entities, and we could be adversely affected by violations of the United States Foreign Corrupt Practices Act and similar worldwide anti-bribery laws outside the United States; We or third parties on whom we depend may be adversely affected by natural disasters, including events resulting from climate change, and our business continuity and disaster recovery plans may not adequately protect us or our value chain from such events; Pandemics, epidemics, or other public health crises may adversely impact our business, financial condition and results of operations; Adverse changes in domestic and global economic conditions could adversely affect our operating results; Our international operations are subject to risks that we do not face in the United States, which could have an adverse effect on our operating results; Our products face competition, which could limit our ability to acquire or retain customers; We have operations in, and depend on sales in, emerging markets, including India, and global conditions could negatively affect our operating results or limit our ability to expand our operations outside of these markets. Changes in India’s political, social, regulatory and economic environment may affect our financial performance; Industry consolidation could result in more powerful competitors and fewer customers; Our success could depend upon the commercial adoption of the REG system, which is currently limited, and a widespread commercial market for our REG products may not develop; Increasing focus and scrutiny on environmental sustainability and social initiatives could adversely impact our business and financial results; Growth of the wind energy market depends largely on the availability and size of government subsidies, economic incentives and legislative programs designed to support the growth of wind energy; Lower prices for other energy sources may reduce the demand for wind energy development, which could have a material adverse effect on our ability to grow our Wind business; We may be unable to adequately prevent disclosure of trade secrets and other proprietary information; Our patents may not provide meaningful or long-term protection for our technology, which could result in us losing some or all of our market position; Third parties have or may acquire patents that cover the materials, processes and technologies we use or may use in the future to manufacture our Amperium products, and our success depends on our ability to license such patents or other proprietary rights; Our common stock has experienced, and may continue to experience, market price and volume fluctuations, which may prevent our stockholders from selling our common stock at a profit and could lead to costly litigation against us that could divert our management’s attention; Unfavorable results of legal proceedings could have a material adverse effect on our business, operating results and financial condition;and the other important factors discussed under the caption “Risk Factors” in Part 1. Item 1A of our Form 10-K for the fiscal year ended March 31, 2025, and our other reports filed with the SEC. These important factors, among others, could cause actual results to differ materially from those indicated by forward-looking statements made herein and presented elsewhere by management from time to time. Any such forward-looking statements represent management’s estimates as of the date of this press release. While we may elect to update such forward-looking statements at some point in the future, we disclaim any obligation to do so, even if subsequent events cause our views to change. These forward-looking statements should not be relied upon as representing our views as of any date subsequent to the date of this press release.

     
    UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS
    (In thousands, except per share data)
      Three Months Ended     Twelve Months Ended  
      March 31,     March 31,  
      2025     2024     2025     2024  
    Revenues                              
    Grid $ 55,592     $ 34,211     $ 187,170     $ 122,065  
    Wind   11,063       7,817       35,648       23,574  
    Total revenues   66,655       42,028       222,818       145,639  
                                   
    Cost of revenues   48,964       31,598       160,964       110,356  
                                   
    Gross margin   17,691       10,430       61,854       35,283  
                                   
    Operating expenses:                              
    Research and development   3,493       2,298       11,425       7,991  
    Selling, general and administrative   12,101       7,953       43,091       31,600  
    Amortization of acquisition related intangibles   444       538       1,733       2,152  
    Change in fair value of contingent consideration   —       1,870       6,682       4,922  
    Restructuring   —       —       —       (14 )
    Total operating expenses   16,038       12,659       62,931       46,651  
                                   
    Operating income (loss)   1,653       (2,229 )     (1,077 )     (11,368 )
                                   
    Interest income, net   807       784       3,708       1,302  
    Other expense, net   (49 )     (117 )     (265 )     (736 )
    Income (loss) before income tax (benefit) expense   2,411       (1,562 )     2,366       (10,802 )
                                   
    Income tax (benefit) expense   1,204       17       (3,667 )     309  
                                   
    Net income (loss) $ 1,207     $ (1,579 )   $ 6,033     $ (11,111 )
                                   
    Net income (loss) per common share                              
    Basic $ 0.03     $ (0.05 )   $ 0.16     $ (0.37 )
    Diluted $ 0.03     $ (0.05 )   $ 0.16     $ (0.37 )
                                   
    Weighted average number of common shares outstanding                              
    Basic   37,672       33,139       36,990       29,825  
    Diluted   38,516       33,139       37,718       29,825  
     
    CONSOLIDATED BALANCE SHEET
    (In thousands, except per share data)
      March 31,     March 31,  
      2025     2024  
    ASSETS              
    Current assets:              
    Cash and cash equivalents $ 79,494     $ 90,522  
    Accounts receivable, net   46,186       26,325  
    Inventory, net   71,169       41,857  
    Prepaid expenses and other current assets   8,055       7,295  
    Restricted cash   1,613       468  
    Total current assets   206,517       166,467  
                   
    Property, plant and equipment, net   38,572       10,861  
    Intangibles, net   5,916       6,369  
    Right-of-use assets   3,829       2,557  
    Goodwill   48,164       43,471  
    Restricted cash   4,274       1,290  
    Deferred tax assets   1,178       1,119  
    Equity-method Investments   1,113       —  
    Other assets   958       637  
    Total assets $ 310,521     $ 232,771  
                   
                   
    LIABILITIES AND STOCKHOLDERS’ EQUITY              
                   
    Current liabilities:              
    Accounts payable and accrued expenses $ 32,282     $ 24,235  
    Lease liability, current portion   685       716  
    Debt, current portion   —       25  
    Contingent consideration   —       3,100  
    Deferred revenue, current portion   66,797       50,732  
    Total current liabilities   99,764       78,808  
                   
    Deferred revenue, long term portion   9,336       7,097  
    Lease liability, long term portion   2,684       1,968  
    Deferred tax liabilities   1,595       300  
    Other liabilities   28       27  
    Total liabilities   113,407       88,200  
                   
    Stockholders’ equity:              
    Common stock, $0.01 par value, 75,000,000 shares authorized; 39,887,536 and 37,343,812 shares issued and 39,484,185 and 36,946,181 shares outstanding at March 31, 2025 and 2024, respectively   399       373  
    Additional paid-in capital   1,259,540       1,212,913  
    Treasury stock, at cost, 403,351 and 397,631 at March 31, 2025 and 2024, respectively   (3,765 )     (3,639 )
    Accumulated other comprehensive income   1,565       1,582  
    Accumulated deficit   (1,060,625 )     (1,066,658 )
    Total stockholders’ equity   197,114       144,571  
    Total liabilities and stockholders’ equity $ 310,521     $ 232,771  
     
    CONSOLIDATED STATEMENTS OF CASH FLOWS
    (In thousands)
      Year Ended March 31,  
      2025     2024  
    Cash flows from operating activities:              
    Net income (loss) $ 6,033     $ (11,111 )
    Adjustments to reconcile net income (loss) to net cash provided by operations:              
    Depreciation and amortization   5,560       4,494  
    Stock-based compensation expense   7,794       4,652  
    Provision for excess and obsolete inventory   1,532       1,970  
    Amortization of operating lease right-of-use assets   976       321  
    Deferred income taxes   (4,304 )     65  
    Earnings from equity method investments   132       —  
    Change in fair value of contingent consideration   6,682       4,922  
    Other non-cash items   (587 )     44  
    Unrealized foreign exchange gain on cash and cash equivalents   (41 )     (2 )
    Changes in operating asset and liability accounts:              
    Accounts receivable   (3,213 )     4,340  
    Inventory   (7,707 )     (6,841 )
    Prepaid expenses and other current assets   543       5,992  
    Operating leases   (1,563 )     (327 )
    Accounts payable and accrued expenses   3,209       (13,498 )
    Deferred revenue   13,239       7,117  
    Net cash provided by operating activities   28,285       2,138  
                   
    Cash flows from investing activities:              
    Purchases of property, plant and equipment   (2,415 )     (934 )
    Cash paid to settle NWL contingent consideration liability   (3,278 )     —  
    Cash paid for NWL Acquisition, net of cash acquired   (29,577 )     —  
    Change in other assets   64       (27 )
    Net cash used in investing activities   (35,206 )     (961 )
                   
    Cash flows from financing activities:              
    Repurchase of treasury stock   (126 )     —  
    Repayment of debt   (25 )     (65 )
    Cash paid related to registration of common stock shares   (148 )     —  
    Proceeds from public equity offering, net   —       65,227  
    Proceeds from exercise of employee stock options and ESPP   307       279  
    Net cash provided by financing activities   8       65,441  
                   
    Effect of exchange rate changes on cash, cash equivalents and restricted cash   14       (13 )
                   
    Net (decrease) increase in cash, cash equivalents and restricted cash   (6,899 )     66,605  
    Cash, cash equivalents and restricted cash at beginning of year   92,280       25,675  
    Cash, cash equivalents and restricted cash at end of year $ 85,381     $ 92,280  
     
