NewzIntel.com

Category: Economy

  • MIL-OSI USA: ICYMI: Warren, Wyden, Senators Slam Social Security for Improperly Declaring Thousands Dead, Call for Watchdog Investigation

    US Senate News:

    Source: United States Senator for Massachusetts – Elizabeth Warren
    May 08, 2025
    Trump administration abused Death Master File to purge at least 6,300 Social Security numbers, including children and seniors
    Letter to SSA Acting Commissioner | Letter to SSA Assistant Inspector General for Audit 
    Washington, D.C. – U.S. Senator Elizabeth Warren (D-Mass.), along with Senate Finance Committee Ranking Member Ron Wyden (D-Ore.) and 11 Senate Democrats, slammed the Social Security Administration (SSA) for transferring thousands of Social Security numbers associated with immigrants to the SSA’s Death Master File, marking them as dead to pressure “self-deportation,” and demanded the agency’s watchdog launch a full investigation into the decision.
    Exploiting Social Security’s Death Master File to terminate the SSN of living individuals without full due process violates bedrock constitutional rights. The Trump administration’s actions, which amount to falsifying government records, also violate the Privacy Act. Even Trump’s lawyers reportedly agreed. 
    “This decision will result in the ‘financial murder’ of living individuals improperly placed in the file, with everything from their credit cards and banking to their ability to access healthcare and housing being ripped out from under them,” wrote the senators.
    The senators also called on the SSA Office of the Inspector General to launch a full investigation into the agency’s decision to begin using the Death Master File for this purpose, including how an individual gets targeted, who at the agency has decision-making authority, and how those who have had their SSNs nullified through this process can get it fixed if there is a mistake.
    The Trump administration’s abuse of Social Security and its flagrant violation of constitutional guarantees of due process set a precedent that could endanger the rights of all Americans. It also undermines the accuracy of the Social Security Administration’s data, which could lead to more mistakes that limit a person’s access to benefits, regardless of their immigration status. 
    “The purpose of SSA is to provide for the welfare of number-holders and their dependents, not to serve as an arm of President Trump’s immigration enforcement agenda. This move degrades the solvency, reliability, and accuracy of SSA systems and programs. It is as cruel as it is thoughtless—the impact will be felt in communities across the country and in the future of SSA programs themselves,” concluded the senators to Acting Social Security Commissioner Leland Dudek. 
    The letter was signed by Senators Peter Welch (D-Vt.), Mazie Hirono (D-Hawai’i), Tammy Duckworth (D-Ill.), Catherine Cortez Masto (D-Nev.), Bernie Sanders (I-Vt.), Angus King (I-Maine), Cory Booker (D-N.J.), Ben Ray Luján (D-N.M.), Patty Murray (D-Wash.), and Jeff Merkley (D-Ore.). 

    MIL OSI USA News –

  • MIL-OSI USA: WATCH: Padilla Speaks on Senate Floor to Defend California’s Clean Air Act Waivers, Warns Republicans of Consequences of Overruling Parliamentarian

    US Senate News:

    Source: United States Senator Alex Padilla (D-Calif.)

    WATCH: Padilla Speaks on Senate Floor to Defend California’s Clean Air Act Waivers, Warns Republicans of Consequences of Overruling Parliamentarian

    WATCH: Padilla highlights environmental, public health, and economic importance of California’s waiversWASHINGTON, D.C. — Today, U.S. Senators Alex Padilla (D-Calif.), Ranking Member of the Senate Committee on Rules and Administration, Adam Schiff (D-Calif.), and Sheldon Whitehouse (D-R.I.), Ranking Member of the Senate Committee on Environment and Public Works (EPW), took to the Senate floor to sound the alarm on Senate Republicans’ consideration of a dangerous plan to overrule the Senate Parliamentarian’s decision regarding California’s clean air waivers that allow the state to implement more protective air quality standards.
    The House of Representatives last week erroneously voted to revoke three of California’s Clean Air Act waivers for the state’s clean cars and trucks programs, despite the Government Accountability Office’s (GAO) determination that California’s Clean Air Act waivers are not rules under the Congressional Review Act (CRA), and the Senate Parliamentarian’s decision that any CRA resolutions on this subject would therefore require 60 votes to secure Senate passage. Senator Padilla emphasized the harmful environmental, public health, and economic consequences of attempting to revoke California’s waivers, as well as the dangerous precedent this “nuclear option” would set in undermining longstanding Senate procedures that could be applied to legislation far beyond the CRA.
    Padilla outlined California’s leadership in driving climate progress that has not only improved air quality, but has helped make California the world’s fourth largest economy through investments in innovative clean technologies.
    “When Donald Trump returned to the White House a few months ago, there was a whole lot of people throughout California and beyond that knew that California had a target on its back. For more than half a century, we’ve been trailblazers in a number of policy areas, but especially in the fight for environmental protections and public health protections. And for the last decade, we’ve been proud to … stand up to each and every one of Donald Trump’s attacks on our clean air and clean water, not just through his rhetoric, but through his actions. So while the particular procedural battle that we find ourselves in today over the Clean Air Act waivers may be new, the larger war on California’s climate leadership and progress is not new.”
    “One of the most outlandish things I’ve heard from my Republican colleagues these past few weeks as it pertains to these Clean Air Act waivers is that they’re concerned that these waivers and other regulations would stifle the California economy. That ‘the market is not ready.’ Or, I’ve heard some say that they’re concerned that this could raise prices on consumers. Really? These are the same Republican members who have stayed silent while Donald Trump’s imposed universal tariffs that are actually already increasing prices. So now you’re worried about increased costs for American families? Where have you been these last several weeks? But I have some good news for you: in case you haven’t heard, California’s proven this argument wrong already. … As of a couple weeks ago, California is now the fourth largest economy in the world.”
    “California didn’t get there by just holding on to technologies of the past. We did so by innovation and investment in clean technologies. So we are proving that you can be for clean air and for business and economic growth.”
    Padilla emphasized that Republicans are looking for a “backdoor” to bypass a filibuster since they do not have the votes needed to amend the Clean Air Act, instead trying to use the CRA to kill California’s Clean Air Act authority with a lower, 51-vote threshold. This would require Republicans to overrule the Senate Parliamentarian and GAO, which they have never done on a CRA question. Padilla highlighted that Senate Republicans, including EPW Chair Senator Mike Lee (R-Utah), have even published a fact sheet that says: “California’s power to influence national emissions standards … is not subject to Congressional review.”
    “In plain English, they’re trying to change the rules of the Senate in order to please Donald Trump and the Big Oil lobby.”
    “It’s clear to me that this is about more than just California’s climate policies and leadership. This would set a major new precedent that blows way past the bounds of the Congressional Review Act. It’s not an insignificant change to the rules. It is not an insignificant precedent that you would be setting.”
    “If successful, it would open the door to ignoring the Parliamentarian on any ruling that you don’t like. And if Republicans can ignore the Parliamentarian on a CRA, then why not the tax bill that they’re working so hard on? Or health care? Or anything else?”
    He concluded his speech by presenting Senate Republicans’ previous statements saying they would not ignore the parliamentarian. Majority Leader John Thune (R-S.D.) said that ignoring the Senate Parliamentarian would be “totally akin to killing the filibuster. We can’t go there.” Senator John Curtis (R-Utah) said “a red line for [him] is overruling the Parliamentarian,” and Senator Susan Collins (R-Maine) promised she would “never vote to overturn the Parliamentarian.” Padilla warned his Republican colleagues not to cross this critical red line.
    “I will call our attention to the fact that the red line is here now. And each member of this body has a decision to make. The Parliamentarian has ruled that this effort cannot be done on a 51-vote threshold.”
    “If you choose to go forward and overrule the Parliamentarian, just know: there’s no going back. All bets are off.”
    Senator Padilla has been outspoken in pushing back against Republican attacks on California’s Clean Air Act waivers. Earlier this week, Padilla, Whitehouse, and U.S. Senate Democratic Leader Chuck Schumer (D-N.Y.) led Democratic Ranking Members in strongly warning Majority Leader Thune and Majority Whip John Barrasso (R-Wyo.) of the dangerous and irreparable consequences if Senate Republicans overrule the Senate Parliamentarian’s decision on California’s waivers.
    Last month, Senators Padilla, Whitehouse, and Schiff welcomed the Senate Parliamentarian’s decision that the waivers are not subject to the CRA. Padilla also joined Whitehouse and Schiff in blasting Trump and EPA Administrator Lee Zeldin’s weaponization of the EPA after GAO’s similar finding. Padilla and Schiff previously slammed the Trump Administration’s intent to roll back dozens of the EPA’s regulations that protect California’s air and water.
    Video of Senator Padilla’s remarks is available here.

    MIL OSI USA News –

  • MIL-OSI USA: Wyden Joins Bipartisan Tax-Free Pell Grant Act to Help Make Higher Education More Accessible and Affordable

    US Senate News:

    Source: United States Senator Ron Wyden (D-Ore)
    May 08, 2025
    Legislation would simplify access to higher education assistance and increase opportunities for students in Oregon and nationwide.
    Washington, D.C. — U.S. Senator Ron Wyden, D-Ore., today joined Senate colleagues in introducing bipartisan legislation that would simplify higher education assistance for students in Oregon and nationwide by better coordinating Pell Grants with higher education tax incentives. 
    While Pell Grants have been a critical federal aid tool helping millions of young people cover college tuition and other fees, any additional education costs like living expenses are taxed. 
    The current tax code is complex and lacks coordination between the American Opportunity Tax Credit and the Pell Grant program, preventing students from maximizing their benefits. Students are required to subtract their Pell Grant from the amount of expenses for which they claim the tax credit that provides up to $2,500 for tuition and course materials. But calculating the optimal amount of the Pell Grant to include in taxable income is complicated for those without access to sophisticated tax advice, so many students leave benefits on the table or forgo claiming the tax credit all together.
    “Students seeking a higher education should never be denied opportunities because they can’t afford it,” Wyden said. “For decades, Pell Grants have been supporting Oregonians who are pursuing a higher education in hopes of achieving a better and brighter future. This bipartisan legislation will help students worry less about the tax consequences of their financial aid and more about the educational tools they need to succeed.”
    The Tax-Free Pell Grant Act would also remove financial barriers to higher education by  fully excluding Pell Grants from taxable income, and ensuring that students do not have to subtract Pell Grants from expenses for which the tax credit can be claimed.
    In addition to Wyden, the bill was led by U.S. Senators Sheldon Whitehouse, D-R.I., and Chuck Grassley, R-Iowa, and cosponsored by U.S. Senator Thom Tillis, R-N.C.
    The text of the bill is here.

    MIL OSI USA News –

  • MIL-OSI USA: Senator Markey, Leader Schumer, Senator Luján Decry Republican Vote to Tear Internet Access from Rural and Low-Income Students

    US Senate News:

    Source: United States Senator for Massachusetts Ed Markey

    Senators Markey, Luján, joined by E-Rate advocates
    Washington (May 8, 2025) – Senator Edward J. Markey (D-Mass.), a member of the Commerce, Science, and Transportation Committee, Senate Democratic Leader Chuck Schumer (D-N.Y.), and Senator Ben Ray Luján (D-N.M.), along with advocates from the Schools Health and Libraries Broadband (SHLB) Coalition, the American Library Association (ALA), the School Superintendents Association (AASA), and the Washington Teachers’ Union (WTU) today held a press conference on Republican attempts to gut low-income and rural students’ access to Wi-Fi internet hotspots. Senate Republicans voted Thursday to overturn a Federal Communications Commission (FCC) rule allowing schools and libraries to use their E-Rate funds to loan Wi-Fi hotspots to students and educators.
    “Today is a deeply disappointing day for students across the country, especially those living in rural and underserved communities. Today, Senate Republicans will vote to repeal a rule from the FCC to provide Wi-Fi hotspots to students at home. With this vote, Republicans are abandoning millions of students who lack the internet access needed to complete their homework, attend class, and reach their full potential,” said Senator Markey. “It is unfair. And it is cruel. This repeal doesn’t make our schools stronger. It doesn’t make our libraries better. It doesn’t improve student outcomes. It doesn’t save the government money. All it does is strip away a lifeline.”
    “For years, Senate Democrats have worked to close the digital divide, and this vote would blow a gaping hole in those efforts and set back years of progress. Access to high speed internet is not a luxury, it is a necessity – a utility as vital as electricity that people need to stay connected to the world and those they love,” said Leader Schumer. “Whether you are a student doing your homework, a veteran looking for job opportunities, senior utilizing telehealth, or someone reaching out during experiencing an emergency who needs internet access, E-rate is essential. I urge our Republican colleagues to stand up to DOGE and reconsider this vote. The American people are watching and they are feeling the effects of this slash and burn administration.”
    “Across the country, the E-Rate program has helped connect millions of students to the internet they need to succeed in today’s world – especially in the most rural parts of America. Under the FCC’s Wi-Fi hotspots rule, schools and libraries across America can provide Wi-Fi hotspots to students and educators to use at home,” said Senator Luján, Ranking Member of the Telecommunications and Media Subcommittee. “Senate Republicans just passed a partisan resolution that would rob our students and educators of the very tools they need to succeed. When we should be increasing connectivity, my Republican colleagues are working to limit it.”
    “This vote is a setback for the millions of students, library patrons, and patients who depend on hotspot access to stay connected,” said Joey Wender, Executive Director of SHLB. “But our fight isn’t over. SHLB remains committed to defending digital opportunity, and we are hopeful that the House will see the harm this resolution would cause and choose a better path forward. Communities across the country, including rural and underserved areas, are counting on it.”
    “This disappointing vote doesn’t need to become law if Congress considers how many constituents are benefitting – and will benefit in the future from this program. The enthusiasm for this vote was low. E-Rate, supported financially by the Universal Service Fund, is wildly popular. Hotspots provided through the federal E-Rate program offer a flexible, at-home opportunity for internet access, which individuals and families need, along with digital skills training. Libraries are uniquely suited to provide supportive connectivity and foster digital resilience,” said Cindy Hohl, President of the American Library Association.
    “As the national voice for more than 13,000 superintendents serving America’s public schools, we are speaking up about the danger of exacerbating a digital divide that disproportionately affects low-income, rural, and historically underserved children. This resolution would have a devastating impact on students and families who rely on internet access beyond the classroom. There are currently 20,000 school and library applications for hotspot and internet access – if it passes, students and patrons will be left offline and left behind. For many children, this program is the sole reason they are able to stay connected, keep up with their peers, complete homework, access digital learning tools, and be prepared to join the modern economy. Now is not the time to roll back access and connectivity, AASA urges members of the Senate to vote NO on S.J.Res.7,” said David Schuler, Executive Director of the AASA, the School Superintendents Association.
    Senator Markey is the House author of the original E-Rate program, which has invested over $62 billion to connect schools and libraries to the internet across the country. Massachusetts schools and libraries have received more than $930 million from the E-Rate program and another $97 million from the Emergency Connectivity Fund, a $7 billion program that Senators Markey and Chris Van Hollen (D-Md.) created within the American Rescue Plan to provide devices and connectivity for students and educators at home.

    MIL OSI USA News –

  • MIL-OSI USA: RELEASE: Mullin, Kelly, Crapo, Cramer Introduce Lowering Broadband Costs for Consumers Act of 2025

    US Senate News:

    Source: United States Senator MarkWayne Mullin (R-Oklahoma)

    RELEASE: Mullin, Kelly, Crapo, Cramer Introduce Lowering Broadband Costs for Consumers Act of 2025

    Washington, D.C. –U.S. Senators Markwayne Mullin (R-OK), Mark Kelly (D-AZ), Mike Crapo (R-ID), and Kevin Cramer (R-ND) introduced the Lowering Broadband Costs for Consumers Act of 2025 to direct the Federal Communications Commission (FCC) to require proper contributions to the Universal Service Fund (USF) from edge providers and broadband providers. Requiring edge providers to cover associated costs for rural fiber networks will reduce the financial burden on consumers and rural providers while strengthening broadband connectivity throughout rural America.
    In Oklahoma, less than half of all rural residents have access to broadband Internet, a necessity most people across the country have enjoyed at a low cost for years. More than 30 percent of individuals living on Tribal land across the U.S. do not have access to high-speed internet. 
    “Fair contributions to the USF from edge providers are long overdue,” said Senator Mullin. “Video streaming services account for 75 percent of all traffic on rural broadband networks. However, unrecovered costs from streaming companies are often shifted and borne by small rural broadband providers. Available, affordable internet will close the digital divide and increase telehealth, educational, and employment opportunities for those who previously went without. Rural Oklahomans deserve the same connectivity as those living in urban areas.”
    “In an interconnected world, high-speed internet access is part of our daily lives – from scheduling a doctor’s appointment to keeping in touch with family,” said Senator Kelly. “This bipartisan bill will have big corporations contribute to the expansion of affordable high-speed internet in areas that desperately need it.” 
    “Chickasaw Telephone Company wishes to thank Senator Markwayne Mullin, Senator Mark Kelly, and Senator Mike Crapo for introducing the Lowering Broadband Costs for Consumers Act of 2025. This bill recognizes that the Universal Service Fund rules written in 1996 aren’t applicable today, nor was the funding mechanism that was adopted decades ago. This bill takes the funding burden off those who are the smallest users of the network and places it fairly and rationally on the largest financial beneficiaries of the network,” Larry Jones, Vice President and Chief Financial Officer of Chickasaw Holding Company.
    “We are pleased and encouraged by the Lowering Broadband Costs for Consumers Act of 2025.  Senators Mullin and Kelly are true leaders for consumers and rural areas. During times of economic struggle for many in America, this bill would lessen the burden on families when they pay for the internet.  This legislation would also help modernize how broadband network deployment and maintenance is supported and paid for in the future.  We thank the Senators for introducing this ground-breaking bill,” Mark Gailey, President and CEO of Totah Communications, Inc.
    “The Universal Service Fund is a vital tool for ensuring that all Americans have access to affordable broadband, which is why WTA – Advocates for Rural Broadband supports the Lowering Costs for Broadband Consumers Act. This legislation would provide the FCC the authority it needs to ensure that all businesses that profit from the broadband network support the construction, maintenance, and upgrades of the network. It makes no sense to continue to rely on telephone customers alone. We thank the Senators for introducing this bipartisan bill and look forward to working with Congress and the FCC to modernize the USF contributions mechanism,” Derrick Owens, Senior Vice President of Government and Industry Affairs, WTA.
    “NTCA applauds the introduction of the Lowering Broadband Costs for Consumers Act, which would promote more predictable and stable funding to preserve and advance the statutory mission of universal service. As traditional telecommunications revenues decline, the assessment on the remaining consumers of such services increases, resulting in a disproportionate burden on those consumers even though they are not the most significant users of services or beneficiaries of underlying networks. Common-sense reforms like those directed by this legislation will shore up the foundation of universal service funding, spread contribution obligations more equitably among all of those that use and benefit from broadband networks, and ultimately help the low-income and rural consumers and schools, libraries, and rural health care facilities that depend on critical universal service programs,” Shirley Bloomfield, CEO of NTCA-The Rural Broadband Association.
    “The Universal Service Fund plays a crucial role in connecting millions in America, particularly in our rural areas. We appreciate Senators Mullin and Kelly for their leadership and urge Congress to make Universal Service Fund reform a top priority,” Brandon Heiner, Senior Vice President of Government Affairs, USTelecom.
    Background – The Lowering Broadband Costs for Consumers Act would:
    Direct the FCC to reform the USF by expanding the base so that edge providers and broadband providers contribute on an equitable and nondiscriminatory basis to preserve and advance universal service.
    Limit assessments of edge providers to only those with more than 3% of the estimated quantity of broadband data transmitted in the United States and more than $5 billion in annual revenue. 
    Direct the FCC to adopt a new mechanism under the current USF high-cost program to provide specific, predictable, and sufficient support for expenses incurred by broadband providers that are not otherwise recovered.
    Limit the FCC’s authority over edge providers and broadband providers only to requiring contributions to the USF.
    Full text of the Lowering Broadband Costs for Consumers Act of 2025 can be found here.

    MIL OSI USA News –

  • MIL-OSI Security: Security News: Two Honduran Men Sentenced to Prison for their Roles in International Human Smuggling Conspiracy

    Source: United States Department of Justice 2

    Note: See superseding indictment here.

    Two Honduran men were sentenced today to three years in prison for their roles in a scheme to illegally smuggle Honduran nationals into the United States.

    According to court documents and evidence presented at trial, for almost a year, Hennessy Devon Cooper Zelaya, 29, and Rudy Jackson Hernandez, 38, both of Utila, Honduras, conspired with at least six others to bring Honduran nationals from Honduras to the United States via two vessels, the Masita III and the M/V Pop. The vessels sailed from Utila, Honduras to Louisiana. The aliens and/or their family members paid thousands of dollars to be brought illegally into the United States by boat. Upon arrival, the aliens were picked up by co-conspirators and driven further into the United States. The co-conspirators then placed some of the aliens in jobs at U.S. factories and other businesses knowing that the aliens lacked authorization to enter, remain, or work in the United States. The defendants were part of the vessels’ crew on multiple voyages.

    In February 2022, the defendants attempted to illegally bring 23 Honduran nationals from Utila, Honduras, to Cocodrie, Louisiana, aboard the M/V Pop, a 65’ sportfishing vessel. During the voyage, the M/V Pop developed engine trouble and lost power. The co-conspirators then chartered a boat to bring fuel to the disabled vessel so that it could complete its journey to the United States. Before the chartered boat reached the disabled vessel, the U.S. Coast Guard interdicted the vessel approximately 75 miles off the coast of Louisiana and towed it to shore. Inside the vessel, law enforcement officers also found 24 kilograms of cocaine.

    Cooper Zelaya and Jackson Hernandez were convicted after trial of conspiracy to unlawfully bring aliens to the United States for commercial advantage and private financial gain and attempting to bring aliens to the United States for commercial advantage and private financial gain.

    The lead defendant in the case, Carl Allison, previously pleaded guilty in December 2023 to conspiracy to unlawfully bring aliens to the United States for financial gain and conspiracy to distribute five kilograms or more of cocaine hydrochloride. Three additional co-conspirators, all Honduran nationals, pleaded guilty last year for their roles in the scheme: Darrel Martinez, 41, and Josue Flores-Villeda, 36, pleaded guilty to the same charges as Allison; and Lenord Cooper, 40, pleaded guilty to conspiracy to aid and assist aliens to enter the United States unlawfully and attempting to bring aliens to the United States for commercial advantage and private financial gain. A fifth man, Honduran national Olvin Javier Velasquez Maldonado, was extradited from Honduras in April and is charged with one count of conspiracy to possess with intent to distribute five kilograms or more of cocaine. Maldonado’s trial is scheduled for June 16. An indictment is merely an allegation, and Maldonado is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

    Matthew R. Galeotti, Head of the Justice Department’s Criminal Division, Acting U.S. Attorney Michael M. Simpson for the Eastern District of Louisiana, and Special Agent in Charge Eric DeLaune of U.S. Immigration and Customs Enforcement Homeland Security Investigations (HSI) New Orleans Field Office made the announcement.

    The HSI Houma, Louisiana Field Office investigated the case, with assistance from the HSI Pittsburgh Field Office, HSI Atlanta Field Office, and Louisiana Bureau of Investigation. The HSI Human Smuggling Unit in Washington, D.C., U.S. Customs and Border Protection’s National Targeting Center International Interdiction Task Force, U.S. Coast Guard Investigative Service, U.S. Customs and Border Protection’s Air and Marine Operations, Louisiana State Police, Pennsylvania State Police, North Huntington Township Police, and Terrebonne Parish Sheriff’s Office also provided valuable assistance.

    Deputy Chief Rami Badawy of the Criminal Division’s Human Rights and Special Prosecutions Section (HRSP) and Assistant U.S. Attorney Carter Guice for the Eastern District of Louisiana prosecuted the case. The Justice Department’s Office of International Affairs (OIA) and the Criminal Division’s Office of Overseas Prosecutorial Development, Assistance and Training (OPDAT) in Honduras provided assistance.

    The sentencings are the result of the coordinated efforts of Joint Task Force Alpha (JTFA). JTFA, a partnership with the Department of Homeland Security (DHS), has been elevated and expanded by the Attorney General with a mandate to target cartels and other transnational criminal organizations to eliminate human smuggling and trafficking networks operating in Mexico, Guatemala, El Salvador, Honduras, Panama, and Colombia that impact public safety and the security of our borders. JTFA currently comprises detailees from U.S. Attorneys’ Offices along the border. Dedicated support is provided by numerous components of the Justice Department’s Criminal Division, led by HRSP and supported by the Money Laundering and Asset Recovery Section, the Office of Enforcement Operations, OIA, and OPDAT, among others. JTFA also relies on substantial law enforcement investment from DHS, the FBI, the Drug Enforcement Administration, and other partners. To date, JTFA’s work has resulted in more than 365 domestic and international arrests of leaders, organizers, and significant facilitators of alien smuggling; more than 334 U.S. convictions; more than 281 significant jail sentences imposed; and substantial seizures and forfeitures of assets and contraband including millions of dollars in cash, real property, vehicles, firearms and ammunition, and drugs.

    This case is also supported by the Organized Crime and Drug Enforcement Task Forces (OCDETF) and the Extraterritorial Criminal Travel Strike Force (ECT) program. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. The ECT program is a partnership between the Justice Department’s Criminal Division and HSI and focuses on human smuggling networks that may present particular national security or public safety risks, or present grave humanitarian concerns. ECT has dedicated investigative, intelligence, and prosecutorial resources. ECT also coordinates and receives assistance from other U.S. government agencies and foreign law enforcement authorities.

    This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

    MIL Security OSI –

  • MIL-OSI USA: Rep. Young Kim Questions Treasury Secretary Bessent at Financial Services Hearing

    Source: United States House of Representatives – Representative Young Kim (CA-39)

    Washington, DC – This week, U.S. Representative Young Kim (CA-40) asked questions to Treasury Secretary Scott Bessent at a House Financial Services Committee hearing.  

    Watch the full clip HERE or read highlights below. 

    On tariffs 

    Rep. Kim: Southern California, where I’m from in and the district that I represent, serves as the primary gateway to Pacific Rim, and Asian goods into the United States come through the Ports of LA and Long Beach. We are already starting to see a drop in volume as the Ports of LA and Long Beach are expected to see 35% to 30% drop when compared to a year ago. Cargo volume is one of the largest economic drivers in the region, and a long-term drop will not just impact families at the grocery stores and small businesses’ bottom line but also result in truckers and dock workers losing their jobs. So, Secretary Bessent, I would like to ask, how can you ensure that our tariff policy will not unintentionally harm American small businesses and workers in the long term? 

    Secretary Bessent: Congresswoman, we believe they are, over the long term that it will drive growth in the economy. And as I’ve said many times, it is a mistake to look at trade in isolation. The Trump economic policy is a three-legged stool. Trade, taxes, and deregulation, and we believe that the sum of the parts, that the whole is greater than the parts. As we complete each one of those that the US will serve the substantial economic growth.  

    Rep. Kim: I know that a lot of my constituents, share these concerns that we raised. I’d like to continue this discussion on this specific topic with you moving forward, because I’m concerned that these long scale tariffs, if they continue in the long term, then American working families and small businesses will suffer under price hikes and a lack of certainty. 

    On the Financial Stability Oversight Council (FSOC) 

    Rep. Kim: Under the previous administration, Secretary Yellen rescinded the non-bank systematically important financial institution and replaced it with a new framework for assessing the financial risk. This new framework overlooks the importance of prioritizing an activity based standard and a cost benefit analysis. So, Secretary Bessent, does FSOC intend to reassess the 2023 guidance so that it is more closely aligned with the thoughtful process that was created in 2019? 

    Secretary Bessent: Congresswoman, that is on our agenda.  

    Rep. Kim: Thank you. You know, as you finalize that decision, I want to emphasize that my support for a return to an activity based approach that more appropriately addresses the risk of non-banks.  

    Secretary Bessent: Treasury would be happy to work with your team on that.  

    On CDFI Fund 

    Rep. Kim: I’d like to urge you to continue your support for CDFI. CDFI Fund programs are statutory, as you know, and this has been critical in promoting the local economy in Orange County. Do you still agree that the CDFI plan has a critical role to play in fostering economic opportunity? I think I know the answer because you stated very clearly, in public statements. 

    Secretary Bessent: We believe that if CDFI officials follow their statutory obligations and do not digress into more ideological boundaries, they can be important institutions. 

    On Financial Literacy 

    Rep. Kim: As you know, last week I attended the Financial Literacy Roundtable that your team put together. I want to thank you so much because, as a co-chair of the Financial Literacy and Wealth Creation Caucus, events like that, bringing the stakeholders together and having a meaningful dialogue and conversation, I think is critically important. We need to continue that. Can you talk about how you can continue to advance financial literacy initiatives now that we are past the Financial Literacy Month?  

    Secretary Bessent: As you should know, it is a strong core belief of mine that financial literacy is the only path to economic independence and well-being. The more Americans that who can be educated, and I think we should probably go state to state and encourage each state to put in financial literacy standards for their students. 

    MIL OSI USA News –

  • MIL-OSI USA: GREAT DEAL FOR AMERICA: President Trump’s “Breakthrough” Trade Deal

    US Senate News:

