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Category: Finance

  • MIL-OSI Asia-Pac: Speech by SJ at plenary session of 14th China-ASEAN Prosecutors-General Conference in Singapore (English only)

    Source: Hong Kong Government special administrative region

         Following is the speech by the Secretary for Justice, Mr Paul Lam, SC, at the plenary session of the 14th China-ASEAN Prosecutors-General Conference in Singapore today (October 29):Mr Chairman, Your Excellencies, distinguished guests, ladies and gentlemen,     To begin with, I would like to express my heartfelt gratitude to Your Excellency Mr Lucien Wong, SC, for organising this year’s conference.Urgent call for co-operation in the fight against financial crimes     The theme of this year’s conference is “Fostering Co-operation on Combating Financial Crimes”. The definition of financial crimes is very wide. In Hong Kong, they cover a broad range of money-related criminal activities including money laundering, terrorists financing, fraud, theft, market misconduct as well as corruption and irregularities in the financial market. There is, however, very often a common element: that is they involve transboundary elements.     In recent years, we have witnessed an alarming rise in financial crimes. The United Nations Office on Drugs and Crime (UNODC) estimated that money laundered globally in one year is 2-5 per cent of global gross domestic product, that is approximately US$800 billion to $2 trillion. Hong Kong, which ranks No. 1 in the 2024 Economic Freedom of the World Report compiled by the Fraser Institute, is not immune to these challenges. According to the latest statistics released by the Hong Kong Police Force, over 19 000 cases of deception were registered in the first half of 2024, accounting for around 44 per cent of the total number of crimes and resulting in the loss of HK$4.48 billion.     There is, therefore, no wonder why there is consensus that international co-operation to combat financial crimes is both essential and imminent. In May this year, the Heads of the Financial Action Task Force (FATF), the UNODC and the International Criminal Police Organization (Interpol) issued an unprecedented joint call for actions to be taken across sectors and at the global level to target the huge illicit profits generated by transnational organised crimes that facilitate conflicts, fund terrorism and negatively impact vulnerable populations.     Hong Kong is committed to engaging in international co-operation to combat financial crimes proactively. This is both required and made possible by the principle of “one country, two systems”. In the Basic Law of the Hong Kong Special Administrative Region, Article 109 gives Hong Kong the mandate to provide an appropriate economic and legal environment for the maintenance of the status of Hong Kong as an international financial centre. Under Articles 96 and 152 of the Basic Law respectively, Hong Kong may make appropriate arrangements with foreign states for reciprocal juridical assistance, and representatives of Hong Kong may participate in international organisations or conferences as members of delegations of the People’s Republic of China or in other appropriate capacity.     Hong Kong has been adopting a four-pronged approach in combating financial crimes with international elements: first, espousing international regulatory standards; second, establishing a collaborative network for effective prosecution and asset recovery; third, embracing technologies as our new tools; and, lastly, encouraging knowledge and experience sharing.Espousing international regulatory standards     Let me begin with espousing international regulatory standards. While different jurisdictions have diverse legal landscapes and different financial systems, it is essential to ensure that the local legal and regulatory frameworks would comply with international standards. I am proud to say that Hong Kong has so far successfully achieved this objective.     Owing to the fact that, in practice, it is very often difficult to identify, catch and bring participants of financial crimes to justice and that the loss and damage caused by such crimes are in many cases untraceable and irrecoverable, the Hong Kong law in this respect focus very much on effective prevention and early detection of suspicious transactions. Our Anti-Money Laundering and Counter-Terrorist Financing Ordinance (Cap. 615) (AMLO) sets out the requirements on financial institutions regarding customer due diligence and record keeping; and other legislations impose statutory obligations for reporting suspicious transactions. Earlier this year, the Hong Kong Court of Final Appeal in a landmark judgment known as Tam Sze Leung & Ors v Commissioner of Police (2024) 27 HKCFAR 288 upheld the validity of the “letters of no consent” scheme under the Organized and Serious Crimes Ordinance (Cap. 455), which aims at assisting financial institutions to consider how to deal with, or not to deal with, funds known or suspected to be proceeds of crime.     On the other hand, the Securities and Futures Commission of Hong Kong publishes alert list to provide early warnings to investors on suspicious investment products and virtual asset trading platforms. Very recently in August this year, the Hong Kong Monetary Authority (HKMA), in collaboration with the Hong Kong Police Force and the Hong Kong Association of Banks, extended the coverage of the Suspicious Account Alert to physical branches and Internet banking transactions.     Hong Kong has been a member of the FATF, an intergovernmental organisation which sets global standards for combating money laundering and terrorist financing, since 1991. In the fourth round of FATF mutual evaluation in 2018-19, Hong Kong’s anti-money laundering and counter-financing of terrorism (AML/CFT) system has been assessed to be compliant and effective overall, making it the first jurisdiction in the Asia-Pacific region to have achieved an overall compliant result. The FATF also adopted Hong Kong’s follow-up report and recognised Hong Kong’s efforts in strengthening its AML/CFT regulatory regimes last year.     That said, Hong Kong does not remain complacent. Hong Kong is also one of the founding members of the Asia/Pacific Group on Money Laundering (APG), an autonomous FATF-style regional anti-money laundering body, founded in 1997. The APG published annual reports to assist governments and other stakeholders to have a better understanding about the nature of existing and emerging threats. The 2023 report includes a chapter on threats and trends related to virtual assets and virtual asset service providers. Hong Kong took the initiative to introduce a licensing regime for virtual asset service providers under AMLO, which came into effect in June 2023. To further strengthen the virtual assets regulatory framework in Hong Kong, we consulted the public on a regulatory regime for stablecoins earlier this year and had received overall support.Establishing a collaborative network for effective prosecution and asset recovery     Let me turn to establishing a collaborative network across jurisdictions to enable effective prosecution of financial crimes and asset recovery.     Hong Kong has established a comprehensive co-operation regime for the mutual legal assistance and surrender of fugitives. The Department of Justice of Hong Kong published various practical step-by-step guidelines, such as “Guide to Asset Recovery in the Hong Kong Special Administrative Region” and “Guidelines for Making Applications under the Mutual Legal Assistance in Criminal Matters Ordinance (Cap. 525)”, with a view to assisting our foreign counterparts in understanding the procedures in relation to international legal co-operation in criminal matters in Hong Kong and the wide range of legal assistance that may be provided by Hong Kong, such as taking of oral evidence, obtaining materials under production orders, enforcement of external confiscation orders and restraining of dealing in property which may be subject to external confiscation orders, etc.     Over the years, the Department of Justice has been providing effective and timely assistance to various foreign jurisdictions, including our ASEAN and Asia-Pacific partners. Let me share with you some examples. Recently, pursuant to a request made by an East Asian country, we have successfully obtained from the High Court a restraint order freezing assets in the form of cryptocurrencies of a total value of more than US$20 million, which are suspected to be proceeds of a massive fraudulent scheme. In another case regarding a request received from Indonesia, we have restrained over US$8 million worth of assets, representing proceeds of offences of fraud and money laundering, with a view to repatriating the confiscated funds back to the victim of crimes in Indonesia eventually. Singapore is one of our most valued and top legal co-operation partners. Thanks to the tireless effort of the Attorney General’s Chambers of Singapore, a fugitive was successfully surrendered back to Hong Kong earlier this month to face justice in court for offences relating to a securities fraud. In another case involving offences of money laundering and corruption, Hong Kong is working very closely with Singapore in our collaboration to repatriate US$13 million of proceeds of crime back to the victim in Mainland China. In yet another example, with the joint effort of Interpol and following extensive information sharing and joint investigations by the police from Singapore and Hong Kong, a transnational syndicate allegedly involved in laundering ill-gotten gains derived from tech support scams, including around HK$33 million from the victims in Singapore, has recently been crippled in August this year, resulting in the arrest of eight persons in Singapore and Hong Kong.     Another significant development in 2024 is that, on June 26, 2024, Hong Kong has officially joined the South East Asia Justice Network (SEAJust), which was established in 2020 with the support of the UNODC. This enables Hong Kong to make use of this important platform to facilitate co-operation in criminal matters with other members, including all my friends here today.     I feel obliged to take this opportunity to register my disappointment that, due to geopolitical reasons, some Western countries have unilaterally suspended their mutual legal co-operation arrangements with Hong Kong, which is plainly against common interests. Geopolitical considerations should not be allowed to hinder international co-operation in fighting financial crimes.Embracing technologies as our new arsenal of tools     Let me move on to embracing technologies as our tools. In this digital age, technology is evolving at an unprecedented pace. It is unfortunate that it has been misused to enable financial crimes to transcend borders and get “bigger” in terms of quantity and complexity, and allow the culprits to hide their identities in the virtual world.     To counter such misuse, we should consider how to deploy technological advancements as our ally. In particular, we should proactively explore the possibilities of leveraging powerful artificial intelligence (AI) tools for detecting and disrupting financial crimes at an early stage. For example, AI-powered systems may facilitate real-time online transaction monitoring and individual behavioural analysis, and alert unusual transaction patterns with speed and accuracy that human beings cannot duplicate. AI-assisted automation may also play a pivotal role in enhancing the efficiency of investigations. AI technology is able to analyse vast amounts of data at lightning speed. Automating some repetitive but essential tasks throughout the investigation process enables investigation officers to dedicate their time and energy to developing strategies in higher-impact cases.     On September 9, 2024, with a view to accelerating the use of AI in monitoring money laundering and terrorist financing risks, the Hong Kong Monetary Authority published a circular on “Use of Artificial Intelligence for Monitoring Suspicious Activities”. The HKMA observed that AI-powered systems take into account a broad range of contextual information focusing not only on individual transactions, but also the active risk profile and past transaction patterns of customers in determining whether the activity of a customer should be flagged for further investigation. These enhanced systems have proved to be more effective and efficient than conventional rules-based transaction monitoring systems.Encouraging knowledge and experience sharing     Lastly, let me say a few words on encouraging knowledge and experience sharing.     Last month, a dedicated team of prosecutors who specialise in prosecuting sophisticated and syndicated high-tech crimes in the Prosecutions Division of the Department of Justice of Hong Kong paid a visit to Guangdong Provincial People’s Procuratorate, the High People’s Court of Guangdong Province and Guangzhou Internet Court. The sharing sessions with Mainland judges and procurators were greatly beneficial to deepening the mutual understanding of the latest trends of deception cases and the handling of cryptocurrency cases.     And, of course, international symposiums and conferences provide an excellent forum for free flow of ideas, which assist in gathering and accumulating a general pool of knowledge, and stimulating new and innovative ideas to combat financial crimes. This successful conference is, by itself, a perfect example.     In this aspect, I am very pleased to inform you that, next month between November 27 and 29, Hong Kong will organise the 11th Asia and Pacific Regional Conference of the International Association of Prosecutors (IAP) under the theme of “Effective Prosecution Service in the Technological Age”. I look forward to welcoming you to Hong Kong.     Lastly, I am also very pleased to inform you that the Department of Justice of Hong Kong will formally establish the Hong Kong International Legal Talents Training Academy very soon. The Academy will organise practical training courses, seminars, and international exchange programmes to promote exchanges among legal professionals coming from different jurisdictions. This may serve as an additional platform for capacity building and experience sharing in the area of international co-operation on combating financial crimes.Concluding remarks     To conclude, while the challenges we face in our fight against financial crimes are daunting and are likely to be ongoing, they are ones that we can and must overcome – together. In this war that we cannot afford losing, let us remain steadfast to our commitment to align with international regulatory standards, work closely via various collaborative networks, make better use of emerging technologies, and share knowledge and experience. In co-operation lies our strength, and in action lies the promise of a secure financial environment where trust and integrity flourish.     On this note, may I once again thank the Attorney-General’s Chambers of Singapore for giving me and other members of the Hong Kong delegation such a fruitful experience at this successful conference, and to all the distinguished speakers and friends from the Mainland and ASEAN countries for their sharing of valuable insights and experiences. Thank you very much.