    RECONCILIATION OF GAAP NET INCOME (LOSS) TO NON-GAAP NET INCOME
    (In thousands, except per share data)
      Three Months Ended March 31,     Year Ended March 31,  
      2025     2024     2025     2024  
    Net income (loss) $ 1,206     $ (1,579 )   $ 6,033     $ (11,111 )
    Stock-based compensation   2,855       1,044       7,794       4,652  
    Amortization of acquisition-related intangibles   706       538       2,433       2,158  
    Change in fair value of contingent consideration   —       1,870       6,682       4,922  
    Acquisition costs   —       —       1,095       —  
    Non-GAAP net income   4,767       1,873       24,037       621  
                                   
    Non-GAAP net income per share – basic $ 0.13     $ 0.06     $ 0.65     $ 0.02  
    Non-GAAP net income per share – diluted $ 0.12     $ 0.05     $ 0.64     $ 0.02  
    Weighted average shares outstanding – basic   37,672       33,139       36,990       29,825  
    Weighted average shares outstanding – diluted   38,516       34,447       37,718       30,909  
     
    Reconciliation of Forecast GAAP Net Income to Non-GAAP Net Income
    (In millions, except per share data)
      Three months ending  
      June 30, 2025  
    Net income $ 1.0  
    Stock-based compensation   2.6  
    Amortization of acquisition-related intangibles   0.4  
    Non-GAAP net income $ 4.0  
    Non-GAAP net income per share $ 0.10  
    Shares outstanding   38.7  
     

    Note: Non-GAAP net income (loss) is defined by the Company as net income (loss) before; stock-based compensation; amortization of acquisition-related intangibles; changes in fair value of contingent consideration; acquisition costs; other non-cash or unusual charges, and the tax effect of adjustments calculated at the relevant rate for our non-GAAP metric. The Company believes non-GAAP net income (loss) and non-GAAP net income (loss) per share assist management and investors in comparing the Company’s performance across reporting periods on a consistent basis by excluding these non-cash, non-recurring or other charges that it does not believe are indicative of its core operating performance. Actual GAAP and non-GAAP net income (loss) and net income (loss) per share for the fiscal quarter ending June 30, 2025, including the above adjustments, may differ materially from those forecasted in the table above, including as a result of changes in the fair value of contingent consideration.

    Generally, a non-GAAP financial measure is a numerical measure of a company’s performance, financial position or cash flow that either excludes or includes amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with GAAP. The non-GAAP measures included in this release, however, should be considered in addition to, and not as a substitute for or superior to, operating income or other measures of financial performance prepared in accordance with GAAP. A reconciliation of GAAP to non-GAAP net income (loss) is set forth in the table above. Non-GAAP net income (loss) per share is defined as non-GAAP net income (loss) divided by shares outstanding.

    AMSC Contacts
    Investor Relations Contact:
    Carolyn Capaccio, CFA
    Phone: 212-838-3777
    amscIR@allianceadvisors.com

    AMSC Director, Communications:
     Nicol Golez
    978-399-8344
    Nicol.Golez@amsc.com

    Public Relations Contact:
     RooneyPartners
    Joe Luongo
    (914) 906-5903
    jluongo@rooneypartners.com

    The MIL Network –

  • MIL-OSI USA: Disaster Recovery Centers to Permanently Close May 31; Resources Transitioning to New Locations

    Source: US Federal Emergency Management Agency 2

    strong>LOS ANGELES – The two Disaster Recovery Centers (DRCs) for the Los Angeles Wildfires are permanently closing Saturday, May 31, 2025, at 4 p.m. and federal resources will be transitioning to new locations.
    Current DRC Locations and Hours
    UCLA Research Park West 10850 West Pico Blvd. Los Angeles, CA 90064 Monday-Friday: 9 a.m. – 6 p.m. and Saturday: 9 a.m. – 4 p.m.
    Altadena Disaster Recovery Center540 West Woodbury Rd. Altadena, CA 91001 Monday-Friday: 9 a.m. – 6 p.m. and Saturday: 9 a.m. – 4 p.m. 
    The Federal Emergency Management Agency (FEMA) and Small Business Administration (SBA) will be transitioning from the current DRC locations to county and city run facilities. Federal resources will be available at their new locations beginning Monday, June 2, 2025.
    Services Will Continue at:
    One Stop Rebuilding Center1828 Sawtelle Blvd.Los Angeles, CA 90025 Monday-Friday: 9 a.m. – 5 p.m. Closed weekends.
    Altadena Community Center730 E. Altadena Dr.Altadena, CA 91001Monday-Friday: 9 a.m. – 5 p.m. Closed weekends.
    If you applied for FEMA assistance, it’s important to stay in touch with FEMA to track and update your application should you receive an insurance settlement or denial and as your situation changes to work through any approval processes. FEMA representatives can explain available assistance programs and help you with resources for your recovery needs.
    Rental Assistance is available for eligible individuals and families who were displaced by the wildfires. If you were displaced and need assistance covering housing costs, you should contact FEMA to determine your eligibility for this program. 
    SBA’s Customer Service Representatives are available at the Centers to answer questions, help applicants complete their disaster loan application, accept documents, and provide updates on an application’s status.
    Additional Resources

    California Governor’s Office of Emergency Services (CalOES)Resources offered by State agencies are available online and at some existing field offices. Survivors can find a complete list of recovery related services on the CA.gov/LAfires Recovery Services Finder page, including how to contact each agency and their office locations.
    U.S. Army Corps of Engineers (USACE)For help answering questions regarding debris removal, please call: 213-308-8305. The call center is available daily from 6 a.m. to 6:30 p.m. For more information, you can also visit the USACE Los Angeles County Wildfire Debris Removal Mission.
    One-Stop Permitting CentersFor unincorporated LA County communities, One-Stop Permit Centers are also available in Calabasas and Altadena for residents impacted by the Palisades and Eaton fires. LA County permitting agencies, including Fire Department, Regional Planning, Public Health, Public Works Geotechnical and Materials Engineering Division and Public Works Building and Safety, are available to guide owners and their representatives through the rebuild process and answer any questions they may have. Walk-ins are welcome and consultation appointments can be scheduled. More information including days and hours of operation, can be found here: recovery.lacounty.gov/rebuilding/one-stop-permit-centers. 

    Follow FEMA online, on X @FEMA or @FEMAEspanol, on FEMA’s Facebook page or Espanol page and at FEMA’s YouTube account. For preparedness information follow the Ready Campaign on X at @Ready.gov, on Instagram @Ready.gov or on the Ready Facebook page.

    California is committed to supporting residents impacted by the Los Angeles Hurricane-Force Firestorm as they navigate the recovery process. Visit CA.gov/LAFires for up-to-date information on disaster recovery programs, important deadlines, and how to apply for assistance.

    MIL OSI USA News –

  • MIL-OSI USA: Russian GRU Targeting Western Logistics Entities and Technology Companies

    News In Brief – Source: US Computer Emergency Readiness Team

    Executive Summary

    This joint cybersecurity advisory (CSA) highlights a Russian state-sponsored cyber campaign targeting Western logistics entities and technology companies. This includes those involved in the coordination, transport, and delivery of foreign assistance to Ukraine. Since 2022, Western logistics entities and IT companies have faced an elevated risk of targeting by the Russian General Staff Main Intelligence Directorate (GRU) 85th Main Special Service Center (85th GTsSS), military unit 26165—tracked in the cybersecurity community under several names (see “Cybersecurity Industry Tracking”). The actors’ cyber espionage-oriented campaign, targeting technology companies and logistics entities, uses a mix of previously disclosed tactics, techniques, and procedures (TTPs). The authoring agencies expect similar targeting and TTP use to continue.

    Executives and network defenders at logistics entities and technology companies should recognize the elevated threat of unit 26165 targeting, increase monitoring and threat hunting for known TTPs and indicators of compromise (IOCs), and posture network defenses with a presumption of targeting.

    This cyber espionage-oriented campaign targeting logistics entities and technology companies uses a mix of previously disclosed TTPs and is likely connected to these actors’ wide scale targeting of IP cameras in Ukraine and bordering NATO nations.