    Source: The White House
    In February, President Donald J. Trump promised “a great trade agreement” with the United Kingdom — and today he delivered with a “breakthrough” trade deal that expands market access, curbs non-tariff barriers, and levels the playing field for American exporters.
    Promises made, promises kept — and he’s just getting started.
    It’s the first such deal under President Trump’s transformational plan to liberate Americans from globalist trade policies that make foreign countries rich while Americans get robbed. It’s all part of President Trump’s vision of economic prosperity: fair trade, historic tax cuts, deregulation, and a manufacturing revival that will cement America’s new Golden Age for decades to come.
    Here’s what they’re saying:
    National Cattlemen’s Beef Association President Buck Wehrbein: “With this trade deal, President Trump has delivered a tremendous win for American family farmers and ranchers. For years, American cattle producers have seen the United Kingdom as an ideal partner for trade. Between our countries’ shared history, culture, and their desire for high-quality American beef, securing a trade agreement is a natural step forward. Thank you President Trump for fighting for American cattle producers.”
    Renewable Fuels Association President and CEO Geoff Cooper: “We sincerely thank President Trump and his trade negotiators for ensuring that American-made ethanol is an important part of the trade agreement announced today with the United Kingdom. While we are still awaiting the specific details of the agreement, we are excited about the prospects of expanded market access that will help boost our farm economy, while also delivering lower-cost, cleaner fuel to UK drivers.”
    International Dairy Foods Association President and CEO Michael Dykes, D.V.M.: “On behalf of America’s dairy processors and producers, IDFA applauds President Trump’s announcement today that the United States and the United Kingdom have reached the terms for a significant trade deal between our two markets that promises to expand access for U.S. agricultural goods, reduce tariffs, and remove barriers to trade … For too long, the UK has limited America’s food and agricultural exports to the world’s sixth largest economy and now President Trump’s deal promises to level the playing field. IDFA looks forward to studying the details of this agreement as they emerge, especially specifics on relief and new market access opportunities for U.S. dairy products. The United States offers the world’s most wholesome, high-quality and affordable dairy products and IDFA is excited to work with our member companies to bring these delicious products to more consumers in the United Kingdom.”
    Growth Energy CEO Emily Skor: “In terms of trade with the UK, the American ethanol industry had its best year ever last year of exports valued at over $535 million. This trade agreement puts us on track to set another record, all to the benefit of American farmers, biofuel producers, and UK consumers. We look forward to learning more, and finding new ways to help the UK achieve its economic and environmental goals through the increased use of American biofuels. We commend the President and his team for making this deal and creating new opportunities for American ethanol and rural America.”
    Job Creators Network CEO Alfredo Ortiz: “Trump’s trade deal with the United Kingdom is a big victory for small businesses, American consumers, and the Trump administration itself. By reducing tariffs and trade barriers, American small businesses will be able to expand their markets and more easily sell to the relatively wealthy UK, whose population is 70 million. American consumers — including small businesses — will also get cheaper access to British goods. President Trump’s tough tariff stance is starting to pay dividends in the form of fairer and freer trade deals that put America first. The many more deals to come will greatly improve the small business economy, financial markets, and American prosperity.”
    Consumer Brands Association President and CEO Melissa Hockstad: “Consumer Brands commends the Trump administration’s successful completion of a comprehensive trade deal with the United Kingdom. As President Trump and his team pursues the America First Trade Policy agenda, the consumer packaged goods industry — America’s largest domestic manufacturing sector by employment — supports the creation of new opportunities for U.S. businesses and efforts to address unfair trade barriers around the world. As the administration continues to pursue deals with other countries, we encourage U.S. trade representatives to examine the needs of different manufacturing sectors and prioritize maintaining access to unavailable natural resources. Ensuring continued trade flows of those key ingredients, which are not available from U.S. sources, is critical to achieving the president’s economic vision, fighting grocery inflation and protecting the 22.3 million American jobs supported by food, beverage, household and personal care manufacturers.”
    HSBC USA President & CEO Lisa McGeough: “Today’s landmark US – UK trade agreement marks a significant step in strengthening transatlantic economic ties and expanding opportunities for businesses and investors. As a British-headquartered bank with a strong US footprint, we’re uniquely positioned to help American companies and investors seize new growth opportunities domestically, in the UK, and beyond. In the US, we stand ready to leverage our position as the world’s leading trade bank to facilitate cross-border commerce, support job creation, and drive investment. We commend the administration on the first of what we hope will be many forward-looking trade agreements.”
    American Farm Bureau Federation President Zippy Duvall: “Farm Bureau appreciates the work between the administration and the United Kingdom to secure a new trade agreement. We have long advocated for new trade deals, and this is an important first step in expanding markets in the four countries … We’re encouraged by progress to create market opportunities for farmers.”
    Nebraska Gov. Jim Pillen: “Trade matters to Nebraska because our farmers and ranchers produce the absolute best – and feed the world. America’s relationship with the U.K. is longstanding, and there is great potential for expanded trade between our countries. President Trump and his administration know that we need more trade with fewer barriers, and they are working around the clock to finalize trade deals with partners across the globe. That’s good news for Nebraska.”
    Iowa Secretary of Agriculture Mike Naig: “A new trade deal with a key ally like the United Kingdom is great news and so I am very encouraged by President Trump’s announcement today. I am particularly pleased to hear the President tout expanded market access for ethanol, beef, and, as he put it, ‘virtually all the products produced by our great farmers’ … Today’s trade announcement demonstrates that there is real progress being made toward opening additional markets for Iowa products across the globe. I hope this deal is the first of many that will be announced with other trading partners in the coming weeks and months.”
    Senate Majority Whip John Barrasso: “It’s good to have the dealmaker-in-chief back in the White House. President Trump’s historic trade deal with the U.K. will mean more jobs and increased investment right here in America. More promises kept.”
    Sen. Jim Banks: “Art of the Deal!”
    Sen. John Boozman: “I just spoke on the phone with USTR Ambassador Greer to discuss the good news. He’s doing a great job, and I look forward to working with him and @SecRollins to ensure agriculture market access remains a priority as the details continue to be worked out.”
    Sen. John Cornyn: “@POTUS Donald Trump will unveil his first post-Liberation Day trade deal this morning — a “major” agreement with the United Kingdom on rolling back tariffs.”
    Sen. Joni Ernst: “President Trump continues to deliver and is opening new markets for Iowa farmers!”
    Sen. Bill Hagerty: “No surprise that our Dealmaker-in-Chief President Donald Trump is rapidly delivering on his promise to ensure our trading partners are operating in good faith and that America is being treated fairly. The deal the President struck with the UK is proof that countries are responding to tariffs and want to enter into trade agreements with the United States that benefit both parties. I look forward to many more announcements in the near future.”
    Sen. Roger Marshall: “Promises made. Promises kept. We are opening up new markets for our world class Kansas beef! Big win.”
    Sen. Jerry Moran: “The UK offers a strategic market for American aviation & agricultural products. I introduced legislation earlier this year to lay the groundwork for a strong bilateral trade relationship, & President Trump’s announcement of a new trade agreement with the UK is a positive step forward.”
    Sen. Bernie Moreno: “An absolutely historic pro America deal by the most pro America President of my lifetime. We will no longer be ripped off and will no longer tolerate trade imbalances that have destroyed the opportunities for working Americans.”
    Sen. Eric Schmitt: “After years of getting ripped off, America is finally playing to win. More exports, more products made here, and record-breaking investment thanks to President Trump’s trade deals.”
    Sen. Rick Scott: “Great news! Thank you, President Trump, for working with our allies while putting America first and protecting American jobs!”
    Sen. Tim Sheehy: “The Art of the Deal. President Trump just delivered a huge win for hardworking Americans. Let’s keep them coming!”
    Sen. Thom Tillis: “A big win secured by @POTUS with the United Kingdom, our greatest ally and one of our largest trade partners. This is a significant step toward establishing fair and mutually beneficial trade relationships with our global partners.”
    Sen. Tommy Tuberville: “Today’s trade deal with the UK is the first of many to come. Like I always say: Never bet against @realDonaldTrump. THE ART OF THE DEAL”
    House Majority Whip Tom Emmer: “The master negotiator succeeds again. @POTUS promised to bring our trading partners to the table and secure deals that put AMERICA FIRST—and that’s exactly what he did. More to come!”
    House Republican Conference Chair Lisa McClain: “Promises Made, Promises KEPT! @POTUS brought countries to the negotiation table and has already DELIVERED a historic trade deal.”
    House Republican Leadership Chair Elise Stefanik: “President @realDonaldTrump delivers AGAIN. Thanks to his bold leadership and tough tariffs, the UK is the first to come to the table—with a new trade deal that puts American workers and businesses FIRST. This is what economic strength and real leadership looks like. Fair trade. Better deals. America wins.”
    Rep. Mark Alford: “Fact check: President Trump’s tariff strategy works. Boosting American manufacturing and fighting for our farmers. ANOTHER WIN FOR AMERICA.”
    Rep. Rick Allen: “Another VICTORY! @POTUS is bringing our trading partners to the table and securing billions in new market access for American workers, businesses, and producers. Today’s trade deal with the U.K. will be the first of many. Economic strength is national strength!”
    Rep. Don Bacon: “I congratulate @POTUS on striking a trade deal with the U.K. While we wait for the finer details of the agreement, including more than $700 million in ethanol exports and $250 million in other AG products like beef, every Nebraskan will surely feel it.”
    Rep. Aaron Bean: “President Trump announced the first historic trade deal with the UK—something the legacy media said was ‘impossible.’ Today’s deal will make our economy stronger, put American workers first, and unleash the full potential of American industry.”
    Rep. Vern Buchanan: “President Trump has once again delivered for the American people with a historic trade agreement that puts our workers and businesses first. This new deal with the United Kingdom dramatically expands access for American exports—especially agriculture—and levels the playing field for our manufacturers.”
    Rep. Tim Burchett: “.@realDonaldTrump is fulfilling his promise to protect American workers and businesses. The UK trade deal slashes tariffs against the U.S. and is Making America Prosperous Again.”
    Rep. Buddy Carter: “This new trade deal with the United Kingdom is just the start to the Golden Age of America. President Trump is keeping his promise, bringing fair trade to America by using the art of the deal!”
    Rep. Andrew Clyde: “ART OF THE DEAL in action!”
    Rep. Mike Collins: “President Trump’s tariff strategy works. Today’s trade deal with the U.K. will make our economy stronger and put American workers first. The only people upset are the Democrats and liberal media who wanted him to fail.”
    Rep. Warren Davidson: “A glaring example of why we need to trust President Trump’s tariff strategy—it’s working. Stay the course.”
    Rep. Pat Fallon: “Another day, another deal!”
    Rep. Michelle Fischbach: “More promises made and kept by @POTUS. He said he would hold our trade partners accountable and put America first, and he’s delivering. This is just the beginning!”
    Rep. Julie Fedorchak: “@POTUS is delivering exactly what our producers need. North Dakota grows and raises some of the best products in the world, and now we have greater access to one of the world’s largest markets. This is just the first of many trade victories to come under President Trump!”
    Rep. Chuck Fleischmann: “@POTUS is ending decades of unfair trade deals that have ripped off the American People and is moving at lightning speed to negotiate and deliver America First trade deals. The US-UK trade deal announced today is historic and is only just the beginning!”
    Rep. Mike Flood: “Over the last four years, President Biden did nothing on trade. Within a matter of months, President Trump’s dealmaking experience resulted in a trade deal with the United Kingdom, one of our country’s oldest allies.”
    Rep. Virginia Foxx: “The Art of The Deal.”
    Rep. Lance Gooden: “In four years, Joe Biden signed ZERO major trade deals. In just over 100 days, President Trump negotiated and signed a major trade deal with the United Kingdom. America is leading once again.”
    Rep. Mark Green: “Once again, the Negotiator-in-Chief is closing deals to safeguard American manufacturers and grow our trade bigger and better than ever. On Victory in Europe Day, there isn’t a better anniversary to solidify our partnership with the United Kingdom.”
    Rep. Marjorie Taylor Greene: “Another incredible trade deal just secured by President Trump! The Golden Age of America is here!!”
    Rep. Diana Harshbarger: “This is a HUGE WIN! Because of @POTUS’s leadership, America is securing historic economic deals—and this is just the beginning!”
    Rep. Ashley Hinson: “Huge win—and many more to come! @POTUS is fighting to right the wrongs of the past, return to fair trade, and build a more abundant America. Thank you for prioritizing new market opportunities for Iowa’s farmers and biofuels producers.”
    Rep. Richard Hudson: “This is what decisive leadership looks like. Thank you, @POTUS!”
    Rep. Wesley Hunt: “Economic Security IS National Security — and PRESIDENT TRUMP is doing it again! This HISTORIC DEAL delivers:A stronger industrial baseTougher export controlsProtection of U.S. techBoosted steel productionThis is the Art of the Deal — the world is taking notes!”
    Rep. Jim Jordan: “President Trump’s trade deal with the UK is the first of many to come. There’s no better negotiator. There’s no one better to fix Joe Biden’s broken economy.”
    Rep. Young Kim: “I’m glad to see the Trump administration work with our ally Britain to promote fair trade and expand market opportunity for U.S. agricultural producers.”
    Rep. David Kustoff: “Today, @POTUS unveiled a historic U.S.-UK trade deal. $5B in new market access, $6B in tariff revenue, and a stronger alliance! @realdonaldtrump keeps delivering on his promises! This is America First!”
    Rep. Barry Loudermilk: “America has spent far too long on the losing end of global trade. President Trump pledged to put America’s interests first, and he is doing so beginning with this trade deal with one of our oldest allies. #promiseskept.”
    Rep. Tom McClintock: “The freer the trade, the greater the benefits for all countries involved. The UK agreement takes us in the right direction. Let’s keep going toward a new golden age of global free trade and the peace and prosperity it produces.”
    Rep. Dan Meuser: “This is a strong step forward. Fairer trade, lower energy costs, and pro-growth tax policies will keep driving investment here at home. I also laid out how we can responsibly reduce spending while extending key provisions of President Trump’s Tax Cuts and Jobs Act, which delivered significant benefits for families and small businesses.”
    Rep. Mary Miller: “THE ART OF THE DEAL!”
    Rep. Riley Moore: “Absolute genius to announce this deal on V-E Day!”
    Rep. Troy Nehls: President Trump is the Dealmaker in Chief. He has reached a historic trade deal with the United Kingdom. President Trump and his entire administration are working hard to protect American industries, protect American workers, and grow our economy. AMERICA FIRST!”
    Rep. Ralph Norman: “MASSIVE win for our farmers who will have the opportunity for a wider range in markets!! Art of the deal.”
    Rep. Andy Ogles: “President Trump delivers again!! This deal will bring billions home and make America stronger, richer, and more respected. A huge win for the American people.”
    Rep. Gary Palmer: A win for our nation secured by President Trump! This is what it looks like to have leadership in the White House.”
    Rep. August Pfluger: “President Trump just secured a huge trade deal—one I believe will be the first of many. This massive win for all Americans brings us one step closer to restoring fair trade policies.”
    Rep. Adrian Smith: “I’m pleased the Trump administration has struck an initial trade deal with one of our nation’s greatest trade partners and longest-standing allies. This is a significant step toward eliminating barriers to American products in foreign markets and friendshoring supply chains. I commend President Trump and his administration for conducting negotiations swiftly to the mutual benefit of our producers, job creators, and consumers. This agreement builds upon the groundwork laid in the President’s first term, and I am pleased the administration has indicated it continues to pursue dynamic dialogue with the United Kingdom to address additional concerns.”
    Rep. Marlin Stutzman: “As @POTUS says, the first of many, this is a great day for America! A combination of Trump’s trade deals and the passage of the One Big Beautiful Bill will make our country strong for generations to come.”
    Rep. Claudia Tenney: “.@POTUS is continuing to put America FIRST, working to strengthen our economy & national security by achieving historic trade deals. This is a huge win for American manufacturers & farmers, & there is only more winning to come!”
    Rep. Beth Van Duyne: “The first of many historic trade deals!! Better market access for US products!”
    Rep. Daniel Webster: Once again, @POTUS delivers for the American people by securing a historic trade deal with our key ally, the United Kingdom. This agreement lowers trade barriers, opening $5 billion of increased market access for American exports, especially for American farmers. Thank you President Trump for putting America’s farmers, businesses, and workers first!”
    Rep. Tony Wied: “The Art of the Deal.”
    Rep. Rudy Yakym: “President Trump is bringing countries to the table and securing fair trade deals. The first of many!”
    Rep. Ryan Zinke: “Great news for Montana! The UK is our 6th largest trade partner and this will help that grow!”
    House Committee on Agriculture: “This announcement is a big win for American agriculture! @POTUS is unlocking billions in new market access for U.S. exports like beef, ethanol, and more—boosting our GREAT farmers and rural economies!”
    Republican Study Committee: “Another day, another historic deal secured by President Trump! This is a MASSIVE victory for American workers. PROMISES MADE, PROMISES KEPT!”

    MIL OSI USA News –

  • MIL-OSI Russia: IMF Executive Board Concludes the 2025 Discussions on Common Policies of Member Countries of the Eastern Caribbean Currency Union

    Source: IMF – News in Russian

    May 8, 2025

    Washington, DC: The Executive Board of the International Monetary Fund (IMF) concluded the Article IV consultation[1] with member countries on common policies of the Eastern Caribbean Currency Union (ECCU). The Board considered and endorsed the staff appraisal without a meeting.[2]

    The currency union has provided a strong anchor for macroeconomic stability. In 2024, strong tourism performance and continued infrastructure investments have supported robust growth of 3.9 percent, and inflation moderated to below 2 percent in tune with global trends. This has facilitated a moderate reduction in the currency union’s fiscal and external imbalances, although public debt remains high at above 71 percent of GDP and the post-pandemic trend of narrowing of sizable current account deficits has stalled. The ECCB’s stable reserves underpin a strong currency backing ratio. The ECCU financial system has remained stable, though exhibiting legacy asset quality and credit condition weaknesses.

    The union’s recent growth momentum is projected to wane. Increasing constraints to tourism capacity and completion of major infrastructure projects are set to slow real GDP growth to around 2½ percent over the medium term. Modest growth prospects reflect weak productivity and local investment, as well as headwinds from ageing populations, a shrinking labor force, and constrained fiscal space for public investment in most union members. Fiscal and external imbalances are projected to narrow over the medium term, reflecting in part completion of import-intensive public investment projects.

    Risks to the outlook remain mostly on the downside amid a highly uncertain external environment. As reported in the April World Economic Outlook, the escalation of trade tensions and high levels of policy uncertainty are a major negative shock to global economic activity. For ECCU economies, increased global trade and geopolitical tensions could give rise to disruptions to tourism and FDI inflows and renewed inflationary pressures. High public debt, persistent current account deficits and weaknesses in the local financial system amplify vulnerability to recurrent ND shocks alongside the uncertain outlook for future citizenship-by-investment inflows.

    Executive Board Assessment[3]

    The ECCU has achieved a strong rebound from successive adverse shocks. Strong tourism performance and continued infrastructure investments have supported robust post‑pandemic growth, while inflation has moderated in tune with global trends. This has facilitated a moderate reduction in the currency union’s fiscal and external imbalances, although public debt levels and current account deficits remain high in several members. The ECCU’s external position is assessed as weaker than implied by fundamentals and desirable policies, but the current account deficits remain fully financed and the stability of the ECCB’s reserves underpin a strong currency backing ratio. The financial system has remained stable, albeit exhibiting continued asset quality and credit condition weaknesses. 

    Growth momentum is nonetheless projected to wane and risks to the outlook remain mostly on the downside. Increasing constraints to tourism capacity and completion of major infrastructure projects are set to slow growth to around 2½ percent over the medium term. This modest growth potential reflects weak productivity and local investment, as well as headwinds from ageing populations, a shrinking labor force, and constrained fiscal space for public investment in most union members. Downside risks to the outlook are significant amid a highly uncertain external environment, where increased trade and geopolitical tensions could give rise to renewed inflationary pressures and disruptions to tourism and FDI inflows. High public debt, persistent current account deficits, and weaknesses in the local financial system amplify vulnerability to recurrent natural disaster (ND) shocks alongside the uncertain outlook for future Citizenship-by-Investment (CBI) inflows.

    Achieving more robust, resilient, and inclusive long-term growth would support the currency union’s fiscal and external sustainability and raise living standards. To support this objective, common regional policies should be anchored in building economic, fiscal, and financial resilience and addressing supply bottlenecks that underpin the recent decades’ downward trend in the region’s growth potential.

    A key policy priority is alleviating the region’s structural growth impediments, which calls for a coordinated multipronged approach. Addressing frictions to employment and skills development requires a renewed effort to attune human capital to economic needs and development priorities through vocational training and modernized education systems, complemented by active labor market policies and improved access to child and elderly care. Common policies can also enhance the scale, resilience, and efficiency of the region’s capital stock by helping to accelerate energy transition to local renewables, optimize the CBI funding model, and increase ND preparedness. Substantial productivity gains may also be achieved through cooperative efforts to address bottlenecks to innovation and allocative efficiency, including by digitalizing key services, streamlining licensing and administrative processes, and strengthening financial intermediation.

    Fiscal policies should remain closely focused on rebuilding buffers, reducing public debt consistent with the regional debt anchor, and improving resilience to shocks. Region‑wide adoption of strong medium-term fiscal frameworks (MTFFs) embedded with well-designed fiscal rules and credible policy plans would support sustainability objectives and create policy space for growth-enhancing social and resilience investment. Comprehensive fiscal resilience strategies, including adequate disaster-financing frameworks, can help alleviate periodic ND disruptions to debt sustainability and support the region’s growth resilience. Strengthening fiscal management of uncertain CBI revenues can similarly alleviate risks and facilitate fiscal planning. These efforts can be supported by more institutionalized regional oversight and continued strengthening of national fiscal institutions.

    Enhancing financial system resilience and reducing persistent credit-frictions can support a more conducive environment for growth-supporting local investment. Regional policy priorities include reducing vulnerabilities from legacy bank balance sheet weaknesses, mitigating risks from rapid credit union expansion, building readiness to manage risks from high dependency on global reinsurance, and strengthening national AML/CFT frameworks. Common minimum NBFI regulatory standards under the planned Eastern Caribbean Financial Stability Board (ECFSB) will be an important step toward their more unified oversight, although a more centralized supervisory structure would better facilitate management of regional stability risks. Coordinated efforts to reduce institutional frictions in local credit markets and support small ECCU businesses’ bankability can help address structural challenges in financial intermediation, revive local credit and investment, and foster development of a more vibrant private sector.

    Strengthening economic data could significantly improve regional policy design and risk management. Priorities include addressing shortcomings in coverage, quality, and timeliness of key national and external accounts and reducing significant blind spots in areas such as the regional labor markets and CBI flows. Greater leveraging of synergies in regional data compilation and processing could help address persistent resource and capacity gaps.

    Table 1. ECCU: Selected Economic and Financial Indicators, 2020-2026 1/
       

    Est.

    Proj.

    2020

    2021

    2022

    2023

    2024

    2025

    2026

    (Annual percentage change) 

    Output and Prices

    Real GDP

    -17.6

    6.5

    11.8

    3.7

    3.9

    3.5

    2.7

    GDP deflator

    -2.2

    4.4

    4.1

    3.3

    2.7

    1.7

    2.1

    Consumer prices, average

    -0.6

    1.7

    5.6

    4.0

    2.3

    1.9

    2.0

    Monetary Sector

    Net foreign assets

    6.1

    16.5

    -0.7

    11.5

    4.8

    1.7

    4.1

      Central bank

    3.6

    11.6

    -4.8

    5.4

    12.3

    5.9

    4.4

      Commercial banks (net)

    8.5

    21.1

    2.8

    16.3

    -0.5

    -1.7

    3.7

    Net domestic assets

    -16.5

    1.2

    13.0

    -5.8

    7.9

    11.0

    6.1

      Of which: private sector credit

    -0.9

    1.5

    1.6

    3.6

    4.7

    5.1

    2.5

    Broad money (M2)

    -4.7

    10.1

    4.6

    4.3

    6.0

    5.3

    4.9

    (In percent of GDP, unless otherwise indicated)

    Public Finances

    Central government

    		          

      Total revenue and grants

    29.0

    30.5

    29.7

    30.0

    30.8

    28.3

    27.3

      Total expenditure and net lending

    35.8

    33.4

    32.5

    31.2

    32.2

    32.8

    27.8

    Overall balance 2/

    -6.8

    -2.9

    -2.7

    -1.3

    -1.4

    -4.5

    -0.5

      Of which: expected fiscal cost of natural disasters

    0.5

    0.4

    0.5

    0.7

    0.7

    0.7

    0.7

      Excl. Citizenship-by-Investment Programs

    -11.5

    -8.7

    -9.3

    -8.0

    -7.3

    -8.4

    -3.6

    Primary balance 2/

    -4.3

    -0.6

    -0.5

    0.9

    1.1

    -1.8

    1.7

    Total public sector debt

    89.2

    84.5

    76.2

    73.9

    71.2

    70.8

    69.9

    External Sector

    Current account balance

    -19.1

    -18.5

    -12.3

    -10.3

    -10.4

    -9.9

    -8.3

    Trade balance

    -29.5

    -30.1

    -33.3

    -32.0

    -34.2

    -34.1

    -32.7

      Exports, f.o.b. (annual percentage change)

    -28.5

    31.5

    40.5

    21.9

    -9.7

    13.9

    11.4

      Imports, f.o.b. (annual percentage change)

    -23.2

    15.2

    29.7

    5.3

    11.0

    5.8

    1.9

    Services, incomes and transfers

    10.4

    11.6

    20.9

    21.8

    23.9

    24.2

    24.5

      Of which: travel

    17.1

    20.5

    34.6

    39.8

    42.1

    42.2

    42.5

    External public debt

    47.9

    47.6

    42.6

    42.7

    42.1

    43.7

    44.8

    External debt service (percent of goods and nonfactor services)

    21.3

    14.8

    10.3

    9.0

    10.3

    9.1

    8.6

    International reserves

       In millions of U.S. dollars

    1,747

    1,952

    1,869

    1,972

    2,202

    2,332

    2,435

       In months of prospective year imports of goods and services

    5.7

    4.8

    4.0

    4.0

    4.2

    4.4

    4.4

       In percent of broad money

    28.1

    28.5

    26.1

    26.4

    27.8

    28.0

    27.9

    REER (average annual percentage change)

    		    

       Trade-weighted 3/

    -.07

    -2.8

    3.1

    -1.1

    -1.0

    …

    …

    Sources: Country authorities; and IMF staff estimates and projections.

    1/ Includes all eight ECCU members unless otherwise noted. ECCU consumer price aggregates are calculated as weighted averages of individual country data. Other ECCU aggregates are calculated by adding individual country data. The staff report projections are based on the information available as of March 31, 2025. It, therefore, does not reflect the impact of the escalation of trade tensions on and after April 2, 2025.

    2/ Projections include expected fiscal costs of natural disasters.

    3/ Excludes Anguilla and Montserrat.

    [1] Under Article IV of the IMF’s Articles of Agreement, the IMF holds bilateral discussions with members, usually every year. Staff hold separate annual discussions with the regional institutions responsible for common policies in four currency unions—the Euro Area, the Eastern Caribbean Currency Union, the Central African Economic and Monetary Union, and the West African Economic and Monetary Union. For each of the currency unions, staff teams visit the regional institutions responsible for common policies in the currency union, collects economic and financial information, and discusses with officials the currency union’s economic developments and policies. On return to headquarters, the staff prepares a report, which forms the basis of discussion by the Executive Board. Both staff’s discussions with the regional institutions and the Board discussion of the annual staff report will be considered an integral part of the Article IV consultation with each member.

    [2] The staff report reflects discussions with the authorities during January 8-16 and January 27-February 10, 2025, and is based on the information available as of March 31, 2025. It, therefore, does not reflect the impact of the escalation of trade tensions on and after April 2, 2025. Based on information available until April 29, 2025, and covered in the Staff Supplement, the thrust of the staff appraisal remains unchanged.

    [3] The Executive Board takes decisions under its lapse-of-time procedure when the Board agrees that a proposal can be considered without convening formal discussions.

    IMF Communications Department
    MEDIA RELATIONS

    PRESS OFFICER: Meera Louis

    Phone: +1 202 623-7100Email: MEDIA@IMF.org

    https://www.imf.org/en/News/Articles/2025/05/08/pr-24135-caribbean-imf-concludes-2025-discussions-on-policies-of-east-carib-currency-union

    MIL OSI

    MIL OSI Russia News –

  • MIL-OSI Russia: IMF Reaches Staff-Level Agreement with Barbados on the Fifth Reviews Under the Extended Fund Facility and the Resilience and Sustainability Facility

    Source: IMF – News in Russian

    May 8, 2025

    End-of-Mission press releases include statements of IMF staff teams that convey preliminary findings after a visit to a country or a virtual staff visit. The views expressed in this statement are those of the IMF staff and do not necessarily represent the views of the IMF’s Executive Board. Based on the preliminary findings of this mission, staff will prepare a report that, subject to management approval, will be presented to the IMF’s Executive Board for discussion and decision.

    • The IMF team reached a staff-level agreement with the Barbadian authorities on the completion of the fifth and final reviews of the Extended Fund Facility (EFF) and the Resilience and Sustainability Facility (RSF) arrangements. The IMF’s Executive Board is expected to consider both reviews in June. Once the reviews are approved by the IMF Executive Board, Barbados will have access to about US$57 million in financing.
    • Barbados’ economy continues to perform well. Growth has been robust, inflation has moderated, and the external position has strengthened. Nevertheless, risks to the outlook are tilted to the downside, given the highly uncertain external economic environment and Barbados’ vulnerability to natural disasters.
    • Implementation of the home-grown Economic Recovery and Transformation (BERT 2022) plan remains strong. The authorities continue to focus on increasing resilience by maintaining fiscal discipline and debt sustainability and accelerating structural reforms to deliver more inclusive and sustainable growth.

    Bridgetown, Barbados: At the request of the Government of Barbados, an International Monetary Fund (IMF) team led by Michael Perks visited Barbados between May 2-8 to discuss the implementation of Barbados’ Economic Recovery and Transformation (BERT 2022) plan, supported by the IMF under the Extended Fund Facility (EFF) and the Resilience and Sustainability Facility (RSF) arrangements. To summarize the mission’s findings, Mr. Perks made the following statement:

    “Following productive discussions, the IMF team and the Barbadian authorities reached a staff-level agreement on the completion of the fifth and final reviews of the EFF and the RSF arrangements with Barbados. The agreement is subject to approval by the IMF Executive Board, which is expected to consider the reviews in June. The completion of the final reviews will mark the successful conclusion of the arrangements and will allow the authorities to draw the remaining SDR 14.175 million (about US$19 million) under the EFF arrangement and SDR 28.35 million (about US$38 million) under the RSF arrangement.

    “The economy grew strongly in 2024 and continues to expand in 2025, driven by tourism, construction, and business services. Inflation has moderated further, due to an easing of global commodity prices and prices of domestic goods and services. The external position has improved, with a significant strengthening of the current account in 2024. International reserves have increased to almost US$1.7 billion (equivalent to over 7 months of import cover), ample to support the exchange rate peg. Real GDP is projected to grow by 2.7 percent in 2025, sustained by construction related to tourism projects and public investment. Nevertheless, the economic outlook is subject to significant downside risks, given heightened global uncertainty and Barbados’ vulnerability to external shocks and natural disasters.”

    “Program performance remains strong. All quantitative performance criteria and indicative targets for the fifth review of the EFF were met. The fiscal primary surplus reached 4.3 percent of GDP in FY2024/25, with strong corporate tax revenues and prudent current spending controls enabling a significant increase in capital investment aimed at boosting infrastructure and resilience. For FY2025/26, the budget aims to reach a primary surplus of 4.4 percent of GDP, consistent with program projections. Public debt continues to decline, and the authorities remain firmly committed to reaching the 60 percent of GDP target by FY2035/36.

    “The structural reform agenda is advancing, supported by technical assistance from the Fund and development partners. All three structural benchmarks (SBs) were met, including completing the assessment of human resource needs at the Barbados Customs and Excise Department, preparing a draft public-private partnership (PPP) framework and developing a daily liquidity forecasting framework by the Central Bank of Barbados (CBB). Efforts to strengthen growth and the business environment also continue to progress, including measures to address the skills gap.

    “The authorities have completed both reform measures for the fifth RSF review. Key elements to strengthen the integration of climate concerns into public financial management have been delivered, including the development of public investment project appraisal guidelines, deepening of fiscal risk analysis, and preparation of a PPP framework. The CBB has also included physical climate risks in its bank stress testing exercise. In addition, the government has created a new Resilience and Regeneration Fund, repurposing the previous Catastrophe Fund with an expanded role and additional financing for disaster mitigation, response, and regeneration.

    “The team would like to thank the authorities and other counterparts for their hospitality and the constructive and candid policy dialogue.”

    IMF Communications Department
    MEDIA RELATIONS

    PRESS OFFICER: Meera Louis

    Phone: +1 202 623-7100Email: MEDIA@IMF.org

    https://www.imf.org/en/News/Articles/2025/05/08/pr-25136-barbados-imf-reaches-agreement-with-barbados-on-the-5th-rev-under-the-eff-and-rsf

    MIL OSI

    MIL OSI Russia News –

  • MIL-OSI USA: Luján Statement on Procedural Vote to Advance the GENIUS Act

    US Senate News:

    Source: United States Senator Ben Ray Luján (D-New Mexico)
    Washington, D.C. – U.S. Senator Ben Ray Luján (D-N.M.) issued the following statement regarding the failed procedural vote to advance the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act:
    “Stablecoins are positioned to play a key and innovative role in our financial system. As digital assets continue to evolve and expand, Congress must work in a bipartisan fashion to establish a responsible regulatory framework – one that protects consumers, fosters innovation, and safeguards national security and public safety.
    “Bipartisan negotiations have made meaningful progress, but work remains. While I remain committed to strengthening the GENIUS Act, I cannot support this bill moving forward without full legislative text and time to fully review it. I look forward to continuing bipartisan efforts to advance legislation that protects consumers and provides clear rules of the road for digital asset innovators.”
    Senator Luján was part of a group of Senate Democrats who sought improvements to the GENIUS Act prior to the vote.

    MIL OSI USA News –

  • MIL-OSI New Zealand: New Zealand’s Space and Advanced Aviation Sectors Soar

    Source: Ministry of Business Innovation and Employment MBIE (2)

    The government has a goal of doubling the size of New Zealand’s space and advanced aviation sectors by 2030, as laid out in the New Zealand Space and Advanced Aviation Strategy 2024 to 2030.

    The Innovation for Growth, Charting the Space and Advanced Aviation sectors shows the space sector has grown by 53% since a 2019 report, and contributed nearly $2.5 billion to New Zealand’s economy in 2023-24.

    The advanced aviation sector overlaps with the space sector and, measured for the first time, contributed close to $500 million in the same period.

    The report outlines the current and future state of the sectors, along with the market size and composition, economic contributions, and barriers and enablers of growth.

    The report and an infographic can be read on the MBIE website:

    New Zealand Space and Advanced Aviation Sector – Economic Survey

    MIL OSI New Zealand News –

  • MIL-OSI USA: Two Honduran Men Sentenced to Prison for their Roles in International Human Smuggling Conspiracy

    Source: US State of North Dakota

    Note: See superseding indictment here.

    Two Honduran men were sentenced today to three years in prison for their roles in a scheme to illegally smuggle Honduran nationals into the United States.

    According to court documents and evidence presented at trial, for almost a year, Hennessy Devon Cooper Zelaya, 29, and Rudy Jackson Hernandez, 38, both of Utila, Honduras, conspired with at least six others to bring Honduran nationals from Honduras to the United States via two vessels, the Masita III and the M/V Pop. The vessels sailed from Utila, Honduras to Louisiana. The aliens and/or their family members paid thousands of dollars to be brought illegally into the United States by boat. Upon arrival, the aliens were picked up by co-conspirators and driven further into the United States. The co-conspirators then placed some of the aliens in jobs at U.S. factories and other businesses knowing that the aliens lacked authorization to enter, remain, or work in the United States. The defendants were part of the vessels’ crew on multiple voyages.

    In February 2022, the defendants attempted to illegally bring 23 Honduran nationals from Utila, Honduras, to Cocodrie, Louisiana, aboard the M/V Pop, a 65’ sportfishing vessel. During the voyage, the M/V Pop developed engine trouble and lost power. The co-conspirators then chartered a boat to bring fuel to the disabled vessel so that it could complete its journey to the United States. Before the chartered boat reached the disabled vessel, the U.S. Coast Guard interdicted the vessel approximately 75 miles off the coast of Louisiana and towed it to shore. Inside the vessel, law enforcement officers also found 24 kilograms of cocaine.

    Cooper Zelaya and Jackson Hernandez were convicted after trial of conspiracy to unlawfully bring aliens to the United States for commercial advantage and private financial gain and attempting to bring aliens to the United States for commercial advantage and private financial gain.

    The lead defendant in the case, Carl Allison, previously pleaded guilty in December 2023 to conspiracy to unlawfully bring aliens to the United States for financial gain and conspiracy to distribute five kilograms or more of cocaine hydrochloride. Three additional co-conspirators, all Honduran nationals, pleaded guilty last year for their roles in the scheme: Darrel Martinez, 41, and Josue Flores-Villeda, 36, pleaded guilty to the same charges as Allison; and Lenord Cooper, 40, pleaded guilty to conspiracy to aid and assist aliens to enter the United States unlawfully and attempting to bring aliens to the United States for commercial advantage and private financial gain. A fifth man, Honduran national Olvin Javier Velasquez Maldonado, was extradited from Honduras in April and is charged with one count of conspiracy to possess with intent to distribute five kilograms or more of cocaine. Maldonado’s trial is scheduled for June 16. An indictment is merely an allegation, and Maldonado is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

    Matthew R. Galeotti, Head of the Justice Department’s Criminal Division, Acting U.S. Attorney Michael M. Simpson for the Eastern District of Louisiana, and Special Agent in Charge Eric DeLaune of U.S. Immigration and Customs Enforcement Homeland Security Investigations (HSI) New Orleans Field Office made the announcement.

    The HSI Houma, Louisiana Field Office investigated the case, with assistance from the HSI Pittsburgh Field Office, HSI Atlanta Field Office, and Louisiana Bureau of Investigation. The HSI Human Smuggling Unit in Washington, D.C., U.S. Customs and Border Protection’s National Targeting Center International Interdiction Task Force, U.S. Coast Guard Investigative Service, U.S. Customs and Border Protection’s Air and Marine Operations, Louisiana State Police, Pennsylvania State Police, North Huntington Township Police, and Terrebonne Parish Sheriff’s Office also provided valuable assistance.

    Deputy Chief Rami Badawy of the Criminal Division’s Human Rights and Special Prosecutions Section (HRSP) and Assistant U.S. Attorney Carter Guice for the Eastern District of Louisiana prosecuted the case. The Justice Department’s Office of International Affairs (OIA) and the Criminal Division’s Office of Overseas Prosecutorial Development, Assistance and Training (OPDAT) in Honduras provided assistance.

    The sentencings are the result of the coordinated efforts of Joint Task Force Alpha (JTFA). JTFA, a partnership with the Department of Homeland Security (DHS), has been elevated and expanded by the Attorney General with a mandate to target cartels and other transnational criminal organizations to eliminate human smuggling and trafficking networks operating in Mexico, Guatemala, El Salvador, Honduras, Panama, and Colombia that impact public safety and the security of our borders. JTFA currently comprises detailees from U.S. Attorneys’ Offices along the border. Dedicated support is provided by numerous components of the Justice Department’s Criminal Division, led by HRSP and supported by the Money Laundering and Asset Recovery Section, the Office of Enforcement Operations, OIA, and OPDAT, among others. JTFA also relies on substantial law enforcement investment from DHS, the FBI, the Drug Enforcement Administration, and other partners. To date, JTFA’s work has resulted in more than 365 domestic and international arrests of leaders, organizers, and significant facilitators of alien smuggling; more than 334 U.S. convictions; more than 281 significant jail sentences imposed; and substantial seizures and forfeitures of assets and contraband including millions of dollars in cash, real property, vehicles, firearms and ammunition, and drugs.

    This case is also supported by the Organized Crime and Drug Enforcement Task Forces (OCDETF) and the Extraterritorial Criminal Travel Strike Force (ECT) program. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. The ECT program is a partnership between the Justice Department’s Criminal Division and HSI and focuses on human smuggling networks that may present particular national security or public safety risks, or present grave humanitarian concerns. ECT has dedicated investigative, intelligence, and prosecutorial resources. ECT also coordinates and receives assistance from other U.S. government agencies and foreign law enforcement authorities.

    This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

    MIL OSI USA News –

  • MIL-OSI Security: Two Honduran Men Sentenced to Prison for their Roles in International Human Smuggling Conspiracy

    Source: United States Attorneys General 1

    Note: See superseding indictment here.

    Two Honduran men were sentenced today to three years in prison for their roles in a scheme to illegally smuggle Honduran nationals into the United States.