    MIL OSI Asia Pacific News –

  • MIL-OSI: Interim Financial Report Q1-Q3 2024

    Source: GlobeNewswire (MIL-OSI)

    • Updated strategy and new long-term targets
    • Earnings per share declined by 2% to DKK 60.5 (Q1-Q3 2023: DKK 62.0)
    • The net profit was down by 1% to DKK 4,044m (Q1-Q3 2023: DKK 4,106m)
    • Net interest income rose by 1% to DKK 7,211m (Q1-Q3 2023: DKK 7,155m)
    • Core income was up by 1% to DKK 10,307m (Q1-Q3 2023: DKK 10,244m)
    • Core expenses rose by 6% to DKK 4,768m (Q1-Q3 2023: DKK 4,498m)
    • Loan impairment charges DKK 13m (Q1-Q3 2023: DKK 96m)
    • Capital ratio at 22.6%, of which common equity tier 1 capital ratio of 17.2% (Q1 – Q3: 2023: 20.9% and 16.7%, respectively)
    • Expected earnings per share in 2024 upgraded on 11 October to DKK 75-80 from the upper end of the range of DKK 64-76
    • Share buy-back programme of DKK 1.5bn completed on 3 October 2024.

    Summary

    ”Earlier in the month, Jyske Bank upgraded its outlook for 2024 due to a continued positive development. We are now launching a strategy to become an even better bank for our customers,” says Lars Mørch, CEO and Managing Director, and continues:

    “With a strong foundation in the Danish market and a number of positions of strength in servicing both personal and corporate customers, Jyske Bank will over the coming years do more of what we have shown that we are good at and accelerate development in the areas where we want to do better.“

    “We support customers, e.g., in their sustainable transition and use digitization proactively to the benefit of the customers and to increase efficiency. Based on the strategy, we have set financial targets according to which we aim to obtain a return on tangible equity of 10% based on a cost/income ratio below 50 supplemented by an attractive distribution to shareholders,” says Lars Mørch, CEO and Managing Director.

    Updated strategy
    Jyske Bank utilizes the opportunities that arise to create value for customers, and the Group will seek out opportunities for cooperation and, in doing so, be an attractive partner for other players in the sector.

    In the lead up to the strategy announcement, the Group has set up the organisation so that customer orientation is strengthened throughout the value chain and efforts and resources are efficiently channelled to where it benefits the customers the most and contributes the most to the Group’s profitability. At the same time, risk management and digitization have been strengthened.

    Long-term financial targets
    Jyske Bank expects a return on tangible equity of 10% in 2028 based on a presupposed common equity tier 1 capital ratio at the lower end of 15%-17%, a cost/income ratio below 50, and a normalised cost of risk of 8bp p.a. The ambition to distribute approx. 30% of shareholders’ result supplemented by share buy-backs is maintained. In the coming years, the Danish economy is expected to be dominated by lower interest rates and balanced growth with high levels of employment and moderate inflation.

    The targets reflect an underlying improvement in profitability aimed at mitigating expectations of significantly lower interest rates over the coming years. The targets will be achieved through stronger customer-orientation and focus on capital-light income as well as structural cost measures, ensuring continued investment in new technology and higher efficiency.

    Other initiatives
    Prior to the update of its strategy, Jyske Bank changed its organisation to obtain stronger client orientation, higher professionalism in the Group’s control set-up and higher development and implementation efficiency. Subsequently, the Group Executive Board will consist of the CEO and Managing Director, a Managing Director of Corporate Clients and Capital Markets, a Managing Director of Personal Clients and Wealth Management, a Managing Director of Digitization and Operations as well as a Chief Risk Officer.

    In continuation of the organisational change, Erik Gadeberg was appointed new member of the Group Executive Board as Managing Director, Corporate Clients and Capital Markets. Erik Gadeberg has prior to this held the position as Managing Director of Capital Markets at Jyske Bank. He joined Jyske Bank in 1990 and has primarily been employed in functions associated with Capital Markets, including large corporates and institutional clients.

    Managing Director Per Skovhus retired at the end of June 2024. Jacob Gyntelberg will take office on 6 December 2024 as Managing Director, Chief Risk Officer (CRO) and new member of the Group Executive Board. Since 2021, Jacob Gyntelberg has been Director of Economic and Risk Analysis at the European Banking Authority (EBA). During the period 2019-2021, Jacob Gyntelberg was Deputy Chief Risk Officer at Nordea, and previously he held executive positions at Danske Bank, Bank for International Settlements (BIS), Nykredit and Danmarks Nationalbank.

    In 2023, Jyske Bank acquired PFA Bank, and the integration was in the first half of 2024 successfully completed according to plan. The IT migration to Bankdata from BEC was implemented in the second quarter of 2024 when also administration and management of PFA Invest were taken over by BankInvest to ensure smooth transfer for the clients. The approach underlines Jyske Bank’s focus on client requirements which contributed to Jyske Bank’s Private Banking clients having been Denmark’s most satisfied clients for the past nine years running according to the research company Voxmeter.

    In September 2024, Jyske Finans, which manages the Group’s leasing activities, announced the acquisition of a leasing portfolio from Opendo. The acquisition supports Jyske Finans’ leading position in the structurally growing leasing market with higher volume to the portfolio of cars on operational leasing contracts.

    In Q1-Q3 2024, Jyske Bank introduced additional attractive savings products and sharper prices and offers for home loan products to personal clients. The flexible mortgage loan, Jyske Prioritet+, was highlighted by TÆNK, the Danish Consumer Council, with the rating ’Recommend’. Clients’ credit cards were also improved through travel insurance and purchase warranty as well as VISA’s loyalty programme with approx. 1,500 stores and web shops.

    Jyske Bank’s target is to be an active and constructive part of the green transition and Jyske Bank’s target is net zero CO2 emission across business-oriented activities in the form of loans and investments not later than in 2045 and 2050, respectively. In addition, Jyske Bank aims at lending growth contributing to offset climate changes, and the CO2 emission from Jyske Bank’s own activities must be reduced by 65% from 2020 to 2030.

    Earnings per share DKK 60.5 in Q1-Q3 2024
    Earnings per share were DKK 60.5 against DKK 62.0 the previous year, corresponding to a net profit of DKK 2,623m or a return of 11.8% p.a. on equity against DKK 2,488m and 13.5% p.a., respectively in Q1-Q3 2023. Despite a lower pre-tax profit, the tax expense increased due to a higher special tax.

    The reason for the lower results is particularly higher costs as a result of sector-wide, collectively prescribed salary increases and the acquisition of PFA Bank as well as lower gains from the sale of leasing cars. The development in Q1-Q3 2024 reflects a Danish economy growing moderately with continued high employment. The economy withstood interest rate hikes in 2022 and 2023, and an improved inflation outlook in June 2024 paved the way for Danmarks Nationalbank’s first interest rate cut for several years, followed up by further cuts in September and October.

    Jyske Bank’s business volume showed an overall declining development in loans and deposits in Q1-Q3 2024, supplemented by a sizeable increase in the investment area. Bank loans decreased 5% due to lower loans to personal clients compared with end-2023. Bank deposits fell by 2% due to lower time deposits from corporate clients. Nominal mortgage loans were roughly unchanged since lower lending to personal clients were offset by a higher amount of lending to corporate clients. Assets under management rose by 14% due to a favourable development in the financial markets and net sales of investment solutions.

    Core income rose by 1% relative to Q1-Q3 2023 due to a slight increase in most income items. Net interest income rose by 1% due to the higher level of interest rates. Net fee and commission income was up by 1% due to the acquisition of PFA Bank and a higher amount of assets under management. Value adjustments still contributed positively due to the development in the financial markets. Other income increased due to higher share dividends whereas a gradual normalisation of favourable sales conditions in the leasing car market caused a decline in income from operating lease (net).

    Core expenses rose by 6% compared to Q1-Q3 2023. The increase can primarily be attributed to sector-wide, collectively prescribed salary increases of 3.7%, the derived effect from the abolishment of All Prayers Day and the effect from the acquisition of PFA Bank. In addition, the level of one-off items was at an elevated level.

    Loan impairment charges amounted to DKK 13m in Q1-Q3 2024 compared with DKK 96m in Q1-Q3 2023. Management’s estimates relating to loan impairment charges were in Q1-Q3 2024 reduced by DKK 151m to DKK 1,783m as the result of lower macroeconomic risks. The credit quality is still solid with a low level of non-performing exposures.

    At the end of Q1-Q3 2024, Jyske Bank’s common equity tier 1 capital ratio was 17.2%, which is above the targeted range of 15%-17%. In Q1-Q3 2024, Jyske Bank distributed a dividend of DKK 500m or DKK 7.78 per share and executed a share buy-back programme of DKK 1.5bn which was completed in early October. The share buy-back programme was the first since the acquisition of Handelsbanken Denmark and reflects a restored capital base supported by two capital issues in the first quarter of 2024. The issues contributed to an increase in the total capital ratio to 22.6%, above the targeted range at 20%-22%.

    2024 outlook
    For 2024, Jyske Bank estimates a net profit in the range of DKK 5.0bn-5.3bn, corresponding to earnings per share in the range of DKK 75-80. The outlook was in October 2024 upgraded from a net profit in the upper end of the range of DKK 4.3bn-5.1bn, corresponding to earnings per share in the upper half of the range of DKK 64-76. The upward revision was attributed to favourable financial markets and a solid credit quality.

    Core income is expected to decline in 2024, in particular as a result of lower value adjustments which were at a historically high level in 2023. Expectations mirror moderate growth in the Danish economy and a reduction of Danmarks Nationalbank’s deposit rate at 1.0 percentage point in 2024. Core expenses inclusive of non-recurring costs are expected to be slightly higher in 2024 compared with 2023. Non-recurring expenses for the integration of Handelsbanken Denmark and PFA Bank are expected to total DKK 0.1bn.

    As in 2023, loan impairment charges are expected to be at a low level in 2024. The expectations involve uncertainty and depend, for instance, on macroeconomic circumstances and the development in the financial markets.

    Webcast and conference call
    Jyske Bank will host a conference call in English targeting investors and analysts today at 2.00 p.m. CET (link). Conference call and presentation will be available via jyskebank.com/investorrelations.

    Yours faithfully,
    Jyske Bank

    Contact:
    Lars Mørch, CEO and Managing Director, tel. +45 89 89 20 01
    Birger Krøgh Nielsen, CFO, tel. +45 89 89 64 44

    Attachments

    The MIL Network –

  • MIL-OSI: Equinor ASA: Share buy-back

    Source: GlobeNewswire (MIL-OSI)

    Please see below information about transactions made under the fourth tranche of the 2024 share buy-back programme for Equinor ASA (OSE:EQNR, NYSE:EQNR, CEUX:EQNRO, TQEX:EQNRO).

    Date on which the fourth tranche of the 2024 programme was announced: 24 October 2024.

    The duration of the fourth tranche of the 2024 programme: 25 October to no later than 31 January 2025.

    Further information on the tranche can be found in the stock market announcement on its commencement dated 24 October 2024, available here: https://newsweb.oslobors.no/message/630240

    On 25 October 2024 Equinor ASA has purchased a total of 400,000 own shares at an average price of NOK 278.5692 per share.

    Overview of transactions:

    Date Trading venue Aggregated daily volume (number of shares) Weighted average share price (NOK) Total transaction value (NOK)
    25 October OSE 400,000 278.5692 111,427,680.00
      CEUX      
      TQEX      
             
    Total for the period OSE 400,000 278.5692 111,427,680.00
      CEUX      
      TQEX      
             
    Previously disclosed buy-backs under the fourth tranche of the 2024 programme OSE      
    CEUX      
    TQEX      
    Total      
             
    Total buy-backs under fourth tranche of the 2024 programme (accumulated) OSE 400,000 278.5692 111,427,680.00
    CEUX      
    TQEX      
    Total 400,000 278.5692 111,427,680.00

     
    Following the completion of the above transactions, Equinor ASA owns a total of 48,006,940 own shares, corresponding to 1.72% of Equinor ASA’s share capital, including shares under Equinor’s share savings programme (excluding shares under Equinor’s share savings programme, Equinor owns a total of 39,531,815 own shares, corresponding to 1.42% of the share capital).