    The following authors and co-sealers are releasing this CSA:

    • United States National Security Agency (NSA)
    • United States Federal Bureau of Investigation (FBI)
    • United Kingdom National Cyber Security Centre (NCSC-UK)
    • Germany Federal Intelligence Service (BND) Bundesnachrichtendienst
    • Germany Federal Office for Information Security (BSI) Bundesamt für Sicherheit in der Informationstechnik
    • Germany Federal Office for the Protection of the Constitution (BfV) Bundesamt für Verfassungsschutz
    • Czech Republic Military Intelligence (VZ)  Vojenské zpravodajství
    • Czech Republic National Cyber and Information Security Agency (NÚKIB) Národní úřad pro kybernetickou a informační bezpečnost
    • Czech Republic Security Information Service (BIS) Bezpečnostní informační služba
    • Poland Internal Security Agency (ABW) Agencja Bezpieczeństwa Wewnętrznego
    • Poland Military Counterintelligence Service (SKW) Służba Kontrwywiadu Wojskowego
    • United States Cybersecurity and Infrastructure Security Agency (CISA)
    • United States Department of Defense Cyber Crime Center (DC3)
    • United States Cyber Command (USCYBERCOM)
    • Australian Signals Directorate’s Australian Cyber Security Centre (ASD’s ACSC)
    • Canadian Centre for Cyber Security (CCCS)
    • Danish Defence Intelligence Service (DDIS) Forsvarets Efterretningstjeneste
    • Estonian Foreign Intelligence Service (EFIS) Välisluureamet
    • Estonian National Cyber Security Centre (NCSC-EE) Küberturvalisuse keskus
    • French Cybersecurity Agency (ANSSI) Agence nationale de la sécurité des systèmes d’information
    • Netherlands Defence Intelligence and Security Service (MIVD) Militaire Inlichtingen- en Veiligheidsdienst
       

    Download the PDF version of this report:

    Russian GRU Targeting Western Logistics Entities and Technology Companies (PDF, 1,081KB)

    For a downloadable list of IOCs, visit:

    Introduction

    For over two years, the Russian GRU 85th GTsSS, military unit 26165—commonly known in the cybersecurity community as APT28, Fancy Bear, Forest Blizzard, BlueDelta, and a variety of other identifiers—has conducted this campaign using a mix of known tactics, techniques, and procedures (TTPs), including reconstituted password spraying capabilities, spearphishing, and modification of Microsoft Exchange mailbox permissions.
    In late February 2022, multiple Russian state-sponsored cyber actors increased the variety of cyber operations for purposes of espionage, destruction, and influence—with unit 26165 predominately involved in espionage. [1] As Russian military forces failed to meet their military objectives and Western countries provided aid to support Ukraine’s territorial defense, unit 26165 expanded its targeting of logistics entities and technology companies involved in the delivery of aid. These actors have also targeted Internet-connected cameras at Ukrainian border crossings to monitor and track aid shipments.
    Note: This advisory uses the MITRE ATT&CK® for Enterprise framework, version 17. See Appendix A: MITRE ATT&CK tactics and techniques for a table of the threat actors’ activity mapped to MITRE ATT&CK tactics and techniques. This advisory uses the MITRE D3FEND® framework, version 1.0.

    Description of Targets

    The GRU unit 26165 cyber campaign against Western logistics providers and technology companies has targeted dozens of entities, including government organizations and private/commercial entities across virtually all transportation modes: air, sea, and rail. These actors have targeted entities associated with the following verticals within NATO member states, Ukraine, and at international organizations: 

    •  Defense Industry
    • Transportation and Transportation Hubs (ports, airports, etc.)
    • Maritime
    • Air Traffic Management
    • IT Services

    In the course of the targeting lifecycle, unit 26165 actors identified and conducted follow-on targeting of additional entities in the transportation sector that had business ties to the primary target, exploiting trust relationships to attempt to gain additional access [T1199].

    The actors also conducted reconnaissance on at least one entity involved in the production of industrial control system (ICS) components for railway management, though a successful compromise was not confirmed [TA0043].

    The countries with targeted entities include the following, as illustrated in Figure 1:

    • Bulgaria
    • Czech Republic
    • France
    • Germany
    • Greece
    • Italy
    • Moldova
    • Netherlands
    • Poland
    • Romania
    • Slovakia
    • Ukraine
    • United States
       
    Figure 1: Countries with Targeted Entities

    Initial Access TTPs

    To gain initial access to targeted entities, unit 26165 actors used several techniques to gain initial access to targeted entities, including (but not limited to):

    The actors abused vulnerabilities associated with a range of brands and models of small office/home office (SOHO) devices to facilitate covert cyber operations, as well as proxy malicious activity via devices with geolocation in proximity to the target [T1665]. [2]

    Credential Guessing/Brute Force

    Unit 26165 actors’ credential guessing [T1110.001] operations in this campaign exhibit some similar characteristics to those disclosed in the previous CSA “Russian GRU Conducting Global Brute Force Campaign to Compromise Enterprise and Cloud Environments.” [3] Based on victim network investigations, the current iteration of this TTP employs a similar blend of anonymization infrastructure, including the use of Tor and commercial VPNs [T1090.003]. The actors frequently rotated the IP addresses used to further hamper detection. All observed connections were made via encrypted TLS [T1573]. 

    Spearphishing

    GRU unit 26165 actors’ spearphishing emails included links [T1566.002] leading to fake login pages impersonating a variety of government entities and Western cloud email providers’ webpages. These webpages were typically hosted on free third-party services or compromised SOHO devices and often used legitimate documents associated with thematically similar entities as lures. The subjects of spearphishing emails were diverse and ranged from professional topics to adult themes. Phishing emails were frequently sent via compromised accounts or free webmail accounts [T1586.002, T1586.003]. The emails were typically written in the target’s native language and sent to a single targeted recipient. 

    Some campaigns employed multi-stage redirectors [T1104] verifying IP-geolocation [T1627.001] and browser fingerprints [T1627] to protect credential harvesting infrastructure or provide multifactor authentication (MFA) [T1111] and CAPTCHA relaying capabilities [T1056]. Connecting endpoints failing the location checks were redirected to a benign URL [T1627], such as msn.com. Redirector services used include:

    • Webhook[.]site
    • FrgeIO
    • InfinityFree
    • Dynu
    • Mocky
    • Pipedream
    • Mockbin[.]org

    The actors also used spearphishing to deliver malware (including HEADLACE and MASEPIE) executables [T1204.002] delivered via third-party services and redirectors [T1566.002], scripts in a mix of languages [T1059] (including BAT [T1059.003] and VBScript [T1059.005]) and links to hosted shortcuts [T1204.001].

    CVE Usage

    Throughout this campaign, GRU unit 26165 weaponized an Outlook NTLM vulnerability (CVE-2023-23397) to collect NTLM hashes and credentials via specially crafted Outlook calendar appointment invitations [T1187]. [4],[5] These actors also used a series of Roundcube CVEs (CVE-2020-12641, CVE-2020-35730, and CVE-2021-44026) to execute arbitrary shell commands [T1059], gain access to victim email accounts, and retrieve sensitive data from email servers [T1114].

    Since at least fall 2023, the actors leveraged a WinRAR vulnerability (CVE-2023-38831) allowing for the execution of arbitrary code embedded in an archive as a means of initial access [T1659]. The actors sent emails with malicious attachments [T1566.001] or embedded hyperlinks [T1566.002] that downloaded a malicious archive prepared using this CVE. 

    Post-Compromise TTPs

    After an initial compromise using one of the above techniques, unit 26165 actors conducted contact information reconnaissance to identify additional targets in key positions [T1589.002]. The actors also conducted reconnaissance of the cybersecurity department [T1591], individuals responsible for coordinating transport [T1591.004], and other companies cooperating with the victim entity [T1591.002].

    The actors used native commands and open source tools, such as Impacket and PsExec, to move laterally within the environment [TA0008]. Multiple Impacket scripts were used as .exe files, in addition to the python versions, depending on the victim environment. The actors also moved laterally within the network using Remote Desktop Protocol (RDP) [T1021.001] to access additional hosts and attempt to dump Active Directory NTDS.dit domain databases [T1003.003] using native Active Directory Domain Services commands, such as in Figure 2: Example Active Directory Domain Services command:

    C:Windowssystem32ntdsutil.exe "activate instance ntds" ifm "create full C:temp[a-z]{3}" quit quit

    Figure 2: Example Active Directory Domain Services command

    Additionally, GRU unit 26165 actors used the tools Certipy and ADExplorer.exe to exfiltrate information from the Active Directory. The actors installed python [T1059.006] on infected machines to enable the execution of Certipy. Accessed files were archived in .zip files prior to exfiltration [T1560]. The actors attempted to exfiltrate archived data via a previously dropped OpenSSH binary [T1048].

    Incident response investigations revealed that the actors would take steps to locate and exfiltrate lists of Office 365 users and set up sustained email collection. The actors used manipulation of mailbox permissions [T1098.002] to establish sustained email collection at compromised logistics entities, as detailed in a Polish Cybercommand blog. [6]

    After initial authentication, unit 26165 actors would change accounts’ folder permissions and enroll compromised accounts in MFA mechanisms to increase the trust-level of compromised accounts and enable sustained access [T1556.006]. The actors leveraged python scripts to retrieve plaintext passwords via Group Policy Preferences [T1552.006] using Get-GPPPassword.py and a modified ldap-dump.py to enumerate the Windows environment [T1087.002] and conduct a brute force password spray [T1110.003] via Lightweight Directory Access Protocol (LDAP). The actors would additionally delete event logs through the wevtutil utility [T1070.001].

    After gaining initial access to the network, the actors pursued further access to accounts with access to sensitive information on shipments, such as train schedules and shipping manifests. These accounts contained information on aid shipments to Ukraine, including: 

    • sender,
    • recipient,
    • train/plane/ship numbers,
    • point of departure,
    • destination,
    • container registration numbers,
    • travel route, and
    • cargo contents. 