    According to court documents and evidence presented at trial, for almost a year, Hennessy Devon Cooper Zelaya, 29, and Rudy Jackson Hernandez, 38, both of Utila, Honduras, conspired with at least six others to bring Honduran nationals from Honduras to the United States via two vessels, the Masita III and the M/V Pop. The vessels sailed from Utila, Honduras to Louisiana. The aliens and/or their family members paid thousands of dollars to be brought illegally into the United States by boat. Upon arrival, the aliens were picked up by co-conspirators and driven further into the United States. The co-conspirators then placed some of the aliens in jobs at U.S. factories and other businesses knowing that the aliens lacked authorization to enter, remain, or work in the United States. The defendants were part of the vessels’ crew on multiple voyages.

    In February 2022, the defendants attempted to illegally bring 23 Honduran nationals from Utila, Honduras, to Cocodrie, Louisiana, aboard the M/V Pop, a 65’ sportfishing vessel. During the voyage, the M/V Pop developed engine trouble and lost power. The co-conspirators then chartered a boat to bring fuel to the disabled vessel so that it could complete its journey to the United States. Before the chartered boat reached the disabled vessel, the U.S. Coast Guard interdicted the vessel approximately 75 miles off the coast of Louisiana and towed it to shore. Inside the vessel, law enforcement officers also found 24 kilograms of cocaine.

    Cooper Zelaya and Jackson Hernandez were convicted after trial of conspiracy to unlawfully bring aliens to the United States for commercial advantage and private financial gain and attempting to bring aliens to the United States for commercial advantage and private financial gain.

    The lead defendant in the case, Carl Allison, previously pleaded guilty in December 2023 to conspiracy to unlawfully bring aliens to the United States for financial gain and conspiracy to distribute five kilograms or more of cocaine hydrochloride. Three additional co-conspirators, all Honduran nationals, pleaded guilty last year for their roles in the scheme: Darrel Martinez, 41, and Josue Flores-Villeda, 36, pleaded guilty to the same charges as Allison; and Lenord Cooper, 40, pleaded guilty to conspiracy to aid and assist aliens to enter the United States unlawfully and attempting to bring aliens to the United States for commercial advantage and private financial gain. A fifth man, Honduran national Olvin Javier Velasquez Maldonado, was extradited from Honduras in April and is charged with one count of conspiracy to possess with intent to distribute five kilograms or more of cocaine. Maldonado’s trial is scheduled for June 16. An indictment is merely an allegation, and Maldonado is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

    Matthew R. Galeotti, Head of the Justice Department’s Criminal Division, Acting U.S. Attorney Michael M. Simpson for the Eastern District of Louisiana, and Special Agent in Charge Eric DeLaune of U.S. Immigration and Customs Enforcement Homeland Security Investigations (HSI) New Orleans Field Office made the announcement.

    The HSI Houma, Louisiana Field Office investigated the case, with assistance from the HSI Pittsburgh Field Office, HSI Atlanta Field Office, and Louisiana Bureau of Investigation. The HSI Human Smuggling Unit in Washington, D.C., U.S. Customs and Border Protection’s National Targeting Center International Interdiction Task Force, U.S. Coast Guard Investigative Service, U.S. Customs and Border Protection’s Air and Marine Operations, Louisiana State Police, Pennsylvania State Police, North Huntington Township Police, and Terrebonne Parish Sheriff’s Office also provided valuable assistance.

    Deputy Chief Rami Badawy of the Criminal Division’s Human Rights and Special Prosecutions Section (HRSP) and Assistant U.S. Attorney Carter Guice for the Eastern District of Louisiana prosecuted the case. The Justice Department’s Office of International Affairs (OIA) and the Criminal Division’s Office of Overseas Prosecutorial Development, Assistance and Training (OPDAT) in Honduras provided assistance.

    The sentencings are the result of the coordinated efforts of Joint Task Force Alpha (JTFA). JTFA, a partnership with the Department of Homeland Security (DHS), has been elevated and expanded by the Attorney General with a mandate to target cartels and other transnational criminal organizations to eliminate human smuggling and trafficking networks operating in Mexico, Guatemala, El Salvador, Honduras, Panama, and Colombia that impact public safety and the security of our borders. JTFA currently comprises detailees from U.S. Attorneys’ Offices along the border. Dedicated support is provided by numerous components of the Justice Department’s Criminal Division, led by HRSP and supported by the Money Laundering and Asset Recovery Section, the Office of Enforcement Operations, OIA, and OPDAT, among others. JTFA also relies on substantial law enforcement investment from DHS, the FBI, the Drug Enforcement Administration, and other partners. To date, JTFA’s work has resulted in more than 365 domestic and international arrests of leaders, organizers, and significant facilitators of alien smuggling; more than 334 U.S. convictions; more than 281 significant jail sentences imposed; and substantial seizures and forfeitures of assets and contraband including millions of dollars in cash, real property, vehicles, firearms and ammunition, and drugs.

    This case is also supported by the Organized Crime and Drug Enforcement Task Forces (OCDETF) and the Extraterritorial Criminal Travel Strike Force (ECT) program. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. The ECT program is a partnership between the Justice Department’s Criminal Division and HSI and focuses on human smuggling networks that may present particular national security or public safety risks, or present grave humanitarian concerns. ECT has dedicated investigative, intelligence, and prosecutorial resources. ECT also coordinates and receives assistance from other U.S. government agencies and foreign law enforcement authorities.

    This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces and Project Safe Neighborhood.

    MIL Security OSI –

  • MIL-OSI USA: Read More (Rep. Steube Introduces ELECT Act to End Taxpayer-Funded Presidential Campaigns)

    Source: United States House of Representatives – Congressman Greg Steube (FL-17)

    May 08, 2025 | Press ReleasesWASHINGTON, D.C. — U.S. Representative Greg Steube (R-Fla.) today announced the introduction of the House companion to the Eliminating Leftover Expenses for Campaigns from Taxpayers (ELECT) Act of 2025, legislation originally introduced in the Senate by Senator Joni Ernst (R-Iowa). The bill would permanently terminate the outdated and wasteful Presidential Election Campaign Fund and return any remaining balances to the Treasury to reduce the national deficit.
    “For decades, American taxpayers have been forced to subsidize presidential campaigns, even those they fundamentally oppose,” said Rep. Steube. “This fund is a relic of the past, riddled with abuse and irrelevant in today’s campaign financing landscape. It’s long past time we ended this unnecessary waste of taxpayer dollars and put the money toward reducing our nation’s ballooning deficit.”
    “The last thing we need to use tax dollars for is to line the pockets of political consultants,” said Senator Ernst. “There is no better way to pay down the $36 trillion debt than by defunding welfare for political campaigns. Washington should be working to benefit all Americans instead of itself.”
    The ELECT Act eliminates the ability for taxpayers to designate $3 on their federal tax return to fund presidential campaigns and nominating conventions. It also shutters the Presidential Election Campaign Fund and directs all remaining funds to the U.S. Treasury for deficit reduction.
    Background:Despite being created in the 1970s as a means of campaign finance reform, the system has been largely abandoned by modern candidates. No major party presidential nominee has participated in the public financing system since 2008.
    Read the full bill here.

    MIL OSI USA News –

  • MIL-OSI: Draganfly Announces First Quarter Results of 2025

    Source: GlobeNewswire (MIL-OSI)

    Vancouver, BC., May 08, 2025 (GLOBE NEWSWIRE) — Draganfly Inc. (NASDAQ: DPRO) (CSE: DPRO) (FSE: 3U8) (“Draganfly” or the “Company”), an award-winning, industry-leading drone solutions and systems developer, is pleased to announce its first quarter financial results.

    Key Financial and Operational Highlights for Q1 2025:

    • Revenue for the first quarter of 2025 was $1,547,715 which represents a 16% year over year increase. Product sales of $1,541,811 were up 24.5% over the same period last year.
    • Gross profit for Q1 2025 was $310,088 up 10.7% from $280,011 for the same period last year. Gross margin percentage for Q1 2025 was 20.0% compared to 21.1% in Q1 2024. Gross profit would have been $271,422 and gross margin would have been 17.5%, not including a one-time non-cash recovery of a write down of inventory of $38,666. The decrease is due to the sales mix of the products sold.
    • The comprehensive loss for the period of $3,433,712 includes non-cash changes comprised of a positive change in fair value derivative of $157,830, a recovery of a write down of inventory of $38,666, and an impairment gain on notes receivable of $25,951 and would otherwise be a comprehensive loss of $3,656,159 vs an adjusted comprehensive loss of $3,559,976 for the same period last year. Contributors to the slight year-over-year increase are increased research and development, office and miscellaneous, professional fees, share based payments, and wages offset by change in derivative liability.
    • Cash balance on March 31, 2025 of $2,126,103 compared to $6,252,409 on December 31, 2024.
    • Volatus Aerospace partnered with Draganfly to integrate Volatus’ advanced Bathymetric LiDAR technology with Draganfly’s Heavy Lift Drone for a pilot project in oil and gas exploration. This collaboration aims to enhance precision data acquisition in energy markets. Additionally, Volatus became an OEM-approved dealer for Draganfly’s UAV platforms, including the Heavy Lift Drone, Commander 3XL, and Apex Drones.
    • Draganfly obtained a waiver from the FAA under 14 CFR §§ 107.39 and 107.145, allowing its drones to operate over people and moving vehicles. This waiver enables Draganfly to conduct flights beyond standard operational restrictions, facilitating advanced UAV operations in complex urban environments.
    • Building upon their existing partnership, Volatus Aerospace and Draganfly announced an expanded collaboration to address the growing demand for automated geospatial data collection and analysis solutions in the utility infrastructure sector. This strategic alliance combines Volatus’ operational expertise with Draganfly’s advanced sensor technology to enhance services for high-value power utility customers.
    • Draganfly announced the establishment of a new U.S. facility in Tampa, Florida, strategically positioned near key military and government clients. This expansion includes a demonstration and live-fire testing facility, reinforcing Draganfly’s commitment to delivering cutting-edge drone solutions to its U.S. customers and bolstering national security and defense partnerships.
    • The Massachusetts Department of Transportation’s Aeronautics Division selected Draganfly to conduct a drone medical delivery demonstration, which was successfully completed. The demonstration involved the simulated delivery of medical supplies to support home-based healthcare, showcasing the potential of UAVs in enhancing healthcare logistics.
    • Draganfly appointed Christopher C. Miller, former Acting U.S. Secretary of Defense under President Donald Trump, to its Board of Directors. Miller brings extensive experience in defense and intelligence, which is expected to guide Draganfly’s strategic initiatives in government, defense, and aerospace sectors.

    Draganfly will hold a shareholder update and earnings call on May 8, 2025 at 2:30 p.m. PDT / 5:30 p.m. EDT.

    Registration for the call can be done Here

    Selected financial information is outlined below and should be read with Draganfly’s consolidated financial statements for the quarter ended March 31, 2025, and associated management discussion and analysis, which will be available under the Company’s profile on SEDAR at www.sedar.com and filed on EDGAR at www.sec.gov.

        Three months ended March 31,
                2025     2024  
    Total revenues         $ 1,547,715   $ 1,329,581  
    Gross Margin (as a % of revenues) (1)           20.0 %   21.1 %
    Net income (loss)           (3,424,825 )   (1,863,808 )
    Net income (loss) per share ($)                
              (0.63 )   (0.85 )
              (0.63 )   (0.85 )
    Comprehensive income (loss)           (3,433,712 )   (1,884,416 )
    Comprehensive income (loss) per share ($)                
              (0.63 )   (0.86 )
              (0.63 )   (0.86 )
    Change in cash and cash equivalents         $ (4,126,306 ) $ 1,246,124  

    (1) Gross Profit (as a % of revenues) would have been 17.5% and 32.2% not including a non-cash recovery of a write down of inventory of $38,666 and a non-cash write down of inventory of $148,760 respectively for the three month period ending March 31 2025 and 2024, respectively.

    As at           March 31, 2025   December 31, 2024
    Total assets         $ 6,919,097 $ 10,200,088
    Working capital           705,243   3,846,283
    Total non-current liabilities           296,067   342,013
    Shareholders’ equity         $ 1,476,648 $ 4,621,783
    Number of shares outstanding   5,433,824   5,427,795

    Shareholders’ equity and working capital as at March 31, 2025, includes a fair value of derivative liability of $2,040,291 (2024 – $2,198,121) and would otherwise be $3,516,939 (2024 – $6,819,904) and $2,745,534 (2024 – $6,044,404), respectively.

        2025 Q1   2024 Q4   2024 Q1
    Revenue $ 1,547,715   $ 1,613,162   $ 1,329,581  
    Cost of sales(2) $ (1,237,627 ) $ (1,397,422 ) $ (1,049,570 )
    Gross profit(3) $ 310,088   $ 215,740   $ 280,011  
    Gross margin – percentage   20.0 %   13.4 %   21.1 %
    Operating expenses $ (3,911,035 ) $ (4,085,766 ) $ (3,530,933 )
    Operating income (loss) $ (3,600,947 ) $ (3,870,026 ) $ (3,250,922 )
    Operating loss per share – basic $ (0.66 ) $ (0.91 ) $ (1.47 )
    Operating loss per share – diluted $ (0.66 ) $ (0.91 ) $ (1.47 )
    Other income (expense) $ 176,122   $ (851,896 ) $ 1,387,114  
    Change in fair value of derivative liability (1) $ 157,830   $ (946,116 ) $ 1,817,569  
    Other comprehensive income (loss) $ (8,887 ) $ 5,991   $ (20,608 )
    Comprehensive income (loss) $ (3,433,712 ) $ (4,715,931 ) $ (1,884,416 )
    Comprehensive income (loss) per share – basic $ (0.63 ) $ (1.11 ) $ (0.86 )
    Comprehensive income (loss) per share – diluted $ (0.63 ) $ (1.11 ) $ (0.86 )

    (1) Included in other income (expense).

    (2) Cost of goods sold includes non-cash inventory write downs of, $167,515 in Q4 2024 and a recovery of a write down of inventory of $38,666 in Q1 2025 and would have been $1,229,907 in Q4 2024 and $1,276,293 in Q1 2025 before these write downs.
    (3) Gross profit would have been $383,255 in Q4 2024 and $271,422 in Q1 2025 without the write downs in number 2 above. 
    (4) Cost of goods sold includes non-cash inventory write downs of $148,760 in Q1 2024 and would have been $900,810 in Q1 2024 before these write downs.
    (5) Gross profit would have been $428,771 in Q1 2024 without the write downs in number 4 above.

    About Draganfly

    Draganfly Inc. (NASDAQ: DPRO; CSE: DPRO; FSE: 3U8) is the creator of quality, cutting-edge drone solutions, software, and AI systems that revolutionize the way organizations can do business and service their stakeholders. Recognized as being at the forefront of technology for over 25 years, Draganfly is an award-winning industry leader serving the public safety, public health, mining, agriculture, industrial inspections, security, mapping, and surveying markets. Draganfly is a company driven by passion, ingenuity, and the need to provide efficient solutions and first-class services to its customers around the world with the goal of saving time, money, and lives.

    Media Contact
    Erika Racicot
    Email: media@draganfly.com

    Company Contact
    Email: info@draganfly.com

    Note Regarding Non-GAAP Measures

    In this press release we describe certain income and expense items that are unusual or non-recurring. There are terms not defined by International Financial Reporting Standards (IFRS). Our usage of these terms may vary from the usage adopted by other companies. Specifically, gross profit and gross margin are undefined terms by IFRS that may be referenced herein. We provide this detail so that readers have a better understanding of the significant events and transactions that have had an impact on our results.

    Throughout this release, reference is made to “gross profit,” and “gross margin,” which are non-IFRS measures. Management believes that gross profit, defined as revenue less operating expenses, is a useful supplemental measure of operations. Gross profit helps provide an understanding on the level of costs needed to create revenue. Gross margin illustrates the gross profit as a percentage of revenue. Readers are cautioned that these non-IFRS measures may not be comparable to similar measures used by other companies. Readers are also cautioned not to view these non-IFRS financial measures as an alternative to financial measures calculated in accordance with International Financial Reporting Standards (“IFRS”). For more information with respect to financial measures which have not been defined by GAAP, including reconciliations to the closest comparable GAAP measure, see the “Non-GAAP Measures and Additional GAAP Measures”‎ section of the Company’s most recent MD&A which is available on SEDAR.

    Forward-Looking Statements

    This release contains certain “forward looking statements” and certain “forward-looking information” as ‎defined under applicable Canadian securities laws. Forward-looking statements and information can ‎generally be identified by the use of forward-looking terminology such as “may”, “will”, “expect”, “intend”, ‎‎“estimate”, “anticipate”, “believe”, “continue”, “plans” or similar terminology. Forward-looking statements ‎and information are based on forecasts of future results, estimates of amounts not yet determinable and ‎assumptions that, while believed by management to be reasonable, are inherently subject to significant ‎business, economic and competitive uncertainties and contingencies. Forward-looking statements and ‎information are subject to various known and unknown risks and uncertainties, many of which are beyond ‎the ability of the Company to control or predict, that may cause the Company’s actual results, ‎performance or achievements to be materially different from those expressed or implied thereby, and are ‎developed based on assumptions about such risks, uncertainties and other factors set out here in, ‎including but not limited to: the Company’s arrangement with Volatus Aerospace to integrate Volatus’ advanced Bathymetric LiDAR technology with Draganfly’s Heavy Lift Drone for a pilot project in oil and gas exploration as well as the expanded collaboration to address the growing demand for automated geospatial data collection and analysis solutions in the utility infrastructure sector; the obtention of a waiver from the FAA under 14 CFR §§ 107.39 and 107.145, allowing its drones to operate over people and moving vehicles; the establishment of a new U.S. facility in Tampa, Florida, strategically positioned near key military and government clients‎; and financial condition, the successful integration of technology, the inherent risks involved in ‎the general securities markets; uncertainties relating to the availability and costs of financing needed in ‎the future; the inherent uncertainty of cost estimates and the potential for unexpected costs and ‎expenses, currency fluctuations; regulatory restrictions, liability, competition, loss of key employees and ‎other related risks and uncertainties disclosed under the heading “Risk Factors“ in the Company’s most ‎recent filings filed with securities regulators in Canada on the SEDAR website at www.sedar.com. The ‎Company undertakes no obligation to update forward-looking information except as required by ‎applicable law. Such forward-looking information represents managements’ best judgment based on ‎information currently available. No forward-looking statement can be guaranteed and actual future results ‎may vary materially. Accordingly, readers are advised not to place undue reliance on forward-looking ‎statements or information.

    The MIL Network –

  • MIL-OSI USA: Ernst Leads Fight to Confirm Key Trump Small Business Administration Nominee

    US Senate News:

    Source: United States Senator Joni Ernst (R-IA)
    WASHINGTON – To ensure the Small Business Administration (SBA) is equipped to properly serve Iowa’s job creators, U.S. Senate Committee on Small Business and Entrepreneurship Chair Joni Ernst (R-Iowa) led the fight to break through a Democrat effort to block a key Trump nominee.
    During his nomination hearing, Chair Ernst detailed how Chief Counsel for Advocacy Nominee Casey Mulligan has the expertise and experience to slash the bloated bureaucracy, roll back burdensome regulations, and unleash Main Street.
    Click here to watch her remarks.
    Ernst’s full remarks:
    “I rise today to seek unanimous consent to confirm Dr. Casey Mulligan, the President’s nominee to be the Chief Counsel of the Office of Advocacy at the Small Business Administration.
    “I will make that motion in just a moment but first, let me explain why I am doing this.
    “This week is National Small Business Week – a week to recognize the achievements of our nation’s entrepreneurs.
    “As Chair of the Small Business Committee, I have a front row seat to the successes and challenges of our small business owners – and I have the privilege of being a champion for Iowa entrepreneurs.
    “Mr. President, our small businesses are more vulnerable to burdensome government regulations.
    “Over the past few years, the cost of regulations for small businesses has been out of control.
    “The previous administration created more than eleven hundred final rules costing 1.8 trillion dollars. 
    “The Biden administration’s regulatory costs were 600 times higher than that of the first Trump administration and 3.7 times higher than that of the Obama administration.
    “I have been encouraged by President Trump’s efforts to freeze and roll back regulations.
    “SBA Administrator Loeffler and the White House are working hard to eliminate burdensome and unnecessary regulations.
    “But to truly be effective, small businesses need a Senate-confirmed, Chief Counsel to continue this mission.
    “The Office of Chief Counsel for Advocacy has been vacant, without a Senate confirmed occupant, for nearly a decade.
    “This key role ensures small business interests are protected.  
    “Having served as the top Republican on the Small Business Committee for years now, I truly understand the need for this position to be filled immediately, and we are fortunate that President Trump nominated a highly qualified individual for this role.
    “Dr. Casey Mulligan’s unique mix of academic success and real-world small business experience makes him the best candidate for the job.
    “A Harvard graduate, Dr. Mulligan received his Ph.D. in economics from the University of Chicago, where he currently serves as an economics professor.
    “In addition to his academic role, Dr. Mulligan also owns two small consulting and economic research businesses. 
    “He has also conducted extensive research on the economic effects of regulation on small businesses.
    “At the SBA Office of Advocacy, Dr. Mulligan would serve as a champion for small businesses nationwide, as the agency undergoes much-needed changes to policy and direction.
    “Mr. President, Advocacy’s role remains true regardless of party — to ensure that a strong Chief Counsel stands up for the little guy and warns regulators when small firms will be harmed. 
    “Dr. Mulligan understands Main Street and the importance of examining all costs imposed on America’s entrepreneurs.
    “I urge my colleagues to consent to the confirmation of Dr. Mulligan as Chief Counsel of the Office of Advocacy at the SBA.”

    MIL OSI USA News –

  • MIL-OSI USA: Lankford, Britt Introduce MOMS Act to Help Build Culture of Life, Support Women, Strengthen Families

    US Senate News:

    Source: United States Senator for Oklahoma James Lankford
    WASHINGTON, DC — Ahead of Mother’s Day this Sunday, US Senators James Lankford (R-OK), Katie Britt (R-AL), and colleagues introduced the More Opportunities for Moms to Succeed (MOMS) Act. This legislation provides critical support to women during challenging phases of motherhood – prenatal, postpartum, and early childhood development – and bolsters access to resources and assistance to help mothers and their children thrive.
    This comes at an important moment. In 2023, the number of US births reached their lowest since 1979, according to provisional CDC data, and the total fertility rate in America hit an all-time low. Last year, fertility and birth rates remained near record lows, reflecting a continued, concerning trend in America.
    “As the dad of two daughters, I believe every woman deserves support as she prepares to welcome a child. The MOMS Act is a commonsense step to make sure moms, babies, and families get connected to the resources they need right in their local community. I’ll keep fighting to protect the unborn and to equip mothers with the support they need every step of the way,” said Lankford, co-chair of the Senate Values Action Team.
    “The Republican Party is the party of life, the party of parents, and the party of families. At the heart of the MOMS Act is building a comprehensive culture of life to give moms, children, and families the support system they need to thrive and live their American Dream. As a mom myself, I don’t have to wonder what other moms are facing – I’m living it. I know firsthand that there is no greater blessing in life than our children and I also understand the types of challenges that women face during their pregnancy journeys and while raising their kids. I’m proud to support women throughout these seasons of motherhood, and the MOMS Act is part of my continued commitment to fight on their behalf,” said Senator Britt.
    Background
    The MOMS Act would establish a website of resources—Pregnancy.gov—for expecting and postpartum moms, as well as those with young children. The purpose of the website is to increase access to adoption agencies, pregnancy resource centers, and other relevant public and private resources available to pregnant women near their zip code and surrounding areas. These resources include health and well-being services, financial assistance, and material and legal support. HHS would also be required to include and maintain a national list of federal funding opportunities available to non-profit and healthcare entities for pregnancy support.
    This legislation would also improve access to pre- and post-natal resources by establishing two grant programs: one program for non-profit entities to support, encourage, and assist women in carrying their pregnancies to term and to careing for their babies after birth, and a second grant program to purchase necessary medical equipment and technology in rural areas and other medically underserved areas to support prenatal and post-natal telehealth appointments.
    The MOMS Act also includes Senator Kevin Cramer’s (R-ND) Unborn Child Support Act, which allows states to apply child support obligations to the time period during pregnancy.
    Senators Roger Marshall (R-KS), Steve Daines (R-MT), Jerry Moran (R-KS), Chuck Grassley (R-IA), Marsha Blackburn (R-TN), John Cornyn (R-TX), Roger Wicker (R-MS), Jim Risch (R-ID), Mike Crapo (R-ID), Dave McCormick (R-PA), Pete Ricketts (R-NE), Jim Justice (R-WV), Tim Sheehy (R-MT), Mike Rounds (R-SD), Deb Fischer (R-NE), Cindy Hyde-Smith (R-MS), Ted Budd (R-NC), and Lindsey Graham (R-SC) have cosponsored the MOMS Act.
    This legislation is also endorsed by Susan B. Anthony Pro-Life America, Americans United for Life, March for Life Action, the National Right to Life Committee, Students for Life Action, Concerned Women of America, the Ethics and Religious Liberty Commission, and the Human Coalition.
    The full text of the bill can be viewed HERE. A section-by-section of the bill can be found HERE.

    MIL OSI USA News –

  • MIL-OSI Russia: China and Russia oppose unilateral restrictive measures in trade and finance

    Translation. Region: Russian Federal

    Source: People’s Republic of China in Russian – People’s Republic of China in Russian –

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

    MOSCOW, May 8 (Xinhua) — China and Russia have firmly opposed unilateral and illegal restrictive measures such as trade and financial restrictions.

    Both sides expressed this position in a joint statement between China and Russia on further deepening the comprehensive partnership and strategic cooperation in the new era, which was signed in Moscow on Thursday by Chinese President Xi Jinping and Russian President Vladimir Putin.

    As the parties noted, individual countries and their allies apply unilateral and illegal restrictive measures, significantly increase customs duties and use other non-market means of competition, which has a negative impact on the global economy, undermines fair competition and hinders international cooperation in overcoming common challenges facing all of humanity.

    Both countries condemned the cynical actions bypassing the UN Security Council, which violate the UN Charter and international law, obstruct the administration of justice and violate the rules of the World Trade Organization (WTO).

    China and Russia will continue to work together to counter the downward pressure on the global economy and promote the participation of more countries in the Global South in international and regional trade.

    China and Russia are willing to actively promote an open, inclusive, transparent and non-discriminatory multilateral trading system with the WTO at its core, support efforts to update WTO rules, and promote trade and investment liberalization and facilitation. –0–

    MIL OSI Russia News –

  • MIL-OSI: Silvercrest Asset Management Group Inc. Reports Q1 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    NEW YORK, May 08, 2025 (GLOBE NEWSWIRE) — Silvercrest Asset Management Group Inc. (NASDAQ: SAMG) (the “Company” or “Silvercrest”) today reported the results of its operations for the quarter ended March 31, 2025.

    Business Update

    Silvercrest experienced strong new client organic flows of $0.4 billion during the first quarter of 2025. The new assets under management (“AUM”) follow on the significant new client flows of $1.4 billion in the 4th quarter of 2024. Our first quarter’s new client account flows was in itself stronger than in some recent years. Silvercrest’s strategic investments continue to promote growth. The increases during the quarter bode well for future revenue, and we remain highly optimistic about securing more significant organic flows over the course of 2025, as we discussed during our last earnings call.

    Total AUM did decline during the quarter as a result of highly volatile markets amidst global economic and trade concerns. Discretionary AUM stands at $22.7 billion as of the end of the quarter, which is flat year over year. Total AUM was $35.3 billion. We expect continued market volatility to affect our short-term results. That said, we believe market and economic dislocations present meaningful opportunities for our business.

    Strategically, we will continue to pursue more initiatives to better highlight Silvercrest in both the institutional and wealth markets. The firm has invested in talent across the firm to drive new growth and successfully transition the business toward the next generation. Our new business pipeline remains robust.

    Silvercrest will continue to monitor and adjust our interim compensation ratio to match important investments in the business as long as we have compelling opportunities to grow the firm and build our return on invested capital.  We will keep you informed of our plans and the progress of these investments.

    We also completed a $12.0 million stock repurchase program. We will continue to look for opportunities to return capital to or accrete shareholders, especially as we invest in the business. Our strong balance sheet supports ongoing capital returns as well as our growth initiatives.

    On May 5, 2025, the Company’s Board of Directors declared a quarterly dividend of $0.20 per share of Class A common stock. The dividend will be paid on or about June 20, 2025 to stockholders of record as of the close of business on June 13, 2025.

    First Quarter 2025 Highlights

    • Total AUM of $35.3 billion, inclusive of discretionary AUM of $22.7 billion and non-discretionary AUM of $12.6 billion at March 31, 2025.
    • Revenue of $31.4 million.
    • U.S. Generally Accepted Accounting Principles (“GAAP”) consolidated net income and net income attributable to Silvercrest of $3.9 million and $2.5 million, respectively.
    • Basic and diluted net income per share of $0.26.
    • Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (“EBITDA”)1 of $6.5 million.
    • Adjusted net income1 of $3.9 million.
    • Adjusted basic and diluted earnings per share1,2 of $0.29 and $0.27, respectively.

    The table below presents a comparison of certain GAAP and non-GAAP (“Adjusted”) financial measures and AUM.

        For the Three Months
    Ended March 31,    		  
    (in thousands except as indicated)   2025     2024  
    Revenue   $ 31,392     $ 30,272  
    Income before other income (expense), net   $ 4,837     $ 5,904  
    Net income   $ 3,928     $ 4,915  
    Net income margin     12.5 %     16.2 %
    Net income attributable to Silvercrest   $ 2,469     $ 3,000  
    Net income per basic share   $ 0.26     $ 0.32  
    Net income per diluted share   $ 0.26     $ 0.32  
    Adjusted EBITDA1   $ 6,497     $ 7,453  
    Adjusted EBITDA Margin1     20.7 %     24.6 %
    Adjusted net income1   $ 3,894     $ 4,718  
    Adjusted basic earnings per share1, 2   $ 0.29     $ 0.34  
    Adjusted diluted earnings per share1, 2   $ 0.27     $ 0.33  
    Assets under management at period end (billions)   $ 35.3     $ 34.5  
    Average assets under management (billions)3   $ 35.9     $ 33.9  
    Discretionary assets under management (billions)   $ 22.7     $ 22.7  
           
    1   Adjusted measures are non-GAAP measures and are explained and reconciled to the comparable GAAP measures in Exhibits 2 and 3.
    2   Adjusted basic and diluted earnings per share measures for the three months ended March 31, 2025 are based on the number of shares of Class A common stock and Class B common stock outstanding as of March 31, 2025. Adjusted diluted earnings per share are further based on the addition of unvested restricted stock units and non-qualified stock options to the extent dilutive at the end of the reporting period.
    3   We have computed average AUM by averaging AUM at the beginning of the applicable period and AUM at the end of the applicable period.
         

    AUM at $35.3 Billion

    Silvercrest’s discretionary AUM remained flat at $22.7 billion at March 31, 2025 and 2024. Silvercrest’s total AUM increased by $0.8 billion, or 2.3%, to $35.3 billion at March 31, 2025, from $34.5 billion at March 31, 2024. The increase was attributable to market appreciation of $0.8 billion.

    Silvercrest’s discretionary assets under management decreased by $0.6 billion, or 2.6%, to $22.7 billion at March 31, 2025, from $23.3 billion at December 31, 2024. The decrease was attributable to market depreciation of $0.9 billion partially offset by net client inflows of $0.3 billion. Silvercrest’s total AUM decreased by $1.2 billion, or 3.3%, to $35.3 billion at March 31, 2025, from $36.5 billion at December 31, 2024. The decrease was attributable to market depreciation of $1.4 billion, partially offset by net client inflows of $0.2 billion.

    First Quarter 2025 vs. First Quarter 2024

    Revenue increased by $1.1 million, or 3.7%, to $31.4 million for the three months ended March 31, 2025, from $30.3 million for the three months ended March 31, 2024. This increase was driven by market appreciation during the twelve month period.

    Total expenses increased by $2.2 million, or 9.0%, to $26.6 million for the three months ended March 31, 2025, from $24.4 million for the three months ended March 31, 2024. Compensation and benefits expense increased by $1.2 million, or 6.9%, to $18.9 million for the three months ended March 31, 2025 from $17.7 million for the three months ended March 31, 2024. The increase was primarily attributable to increases in equity-based compensation of $0.1 million and salaries and benefits of $1.5 million primarily as a result of merit-based increases, partially offset by decreases in the accrual for bonuses of $0.3 million and severance expense of $0.1 million. General and administrative expenses increased by $1.0 million, or 14.6%, to $7.7 million for the three months ended March 31, 2025 from $6.7 million for the three months ended March 31, 2024. This was primarily attributable to increases in professional fees of $0.3 million, portfolio and systems expense of $0.3 million, recruiting costs of $0.1 million, marketing and advertising costs of $0.1 million, office expenses of $0.1 million and travel and entertainment expenses of $0.1 million.

    Consolidated net income was $3.9 million for the three months ended March 31, 2025, as compared to consolidated net income of $4.9 million for the same period in the prior year. Net income attributable to Silvercrest was $2.5 million, or $0.26 per basic and diluted share, for the three months ended March 31, 2025. Our Adjusted Net Income1 was $3.9 million, or $0.29 per adjusted basic share and $0.27 per adjusted diluted share2, for the three months ended March 31, 2025.

    Adjusted EBITDA1 was $6.5 million, or 20.7% of revenue, for the three months ended March 31, 2025, as compared to $7.5 million, or 24.6% of revenue, for the same period in the prior year.

    Liquidity and Capital Resources

    Cash and cash equivalents were $36.3 million at March 31, 2025, compared to $68.6 million at December 31, 2024. As of March 31, 2025, there was nothing outstanding under our term loan with City National Bank and nothing outstanding on our revolving credit facility with City National Bank.

    Silvercrest Asset Management Group Inc.’s total equity was $81.0 million at March 31, 2025. We had 9,473,772 shares of Class A common stock outstanding and 4,081,055 shares of Class B common stock outstanding at March 31, 2025.

    Non-GAAP Financial Measures

    To provide investors with additional insight, promote transparency and allow for a more comprehensive understanding of the information used by management in its financial and operational decision-making, we supplement our consolidated financial statements presented on a basis consistent with GAAP with Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Net Income and Adjusted Earnings Per Share, which are non-GAAP financial measures of earnings. These adjustments, and the non-GAAP financial measures that are derived from them, provide supplemental information to analyze our operations between periods and over time. Investors should consider our non-GAAP financial measures in addition to, and not as a substitute for, financial measures prepared in accordance with GAAP.