    This is information that Equinor ASA is obliged to make public pursuant to the EU Market Abuse Regulation and that is subject to the disclosure requirements pursuant to Section 5-12 of the Norwegian Securities Trading Act.

    Appendix:
    A overview of all transactions made under the buy-back tranche that have been carried out during the above-mentioned time period is attached to this report and available at www.newsweb.no.

    Contact details:

    Investor relations
    Bård Glad Pedersen, senior vice president Investor Relations,
    +47 918 01 791

    Media
    Sissel Rinde, vice president Media Relations,
    +47 412 60 584

    Attachment

    The MIL Network –

  • MIL-OSI: IDEX Biometrics interim report for the third quarter of 2024

    Source: GlobeNewswire (MIL-OSI)

    Oslo, Norway – 29 October 2024 – IDEX Biometrics ASA’s interim report for the third quarter is attached to this notice (link below). The interim report is also available on the IDEX Biometrics website: www.idexbiometrics.com/investors/interim-results/

    A webcast presentation of the interim report will be held by Catharina Eklof, Chief Executive Officer, today at 09:00 CET. The webcast presentation is attached to this notice (link below), and can be viewed at the following link:

    https://idexbiometrics.videosync.fi/q3-2024

    “Transitioning into the CEO role this quarter, my focus has been on executing our transformation program and implementing key initiatives to achieve the targeted cash quarterly operating expense run rate of $2.5 million. By the end of the third quarter, IDEX had executed on targeted reorganization initiatives, significantly reducing operating expenses. We have consolidated our technology and administrative teams into the UK and Europe, and optimized our entire workforce to capture the fast growing opportunity across the APAC region.” Said Catharina Eklof, Chief Executive Officer at IDEX Biometrics.

    Ms. Eklof added, “On the customer side, we continue to expand our manufacturing partners and solution integrators with our open software platforms and flexible operating system. Focus over the last quarters has been on supporting manufacturers from certification to industrialized production. As a result, KONA I has achieved Mastercard approval for the world first metal biometric card, based on the IDEX Pay platform. A first commercial program is now in the planning phase of being rolled out in Asia.”

    In September, IDEX demonstrated a successful live transaction on the India based RuPay network with IDEX Pay, together with our manufacturing partners. This is a leading indicator of the IDEX biometric platform readiness to bring trusted identity solutions to consumers around the world.

    Financials:

    • Revenues in the third quarter totaled $0.1M.
    • Net Income in Q3 was $1.4M with Adjusted Net Loss of $4.8M. Adjustments are related to the restructuring charges and the derivative value changes.
    • Operating expenses reduced to $4.1M, a reduction of $2.0M from last quarter.
    • Restructuring cost during Q3 were $0.4M including severance and other items.  Restructuring gain of $0.7M resulting from two lease cancellations.
    • On track to achieve a cash operating run-rate of $2.5M per quarter by the end of this year.
    • Recorded a gain of $5.5M from a change in the derivative value related to outstanding warrants and the favorable renegotiation of our outstanding convertible bond.

    For further information contact:
    Marianne Bøe, Head of Investor Relations
    E-mail: ir@idexbiometrics.com
    Tel: + 47 67 83 91 19

    About IDEX Biometrics
    IDEX Biometrics ASA (OSE: IDEX) is a global technology leader in fingerprint biometrics, offering authentication solutions across payments, access control, and digital identity. Our solutions bring convenience, security, peace of mind and seamless user experiences to the world. Built on patented and proprietary sensor technologies, integrated circuit designs, and software, our biometric solutions target card-based applications for payments and digital authentication. As an industry-enabler we partner with leading card manufacturers and technology companies to bring our solutions to market. 

    For more information, visit www.idexbiometrics.com

    TRADEMARK STATEMENT
    IDEX, TrustedBio, IDEX Biometrics and the IDEX logo are trademarks owned by IDEX Biometrics ASA. All other brands or product names are the property of their respective holders.

    Attachments

    The MIL Network –

  • MIL-OSI: Webcast details for Orrön Energy’s Q3 presentation

    Source: GlobeNewswire (MIL-OSI)

    Orrön Energy AB (“Orrön Energy”) will publish its financial report for the third quarter 2024 on Wednesday, 6 November 2024 at 07:30 CET, followed by a webcast at 14.00 CET.

    Listen to Daniel Fitzgerald, CEO and Espen Hennie, CFO commenting on the report and describing the latest developments in Orrön Energy at a webcast on 6 November 2024 at 14:00 CET, followed by a question-and-answer session.

    Registration for the webcast presentation is available on the website and the below link:
    https://vimeo.com/event/4678321/54544efc16

    For further information, please contact:

    Robert Eriksson
    Director Corporate Affairs and Investor Relations
    Tel: +46 701 11 26 15
    robert.eriksson@orron.com

    Jenny Sandström
    Communications Lead
    Tel: +41 79 431 63 68
    jenny.sandstrom@orron.com

    Orrön Energy is an independent, publicly listed (Nasdaq Stockholm: “ORRON”) renewable energy company within the Lundin Group of Companies. Orrön Energy’s core portfolio consists of high quality, cash flow generating assets in the Nordics, coupled with greenfield growth opportunities in the Nordics, the UK, Germany and France. With significant financial capacity to fund further growth and acquisitions, and backed by a major shareholder, management and Board with a proven track record of investing into, leading and growing highly successful businesses, Orrön Energy is in a unique position to create shareholder value through the energy transition.

    Forward-looking statements
    Statements in this press release relating to any future status or circumstances, including statements regarding future performance, growth and other trend projections, are forward-looking statements. These statements may generally, but not always, be identified by the use of words such as “anticipate”, “believe”, “expect”, “intend”, “plan”, “seek”, “will”, “would” or similar expressions. By their nature, forward-looking statements involve risk and uncertainty because they relate to events and depend on circumstances that could occur in the future. There can be no assurance that actual results will not differ materially from those expressed or implied by these forward-looking statements due to several factors, many of which are outside the company’s control. Any forward-looking statements in this press release speak only as of the date on which the statements are made and the company has no obligation (and undertakes no obligation) to update or revise any of them, whether as a result of new information, future events or otherwise.

    Attachment

    The MIL Network –

  • MIL-OSI: IDEX Biometrics appoints new Chief Financial Officer

    Source: GlobeNewswire (MIL-OSI)

    Oslo, Norway – October 29, 2024 – IDEX Biometrics has appointed Kristian Flaten as Chief Financial Officer, effective November 1, 2024.

    Kristian Flaten brings over 25 years of financial leadership and experience with international business and financing, including from Asian growth markets, a strong focus for IDEX Biometrics. He has a proven track record in corporate finance, debt financing and business development in growth companies. 

    Kristian has a background as CFO with Quantafuel ASA, recycling plastic waste, and as VP Corporate Finance with BW Offshore, oilfield services. Additionally, he has experience from the financial sector with Export Finance Norway and Handelsbanken. 

    Kristian holds a Master of Science from NHH (Norwegian School of Economics), with majors in Finance and Strategy. He will be based at IDEX Biometrics headquarters in Oslo.

    “We are most pleased to welcome Kristian to our executive team,” says Catharina Eklof, Chief Executive Officer of IDEX Biometrics. “Bringing on Kristian is an important step in the business transformation of IDEX. Kristian comes with critical experience from growth companies and his proven track record will be key as we continue to evolve IDEX, and drive innovation in biometric platform and software solution expansion to key markets.” 

    “I am excited to join IDEX Biometrics at this pivotal time of the company’s growth journey,” comments Kristian Flaten. “I look forward to working with the talented team to support the company’s strategic initiatives.” 

    Kristian Flaten is succeeding John Kurtzweil, who will continue to support the company in an advisory role. The company extends its warm gratitude to John for his excellent contributions during his tenure and for ensuring a smooth transition to Kristian.

    For further information contact:

    Marianne Bøe, Head of Investor Relations
    Email: ir@idexbiometrics.com
    Tel: + 47 67 83 91 19

    About IDEX Biometrics
    IDEX Biometrics ASA (OSE: IDEX) is a global technology leader in fingerprint biometrics, offering authentication solutions across payments, access control, and digital identity. Our solutions bring convenience, security, peace of mind and seamless user experiences to the world. Built on patented and proprietary sensor technologies, integrated circuit designs, and software, our biometric solutions target card-based applications for payments and digital authentication. As an industry-enabler we partner with leading card manufacturers and technology companies to bring our solutions to market.
    For more information, visit www.idexbiometrics.com

    Trademark Statement
    IDEX, IDEX Biometrics and the IDEX logo are trademarks owned by IDEX Biometrics ASA. All other brands or product names are the property of their respective holders.

    About this notice:
    This notice was issued by Marianne Bøe, Head of Investor Relations, on 29 October 2024 at 08:10 on behalf of IDEX Biometrics ASA.

    The MIL Network –

  • MIL-OSI: Share buybacks in Spar Nord Bank – transactions in week 43

    Source: GlobeNewswire (MIL-OSI)

    Company announcement no. 65
     

    In company announcement no. 10 2024, Spar Nord announced a share buyback programme of up to DKK 500 million. The share buyback was initiated on 12 February 2024.

    The purpose of the share buyback is to reduce the bank’s share capital by the shares acquired under the programme, and the programme is executed pursuant to Regulation (EU) No 596/2014 of 16 April 2014 (“Market Abuse Regulation”).

    In last week the following transactions were made under the share buyback programme.

      Number of shares Average purchase price (DKK) Transaction value (DKK)
    Accumulated from last announcement 2,727,197   343,387,069
    21 October 2024 14,000 138.18 1,934,520
    22 October 2024 14,000 140.39 1,965,460
    23 October 2024 14,000 142.08 1,989,120
    24 October 2024 14,000 140.18 1,962,520
    25 October 2024 14,000 139.93 1,959,020
    Total week 43 70,000   9,810,640
    Total accumulated 2,797,197   353,197,709

    Following the above transactions. Spar Nord holds a total of 2,918,269 treasury shares equal to 2.48 % of the Bank’s share capital.

    Please direct any questions regarding this release to Rune Brandt Børglum, Head of Investor Relations on tel. + 45 96 34 42 36.

    Rune Brandt Børglum
    Head of Investor Relation

    Attachment

    The MIL Network –

  • MIL-OSI Security: Federal Judge Finds Milwaukee Man Guilty of Sex Trafficking and Arson

    Source: United States Bureau of Alcohol Tobacco Firearms and Explosives (ATF)

    United States Attorney Gregory J. Haanstad announced that on October 28, 2024, United States District Court Judge Lynn Adelman found Bobby McNeil (age 45) guilty of all five counts with which he was charged, which were Sex Trafficking by Force, Fraud, or Coercion; Arson in Furtherance of a Federal Felony; Arson of a Building/Rental Property; Interstate Transportation for the Purpose of Prostitution; and Unlawful Possession of a Firearm by a Felon. Judge Adelman announced the verdict after a two-day bench trial that concluded on October 16, 2024.

    The evidence presented at trial established that between 2021 and 2022, McNeil used force, threats of force, fraud, and coercion to compel an adult female victim to engage in commercial sex acts on the south side of Milwaukee.  He also induced the victim to travel from Florida back to Wisconsin to engage in further commercial sex acts. McNeil also committed a retaliatory act of arson by throwing a Molotov cocktail into the home of another adult who attempted to help the female victim get away from McNeil.  In rendering his verdict, Judge Adelman pointed to numerous text messages, Facebook messages, and recorded messages the defendant made and sent that corroborated the trafficking victim’s testimony and reflected the defendant’s intentions and violence.