    In at least one instance, the actors attempted to use voice phishing [T1566.004] to gain access to privileged accounts by impersonating IT staff.

    Malware

    Unit 26165’s use of malware in this campaign ranged from gaining initial access to establishing persistence and exfiltrating data. In some cases, the attack chain resulted in multiple pieces of malware being deployed in succession. The actors used dynamic link library (DLL) search order hijacking [T1574.001] to facilitate malware execution. There were a number of known malware variants tied to this campaign against logistics sector victims, including:

    • HEADLACE [7]
    • MASEPIE [8]

    While other malware variants, such as OCEANMAP and STEELHOOK, [8] were not directly observed targeting logistics or IT entities, their deployment against victims in other sectors in Ukraine and other Western countries suggest that they could be deployed against logistics and IT entities should the need arise. 

    Persistence

    In addition to the abovementioned mailbox permissions abuse, unit 26165 actors also used scheduled tasks [T1053.005], run keys [T1547.001], and placed malicious shortcuts [T1547.009] in the startup folder to establish persistence. 

    Exfiltration

    GRU unit 26165 actors used a variety of methods for data exfiltration that varied based on the victim environment, including both malware and living off the land binaries. PowerShell commands [T1059.001] were often used to prepare data for exfiltration; for example, the actors prepared zip archives [T1560.001] for upload to their own infrastructure. 

    The actors also used server data exchange protocols and Application Programming Interfaces (APIs) such as Exchange Web Services (EWS) and Internet Message Access Protocol (IMAP) [T1114.002] to exfiltrate data from email servers. In multiple instances, the actors used periodic EWS queries [T1119] to collect new emails sent and received since the last data exfiltration [T1029]. The actors typically used infrastructure in close geographic proximity to the victim. Long gaps between exfiltration, the use of trusted and legitimate protocols, and the use of local infrastructure allowed for long-term collection of sensitive data to go undetected. 

    Connections to Targeting of IP Cameras

    In addition to targeting logistics entities, unit 26165 actors likely used access to private cameras at key locations, such as near border crossings, military installations, and rail stations, to track the movement of materials into Ukraine. The actors also used legitimate municipal services, such as traffic cams. 

    The actors targeted Real Time Streaming Protocol (RTSP) servers hosting IP cameras primarily located in Ukraine as early as March 2022 in a large-scale campaign, which included attempts to enumerate devices [T1592] and gain access to the cameras’ feeds [T1125]. Actor-controlled servers sent RTSP DESCRIBE requests destined for RTSP servers, primarily hosting IP cameras [T1090.002]. The DESCRIBE requests were crafted to obtain access to IP cameras located on logically distinct networks from that of the routers that received the request. The requests included Base64-encoded credentials for the RTSP server, which included publicly documented default credentials and likely generic attempts to brute force access to the devices [T1110]. An example of an RTSP request is shown in Figure 3.

    DESCRIBE rtsp://[IP ADDRESS] RTSP/1.0

    CSeq: 1

    Authorization: Basic

    User-Agent: WebClient

    Accept: application/sdp

    DESCRIBE rtsp://[IP ADDRESS] RTSP/1.0

    CSeq: 2

    Authorization: Digest username="admin", realm="[a-f0-9]{12}", algorithm="MD5", nonce="[a-f0-9]{32}", uri="", response="[a-f0-9]{32}"

    User-Agent: WebClient

    Accept: application/sdp

    Figure 3: Example RTSP request

    Successful RTSP 200 OK responses contained a snapshot of the IP camera’s image and IP camera metadata such as video codec, resolution, and other properties depending on the IP camera’s configuration. 

    From a sample available to the authoring agencies of over 10,000 cameras targeted via this effort, the geographic distribution of victims showed a strong focus on cameras in Ukraine and border countries, as shown in Table 1:

    Table 1: Geographic distribution of targeted IP cameras
    Country Percentage of Total Attempts
    Ukraine 81.0%
    Romania 9.9%
    Poland 4.0%
    Hungary 2.8%
    Slovakia 1.7%
    Others 0.6%

    Mitigation Actions

    General Security Mitigations

    Architecture and Configuration

    • Employ appropriate network segmentation [D3-NI] and restrictions to limit access and utilize additional attributes (such as device information, environment, and access path) when making access decisions [D3-AMED].
      • Consider Zero Trust principles when designing systems. Base product choices on how those products can solve specific risks identified as part of the end-to-end design. [9]
    • Ensure that host firewalls and network security appliances (e.g., firewalls) are configured to only allow legitimately needed data flows between devices and servers to prevent lateral movement [D3-ITF]. Alert on attempts to connect laterally between host devices or other unusual data flows.
    • Use automated tools to audit access logs for security concerns and identify anomalous access requests [D3-RAPA].
    • For organizations using on-premises authentication and email services, block and alert on NTLM/SMB requests to external infrastructure [D3-OTF].
    • Utilize endpoint, detection, and response (EDR) and other cybersecurity solutions on all systems, prioritizing high value systems with large amounts of sensitive data such as mail servers and domain controllers [D3-PM] first.
      • Perform threat and attack modeling to understand how sensitive systems may be compromised within an organization’s specific architecture and security controls. Use this to develop a monitoring strategy to detect compromise attempts and select appropriate products to enact this strategy.
    • Collect and monitor Windows logs for certain events, especially for events that indicate that a log was cleared unexpectedly [D3-SFA].
    • Enable optional security features in Windows to harden endpoints and mitigate initial access techniques [D3-AH]:
      • Enable attack surface reduction rules to prevent executable content from email [D3-ABPI].
      • Enable attack surface reduction rules to prevent execution of files from globally writeable directories, such as Downloads or %APPDATA% [D3-EAL].
      • Unless users are involved in the development of scripts, limit the local execution of scripts (such as batch scripts, VBScript, JScript/JavaScript, and PowerShell [10]) to known scripts [D3-EI], and audit execution attempts.
      • Disable Windows Host Scripting functionality and configure PowerShell to run in Constrained mode [D3-ACH].
    • Where feasible, implement allowlisting for applications and scripts to limit execution to only those needed for authorized activities, blocking all others by default [D3-EAL].
    • Consider using open source SIGMA rules as a baseline for detecting and alerting on suspicious file execution or command parameters [D3-PSA].
    • Use services that provide enhanced browsing services and safe link checking [D3-URA]. Significant reductions in successful spearphishing attempts were noted when email providers began offering link checking and automatic file detonation to block malicious content.
    • Where possible, block logins from public VPNs, including exit nodes in the same country as target systems, or, if they need to be allowed, alert on them for further investigation. Most organizations should not need to allow incoming traffic, especially logins to systems, from VPN services [D3-NAM].
    • Educate users to only use approved corporate systems for relevant government and military business and avoid the use of personal accounts on cloud email providers to conduct official business. Network administrators should also audit both email and web request logs to detect such activity.

    Many organizations may not need to allow outgoing traffic to hosting and API mocking services, which are frequently used by GRU unit 26165. Organizations should consider alerting on or blocking the following services, with exceptions allowlisted for legitimate activity [D3-DNSDL].

    • *.000[.]pe
    • *.1cooldns[.]com
    • *.42web[.]io
    • *.4cloud[.]click
    • *.accesscan[.]org
    • *.bumbleshrimp[.]com
    • *.camdvr[.]org
    • *.casacam[.]net
    • *.ddnsfree[.]com
    • *.ddnsgeek[.]com
    • *.ddnsguru[.]com
    • *.dynuddns[.]com
    • *.dynuddns[.]net
    • *.free[.]nf
    • *.freeddns[.]org
    • *.frge[.]io
    • *.glize[.]com
    • *.great-site[.]net
    • *.infinityfreeapp[.]com
    • *.kesug[.]com
    • *.loseyourip[.]com
    • *.lovestoblog[.]com
    • *.mockbin[.]io
    • *.mockbin[.]org
    • *.mocky[.]io
    • *.mybiolink[.]io
    • *.mysynology[.]net
    • *.mywire[.]org
    • *.ngrok[.]io
    • *.ooguy[.]com
    • *.pipedream[.]net
    • *.rf[.]gd
    • *.urlbae[.]com
    • *.webhook[.]site
    • *.webhookapp[.]com
    • *.webredirect[.]org
    • *.wuaze[.]com

    Heuristic detections for web requests to new subdomains, including of the above providers, may uncover malicious phishing activity [D3-DNRA]. Logging the requests for each sub-domain requested by users on a network, such as in DNS or firewall logs, may enable system administrators to identify new targeting and victims.