    • EBITDA represents net income before provision for income taxes, interest income, interest expense, depreciation and amortization.
    • We define Adjusted EBITDA as EBITDA without giving effect to the Delaware franchise tax, professional fees associated with acquisitions or financing transactions, gains on extinguishment of debt or other obligations related to acquisitions, impairment charges and losses on disposals or abandonment of assets and leaseholds, client reimbursements and fund redemption costs, severance and other similar expenses, but including partner incentive allocations, prior to our initial public offering, as an expense. We believe that it is important to management and investors to supplement our consolidated financial statements presented on a GAAP basis with Adjusted EBITDA, a non-GAAP financial measure of earnings, as this measure provides a perspective of recurring earnings of the Company, taking into account earnings attributable to both Class A and Class B stockholders.
    • Adjusted EBITDA Margin is calculated by dividing Adjusted EBITDA by total revenue. We believe that it is important to management and investors to supplement our consolidated financial statements presented on a GAAP basis with Adjusted EBITDA Margin, a non-GAAP financial measure of earnings, as this measure provides a perspective of recurring profitability of the Company, taking into account profitability attributable to both Class A and Class B stockholders.
    • Adjusted Net Income represents recurring net income without giving effect to professional fees associated with acquisitions or financing transactions, losses on forgiveness of notes receivable from our partners, gains on extinguishment of debt or other obligations related to acquisitions, impairment charges and losses on disposals or abandonment of assets and leaseholds, client reimbursements and fund redemption costs, severance and other similar expenses. Furthermore, Adjusted Net Income includes income tax expense assuming a blended corporate rate of 26%. We believe that it is important to management and investors to supplement our consolidated financial statements presented on a GAAP basis with Adjusted Net Income, a non-GAAP financial measure of earnings, as this measure provides a perspective of recurring income of the Company, taking into account income attributable to both Class A and Class B stockholders.
    • Adjusted Earnings Per Share represents Adjusted Net Income divided by the actual Class A and Class B shares outstanding as of the end of the reporting period for basic Adjusted Earnings Per Share, and to the extent dilutive, we add unvested restricted stock units and non-qualified stock options to the total shares outstanding to compute diluted Adjusted Earnings Per Share. As a result of our structure, which includes a non-controlling interest, we believe that it is important to management and investors to supplement our consolidated financial statements presented on a GAAP basis with Adjusted Earnings Per Share, a non-GAAP financial measure of earnings, as this measure provides a perspective of recurring earnings per share of the Company as a whole as opposed to being limited to our Class A common stock.

    Conference Call

    The Company will host a conference call on May 9, 2025, at 8:30 am (Eastern Time) to discuss these results. Hosting the call will be Richard R. Hough III, Chief Executive Officer and President, and Scott A. Gerard, Chief Financial Officer. Listeners may access the call by dialing 1-844-836-8743 or for international listeners the call may be accessed by dialing 1-412-317-5723. A live, listen-only webcast will also be available via the investor relations section of www.silvercrestgroup.com. An archived replay of the call will be available after the completion of the live call on the Investor Relations page of the Silvercrest website at http://ir.silvercrestgroup.com/.

    Forward-Looking Statements

    This release contains, and from time to time our management may make, forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, each as amended. For those statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks, uncertainties and assumptions. These statements are only predictions based on our current expectations and projections about future events. Important factors that could cause actual results, level of activity, performance or achievements to differ materially from those indicated by such forward-looking statements include, but are not limited to: incurrence of net losses; fluctuations in quarterly and annual results; adverse economic or market conditions; our expectations with respect to future levels of assets under management, inflows and outflows; our ability to retain clients; our ability to maintain our fee structure; our particular choices with regard to investment strategies employed; our ability to hire and retain qualified investment professionals; the cost of complying with current and future regulation coupled with the cost of defending ourselves from related investigations or litigation; failure of our operational safeguards against breaches in data security, privacy, conflicts of interest or employee misconduct; our expected tax rate; our expectations with respect to deferred tax assets, adverse economic or market conditions; incurrence of net losses; adverse effects of management focusing on implementation of a growth strategy; failure to develop and maintain the Silvercrest brand; and other factors disclosed under “Risk Factors” in our annual report on Form 10-K for the year ended December 31, 2024, which is accessible on the U.S. Securities and Exchange Commission’s website at www.sec.gov. We undertake no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise, except as required by law.

    About Silvercrest

    Silvercrest was founded in April 2002 as an independent, employee-owned registered investment adviser. With offices in New York, Boston, Virginia, New Jersey, California and Wisconsin, Silvercrest provides traditional and alternative investment advisory and family office services to wealthy families and select institutional investors.

    Silvercrest Asset Management Group Inc.

    Contact: Richard Hough
    212-649-0601
    rhough@silvercrestgroup.com


    Exhibit 1

    Silvercrest Asset Management Group Inc.
     Condensed Consolidated Statements of Operations
    (Unaudited and in thousands, except share and per share amounts or as noted)
     
        Three Months Ended March 31,  
        2025     2024  
                 
    Revenue            
    Management and advisory fees   $ 30,268     $ 29,165  
    Family office services     1,124       1,107  
    Total revenue     31,392       30,272  
    Expenses            
    Compensation and benefits     18,881       17,669  
    General and administrative     7,674       6,699  
    Total expenses     26,555       24,368  
    Income before other (expense) income, net     4,837       5,904  
    Other (expense) income, net            
    Other (expense) income, net     7       8  
    Interest income     273       347  
    Interest expense     (15 )     (51 )
    Total other (expense) income, net     265       304  
    Income before provision for income taxes     5,102       6,208  
    Provision for income taxes     (1,174 )     (1,293 )
    Net income     3,928       4,915  
    Less: net income attributable to non-controlling interests     (1,459 )     (1,915 )
    Net income attributable to Silvercrest   $ 2,469     $ 3,000  
    Net income per share:            
    Basic   $ 0.26     $ 0.32  
    Diluted   $ 0.26     $ 0.32  
    Weighted average shares outstanding:            
    Basic     9,581,779       9,480,027  
    Diluted     9,618,888       9,515,581  
     


    Exhibit 2

    Silvercrest Asset Management Group Inc.
    Reconciliation of GAAP to non-GAAP (“Adjusted”) Adjusted EBITDA Measure
    (Unaudited and in thousands, except share and per share amounts or as noted)
     
    Adjusted EBITDA   For the Three Months
    Ended March 31,    		  
        2025     2024  
    Reconciliation of non-GAAP financial measure:            
    Net income   $ 3,928     $ 4,915  
    Provision for income taxes     1,174       1,293  
    Delaware Franchise Tax     50       50  
    Interest expense     15       51  
    Interest income     (273 )     (347 )
    Depreciation and amortization     1,039       1,019  
    Equity-based compensation     454       354  
    Other adjustments (A)     110       118  
    Adjusted EBITDA   $ 6,497     $ 7,453  
    Adjusted EBITDA Margin     20.7 %     24.6 %
     
    (A)    Other adjustments consist of the following:
        Three Months Ended
    March 31,    		  
        2025     2024  
    Severance   $ —     $ 60  
    Other (a)     110       58  
    Total other adjustments   $ 110     $ 118  
    (a)   For the three months ended March 31, 2025, represents an ASC 842 rent adjustment of $48 related to the amortization of property lease incentives and sign-on bonuses of $62.  For the three months ended March 31, 2024, represents an ASC 842 rent adjustment of $48 related to the amortization of property lease incentives and software implementation costs of $10.
         


    Exhibit 3

    Silvercrest Asset Management Group Inc.
    Reconciliation of GAAP to non-GAAP (“Adjusted”)
    Adjusted Net Income and Adjusted Earnings Per Share Measures
    (Unaudited and in thousands, except per share amounts or as noted)
           
    Adjusted Net Income and Adjusted Earnings Per Share   Three Months Ended
    March 31,    		  
        2025     2024  
    Reconciliation of non-GAAP financial measure:            
    Net income   $ 3,928     $ 4,915  
    Consolidated GAAP Provision for income taxes     1,174       1,293  
    Delaware Franchise Tax     50       50  
    Other adjustments (A)     110       118  
    Adjusted earnings before provision for income taxes     5,262       6,376  
    Adjusted provision for income taxes:            
    Adjusted provision for income taxes (26% assumed tax rate)     (1,368 )     (1,658 )
                 
    Adjusted net income   $ 3,894     $ 4,718  
                 
    GAAP net income per share (B):            
    Basic   $ 0.26     $ 0.32  
    Diluted   $ 0.26     $ 0.32  
                 
    Adjusted earnings per share/unit (B):            
    Basic   $ 0.29     $ 0.34  
    Diluted   $ 0.27     $ 0.33  
                 
    Shares/units outstanding:            
    Basic Class A shares outstanding     9,474       9,482  
    Basic Class B shares/units outstanding     4,081       4,428  
    Total basic shares/units outstanding     13,555       13,910  
                 
    Diluted Class A shares outstanding (C)     9,511       9,518  
    Diluted Class B shares/units outstanding (D)     4,652       4,817  
    Total diluted shares/units outstanding     14,163       14,335  
    (A)   See A in Exhibit 2.
    (B)   GAAP earnings per share is strictly attributable to Class A stockholders. Adjusted earnings per share takes into account earnings attributable to both Class A and Class B stockholders.
    (C)   Includes 37,109 and 35,554 unvested restricted stock units at March 31, 2025 and 2024, respectively.
    (D)   Includes 205,079 and 240,998 unvested restricted stock units at March 31, 2025 and 2024, respectively, and 366,293 and 147,506 unvested non-qualified options at March 31, 2025 and 2024, respectively.
         


    Exhibit 4

    Silvercrest Asset Management Group Inc.
    Condensed Consolidated Statements of Financial Condition
    (Unaudited and in thousands)
     
        March 31,
    2025    		     December 31,
    2024    		  
    Assets            
    Cash and cash equivalents   $ 36,255     $ 68,611  
    Investments     1,007       1,354  
    Receivables, net     12,288       12,225  
    Due from Silvercrest Funds     736       945  
    Furniture, equipment and leasehold improvements, net     7,331       7,387  
    Goodwill     63,675       63,675  
    Operating lease assets     14,925       16,032  
    Finance lease assets     221       254  
    Intangible assets, net     16,096       16,644  
    Deferred tax asset     3,813       4,220  
    Prepaid expenses and other assets     3,579       3,085  
    Total assets   $ 159,926     $ 194,432  
    Liabilities and Equity            
    Accounts payable and accrued expenses   $ 2,494     $ 1,953  
    Accrued compensation     9,085       39,865  
    Operating lease liabilities     21,023       22,270  
    Finance lease liabilities     230       262  
    Deferred tax and other liabilities     10,402       10,389  
    Total liabilities     43,234       74,739  
    Commitments and Contingencies (Note 10)            
    Equity            
    Preferred Stock, par value $0.01, 10,000,000 shares authorized; none issued
    and outstanding    		     —       —  
    Class A Common Stock, par value $0.01, 50,000,000 shares authorized; 10,765,114
    and 9,473,772 issued and outstanding, respectively, as of March 31, 2025;
    10,450,559 and 9,376,280 issued and outstanding, respectively, as of December 31, 2024    		     107       104  
    Class B Common Stock, par value $0.01, 25,000,000 shares authorized; 4,081,052
    and 4,373,315 issued and outstanding as of March 31, 2025 and December 31, 2024,
    respectively    		     39       42  
    Additional Paid-In Capital     59,068       56,369  
    Treasury Stock, at cost, 1,291,342 and 1,074,279 shares as of March 31, 2025 and
    December 31, 2024, respectively    		     (23,634 )     (19,728 )
    Accumulated other comprehensive income (loss)     (49 )     (43 )
    Retained earnings     44,511       43,953  
    Total Silvercrest Asset Management Group Inc.’s equity     80,042       80,697  
    Non-controlling interests     36,650       38,996  
    Total equity     116,692       119,693  
    Total liabilities and equity   $ 159,926     $ 194,432  
     


    Exhibit 5

    Silvercrest Asset Management Group Inc.
    Total Assets Under Management
    (Unaudited and in billions)
    Total Assets Under Management:
     
        Three Months Ended
    March 31,    		     % Change from
    March 31,    		  
        2025     2024     2024  
    Beginning assets under management   $ 36.5     $ 33.3       9.6 %
                       
    Gross client inflows     1.4       1.2       16.7 %
    Gross client outflows     (1.2 )     (1.5 )     20.0 %
    Net client flows     0.2       (0.3 )     166.7 %
                       
    Market (depreciation)/appreciation     (1.4 )     1.5       -193.3 %
    Ending assets under management   $ 35.3     $ 34.5       2.3 %
     


    Exhibit 6

    Silvercrest Asset Management Group Inc.
    Discretionary Assets Under Management
    (Unaudited and in billions)
    Discretionary Assets Under Management:
     
        Three Months Ended
    March 31,    		     % Change from
    March 31,    		  
        2025     2024     2024  
    Beginning assets under management   $ 23.3     $ 21.9       6.4 %
                       
    Gross client inflows     1.0       0.7       42.9 %
    Gross client outflows     (0.7 )     (1.1 )     36.4 %
    Net client flows     0.3       (0.4 )     175.0 %
                       
    Market (depreciation)/appreciation     (0.9 )     1.2       -175.0 %
    Ending assets under management   $ 22.7     $ 22.7       0.0 %
     


    Exhibit 7

    Silvercrest Asset Management Group Inc.
    Non-Discretionary Assets Under Management
    (Unaudited and in billions)
    Non-Discretionary Assets Under Management:
     
        Three Months Ended
    March 31,    		     % Change from
    March 31,    		  
        2025     2024     2024  
    Beginning assets under management   $ 13.2     $ 11.4       15.8 %
                       
    Gross client inflows     0.4       0.5       -20.0 %
    Gross client outflows     (0.5 )     (0.4 )     -25.0 %
    Net client flows     (0.1 )     0.1       -200.0 %
                       
    Market (depreciation)/appreciation     (0.5 )     0.3       -266.7 %
    Ending assets under management   $ 12.6     $ 11.8       6.8 %
     


    Exhibit 8

    Silvercrest Asset Management Group Inc.
    Assets Under Management
    (Unaudited and in billions)
     
        Three Months Ended
    March 31,    		  
        2025     2024  
    Total AUM as of January 1,   $ 36.455     $ 33.281  
    Discretionary AUM:            
    Total Discretionary AUM as of January 1,   $ 23.319     $ 21.885  
    New client accounts/assets (1)     0.438       0.035  
    Closed accounts (2)     (0.055 )     (0.439 )
    Net cash inflow/(outflow) (3)     (0.115 )     0.007  
    Non-discretionary to Discretionary AUM (4)     0.001       (0.002 )
    Market (depreciation)/appreciation     (0.933 )     1.195  
    Change to Discretionary AUM     (0.664 )     0.796  
    Total Discretionary AUM at March 31,     22.655       22.681  
    Change to Non-Discretionary AUM (5)     (0.463 )     0.432  
    Total AUM as of March 31,   $ 35.328     $ 34.509  
    (1)   Represents new account flows from both new and existing client relationships.
    (2)   Represents closed accounts of existing client relationships and those that terminated.
    (3)   Represents periodic cash flows related to existing accounts.
    (4)   Represents client assets that converted to Discretionary AUM from Non-Discretionary AUM.
    (5)   Represents the net change to Non-Discretionary AUM.
         


    Exhibit 9

    Silvercrest Asset Management Group Inc.
    Equity Investment Strategy Composite Performance1, 2
    As of March 31, 2025
    (Unaudited)
     
    PROPRIETARY EQUITY PERFORMANCE 1, 2   ANNUALIZED PERFORMANCE  
        INCEPTION   1-YEAR     3-YEAR     5-YEAR     7-YEAR     INCEPTION  
    Large Cap Value Composite   4/1/02   1.1     4.4     15.4     9.8     9.3  
    Russell 1000 Value Index       7.2     6.6     16.2     9.2     7.9  
                                       
    Small Cap Value Composite   4/1/02   -4.1     3.3     15.6     6.5     9.8  
    Russell 2000 Value Index       -3.1     0.1     15.3     5.3     7.4  
                                       
    Smid Cap Value Composite   10/1/05   -0.8     1.3     14.6     6.1     8.9  
    Russell 2500 Value Index       -1.5     2.3     16.7     6.7     7.4  
                                       
    Multi Cap Value Composite   7/1/02   0.4     2.7     14.6     7.7     9.3  
    Russell 3000 Value Index       6.7     6.3     16.1     9.0     8.4  
                                       
    Equity Income Composite   12/1/03   1.2     3.0     13.2     7.3     10.5  
    Russell 3000 Value Index       6.7     6.3     16.1     9.0     8.5  
                                       
    Focused Value Composite   9/1/04   6.3     0.4     11.2     4.9     9.1  
    Russell 3000 Value Index       6.7     6.3     16.1     9.0     8.3  
                                       
    Small Cap Opportunity Composite   7/1/04   -6.2     2.8     15.0     7.9     10.2  
    Russell 2000 Index       -4.0     0.5     13.3     5.4     7.5  
                                       
    Small Cap Growth Composite   7/1/04   -8.6     -4.1     14.5     8.4     9.6  
    Russell 2000 Growth Index       -4.9     0.8     10.8     5.0     7.8  
                                       
    Smid Cap Growth Composite   1/1/06   -2.7     -3.5     14.3     10.7     10.1  
    Russell 2500 Growth Index       -6.4     0.6     11.4     6.7     8.7  
    1   Returns are based upon a time weighted rate of return of various fully discretionary equity portfolios with similar investment objectives, strategies and policies and other relevant criteria managed by Silvercrest Asset Management Group LLC (“SAMG LLC”), a subsidiary of Silvercrest. Performance results are gross of fees and net of commission charges. An investor’s actual return will be reduced by the advisory fees and any other expenses it may incur in the management of the investment advisory account. SAMG LLC’s standard advisory fees are described in Part 2 of its Form ADV. Actual fees and expenses will vary depending on a variety of factors, including the size of a particular account. Returns greater than one year are shown as annualized compounded returns and include gains and accrued income and reinvestment of distributions. Past performance is no guarantee of future results. This piece contains no recommendations to buy or sell securities or a solicitation of an offer to buy or sell securities or investment services or adopt any investment position. This piece is not intended to constitute investment advice and is based upon conditions in place during the period noted. Market and economic views are subject to change without notice and may be untimely when presented here. Readers are advised not to infer or assume that any securities, sectors or markets described were or will be profitable. SAMG LLC is an independent investment advisory and financial services firm created to meet the investment and administrative needs of individuals with substantial assets and select institutional investors. SAMG LLC claims compliance with the Global Investment Performance Standards (GIPS®).
    2   The market indices used to compare to the performance of Silvercrest’s strategies are as follows:
        The Russell 1000 Index is a capitalization-weighted, unmanaged index that measures the 1000 largest companies in the Russell 3000. The Russell 1000 Value Index is a capitalization-weighted, unmanaged index that includes those Russell 1000 Index companies with lower price-to-book ratios and lower expected growth values.
        The Russell 2000 Index is a capitalization-weighted, unmanaged index that measures the 2000 smallest companies in the Russell 3000. The Russell 2000 Value Index is a capitalization-weighted, unmanaged index that includes those Russell 2000 Index companies with lower price-to-book ratios and lower expected growth values.
        The Russell 2500 Index is a capitalization-weighted, unmanaged index that measures the 2500 smallest companies in the Russell 3000. The Russell 2500 Value Index is a capitalization-weighted, unmanaged index that includes those Russell 2000 Index companies with lower price-to-book ratios and lower expected growth values.
        The Russell 3000 Value Index is a capitalization-weighted, unmanaged index that measures those Russell 3000 Index companies with lower price-to-book ratios and lower forecasted growth.
         

    The MIL Network –

  • MIL-OSI: Portman Ridge Finance Corporation Announces First Quarter 2025 Financial Results

    Source: GlobeNewswire (MIL-OSI)

    Reports Net Investment Income of $0.47 Per Share and Net Asset Value of $18.85 Per Share

    Deployment of Approximately $17.5 Million and Sales and Repayments of Approximately $15.7 Million for Net Deployment of Approximately $1.8 Million

    Announces Second Quarter 2025 Quarterly Base Distribution of $0.47 Per Share

    Investors are Encouraged to Vote FOR the Acquisition of Logan Ridge Finance Corporation

    NEW YORK, May 08, 2025 (GLOBE NEWSWIRE) — Portman Ridge Finance Corporation (Nasdaq: PTMN) (the “Company” or “Portman Ridge”) announced today its financial results for the first quarter ended March 31, 2025.

    First Quarter 2025 Highlights

    • Total investment income for the first quarter of 2025 was $12.1 million, down from $14.4 million in the fourth quarter of 2024, due to the reversal of previously accrued income after a portfolio company was placed on non-accrual status in the first quarter of 2025.
    • Core investment income1, excluding the impact of purchase price accounting, for the first quarter of 2025 was $12.1 million, as compared to $14.4 million for the fourth quarter of 2024.
    • Net investment income (“NII”) for the first quarter of 2025 was $4.3 million ($0.47 per share), inclusive of the reversal of $0.4 million ($0.05 per share) of previously accrued interest income on a loan that was placed on non-accrual in the first quarter of 2025, as compared to $5.5 million ($0.60 per share) in the fourth quarter of 2024.
    • Net asset value (“NAV”), as of March 31, 2025, was $173.5 million ($18.85 per share), as compared to NAV of $178.5 million ($19.41 per share) as of December 31, 2024.
    • Deployments of approximately $17.5 million and sales and repayments of approximately $15.7 million, resulting in net deployments of approximately $1.8 million.

    Subsequent Events

    • On May 8, 2025, the Company declared a regular quarterly base distribution of $0.47 per share of common stock. The distribution is payable on May 29, 2025, to stockholders of record at the close of business on May 19, 2025.

    Management Commentary
    Ted Goldthorpe, Chief Executive Officer of Portman Ridge, stated, “During the first quarter we continued to execute on our disciplined investment strategy, deploying approximately $17.5 million into strong, defensively positioned portfolio companies. Concurrently, we had $15.7 million in repayments and sales, resulting in our return to net deployers of capital.

    Looking ahead, the current macroeconomic backdrop shaped by shifting trade dynamics, inflation, and ever-evolving monetary policy, continues to drive uncertainty in the market. These dynamics highlight the importance of taking a long-term approach, grounded in disciplined credit selection and prudent risk management. That said, we view this as an opportunity to further differentiate through thoughtful deployment and rigorous underwriting, backed by our prudent investment strategy and experienced management team. I remain confident in our ability to drive the best outcome for shareholders.

    Finally, we continue to believe in the strategic benefits the combination with Logan Ridge will provide. This merger represents a meaningful step forward for the Company, with the potential to provide increased scale, improved liquidity, and greater operational efficiency, all of which are critical to enhancing long-term shareholder value. We encourage shareholders to vote FOR the proposed merger, as recommended by the Board of Directors of both companies. We are excited about the road ahead and look forward to sharing more updates soon.”

    Selected Financial Highlights

    • Total investment income for the quarter ended March 31, 2025, was $12.1 million, of which $10.3 million was attributable to interest income, inclusive of payment-in-kind income, from the Debt Securities Portfolio. This compares to total investment income of $16.5 million for the quarter ended March 31, 2024, of which $14.2 million was attributable to interest income, inclusive of payment-in-kind income, from the Debt Securities Portfolio.
    • Core investment income for the quarter ended March 31, 2025, excluding the impact of purchase discount accretion, was $12.1 million, as compared to core investment income of $16.5 million for the quarter ended March 31, 2024.
    • Net investment income (“NII”) for the quarter ended March 31, 2025, was $4.3 million ($0.47 per share) as compared to $6.2 million ($0.67 per share) for the quarter ended March 31, 2024.
    • Net asset value (“NAV”) as of March 31, 2025, was $173.5 million ($18.85 per share), as compared to $178.5 million ($19.41 per share) for the fourth quarter of 2024.
    • Deployment during the quarter was strong, with deployments of approximately $17.5 million and sales and repayments of approximately $15.7 million, resulting in net deployment of approximately $1.8 million.
    • Investment portfolio at fair value as of March 31, 2025, was $406.4 million, comprised of 93 different portfolio companies. Our debt investment portfolio, excluding our investments in the CLO Funds, equities and Joint Ventures, totaled $324.8 million at fair value as of March 31, 2025, and was spread across 24 different industries comprised of 72 different portfolio companies with an average par balance per entity of approximately $2.6 million. This compares to a total investment portfolio at fair value as of December 31, 2024, of $405.0 million, comprised of 93 different portfolio companies. Our debt investment portfolio, excluding our investments in the CLO Funds, equities and Joint Ventures, totaled $320.7 million at fair value as of December 31, 2024, spread across 26 different industries and comprised of 71 different portfolio companies, with an average par balance per entity of approximately $2.5 million.
    • Debt investments on non-accrual, as of March 31, 2025, were six, representing 2.6% and 4.7% of the Company’s investment portfolio at fair value and amortized cost, respectively. This compares to six debt investments representing 1.7% and 3.4% of the Company’s investment portfolio at fair value and amortized cost, respectively, as of December 31, 2024.
    • Weighted average annualized yield was approximately 11.0% (excluding income from non-accruals and collateralized loan obligations) as of March 31, 2025.
    • Par value of outstanding borrowings, as of March 31, 2025, was $255.4 million, as compared to $267.5 million as of December 31, 2024, with an asset coverage ratio of total assets to total borrowings of 168% and 167%, respectively. On a net basis, leverage as of March 31, 2025, was 1.3x2 compared to 1.3x2 as of December 31, 2024.

    Results of Operations

    Operating results for the three months ended March 31, 2025, and March 31, 2024, were as follows:

      For the Three Months Ended March 31,  
    ($ in thousands, except share and per share amounts) 2025       2024  
    Total investment income $ 12,118     $ 16,526  
    Total expenses   7,778       10,300  
    Net Investment Income   4,340       6,226  
    Net realized gain (loss) on investments   (173 )     (2,057 )
    Net change in unrealized gain (loss) on investments   (3,903 )     71  
    Tax (provision) benefit on realized and unrealized gains (losses) on investments   (346 )     459  
    Net realized and unrealized appreciation (depreciation) on investments, net of taxes   (4,422 )     (1,527 )
    Net realized gain (loss) on extinguishment of debt   —       (213 )
    Net Increase (Decrease) in Net Assets Resulting from Operations $ (82 )   $ 4,486  
    Net Increase (Decrease) In Net Assets Resulting from Operations per Common Share:            
    Basic and Diluted: $ (0.01 )   $ 0.48  
    Net Investment Income Per Common Share:            
    Basic and Diluted: $ 0.47     $ 0.67  
    Weighted Average Shares of Common Stock Outstanding — Basic and Diluted   9,198,223       9,344,994  
                   

    Investment Income
    The composition of our investment income for the three months ended March 31, 2025, and March 31, 2024, was as follows:

      For the Three Months Ended March 31,  
    ($ in thousands) 2025     2024  
    Interest income, excluding CLO income and purchase discount accretion $ 7,522     $ 12,088  
    Purchase discount accretion   16       73  
    PIK income   3,061       2,006  
    CLO income   78       555  
    JV income   1,417       1,653  
    Fees and other income   24       151  
    Investment Income $ 12,118     $ 16,526  
    Less: Purchase discount accretion $ (16 )   $ (73 )
    Core Investment Income $ 12,102     $ 16,453  
     

    Fair Value of Investments

    The composition of our investment portfolio as of March 31, 2025, and December 31, 2024, at cost and fair value was as follows:

    ($ in thousands) March 31, 2025     December 31, 2024  
    Security Type Cost/Amortized
    Cost    		     Fair Value     Fair Value Percentage of Total Portfolio     Cost/Amortized
    Cost    		     Fair Value     Fair Value Percentage of Total Portfolio  
    First Lien Debt $ 318,953     $ 294,379       72.4 %   $ 311,673     $ 289,957       71.6 %
    Second Lien Debt   35,147       28,724       7.1 %     34,892       28,996       7.2 %
    Subordinated Debt   8,034       1,740       0.4 %     8,059       1,740       0.4 %
    Collateralized Loan Obligations   3,800       4,639       1.1 %     5,318       5,193       1.3 %
    Joint Ventures   65,883       50,491       12.4 %     66,747       54,153       13.4 %
    Equity   32,098       26,218       6.5 %     31,921       24,762       6.1 %
    Asset Manager Affiliates(1)   17,791       —       —       17,791       —       —  
    Derivatives   31       232       0.1 %     31       220       —  
    Total $ 481,737     $ 406,423       100.0 %   $ 476,432     $ 405,021       100.0 %

    (1) Represents the equity investment in the Asset Manager Affiliates.

    Liquidity and Capital Resources
    As of March 31, 2025, the Company had $255.4 million (par value) of outstanding borrowings at a current weighted average interest rate of 5.9%, of which $108.0 million par value had a fixed rate of 4.875% (Notes due 2026), and $147.4 million par value had a floating rate under the JPM Credit Facility.

    As of March 31, 2025, and December 31, 2024, the fair value of investments and cash were as follows:

    ($ in thousands)    
    Security Type March 31, 2025     December 31, 2024  
    Cash and Cash Equivalents $ 9,233     $ 17,532  
    Restricted Cash   14,278       22,421  
    First Lien Debt   294,379       289,957  
    Second Lien Debt   28,724       28,996  
    Subordinated Debt   1,740       1,740  
    Equity   26,218       24,762  
    Collateralized Loan Obligations   4,639       5,193  
    Asset Manager Affiliates   —       —  
    Joint Ventures   50,491       54,153  
    Derivatives   232       220  
    Total $ 429,934     $ 444,974  
     

    As of March 31, 2025, the Company had unrestricted cash of $9.2 million and restricted cash of $14.3 million. This compares to unrestricted cash of $17.5 million and restricted cash of $22.4 million as of December 31, 2024. As of March 31, 2025, the Company had $52.6 million of available borrowing capacity under the JPM Credit Facility.

    Interest Rate Risk
    The Company’s investment income is affected by fluctuations in various interest rates, including SOFR and prime rates.

    As of March 31, 2025, approximately 88.5% of our Debt Securities Portfolio at par value were either floating rate with a spread to an interest rate index such as SOFR or the PRIME rate. 84.2% of these floating rate loans contain floors ranging between 0.50% and 5.25%. We generally expect that future portfolio investments will predominately be floating rate investments.

    In periods of rising or lowering interest rates, the cost of the portion of debt associated with the 4.875% Notes Due 2026 would remain the same, given that this debt is at a fixed rate, while the interest rate on borrowings under the JPM Credit Facility would fluctuate with changes in interest rates.

    Generally, the Company would expect that an increase in the base rate index for floating rate investment assets would increase gross investment income and a decrease in the base rate index for such assets would decrease gross investment income (in either case, such increase/decrease may be limited by interest rate floors/minimums for certain investment assets).

      Impact on net investment income from
    a change in interest rates at:
    ($ in thousands) 1%     2%     3%  
    Increase in interest rate $ 1,619     $ 3,289     $ 4,959  
    Decrease in interest rate $ (1,613 )   $ (3,222 )   $ (4,655 )
                           

    Conference Call and Webcast
    We will hold a conference call on Friday, May 9, 2025, at 10:00 am Eastern Time to discuss our first quarter 2025 financial results. To access the call, stockholders, prospective stockholders and analysts should dial (646) 307-1963 approximately 10 minutes prior to the start of the conference call and use the conference ID 9782758.

    A replay of this conference call will be available shortly after the live call through May 16, 2025.

    A live audio webcast of the conference call can be accessed via the Internet, on a listen-only basis on the Company’s website www.portmanridge.com in the Investor Relations section under Events and Presentations. The webcast can also be accessed by clicking the following link: https://edge.media-server.com/mmc/p/ovseyk3q. The online archive of the webcast will be available on the Company’s website shortly after the call.

    About Portman Ridge Finance Corporation
    Portman Ridge Finance Corporation (Nasdaq: PTMN) is a publicly traded, externally managed investment company that has elected to be regulated as a business development company under the Investment Company Act of 1940. Portman Ridge’s middle market investment business originates, structures, finances and manages a portfolio of term loans, mezzanine investments and selected equity securities in middle market companies. Portman Ridge’s investment activities are managed by its investment adviser, Sierra Crest Investment Management LLC, an affiliate of BC Partners Advisors L.P.

    Portman Ridge’s filings with the Securities and Exchange Commission (the “SEC”), earnings releases, press releases and other financial, operational and governance information are available on the Company’s website at www.portmanridge.com.

    About BC Partners Advisors L.P. and BC Partners Credit
    BC Partners is a leading international investment firm in private equity, private credit and real estate strategies. Established in 1986, BC Partners has played an active role in developing the European buyout market for three decades.

    Today, BC Partners executives operate across markets as an integrated team through the firm’s offices in North America and Europe. For more information, please visit https://www.bcpartners.com/.

    BC Partners Credit was launched in February 2017 and has pursued a strategy focused on identifying attractive credit opportunities in any market environment and across sectors, leveraging the deal sourcing and infrastructure made available from BC Partners.

    Cautionary Statement Regarding Forward-Looking Statements
    This press release contains forward-looking statements. The matters discussed in this press release, as well as in future oral and written statements by management of Portman Ridge Finance Corporation, that are forward-looking statements are based on current management expectations that involve substantial risks and uncertainties which could cause actual results to differ materially from the results expressed in, or implied by, these forward-looking statements.

    Forward-looking statements relate to future events or our future financial performance and include, but are not limited to, projected financial performance, expected development of the business, plans and expectations about future investments and the future liquidity of the Company. We generally identify forward-looking statements by terminology such as “may,” “will,” “should,” “expects,” “plans,” “anticipates,” “could,” “intends,” “target,” “projects,” “outlook”, “contemplates,” “believes,” “estimates,” “predicts,” “potential” or “continue” or the negative of these terms or other similar words. Forward-looking statements are based upon current plans, estimates and expectations that are subject to risks, uncertainties, and assumptions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove to be incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements.

    Important assumptions include our ability to originate new investments, and achieve certain margins and levels of profitability, the availability of additional capital, and the ability to maintain certain debt to asset ratios. In light of these and other uncertainties, the inclusion of a projection or forward-looking statement in this press release should not be regarded as a representation that such plans, estimates, expectations or objectives will be achieved. Important factors that could cause actual results to differ materially from such plans, estimates or expectations include, among others, (1) uncertainty of the expected financial performance of the Company; (2) expected synergies and savings associated with merger transactions effectuated by the Company; (3) the ability of the Company and/or its adviser to implement its business strategy; (4) evolving legal, regulatory and tax regimes; (5) changes in general economic and/or industry specific conditions, including but not limited to the impact of inflation; (6) the impact of increased competition; (7) business prospects and the prospects of the Company’s portfolio companies; (8) contractual arrangements with third parties; (9) any future financings by the Company; (10) the ability of Sierra Crest Investment Management LLC to attract and retain highly talented professionals; (11) the Company’s ability to fund any unfunded commitments; (12) any future distributions by the Company; (13) changes in regional or national economic conditions and their impact on the industries in which we invest; (14) other changes in the conditions of the industries in which we invest and other factors enumerated in our filings with the SEC; (15) the successful completion of the proposed merger with Logan Ridge Finance Corporation (“LRFC”) and receipt of stockholder approval from the Company’s and LRFC’s stockholders; and (16) expectations concerning the proposed merger with LRFC, including the financial results of the combined company. The forward-looking statements should be read in conjunction with the risks and uncertainties discussed in the Company’s filings with the SEC, including the Company’s most recent Form 10-K and other SEC filings. We do not undertake to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required to be reported under the rules and regulations of the SEC. Although the Company and LRFC undertake no obligation to revise or update any forward-looking statements, whether as a result of new information, future events or otherwise, you are advised to consult any additional disclosures that they may make directly to you or through reports that the Company and LRFC in the future may file with the SEC, including the Registration Statement and Joint Proxy Statement (in each case, as defined below), annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K.