    McNeil’s sentencing hearing is scheduled for February 4, 2025, before Judge Adelman.  McNeil faces a maximum life term of imprisonment and a mandatory minimum of 25 years of imprisonment.

    The Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated the case, with the assistance of the Federal Bureau of Investigation and Milwaukee Police Department.  Assistant United States Attorneys Abbey M. Marzick and Porchia S. Lewand prosecuted the case.

    # # #

    For Additional Information Contact:

    Public Information Officer

    Kenneth.Gales@usdoj.gov

    414-297-1700

    Follow us on Twitter

    MIL Security OSI –

  • MIL-OSI: The notes redeemed by Municipality Finance have been removed from trading at Nasdaq Helsinki

    Source: GlobeNewswire (MIL-OSI)

    Municipality Finance Plc
    Stock exchange release
    29 October 2024 at 10:00 am (EET)

    The notes redeemed by Municipality Finance have been removed from trading at Nasdaq Helsinki

    On 14 October 2024 Municipality Finance Plc announced that it is exercising its right to redeem in whole its USD 150 million notes (XS2548900146). Nasdaq Helsinki has approved MuniFin’s application to remove the notes from trading. The last day of trading was 28 October 2024.

    MUNICIPALITY FINANCE PLC

    Further information:

    Joakim Holmström
    Executive Vice President, Capital Markets and Sustainability
    tel. +358 50 444 3638

    MuniFin (Municipality Finance Plc) is one of Finland’s largest credit institutions. The company is owned by Finnish municipalities, the public sector pension fund Keva and the Republic of Finland. The Group’s balance sheet totals over to EUR 50 billion.

    MuniFin’s customers include municipalities, joint municipal authorities, wellbeing services counties, corporate entities under their control, and non-profit organisations nominated by the Housing Finance and Development Centre of Finland (ARA). Lending is used for environmentally and socially responsible investment targets such as public transportation, sustainable buildings, hospitals and healthcare centres, schools and day care centres, and homes for people with special needs.

    MuniFin’s customers are domestic, but the company operates in a completely global business environment. The company is an active Finnish bond issuer in international capital markets and the first Finnish green and social bond issuer. The funding is exclusively guaranteed by the Municipal Guarantee Board.

    Read more: www.kuntarahoitus.fi/en

    Important Information

    The information contained herein is not for release, publication or distribution, in whole or in part, directly or indirectly, in or into any such country or jurisdiction or otherwise in such circumstances in which the release, publication or distribution would be unlawful. The information contained herein does not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of, any securities or other financial instruments in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration, exemption from registration or qualification under the securities laws of any such jurisdiction.

    This communication does not constitute an offer of securities for sale in the United States. The notes have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”) or under the applicable securities laws of any state of the United States and may not be offered or sold, directly or indirectly, within the United States or to, or for the account or benefit of, U.S. persons except pursuant to an applicable exemption from, or in a transaction not subject to, the registration requirements of the Securities Act.

    The MIL Network –

  • MIL-OSI Security: U.S. Navy Reserve Officer Sentenced for Bribery Scheme Involving Department of State’s Approval Process for Special Immigrant Visas

    Source: United States Attorneys General 7

    A U.S. Navy Reserve Commander from Florida was sentenced today to 30 months in prison for his role in a years-long bribery scheme involving Special Immigrant Visas (SIVs) for Afghan nationals.

    According to court documents and evidence submitted at trial, Jeromy Pittmann, 53, of Pensacola, accepted bribe payments from Afghan nationals in exchange for drafting, submitting, and verifying fraudulent letters of recommendation for Afghan nationals who applied for SIVs with the U.S. Department of State. Since 2009, Congress has authorized the State Department to offer a limited number of SIVs to enter the United States for Afghan nationals who were employed as translators for U.S. military personnel. Pittmann signed over 20 letters in which he fraudulently represented that he personally knew and had supervised the Afghan national visa applicants while they worked as translators in support of the U.S. military and NATO; that the applicants’ lives were in jeopardy because the Taliban considered them to be traitors; and that, based on his personal knowledge of the applicants, he believed they did not pose any threat to the national security of the United States. In truth, Pittmann did not know the applicants and had no basis for recommending them for SIVs. In exchange for the fraudulent letters, Pittmann received several thousands of dollars in bribes. To avoid detection, Pittmann received the bribe money through an intermediary and created false invoices purporting to show that Pittmann was receiving the money for legitimate work unrelated to his military service.

    On July 12, Pittmann was convicted by a jury in the District of New Hampshire after a four-day trial of conspiracy to commit bribery, bribery, making a materially false writing, and conspiring to commit money laundering.

    “By protecting Afghan nationals who risk their personal safety to help the U.S. government, the SIV program is essential for the security of U.S. military and diplomatic personnel in Afghanistan,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “Jeromy Pittmann, however, used his position of authority over the program to benefit foreign nationals who paid him bribes, falsely asserting that they had served the United States. Today’s sentence demonstrates that the Justice Department has zero tolerance for those who place their self-interest ahead of our national security.”

    “This case shows how someone betrayed his sacred oath of office to commit crimes for personal gain, with no regard for how his actions could threaten U.S. homeland security and harm Afghans, who risked their lives to help the United States,” said Inspector General John F. Sopko of the Special Inspector General for Afghanistan Reconstruction (SIGAR). “It also shows how a U.S. Government investigation — from initial tip to prosecution to conviction — can hold individuals accountable for their crimes. I’m proud of SIGAR special agents and our investigative partners who brought Pittmann to justice, and I hope their hard work will deter others from pursuing similar acts.”

    “Pittmann’s participation in this bribery scheme not only jeopardized the integrity of the SIV program, which protects our allies, but also introduced significant security risks to our nation,” said Special Agent in Charge Greg Gross of the Naval Criminal Investigative Service (NCIS) Economic Crimes Field Office. “NCIS and our partners will continue to hold accountable those who exploit government processes for personal gain, ensuring that the safety of the public and our warfighters is preserved.”

    “Pittmann deliberately chose self-enrichment over service when he violated federal law in his lengthy bribery scheme. He also compromised the integrity of the Afghan SIV system which is intended for those who faithfully performed activities while working for, or on behalf of, the U.S. government in Afghanistan,” said Inspector General Robert P. Storch of the Department of Defense. “The Defense Criminal Investigative Service (DCIS), in collaboration with its law enforcement partners, is resolved to help bring to justice those who abuse their public office for personal gain.”

    “The Diplomatic Security Service (DSS) is firmly committed to protecting the integrity of all U.S. visas and travel documents,” said Deputy Assistant Director Greg Batman of DSS. “This case is the result of a strong partnership among federal law enforcement agencies and DSS’ global network of special agents working together to stop visa and passport crimes, and to stop criminals from earning illegal income by exploiting U.S. visas, passports, and foreign nationals.”

    SIGAR, NCIS, DCIS, and DSS investigated the case.

    Trial Attorneys Matt Kahn and Theodore M. Kneller of the Criminal Division’s Fraud Section prosecuted the case.

    MIL Security OSI –

  • MIL-OSI USA: U.S. Navy Reserve Officer Sentenced for Bribery Scheme Involving Department of State’s Approval Process for Special Immigrant Visas

    Source: US State of California

    A U.S. Navy Reserve Commander from Florida was sentenced today to 30 months in prison for his role in a years-long bribery scheme involving Special Immigrant Visas (SIVs) for Afghan nationals.

    According to court documents and evidence submitted at trial, Jeromy Pittmann, 53, of Pensacola, accepted bribe payments from Afghan nationals in exchange for drafting, submitting, and verifying fraudulent letters of recommendation for Afghan nationals who applied for SIVs with the U.S. Department of State. Since 2009, Congress has authorized the State Department to offer a limited number of SIVs to enter the United States for Afghan nationals who were employed as translators for U.S. military personnel. Pittmann signed over 20 letters in which he fraudulently represented that he personally knew and had supervised the Afghan national visa applicants while they worked as translators in support of the U.S. military and NATO; that the applicants’ lives were in jeopardy because the Taliban considered them to be traitors; and that, based on his personal knowledge of the applicants, he believed they did not pose any threat to the national security of the United States. In truth, Pittmann did not know the applicants and had no basis for recommending them for SIVs. In exchange for the fraudulent letters, Pittmann received several thousands of dollars in bribes. To avoid detection, Pittmann received the bribe money through an intermediary and created false invoices purporting to show that Pittmann was receiving the money for legitimate work unrelated to his military service.

    On July 12, Pittmann was convicted by a jury in the District of New Hampshire after a four-day trial of conspiracy to commit bribery, bribery, making a materially false writing, and conspiring to commit money laundering.

    “By protecting Afghan nationals who risk their personal safety to help the U.S. government, the SIV program is essential for the security of U.S. military and diplomatic personnel in Afghanistan,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “Jeromy Pittmann, however, used his position of authority over the program to benefit foreign nationals who paid him bribes, falsely asserting that they had served the United States. Today’s sentence demonstrates that the Justice Department has zero tolerance for those who place their self-interest ahead of our national security.”

    “This case shows how someone betrayed his sacred oath of office to commit crimes for personal gain, with no regard for how his actions could threaten U.S. homeland security and harm Afghans, who risked their lives to help the United States,” said Inspector General John F. Sopko of the Special Inspector General for Afghanistan Reconstruction (SIGAR). “It also shows how a U.S. Government investigation — from initial tip to prosecution to conviction — can hold individuals accountable for their crimes. I’m proud of SIGAR special agents and our investigative partners who brought Pittmann to justice, and I hope their hard work will deter others from pursuing similar acts.”

    “Pittmann’s participation in this bribery scheme not only jeopardized the integrity of the SIV program, which protects our allies, but also introduced significant security risks to our nation,” said Special Agent in Charge Greg Gross of the Naval Criminal Investigative Service (NCIS) Economic Crimes Field Office. “NCIS and our partners will continue to hold accountable those who exploit government processes for personal gain, ensuring that the safety of the public and our warfighters is preserved.”

    “Pittmann deliberately chose self-enrichment over service when he violated federal law in his lengthy bribery scheme. He also compromised the integrity of the Afghan SIV system which is intended for those who faithfully performed activities while working for, or on behalf of, the U.S. government in Afghanistan,” said Inspector General Robert P. Storch of the Department of Defense. “The Defense Criminal Investigative Service (DCIS), in collaboration with its law enforcement partners, is resolved to help bring to justice those who abuse their public office for personal gain.”

    “The Diplomatic Security Service (DSS) is firmly committed to protecting the integrity of all U.S. visas and travel documents,” said Deputy Assistant Director Greg Batman of DSS. “This case is the result of a strong partnership among federal law enforcement agencies and DSS’ global network of special agents working together to stop visa and passport crimes, and to stop criminals from earning illegal income by exploiting U.S. visas, passports, and foreign nationals.”

    SIGAR, NCIS, DCIS, and DSS investigated the case.

    Trial Attorneys Matt Kahn and Theodore M. Kneller of the Criminal Division’s Fraud Section prosecuted the case.

    MIL OSI USA News –

  • MIL-OSI Security: Syracuse Man Sentenced to Over 21 Years for Receiving Child Pornography from Multiple Minors via Snapchat

    Source: Office of United States Attorneys

    SYRACUSE, NEW YORK – William Futrell, age 31, of Syracuse, was sentenced today to serve over 21 years (262 months) in federal prison following his previous conviction for ten counts of receipt of child pornography. United States Attorney Carla B. Freedman, Erin Keegan, Special Agent in Charge of Homeland Security Investigations, Buffalo Field Office, and New York State Police (NYSP) Superintendent Steven G. James made the announcement.

    As part of his previous guilty plea, Futrell admitted that he used Snapchat to communicate with minors from across the country. In some instances, Futrell would offer to pay the minor children to entice them to send explicit images to him, but with no intention of ever paying them. On at least the 10 occasions charged, Futrell obtained, directly from minor children, images depicting the children engaged in sexually explicit conduct. Futrell is a registered sex offender with a previous conviction for possession of child pornography in New York.