    Identity and Access Management

    Organizations should take measures to ensure strong access controls and mitigate against common credential theft techniques: 

    • Use MFA with strong factors, such as passkeys or PKI smartcards, and require regular re-authentication [D3-MFA]. [11], [12] Strong authentication factors are not guessable using dictionary techniques, so they resist brute force attempts.
    • Implement other mitigations for privileged accounts: including limiting the number of admin accounts, considering using hardware MFA tokens, and regularly reviewing all privileged user accounts [D3-JFAPA].
    • Separate privileged accounts by role and alert on misuse of privileged accounts [D3-UAP]. For example, email administrator accounts should be different from domain administrator accounts.
    • Reduce reliance on passwords; instead, consider using services like single sign-on [D3-TBA].
      • For organizations using on-premises authentication and email services, plan to disable NTLM entirely and migrate to more robust authentication processes such as PKI certificate authentication.
    • Do not store passwords in Group Policy Preferences (GPP). Remove all passwords previously included in GPP and change all passwords on the corresponding accounts [D3-CH]. [13]
    • Use account throttling or account lockout [D3-ANET]:
      • Throttling is preferred to lockout. Throttling progressively increases time delay between successive login attempts.
      • Account lockout can leave legitimate users unable to access their accounts and requires access to an account recovery process.
      • Account lockout can provide a malicious actor with an easy way to launch a Denial of Service (DoS).
      • If using lockout, then allowing 5 to 10 attempts before lockout is recommended.
    • Use a service to check for compromised passwords before using them [D3-SPP]. For example, “Have I Been Pwned” can be used to check whether a password has been previously compromised without disclosing the potential password.
    • Change all default credentials [D3-CRO] and disable protocols that use weak authentication (e.g., clear-text passwords or outdated and vulnerable authentication or encryption protocols) or do not support multi-factor authentication [D3-ACH] [D3-ET]. Always configure access controls carefully to ensure that only well-maintained and well-authenticated accounts have access. [13]

    IP Camera Mitigations

    The following mitigation techniques for IP cameras can be used to defend against this type of malicious activity:

    • Ensure IP cameras are currently supported. Replace devices that are out of support.
    • Apply security patches and firmware updates to all IP cameras [D3-SU].
    • Disable remote access to the IP camera, if unnecessary [D3-ITF].
    • Ensure cameras are protected by a security appliance, if possible, such as by using a firewall to prevent communication with the camera from IP addresses not on an allowlist [D3-NAM].
    • If remote access to IP camera feeds is required, ensure authentication is enabled [D3-AA] and use a VPN to connect remotely [D3-ET]. Use MFA for management accounts if supported [D3-MFA].
    • Disable Universal Plug and Play (UPnP), Peer-to-Peer (P2P), and Anonymous Visit features on IP cameras and routers [D3-NI].
    • Turn off other ports/services not in use (e.g., FTP, web interface, etc.) [D3-ACH].
    • If supported, enable authenticated RTSP access only [D3-AA].
    • Review all authentication activity for remote access to make sure it is valid and expected [D3-UBA]. Investigate any unexpected or unusual activity.
    • Audit IP camera user accounts to ensure they are an accurate reflection of your organization and that they are being used as expected [D3-UAP].
    • Configure, tune, and monitor logging—if available—on the IP camera.

    Indicators of Compromise (IOCs)

    Note: Specific IoCs may no longer be actor controlled, may themselves be compromised infrastructure or email accounts, or may be shared infrastructure such as public VPN or Tor exit nodes. Care should be taken when basing triaging logs or developing detection rules on these indicators. GRU unit 26165 almost certainly uses extensive further infrastructure and TTPs not specifically listed in this report.

    Utilities and scripts

    Legitimate utilities

    Unauthorized or unusual use of the following legitimate utilities can be an indication of a potential compromise:

    • ntdsutil – A legitimate Windows executable used by threat actors to export contents of Active Directory
    • wevtutil – A legitimate Windows executable used by threat actors to delete event logs
    • vssadmin – A legitimate Windows executable possibly used by threat actors to make a copy of the server’s C: drive
    • ADexplorer – A legitimate window executable to view, edit, and backup Active Directory Certificate Services
    • OpenSSH – The Windows version of a legitimate open source SSH client
    • schtasks – A legitimate Windows executable used to create persistence using scheduled tasks
    • whoami – A legitimate Windows executable used to retrieve the name of the current user
    • tasklist – A legitimate Windows executable used to retrieve the list of running processes
    • hostname – A legitimate Windows executable used to retrieve the device name
    • arp – A legitimate Windows executable used to retrieve the ARP table for mapping the network environment
    • systeminfo – A legitimate Windows executable used to retrieve a comprehensive summary of device and operating system information
    • net – A legitimate Windows executable used to retrieve detailed user information
    • wmic – A legitimate Windows executable used to interact with Windows Management Instrumentation (WMI), such as to retrieve letters assigned to logical partitions on storage drives
    • cacls – A legitimate Windows executable used to modify permissions on files
    • icacls – A legitimate Windows executable used to modify permissions to files and handle integrity levels and ownership
    • ssh – A legitimate Windows executable used to establish network shell connections
    • reg – A legitimate Windows executable used to add to or modify the system registry 

    Note: Additional heuristics are needed for effective hunting for these and other living off the land (LOTL) binaries to avoid being overwhelmed by false positives if these legitimate management tools are used regularly. See the joint guide, Identifying and Mitigating Living Off the Land Techniques, for guidance on developing a multifaceted cybersecurity strategy that enables behavior analytics, anomaly detection, and proactive hunting, which are part of a comprehensive approach to mitigating cyber threats that employ LOTL techniques.

    Malicious scripts

    • Certipy – An open source python tool for enumerating and abusing Active Directory Certificate Services
    • Get-GPPPassword.py – An open source python script for finding insecure passwords stored in Group Policy Preferences
    • ldap-dump.py – A script for enumerating user accounts and other information in Active Directory
    • Hikvision backdoor string: “YWRtaW46MTEK”

    Suspicious command lines

    While the following utilities are legitimate, and using them with the command lines shown may also be legitimate, these command lines are often used during malicious activities and could be an indication of a compromise:

    • edge.exe “-headless-new -disable-gpu”
    • ntdsutil.exe “activate instance ntds” ifm “create full C:temp[a-z]{3}” quit quit
    • ssh -Nf
    • schtasks /create /xml

    Outlook CVE Exploitation IOCs

    • md-shoeb@alfathdoor[.]com[.]sa
    • jayam@wizzsolutions[.]com
    • accounts@regencyservice[.]in
    • m.salim@tsc-me[.]com
    • vikram.anand@4ginfosource[.]com
    • mdelafuente@ukwwfze[.]com
    • sarah@cosmicgold469[.]co[.]za
    • franch1.lanka@bplanka[.]com
    • commerical@vanadrink[.]com
    • maint@goldenloaduae[.]com
    • karina@bhpcapital[.]com
    • tv@coastalareabank[.]com
    • ashoke.kumar@hbclife[.]in
    • 213[.]32[.]252[.]221
    • 124[.]168[.]91[.]178
    • 194[.]126[.]178[.]8
    • 159[.]196[.]128[.]120

    Commonly Used Webmail Providers

    • portugalmail[.]pt
    • mail-online[.]dk
    • email[.]cz
    • seznam[.]cz

    Malicious Archive Filenames Involving CVE-2023-38831

    • calc.war.zip
    • news_week_6.zip
    • Roadmap.zip
    • SEDE-PV-2023-10-09-1_EN.zip
    • war.zip
    • Zeyilname.zip

    Brute Forcing IP Addresses

    Disclaimer: These IP addresses date June 2024 through August 2024. The authoring agencies recommend organizations investigate or vet these IP addresses prior to taking action, such as blocking.

    June 2024 July 2024 August 2024
    192[.]162[.]174[.]94 207[.]244[.]71[.]84 31[.]135[.]199[.]145 79[.]184[.]25[.]198 91[.]149[.]253[.]204  
    103[.]97[.]203[.]29 162[.]210[.]194[.]2 31[.]42[.]4[.]138 79[.]185[.]5[.]142 91[.]149[.]254[.]75  
    209[.]14[.]71[.]127   46[.]112[.]70[.]252 83[.]10[.]46[.]174 91[.]149[.]255[.]122  
    109[.]95[.]151[.]207   46[.]248[.]185[.]236 83[.]168[.]66[.]145 91[.]149[.]255[.]19  
        64[.]176[.]67[.]117 83[.]168[.]78[.]27 91[.]149[.]255[.]195  
        64[.]176[.]69[.]196 83[.]168[.]78[.]31   91[.]221[.]88[.]76  
        64[.]176[.]70[.]18 83[.]168[.]78[.]55   93[.]105[.]185[.]139  
        64[.]176[.]70[.]238 83[.]23[.]130[.]49   95[.]215[.]76[.]209  
        64[.]176[.]71[.]201 83[.]29[.]138[.]115   138[.]199[.]59[.]43  
        70[.]34[.]242[.]220 89[.]64[.]70[.]69   147[.]135[.]209[.]245  
        70[.]34[.]243[.]226 90[.]156[.]4[.]204   178[.]235[.]191[.]182  
        70[.]34[.]244[.]100 91[.]149[.]202[.]215   178[.]37[.]97[.]243  
        70[.]34[.]245[.]215 91[.]149[.]203[.]73   185[.]234[.]235[.]69  
        70[.]34[.]252[.]168 91[.]149[.]219[.]158 192[.]162[.]174[.]67  
        70[.]34[.]252[.]186 91[.]149[.]219[.]23   194[.]187[.]180[.]20  
        70[.]34[.]252[.]222 91[.]149[.]223[.]130   212[.]127[.]78[.]170  
        70[.]34[.]253[.]13 91[.]149[.]253[.]118 213[.]134[.]184[.]167
        70[.]34[.]253[.]247   91[.]149[.]253[.]198    
        70[.]34[.]254[.]245 91[.]149[.]253[.]20    