    Additional Information and Where to Find It
    This document relates to the proposed merger of the Company and LRFC and certain related matters (the “Proposals”). In connection with the Proposals, the Company has filed a registration statement (Registration No. 333-285230) with the SEC (the “Registration Statement”) that contains a combined joint proxy statement for the Company and LRFC and a prospectus of the Company (the “Joint Proxy Statement”) and will mail the Joint Proxy Statement to its and LRFC’s respective shareholders. The Registration Statement and Joint Proxy Statement will contain important information about the Company, LRFC and the Proposals. This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote or approval. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended. SHAREHOLDERS OF THE COMPANY AND LRFC ARE URGED TO READ THE REGISTRATION STATEMENT, JOINT PROXY STATEMENT AND OTHER DOCUMENTS THAT ARE FILED OR WILL BE FILED WITH THE SEC, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THESE DOCUMENTS, CAREFULLY AND IN THEIR ENTIRETY WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE COMPANY, LRFC AND THE PROPOSALS. Investors and security holders will be able to obtain the documents filed with the SEC free of charge at the SEC’s website, http://www.sec.gov or, for documents filed by the Company, from the Company’s website at https://www.portmanridge.com, and, for documents filed by LRFC, from LRFC’s website at https://www.loganridgefinance.com.

    Participants in the Solicitation
    the Company, its directors, certain of its executive officers and certain employees and officers of Sierra Crest Investment Management LLC and its affiliates may be deemed to be participants in the solicitation of proxies in connection with the Proposals. Information about the directors and executive officers of the Company is set forth in its proxy statement for its 2025 Annual Meeting of Stockholders, which was filed with the SEC on April 29, 2025. LRFC, its directors, certain of its executive officers and certain employees and officers of Mount Logan Management LLC, and its affiliates may be deemed to be participants in the solicitation of proxies in connection with the Proposals. Information about the directors and executive officers of LRFC is set forth in the Annual Report on Form 10-K/A, which was filed with the SEC on April 29, 2025. Information regarding the persons who may, under the rules of the SEC, be considered participants in the solicitation of the Company and LRFC shareholders in connection with the Proposals will be contained in the Registration Statement, including the Joint Proxy Statement included therein, and other relevant materials when such documents become available. These documents may be obtained free of charge from the sources indicated above.

    No Offer or Solicitation
    This document is not, and under no circumstances is it to be construed as, a prospectus or an advertisement and the communication of this document is not, and under no circumstances is it to be construed as, an offer to sell or a solicitation of an offer to purchase any securities in the Company, LRFC or in any fund or other investment vehicle managed by BC Partners or any of its affiliates.

    Contacts:
    Portman Ridge Finance Corporation

    650 Madison Avenue, 3rd floor
    New York, NY 10022
    info@portmanridge.com

    Brandon Satoren
    Chief Financial Officer
    Brandon.Satoren@bcpartners.com
    (212) 891-2880

    The Equity Group Inc.
    Lena Cati
    lcati@equityny.com
    (212) 836-9611

    Val Ferraro
    vferraro@equityny.com
    (212) 836-9633

    PORTMAN RIDGE FINANCE CORPORATION
    CONSOLIDATED STATEMENTS OF ASSETS AND LIABILITIES
    (in thousands, except share and per share amounts)

      March 31, 2025     December 31, 2024  
      (Unaudited)        
    ASSETS          
    Investments at fair value:          
    Non-controlled/non-affiliated investments (amortized cost of $365,539 and $358,153, respectively) $ 333,519     $ 327,622  
    Non-controlled affiliated investments (amortized cost of $67,137 and $68,858, respectively)   61,523       64,384  
    Controlled affiliated investments (amortized cost of $49,061 and $49,421, respectively)   11,381       13,015  
    Total Investments at fair value (amortized cost of $481,737 and $476,432, respectively) $ 406,423     $ 405,021  
    Cash and cash equivalents   9,233       17,532  
    Restricted cash   14,278       22,421  
    Interest receivable   4,787       6,088  
    Dividend receivable   1,247       1,367  
    Other assets   2,812       1,205  
    Total Assets $ 438,780     $ 453,634  
    LIABILITIES          
    4.875% Notes Due 2026 (net of deferred financing costs and original issue discount of $832 and $1,017, respectively) $ 107,168     $ 106,983  
    Great Lakes Portman Ridge Funding LLC Revolving Credit Facility (net of deferred financing costs of $1,198 and $1,322, respectively)   146,181       158,157  
    Accounts payable, accrued expenses and other liabilities   4,900       3,007  
    Accrued interest payable   4,634       3,646  
    Due to affiliates   —       635  
    Management and incentive fees payable   2,386       2,713  
    Total Liabilities $ 265,269     $ 275,141  
    COMMITMENTS AND CONTINGENCIES          
    NET ASSETS          
    Common stock, par value $0.01 per share, 20,000,000 common shares authorized; 9,965,480 issued, and 9,202,870 outstanding at March 31, 2025, and 9,960,785 issued, and 9,198,175 outstanding at December 31, 2024 $ 92     $ 92  
    Capital in excess of par value   714,398       714,331  
    Total distributable (loss) earnings   (540,979 )     (535,930 )
    Total Net Assets $ 173,511     $ 178,493  
    Total Liabilities and Net Assets $ 438,780     $ 453,634  
    Net Asset Value Per Common Share $ 18.85     $ 19.41  
    PORTMAN RIDGE FINANCE CORPORATION
    CONSOLIDATED STATEMENTS OF OPERATIONS
    (in thousands, except share and per share amounts)
     
      For the Three Months Ended March 31,  
      2025     2024  
    INVESTMENT INCOME          
    Interest income:          
    Non-controlled/non-affiliated investments $ 7,300     $ 12,621  
    Non-controlled affiliated investments   316       95  
    Total interest income   7,616       12,716  
    Payment-in-kind income:          
    Non-controlled/non-affiliated investments(1)   2,853       1,894  
    Non-controlled affiliated investments   208       112  
    Total payment-in-kind income   3,061       2,006  
    Dividend income:          
    Non-controlled affiliated investments   1,417       1,653  
    Total dividend income   1,417       1,653  
    Fees and other income:          
    Non-controlled/non-affiliated investments   24       151  
    Total fees and other income   24       151  
    Total investment income   12,118       16,526  
    EXPENSES          
    Management fees   1,466       1,729  
    Performance-based incentive fees   920       1,234  
    Interest and amortization of debt issuance costs   4,298       5,725  
    Professional fees   452       604  
    Administrative services expense   411       356  
    Directors’ expense   144       162  
    Other general and administrative expenses   87       490  
    Total expenses   7,778       10,300  
    NET INVESTMENT INCOME   4,340       6,226  
    REALIZED AND UNREALIZED GAINS (LOSSES) ON INVESTMENTS          
    Net realized gains (losses) from investment transactions:          
    Non-controlled/non-affiliated investments   (81 )     (1,641 )
    Non-controlled affiliated investments   (92 )     —  
    Controlled affiliated investments   —       (416 )
    Net realized gain (loss) on investments   (173 )     (2,057 )
    Net change in unrealized appreciation (depreciation) on:          
    Non-controlled/non-affiliated investments   (1,501 )     (659 )
    Non-controlled affiliated investments   (1,140 )     140  
    Controlled affiliated investments   (1,274 )     590  
    Derivatives   12       —  
    Net change in unrealized gain (loss) on investments   (3,903 )     71  
    Tax (provision) benefit on realized and unrealized gains (losses) on investments   (346 )     459  
    Net realized and unrealized appreciation (depreciation) on investments, net of taxes   (4,422 )     (1,527 )
    Net realized gain (loss) on extinguishment of debt   —       (213 )
    NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS $ (82 )   $ 4,486  
    Net Increase (Decrease) In Net Assets Resulting from Operations per Common Share:          
    Basic and Diluted: $ (0.01 )   $ 0.48  
    Net Investment Income Per Common Share:          
    Basic and Diluted: $ 0.47     $ 0.67  
    Weighted Average Shares of Common Stock Outstanding — Basic and Diluted   9,198,223       9,344,994  

    (1) During the three months ended March 31, 2025, and 2024, the Company received $0.2 million and $0.1 million, respectively, of non-recurring fee income that was paid in-kind and included in this financial statement line item.

    __________________________________

    1 Core investment income represents reported total investment income as determined in accordance with U.S. generally accepted accounting principles, or U.S. GAAP, less the impact of purchase discount accretion in connection with the Garrison Capital Inc. (“GARS”) and Harvest Capital Credit Corporation (“HCAP”) mergers. Portman Ridge believes presenting core investment income and the related per share amount is useful and appropriate supplemental disclosure for analyzing its financial performance due to the unique circumstance giving rise to the purchase accounting adjustment. However, core investment income is a non-U.S. GAAP measure and should not be considered as a replacement for total investment income and other earnings measures presented in accordance with U.S. GAAP. Instead, core investment income should be reviewed only in connection with such U.S. GAAP measures in analyzing Portman Ridge’s financial performance.
    2 Net leverage is calculated as the ratio between (A) debt, excluding unamortized debt issuance costs, less available cash and cash equivalents, and restricted cash and (B) NAV. Portman Ridge believes presenting a net leverage ratio is useful and appropriate supplemental disclosure because it reflects the Company’s financial condition net of $23.5 million and $40.0 million of cash and cash equivalents and restricted cash as of March 31, 2025, and December 31, 2024, respectively. However, the net leverage ratio is a non-U.S. GAAP measure and should not be considered as a replacement for the regulatory asset coverage ratio and other similar information presented in accordance with U.S. GAAP. Instead, the net leverage ratio should be reviewed only in connection with such U.S. GAAP measures in analyzing Portman Ridge’s financial condition.

    The MIL Network –

  • MIL-OSI: Navient declares second quarter common stock dividend

    Source: GlobeNewswire (MIL-OSI)

    HERNDON, Va., May 08, 2025 (GLOBE NEWSWIRE) — Navient (Nasdaq: NAVI) announced that its board of directors approved a 2025 second quarter dividend of $0.16 per share on the company’s common stock.

    The second quarter 2025 dividend will be paid on June 20, 2025, to shareholders of record at the close of business on June 6, 2025.

    About Navient
    Navient (Nasdaq: NAVI) provides technology-enabled education finance solutions that help millions of people achieve success. Learn more at navient.com.

    Contact:
    Media: Cate Fitzgerald, 317-806-8775, catherine.fitzgerald@navient.com
    Investors: Jen Earyes, 703-984-6801, jen.earyes@navient.com

    The MIL Network –

  • MIL-OSI: FLINT Announces First Quarter 2025 Financial Results

    Source: GlobeNewswire (MIL-OSI)

    Reports Adjusted EBITDAS of $5.1 million, representing a 61% improvement from prior year

    CALGARY, Alberta, May 08, 2025 (GLOBE NEWSWIRE) — FLINT Corp. (“FLINT” or the “Company”) (TSX: FLNT) today announced its results for the three months ended March 31, 2025. All amounts are in Canadian dollars and expressed in millions of dollars unless otherwise noted.

    “EBITDAS” and “Adjusted EBITDAS” are not standard measures under IFRS. Please refer to the Advisory regarding Non-GAAP Financial Measures at the end of this press release for a description of these items and limitations of their use.

    “Our commitment to quality execution and scaling the business has been demonstrated this quarter, as we were able to improve our operating results compared to prior year, despite the decrease in revenues. In addition, our liquidity is at an all-time high, which is a result of our improved finance performance and the significant advances made in our cash management cycle,” said Barry Card, Chief Executive Officer.

    “Activity levels in the first quarter were down slightly compared to the same period last year with revenues approximately 6% lower. Despite that, gross profit margin was $14.4 million and Adjusted EBITDAS was $5.1 million, up 11% and 61%, respectively, from the first quarter of 2024. We expect activity levels to increase in the second quarter as we execute our spring turnaround program. For the remainder of 2025, we expect activity levels to be fairly consistent with 2024, although there is increased uncertainly as to the timing of some contracts due to the current economic and geopolitical environment,” added Mr. Card.

    FIRST QUARTER HIGHLIGHTS

    • Revenues for the three months ended March 31, 2025 were $137.9 million, representing a decrease of $9.0 million or 6.1% from the same period in 2024.
    • Gross profit for the three months ended March 31, 2025 was $14.4 million, representing an increase of $1.4 million or 10.7% from the same period in 2024. Gross profit margin for the three months ended March 31, 2025 was 10.4%, compared to 8.9% for the same period in 2024.
    • Adjusted EBITDAS for the three months ended March 31, 2025 was $5.1 million, representing an increase of $1.9 million or 60.5% from the same period in 2024. Adjusted EBITDAS margin was 3.7% for the three months ended March 31, 2025 compared to 2.2% for the same period in 2024.
    • SG&A expenses for the three months ended March 31, 2025 were $9.4 million, representing a decrease of $0.7 million or 6.9% from the same period in 2024. As a percentage of revenue, SG&A expenses for the three months ended March 31, 2025 were 6.8%, consistent with 6.8% for the same period in 2024.
    • Liquidity, including cash and available credit facilities, was $89.1 million at March 31, 2025, as compared to $77.0 million at March 31, 2024.
    • Loss from continuing operations for the three months ended March 31, 2025 was $3.3 million, representing an improvement of $1.5 million or 30.4% form the same period in 2024.
    • New contract awards and renewals totaled approximately $78.0 million for the three months ended March 31, 2025 and $7.4 million for the month of April. Approximately 74% of the work is expected to be completed in 2025.

    FIRST QUARTER FINANCIAL RESULTS

    ($ thousands, except per share amounts) Three months ended March 31,
    2025   2024   % Change
           
    Revenue ($) 137,881   146,863   (6.1 )
           
    Gross Profit ($) 14,401   13,010   10.7  
    Gross Profit Margin (%) 10.4   8.9   1.5  
           
    Adjusted EBITDAS (1) 5,118   3,188   60.5  
    Adjusted EBITDAS Margin (%) 3.7   2.2   1.5  
           
    SG&A ($) 9,361   10,056   (6.9 )
    SG&A Margin (%) 6.8   6.8   —  
           
    Net loss from continuing operations ($) (3,332 ) (4,786 ) 30.4  
    Net loss ($) (3,341 ) (5,012 ) 33.3  
           
    Basic and Diluted:      
    Net loss per share from continuing operations ($) (0.03 ) (0.05 ) 40.0  
    Net loss per share ($) (0.03 ) (0.05 ) 40.0  

    (1) EBITDAS and Adjusted EBITDAS are not standard measures under IFRS and they are defined in the section “Advisory regarding Non-GAAP Financial Measures”

    Revenue for the three months ended March 31, 2025 was $137,881 compared to $146,863 for the same period in 2024, representing a decrease of 6.1%. The decrease in revenue was primarily due to the timing of maintenance and construction work as compared to the same period in 2024.

    Gross profit for the three months ended March 31, 2025 was $14,401 compared to $13,010 for the same period in 2024, representing an increase of 10.7%. Gross profit margin for three months ended March 31, 2025 was 10.4%, compared to 8.9% for the same period in 2024. The increase in gross profit, both on an absolute basis and as a percentage of revenue, was primarily due to the mix of work compared to the same period of 2024.

    SG&A expenses for the three months ended March 31, 2025 were $9,361, in comparison to $10,056 for the same period in 2024, representing a decrease of 6.9%. As a percentage of revenue, SG&A expenses for the three months ended March 31, 2025 were 6.8%, consistent with 6.8% for the same period in 2024. Spending in 2024 was elevated due to the focus on continuous improvement initiatives designed to scale the business more efficiently in future periods.

    For the three months ended March 31, 2025, Adjusted EBITDAS was $5,118 compared to $3,188 for the same period in 2024. As a percentage of revenue, Adjusted EBITDAS was 3.7% for the three months ended March 31, 2025 compared to 2.2% for the same period in 2024.

    Loss from continuing operations for the three months ended March 31, 2025 was $3,332 in comparison to a loss of $4,786 for the same period in 2024. The loss variance was driven primarily by the increase in gross profit margin.

    CORPORATE UPDATES

    On March 25, 2025, the Company released its third Sustainability Report as part of its ongoing commitment to environmental, social and governance matters. A copy of the 2024 Sustainability Report is accessible on the Company’s website at www.flintcorp.com. 

    The annual and special meeting of holders of common shares will be held at the Bow Valley Square Conference Centre (Hamilton Room), +30 Level, 205 – 5th Avenue S.W., Calgary, Alberta on Tuesday, June 24, 2025, at 9:00a.m. (Calgary time).

    LIQUIDITY AND CAPITAL RESOURCES

    FLINT has an asset-based revolving credit facility (the “ABL Facility”) providing for maximum borrowings up to $50.0 million with a Canadian chartered bank. The amount available under the ABL Facility will vary from time to time based on the borrowing base determined with reference to the accounts receivable of FLINT and certain of its subsidiaries. The maturity date of the ABL Facility is April 14, 2027.

    The Company anticipates that its liquidity (cash on hand and available credit facilities) and cash flows from operations will be sufficient to meet its short-term contractual obligations and to maintain compliance with its financial covenants. To maintain compliance with its financial covenants through March 31, 2026, the Company can request approval from the holder of the Senior Secured Debentures to pay interest on the Senior Secured Debentures in kind.

    As at March 31, 2025, the issued and outstanding share capital included 110,001,239 Common Shares, 127,732 Series 1 Preferred Shares, and 40,100 Series 2 Preferred Shares.

    The Series 1 Preferred Shares (having an aggregate value of $127.732 million) are convertible at the option of the holder into Common Shares at a price of $0.35/share and the Series 2 Preferred Shares (having an aggregate value of $40.100 million) are convertible into Common Shares at a price of $0.10/share.

    The Series 1 and Series 2 Preferred Shares have a 10% fixed cumulative preferential cash dividend payable when the Company has sufficient monies to be able to do so, including under the provisions of applicable law and contracts affecting the Company. The Board of Directors of the Company does not intend to declare or pay any cash dividends until the Company’s balance sheet and liquidity position supports the payment. As at March 31, 2025, the accrued and unpaid dividends on the Series 1 and Series 2 shares totaled $114.4 million. Any accrued and unpaid dividends are convertible in certain circumstances at the option of the holder into additional Series 1 and Series 2 Preferred Shares.

    ADDITIONAL INFORMATION

    Our unaudited condensed consolidated interim financial statements for the three months ended March 31, 2025 and the related Management’s Discussion and Analysis of the operating and financial results can be accessed on our website at www.flintcorp.com and will be available shortly through SEDAR+ at www.sedarplus.ca.

    About FLINT Corp.

    With a legacy of excellence and experience stretching back more than 100 years, FLINT provides solutions for the Energy and Industrial markets including: Oil & Gas (upstream, midstream and downstream), Petrochemical, Mining, Power, Agriculture, Forestry, Infrastructure and Water Treatment. With offices strategically located across Canada and a dedicated workforce, we provide maintenance, construction, wear technology and environmental services that help our customers bring their resources to our world. For more information about FLINT, please visit www.flintcorp.com or contact:

    Barry Card   Jennifer Stubbs
    Chief Executive Officer   Chief Financial Officer
    FLINT Corp.   FLINT Corp.
    (587) 318-0997    
    investorrelations@flintcorp.com     

    Advisory regarding Forward-Looking Information

    Certain information included in this press release may constitute “forward-looking information” within the meaning of Canadian securities laws. In some cases, forward-looking information can be identified by terminology such as “may”, “will”, “should”, “expect”, “plan”, “anticipate”, “believe”, “estimate”, “predict”, “potential”, “continue” or the negative of these terms or other similar expressions concerning matters that are not historical facts. This press release contains forward-looking information relating to: our business plans, strategies and objectives; the expectation for activity levels to increase in the second quarter and that for the remainder of 2025, we expect activity levels to be fairly consistent with 2024, although there is increased uncertainly as to the timing of some projects due to the current economic and geopolitical environment; contract renewals and project awards, including the estimated value thereof and the timing of completing the associated work; the company’s approach to dividends and the sufficiency of our liquidity and cash flow from operations to meet our short-term contractual obligations and maintain compliance with our financial covenants through March 31, 2026.

    Forward-looking information involves significant risks and uncertainties. A number of factors could cause actual events or results to differ materially from the events and results discussed in the forward-looking information including, but not limited to, compliance with debt covenants, access to credit facilities and other sources of capital for working capital requirements and capital expenditure needs, availability of labour, dependence on key personnel, economic conditions, commodity prices, interest rates, regulatory change, weather and risks related to the integration of acquired businesses. These factors should not be considered exhaustive. Risks and uncertainties about FLINT’s business are more fully discussed in FLINT’s disclosure materials, including its annual information form and management’s discussion and analysis of the operating and financial results, filed with the securities regulatory authorities in Canada and available on SEDAR+ at www.sedarplus.ca. In formulating the forward-looking information, management has assumed that business and economic conditions affecting FLINT will continue substantially in the ordinary course, including, without limitation, with respect to general levels of economic activity, regulations, taxes and interest rates. Although the forward-looking information is based on what management of FLINT consider to be reasonable assumptions based on information currently available to it, there can be no assurance that actual events or results will be consistent with this forward-looking information, and management’s assumptions may prove to be incorrect.

    This forward-looking information is made as of the date of this press release, and FLINT does not assume any obligation to update or revise it to reflect new events or circumstances except as required by law. Undue reliance should not be placed on forward-looking information. Forward-looking information is provided for the purpose of providing information about management’s current expectations and plans relating to the future. Readers are cautioned that such information may not be appropriate for other purposes.

    Advisory regarding Non-GAAP Financial Measures

    The terms ‘‘EBITDAS’’ and “Adjusted EBITDAS” (collectively, the ‘‘Non-GAAP financial measures’’) are financial measures used in this press release that are not standard measures under IFRS. FLINT’s method of calculating the Non-GAAP Financial Measures may differ from the methods used by other issuers. Therefore, the Non-GAAP Financial Measures, as presented, may not be comparable to similar measures presented by other issuers.

    EBITDAS refers to income (loss) from continuing operations in accordance with IFRS, before depreciation and amortization, interest expense, income tax expense (recovery) and long-term incentive plan expenses. EBITDAS is used by management and the directors of FLINT as well as many investors to determine the ability of an issuer to generate cash from operations. Management believes that in addition to income (loss) from continuing operations and cash provided by operating activities, EBITDAS is a useful supplemental measure from which to determine FLINT’s ability to generate cash available for debt service, working capital, capital expenditures and income taxes. FLINT has provided a reconciliation of income (loss) from continuing operations to EBITDAS below.

    Adjusted EBITDAS refers to EBITDAS excluding restructuring expense, gain on sale of property, plant and equipment, other income and one-time incurred expenses. FLINT has used Adjusted EBITDAS as the basis for the analysis of its past operating financial performance. Adjusted EBITDAS is a measure that management believes (i) is a useful supplemental measure from which to determine FLINT’s ability to generate cash available for debt service, working capital, capital expenditures, and income taxes, and (ii) facilitates the comparability of the results of historical periods and the analysis of its operating financial performance which may be useful to investors. FLINT has provided a reconciliation of income (loss) from continuing operations to Adjusted EBITDAS below.

    Investors are cautioned that the Non-GAAP Financial Measures are not alternatives to measures under IFRS and should not, on their own, be construed as an indicator of performance or cash flows, a measure of liquidity or as a measure of actual return on the shares. These Non-GAAP Financial Measures should only be used with reference to FLINT’s consolidated interim and annual financial statements, which are available on SEDAR+ at www.sedarplus.ca or on FLINT’s website at www.flintcorp.com. 

    (In thousands of Canadian dollars) Three months ended March 31,
    		  
    2025   2024  
         
    Loss from continuing operations (3,332 ) (4,786 )
    Add:    
    Amortization of intangible assets 65   68  
    Depreciation expense 2,765   2,617  
    Long-term incentive plan expense 1,000   600  
    Interest expense 4,529   4,582  
    EBITDAS 5,027   3,081  
    Add (deduct):    
    Gain on sale of property, plant and equipment (314 ) (169 )
    Restructuring expenses 554   395  
    Other income (156 ) (315 )
    One-time incurred expenses 7   196  
    Adjusted EBITDAS 5,118   3,188  

    The MIL Network –

  • MIL-OSI: Ready Capital Corporation Reports First Quarter 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    – GAAP EARNINGS PER COMMON SHARE FROM CONTINUING OPERATIONS OF $0.47 –
    – DISTRIBUTABLE LOSS PER COMMON SHARE OF $(0.09) –
    – DISTRIBUTABLE EARNINGS PER COMMON SHARE BEFORE REALIZED LOSSES OF $0.00 –

    NEW YORK, May 08, 2025 (GLOBE NEWSWIRE) — Ready Capital Corporation (“Ready Capital” or the “Company”) (NYSE: RC), a multi-strategy real estate finance company that originates, acquires, finances, and services lower-to-middle-market (“LMM”) investor and owner-occupied commercial real estate loans, today reported financial results for the quarter ended March 31, 2025.

    “Market volatility, tariff implementations, declining consumer confidence and increased recession expectations provide headwinds for our business”, said Thomas Capasse, Ready Capital’s Chairman and Chief Executive Officer. “Despite this challenging macroeconomic environment, the Company continues to take decisive actions to reset the balance sheet and restore profitability.”

    First Quarter Highlights

    • LMM commercial real estate originations of $79 million
    • Small Business Lending (“SBL”) loan originations of $387 million, including $343 million of Small Business Administration 7(a) loans
    • Declared and paid dividend of $0.125 per share in cash
    • Book value of $10.61 per share of common stock as of March 31, 2025
    • Completed the acquisition of United Development Funding IV, a real estate investment trust providing capital solutions to residential real estate developers and regional homebuilders
    • Acquired approximately 3.4 million shares of the Company’s common stock at an average price of $5.02 per share as part of stock repurchase program
    • Closed a private placement of $220 million in aggregate principal amount of its 9.375% Senior Secured Notes due 2028

    Subsequent Events

    On April 16, 2025, ReadyCap Holdings issued an additional $50.0 million in aggregate principal amount of its 9.375% Senior Secured Notes due 2028. The Company used the net proceeds from the issuance of such notes to repay its indebtedness.

    Use of Non-GAAP Financial Information

    In addition to the results presented in accordance with U.S. GAAP, this press release includes distributable earnings, formerly referred to as core earnings, which is a non-U.S. GAAP financial measure. The Company defines distributable earnings as net income adjusted for unrealized gains and losses related to certain mortgage backed securities (“MBS”) not retained by us as part of our loan origination business, realized gains and losses on sales of certain MBS, unrealized gains and losses related to residential mortgage servicing rights (“MSR”) from discontinued operations, unrealized changes in our current expected credit loss reserve, unrealized gains or losses on de-designated cash flow hedges, unrealized gains or losses on foreign exchange hedges, unrealized gains or losses on certain unconsolidated joint ventures, non-cash compensation expense related to our stock-based incentive plan, and one-time non-recurring gains or losses, such as gains or losses on discontinued operations, bargain purchase gains, or merger related expenses.

    The Company believes that this non-U.S. GAAP financial information, in addition to the related U.S. GAAP measures, provides investors greater transparency into the information used by management in its financial and operational decision-making, including the determination of dividends. However, because distributable earnings is an incomplete measure of the Company’s financial performance and involves differences from net income computed in accordance with U.S. GAAP, it should be considered along with, but not as an alternative to, the Company’s net income computed in accordance with U.S. GAAP as a measure of the Company’s financial performance. In addition, because not all companies use identical calculations, the Company’s presentation of distributable earnings may not be comparable to other similarly-titled measures of other companies.

    In calculating distributable earnings, Net Income (in accordance with U.S. GAAP) is adjusted to exclude unrealized gains and losses on MBS acquired by the Company in the secondary market but is not adjusted to exclude unrealized gains and losses on MBS retained by Ready Capital as part of its loan origination businesses, where the Company transfers originated loans into an MBS securitization and the Company retains an interest in the securitization. In calculating distributable earnings, the Company does not adjust Net Income (in accordance with U.S. GAAP) to take into account unrealized gains and losses on MBS retained by us as part of the loan origination businesses because the unrealized gains and losses that are generated in the loan origination and securitization process are considered to be a fundamental part of this business and an indicator of the ongoing performance and credit quality of the Company’s historical loan originations. In calculating distributable earnings, Net Income (in accordance with U.S. GAAP) is adjusted to exclude realized gains and losses on certain MBS securities considered to be non-distributable. Certain MBS positions are considered to be non-distributable due to a variety of reasons which may include collateral type, duration, and size.

    In addition, in calculating distributable earnings, Net Income (in accordance with U.S. GAAP) is adjusted to exclude unrealized gains or losses on residential MSRs, held at fair value from discontinued operations. Servicing rights relating to the Company’s small business commercial business are accounted for under ASC 860, Transfer and Servicing. In calculating distributable earnings, the Company does not exclude realized gains or losses on commercial MSRs, as servicing income is a fundamental part of Ready Capital’s business and is an indicator of the ongoing performance.

    To qualify as a REIT, the Company must distribute to its stockholders each calendar year at least 90% of its REIT taxable income (including certain items of non-cash income), determined without regard to the deduction for dividends paid and excluding net capital gain. There are certain items, including net income generated from the creation of MSRs, that are included in distributable earnings but are not included in the calculation of the current year’s taxable income. These differences may result in certain items that are recognized in the current period’s calculation of distributable earnings not being included in taxable income, and thus not subject to the REIT dividend distribution requirement until future years.

    The table below reconciles Net Income computed in accordance with U.S. GAAP to Distributable Earnings.

    (in thousands) Three Months Ended March 31, 2025
    Net Income $ 81,965  
    Reconciling items:  
    Unrealized loss on MSR – discontinued operations   8,952  
    Unrealized loss on joint ventures   5,639  
    Decrease in CECL reserve   (112,127 )
    Increase in valuation allowance   99,718  
    Non-recurring REO impairment   2,346  
    Non-cash compensation   1,785  
    Merger transaction costs and other non-recurring expenses   2,993  
    Bargain purchase gain   (102,471 )
    Realized losses on sale of investments   20,084  
    Total reconciling items $ (73,081 )
    Income tax adjustments   (4,744 )
    Distributable earnings before realized losses $ 4,140  
    Realized losses on sale of investments, net of tax   (15,524 )
    Distributable loss $ (11,384 )
    Less: Distributable earnings attributable to non-controlling interests   1,985  
    Less: Income attributable to participating shares   2,228  
    Distributable loss attributable to common stockholders $ (15,597 )
    Distributable earnings before realized losses on investments, net of tax per common share – basic and diluted $ 0.00  
    Distributable loss per common share – basic and diluted $ (0.09 )

    U.S. GAAP return on equity is based on U.S. GAAP net income, while distributable return on equity is based on distributable earnings, which adjusts U.S. GAAP net income for the items Din the distributable earnings reconciliation above.

    Webcast and Earnings Conference Call

    Management will host a webcast and conference call on Friday, May 9, 2025 at 8:30am ET to provide a general business update and discuss the financial results for the quarter ended March 31, 2025. During the conference call, the Company may discuss and answer questions concerning business and financial developments and trends that have occurred after quarter-end. The Company’s responses to questions, as well as other matters discussed during the conference call, may contain or constitute information that has not been disclosed previously.

    The Company encourages use of the webcast due to potential extended wait times to access the conference call via dial-in. The webcast of the conference call will be available in the Investor Relations section of the Company’s website at www.readycapital.com. To listen to a live broadcast, go to the site at least 15 minutes prior to the scheduled start time in order to register, download and install any necessary audio software.

    To Participate in the Telephone Conference Call:

    Dial in at least five minutes prior to start time.

    Domestic: 1-877-407-0792
    International: 1-201-689-8263

    Conference Call Playback:

    Domestic: 1-844-512-2921
    International: 1-412-317-6671
    Replay Pin #: 13750797

    The playback can be accessed through May 23, 2025.

    Safe Harbor Statement

    This press release contains statements that constitute “forward-looking statements,” as such term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and such statements are intended to be covered by the safe harbor provided by the same. These statements are based on management’s current expectations and beliefs and are subject to a number of trends and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements; the Company can give no assurance that its expectations will be attained. Factors that could cause actual results to differ materially from the Company’s expectations include, but are not limited to, applicable regulatory changes; general volatility of the capital markets; changes in the Company’s investment objectives and business strategy; the availability of financing on acceptable terms or at all; the availability, terms and deployment of capital; the availability of suitable investment opportunities; changes in the interest rates or the general economy; increased rates of default and/or decreased recovery rates on investments; changes in interest rates, interest rate spreads, the yield curve or prepayment rates; changes in prepayments of Company’s assets; the degree and nature of competition, including competition for the Company’s target assets; and other factors, including those set forth in the Risk Factors section of the Company’s most recent Annual Report on Form 10-K filed with the SEC, and other reports filed by the Company with the SEC, copies of which are available on the SEC’s website, www.sec.gov. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law.

    About Ready Capital Corporation

    Ready Capital Corporation (NYSE: RC) is a multi-strategy real estate finance company that originates, acquires, finances and services lower-to-middle-market investor and owner occupied commercial real estate loans. The Company specializes in loans backed by commercial real estate, including agency multifamily, investor, construction, and bridge as well as U.S. Small Business Administration loans under its Section 7(a) program and government guaranteed loans focused on the United States Department of Agriculture. Headquartered in New York, New York, the Company employs approximately 500 professionals nationwide.

    Contact
    Investor Relations
    Ready Capital Corporation
    212-257-4666
    InvestorRelations@readycapital.com

    Additional information can be found on the Company’s website at www.readycapital.com.