    Chief United States District Judge Brenda K. Sannes also ordered that Futrell serve a 15-year term of post-incarceration supervised release. Futrell will be required to register as a sex offender after his release from prison.

    United States Homeland Security Investigations (HSI) led the investigation with the assistance of the NYSP Internet Crimes Against Children Task Force, and the NYSP Troop D Computer Crime Unit. Special Assistant U.S. Attorney Paul Tuck prosecuted Futrell as part of Project Safe Childhood. 

    Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS).  Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

    MIL Security OSI –

  • MIL-OSI Security: Stolen car parts worth millions of euros recovered

    Source: Europol

    German investigators had an initial breakthrough with the arrest and detention of two Romanian nationals following a series of break-ins in bakeries in Wallersdorf. Over the course of the investigation conducted by the Landshut Criminal Investigation Department, evidence emerged that one of the suspects, with the help of one other accomplice, was involved in the break-in at the Wallersdorf logistics…

    MIL Security OSI –

  • MIL-OSI USA News: FACT SHEET: President Joe  Biden Announces $3 Billion to Strengthen Port Infrastructure, Create Good-Paying and Union Jobs, Bring Cleaner Air to  Communities

    Source: The White House

    President Biden will travel to the Port of Baltimore to announce $147 million in awards, which will support up to 2,000 good-paying and union jobs at the Port

    Today, President Biden will travel to the Port of Baltimore to announce a $3 billion investment from his Inflation Reduction Act to improve and electrify port infrastructure, support an estimated 40,000 good-paying and union jobs, reduce pollution, and combat the climate crisis.  The announcement includes $147 million in awards for the Maryland Port Administration, which will support over 2,000 good-paying and union jobs by enabling the purchase and installation of zero-emission port equipment, charging infrastructure, and power improvements. During the visit, President Biden will highlight how his Investing in America agenda is making an historic impact on communities and workers in Baltimore and across the country.

    $3 Billion Investment to Strengthen Port Infrastructure

    Today, President Biden is announcing $3 billion in Environmental Protection Agency Clean Ports grants, funded by the Inflation Reduction Act, to 55 selectees across 27 states and territories, including $147 million in implementation and planning grants for the Maryland Port Administration. The nation’s ports are the lynchpin of our nation’s supply chains and employ over 100,000 union workers across the United States.

    This funding will protect and create good-paying and union jobs and better working conditions by upgrading port operations and infrastructure to cleaner equipment, while ensuring cleaner air for port workers and nearby communities. The Clean Ports program will support an estimated 40,000 jobs across the economy, including over 6,500 manufacturing jobs, and is expected to increase demand for American manufactured electric cargo handling equipment at least six-fold over the life of the program.

    While a major economic driver, our nation’s ports are a major source of pollution for workers and surrounding communities. Communities living near ports and other transportation corridors are exposed to toxic pollution which can cause respiratory and cardiovascular harm, especially in children. The Clean Ports program will improve air quality at ports across the country by installing clean, zero-emission freight and ferry technologies along with associated infrastructure, eliminating more than 3 million metric tons of carbon pollution over the first ten years of implementation, equivalent to 391,220 homes’ energy use for one year. The funds announced today will support the purchase of battery-electric and hydrogen-powered human-operated and human-maintained equipment, including over 1,500 units of cargo handling equipment, 1,000 drayage trucks, 10 locomotives, and 20 vessels, as well as shore power systems for ocean-going vessels, battery-electric and hydrogen vehicle charging and fueling infrastructure, and solar power generation. The Clean Ports program advances the President’s Justice40 Initiative and aligns with the Biden-Harris Administration’s goal for a zero-emission freight sector.

    Investing in the Port of Baltimore

    President Biden will announce the funding at the Port of Baltimore in Maryland. The Port of Baltimore is one of the busiest ports on the East Coast and is a major hub for the import and export of vehicles. More than 20,000 workers support daily Port operations, including unionized longshoreman and truckers. Each day the Port’s economic impact represents $192 million or more than $70 billion a year, representing 13% of Maryland’s gross domestic product.

    The Maryland Port Administration’s Equipment Electrification and Terminal Decarbonization project has been selected to receive over $145 million to purchase zero-emission cargo handling equipment and drayage trucks and facilitate the transition of the port to a zero-emission facility, as well as a nearly $2 million planning grant to help the port chart a path to greater emissions reductions in the future, delivering cleaner air for the port and neighboring communities. The port is a major economic engine for the region, providing thousands of jobs and contributing billions of dollars to the local economy—and this new investment will support over 2,000 jobs, including more than 350 manufacturing jobs.

    Creating Good Paying, Union Jobs in Baltimore and Across the Country

    President Biden is the most pro-union president in history. He’s the first and only president to walk a picket line, and under his Administration, unions have secured historic labor wins. Last month, President Biden signed an Executive Order that calls on agencies to promote strong labor standards such as family-sustaining wages, workplace safety, and the free and fair choice to join a union, and encourages agencies to implement these standards through their Investing in America programs. This builds on a record of pro-worker accomplishments throughout the Biden-Harris Administration. For example:

    • Workers are filing for union representation at twice the rate they were at the start of the Biden-Harris Administration—the first Administration in five decades to have an increase in union petitions. In Maryland, union petitions increased by 55% percent. The National Labor Relations Board has met this historic moment by reducing unnecessary delays in union representation elections and by expanding remedies available to workers when their employers engage in unionbusting.
    • The vast majority of Investing in America programs require grantees to pay Davis-Bacon prevailing wages for workers. The Administration also published the first update to Davis-Bacon prevailing wages in nearly 40 years, which will increase pay for one million construction workers over time.
    • The Department of the Treasury finalized a rule implementing prevailing wage and apprenticeship bonus credits for certain clean energy projects funded by the President’s Inflation Reduction Act to ensure clean energy workers are paid good wages and that these projects create equitable pipelines to these good jobs.

    Building on Historic Investments in Maryland’s Infrastructure and Economy

    Today’s announcement builds on a historic investment in the state of Maryland under the Biden-Harris Administration. To date, the Investing in America agenda has delivered over $13 billion for over 970 projects in Maryland, spurring over $3 billion in private sector investments.

    This includes a number of projects in Baltimore, for example:

    • $4.7 billion for Amtrak’s Frederick Douglass Tunnel—which will replace the 150-year-old Baltimore and Potomac tunnel that is currently one of the largest rail bottlenecks on the Northeast Corridor;
    • $213 million to replace the Maryland Transit Administration’s entire fleet of 52 aging light rail vehicles with new, modern rail cars;
    • $80 million for interchange improvements at the I-895 Baltimore Harbor Tunnel;
    • $68 million for upgrades at Baltimore Washington International Thurgood Marshall airport;
    • $43 million to identify and replace toxic lead pipes across Maryland;
    • $31 million to rehabilitate a section of the Dundalk Marine Terminal at the Port; and
    • $9 million to Baltimore City Public Schools for clean school buses.

    Baltimore was also named an Investing in America Workforce Hub, where the Administration is bringing together industry, government, educators, non-profits and unions to help workers in Maryland access good jobs created by private and public sector investments in the state. In November 2023, Hub partners announced new efforts to train and hire local residents to support major infrastructure projects. These commitments include one from the State of Maryland to incorporate a Project Labor Agreement in the bidding process for nine projects covering $9 billion in investment and 11,000 jobs—including 7,000 construction jobs. One of these commitments includes Amtrak promising to invest at least $5 million in funding received through the Bipartisan Infrastructure Law to create recruitment and training programs for new jobs for Baltimore residents as part of the Frederick Douglass Tunnel Program.

    The Department of Commerce also awarded the Maryland Department of Labor $23 million through the Economic Development Administration’s Good Jobs Challenge to create a new apprenticeship model for the growing offshore wind industry in Maryland, working with leading employers and local unions to develop a training model focused on underserved populations. The Maritime Administration is further supporting the Maryland offshore wind industry through a $47 million grant to Sparrows Point Steel to retool, a former Bethlehem Steel mill in Baltimore, to establish an offshore wind logistics and manufacturing hub in partnership with the United Steelworkers.

    The Biden-Harris Administration’s Investing in America agenda has also unleashed $3 billion in private sector manufacturing and clean energy investments in Maryland, including:

    • A $350 million investment by United Safety Technology in Baltimore to produce critical medical supplies, including personal protective equipment.
    • A $300 million investment by AstraZeneca in a state-of-the-art facility in Rockville to launch life-saving cell therapy platforms for cancer trials.
    • A $230 million investment by Catalent to expand its advanced gene therapy manufacturing campus in Harmans.

    The Administration’s Investing in America agenda continues to make critical investments that will improve the lives and futures of all Marylanders.

    The Biden-Harris Administration’s Ongoing Support for Baltimore

    President Biden was last in Baltimore in the immediate aftermath of the tragic collapse of the Francis Scott Key bridge, which claimed the lives of six construction workers and closed ship traffic in and out of the Port of Baltimore. There, he said his Administration would move heaven and earth to reopen the Port of Baltimore as quickly as possible to support Maryland’s workers and economy. A Unified Command led by the United States Coast Guard and the Army Corps of Engineers cleared 50,000 tons of wreckage from the channel, allowing the Port to fully reopen 78 days after the bridge collapse. The Department of Labor and Small Business Administration mobilized quickly to support workers and small businesses impacted by the port closure, including thousands of Longshoremen and Teamsters who rely on the port for their livelihood. And the Department of Transportation and the Supply Chain Disruptions Task Force worked to limit supply chain disruptions, keep costs down, and ensure cargo quickly returned to the Port once it reopened. Today, port workers are back on the job, once again moving more than 100,000 tons of cargo per day.

    The President also committed to rebuilding the bridge as quickly as possible. Thanks to close collaboration with the Department of Transportation, Maryland is on the fast track to rebuild the bridge. In July, the Federal Highway Administration issued a Categorical Exclusion, allowing the project to clear a critical permitting milestone. And in August, Maryland selected a contractor to design and build the new bridge.  Immediately following the bridge collapse, President Biden called on Congress to fully fund the replacement bridge and his Administration reiterated this request in July.

    The Biden-Harris Administration also committed to holding the owners of the DALI cargo ship accountable for the disaster. Just last week, the Department of Justice announced a settlement of over $100 million with the owners of the DALI to cover federal government costs incurred in responding to the collapse. While the State of Maryland continues to pursue a separate lawsuit for damages incurred to the local economy, community, and families impacted by the collapse, the Biden-Harris Administration remains committed to working with Baltimore and the State of Maryland to ensure the city’s long-term recovery and success.

    ###

    MIL OSI USA News –

  • MIL-OSI Africa: African countries push for $25 billion replenishment of the African Development Fund as Sudan tops up its pledge

    Source: Africa Press Organisation – English (2) – Report:

    ABIDJAN, Ivory Coast, October 29, 2024/APO Group/ —

    Sudan has increased its pledged contribution to the replenishment of the African Development Fund to $3 million, its Minister for Finance and Economic Planning Dr Gebreil Ibrahim Mohamed Fediel announced.

    Fediel made the announcement during a meeting with his Sierra Leonean counterpart, Sheku Ahmed Fantamadi Bangura, Gambian Finance Minister Seedy Keita, Liberian Minister for Agriculture, Dr Alexander Nuatah and African Development Bank President Akinwumi Adesina. The ministers and Adesina met on the sidelines of the World Bank and International Monetary Fund’s annual meetings in Washington DC.

    The governments of the Gambia, Liberia, Sierra Leone and Sudan are supporting efforts by the African Development Bank Group to push for a $25 billion replenishment of the African Development Fund, its concessional window.

    The four countries, together with Ghana, last year pledged to contribute a minimum of $1 million each to the African Development Fund’s 17th replenishment scheduled for 2025.