    Detections

    Customized NTLM listener

    rule APT28_NTLM_LISTENER {

           meta:

                  description = "Detects NTLM listeners including APT28's custom one"

           strings:

                  $command_1 = "start-process powershell.exe -WindowStyle hidden"

                  $command_2 = "New-Object System.Net.HttpListener"

                  $command_3 = "Prefixes.Add('http://localhost:8080/')"

                  $command_4 = "-match 'Authorization'"

                  $command_5 = "GetValues('Authorization')"

                  $command_6 = "Request.RemoteEndPoint.Address.IPAddressToString"

                  $command_7 = "@(0x4e,0x54,0x4c,0x4d, 0x53,0x53,0x50,0x00,0x02,0x00,0x00,0x00,0x00,0x00,0x00,0x00,0x00,0x28,0x00,0x00,0x01,0x82,0x00,0x00,0x11,0x22,0x33,0x44,0x55,0x66,0x77,0x88,0x00,0x00,0x00,0x00,0x00,0x00,0x00,0x00)"

                  $command_8 = ".AllKeys"

                  

                  $variable_1 = "$NTLMAuthentication" nocase

                  $variable_2 = "$NTLMType2" nocase

                  $variable_3 = "$listener" nocase

                  $variable_4 = "$hostip" nocase

                  $variable_5 = "$request" nocase

                  $variable_6 = "$ntlmt2" nocase

                  $variable_7 = "$NTLMType2Response" nocase

                  $variable_8 = "$buffer" nocase

           condition:

                  5 of ($command_*) 

                  or

                  all of ($variable_*)

    }

    HEADLACE shortcut

    rule APT28_HEADLACE_SHORTCUT {

           meta:

                  description = "Detects the HEADLACE backdoor shortcut dropper. Rule is meant for threat hunting."

           strings:

                  $type = "[InternetShortcut]" ascii nocase

                  $url  = "file://"

                  $edge = "msedge.exe"

                  $icon = "IconFile"

           condition:

                  all of them

    }

    HEADLACE credential dialogbox phishing 

    rule APT28_HEADLACE_CREDENTIALDIALOG {

           meta:

                  description = "Detects scripts used by APT28 to lure user into entering credentials"

           strings:

                  $command_1 = "while($true)"

                  $command_2 = "Get-Credential $(whoami)"

                  $command_3 = "Add-Content"

                  $command_4 = ".UserName"

                  $command_5 = ".GetNetworkCredential().Password"

                  $command_6 = "GetNetworkCredential().Password.Length -ne 0"

           condition:

                  5 of them

    }

    HEADLACE core script

    rule APT28_HEADLACE_CORE {

           meta:

                  description = "Detects HEADLACE core batch scripts"

           strings:

                  $chcp = "chcp 65001" ascii

                  $headless = "start "" msedge --headless=new --disable-gpu" ascii

                  

                  $command_1 = "taskkill /im msedge.exe /f" ascii

                  $command_2 = "whoami>"%programdata%" ascii

                  $command_3 = "timeout" ascii

                  $command_4 = "copy "%programdata%" ascii

                  $non_generic_del_1 = "del /q /f "%programdata%" ascii

                  $non_generic_del_3 = "del /q /f "%userprofile%Downloads" ascii

     

                  $generic_del = "del /q /f" ascii

           condition:

                  (

                          $chcp 

                          and 

                          $headless

                  )

                  and

                  (

                          1 of ($non_generic_del_*)

                          or

                          ($generic_del)

                          or

                          3 of ($command_*)

                  )

    }

    MASEPIE

    rule APT28_MASEPIE {

           meta:

                  description = "Detects MASEPIE python script"

           strings:

                  $masepie_unique_1 = "os.popen('whoami').read()"

                  $masepie_unique_2 = "elif message == 'check'"

                  $masepie_unique_3 = "elif message == 'send_file':"

                  $masepie_unique_4 = "elif message == 'get_file'"

                  $masepie_unique_5 = "enc_mes('ok'"

                  $masepie_unique_6 = "Bad command!'.encode('ascii'"

                  $masepie_unique_7 = "{user}{SEPARATOR}{k}"

                  $masepie_unique_8 = "raise Exception("Reconnect"

           condition:

                  3 of ($masepie_unique_*)

    }

    STEELHOOK

    rule APT28_STEELHOOK {

           meta:

                  description = "Detects APT28's STEELHOOK powershell script"

           strings:

                  $s_1 = "$($env:LOCALAPPDATAGoogleChromeUser DataLocal State)"

                  $s_2 = "$($env:LOCALAPPDATAGoogleChromeUser DataDefaultLogin Data)"

                  $s_3 = "$($env:LOCALAPPDATAMicrosoftEdgeUser DataLocal State)"

                  $s_4 = "$($env:LOCALAPPDATAMicrosoftEdgeUser DataDefaultLogin Data)"

                  $s_5 = "os_crypt.encrypted_key"

                  $s_6 = "System.Security.Cryptography.DataProtectionScope"

                  $s_7 = "[system.security.cryptography.protectdata]::Unprotect"

                  $s_8 = "Invoke-RestMethod"

           condition:

                  all of them

    }

    PSEXEC

    rule GENERIC_PSEXEC {

           meta:

                  description = "Detects SysInternals PSEXEC executable"

           strings:

                  $sysinternals_1 = "SYSINTERNALS SOFTWARE LICENCE TERMS"

                  $sysinternals_2 = "/accepteula"

                  $sysinternals_3 = "SoftwareSysinternals"

                  $network_1 = "%sIPC$"

                  $network_2 = "%sADMIN$%s"

                  $network_3 = "DeviceLanmanRedirector%sipc$"

                  $psexec_1 = "PSEXESVC"

                  $psexec_2 = "PSEXEC-{}-"

                  $psexec_3 = "Copying %s to %s..."

                  $psexec_4 = "gPSINFSVC"

           condition:

                  (

                          ( uint16( 0x0 ) ==0x5a4d )

                          and

                          ( uint16( uint32( 0x3c )) == 0x4550 )

                  )

                  and 

                          filesize < 1024KB

                  and

                  (

                          ( any of ($sysinternals_*) and any of ($psexec_*) )

                          or

                          ( 2 of ($network_*) and 2 of ($psexec_*))

                  )

    }

    The cybersecurity industry provides overlapping cyber threat intelligence, IOCs, and mitigation recommendations related to GRU unit 26165 cyber actors. While not all encompassing, the following are the most notable threat group names related under MITRE ATT&CK G0007 and commonly used within the cybersecurity community: 

    • APT28 [14]
    • Fancy Bear [14]
    • Forest Blizzard [14]
    • Blue Delta [15]

    Note: Cybersecurity companies have different methods of tracking and attributing cyber actors, and this may not be a 1:1 correlation to the U.S. government’s understanding for all activity related to these groupings.

    Further Reference

    To search for the presence of malicious email messages targeting CVE-2023-23397, network defenders may consider using the script published by Microsoft: https://aka.ms/CVE-2023-23397ScriptDoc. 

    For the Impacket TTP, network defenders may consider using the following publicly available Impacket YARA detection rule:
    https://github.com/Neo23x0/signature-base/blob/master/yara/gen_impacket_tools.yar