     
    READY CAPITAL CORPORATION
    UNAUDITED CONSOLIDATED BALANCE SHEETS
     
    (in thousands) March 31, 2025   December 31, 2024
    Assets      
    Cash and cash equivalents $ 205,917     $ 143,803  
    Restricted cash   39,603       30,560  
    Loans, net (including $2,018 and $3,533 held at fair value)   4,354,017       3,378,149  
    Loans, held for sale (including $81,789 and $128,531 held at fair value and net of valuation allowance of $158,068 and $97,620)   528,726       241,626  
    Mortgage-backed securities   31,415       31,006  
    Investment in unconsolidated joint ventures (including $6,371 and $6,577 held at fair value)   170,920       161,561  
    Derivative instruments   6,907       7,963  
    Servicing rights   129,814       128,440  
    Real estate owned, held for sale   199,910       193,437  
    Other assets   399,702       362,486  
    Assets of consolidated VIEs   3,723,738       5,175,295  
    Assets held for sale   185,782       287,595  
    Total Assets $ 9,976,451     $ 10,141,921  
    Liabilities      
    Secured borrowings   2,713,415       2,035,176  
    Securitized debt obligations of consolidated VIEs, net   2,574,139       3,580,513  
    Senior secured notes, net   671,510       437,847  
    Corporate debt, net   817,156       895,265  
    Guaranteed loan financing   668,847       691,118  
    Contingent consideration   15,982       573  
    Derivative instruments   575       352  
    Dividends payable   23,929       43,168  
    Loan participations sold   98,128       95,578  
    Due to third parties   1,071       1,442  
    Accounts payable and other accrued liabilities   185,533       188,051  
    Liabilities held for sale   156,614       228,735  
    Total Liabilities $ 7,926,899     $ 8,197,818  
    Preferred stock Series C, liquidation preference $25.00 per share   8,361       8,361  
           
    Commitments & contingencies      
           
    Stockholders’ Equity      
    Preferred stock Series E, liquidation preference $25.00 per share   111,378       111,378  
    Common stock, $0.0001 par value, 500,000,000 shares authorized, 172,507,227 and 162,792,372 shares issued and outstanding, respectively   17       17  
    Additional paid-in capital   2,302,101       2,250,291  
    Retained earnings (deficit)   (450,276 )     (505,089 )
    Accumulated other comprehensive loss   (21,673 )     (18,552 )
    Total Ready Capital Corporation equity   1,941,547       1,838,045  
    Non-controlling interests   99,644       97,697  
    Total Stockholders’ Equity $ 2,041,191     $ 1,935,742  
    Total Liabilities, Redeemable Preferred Stock, and Stockholders’ Equity $ 9,976,451     $ 10,141,921  
     
     
    READY CAPITAL CORPORATION
    UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS
     
      Three Months Ended March 31,
    (in thousands, except share data)   2025       2024  
    Interest income $ 154,967     $ 232,354  
    Interest expense   (140,466 )     (183,805 )
    Net interest income before recovery of loan losses $ 14,501     $ 48,549  
    Recovery of loan losses   109,568       26,544  
    Net interest income after recovery of loan losses $ 124,069     $ 75,093  
    Non-interest income      
    Net realized gain (loss) on financial instruments and real estate owned   10,669       18,868  
    Net unrealized gain (loss) on financial instruments   (1,750 )     4,632  
    Valuation allowance, loans held for sale   (99,718 )     (146,180 )
    Servicing income, net of amortization and impairment of $5,294 and $3,697   6,456       3,758  
    Gain on bargain purchase   102,471       —  
    Income (loss) on unconsolidated joint ventures   (3,982 )     468  
    Other income   11,590       15,826  
    Total non-interest income (expense) $ 25,736     $ (102,628 )
    Non-interest expense      
    Employee compensation and benefits   (21,254 )     (18,414 )
    Allocated employee compensation and benefits from related party   (3,276 )     (2,500 )
    Professional fees   (5,488 )     (7,065 )
    Management fees – related party   (5,577 )     (6,648 )
    Loan servicing expense   (15,844 )     (12,794 )
    Transaction related expenses   (2,694 )     (650 )
    Impairment on real estate   (2,346 )     (16,972 )
    Other operating expenses   (16,123 )     (13,215 )
    Total non-interest expense $ (72,602 )   $ (78,258 )
    Income (loss) from continuing operations before benefit (provision) for income taxes   77,203       (105,793 )
    Income tax benefit   5,207       30,211  
    Net income (loss) from continuing operations $ 82,410     $ (75,582 )
    Discontinued operations      
    Income (loss) from discontinued operations before benefit for income taxes   (594 )     1,887  
    Income tax benefit (provision)   149       (472 )
    Net income (loss) from discontinued operations $ (445 )   $ 1,415  
    Net income (loss) $ 81,965     $ (74,167 )
    Less: Dividends on preferred stock   1,999       1,999  
    Less: Net income attributable to non-controlling interest   2,460       117  
    Net income (loss) attributable to Ready Capital Corporation $ 77,506     $ (76,283 )
           
    Earnings per common share from continuing operations – basic $ 0.47     $ (0.45 )
    Earnings per common share from discontinued operations – basic $ 0.00     $ 0.01  
    Total earnings per common share – basic $ 0.47     $ (0.44 )
           
    Earnings per common share from continuing operations – diluted $ 0.46     $ (0.45 )
    Earnings per common share from discontinued operations – diluted $ 0.00     $ 0.01  
    Total earnings per common share – diluted $ 0.46     $ (0.44 )
           
    Weighted-average shares outstanding      
    Basic   165,166,276       172,032,866  
    Diluted   167,723,519       173,104,415  
           
    Dividends declared per share of common stock $ 0.125     $ 0.30  
     
     
    READY CAPITAL CORPORATION
    UNAUDITED SEGMENT REPORTING
     
      Three Months Ended March 31, 2025
    (in thousands) LMM
    Commercial
    Real Estate    		   Small Business
    Lending    		   Corporate-Other   Consolidated
    Interest income $ 124,973     $ 29,994     $ —     $ 154,967  
    Interest expense   (120,354 )     (20,112 )     —       (140,466 )
    Net interest income before recovery of (provision for) loan losses $ 4,619     $ 9,882     $ —     $ 14,501  
    Recovery of (provision for) loan losses   117,941       (8,373 )     —       109,568  
    Net interest income after recovery of (provision for) loan losses $ 122,560     $ 1,509     $ —     $ 124,069  
    Non-interest income              
    Net realized gain (loss) on financial instruments and real estate owned   (14,600 )     25,269       —       10,669  
    Net unrealized gain (loss) on financial instruments   (604 )     (1,146 )     —       (1,750 )
    Valuation allowance, loans held for sale   (99,718 )     —       —       (99,718 )
    Servicing income, net   1,415       5,041       —       6,456  
    Gain on bargain purchase   —       —       102,471       102,471  
    Income (loss) on unconsolidated joint ventures   (4,005 )     23       —       (3,982 )
    Other income   3,037       7,262       1,291       11,590  
    Total non-interest income (loss) $ (114,475 )   $ 36,449     $ 103,762     $ 25,736  
    Non-interest expense              
    Employee compensation and benefits   (5,871 )     (15,304 )     (79 )     (21,254 )
    Allocated employee compensation and benefits from related party   (328 )     —       (2,948 )     (3,276 )
    Professional fees   (818 )     (2,905 )     (1,765 )     (5,488 )
    Management fees – related party   —       —       (5,577 )     (5,577 )
    Loan servicing expense   (15,064 )     (780 )     —       (15,844 )
    Transaction related expenses   —       —       (2,694 )     (2,694 )
    Impairment on real estate   (2,346 )     —       —       (2,346 )
    Other operating expenses   (3,336 )     (11,071 )     (1,716 )     (16,123 )
    Total non-interest expense $ (27,763 )   $ (30,060 )   $ (14,779 )   $ (72,602 )
    Income (loss) before provision for income taxes $ (19,678 )   $ 7,898     $ 88,983     $ 77,203  
    Total assets $ 7,897,270     $ 1,510,635     $ 382,764     $ 9,790,669  

    The MIL Network –

  • MIL-OSI: TC Energy announces 2025 annual meeting Board of Directors election results

    Source: GlobeNewswire (MIL-OSI)

    CALGARY, Alberta, May 08, 2025 (GLOBE NEWSWIRE) — News Release – TC Energy Corporation (TSX, NYSE: TRP) (TC Energy or the Company) today announced that at its 2025 annual meeting of shareholders held earlier today, each of the following 13 nominees were elected as directors of TC Energy on a vote by ballot to serve until the next annual meeting of shareholders of TC Energy, or until their successors are elected or earlier appointed:

    Nominee # Votes
    For    		 % Votes
    For    		 # Votes
    Against    		 % Votes
    Against
    Scott Bonham 677,017,619 99.84 1,061,492 0.16
    Cheryl F. Campbell 673,225,982 99.28 4,853,157 0.72
    Michael R. Culbert 673,422,055 99.31 4,657,086 0.69
    William D. Johnson 665,190,544 98.10 12,887,833 1.90
    Susan C. Jones 673,349,772 99.30 4,729,368 0.70
    John E. Lowe 663,231,215 97.81 14,847,922 2.19
    Dawn Madahbee Leach 677,045,840 99.85 1,033,300 0.15
    François L. Poirier 673,662,897 99.35 4,415,592 0.65
    Una Power 666,886,403 98.35 11,192,739 1.65
    Mary Pat Salomone 669,245,147 98.70 8,833,994 1.30
    Siim A. Vanaselja 665,004,883 98.07 13,074,258 1.93
    Thierry Vandal 668,886,158 98.64 9,192,983 1.36
    Dheeraj “D” Verma 671,156,491 98.98 6,922,648 1.02

    Final voting results on all matters voted on at the meeting will be filed on SEDAR+ (www.sedarplus.ca) and EDGAR (www.sec.gov) and posted to the Investors section of the Company website at www.tcenergy.com by Friday, May 9, 2025.

    About TC Energy
    We’re a team of 6,500+ energy problem solvers connecting the world to the energy it needs. Our extensive network of natural gas infrastructure assets is one-of-a-kind. We seamlessly move, generate and store energy and deliver it to where it is needed most, to homes and businesses in North America and across the globe through LNG exports. Our natural gas assets are complemented by our strategic ownership and low-risk investments in power generation.

    TC Energy’s common shares trade on the Toronto (TSX) and New York (NYSE) stock exchanges under the symbol TRP. To learn more, visit us at TCEnergy.com.

    FORWARD-LOOKING INFORMATION
    This release contains certain information that is forward-looking and is subject to important risks and uncertainties (such statements are usually accompanied by words such as “anticipate”, “expect”, “believe”, “may”, “will”, “should”, “estimate”, “intend” or other similar words). Forward-looking statements in this document are intended to provide TC Energy security holders and potential investors with information regarding TC Energy and its subsidiaries, including management’s assessment of TC Energy’s and its subsidiaries’ future plans and financial outlook. All forward-looking statements reflect TC Energy’s beliefs and assumptions based on information available at the time the statements were made and as such are not guarantees of future performance. As actual results could vary significantly from the forward-looking information, you should not put undue reliance on forward-looking information and should not use future-oriented information or financial outlooks for anything other than their intended purpose. We do not update our forward-looking information due to new information or future events, unless we are required to by law. For additional information on the assumptions made, and the risks and uncertainties which could cause actual results to differ from the anticipated results, refer to the most recent Quarterly Report to Shareholders and Annual Report filed under TC Energy’s profile on SEDAR+ at www.sedarplus.ca and with the U.S. Securities and Exchange Commission at www.sec.gov.

    -30-

    Media Inquiries:
    Media Relations
    media@tcenergy.com
    403-920-7859 or 800-608-7859

    Investor & Analyst Inquiries:
    Gavin Wylie / Hunter Mau
    investor_relations@tcenergy.com
    403-920-7911 or 800-361-6522

    PDF available: http://ml.globenewswire.com/Resource/Download/1071dba2-fbc1-4544-9cd9-9c2c4c94f968

    The MIL Network –

  • MIL-OSI: NuVista Energy Ltd. Announces Strong First Quarter 2025 Results and Significant Progress on Our Shareholder Return Strategy

    Source: GlobeNewswire (MIL-OSI)

    CALGARY, Alberta, May 08, 2025 (GLOBE NEWSWIRE) — NuVista Energy Ltd. (“NuVista” or the “Company“) (TSX: NVA) is pleased to announce strong financial and operating results for the three months ended March 31, 2025, and to provide an update on our operational performance. Our high-quality asset base continues to deliver strong returns across commodity price cycles, supported by the consistent achievement of new production milestones. We made significant progress on our NCIB to return capital to shareholders and further enhanced our financial strength by successfully amending and renewing our three-year covenant-based credit facility. Having completed a strong first quarter, we are pleased to reaffirm our annual capital and production guidance.  

    Operational and Financial Highlights

    During the first quarter ended March 31, 2025, NuVista:

    • Achieved our highest-ever quarterly average production of 89,516 Boe/d, surpassing our guidance range of 87,000 – 88,000 Boe/d and representing a 12% increase in production compared to the first quarter of 2024. The production composition for the first quarter was 28% condensate(1), 10% NGLs and 62% natural gas;
    • Executed a net capital expenditure(3) program of $153.4 million, resulting in the drilling and completion of 9 and 24 wells, respectively;
    • Generated adjusted funds flow(2) of $191.9 million ($0.94/share, basic(4)), reflecting a 42% increase compared to the first quarter of 2024;
    • Realized free adjusted funds flow(3) of $35.0 million ($0.17/share, basic(4));
    • Delivered a strong operating netback(5) at $28.41/Boe and a corporate netback(5) at $23.84/Boe, reflecting increases of 30% and 28%, respectively, compared to the first quarter of 2024;
    • Repurchased and cancelled 3.6 million common shares, at an average price of $12.86 per common share, for a total cost of $45.8 million. Since the inception of the Company’s normal course issuer bid (“NCIB”) in 2022, we have repurchased and cancelled 40.5 million common shares for an aggregate cost of $487.3 million or $12.04 per share;
    • Strengthened our financial position through the amendment and renewal of our three-year covenant-based credit facility, increasing the facility size to $550 million and extending its maturity by one year to May 8, 2028;
    • Exited the period with $2.7 million of available cash and net debt(2) of $267.6 million, maintaining a favorable net debt to annualized first quarter adjusted funds flow(2) ratio of 0.3x; and
    • Achieved net earnings of $112.2 million ($0.55/share, basic), reflecting a 214% increase compared to the first quarter of 2024;

    Notes:

    (1) Natural gas liquids are defined by National Instrument 51-101 –Standards of Disclosure for Oil and Gas Activities to include ethane, butane, propane, pentanes plus and condensate. Unless explicitly stated in this press release, references to “NGL” refers only to ethane, butane and propane and references to “condensate” refers to only to condensate and pentanes plus. NuVista has disclosed condensate and pentanes plus values separately from ethane, butane and propane values as NuVista believes it provides a more accurate description of NuVista’s operations and results therefrom.
    (2) Each of “adjusted funds flow”, “net debt” and “net debt to annualized first quarter adjusted funds flow” are capital management measures. Reference should be made to the section entitled “Specified Financial Measures” in this press release.
    (3) Each of “free adjusted funds flow” and “net capital expenditures” are non-GAAP financial measures that do not have any standardized meanings under IFRS Accounting Standards and therefore may not be comparable to similar measures presented by other companies where similar terminology is used. Reference should be made to the section entitled “Specified Financial Measures” in this press release.
    (4) Each of “adjusted funds flow per share” and “free adjusted funds flow per share” are supplementary financial measures. Reference should be made to the section entitled “Specified Financial Measures” in this press release.
    (5) Each of “operating netback” and “corporate netback” are non-GAAP ratios that do not have any standardized meanings under IFRS Accounting Standards and therefore may not be comparable to similar measures presented by other companies where similar terminology is used. Reference should be made to the section entitled “Specified Financial Measures” in this press release.
       

    Operations Update

    Operations during the first three months of 2025 have progressed well. We have reached new corporate production milestones facilitated by the consistent utilization of our two drilling rigs and established completions crew.

    Notable operational achievements in the first quarter ended March 31, 2025, included:

    • Sustaining production above 90,000 Boe/d for the month of March, which exhibits our productive capability prior to our planned expansions coming on-stream later in the second quarter of 2025;
    • Drilling a 4-well Lower and Mid-Montney co-developed pad in Gold Creek, which is slated to come on-stream early in the third quarter of 2025. This pad offsets a 6-well co-developed pad, that in its first year produced an average of 1,250 Boe/d per well (50% condensate), which is 45% above the Gold Creek historical average;
    • Completing and bringing a 5-well pad in Elmworth online early in the second quarter of 2025. Notably, execution performance on this pad continued to set new benchmarks for the area. These improvements have resulted in average drilling and completion costs per well on the pad coming in 17% below the offsetting pad, which was executed in 2024. Production from this pad will be an important datapoint as development moves toward the higher condensate weighted portion of Elmworth;
    • Bringing a 5-well pad in Bilbo online in January, which targeted three benches, including the Lower Montney. The pad has reached its IP60 milestone producing on average 1,580 Boe/d per well, including 46% condensate. Importantly, the Lower Montney exceeded the IP60 average, producing 1,850 Boe/d and over 50% condensate; and
    • Completing a 14-well pad and commencing the drilling of an additional 8-well pad in Pipestone. These wells will underpin our growth into the newly expanded Pipestone infrastructure beginning later in the second quarter.

    Return of Capital to Shareholders and Balance Sheet Strength

    NuVista’s approach to capital allocation remains unchanged, maintaining a clear focus on the compounding benefits of absolute growth and reducing outstanding shares to deliver industry-leading total returns. We intend to allocate a minimum of $100 million in 2025, to the repurchase of the Company’s common shares under our NCIB and will allocate at least 75% of any incremental annual free adjusted funds flow above $100 million towards additional share repurchases.

    Given our strong operational and financial performance year-to-date, and based on our current commodity outlook at US$60/Bbl WTI and US$3.50/MMBtu NYMEX, we expect to generate over $200 million in free adjusted funds flow in 2025, positioning us to materially exceed our minimum threshold for the year.

    We remain focused on our disciplined and value-adding growth strategy, and providing significant shareholder returns. We continue to view share repurchases as the most effective initial method of returning capital to shareholders and will reassess this approach as our growth plan progresses.

    As at March 31, 2025, we maintained a strong financial position with $2.7 million in cash and no amounts drawn on our covenant-based credit facility, resulting in net debt of $267.6 million. This remains well below our net debt soft ceiling of $350 million, reinforcing our ability to keep net debt to adjusted funds flow at or below 1.0x, even in a stress case of US$45/Bbl WTI and US$2.00/MMBtu NYMEX. For the first quarter, our net debt to annualized adjusted funds flow was 0.3x.

    Further strengthening our financial position, on May 8, 2025, we renewed and amended our three-year, covenant-based credit facility, increasing its facility size by $100 million from $450 million to $550 million and extending the maturity by one year to May 8, 2028.

    Board Retirement Update

    After 22 years of leadership at NuVista, Mr. Ronald (Ron) Poelzer has decided to retire from our Board, and as such, will not be standing for re-election at this year’s annual shareholders’ meeting. Ron has been a distinguished leader and steadfast advocate for the oil and gas industry, leaving a lasting legacy through the many individuals he has worked with and mentored. As a co-founder of NuVista, he has played a vital role on our board and has been instrumental in shaping NuVista into the strong industry player we are today. His strategic insight, vision, and leadership have helped guide our growth and position us for long-term success.

    The Board of Directors, management team, and all of us at NuVista extend our deepest gratitude to Ron for his invaluable contributions since the Company’s inception in 2003, and we thank him for his long and impactful service while wishing him and his family continued success and happiness in retirement.

    2025 Guidance Update

    Production thus far in 2025 has continued to perform well, with NuVista exceeding first quarter guidance. As previously communicated, the majority of our 2025 growth will come from the Pipestone area with the start-up of a third-party gas plant (“Pipestone Plant”), which is expected to be online late in the second quarter of 2025. Additionally, our annual guidance reflects the planned 4-year turnaround operations that are scheduled to impact production from our Pipestone South, Gold Creek and Elmworth operations during June and July. As such, our second quarter production guidance is 75,000 – 77,000 Boe/d. Subsequent to the planned turnaround and commissioning of the Pipestone Plant, the infrastructure will be in place to support production of approximately 100,000 Boe/d in the fourth quarter of 2025. We reiterate our annual production guidance of approximately 90,000 Boe/d.

    Further we reaffirm our annual net capital expenditure guidance target of approximately $450 million, which will allow us to continue to prioritize at least a triple-digit return of capital to shareholders through the repurchase of our outstanding common shares. However, given recent volatility we continue to monitor the macro environment with a focus on prioritizing economics and returns, as such, if commodity prices continue to weaken and persist, we have the flexibility to adjust our capital program to maximize shareholder returns and preserve our growth economics for a more robust price environment.

    Please note that our updated corporate presentation will be available at www.nuvistaenergy.com on May 8, 2025. NuVista’s management’s discussion and analysis, condensed consolidated interim financial statements for the three months ended March 31, 2025 and notes thereto, will be filed on SEDAR+ (www.sedarplus.ca) on May 8, 2024 and can also be obtained at www.nuvistaenergy.com.

    FINANCIAL AND OPERATING HIGHLIGHTS      
      Three months ended March 31  
    ($ thousands, except otherwise stated) 2025   2024   % Change  
    FINANCIAL      
    Petroleum and natural gas revenues 371,405   309,024   20  
    Cash provided by operating activities 232,663   147,893   57  
    Adjusted funds flow (3) 191,886   135,413   42  
    Per share, basic (6) 0.94   0.65   45  
    Per share, diluted (6) 0.94   0.64   47  
    Net earnings 112,152   35,769   214  
    Per share, basic 0.55   0.17   224  
    Per share, diluted 0.55   0.17   224  
    Total assets 3,579,218   3,134,976   14  
    Net capital expenditures (1) 153,411   187,856   (18 )
    Net debt (3) 267,568   261,171   2  
    OPERATING      
    Daily Production      
    Natural gas (MMcf/d) 334.8   292.8   14  
    Condensate (Bbls/d) 25,178   24,220   4  
    NGLs (Bbls/d) 8,542   7,022   22  
    Total (Boe/d) 89,516   80,042   12  
    Condensate & NGLs weighting 38%   39%    
    Condensate weighting 28%   30%    
    Average realized selling prices (5)      
    Natural gas ($/Mcf) 3.91   3.08   27  
    Condensate ($/Bbl) 98.17   95.10   3  
    NGLs ($/Bbl) (4) 40.53   27.23   49  
    Netbacks ($/Boe)      
    Petroleum and natural gas revenues 46.10   42.43   9  
    Realized gain (loss) on financial derivatives 2.18   (0.18 ) (1,311 )
    Other income 0.01   0.05   (80 )
    Royalties (3.89 ) (4.47 ) (13 )
    Transportation expense (4.75 ) (4.47 ) 6  
    Net operating expense (2) (11.24 ) (11.51 ) (2 )
    Operating netback (2) 28.41   21.85   30  
    Corporate netback (2) 23.84   18.58   28  
    SHARE TRADING STATISTICS      
    High ($/share) 14.51   12.11   20  
    Low ($/share) 10.61   9.59   11  
    Close ($/share) 13.60   11.88   14  
    Common shares outstanding (thousands of shares) 200,664   206,332   (3 )

    Notes:

    (1) Non-GAAP financial measure that does not have any standardized meaning under IFRS Accounting Standards and therefore may not be comparable to similar measures presented by other companies where similar terminology is used. Reference should be made to the section entitled“Specified Financial Measures”.
    (2) Non-GAAP ratio that does not have any standardized meaning under IFRS Accounting Standards and therefore may not be comparable to similar measures presented by other companies where similar terminology is used. Reference should be made to the section entitled“Specified Financial Measures”.
    (3) Capital management measure. Reference should be made to the section entitled“Specified Financial Measures”.
    (4) Natural gas liquids (“NGLs”) includes butane, propane and ethane revenue and sales volumes, and sulphur revenue.
    (5) Product prices exclude realized gains/losses on financial derivatives.
    (6) Supplementary financial measure. Reference should be made to the section entitled“Specified Financial Measures”.
       

    Advisories Regarding Oil and Gas Information

    BOEs may be misleading, particularly if used in isolation. A BOE conversion ratio of 6 Mcf: 1 Bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. As the value ratio between natural gas and crude oil based on the current prices of natural gas and crude oil is significantly different from the energy equivalency of 6:1, utilizing a conversion on a 6:1 basis may be misleading as an indication of value.

    Any references in this press release to initial production rates are useful in confirming the presence of hydrocarbons, however, such rates are not determinative of the rates at which such wells will continue production and decline thereafter. While encouraging, readers are cautioned not to place reliance on such rates in calculating the aggregate production for NuVista.

    This press release contains certain oil and gas metrics, which do not have standardized meanings or standard methods of calculation and therefore such measures may not be comparable to similar measures used by other companies and should not be used to make comparisons. Such metrics have been included herein to provide readers with additional measures to evaluate NuVista’s performance; however, such measures are not reliable indicators of NuVista’s future performance and future performance may not compare to NuVista’s performance in previous periods and therefore such metrics should not be unduly relied upon. Management uses these oil and gas metrics for its own performance measurements and to provide security holders with measures to compare NuVista’s operations over time. Readers are cautioned that the information provided by these metrics, or that can be derived from the metrics presented in this presentation, should not be relied upon for investment or other purposes.

    In this press release reference is made to 2025 price outlook in the forecast of annual free adjusted funds flow. The forecast is based on 2025 price assumptions of: US$60/Bbl WTI, US$3.50/MMBtu NYMEX, C$1.95/GJ AECO and 1.38:1 CAD:USD FX.

    Basis of presentation

    Unless otherwise noted, the financial data presented in this press release has been prepared in accordance with Canadian generally accepted accounting principles (“GAAP”) also known as International Financial Reporting Standards (“IFRS”).

    Natural gas liquids are defined by National Instrument 51-101 – Standards of Disclosure for Oil and Gas Activities” to include ethane, butane, propane, pentanes plus and condensate. Unless explicitly stated in this press release, references to “NGL” refers only to ethane, butane and propane and references to “condensate” refers to only to condensate and pentanes plus. NuVista has disclosed condensate and pentanes plus values separately from ethane, butane and propane values as NuVista believes it provides a more accurate description of NuVista’s operations and results therefrom.

    Production split for Boe/d amounts referenced in the press release are as follows:

    Reference Total Boe/d Natural Gas
    %    		 Condensate
    %    		 NGLs
    %
             
    Q1 2025 production – actual 89,516 62 % 28 % 10 %
    Q1 2025 production – guidance 87,000 – 88,000 63 % 28 % 9 %
    Q2 2025 production – guidance 75,000 – 77,000 62 % 29 % 9 %
    2025 annual production guidance ~90,000 61 % 30 % 9 %

    Advisory regarding forward-looking information and statements

    This press release contains forward-looking statements and forward-looking information (collectively, “forward-looking statements”) within the meaning of applicable securities laws. The use of any of the words “will”, “expects”, “believe”, “plans”, “potential” and similar expressions are intended to identify forward-looking statements. More particularly and without limitation, this press release contains forward looking statements, including but not limited to:

    • that the amendment and renewal of our three-year covenant-based credit facility will strengthen our financial position;
    • our expectation that a 4-well Lower and Mid-Montney co-development pad in Gold Creek will be brought on-stream in the second quarter;
    • our expectation that an 8-well pad in Pipestone will be brought on-steam late in the third quarter and the anticipated benefits therefrom;
    • our expectations regarding production from the 5-well pad in Elmworth and the anticipated benefits therefrom;
    • our expectation that we will generate $200 million in free adjusted funds flow in 2025;
    • our intention to allocate $100 million to repurchase our common shares in 2025, with at least 75% of any incremental free adjusted funds flow also allocated to the repurchase of our common share pursuant to our NCIB;
    • our expectation that we will have fulfilled the $100 million repurchase commitment to shareholders in the first half of the year;
    • that our soft ceiling net debt will allow our current production levels to be sustainable and maintain an adjusted funds flow ratio below 1.0x in a stress test price environment of US$45/Bbl WTI and US$2.00/MMBtu NYMEX;
    • NuVista’s ability to continue directing free adjusted funds flow towards a prudent balance of return of capital to shareholders and debt reduction, while investing in high return growth projects;
    • the anticipated allocation of free adjusted funds flow;
    • guidance with respect to second quarter 2025 production and production mix;
    • the expected timing of start-up of the Pipestone Plant and the anticipated benefits thereof;
    • our expectations that following the planned turnaround and commissioning of the Pipestone Plant, the infrastructure will be in place to support production of approximately 100,000 Boe/d in the fourth quarter of 2025;
    • our 2025 full year production, full year production mix and net capital expenditures guidance ranges;
    • our plan to continue to maintain an efficient drilling program by employing 2-drill-rig execution;
    • our future focus, strategy, plans, opportunities and operations; and
    • other such similar statements.

    The future acquisition of our common shares pursuant to a share buyback (including through our normal course issuer bid), if any, and the level thereof is uncertain. Any decision to acquire common shares pursuant to a share buyback will be subject to the discretion of the Board of Directors and may depend on a variety of factors, including, without limitation, the Company’s business performance, financial condition, financial requirements, growth plans, expected capital requirements and other conditions existing at such future time including, without limitation, contractual restrictions and satisfaction of the solvency tests imposed on the Company under applicable corporate law. There can be no assurance of the number of common shares that the Company will acquire pursuant to a share buyback, if any, in the future.

    By their nature, forward-looking statements are based upon certain assumptions and are subject to numerous risks and uncertainties, some of which are beyond NuVista’s control, including the impact of general economic conditions, industry conditions, current and future commodity prices and inflation rates; that (i) the tariffs that are currently in effect on goods exported from or imported into Canada continue in effect for an extended period of time, the tariffs that have been threatened are implemented, that tariffs that are currently suspended are reactivated, the rate or scope of tariffs are increased, or new tariffs are imposed, including on oil and natural gas, (ii) the U.S. and/or Canada imposes any other form of tax, restriction or prohibition on the import or export of products from one country to the other, including on oil and natural gas, and (iii) the tariffs imposed or threatened to be imposed by the U.S. on other countries and retaliatory tariffs imposed or threatened to be imposed by other countries on the U.S., will trigger a broader global trade war which could have a material adverse effect on the Canadian, U.S. and global economies, and by extension the Canadian oil and natural gas industry and the Company, including by decreasing demand for (and the price of) oil and natural gas, disrupting supply chains, increasing costs, causing volatility in global financial markets, and limiting access to financing; the impact of ongoing global events, including Middle East and European tensions, with respect to commodity prices, currency and interest rates, anticipated production rates, borrowing, operating and other costs and adjusted funds flow; the timing, allocation and amount of net capital expenditures and the results therefrom; anticipated reserves and the imprecision of reserve estimates; the performance of existing wells; the success obtained in drilling new wells; the sufficiency of budgeted net capital expenditures in carrying out planned activities; access to infrastructure and markets; competition from other industry participants; availability of qualified personnel or services and drilling and related equipment; stock market volatility; effects of regulation by governmental agencies including changes in environmental regulations, tax laws and royalties; the ability to access sufficient capital from internal sources and bank and equity markets; that we will be able to execute our 2025 drilling plans as expected; our ability to carry out our 2025 production and capital guidance as expected, and by extension the oil and gas industry; and including, without limitation, those risks considered under “Risk Factors” in our Annual Information Form.

    Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. NuVista’s actual results, performance or achievement could differ materially from those expressed in, or implied by, these forward-looking statements, or if any of them do so, what benefits NuVista will derive therefrom. NuVista has included the forward-looking statements in this press release in order to provide readers with a more complete perspective on NuVista’s future operations and such information may not be appropriate for other purposes. NuVista disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

    This press release also contains financial outlook and future oriented financial information (together, “FOFI”) relating to NuVista including, without limitation, net capital expenditures in 2025, production and free adjusted funds flow which are based on, among other things, the various assumptions disclosed in this press release including under “Advisory regarding forward-looking information and statements” and including assumptions regarding benchmark pricing as it relates to the 2025 capital allocation framework. Notwithstanding the foregoing, the FOFI contained in this press release does not include the potential impact of tariff or trade-related regulation that have been announced by the U.S. and Canada, including the tariffs imposed by the U.S. on Canada effective March 4, 2025. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and the impact of the tariffs on NuVista’s business operations and financial condition, while currently unknown, may be material and adverse and, as such, undue reliance should not be placed on FOFI. NuVista’s actual results, performance or achievement could differ materially from those expressed in, or implied by, these FOFI, or if any of them do so, what benefits NuVista will derive therefrom. NuVista has included the FOFI in order to provide readers with a more complete perspective on NuVista’s future operations and such information may not be appropriate for other purposes.

    These forward-looking statements and FOFI are made as of the date of this press release and NuVista disclaims any intent or obligation to update any forward-looking statements and FOFI, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities law.

    Specified Financial Measures

    This press release uses various specified financial measures (as such terms are defined in National Instrument 52-112 – Non-GAAP Disclosure and Other Financial Measures Disclosure (“NI 51-112”)) including “non-GAAP financial measures”, “non-GAAP ratios”, “capital management measures” and “supplementary financial measures” (as such terms are defined in NI 51-112), which are described in further detail below. Management believes that the presentation of these non-GAAP measures provides useful information to investors and shareholders as the measures provide increased transparency and the ability to better analyze performance against prior periods on a comparable basis.

    (1)   Non-GAAP financial measures

    NI 52-112 defines a non-GAAP financial measure as a financial measure that: (i) depicts the historical or expected future financial performance, financial position or cash flow of an entity; (ii) with respect to its composition, excludes an amount that is included in, or includes an amount that is excluded from, the composition of the most directly comparable financial measure disclosed in the primary financial statements of the entity; (iii) is not disclosed in the financial statements of the entity; and (iv) is not a ratio, fraction, percentage or similar representation.

    These non-GAAP financial measures are not standardized financial measures under IFRS Accounting Standards and might not be comparable to similar measures presented by other companies where similar terminology is used. Investors are cautioned that these measures should not be construed as alternatives to or more meaningful than the most directly comparable GAAP measures as indicators of NuVista’s performance. Set forth below are descriptions of the non-GAAP financial measures used in this press release.

    • Free adjusted funds flow

    Free adjusted funds flow is adjusted funds flow less net capital expenditures, power generation expenditures, and asset retirement expenditures. Each of the components of free adjusted funds flow are non-GAAP financial measures. Please refer to disclosures under the headings “Capital management measures” and “Net capital expenditures” for a description of each component of free adjusted funds flow. Management uses free adjusted funds flow as a measure of the efficiency and liquidity of its business, measuring its funds available for additional capital allocation to manage debt levels and return capital to shareholders through its NCIB program and/or dividend payments. By removing the impact of current period net capital and asset retirement expenditures, management believes this measure provides an indication of the funds NuVista has available for future capital allocation decisions.

    The following table sets out our free adjusted funds flow compared to the most directly comparable GAAP measure of cash provided by operating activities less cash used in investing activities for the applicable periods:

      Three months ended March 31  
    ($ thousands) 2025   2024  
    Cash provided by operating activities 232,663   147,893  
    Cash used in investing activities (178,028 ) (166,027 )
    Excess cash provided by operating activities over cash used in investing activities 54,635   (18,134 )
         
    Adjusted funds flow 191,886   135,413  
    Net capital expenditures (153,411 ) (187,856 )
    Power generation expenditures —   (1,680 )
    Asset retirement expenditures (3,480 ) (6,450 )
    Free adjusted funds flow 34,995   (60,573 )
    • Net Capital expenditures

    Net capital expenditures are equal to cash used in investing activities, excluding changes in non-cash working capital, other asset expenditures, and power generation expenditures. The Company includes funds used for property acquisitions or proceeds from property dispositions within net capital expenditures as these transactions are part of its development plans. NuVista considers net capital expenditures to represent its organic capital program inclusive of capital spending for acquisition and disposition proposes and a useful measure of cash flow used for capital reinvestment. There were no differences between capital expenditures and net capital expenditures for the three months ended March 31, 2025, and March 31, 2024, as NuVista did not complete any property acquisitions or dispositions during these periods.