    Adesina praised Sudan’s “incredible show of solidarity for increasing its contribution to the Fund and for continuing to honour its financial commitments to the Bank despite facing difficult challenges.”

    The current $8.9 billion three-year financing cycle or the 16th replenishment, which ends in 2025, was the largest ever in the history of the African Development Fund.

    The Bank Group president spoke about the African Development Fund’s impressive record as the largest financier of regional transport infrastructure corridors and regional energy connectivity and power pools across its 37 member countries.

    Adesina said the Fund beneficiaries need “concessional resources more than just grants and that is why our goal is to triple ADF to $25 billion. That is the reason I fought for ADF, from the first day of my leadership of the Bank, to be allowed to go to the capital markets to raise additional resources.”

    “ADF going to capital markets will help generate up to $27 billion additional resources starting from ADF 17th Replenishment,” said Adesina.

    Sudan’s decision to top up its contribution to the African Development Fund comes a fortnight after Benin announced a $2 million pledge to the next replenishment.

    The African Development Bank Group’s Executive Director for The Gambia, Ghana, Liberia, Sierra Leone, and Sudan, Rufus Darkortey termed the increase by Sudan a powerful demonstration of their steadfast commitment to a bigger ADF-17 Replenishment.

    “I commend President Adesina and the leadership of our governors and heads of state for championing the call for a bold $25 billion ADF-17 Replenishment. This unified effort reflects Africa’s determination to lead its transformation,” Dakortey said.

    Last May, Kenya’s President William Ruto pledged $20 million to the Fund.

    MIL OSI Africa –

  • MIL-OSI Asia-Pac: CE leads delegation to visit Shanghai and attend seventh China International Import Expo

    Source: Hong Kong Government special administrative region

    CE leads delegation to visit Shanghai and attend seventh China International Import Expo
    CE leads delegation to visit Shanghai and attend seventh China International Import Expo
    ****************************************************************************************

         The Chief Executive, Mr John Lee, will lead a Hong Kong Special Administrative Region (HKSAR) Government delegation to visit Shanghai on November 4 and will attend the seventh China International Import Expo (CIIE).               Members of the HKSAR Government delegation include the Financial Secretary, Mr Paul Chan; the Secretary for Commerce and Economic Development, Mr Algernon Yau; the Director of the Chief Executive’s Office, Ms Carol Yip; the Permanent Secretary for Financial Services and the Treasury (Financial Services), Ms Salina Yan; and the Permanent Secretary for Commerce and Economic Development, Ms Maggie Wong.           On November 5, Mr Lee will attend the opening ceremony of the CIIE and the Hongqiao International Economic Forum and visit the booths of Hong Kong enterprises at the Hong Kong exhibition area to show support. In addition, the HKSAR Government and the Hong Kong Trade Development Council will hold a high-level event, namely the 2024 Hong Kong Investment Promotion Conference – Shanghai Forum, during the CIIE, where Mr Lee and Mr Chan will deliver speeches to promote Hong Kong’s advantages and its role as a connecting platform under the national dual circulation strategy to Mainland and overseas enterprises.     “The CIIE is an important economic diplomatic event held after the victorious conclusion of the Third Plenary Session of the 20th Central Committee of the Communist Party of China, providing vast business opportunities for Hong Kong enterprises to tap into the domestic market. Hong Kong has always actively participated in and supported the CIIE. In addition to senior government officials attending, over 300 Hong Kong enterprises are taking part in the exposition this year, jointly promoting Hong Kong’s advantages and development opportunities in different areas and telling Hong Kong’s good stories,” Mr Lee said.     During his visit to Shanghai, Mr Lee will meet with leaders of Shanghai to deepen Hong Kong-Shanghai cooperation. He will also exchange views with Hong Kong people and representatives of Hong Kong enterprises in Shanghai.           Mr Lee will return to Hong Kong on November 6. During his absence, the Chief Secretary for Administration, Mr Chan Kwok-ki, will be the Acting Chief Executive. During the absence of Mr Paul Chan, the Deputy Financial Secretary, Mr Michael Wong, will be the Acting Financial Secretary. During the absence of Mr Yau, the Under Secretary for Commerce and Economic Development, Dr Bernard Chan, will be the Acting Secretary for Commerce and Economic Development.

     
    Ends/Tuesday, October 29, 2024Issued at HKT 17:48

    NNNN

    MIL OSI Asia Pacific News –

  • MIL-OSI: Tropo Farms secures $10m from AgDevCo to expand tilapia fish production in Ghana

    Source: GlobeNewswire (MIL-OSI)

    ACCRA, Ghana and LONDON, Oct. 29, 2024 (GLOBE NEWSWIRE) — Specialist agriculture investor AgDevCo has signed a long-term investment with Tropo Farms, the leading tilapia fish producer in West Africa and among the largest in Sub-Saharan Africa. Tropo Farms employs 917 people and supplies fish to the local market through about 3,000 market traders, the majority of whom are women.

    Ghana has one of the highest fish consumption rates in Africa, consuming over 800,000 tonnes per year. This investment will boost the country’s aquaculture industry to satisfy the growing local demand for high quality, affordable fish as a sustainable alternative to wild catch and imports.

    Tropo Farms is a pioneer in African aquaculture. Established by founder Mark Amechi in 1997, Tropo has developed sophisticated aquaculture practices tailored for local conditions.

    AgDevCo’s investment of $10m will finance the construction of a modern processing facility and other production equipment. This will increase the company’s capacity to 30,000 tonnes within five years, contributing to improved nutrition and food security in Ghana.

    Tropo sees opportunities for further aquaculture projects in West Africa, which it plans to pursue with AgDevCo and other strategic co-investors.

    “Investing in Tropo Farms supports production of an important protein source in Ghana, contributes to import substitution and promotes economic growth. Our investment will enhance operational efficiency and sustainable aquaculture practices,” said Kweku Koranteng, AgDevCo’s Investment Director for West Africa.

    “This loan is a major milestone for Tropo Farms. It will expand our logistics and distribution network while bringing more benefits to the communities where we operate. We are pleased to partner with AgDevCo, who brings flexible long-term capital to support our growth, as well as agribusiness expertise,” said Francisco Murillo, Tropo Farms CEO.

    Mark Amechi, founder of Tropo Farms, added: “This agreement will not only enable us to scale our production volume and market share within Ghana but also represents a critical step toward realising our long-held ambitions of expanding further into the underdeveloped West African aquaculture sector.”

    AgDevCo is a specialist investor in African agriculture, growing sustainable and impactful agribusiness, with $280m under management. Their vision is a thriving commercial agriculture sector, which benefits both people and planet by investing in and supporting agribusinesses to grow, create jobs, produce, and process food and link farmers to markets. They support their partners to work towards climate sustainability, and where possible, regenerative solutions. AgDevCo has made more than 65 investments to date.

    Contact details for media:

    Kweku Koranteng, info@agdevco.com

    A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/9d3424eb-7995-475e-9db9-9c4d9e33964c

    The MIL Network –

  • MIL-OSI Europe: Euro area economic and financial developments by institutional sector: second quarter of 2024

    Source: European Central Bank

    29 October 2024

    • As of October 2024, ECB quarterly financial accounts provide more details on loans by counterpart sector granted by other financial institutions (OFIs) and information on debt securities issuance of non-financial corporations (NFCs) via financing conduits. OFIs are creditors of 23% of loans granted to NFCs by financial sector
    • Euro area net saving increased to €795 billion in four quarters to second quarter of 2024, compared with €787 billion one quarter earlier
    • Household debt-to-income ratio decreased to 83.4% in second quarter of 2024 from 87.8% one year earlier
    • NFCs’ debt-to-GDP ratio (consolidated measure) decreased to 69.3% in second quarter of 2024 from 71.8% one year earlier

    New details on other financial institutions and the financing of other sectors

    As of October 2024, the quarterly sector accounts published by the ECB provide more detailed financial accounts data on OFIs, which constitute the second largest financial sector in the euro area after monetary financial institutions (MFIs).[1] OFIs mainly provide financing to NFCs and to a lesser extent to households and other sectors. They also channel funds to and from the rest of the world.

    This new release provides counterpart sector data, such as loans granted by the OFI subsectors to NFCs (Chart 1). The release also includes new data on euro area NFC financing conduits which are captive financial institutions that raise funds by issuing debt securities to be used by their parent corporation.[2]

    Chart 1

    Loans to NFCs by financial subsector

    (outstanding amounts at the of end of the second quarter of 2024, as percentages of financial sector loans to NFCs)

    Source: ECB.

    * Loans from NFC financing conduits to NFCs are estimated based on the financing conduits’ issuance of debt securities.

    Total euro area economy

    Euro area net saving increased to €795 billion (6.7% of euro area net disposable income) in the four quarters to the second quarter of 2024, compared with €787 billion in the four quarters to the previous quarter. Euro area net non-financial investment decreased to €440 billion (3.7% of net disposable income), mainly due to decreased investment by NFCs (Chart 2 and Table 1 in the Annex).

    Euro area net lending to the rest of the world increased to €388 billion (from €336 billion previously) reflecting the increased net saving and decreased net non-financial investment. Household net lending increased to €549 billion (4.6% of net disposable income) from €501 billion. Net lending of NFCs (€233 billion, 2.0% of net disposable income) and that of financial corporations (€124 billion, 1.0% of net disposable income) were broadly unchanged. Government net borrowing stood broadly unchanged at €517 billion, contributing negatively (-4.3% of net disposable income) to euro area net lending.

    Chart 2

    Euro area saving, investment and net lending to the rest of the world

    (EUR billions, four-quarter sums)

    Sources: ECB and Eurostat.

    * Net saving minus net capital transfers to the rest of the world (equals change in net worth due to transactions).

    Data for euro area saving, investment and net lending to the rest of the world (Chart 2)

    Households

    Household financial investment increased at a higher annual rate of 2.3% in the second quarter of 2024 (after 2.0% in the previous quarter). Among its components, investment in currency and deposits (2.3%, after 1.6%) and investment in shares and other equity (0.8%, after 0.4%) grew at higher rates due to investment fund shares, while investment in debt securities increased at a lower rate (27.9%, after 38.5%).

    Households continued to directly buy, in net terms, mainly debt securities issued by general government and MFIs. Households were overall net sellers of listed shares, selling predominantly listed shares of non-financial corporations, while buying listed shares issued by the rest of the world (i.e. shares issued by non-euro area residents) and MFIs (Table 1 below and Table 2.2 in the Annex).

    The household debt-to-income ratio[3] decreased to 83.4% in the second quarter of 2024 from 87.8% in the second quarter of 2023. The household debt-to-GDP ratio declined, to 52.2% in the second quarter of 2024 from 54.4% in the second quarter of 2023 (Chart 3).

    Table 1

    Financial investment and financing of households, main items

    (annual growth rates)

    Financial transactions

    2023 Q2

    2023 Q3

    2023 Q4

    2024 Q1

    2024 Q2

    Financial investment*

    2.0

    1.8

    1.9

    2.0

    2.3

    Currency and deposits

    1.3

    0.3

    0.8

    1.6

    2.3

    Debt securities

    48.6

    56.9

    54.3

    38.5

    27.9

    Shares and other equity**

    1.3

    1.1

    0.4

    0.4

    0.8

    Life insurance

    -0.2

    -0.7

    -0.6

    -0.2

    0.0

    Pension schemes

    2.4

    2.4

    2.2

    2.3

    2.3

    Financing***

    2.4

    1.6

    0.9

    1.1

    1.4

    Loans

    1.8

    1.0

    0.5

    0.6

    0.6

    Source: ECB.

    * Items not shown include: loans granted, prepayments of insurance premiums and reserves for outstanding claims and other accounts receivable.

    ** Includes investment fund shares.

    *** Items not shown include: financial derivatives’ net liabilities, pension schemes and other accounts payable.

    Data for financial investment and financing of households (Table 1)

    Chart 3

    Debt ratios of households and NFCs

    (percentages of GDP)

    Sources: ECB and Eurostat.