    Works Cited

    [1] Microsoft. Defending Ukraine: Early Lessons from the Cyber War. 2022. https://blogs.microsoft.com/on-the-issues/2022/06/22/defending-ukraine-early-lessons-from-the-cyber-war/  
    [2] FBI et al. Russian Cyber Actors Use Compromised Routers to Facilitate Cyber Operations. 2024. https://media.defense.gov/2024/Feb/27/2003400753/-1/-1/0/CSA-Russian-Actors-Use-Routers-Facilitate-Cyber_Operations.PDF   
    [3] NSA et al. Russian GRU Conducting Global Brute Force Campaign to Compromise Enterprise and Cloud Environments. 2021. https://media.defense.gov/2021/Jul/01/2002753896/-1/-1/0/CSA_GRU_GLOBAL_BRUTE_FORCE_CAMPAIGN_UOO158036-21.PDF 
    [4] ANSSI. Campagnes d'attaques du mode opératoire APT28 depuis 2021. 2023. https://cert.ssi.gouv.fr/cti/CERTFR-2023-CTI-009/  
    [5] ANSSI. Targeting and compromise of french entities using the APT28 intrusion set. 2025. https://cert.ssi.gouv.fr/cti/CERTFR-2025-CTI-007/   
    [6] Polish Cyber Command. Detecting Malicious Activity Against Microsoft Exchange Servers. 2023. https://www.wojsko-polskie.pl/woc/articles/aktualnosci-w/detecting-malicious-activity-against-microsoft-exchange-servers/ 
    [7] IBM. Israel-Hamas Conflict Lures to Deliver Headlace Malware. 2023. https://securityintelligence.com/x-force/itg05-ops-leverage-israel-hamas-conflict-lures-to-deliver-headlace-malware/ 
    [8] CERT-UA. APT28: From Initial Attack to Creating Domain Controller Threats in an Hour. 2023. https://cert.gov.ua/article/6276894 
    [9] NSA. Embracing a Zero Trust Security Model. 2021. https://media.defense.gov/2021/Feb/25/2002588479/-1/-1/0/CSI_EMBRACING_ZT_SECURITY_MODEL_UOO115131-21.PDF  
    [10] NSA et al. Keeping PowerShell: Security Measures to Use and Embrace. 2022. https://media.defense.gov/2022/Jun/22/2003021689/-1/-1/0/CSI_KEEPING_POWERSHELL_SECURITY_MEASURES_TO_USE_AND_EMBRACE_20220622.PDF 
    [11] National Institute of Standards and Technology (NIST). Special Publication 800-63B: Digital Identity Guidelines – Authentication and Lifecycle Management. 2020. https://pages.nist.gov/800-63-3/sp800-63b.html 
    [12] NSA. Selecting Secure Multi-factor Authentication Solutions. October 16, 2020. https://media.defense.gov/2024/Jul/31/2003515137/-1/-1/0/MULTIFACTOR_AUTHENTICATION_SOLUTIONS_UOO17091520.PDF  
    [13] NSA and CSA. NSA and CISA Red and Blue Teams Share Top Ten Cybersecurity Misconfigurations. 2023. https://media.defense.gov/2023/Oct/05/2003314578/-1/-1/0/JOINT_CSA_TOP_TEN_MISCONFIGURATIONS_TLP-CLEAR.PDF 

    [14] Department of Justice. Justice Department Conducts Court-Authorized Disruption of Botnet Controlled by the Russian Federation’s Main Intelligence Directorate of the General Staff (GRU). 2024. https://www.justice.gov/archives/opa/pr/justice-department-conducts-court-authorized-disruption-botnet-controlled-russian  
    [15] Recorded Future. GRU’s BlueDelta Targets Key Networks in Europe with Multi-Phase Espionage Campaigns. 2024. https://go.recordedfuture.com/hubfs/reports/CTA-RU-2024-0530.pdf  
     

    Disclaimer of endorsement

    The information and opinions contained in this document are provided "as is" and without any warranties or guarantees. Reference herein to any specific commercial products, process, or service by trade name, trademark, manufacturer, or otherwise, does not constitute or imply its endorsement, recommendation, or favoring by the United States Government, and this guidance shall not be used for advertising or product endorsement purposes.

    Purpose

    This document was developed in furtherance of the authoring agencies’ cybersecurity missions, including their responsibilities to identify and disseminate threats and to develop and issue cybersecurity specifications and mitigations. This information may be shared broadly to reach all appropriate stakeholders.

    Contact

    United States organizations

    • National Security Agency (NSA)
    • Cybersecurity and Infrastructure Security Agency (CISA) and Federal Bureau of Investigation (FBI)
      • U.S. organizations are encouraged to reporting suspicious or criminal activity related to information in this advisory to CISA via the agency’s Incident Reporting System, its 24/7 Operations Center (report@cisa.gov or 888-282-0870), or your local FBI field office. When available, please include the following information regarding the incident: date, time, and location of the incident; type of activity; number of people affected; type of equipment user for the activity; the name of the submitting company or organization; and a designated point of contact.
    • Department of Defense Cyber Crime Center (DC3)

    United Kingdom organizations

    Germany organizations

    Czech Republic organizations

    Poland organizations

    Australian organizations

    • Visit cyber.gov.au or call 1300 292 371 (1300 CYBER 1) to report cybersecurity incidents and access alerts and advisories.

    Canadian organizations

    Estonia organizations

    French organizations

    • French organizations are encouraged to report suspicious activity or incident related to information found in this advisory by contacting ANSSI/CERT-FR by email at cert-fr@ssi.gouv.fr or by phone at: 3218 or +33 9 70 83 32 18. 

    See Table 2 through Table 14 for all the threat actor tactics and techniques referenced in this advisory.

    Table 2: Reconnaissance
    Tactic/Technique Title ID Use
    Reconnaissance TA0043 Conducted reconnaissance on at least one entity involved in the production of ICS components for railway management.
    Gather Victim Identity Information: Email Addresses T1589.002 Conducted contact information reconnaissance to identify additional targets in key positions.
    Gather Victim Org Information T1591 Conducted reconnaissance of the cybersecurity department.
    Gather Victim Org Information: Identify Roles T1591.004 Conducted reconnaissance of individuals responsible for coordinating transport.
    Gather Victim Org Information: Business Relationships T1591.002 Conducted reconnaissance of other companies cooperating with the victim entity.
    Gather Victim Host Information T1592 Attempted to enumerate Real Time Streaming Protocol (RTSP) servers hosting IP cameras.
    Table 3: Resource development
    Tactic/Technique Title ID Use
    Compromise Accounts: Email Accounts T1586.002 Sent phishing emails using compromised accounts.
    Compromise Accounts: Cloud Accounts T1586.003 Sent phishing emails using compromised accounts.
    Table 4: Initial Access
    Tactic/Technique Title ID Use
    Trusted Relationship T1199 Conducted follow-on targeting of additional entities in the transportation sector that had business ties to the primary target, exploiting trust relationships to attempt to gain additional access.
    Phishing T1566 Used spearphishing for credentials and delivering malware to gain initial access to targeted entities.
    Phishing: Spearphishing Attachment T1566.001 Sent emails with malicious attachments.
    Phishing: Spearphishing Link T1566.002 Used spearphishing with included links to fake login pages. Sent emails with embedded hyperlinks that downloaded a malicious archive.
    Phishing: Spearphishing Voice T1566.004 Attempted to use voice phishing to gain access to privileged accounts by impersonating IT staff.
    External Remote Services T1133 Exploited Internet-facing infrastructure, including corporate VPNs, to gain initial access to targeted entities.
    Exploit Public-Facing Application T1190 Exploited public vulnerabilities and SQL injection to gain initial access to targeted entities.
    Content Injection T1659 Leveraged a WinRAR vulnerability allowing for the execution of arbitrary code embedded in an archive.
    Table 5: Execution
    Tactic/Technique Title ID Use
    User Execution: Malicious Link T1204.001 Used malicious links to hosted shortcuts in spearphishing.
    User Execution: Malicious File T1204.002 Delivered malware executables via spearphishing.
    Scheduled Task/Job: Scheduled Task T1053.005 Used scheduled tasks to establish persistence.
    Command and Scripting Interpreter T1059 Delivered scripts in spearphishing. Executed arbitrary shell commands.
    Command and Scripting Interpreter: PowerShell T1059.001 PowerShell commands were often used to prepare data for exfiltration.
    Command and Scripting Interpreter: Windows Command Shell T1059.003 Used BAT script in spearphishing.
    Command and Scripting Interpreter: Visual Basic T1059.005 Used VBScript in spearphishing.
    Command and Scripting Interpreter: Python T1059.006 Installed python on infected machines to enable the execution of Certipy.
    Table 6: Persistence
    Tactic/Technique Title ID Use
    Account Manipulation: 
    Additional Email Delegate 
    Permissions

    T1098.002 

    		 Used manipulation of mailbox permissions to establish sustained email collection. 
    Modify Authentication Process: 
    Multi-Factor Authentication

    T1556.006 

    		 Enrolled compromised accounts in MFA mechanisms to increase the trust-level of compromised accounts and enable sustained access. 
    Hijack Execution Flow: DLL 
    Search Order Hijacking     		 T1574.001  Used DLL search order hijacking to facilitate malware execution. 
    Boot or Logon Autostart 
    Execution: Registry Run Keys / 
    Startup Folder

    T1547.001 

    		 Used run keys to establish persistence. 
    Boot or Logon Autostart 
    Execution: Shortcut 
    Modification

    T1547.009 

    		 Placed malicious shortcuts in the startup folder to establish persistence. 
    Table 7: Defense Evasion
    Tactic/Technique Title ID Use
    Indicator Removal: Clear 
    Windows Event Logs    		 T1070.001  Deleted event logs through the wevtutil utility.
    Table 8: Credential access 
    Tactic/Technique Title ID Use

    Brute Force 

    Sent requests with Base64-encoded credentials for the RTSP server, which included publicly documented default credentials, and likely were generic attempts to brute force access to the devices. 

    Brute Force: Password Guessing 

    T1110.001 

    Used credential guessing to gain initial access to targeted entities. 

    Brute Force: Password Spraying 

    T1110.003 

    Used brute force to gain initial access to targeted entities. Conducted a brute force password spray via LDAP. 

    Multi-Factor Authentication Interception 

    Used multi-stage redirectors to provide MFA relaying capabilities in some campaigns. 