    The following table provides a reconciliation between the non-GAAP measure of net capital expenditures to the most directly comparable GAAP measure of cash used in investing activities for the applicable periods:

      Three months ended March 31  
    ($ thousands) 2025   2024  
    Cash used in investing activities (178,028 ) (166,027 )
    Changes in non-cash working capital (398 ) (23,509 )
    Other asset expenditures 25,015   —  
    Power generation expenditures —   1,680  
    Net capital expenditures (153,411 ) (187,856 )

    The following table provides a breakdown of net capital expenditures and power generation expenditures by category for the applicable periods:

      Three months ended March 31
    ($ thousands, except % amounts) 2025 % of total 2024 % of total
    Land and retention costs — — 964 —
    Geological and geophysical 363 — 185 —
    Drilling and completion 131,494 86 128,965 69
    Facilities and equipment 19,720 13 56,101 30
    Corporate and other 1,834 1 1,641 1
    Net capital expenditures 153,411   187,856  
    Power generation expenditures —   1,680  

    (2)   Non-GAAP ratios

    NI 52-112 defines a non-GAAP ratio as a financial measure that: (i) is in the form of a ratio, fraction, percentage or similar representation; (ii) has a non-GAAP financial measure as one or more of its components; and (iii) is not disclosed in the financial statements of the entity. Set forth below is a description of the non-GAAP ratios used in this MD&A.

    These non-GAAP ratios are not standardized financial measures under IFRS Accounting Standards and might not be comparable to similar measures presented by other companies where similar terminology is used. Investors are cautioned that these ratios should not be construed as alternatives to or more meaningful than the most directly comparable IFRS Accounting Standards measures as indicators of NuVista’s performance.

    Per Boe disclosures for petroleum and natural gas revenues, realized gains/losses on financial derivatives, royalties, transportation expense, G&A expense, financing costs, and DD&A expense are non-GAAP ratios that are calculated by dividing each of these respective GAAP measures by NuVista’s total production volumes for the period.

    Non-GAAP ratios presented on a “per Boe” basis may also be considered to be supplementary financial measures (as such term is defined in NI 51-112).

    • Operating netback and corporate netback (“netbacks”), per Boe NuVista calculated netbacks per Boe by dividing the netbacks by total production volumes sold in the period. Each of operating netback and corporate netback are non-GAAP financial measures. Operating netback is calculated as petroleum and natural gas revenues, realized financial derivative gains/losses and other income, less royalties, transportation expense and net operating expense. Corporate netback is operating netback less general and administrative expense, cash share-based compensation expense (recovery), financing costs excluding accretion expense, and current income tax expense (recovery).

      Management believes both operating and corporate netbacks are key industry benchmarks and measures of operating performance for NuVista that assists management and investors in assessing NuVista’s profitability, and are commonly used by other petroleum and natural gas producers. The measurement on a Boe basis assists management and investors with evaluating NuVista’s operating performance on a comparable basis.

    • Net operating expense, per BoeNuVista calculated net operating expense per Boe by dividing net operating expense by NuVista’s production volumes for the period.

      Management believes that net operating expense, calculated as gross operating expense less processing income and other recoveries, which are included in NuVista’s statements of earnings, is a meaningful measure for investors to understand the net impact of the Company’s operating activities. The measurement on a Boe basis assists management and investors with evaluating NuVista’s operating performance on a comparable basis.

    (3)   Capital management measures

    NI 52-112 defines a capital management measure as a financial measure that: (i) is intended to enable an individual to evaluate an entity’s objectives, policies and processes for managing the entity’s capital; (ii) is not a component of a line item disclosed in the primary financial statements of the entity; (iii) is disclosed in the notes to the financial statements of the entity; and (iv) is not disclosed in the primary financial statements of the entity.

    NuVista has defined net debt, adjusted funds flow, and net debt to annualized fourth quarter adjusted funds flow ratio as capital management measures used by the Company in this press release.

    • Adjusted funds flow

    NuVista considers adjusted funds flow to be a key measure that provides a more comprehensive view of the company’s ability to generate cash flow necessary for financing capital expenditures, meeting asset retirement obligations, and fulfilling its financial commitments. Adjusted funds flow is calculated by adjusting cash flow from operating activities to exclude changes in non-cash working capital and asset retirement expenditures. Management believes these elements are subject to timing variations in collection, payment, and occurrence. By excluding them, management is able to provide a more meaningful performance measure of NuVista’s ongoing operations. Specifically, expenditures on asset retirement obligations may fluctuate depending on the company’s capital programs and the maturity of its operating areas, while environmental remediation recovery is tied to an infrequent incident that management does not expect to recur regularly. The settlement of asset retirement obligations is managed through NuVista’s capital budgeting process, which incorporates the available adjusted funds flow.

    A reconciliation of adjusted funds flow is presented in the following table:

      Three months ended March 31
        2025   2024
    Cash provided by operating activities $ 232,663 $ 147,893
    Asset retirement expenditures   3,480   6,450
    Change in non-cash working capital (44,257) (18,930)
    Adjusted funds flow $ 191,886 $ 135,413

    Net debt is used by management to provide a more comprehensive understanding of NuVista’s capital structure and to assess the company’s liquidity. NuVista calculates net debt by considering cash and cash equivalents, accounts receivable, prepaid expenses, accounts payable and accrued liabilities, long-term debt (the credit facility), senior unsecured notes, and other liabilities. Management uses total market capitalization and the ratio of net debt to annualized adjusted funds flow for the current quarter to analyze balance sheet strength and liquidity.

    The following is a summary of total market capitalization, net debt and net debt to annualized current quarter adjusted funds flow:

      March 31, 2025 December 31, 2024
    Basic common shares outstanding (thousands of shares)   200,664   203,701
    Share price(1) $ 13.60 $ 13.82
    Total market capitalization $ 2,729,030 $ 2,815,148
    Cash and cash equivalents $ (2,677) $ —
    Accounts receivable and other   (135,657)   (132,538)
    Prepaid expenses   (47,985)   (45,584)
    Accounts payable and accrued liabilities   256,804   206,862
    Current portion of other liabilities   16,907   18,351
    Long-term debt   —   5,353
    Senior unsecured notes   163,698   163,258
    Other liabilities   16,478   16,801
    Net debt $ 267,568 $ 232,503
    Annualized current quarter adjusted funds flow $ 767,544 $ 548,236
    Net debt to annualized current quarter adjusted funds flow   0.3   0.4

    (1)  Represents the closing share price on the TSX on the last trading day of the period.

    (4)  Supplementary financial measures

    This press release may contain certain supplementary financial measures. NI 52-112 defines a supplementary financial measure as a financial measure that: (i) is intended to be disclosed on a periodic basis to depict the historical or expected future financial performance, financial position or cash flow of an entity; (ii) is not disclosed in the financial statements of the entity; (iii) is not a non-GAAP financial measure; and (iv) is not a non-GAAP ratio.

    NuVista calculates “adjusted funds flow per share” by dividing adjusted funds flow for a period by the number of weighted average common shares of NuVista for the specified period by dividing operating netback for a period by the number of weighted average common shares of NuVista for the specified period.

    FOR FURTHER INFORMATION CONTACT:
       
    Mike J. Lawford Ivan J. Condic
    President and CEO VP, Finance and CFO
    (403) 538-1936 (403) 538-1945

    The MIL Network –

  • MIL-OSI: ECN Capital Reports US$0.03 in Adjusted Net Income per Common Share in Q1-2025

    Source: GlobeNewswire (MIL-OSI)

    TORONTO, May 08, 2025 (GLOBE NEWSWIRE) — ECN Capital Corp. (TSX: ECN) (“ECN Capital” or the “Company”) today reported financial results for the three-month period ended March 31, 2025.

    For the three-month period ended March 31, 2025, ECN Capital reported Adjusted net income (loss) applicable to common shareholders of $7.2 million or $0.03 per share (basic) versus $4.4 million or $0.02 per share (basic) for the previous three-month period and ($0.3) million or $0.00 per share (basic) for the prior year comparable period.

    “Our strong Q1 results, with adjusted net income at the top end of guidance, highlight ECN’s strength and resilience, even in the face of market volatility,” said Steven Hudson, CEO of ECN Capital Corp.

    Originations for the three-month period ended March 31, 2025 were $538.2 million, versus $547.6 million in the previous three-month period and $468.4 million for the prior year comparable period. Originations for the three-month period ended March 31, 2025 include $332.8 million of originations from our Manufactured Housing Finance segment and $205.4 million of originations from our Recreational Vehicle and Marine Finance segment.          

    Managed Assets as at March 31, 2025 were $7.2 billion versus $6.9 billion as at December 31, 2024 and $5.2 billion as at March 31, 2024.

    Adjusted EBITDA for the three-month period ended March 31, 2025 was $25.5 million versus $24.1 million for the previous three-month period and $21.8 million for the prior year comparable period.

    Operating Expenses for the three-month period ended March 31, 2025 were $29.4 million versus $31.2 million for the previous three-month period and $27.8 million for the prior year comparable period.

    Net loss attributable to common shareholders for the three-month period ended March 31, 2025 was ($2.5) million versus ($3.9) million for the previous three-month period and ($8.5) million for the prior year comparable period.

    Dividends Declared

    The Company’s Board of Directors has authorized and declared a quarterly dividend of C$0.01 per outstanding common share to be paid on June 30, 2025 to shareholders of record at the close of business on June 13, 2025. These dividends are designated to be eligible dividends for purposes of section 89(1) of the Income Tax Act (Canada).

    The Company’s Board of Directors has authorized and declared a quarterly dividend of C$0.4960625 per outstanding Cumulative 5-Year Rate Reset Preferred Share, Series C (TSX: ECN.PR.C) to be paid on June 30, 2025 to shareholders of record on the close of business on June 13, 2025. These dividends are designated to be eligible dividends for purposes of section 89(1) of the Income Tax Act (Canada).

    The Company’s Board of Directors has authorized and declared a semi-annual dividend of C$0.0603 per outstanding Mandatory Convertible Preferred Share, Series E to be paid on June 30, 2025 to shareholders of record on the close of business on June 13, 2025. These dividends are designated to be eligible dividends for purposes of section 89(1) of the Income Tax Act (Canada).

    Webcast

    The Company will host an analyst briefing to discuss these results commencing at 5:30 PM (ET) on Thursday, May 8, 2025. The call can be accessed as follows:

    A telephone replay of the conference call may also be accessed until June 8, 2025, by dialing 1-800-645-7964 and entering the passcode 5036#.

    Non-IFRS Measures

    The Company’s interim unaudited consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board and the accounting policies we adopted in accordance with IFRS.

    The Company believes that certain Non-IFRS Measures can be useful to investors because they provide a means by which investors can evaluate the Company’s underlying key drivers and operating performance of the business, exclusive of certain adjustments and activities that investors may consider to be unrelated to the underlying economic performance of the business of a given period. Throughout this news release, management uses a number of terms and ratios which do not have a standardized meaning under IFRS and are unlikely to be comparable to similar measures presented by other organizations, including adjusted EBITDA, adjusted net income, adjusted net income per common share and managed assets. A full description of these measures, along with a reconciliation to the most directly comparable IFRS measure, where applicable, can be found in the Management Discussion & Analysis (“MD&A”) that accompanies ECN Capital’s financial statements for the three-month period ended March 31, 2025.

    ECN Capital’s MD&A for the three-month period ended March 31, 2025 has been filed on SEDAR+ (www.sedarplus.com) and is available under the investor section of the Company’s website (www.ecncapitalcorp.com).

    About ECN Capital Corp.

    With managed assets of US$7.2 billion, ECN Capital Corp. (TSX: ECN) is a leading provider of business services to North American-based institutional investor, insurance company, pension plan, bank and credit union partners (collectively, its “Partners”). ECN Capital originates, manages and advises on credit assets on behalf of its Partners, specifically consumer (manufactured housing and recreational vehicle and marine) loans and commercial (floorplan and rental) loans. Its Partners are seeking high-quality assets to match with their deposits, term insurance or other liabilities. These services are offered through two operating segments: (i) Manufactured Housing Finance, and (ii) Recreational Vehicle and Marine Finance.

    Contact

    Forward-looking Statements

    This news release includes forward-looking statements regarding ECN Capital and its business. Such statements are based on the current expectations and views of future events of ECN Capital’s management. In some cases the forward-looking statements can be identified by words or phrases such as “may”, “will”, “expect”, “plan”, “anticipate”, “intend”, “potential”, “estimate”, “believe” or the negative of these terms, or other similar expressions intended to identify forward-looking statements. Forward-looking statements in this news release include those relating to the future financial and operating performance of ECN Capital, the strategic advantages, business plans and future opportunities of ECN Capital and the ability of ECN Capital to access adequate funding sources, identify and execute on acquisition opportunities and transition to an asset management business. The forward-looking events and circumstances discussed in this news release may not occur and could differ materially as a result of known and unknown risk factors and uncertainties affecting ECN Capital, including risks regarding the finance industry, economic factors, and many other factors beyond the control of ECN Capital. No forward-looking statement can be guaranteed. Forward-looking statements and information by their nature are based on assumptions and involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statement or information. Accordingly, readers should not place undue reliance on any forward-looking statements or information. A discussion of the material risks and assumptions associated with this outlook can be found in ECN Capital’s MD&A for the three-month period ended March 31, 2025 and ECN Capital’s 2024 Annual Information Form dated February 27, 2025 for the year ended December 31, 2024 which have been filed on SEDAR+ and can be accessed at www.sedarplus.com. Accordingly, readers should not place undue reliance on any forward-looking statements or information. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and ECN Capital does not undertake any obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.

    The MIL Network –

  • MIL-OSI: Firm Capital Property Trust Reports Q1/2025 Results

    Source: GlobeNewswire (MIL-OSI)

    TORONTO, May 08, 2025 (GLOBE NEWSWIRE) — Firm Capital Property Trust (“FCPT” or the “Trust”), (TSX: FCD.UN) is pleased to report its financial results for the three months ended March 31, 2025.

    PROPERTY PORTFOLIO HIGHLIGHTS
    The portfolio consists of 64 commercial properties with a total gross leasable area (“GLA”) of 2,513,445 square feet, five multi-residential complexes comprised of 599 units and four Manufactured Home Communities comprised of 537 units. The portfolio is well diversified and defensive in terms of geographies and property asset types, with 51% of NOI (43% of asset value) comprised of grocery anchored retail followed by industrial at 25% of NOI (30% of asset value). In addition, the portfolio is well diversified in terms of geographies with 37% of NOI (40% of asset value) comprised of assets located in Ontario, followed by Quebec at 36% of NOI (33% of asset value).

    TENANT DIVERSIFICATION
    The portfolio is well diversified by tenant profile with no tenant currently accounting for more than 12.9% of total net rent. Further, the top 10 tenants are comprised of large national tenants and account for 32.2% of total net rent.

    MANAGEABLE MORTGAGE MATURITY PROFILE GOING INTO 2025 AND 2026
    The Trust was able to refinance or repay in full all 2024 mortgage maturities. Going forward, the Trust has only $13.2 million and $41.9 million or 4.3% and 13.8% of its total outstanding mortgages coming due in 2025 and 2026, respectively. Senior management is currently in active discussions with its lenders regarding the 2025 maturities and does not anticipate any refinancing issues to occur.

    Q1/2025 HIGHLIGHTS

    Key highlights for the three months ended March 31, 2025 are as follows:

    • Adjusted Funds From Operations (“AFFO”) was approximately $4.3 million, a 3% decrease than the same period in 2024;
    • AFFO per Unit for Q1/2025 decreased 2% to $0.117 over Q1/2024.
    • AFFO Payout ratio increased to 111% for Q1/2025 from 108% over the same period in 2024;
    • Net income was approximately $4.4 million, compared to income of $9.9 million recorded for the same period in 2024;
    • $7.82 Net Asset Value (“NAV”) per Unit, a 3% increase from Q1/2024;
    • Net Operating Income (“NOI”) was approximately $9.4 million, a 1.5% increase from the same period in 2024;
    • Same Property NOI increased 1.1% over Q1/2024;
    • Commercial occupancy was 93.4%, Multi-Residential occupancy was 96.1% while Manufactured Homes Communities occupancy was 99.8%;
    • Conservative leverage profile with Debt / Gross Book Value (“GBV”) at 50.8%; and
    • The Trust declared and approved monthly distributions in the amount of $0.04333 per Trust Unit for Unitholders of record on July 31, 2025, August 29, 2025 and September 30, 2025, payable on or about August 15, 2025, September 15, 2025, and October 15, 2025, respectively.

    See chart below for additional information:

        Three Months Ended
        Mar 31, 2025 Mar 31, 2024 Change
    Rental Revenue   $15,533,650   $15,013,173 3%
    NOI – IFRS Basis     9,408,346   9,271,592 1%
    NOI – Cash Basis     9,566,843   9,414,912 2%
    Same-Property NOI     9,376,064   9,269,833 1%
    Net Income (loss)     4,412,482   9,884,839 (55%)
    FFO     4,348,260   4,552,640 (4%)
    AFFO     4,325,706   4,444,140 (3%)
             
    Total Assets     646,292,657   639,407,795 1%
    Total Mortgages     303,520,810   307,886,051 (1%)
    Credit Facility     25,000,000   24,300,000 3%
             
    Unitholders’ Equity     305,992,410   296,777,652 3%
    Units Outstanding (000s)     36,926   36,926 0%
             
    FFO Per Unit   $0.118   $0.123 (4%)
    AFFO Per Unit   $0.117   $0.120 (2%)
    Distributions Per Unit   $0.130   $0.130 0%
             
    FFO Payout Ratio     110%   105% 540 bps
    AFFO Payout Ratio     111%   108% 297 bps
    Wtd. Avg. Int. Rate – Mort. Debt     4.2%   3.9% 30 bps
    Debt to GBV     51%   52% (117) bps
             
    GLA – Commercial, SF     2,513,445   2,545,858 (1%)
    Units – Multi-Res     599   599 0%
    Units – MHCs     537   537 0%
             
    Occupancy – Commercial     93.4%   95.2% (180) bps
    Occupancy – Multi-Res     96.1%   99.1% (300) bps
    Occupancy MHCs     99.8%   100.0% (20) bps
             
    Rent PSF – Retail   $19.01   $18.96 0%
    Rent PSF – Industrial   $9.27   $8.33 11%
    Rent per month – Multi-Res   $1,626   $1,448 12%
    Rent per month – MHCs   $678   $624 9%
                 

    For the complete financial statements, Management’s Discussion & Analysis and supplementary information, please visit www.sedar.com or the Trust’s website at www.firmcapital.com

    DISTRIBUTION REINVESTMENT PLAN & UNIT PURCHASE PLAN
    The Trust has in place a Distribution Reinvestment Plan (“DRIP”) and Unit Purchase Plan (the “UPP”). Under the terms of the DRIP, FCPT’s Unitholders may elect to automatically reinvest all or a portion of their regular monthly distributions in additional Units, without incurring brokerage fees or commissions. Under the terms of the UPP, FCPT’s Unitholders may purchase a minimum of $1,000 of Units per month and maximum purchases of up to $12,000 per annum. Management and trustees have not participated in the DRIP or UPP to date and own or control approximately 10% of the issued and outstanding trust units of the Trust.

    ABOUT FIRM CAPITAL PROPERTY TRUST (TSX : FCD.UN)
    Firm Capital Property Trust is focused on creating long-term value for Unitholders, through capital preservation and disciplined investing to achieve stable distributable income. In partnership with management and industry leaders. The Trust’s plan is to own as well as to co-own a diversified property portfolio of multi-residential, flex industrial, and net lease convenience retail. In addition to stand alone accretive acquisitions, the Trust will make joint acquisitions with strong financial partners and acquisitions of partial interests from existing ownership groups, in a manner that provides liquidity to those selling owners and professional management for those remaining as partners. Firm Capital Realty Partners Inc., through a structure focused on an alignment of interests with the Trust sources, syndicates and property and asset manages investments on behalf of the Trust.

    FORWARD LOOKING INFORMATION

    This press release may contain forward-looking statements. In some cases, forward-looking statements can be identified by the use of words such as “may”, “will”, “should”, “expect”, “plan”, “anticipate”, “believe”, “estimate”, “predict”, “potential”, “continue”, and by discussions of strategies that involve risks and uncertainties. The forward-looking statements are based on certain key expectations and assumptions made by the Trust. By their nature, forward-looking statements involve numerous assumptions, inherent risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and various future events will not occur. Although management of the Trust believes that the expectations reflected in the forward-looking statements are reasonable, there can be no assurance that future results, levels of activity, performance or achievements will occur as anticipated. Neither the Trust nor any other person assumes responsibility for the accuracy and completeness of any forward-looking statements, and no one has any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or such other factors which affect this information, except as required by law.

    This press release shall not constitute an offer to sell or the solicitation of an offer to buy, which may be made only by means of a prospectus, nor shall there be any sale of the Units in any state, province or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under securities laws of any such state, province or other jurisdiction. The Units of the Firm Capital Property Trust have not been, and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered, sold or delivered in the United States absent registration or an application for exemption from the registration requirements of U.S. securities laws.

    Certain financial information presented in this press release reflect certain non- International Financial Reporting Standards (“IFRS”) financial measures, which include NOI, Same Store NOI, FFO and AFFO. These measures are commonly used by real estate investment entities as useful metrics for measuring performance and cash flows, however, they do not have standardized meaning prescribed by IFRS and are not necessarily comparable to similar measures presented by other real estate investment entities. These terms are defined in the Trust’s Management Discussion and Analysis (“MD&A”) for the year ended December 31, 2024 as filed on www.sedar.com.

    For further information, please contact:

    Robert McKee   Sandy Poklar
    President & Chief Executive Officer   Chief Financial Officer
    (416) 635-0221   (416) 635-0221
         

    For Investor Relations information, please contact:

    Victoria Moayedi
    Director, Investor Relations
    (416) 635-0221        

    The MIL Network –

  • MIL-OSI: Fireweed Announces $45 Million Financing

    Source: GlobeNewswire (MIL-OSI)

    NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

    VANCOUVER, British Columbia, May 08, 2025 (GLOBE NEWSWIRE) — FIREWEED METALS CORP. (“Fireweed” or the “Company”) (TSXV: FWZ; OTCQX: FWEDF), is pleased to announce a brokered and non-brokered financing for up to $45 million from strategic and other investors, including the Lundin Family Trusts, to advance exploration and development activities at the Company’s Macpass, Mactung, Gayna and NCIIP projects located in northern Canada.

    Brokered Private Placement

    The Company is pleased to announce that it has entered into an agreement with Ventum Financial Corp. as co-lead agent and bookrunner, alongside Haywood Securities Inc, as co-lead agent, on behalf of a syndicate of agents (together the “Agents”), pursuant to which the Company will undertake a brokered private placement to raise aggregate gross proceeds of up to $35,002,090 (the “Brokered Offering”).

    The Brokered Offering will consist of:

    • 10,753,000 critical mineral charity flow-through common shares (“CM FT Shares”) of the Company at a price of $2.79 per CM FT Share.
    • 1,946,000 non-critical mineral charity flow-through common shares (“NCM FT Shares”) of the Company at a price of $2.57 per NCM FT Share.

    The proceeds from the Brokered Offering will be used for exploration and development of the Company’s projects in northern Canada. The aggregate gross proceeds raised from the NCM FT Shares (the “NCM Commitment Amount”) will be used before on or before December 31, 2026, for general exploration expenditures which will constitute Canadian exploration expenses (within the meaning of subsection 66(15) of the Income Tax Act (Canada) (the “Tax Act”)) and “flow-through mining expenditures” under the Tax Act (the “NCM Qualifying Expenditures”). The aggregate gross proceeds raised from the CM FT Shares (the “CM Commitment Amount”) will be used on or before December 31, 2026 for general exploration expenditures which will constitute Canadian exploration expenses (within the meaning of subsection 66(15) of the Tax Act and as “flow-through critical mineral mining expenditures” within the meaning of the Tax Act (the “CM Qualifying Expenditures” and NCM Qualifying Expenditures are referred to collectively as “Qualifying Expenditures”).

    The Brokered Offering is expected to close on or about May 28, 2025, and is subject to certain customary conditions, including, but not limited to, the execution of an agency agreement and the receipt of all necessary regulatory approvals and approval of the TSX Venture Exchange.

    The securities issued pursuant to the Brokered Offering shall be subject to a four-month plus one day hold period commencing on the day of the closing of the Brokered Offering under applicable Canadian securities laws. The securities being offered have not, nor will they be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons in the absence of U.S. registration or an applicable exemption from the U.S. registration requirements. This release does not constitute an offer for sale of securities in the United States.

    Non-Brokered Private Placement

    Concurrently with the Brokered Offering, the Company will conduct a non-brokered private placement to raise up to $10 million (the “Non-Brokered Offering”). The Lundin Family Trusts (as defined below) have indicated their intention of subscribing in the Non-Brokered Offering.

    The Non-Brokered Offering will consist of:

    • 5,555,600 common shares (“Shares”) of the Company at a price of $1.80 per Share.

    The proceeds from the Non-Brokered Offering will be used for exploration and development of the Company’s projects in northern Canada as well as for working capital and general corporate purposes.

    Trusts settled by the late Adolf H. Lundin (the “Lundin Family Trust”) have indicated their intention to participate in the Non-Brokered Offering. Any such participation would be considered to be a “related party transaction” as defined under Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101”), as a private entity controlled by the Lundin Family Trusts currently holds more than 10% of the Company’s outstanding shares. Such participation will be exempt from the formal valuation and minority shareholder approval requirements under Sections 5.5(a) and 5.7(1)(a) of MI 61-101 as neither the fair market value of the securities acquired by the insiders, nor the consideration for the securities paid by such insiders, will exceed 25% of the Company’s market capitalization.

    The Company expects that participation in the Non-Brokered Offering by the Lundin Family Trusts will require approval of the disinterested shareholders of the Company pursuant to Policy 4.1 of the TSXV Corporate Finance Manual. It is anticipated that a special meeting of the Company’s shareholders (the “Special Meeting”) to consider and approve the Lundin Family Trust’s participation in the Non-Brokered Offering will be held in June 2025.

    Closing of the Non-Brokered Offering is expected to occur promptly following the Special Meeting, or may occur in tranches, and is subject to other customary closing conditions and receipt of certain regulatory approvals.

    Full details of the Non-Brokered Offering will be included in the management information circular and related documents (the “Meeting Materials”) and are expected to be delivered to the Company’s shareholders in May 2025 in connection with the Special Meeting.

    The Brokered Offering and Non-Brokered Offering are both subject to customary closing conditions, including approval of the TSXV.

    About Fireweed Metals Corp.

    Fireweed is an exploration company focused on unlocking value in a new critical metals district located in Northern Canada. Fireweed is 100% owner of the Macpass District, a large and highly prospective 985 km2 land package. The Macpass District includes the Macpass zinc-lead-silver project and the Mactung tungsten project. A Lundin Group company, Fireweed is strongly positioned to create meaningful value.

    Fireweed trades on the TSX Venture Exchange under the trading symbol “FWZ”, on the OTCQX Best Market under the symbol “FWEDF”, and on the Frankfurt Stock Exchange under the trading symbol “M0G”.

    Additional information about Fireweed and its projects can be found on the Company’s website at FireweedMetals.com and at www.sedarplus.com

    ON BEHALF OF FIREWEED METALS CORP.

    “Ian Gibbs”

    CEO

    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.

    Cautionary Statements

    Forward Looking Statements

    This news release contains “forward-looking” statements and information (“forward-looking statements”). All statements, other than statements of historical facts, included herein, including, without limitation, statements relating to the Brokered Offering and the Non-Brokered Offering, timing thereof, completion and use of proceeds thereof, statements relating to interpretation of drill results, targets for exploration, potential extensions of mineralized zones, geophysical anomalies, future work plans, and the potential of the Company’s projects, are forward looking statements. Forward-looking statements are frequently, but not always, identified by words such as “expects”, “anticipates”, “believes”, “intends”, “estimates”, “potential”, “possible”, and similar expressions, or statements that events, conditions, or results “will”, “may”, “could”, or “should” occur or be achieved. Forward-looking statements are based on the beliefs of Company management, as well as assumptions made by and information currently available to Company management and reflect the beliefs, opinions, and projections on the date the statements are made. Forward-looking statements involve various risks and uncertainties and accordingly, readers are advised not to place undue reliance on forward-looking statements. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company’s expectations include but are not limited to, exploration and development risks, unanticipated reclamation expenses, expenditure and financing requirements, general economic conditions, changes in financial markets, the ability to properly and efficiently staff the Company’s operations, the sufficiency of working capital and funding for continued operations, title matters, First Nations relations, operating hazards, political and economic factors, competitive factors, metal prices, relationships with vendors and strategic partners, governmental regulations and oversight, permitting, seasonality and weather, technological change, industry practices, uncertainties involved in the interpretation of drilling results and laboratory tests, and one-time events. The Company assumes no obligation to update forward‐looking statements or beliefs, opinions, projections or other factors, except as required by law.

    Contact: Alex Campbell

    Phone: +1 (604) 689-7842

    Email: info@fireweedmetals.com

    The MIL Network –

  • MIL-OSI: VAALCO Energy, Inc. Announces First Quarter 2025 Results

    Source: GlobeNewswire (MIL-OSI)

    HOUSTON, May 08, 2025 (GLOBE NEWSWIRE) — VAALCO Energy, Inc. (NYSE: EGY, LSE: EGY) (“Vaalco” or the “Company”) today reported operational and financial results for the first quarter of 2025.

    First Quarter 2025 Highlights and Recent Key Items:

    • Reported net income of $7.7 million ($0.07 per diluted share), Adjusted Net Income of $6.3 million ($0.06 per diluted share) and Adjusted EBITDAX(1)of $57.0 million;
    • Produced 17,764 net revenue interest (“NRI”)(2)barrels of oil equivalent per day (“BOEPD”), above the high end of guidance, or 22,402 working interest (“WI”)(3)BOEPD, toward the high end of guidance;
    • Sold 19,074 NRI BOEPD, toward the high end of guidance;
    • Entered into new reserves based revolving credit facility with an initial commitment of $190 million with the ability to grow to $300 million, secured against certain Vaalco assets;
    • Reduced full year capital expenditure guidance by about 10%, without impacting full year production or sales guidance;
    • Acquired 70% WI(3)in and will operate the CI-705 block in offshore Côte D’Ivoire;
    • Declared quarterly cash dividend of $0.0625 per share of common stock to be paid on June 27, 2025; and
    • Announced that it will host a Capital Markets Day presentation on Wednesday, May 14, 2025.
    (1) Adjusted EBITDAX, Adjusted Net Income, Adjusted Working Capital and Free Cash Flow are Non-GAAP financial measures and are described and reconciled to the closest GAAP measure in the attached table under “Non-GAAP Financial Measures.”
    (2) All NRI sales and production rates are Vaalco’s working interest volumes less royalty volumes, where applicable.
    (3) All WI production rates and volumes are Vaalco’s working interest volumes, where applicable.

    George Maxwell, Vaalco’s Chief Executive Officer commented, “We delivered another successful quarter, once again meeting or exceeding our guidance. Sales for the first quarter were toward the high end of guidance and our NRI production was above the high end of guidance, leading to solid net income of $0.07 per diluted share and Adjusted EBITDAX of $57.0 million. We continue to execute our strategic vision, with multiple accomplishments achieved in the first quarter that lay the foundation for profitable growth in 2025 and beyond. We entered into a new credit facility that will supplement our internally generated cash flow and cash balance to assist in funding our robust organic growth projects. In Côte D’Ivoire, we commenced the FPSO refurbishment project and are preparing for a drilling campaign in 2026 to augment the production and economic life of the Baobab field. In Gabon, we are preparing for the 2025/2026 drilling program which is scheduled to begin in Q3 2025. While we are continuing with these two major projects, we have decided to reduce our capital expenditure budget for 2025 by about 10%. We are delaying discretionary capital spending and are deferring our capital program in Canada. We are doing all of this without impacting production or sales forecasts for 2025 due to the strong performance of our assets in Gabon and Egypt.”

    “We believe that we are well positioned to fund the meaningful growth and opportunities that we have planned over the next few years which should lead to even greater growth and value for the remainder of the decade. We look forward to providing additional details at our Capital Markets Day next week describing our diversified asset portfolio and the upside that we believe is available to drive future organic growth.”

    Operational Update

    Egypt

    The start of the 2024 drilling campaign was deferred until late 2024. In Q4 2024, we completed one well. In Q1 2025, we completed an additional five wells. Four of the five wells that were completed in Q1 2025 were brought online and had an average initial production rate for the first 30 days of approximately 135 barrels of oil per day (“BOPD”). The fifth well was brought online in early Q2 2025. In addition to all new wells successfully increasing production levels, new reserves and a new production zone were discovered in the Bakr formation. The Company is reviewing several options to improve flow as the reservoir contains heavier oil.

    The Company continues to perform detailed technical reviews of its newly drilled and existing wells while also continuing to work on enhancing production through a series of planned workovers and recompletions.

    Canada

    In the first half of 2024, Vaalco drilled and completed four 2.75 mile lateral wells in Canada. These wells continue to meet production expectations and the Company is monitoring their longer-term performance for future drilling opportunities. In 2025, Vaalco has decided to defer the drilling of additional wells in Canada to reduce the Company’s overall capital expenditures.

    Gabon

    The Company secured a drilling rig in December 2024 in conjunction with its 2025/2026 drilling program, which is planned to begin in Q3 2025 to drill multiple development wells, and appraisal or exploration wells, as well as to perform workovers, with options to drill additional wells. Vaalco plans to drill the wells at both the Etame platform and at the Seent platform, and perform a re-drill and several workovers in the Ebouri field to access production and reserves that were previously shut in and removed from proved reserves due to the presence of hydrogen sulfide (“H2S”).

    In Q1 2025, Vaalco conducted an extended flow test on the Ebouri 4-H well to gather information on the H2S concentrations at this location to aid in equipment design and to evaluate Vaalco’s chemical crude sweetening process. The well has flowed for over four months, and the H2S concentration is within modeling expectations, demonstrating Vaalco’s ability to treat the oil. The well has provided additional production, with some additional operating costs associated with the chemical treatment, adding to the Company’s strong first quarter results.

    Côte d’Ivoire

    As part of the planned dry dock refurbishment, the Baobab Floating Production Storage and Offloading vessel (“FPSO”) ceased hydrocarbon production on January 31, 2025 and the final lifting of crude oil from the FPSO took place in February 2025. The vessel departed from the field in late March 2025 and is now currently under tow to the shipyard in Dubai for the refurbishment. Significant development drilling is expected to begin in 2026 after the FPSO is expected to return to service with potential meaningful additions to production from the main Baobab field in CI-40, as well as a potential future development of the Kossipo field, which is also on the license.

    In March 2025, Vaalco announced that it had farmed into the CI-705 block offshore Côte d’Ivoire. Vaalco is the operator of the block with a 70% WI and a 100% paying interest through a commercial carry arrangement and is partnering with Ivory Coast Exploration Oil & Gas SAS and PETROCI. The CI-705 block is located in the prolific Tano basin and is approximately 70 kilometers (“km”) to the west of Vaalco’s CI-40 Block, where the Baobab and Kossipo oil fields are located, and 60 km west of ENI’s recent Calao discovery. Block CI-705 covers approximately 2,300 km2 and is lightly explored with three wells drilled to date on the block. The water depth across the block ranges from zero to 2,500 meters. Vaalco has invested $3 million to acquire its interest in the new block, which it believes has significant prospectivity.