    * Outstanding amount of loans, debt securities, trade credits and pension scheme liabilities.
    ** Outstanding amount of loans and debt securities, excluding debt positions between NFCs
    *** Outstanding amount of loan liabilities.

    Data for debt ratios of households and NFCs (Chart 3)

    Non-financial corporations

    Financing of NFCs increased at a higher annual rate of 1.0% in the second quarter of 2024 (after 0.8% in the previous quarter), as financing via debt securities (2.9% after 1.9%), shares and other equity (0.8% after 0.4%) and trade credits (1.8% after 0.6%) all grew at higher rates, while loan financing increased at a broadly unchanged rate (1.3%). Loans granted by other NFCs increased at a broadly unchanged rate (3.7%), while loans granted by MFIs grew at a higher rate (1.3% after 1.1%). Loans granted by the OFI subsector captive financial institutions (-2.9% after 0.5%) and the rest of the world (-2.2% after -2.7) decreased (Table 2 below and Table 3.2 in the Annex).

    NFCs’ debt-to-GDP ratio (consolidated measure) decreased to 69.3% in the second quarter of 2024, from 71.8% in the second quarter of 2023; the non-consolidated, wider debt measure decreased to 134.4% from 137.6% (Chart 3).

    Table 2

    Financing and financial investment of NFCs, main items

    (annual growth rates)

    Financial transactions

    2023 Q2

    2023 Q3

    2023 Q4

    2024 Q1

    2024 Q2

    Financing*

    1.7

    1.2

    0.8

    0.8

    1.0

    Debt securities

    0.7

    1.5

    1.3

    1.9

    2.9

    Loans

    3.8

    1.9

    1.7

    1.4

    1.3

    Shares and other equity

    -0.0

    0.4

    0.3

    0.4

    0.8

    Trade credits and advances

    5.2

    2.2

    1.2

    0.6

    1.8

    Financial investment**

    2.9

    2.4

    1.8

    1.9

    2.1

    Currency and deposits

    -0.6

    -1.2

    -1.2

    0.5

    2.9

    Debt securities

    23.3

    27.9

    23.0

    10.6

    7.8

    Loans

    5.9

    5.2

    5.1

    4.4

    4.5

    Shares and other equity

    1.2

    1.2

    1.0

    1.4

    1.3

    Source: ECB.

    * Items not shown include: pension schemes, other accounts payable, financial derivatives’ net liabilities and deposits.

    ** Items not shown include: other accounts receivable and prepayments of insurance premiums and reserves for outstanding claims.

    Data for financing and financial investment of NFCs (Table 2)

    For queries, please use the statistical information request form.

    Notes

    • These data come from a second release of quarterly euro area sector accounts for the second quarter of 2024 from the ECB and Eurostat, the statistical office of the European Union. This release incorporates revisions and completed data for all sectors compared with the first release on “Euro area households and non-financial corporations” of 4 October 2024. The non-financial accounts are revised from the first quarter of 1999, and the financial accounts from the first quarter of 2013, reflecting in both cases also the impact of the benchmark revision 2024 implemented in the EU. For further information see the related Eurostat webpage.
    • The euro area and national financial accounts data of NFCs and households are available in an interactive dashboard.
    • The debt-to-GDP (or debt-to-income) ratios are calculated as the outstanding amount of debt in the reference quarter divided by the sum of GDP (or income) in the four quarters to the reference quarter. The ratio of non-financial transactions (e.g. savings) as a percentage of income or GDP is calculated as the sum of the four quarters to the reference quarter for both numerator and denominator.
    • The annual growth rate of non-financial transactions and of outstanding assets and liabilities (stocks) is calculated as the percentage change between the value for a given quarter and that value recorded four quarters earlier. The annual growth rates used for financial transactions refer to the total value of transactions during the year in relation to the outstanding stock a year before.
    • Hyperlinks in the main body of the statistical release lead to data that may change with subsequent releases as a result of revisions. Figures shown in annex tables are a snapshot of the data as at the time of the current release.
    • The ECB publishes experimental Distributional Wealth Accounts (DWA) for the household sector. The release of results for the second quarter of 2024 is planned for 29 November 2024 (tentative date).

    MIL OSI Europe News –

  • MIL-OSI Australia: Introduction of the Anti-Money Laundering and Counter-Terrorism Financing Amendment Bill 2024

    Source: Australian Executive Government Ministers

    The Albanese Government is today taking a critical step to strengthen Australia’s protections against money laundering and counter-terrorism financing, and tackling a key resource stream for organised crime.

    Each year billions of dollars are generated from illegal activities such as drug trafficking, tax evasion, cybercrime, human trafficking and arms trafficking. The proceeds from these crimes are used to fund further serious crimes such as terrorism and child abuse.

    In 2015, the Financial Action Task Force (FATF), the global financial watchdog, found that Australia had failed to comply with a number of critical standards. In particular, Australia had failed to extend our anti-money laundering and counter-terrorism financing regime to ‘tranche-two’ entities including lawyers, accountants and real estate agents.

    Despite these clear warnings that our economy was at risk of being exploited by criminal gangs and terrorists, the former government failed to do anything of substance for nearly a decade, leaving Australia dangerously vulnerable.

    The Albanese Government’s Anti-Money Laundering and Counter-Terrorism Financing Amendment Bill 2024 introduces significant, long overdue reforms to Australia’s anti-money laundering and counter-terrorism financing (AML/CTF) regime.

    The Bill will close a significant regulatory gap in Australia by expanding the regime to address vulnerabilities within ‘tranche-two’ entities, including lawyers, accountants, real estate professionals and dealers in precious stones and metals. AUSTRAC’s recent Money Laundering National Risk Assessment noted criminals are increasingly exploiting these sectors to conceal illicit wealth and launder money.

    The Bill will also help bring Australia into line with international standards set by the Financial Action Task Force (FATF). Australia is now one of only five jurisdictions out of more than 200 that do not regulate these tranche-two entities or ‘gatekeeper’ professions. It means Australia is at serious risk of being ‘grey-listed’ by the FATF, which would not only be damaging to our international reputation but could result in significant economic harm to Australians and businesses.

    The Government is taking the opportunity to simplify, clarify and streamline the AML/CTF regime. This will reduce the regulatory burden on businesses and make it easier to understand and implement effective measures to combat financial crime. The reforms will allow businesses to take a risk-based approach, allowing industry to prioritise their resources. The reforms will also lead to better quality financial data and make it easier for businesses to protect themselves from misuse by criminals.

    The Government thanks the representatives of ‘tranche two’ entities who engaged constructively in consultations on this Bill.

    The Bill will modernise Australia’s AML/CTF system to ensure it keeps pace with our global financial system – closing the gaps that increasingly sophisticated and professional criminal organisations can exploit. This includes extending the current regulation of virtual asset service providers, that are exploited by serious and organised crime groups to launder the profits of their crimes and hide the origin of funds.

    The Albanese Government is taking up the fight against money laundering and terrorism financing in Australia. The Government looks forward to all members of the Australian Parliament joining us in supporting the passage of this Bill.

    MIL OSI News –

  • MIL-OSI: CECO Environmental to Acquire Profire Energy for $125 Million

    Source: GlobeNewswire (MIL-OSI)

    • Expands CECO’s leadership position in niche energy and industrial markets with expanded environmental solutions for mission critical applications
    • Provides cost synergies and enhances Profire’s strategic growth by utilizing CECO’s established international operations and customer relationships
    • CECO to host its Quarterly Earnings call today at 8:30 a.m. ET including further commentary regarding the transaction

    DALLAS and LINDON, Utah, Oct. 29, 2024 (GLOBE NEWSWIRE) — CECO Environmental Corp. (Nasdaq: CECO) (“CECO”), a leading environmentally focused, diversified industrial company whose solutions protect people, the environment and industrial equipment, and Profire Energy, Inc. (NASDAQ: PFIE) (“Profire”), a technology company providing solutions that enhance the efficiency, safety, and reliability of industrial combustion appliances, today announced a definitive agreement where CECO will acquire Profire, in an all-cash transaction.

    Profire is a leader in burner management technology and combustion control systems that provide mission-critical combustion automation and control solutions and services to improve environmental efficiency, safety and reliability for industrial thermal applications globally. Profire estimates its 2024 sales to be greater than $60 million with adjusted EBITDA margins of approximately 20 percent.​

    “I am excited to announce the acquisition of Profire and we look forward to welcoming their tremendous organization to our portfolio of leading solution companies,” said Todd Gleason, CECO’s Chief Executive Officer. “With an installed base approaching 100,000 burner management systems and a growing industrial market product offering, we look forward to accelerating their global market expansion and introducing their high-efficiency solutions to more customers in industrial air and water. We are also confident that the increased scale and combined corporate organizations will generate meaningful efficiencies and synergies. The addition of Profire is another important step in our ongoing execution of programmatic M&A and we expect it will further advance our position as the leading environmental solutions provider in industrial markets.”

    “We are extremely pleased to announce this transaction with CECO which is a testament to the value that has been created for Profire employees, customers and shareholders,” said Cameron Tidball and Ryan Oviatt, co-CEOs of Profire. “The combination of our well-established leadership in niche energy and industrial mission critical applications with CECO’s proven track record of acquiring and investing in companies to enhance their growth and create scale will unlock even more value for all constituents.”

    Transaction Details and Timing

    Under the terms of the agreement, a subsidiary of CECO (“Merger Sub”) will commence a tender offer to acquire all issued and outstanding shares of Profire common stock at a price of $2.55 per share, in cash, without interest and subject to applicable withholding tax.  The tender offer will initially remain open for 20 business days from the date of commencement of the tender offer, subject to extension under certain circumstances. The transaction, which has been unanimously approved by Profire’s Board of Directors, implies an equity value of approximately $125 million and a total enterprise value for Profire of approximately $108 million.

    The tender offer is subject to customary closing conditions, including that at least a majority of the outstanding shares of Profire’s common stock are tendered and not withdrawn in the tender offer and the expiration of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976.

    The price represents a 46.5% premium over Profire’s closing share price of $1.74 on October 25, 2024 and a premium of 60.3% to Profire’s 30-day volume weighted average share price on October 25, 2024. 
    Following a successful completion of the tender offer, including the satisfaction of certain customary conditions, CECO will acquire all remaining untendered shares of Profire common stock at the same price of $2.55 per share in cash through a merger of Merger Sub with Profire, with Profire continuing as the surviving corporation.

    Upon completion of the transaction, Profire will become a wholly-owned subsidiary of CECO and shares of Profire’s common stock will no longer be listed on any public market. The parties anticipate that the combination will be completed in the first quarter of 2025.  

    Advisors

    Stephens Inc. is serving as financial advisor and Mayer Brown LLP is serving as legal counsel to Profire.
    CECO Environmental Corp. is being advised by Foley & Lardner LLP (Legal), and KPMG (tax).

    ABOUT CECO ENVIRONMENTAL
    CECO Environmental is a leading environmentally focused, diversified industrial company, serving a broad landscape of industrial air, industrial water, and energy transition markets across the globe through its key business segments: Engineered Systems and Industrial Process Solutions. Providing innovative technology and application expertise, CECO helps companies grow their business with safe, clean, and more efficient solutions that help protect people, the environment and industrial equipment. In regions around the world, CECO works to improve air quality, optimize the energy value chain, and provide custom solutions for applications including power generation, petrochemical processing, general industrial, refining, midstream oil and gas, electric vehicle production, polysilicon fabrication, battery recycling, beverage can, and water/wastewater treatment along with a wide range of other applications. CECO is listed on Nasdaq under the ticker symbol “CECO.” Incorporated in 1966, CECO’s global headquarters is in Dallas, Texas. For more information, please visit www.cecoenviro.com.