    Input Capture 

    Used multi-stage redirectors to provide CAPTCHA relaying capabilities in some campaigns. 

    Forced Authentication 

    Used an Outlook NTLM vulnerability to collect NTLM hashes and credentials via specially crafted Outlook calendar appointment invitations. 

    OS Credential Dumping: NTDS 

    T1003.003 

    Attempted to dump Active Directory NTDS.dit domain databases. 

    Unsecured Credentials: Group Policy Preferences 

    T1552.006 

    Retrieved plaintext passwords via Group Policy Preferences using Get-GPPPassword.py. 
    Table 9: Discovery
    Tactic/Technique Title ID Use

    Account Discovery: Domain Account

    T1087.002

    Used a modified ldap-dump.py to enumerate the Windows environment.
    Table 10: Command and Control
    Tactic/Technique Title ID Use

    Hide Infrastructure 

    		 T1665 

    Abused SOHO devices to facilitate covert cyber operations, as well as proxy malicious activity, via devices with geolocation in proximity to the target. 

    Proxy: External Proxy 

    		 T1090.002 

    Actor-controlled servers sent RTSP DESCRIBE requests destined for RTSP servers. 

    Proxy: Multi-hop Proxy 

    		 T1090.003 

    Used Tor and commercial VPNs as part of their anonymization infrastructure 

    Encrypted Channel 

    		 T1573 

    Connected to victim infrastructure using encrypted TLS. 

    Multi-Stage Channels 

    		 T1104 

    Used multi-stage redirectors for campaigns. 
    Table 11: Defense evasion (mobile framework)
    Tactic/Technique Title ID Use

    Execution Guardrails 

    Used multi-stage redirectors to verify browser fingerprints in some campaigns. 

    Execution Guardrails: Geofencing 

    T1627.001 

    Used multi-stage redirectors to verify IP-geolocation in some campaigns. 
    Table 12: Lateral movement
    Tactic/Technique Title ID Use

    Lateral Movement 

    Used native commands and open source tools, such as Impacket and PsExec, to move laterally within the environment. 

    Remote Services: Remote Desktop Protocol 

    T1021.001 

    Moved laterally within the network using RDP. 
    Table 13: Collection
    Tactic/Technique Title ID Use

    Email Collection 

    Retrieved sensitive data from email servers. 

    Email Collection: Remote Email Collection 

    T1114.002 

    Used server data exchange protocols and APIs such as Exchange Web Services (EWS) and IMAP to exfiltrate data from email servers. 

    Automated Collection 

    Used periodic EWS queries to collect new emails. 

    Video Capture 

    Attempted to gain access to the cameras’ feeds. 

    Archive Collected Data 

    Accessed files were archived in .zip files prior to exfiltration. 

    Archive Collected Data: Archive via Utility 

    T1560.001 

    Prepared zip archives for upload to the actors’ infrastructure. 
    Table 14: Exfiltration
    Tactic/Technique Title ID Use

    Exfiltration Over Alternative Protocol 

    Attempted to exfiltrate archived data via a previously dropped OpenSSH binary. 

    Scheduled Transfer 

    Used periodic EWS queries to collect new emails sent and received since the last data exfiltration. 

    Appendix B: CVEs exploited

    Table 15: Exploited CVE information
    CVE  Vendor/Product  Details

    CVE-2023-38831 

    RARLAB WinRAR 

    Allows execution of arbitrary code when a user attempts to view a benign file within a ZIP archive. 

    CVE-2023-23397 

    Microsoft Outlook 

    External actors could send specially crafted emails that cause a connection from the victim to an untrusted location of the actor’s control, leaking the Net-NTLMv2 hash of the victim that the actor could then relay to another service to authenticate as the victim. 

    CVE-2021-44026 

    Roundcube Webmail 

    Roundcube before 1.3.17 and 1.4.x before 1.4.12 is prone to a potential SQL injection via search or search params. 

    CVE-2020-35730 

    Roundcube Webmail 

    An XSS issue was discovered in Roundcube Webmail before 1.2.13, 1.3.x before 1.3.16 and 1.4.x before 1.4.10, where a plaintext email message with JavaScript in a link reference element is mishandled by linkref_addindex in rcube_string_replacer.php. 

    CVE-2020-12641 

    Roundcube Webmail 

    Roundcube Webmail before 1.4.4 allows arbitrary code execution via shell metacharacters in a configuration setting for im_convert_path or im_identify_path in rcube_image.php. 

    Appendix C: MITRE D3FEND Countermeasures

    Table 16: MITRE D3FEND countermeasures
    Countermeasure Title  ID  Details 

    Network Isolation 

    Employ appropriate network segmentation. Disable Universal Plug and Play (UPnP), Peer-to-Peer (P2P), and Anonymous Visit features on IP cameras and routers. 

    Access Mediation 

    Limit access and utilize additional attributes (such as device information, environment, and access path) when making access decisions. Configure access controls carefully to ensure that only well-maintained and well-authenticated accounts have access. 

    Inbound Traffic Filtering 

    Implement host firewall rules to block connections from other devices on the network, other than from authorized management devices and servers, to prevent lateral movement. 

    Resource Access Pattern Analysis 

    Use automated tools to audit access logs for security concerns and identify anomalous access requests. 

    Outbound Traffic Filtering 

    Block NTLM/SMB requests to external infrastructure. 

    Platform Monitoring 

    Install EDR/logging/cybersecurity solutions onto high value systems with large amounts of sensitive data such as mail servers and domain controllers. 

    System File Analysis 

    Collect and monitor Windows logs for certain events, especially for events that indicate that a log was cleared unexpectedly. 

    Application Hardening 

    Enable optional security features in Windows to harden endpoints and mitigate initial access techniques. 

    Application-based Process Isolation 

    Enable attack surface reduction rules to prevent executable content from email. 

    Executable Allowlisting 

    Enable attack surface reduction rules to prevent execution of files from globally writeable directories, such as Downloads or %APPDATA%. 

    Execution Isolation 

    Unless users are involved in the development of scripts, limit the execution of scripts (such as batch, JavaScript, and PowerShell) to known scripts. 

    Application Configuration Hardening 

    Disable Windows Host Scripting functionality and configure PowerShell to run in Constrained mode. Disable protocols that use weak authentication (e.g., clear-text passwords, or outdated and vulnerable authentication or encryption protocols) or do not support multi-factor authentication. Turn off other ports/services not in use (e.g., FTP, web interface, etc.). 

    Process Spawn Analysis 

    Use open source SIGMA rules as a baseline for detecting and alerting on suspicious file execution or command parameters. 

    URL Reputation Analysis 

    Use services that provide enhanced browsing services and safe link checking. 

    Network Access Mediation 

    Do not allow incoming traffic, especially logins to systems, from public VPN services. Where possible, logins from public VPNs, including exit nodes in the same country as target systems, should be blocked or, if allowed, alerted on for further investigation. Ensure cameras and other Internet of Things devices are protected by a security appliance, if possible. 

    DNS Denylisting 

    D3-DNSDL 

    Do not allow outgoing traffic to hosting and API mocking services frequently used by malicious actors. 

    Domain Name Reputation Analysis 

    Heuristic detections for web requests to new subdomains may uncover malicious phishing activity. Logging the requests for each sub-domain requested by users on a network, such as in DNS or firewall logs, may enable system administrators to identify new targeting and victims. 

    Multi-factor Authentication 

    Use MFA with strong factors and require regular re-authentication, especially for management accounts. 

    Job Function Access Pattern Analysis 

    D3-JFAPA 

    Implement other mitigations for privileged accounts: including limiting the number of admin accounts, considering using hardware MFA tokens, and regularly reviewing all privileged user accounts. 

    User Account Permissions 

    Separate privileged accounts by role and alert on misuse of privileged accounts. Audit user accounts on all devices to ensure they are an accurate reflection of your organization and that they are being used as expected. 

    Token-based Authentication 

    Reduce reliance on passwords; instead, consider using services like single sign-on. 

    Credential Hardening 

    Do not store passwords in Group Policy Preferences (GPP). Remove all passwords previously included in GPP and change all passwords on the corresponding accounts. 

    Authentication Event Threshholding 

    Use account throttling or account lockout. Throttling progressively increases time delay between successive login attempts. If using account lockout, allow between 5 to 10 attempts before lockout. 

    Strong Password Policy 

    Use a service to check for compromised passwords before using them. 

    Credential Rotation 

    Change all default credentials. 

    Encrypted Tunnels 

    Disable protocols that use weak authentication (e.g., clear-text passwords, or outdated and vulnerable authentication or encryption protocols). Use a VPN for remote connections to devices. 

    Software Update 

    Apply security patches and firmware updates to all devices. Ensure devices are currently supported. Replace devices that are end-of-life. 

    Agent Authentication 

    Ensure authentication is enabled for remote access to devices. If supported on IP cameras, enable authenticated RTSP access only. 

    User Behavior Analysis 

    Review all authentication activity for remote access to make sure it is valid and expected. Investigate any unexpected or unusual activity. 

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