    Financial Update – First Quarter of 2025

    Vaalco reported net income of $7.7 million ($0.07 per diluted share) for Q1 2025, which was down 34% compared with net income of $11.7 million ($0.11 per diluted share) in Q4 2024 and up modestly compared to $7.7 million ($0.07 per diluted share) in Q1 2024. The decrease in earnings compared with Q4 2024 was driven by lower sales volume in Q1 2025 of 1,717 MBOE compared to a sales volume of 1,872 MBOE in Q4 2024 and higher production expense, partially offset by lower depreciation, depletion and amortization (“DD&A”) and lower income tax expense.

    Adjusted EBITDAX totaled $57.0 million in Q1 2025, a 25% decrease from $76.2 million in Q4 2024. The decrease was primarily due to lower sales volumes and higher production expense. Adjusted EBITDAX was down 8% from $61.7 million generated in Q1 2024.


    Quarterly Summary – Sales and Net Revenue    		                        
    $ in thousands Three Months Ended March 31, 2025   Three Months Ended December 31, 2024
      Gabon   Egypt   Canada   Côte d’Ivoire   Total   Gabon   Egypt   Canada   Côte d’Ivoire   Total
    Oil Sales   59,864       57,656       5,325       18,042   $ 140,887       54,172       59,010       6,685       28,045   $ 147,912  
    NGL Sales   —       —       1,808       —     1,808       —       —       1,965       —     1,965  
    Gas Sales   —       —       636       —     636       —       —       421       —     421  
    Gross Sales   59,864       57,656       7,769       18,042     143,331       54,172       59,010       9,071       28,045     150,298  
                                           
    Selling Costs & Carried Interest   —       (149 )     (232 )     —     (381 )     450       (130 )     (319 )     —     1  
    Royalties & Taxes   (7,677 )     (23,587 )     (1,357 )     —     (32,621 )     (7,455 )     (19,899 )     (1,224 )     —     (28,578 )
                                           
    Net Revenue   52,187       33,920       6,180       18,042     110,329       47,167       38,981       7,528       28,045     121,721  
                                           
    Oil Sales MMB (working interest)   757       920       80       238     1,995       733       923       99       379     2,134  
    Average Oil Price Received $ 79.09     $ 62.49     $ 66.17     $ 75.87   $ 70.61     $ 73.92     $ 63.92     $ 67.68     $ 73.90   $ 69.30  
    Change                   2 %                    
    Average Brent Price                 $ 75.87                     $ 74.66  
    Change                   2 %                    
                                           
    Gas Sales MMCF (working interest)   —       —       413       —     413       —       —       431       —     431  
    Average Gas Price Received   —       —     $ 1.54       —   $ 1.54       —       —     $ 0.98       —   $ 0.98  
    Change                   57 %                    
    Average Aeco Price ($USD)   —       —     $ 1.43       —   $ 1.43       —       —     $ 1.36       —   $ 1.36  
    Change                   5 %                    
                                           
    NGL Sales MMB (working interest)   —       —       69       —     69       —       —       75       —     75  
    Average Liquids Price Received   —       —     $ 26.39       —   $ 26.39       —       —     $ 26.22       —   $ 26.22  
    Change                   1 %                    
     
    Revenue and Sales Q1 2025   Q1 2024   % Change Q1 2025 vs. Q1 2024   Q4 2024   % Change Q1 2025 vs. Q4 2024
    Production (NRI BOEPD)   17,764     16,848   5 %     20,775   (14 %)
    Sales (NRI BOE)   1,717,000     1,490,000   15 %     1,872,000   (8 %)
    Realized commodity price ($/BOE) $ 64.27   $ 66.43   (3 %)   $ 64.77   (1)%
    Commodity (Per BOE including realized commodity derivatives) $ 64.34   $ 66.41   (3 %)   $ 64.48   — %
    Total commodity sales ($MM) $ 110.3   $ 100.2   10 %   $ 121.7   (9 %)

    In Q1 2025, Vaalco had a net revenue decrease of $11.4 million or 9% compared to Q4 2024 as total NRI sales volumes of 1,717 MBOE was 8% lower than the Q4 2024 volumes of 1,872 MBOE but was 15% higher compared to 1,490 MBOE for Q1 2024, primarily due to production from the Cote d’Ivoire assets acquired in April 2024. Q1 2025 NRI sales were toward the high end of Vaalco’s guidance.

    Costs and Expenses Q1 2025   Q1 2024   % Change Q1 2025 vs. Q1 2024   Q4 2024   % Change Q1 2025 vs. Q4 2024
    Production expense, excluding offshore workovers and stock comp ($MM) $ 44.7     $ 32.1     39 %   $ 36.5     23 %
    Production expense, excluding offshore workovers ($/BOE) $ 26.08     $ 21.58     21 %   $ 19.52     34 %
    Offshore workover expense ($MM) $ —     $ (0.1 )   — %   $ 0.1     — %
    Depreciation, depletion and amortization ($MM) $ 30.3     $ 25.8     17 %   $ 37.0     (18 %)
    Depreciation, depletion and amortization ($/BOE) $ 17.65     $ 17.30     2 %   $ 19.79     (11 %)
    General and administrative expense, excluding stock-based compensation ($MM) $ 7.8     $ 5.9     31 %   $ 7.1     9 %
    General and administrative expense, excluding stock-based compensation ($/BOE) $ 4.51     $ 3.90     16 %   $ 3.80     19 %
    Stock-based compensation expense ($MM) $ 1.4     $ 0.9     50 %   $ 1.4     (3 %)
    Current income tax expense (benefit) ($MM) $ 17.7     $ 25.7     (31 %)   $ 26.2     (32)%
    Deferred income tax expense (benefit) ($MM) $ (1.6 )   $ (3.4 )   (53 %)   $ (9.0 )   (82 %)

    Total production expense (excluding offshore workovers and stock compensation) of $44.7 million in Q1 2025 increased by 23% compared to Q4 2024 and 39% compared to Q1 2024. The increase in Q1 2025 compared to Q1 2024 was primarily driven by higher expenses in Gabon related to government audit settlements of approximately $4.7 million (net to Vaalco), additional chemical costs associated with the H2S treatment and to the increased sales associated with the purchase of the Côte d’Ivoire asset. The increase in Q1 2025 compared to Q4 2024 was driven by higher expenses in Gabon related to the government audit settlements and higher chemical costs.

    DD&A expense for Q1 2025 was $30.3 million which was lower than $37.0 million in Q4 2024 and higher than $25.8 million in Q1 2024. The decrease in Q1 2025 DD&A expense compared to Q4 2024 is due primarily to the impact of the year end 2024 depletion adjustments based on the year end reserve reports. The increase in Q1 2025 DD&A expense compared to Q1 2024 is due to higher depletable costs in Côte d’Ivoire partially offset by lower depletable costs in Gabon, Egypt, and Canada.

    General and administrative (“G&A”) expense, excluding stock-based compensation, increased slightly to $7.8 million in Q1 2025 from $7.1 million in Q4 2024 and increased from $5.9 million in Q1 2024. The increase in G&A expenses compared to Q1 2024 was primarily due to higher professional service fees, salaries and wages, and accounting and legal fees. Q1 2025 cash G&A was within the Company’s guidance.

    Non-cash stock-based compensation expense was $1.4 million for Q1 2025 compared to $0.9 million for Q1 2024. Non-cash stock-based compensation expense for Q4 2024 was $1.4 million.

    Other income (expense), net, was an expense of $2.4 million for Q1 2025, compared to an expense of $2.3 million during Q1 2024 and an expense of $9.7 million for Q4 2024. Other income (expense), net, normally consists of foreign currency losses and interest expense, net. Also in Q4 2024, the Company recorded a reduction in the bargain purchase gain of $6.4 million as a result of the change in fair value estimates of the net assets acquired in the Svenska acquisition.

    Income tax expense (benefit) was an expense for Q1 2025 of $16.1 million and is comprised of current expense of $17.7 million and deferred tax benefit of $1.6 million. In Q1 2024, income tax expense was $22.3 million and is comprised of current expense of $25.7 million and deferred tax benefit of $3.4 million. Q4 2024 income tax expense was $17.2 million, and is comprised of current tax expense of $26.2 million and deferred tax benefit of $9.0 million.

    Taxes paid by jurisdiction are as follows:

    (in thousands)   Gabon   Egypt   Canada   Equatorial Guinea   Cote d’Ivoire   Corporate and Other   Total  
    Cash/In Kind Taxes Paid:                              
    Three months ended March 31, 2025   $ 30,253   6,953   —   —   $ 790   —   $ 37,996  


    Capital Investments/Balance Sheet

    For the first quarter of 2025, net capital expenditures totaled $58.5 million on a cash basis and $51.3 million on an accrual basis. These expenditures were primarily related to costs associated with project costs and long lead items for Gabon and Côte d’Ivoire and the development drilling program in Egypt.

    At the end of the first quarter of 2025, Vaalco had an unrestricted cash balance of $40.9 million. Working capital at March 31, 2025 was $23.2 million compared with $56.2 million at December 31, 2024, while Adjusted Working Capital at March 31, 2025 totaled $40.4 million.

    In March 2025, Vaalco entered into a new reserves based revolving credit facility (the “new facility”) with an initial commitment of $190 million and the ability to grow to $300 million, led by The Standard Bank of South Africa Limited, Isle of Man Branch with other participating banks and financial partners. The new facility, which is subject to customary administrative conditional precedents, replaces the Company’s existing undrawn revolving credit facility that was provided by Glencore Energy UK Ltd. The Company arranged the new facility primarily to provide short-term funding that may be needed from time-to-time to supplement its internally generated cash flow and cash balance as it executes its planned investment programs across its diversified asset base over the next few years.

    Quarterly Cash Dividend

    Vaalco paid a quarterly cash dividend of $0.0625 per share of common stock for the first quarter of 2025 on March 28, 2025. The Company also recently announced its next quarterly cash dividend of $0.0625 per share of common stock for the second quarter of 2025 ($0.25 annualized), to be paid on June 27, 2025 to stockholders of record at the close of business on May 23, 2025. Future declarations of quarterly dividends and the establishment of future record and payment dates are subject to approval by the Vaalco Board of Directors.

    Hedging

    The Company continued to opportunistically hedge a portion of its expected future production to lock in strong cash flow generation to assist in funding its capital and shareholder return programs.

    The following includes hedges remaining in place as of the end of the first quarter of 2025:

                        Weighted Average Hedge Price ($/Bbl)
    Settlement Period   Commodity   Type of Contract   Index   Average Volumes Hedged (Bbl)   Floor   Ceiling
    April 2025 – June 2025   Oil   Collars   Dated Brent   70,000   $ 65.00   $ 81.00
    July 2025 – September 2025   Oil   Collars   Dated Brent   60,000   $ 65.00   $ 80.00

    Subsequent to March 31, 2025, the Company entered into the following additional derivative contracts to cover its future anticipated production:

    Settlement Period   Commodity   Type of Contract   Index   Average Volumes Hedged (GJ)(a)   Weighted Average Hedge Price (CAD/GJ)
    May 2025 – October 2025   Natural Gas   Swap   AECO (7A)   114,000   $ 2.15

    a) One gigajoule (GJ) equals one billion joules (J). A gigajoule of natural gas is approximately 25.5 cubic meters standard conditions.

    Settlement Period   Commodity   Type of Contract   Index   Average Volumes Hedged (Bbl)   Weighted Average Hedge Price ($/Bbl)
    July 1, 2025 – July 31, 2025   Oil   Swap   Dated Brent   100,000   $ 65.45


    Capital Markets Day Presentation

    Vaalco announced that it will host a Capital Markets Day presentation on Wednesday, May 14, 2025. The presentation will begin at 8 a.m. Central Time (2 p.m. London Time) and is expected to conclude around 10:00 a.m. Central Time. The agenda will include presentations by key members of management on Vaalco’s longer-term vision including growth across its diversified, multi-country asset base.

    Participation in the Capital Markets Day is directed to Vaalco’s shareholders, buy side and sell side analysts, as well as large institutional investors and portfolio managers. The session will be web cast live along with related presentation materials through Vaalco’s web site at www.vaalco.com in the “Investors” section of the web site. A replay will be archived on the site shortly after the presentation concludes.

    2025 Guidance:

    The Company has provided second quarter 2025 guidance and updated its full year 2025 guidance. All of the quarterly and annual guidance is detailed in the tables below.

          FY 2025   Gabon   Egypt   Canada   Côte d’Ivoire
    Production (BOEPD) WI   19250 – 22310   7000 – 8300   9750 – 11100   2200 – 2600   300 – 310
    Production (BOEPD) NRI   14500 – 16710   6200 – 7100   6200 – 7200   1800 – 2100   300 – 310
    Sales Volume (BOEPD) WI   19850 – 22700   7300 – 8300   9750 – 11100   2200 – 2600   600 – 700
    Sales Volume (BOEPD) NRI   14900 – 17200   6300 – 7200   6200 – 7200   1800 – 2100   600 – 700
    Production Expense (millions) WI & NRI   $148.5 – $161.5 MM                
    Production Expense per BOE WI   $18.00 – $21.50                
    Production Expense per BOE NRI   $24.00 – $28.00                
    Offshore Workovers (millions) WI & NRI   $0 – $10 MM                
    Cash G&A (millions) WI & NRI   $25.0 – $31.0 MM                
    CAPEX excluding acquisitions (millions) WI & NRI   $250 – $300 MM                
    DD&A ($/BOE) NRI   $16.00 – $20.00                
          Q2 2025   Gabon   Egypt   Canada   Côte d’Ivoire
    Production (BOEPD) WI   20000 – 22100   7800 – 8600   10100 – 11200   2100 – 2300   —
    Production (BOEPD) NRI   15400 – 16800   6800 – 7500   6900 – 7400   1700 – 1900   —
    Sales Volume (BOEPD) WI   22800 – 24900   10600 – 11400   10100 – 11200   2100 – 2300   —
    Sales Volume (BOEPD) NRI   17800 – 19300   9200 – 10000   6900 – 7400   1700 – 1900   —
    Production Expense (millions) WI & NRI   $39.5 – $48.0 MM                
    Production Expense per BOE WI   $18.00 – $23.00                
    Production Expense per BOE NRI   $23.00 – $29.00                
    Offshore Workovers (millions) WI & NRI   $0 – $0 MM                
    Cash G&A (millions) WI & NRI   $6.0 – $8.0 MM                
    CAPEX excluding acquisitions (millions) WI & NRI   $65 – $85 MM                
    DD&A ($/BOE) NRI   $16.00 – $20.00                


    Conference Call

    As previously announced, the Company will hold a conference call to discuss its first quarter 2025 financial and operating results, Friday, May 9, 2025, at 9:00 a.m. Central Time (10:00 a.m. Eastern Time and 3:00 p.m. London Time). Interested parties may participate by dialing (833) 685-0907. Parties in the United Kingdom may participate toll-free by dialing 08082389064 and other international parties may dial (412) 317-5741. Participants should request to be joined to the “Vaalco Energy First Quarter 2025 Conference Call.” This call will also be webcast on Vaalco’s website at www.vaalco.com. An archived audio replay will be available on Vaalco’s website.

    A “Q1 2025 Supplemental Information” investor deck will be posted to Vaalco’s website prior to its conference call on May 9, 2025 that includes additional financial and operational information.

    About Vaalco

    Vaalco, founded in 1985 and incorporated under the laws of Delaware, is a Houston, Texas, USA based, independent energy company with a diverse portfolio of production, development and exploration assets across Gabon, Egypt, Côte d’Ivoire, Equatorial Guinea, Nigeria and Canada.

    For Further Information

    Vaalco Energy, Inc. (General and Investor Enquiries) +00 1 713 543 3422
    Website: www.vaalco.com
       
    Al Petrie Advisors (US Investor Relations) +00 1 713 543 3422
    Al Petrie / Chris Delange  
       
    Buchanan (UK Financial PR) +44 (0) 207 466 5000
    Ben Romney / Barry Archer VAALCO@buchanan.uk.com


    Forward Looking Statements

    This press release includes “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the safe harbors created by those laws and other applicable laws and “forward-looking information” within the meaning of applicable Canadian securities laws(collectively, “forward-looking statements”). Where a forward-looking statement expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. All statements other than statements of historical fact may be forward-looking statements. The words “anticipate,” “believe,” “estimate,” “expect,” “intend,” “forecast,” “outlook,” “aim,” “target,” “will,” “could,” “should,” “may,” “likely,” “plan” and “probably” or similar words may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements in this press release include, but are not limited to, statements relating to (i) estimates of future drilling, production, sales and costs of acquiring crude oil, natural gas and natural gas liquids; (ii) expectations regarding Vaalco’s ability to effectively integrate assets and properties it has acquired as a result of the Svenska acquisition into its operations; (iii) expectations regarding future exploration and the development, growth and potential of Vaalco’s operations, project pipeline and investments, and schedule and anticipated benefits to be derived therefrom; (iv) expectations regarding future acquisitions, investments or divestitures; (v) expectations of future dividends; (vi) expectations of future balance sheet strength; and (vii) expectations of future equity and enterprise value.

    Such forward-looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by the forward-looking statements. These risks and uncertainties include, but are not limited to: risks relating to any unforeseen liabilities of Vaalco; the ability to generate cash flows that, along with cash on hand, will be sufficient to support operations and cash requirements; risks relating to the timing and costs of completion for scheduled maintenance of the FPSO servicing the Baobab field; and the risks described under the caption “Risk Factors” in Vaalco’s most recent Annual Report on Form 10-K.

    Dividends beyond the second quarter of 2025 have not yet been approved or declared by the Board of Directors for Vaalco. The declaration and payment of future dividends remains at the discretion of the Board and will be determined based on Vaalco’s financial results, balance sheet strength, cash and liquidity requirements, future prospects, crude oil and natural gas prices, and other factors deemed relevant by the Board. The Board reserves all powers related to the declaration and payment of dividends. Consequently, in determining the dividend to be declared and paid on Vaalco common stock, the Board may revise or terminate the payment level at any time without prior notice.

    Any forward-looking statement made by Vaalco in this press release is based only on information currently available to Vaalco and speaks only as of the date on which it is made. Except as may be required by applicable securities laws, Vaalco undertakes no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.

    Other Oil and Gas Advisories

    Investors are cautioned when viewing BOEs in isolation. BOE conversion ratio is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. Given that the value ratio based on the current price of crude oil as compared to natural gas is significantly different from the energy equivalencies described above, utilizing such equivalencies may be incomplete as an indication of value.

    Inside Information

    This announcement contains inside information as defined in Regulation (EU) No. 596/2014 on market abuse which is part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 (“MAR”) and is made in accordance with the Company’s obligations under article 17 of MAR. The person responsible for arranging the release of this announcement on behalf of Vaalco is Matthew Powers, Corporate Secretary of Vaalco.

    VAALCO ENERGY, INC AND SUBSIDIARIES
    Condensed Consolidated Balance Sheets

      As of March 31, 2025   As of December 31, 2024
      (in thousands)
    ASSETS      
    Current assets:      
    Cash and cash equivalents $ 40,914   $ 82,650
    Receivables:      
    Trade, net of allowances for credit loss and other of $0.2 million and $0.2 million, respectively   120,252     94,778
    Accounts with joint venture owners, net of allowance for credit losses of $1.8 million and $1.5 million, respectively   2,847     179
    Egypt receivables and other   3,235     35,763
    Other current assets   33,590     24,557
    Total current assets   200,838     237,927
    Crude oil, natural gas and NGLs properties and equipment, net   562,926     538,103
    Other noncurrent assets:      
    Right of use operating lease assets   16,303     17,254
    Right of use finance lease assets   78,862     79,849
    Deferred tax assets   48,364     55,581
    Other long-term assets   19,810     26,236
    Total assets $ 927,103   $ 954,950
    LIABILITIES AND SHAREHOLDERS’ EQUITY      
    Current liabilities $ 177,675   $ 181,728
    Asset retirement obligations   81,053     78,592
    Operating lease liabilities – net of current portion   12,915     13,903
    Finance lease liabilities – net of current portion   66,198     67,377
    Deferred tax liabilities   85,168     93,904
    Other long-term liabilities   —     17,863
    Total liabilities   423,009     453,367
    Total shareholders’ equity   504,094     501,583
    Total liabilities and shareholders’ equity $ 927,103   $ 954,950


    VAALCO ENERGY, INC AND SUBSIDIARIES
    Consolidated Statements of Operations

      Three Months Ended
      March 31, 2025   March 31, 2024   December 31, 2024
      (in thousands except per share amounts)
    Revenues:          
    Crude oil, natural gas and natural gas liquids sales $ 110,329     $ 100,155     $ 121,721  
    Operating costs and expenses:          
    Production expense   44,806       32,089       36,641  
    Exploration expense   —       48       —  
    Depreciation, depletion and amortization   30,305       25,824       37,047  
    Transaction costs related to acquisition   —       1,313       —  
    General and administrative expense   9,051       6,710       8,454  
    Credit losses and other   (27 )     1,812       1,082  
    Total operating costs and expenses   84,135       67,796       83,224  
    Other operating income, net   —       (166 )     10  
    Operating income   26,194       32,193       38,507  
    Other income (expense):          
    Derivative instruments gain (loss), net   (74 )     (847 )     (365 )
    Interest expense, net   (1,295 )     (935 )     (1,092 )
    Bargain purchase gain   —       —       (6,366 )
    Other income (expense), net   (1,012 )     (487 )     (1,828 )
    Total other income (expense), net   (2,381 )     (2,269 )     (9,651 )
    Income before income taxes   23,813       29,924       28,856  
    Income tax expense   16,083       22,238       17,192  
    Net income $ 7,730     $ 7,686     $ 11,664  
    Other comprehensive income (loss):          
    Currency translation adjustments   117       (2,454 )     (5,975 )
    Comprehensive income $ 7,847     $ 5,232     $ 5,689  
               
    Basic net income per share:          
    Net income per share $ 0.07     $ 0.07     $ 0.11  
    Basic weighted average shares outstanding   103,758       103,659       103,743  
    Diluted net income per share:          
    Net income per share $ 0.07     $ 0.07     $ 0.11  
    Diluted weighted average shares outstanding   103,785       104,541       103,812  


    VAALCO ENERGY, INC AND SUBSIDIARIES
    Condensed Consolidated Statements of Cash Flows

      Three Months Ended March 31,
        2025       2024  
      (in thousands)
    CASH FLOWS FROM OPERATING ACTIVITIES:      
    Net income $ 7,730     $ 7,686  
    Adjustments to reconcile net income to net cash provided by operating activities:      
    Depreciation, depletion and amortization   30,305       25,824  
    Exploration expense   146       —  
    Deferred taxes   (1,519 )     (3,441 )
    Unrealized foreign exchange loss   1,673       (102 )
    Stock-based compensation   1,475       898  
    Cash settlements paid on exercised stock appreciation rights   —       (154 )
    Derivative instruments (gain) loss, net   74       847  
    Cash settlements paid on matured derivative contracts, net   123       (24 )
    Cash settlements paid on asset retirement obligations   —       (29 )
    Credit losses and other   (27 )     1,812  
    Other operating loss, net   —       166  
    Equipment and other expensed in operations   972       302  
    Change in operating assets and liabilities   (8,246 )     (11,953 )
    Net cash provided by operating activities   32,706       21,832  
    CASH FLOWS FROM INVESTING ACTIVITIES:      
    Property and equipment expenditures   (58,527 )     (16,618 )
    Acquisition of crude oil and natural gas properties   (247 )     —  
    Net cash used in investing activities   (58,774 )     (16,618 )
    CASH FLOWS FROM FINANCING ACTIVITIES:      
    Proceeds from the issuances of common stock   —       447  
    Dividend distribution   (6,570 )     (6,463 )
    Treasury shares   (155 )     (6,344 )
    Deferred financing costs   (5,118 )     —  
    Payments of finance lease   (2,943 )     (2,095 )
    Net cash used in in financing activities   (14,786 )     (14,455 )
    Effects of exchange rate changes on cash   27       (208 )
    NET CHANGE IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH   (40,827 )     (9,449 )
    CASH, CASH EQUIVALENTS AND RESTRICTED CASH AT BEGINNING OF PERIOD   97,726       129,178  
    CASH, CASH EQUIVALENTS AND RESTRICTED CASH AT END OF PERIOD $ 56,899     $ 119,729  

    VAALCO ENERGY, INC AND SUBSIDIARIES
    Selected Financial and Operating Statistics
    (Unaudited)

      Three Months Ended
      March 31, 2025   March 31, 2024   December 31, 2024
    NRI SALES DATA          
    Crude oil, natural gas and natural gas liquids sales (MBOE) 1,717   1,490   1,872
    Average daily sales volumes (BOE) 19,074   16,374   20,352
               
    WI PRODUCTION DATA          
    Etame Crude oil (MBbl) 767   819   791
    Gabon Average daily production volumes (BOEPD) 8,522   9,001   8,598
               
    Egypt Crude oil (MBbl) 920   950   923
    Egypt Average daily production volumes (BOEPD) 10,225   10,440   10,035
               
    Canada Crude Oil (MBbl) 80   61   99
    Canada Natural Gas (MMcf) 413   469   431
    Canada Natural Gas Liquid (MBOE) 69   76   75
    Canada Crude oil, natural gas and natural gas liquids (MBOE) 218   215   246
    Canada Average daily production volumes (BOEPD) 2,420   2,363   2,669
               
    Côte d’Ivoire Crude oil (MBbl) 111   —   368
    Côte d’Ivoire Average daily production volumes (BOEPD) 1,235   —   3,997
               
    Total Crude oil, natural gas and natural gas liquids production (MBOE) 2,016   1,984   2,328
    Average daily production volumes (BOEPD) 22,402   21,804   25,300
               
    NRI PRODUCTION DATA          
    Etame Crude oil (MBbl) 667   713   688
    Gabon Average daily production volumes (BOEPD) 7,414   7,835   7,481
               
    Egypt Crude oil (MBbl) 642   641   644
    Egypt Average daily production volumes (BOEPD) 7,131   7,044   7,001
               
    Canada Crude Oil (MBbl) 66   51   85
    Canada Natural Gas (MMcf) 338   392   371
    Canada Natural Gas Liquid (MBOE) 56   63   64
    Canada Crude oil, natural gas and natural gas liquids (MBOE) 179   179   211
    Canada Average daily production volumes (BOEPD) 1,984   1,971   2,296
               
    Côte d’Ivoire Crude oil (MBbl) 111   —   368
    Côte d’Ivoire Average daily production volumes (BOEPD) 1,235   —   3,997
               
    Total Crude oil, natural gas and natural gas liquids production (MBOE) 1,599   1,533   1,911
    Average daily production volumes (BOEPD) 17,764   16,850   20,775
    AVERAGE SALES PRICES:          
    Crude oil, natural gas and natural gas liquids sales (per BOE) – WI basis $ 67.03   $ 69.62   $ 65.69
    Crude oil, natural gas and natural gas liquids sales (per BOE) – NRI basis $ 64.27   $ 66.43   $ 64.77
    Crude oil, natural gas and natural gas liquids sales (Per BOE including realized commodity derivatives) – NRI basis $ 64.34   $ 66.41   $ 64.48
               
    COSTS AND EXPENSES (Per BOE of sales):          
    Production expense   26.10   $ 21.54   $ 19.57
    Production expense, excluding offshore workovers and stock compensation*   26.05   $ 21.56   $ 19.49
    Depreciation, depletion and amortization   17.65   $ 17.33   $ 19.79
    General and administrative expense**   5.27   $ 4.50   $ 4.52
    Property and equipment expenditures, cash basis (in thousands) $ 58,527   $ 16,618   $ 41,466

    * Offshore workover costs excluded for the three months ended March 31, 2025 and 2024 and December 31, 2024 are $0.0 million, $(0.1) million and $0.1 million, respectively.
    * Stock compensation associated with production expense excluded from the three months ended March 31, 2025 and 2024 and December 31, 2024 are immaterial.
    ** General and administrative expenses include $0.76, $0.58 and $0.72 per barrel of oil related to stock-based compensation expense in the three months ended March 31, 2025 and 2024 and December 31, 2024, respectively.

    NON-GAAP FINANCIAL MEASURES

    Management uses Adjusted Net Income to evaluate operating and financial performance and believes the measure is useful to investors because it eliminates the impact of certain non-cash and/or other items that management does not consider to be indicative of the Company’s performance from period to period. Management also believes this non-GAAP measure is useful to investors to evaluate and compare the Company’s operating and financial performance across periods, as well as to facilitate comparisons to others in the Company’s industry. Adjusted Net Income is a non-GAAP financial measure and as used herein represents net income, plus deferred income tax expense (benefit), unrealized derivative instrument loss (gain), bargain purchase gain on the Svenska Acquisition, FPSO demobilization, transaction costs related to the Svenska acquisition and non-cash and other items.

    Adjusted EBITDAX is a supplemental non-GAAP financial measure used by Vaalco’s management and by external users of the Company’s financial statements, such as industry analysts, lenders, rating agencies, investors and others who follow the industry. Management believes the measure is useful to investors because it is as an indicator of the Company’s ability to internally fund exploration and development activities and to service or incur additional debt. Adjusted EBITDAX is a non-GAAP financial measure and as used herein represents net income, plus interest expense (income) net, income tax expense (benefit), depreciation, depletion and amortization, exploration expense, FPSO demobilization, non-cash and other items including stock compensation expense, bargain purchase gain on the Svenska Acquisition, other operating (income) expense, net, non-cash purchase price adjustment, transaction costs related to acquisition, credit losses and other and unrealized derivative instrument loss (gain).

    Management uses Adjusted Working Capital as a transition tool to assess the working capital position of the Company’s continuing operations excluding leasing obligations because it eliminates the impact of discontinued operations as well as the impact of lease liabilities. Under the applicable lease accounting standards, lease liabilities related to assets used in joint operations include both the Company’s share of expenditures as well as the share of lease expenditures which its non-operator joint venture owners’ will be obligated to pay under joint operating agreements. Adjusted Working Capital is a non-GAAP financial measure and as used herein represents working capital excluding working capital attributable to discontinued operations and current liabilities associated with lease obligations.

    Management uses Free Cash Flow to evaluate financial performance and to determine the total amount of cash over a specified period available to be used in connection with returning cash to shareholders, and believes the measure is useful to investors because it provides the total amount of net cash available for returning cash to shareholders by adding cash generated from operating activities, subtracting amounts used in financing and investing activities, effects of exchange rate changes on cash and adding back amounts used for dividend payments and stock repurchases. Free Cash Flow is a non-GAAP financial measure and as used herein represents net change in cash, cash equivalents and restricted cash and adds the amounts paid under dividend distributions and share repurchases over a specified period.

    Free Cash Flow has significant limitations, including that it does not represent residual cash flows available for discretionary purposes and should not be used as a substitute for cash flow measures prepared in accordance with GAAP. Free Cash Flow should not be considered as a substitute for cashflows from operating activities before discontinued operations or any other liquidity measure presented in accordance with GAAP. Free Cash Flow may vary among other companies. Therefore, the Company’s Free Cash Flow may not be comparable to similarly titled measures used by other companies.

    Adjusted EBITDAX and Adjusted Net Income have significant limitations, including that they do not reflect the Company’s cash requirements for capital expenditures, contractual commitments, working capital or debt service. Adjusted EBITDAX, Adjusted Net Income, Adjusted Working Capital and Free Cash Flow should not be considered as substitutes for net income (loss), operating income (loss), cash flows from operating activities or any other measure of financial performance or liquidity presented in accordance with GAAP. Adjusted EBITDAX and Adjusted Net Income exclude some, but not all, items that affect net income (loss) and operating income (loss), and the calculation of these measures may vary among other companies. Therefore, the Company’s Adjusted EBITDAX, Adjusted Net Income, Adjusted Working Capital and Free Cash Flow may not be comparable to similarly titled measures used by other companies.

    The tables below reconcile the most directly comparable GAAP financial measures to Adjusted Net Income, Adjusted EBITDAX, Adjusted Working Capital and Free Cash Flow.

    VAALCO ENERGY, INC AND SUBSIDIARIES
    Reconciliations of Non-GAAP Financial Measures
    (Unaudited)
    (in thousands)

      Three Months Ended
    Reconciliation of Net Income to Adjusted Net Income March 31, 2025   March 31, 2024   December 31, 2024
    Net income $ 7,730     $ 7,686     $ 11,664  
    Adjustment for discrete items:          
    Unrealized derivative instruments loss (gain)   198       823       96  
    Bargain purchase gain   —       —       6,366  
    Deferred income tax expense (benefit)   (1,610 )     (3,441 )     (11,781 )
    Transaction costs related to acquisition   22       1,313       508  
    Other operating (income) expense, net   —       166       (10 )
    Adjusted Net Income $ 6,340     $ 6,547     $ 6,843  
               
    Diluted Adjusted Net Income per Share $ 0.06     $ 0.06     $ 0.07  
    Diluted weighted average shares outstanding (1)   103,785       104,541       103,812  

    (1)  No adjustments to weighted average shares outstanding

      Three Months Ended
    Reconciliation of Net Income to Adjusted EBITDAX March 31, 2025   March 31, 2024   December 31, 2024
    Net income $ 7,730     $ 7,686   $ 11,664  
    Add back:          
    Interest expense, net   1,295       935     1,092  
    Income tax expense   16,083       22,238     17,192  
    Depreciation, depletion and amortization   30,305       25,824     37,047  
    Exploration expense   —       48     —  
    Non-cash or unusual items:          
    Stock-based compensation   1,352       899     1,196  
    Unrealized derivative instruments loss   198       823     96  
    Bargain purchase gain   —       —     6,366  
    Other operating (income) expense, net   —       166     (10 )
    Transaction costs related to acquisition   22       1,313     508  
    Credit losses and other   (27 )     1,812     1,082  
    Adjusted EBITDAX $ 56,958     $ 61,744   $ 76,233  

    VAALCO ENERGY, INC AND SUBSIDIARIES
    Reconciliations of Non-GAAP Financial Measures
    (Unaudited)
    (in thousands)

    Reconciliation of Working Capital to Adjusted Working Capital March 31, 2025   December 31, 2024   Change
    Current assets $ 200,838     $ 237,927     $ (37,089 )
    Current liabilities   (177,675 )     (181,728 )     4,053  
    Working capital   23,163       56,199       (33,036 )
    Add: lease liabilities – current portion   17,249       16,895       354  
    Adjusted Working Capital $ 40,412     $ 73,094     $ (32,682 )
       
      Three Months Ended March 31, 2025
    Reconciliation of Free Cash Flow (in thousands)
    Net cash provided by Operating activities $ 32,706  
    Net cash used in Investing activities   (58,774 )
    Net cash used in Financing activities   (14,786 )
    Effects of exchange rate changes on cash   27  
    Total net cash change   (40,827 )
       
    Add back shareholder cash out:  
    Dividends paid   6,570  
    Total cash returned to shareholders   6,570  
       
    Free Cash Flow $ (34,257 )

    The MIL Network –