    ABOUT PROFIRE ENERGY, INC.
    Profire Energy is a technology company providing solutions that enhance the efficiency, safety, and reliability of industrial combustion appliances while mitigating potential environmental impacts related to the operation of these devices. It is primarily focused in the upstream, midstream, and downstream transmission segments of the oil and gas industry. However, in recent years, Profire has completed many installations of burner-management solutions in other industries that will be applicable to expand the addressable market over time. Profire specializes in the engineering and design of burner and combustion management systems and solutions used on a variety of natural and forced draft applications. Its products and services are sold primarily throughout North America. It has an experienced team of sales and service professionals that are strategically positioned across the United States and Canada. Profire has offices in Lindon, Utah; Victoria, Texas; Midland-Odessa, Texas; Homer, Pennsylvania; Greeley, Colorado; Millersburg, Ohio; and Acheson, Alberta, Canada. For additional information, visit www.profireenergy.com.

    SAFE HARBOR STATEMENT
    Any statements contained in this Press Release, other than statements of historical fact, including statements about management’s beliefs and expectations, are forward-looking statements and should be evaluated as such. These statements are made on the basis of management’s views and assumptions regarding future events and business performance and include, but are not limited to, statements regarding CECO’s full year 2024 outlook, statements about CECO’s expectations regarding the integration of Profire Energy, Inc., into CECO; the benefits of the acquisition of Profire Energy, Inc., and the expectations regarding the transaction’s impact on CECO’s strategic growth plan. We use words such as “believe,” “expect,” “anticipate,” “intends,” “estimate,” “forecast,” “project,” “will,” “plan,” “should” and similar expressions to identify forward-looking statements. Forward-looking statements involve risks and uncertainties that may cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements. Potential risks and uncertainties that could cause actual results to differ materially include risks regarding the parties’ ability to complete the proposed transactions in the anticipated timeframe or at all, the occurrence of any event, change or other circumstance that could give rise to the termination of the transaction agreement between the parties, the effect of the announcement or pendency of the proposed transaction on business relationships, operating results, and business generally, disruption of current plans and operations and potential difficulties in employee retention as a result of the proposed transaction, diversion of management’s attention from ongoing business operations, the outcome of any legal proceedings that may be instituted related to the proposed transaction, the amount of the costs, fees, expenses and other charges related to the proposed transaction, the risk that competing offers or acquisition proposals will be made, the achievement of the anticipated benefits of the acquisition, the ability of Profire to achieve its 2024 earnings guidance, our ability to successfully integrate acquired businesses and realize the synergies from acquisitions, as well as a number of factors related to our business, including the sensitivity of our business to economic and financial market conditions generally and economic conditions in our service areas; dependence on fixed price contracts and the risks associated therewith, including actual costs exceeding estimates and method of accounting for revenue; the effect of growth on our infrastructure, resources, and existing sales; the ability to expand operations in both new and existing markets; the potential for contract delay or cancellation as a result of on-going or worsening supply chain challenges; liabilities arising from faulty services or products that could result in significant professional or product liability, warranty, or other claims; changes in or developments with respect to any litigation or investigation; failure to meet timely completion or performance standards that could result in higher cost and reduced profits or, in some cases, losses on projects; the potential for fluctuations in prices for manufactured components and raw materials, including as a result of tariffs and surcharges, and rising energy costs; inflationary pressures relating to rising raw material costs and the cost of labor; the substantial amount of debt incurred in connection with our strategic transactions and our ability to repay or refinance it or incur additional debt in the future; the impact of federal, state or local government regulations; our ability to repurchase shares of our common stock and the amounts and timing of repurchases, if any; our ability to successfully realize the expected benefits of our restructuring program; our ability to successfully integrate acquired businesses and realize the synergies from strategic transactions; the unpredictability and severity of catastrophic events, including cyber security threats, acts of terrorism or outbreak of war or hostilities or public health crises, as well as management’s response to any of the aforementioned factors; and our ability to remediate our material weakness, or any other material weakness that we may identify in the future that could result in material misstatements in our financial statements. Additional risks and uncertainties are discussed under “Part I – Item 1A. Risk Factors” of CECO’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023 and may be included in subsequently filed Quarterly Reports on Form 10-Q. Many of these risks are beyond management’s ability to control or predict. Should one or more of these risks or uncertainties materialize, or should the assumptions prove incorrect, actual results may vary in material aspects from those currently anticipated. Investors are cautioned not to place undue reliance on such forward-looking statements as they speak only to our views as of the date the statement is made. Except as required under the federal securities laws or the rules and regulations of the Securities and Exchange Commission, we undertake no obligation to update or review any forward-looking statements, whether as a result of new information, future events or otherwise.

    Additional Information about the Transaction and Where to Find It

    The tender offer has not yet commenced. This communication is neither an offer to buy nor a solicitation of an offer to sell any securities of Profire Energy, Inc., nor is it a recommendation by Profire Energy, Inc., its management or board of directors that any investors sell or otherwise tender any securities of Profire Energy, Inc. in connection with the transactions described elsewhere in this communication. The solicitation and the offer to buy shares of Profire Energy, Inc.’s common stock will only be made pursuant to a tender offer statement on Schedule TO, including an offer to purchase, a letter of transmittal and other related materials that a subsidiary of CECO Environmental Corp. intends to file with the SEC. In addition, Profire Energy, Inc. will file with the SEC a Recommendation Statement on Schedule 14D-9 with respect to the tender offer. Once filed, investors will be able to obtain the tender statement on Schedule TO, the offer to purchase, the Recommendation Statement of Profire Energy, Inc. on Schedule 14D-9 and related materials filed with the SEC with respect to the tender offer and the merger, free of charge at the website of the SEC at www.sec.gov or from the information agent named in the tender offer materials. Investors are advised to read these documents when they become available, including the Recommendation Statement of Profire Energy, Inc. and any amendments thereto, as well as any other documents relating to the tender offer and the merger that are filed with the SEC, carefully and in their entirety prior to making any decisions with respect to whether to tender their shares in the tender offer because such documents contain important information, including the terms and conditions of the tender offer.

    CECO Company Contact:
    Peter Johansson
    Chief Financial and Strategy Officer
    888-990-6670

    PFIE Company Contact:
    Ryan Oviatt
    Co-CEO & CFO
    (801) 796-5127

    Investor Relations Contact:
    Steven Hooser
    Three Part Advisors
    214-872-2710
    Investor.Relations@OneCECO.com

    The MIL Network –

  • MIL-OSI: UP Fintech Announces Full Exercise of Over-Allotment Option in Follow-on Public Offering of American Depositary Shares

    Source: GlobeNewswire (MIL-OSI)

    SINGAPORE, Oct. 29, 2024 (GLOBE NEWSWIRE) — UP Fintech Holding Limited (Nasdaq: TIGR) (“UP Fintech” or the “Company”), a leading online brokerage firm focusing on global investors, today announced that the underwriters of the Company’s follow-on public offering have fully exercised their option to purchase an aggregate of 2,250,000 additional American Depositary Shares (“ADSs”), each representing 15 Class A ordinary shares of the Company, from the Company at the public offering price of US$6.25 per ADS.

    Deutsche Bank AG, Hong Kong Branch, China International Capital Corporation Hong Kong Securities Limited and US Tiger Securities, Inc. acted as the joint bookrunners for the ADS offering.

    The ADS offering has been made pursuant to an automatic shelf registration statement on Form F-3 filed with the United States Securities and Exchange Commission (the “SEC”) and is available on the SEC’s website at http://www.sec.gov. The ADS offering has been made only by means of a prospectus supplement and an accompanying prospectus included in the Form F-3. The Form F-3 and the prospectus supplement are available on the SEC’s website at http://www.sec.gov.  The final prospectus supplement has been filed with the SEC and is available on the SEC’s website at: http://www.sec.gov. Copies of the final prospectus supplement and the accompanying prospectus may be obtained by contacting Deutsche Bank AG, Hong Kong Branch, Level 60, International Commerce Centre, 1 Austin Road West, Kowloon, Hong Kong; China International Capital Corporation Hong Kong Securities Limited 29/F, One International Finance Centre, 1 Harbour View Street, Central, Hong Kong; or, US Tiger Securities, Inc., 437 Madison Avenue, 27th Floor, New York, NY 10022, United States of America.

    This announcement shall not constitute an offer to sell, or a solicitation of an offer to buy, the securities described herein, nor shall there be any offer, solicitation or sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

    About UP Fintech Holding Limited

    UP Fintech Holding Limited is a leading online brokerage firm focusing on global investors. The Company’s proprietary mobile and online trading platform enables investors to trade in equities and other financial instruments on multiple exchanges around the world. The Company offers innovative products and services as well as a superior user experience to customers through its “mobile first” strategy, which enables it to better serve and retain current customers as well as attract new ones. The Company offers customers comprehensive brokerage and value-added services, including trade order placement and execution, margin financing, IPO subscription, ESOP management, investor education, community discussion and customer support. The Company’s proprietary infrastructure and advanced technology are able to support trades across multiple currencies, multiple markets, multiple products, multiple execution venues and multiple clearinghouses.

    For more information on the Company, please visit: https://ir.itigerup.com.

    Safe Harbor Statement

    This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “may,” “might,” “aim,” “likely to,” “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates” and similar statements or expressions. Among other statements, the business outlook and quotations from management in this announcement, the Company’s strategic and operational plans and expectations regarding growth and expansion of its business lines, and the Company’s plans for future financing of its business contain forward-looking statements. The Company may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (“SEC”) on Forms 20−F and 6−K, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties, including the earnings conference call. Statements that are not historical facts, including statements about the Company’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: the Company’s ability to effectively implement its growth strategies; trends and competition in global financial markets; changes in the Company’s revenues and certain cost or expense accounting policies; and governmental policies and regulations affecting the Company’s industry and general economic conditions in China, Singapore and other countries. Further information regarding these and other risks is included in the Company’s filings with the SEC, including the Company’s annual report on Form 20-F filed with the SEC on April 22, 2024. All information provided in this press release and in the attachments is as of the date of this press release, and the Company undertakes no obligation to update any forward-looking statement, except as required under applicable law. Further information regarding these and other risks is included in the Company’s filings with the SEC.

    For investor and media inquiries please contact:

    Investor Relations Contact
    UP Fintech Holding Limited
    Email: ir@itiger.com

    The MIL Network –

  • MIL-OSI: Check Point Software Reports 2024 Third Quarter Financial Results

    Source: GlobeNewswire (MIL-OSI)

    REDWOOD CITY, Calif., Oct. 29, 2024 (GLOBE NEWSWIRE) — Check Point® Software Technologies Ltd. (NASDAQ: CHKP), today announced its financial results for the third quarter ended September 30, 2024.

    Third Quarter 2024:

    • Total Revenues: $635 million, a 7 percent increase year over year
    • Security Subscriptions Revenues: $277 million, a 12 percent increase year over year
    • GAAP Operating Income: $218 million, representing 34 percent of revenues
    • Non-GAAP Operating Income: $274 million, representing 43 percent of revenues
    • GAAP EPS: $1.83, a 4 percent increase year over year
    • Non-GAAP EPS: $2.25, a 9 percent increase year over year

    “Check Point delivered great third quarter financial results that were bolstered by double-digit Infinity Platform growth. This success is underscored by double-digit revenue growth in Harmony Email and Infinity Global Services,” said Gil Shwed, Check Point founder and CEO. “We expanded our offerings into the Security Operation Center (SOC) market with the Cyberint acquisition that delivers proactive, AI powered threat intelligence and exposure management. We’re looking forward to continued success with our Infinity Platform and the broader adoption of our technologies as we close out the year.”

    Financial Highlights for the Third Quarter of 2024:

    • Total Revenues: $635 million compared to $596 million in the third quarter of 2023, a 7 percent increase year over year.
    • GAAP Operating Income: $218 million compared to $226 million in the third quarter of 2023, representing 34 percent and 38 percent of total revenues in the third quarter of 2024 and 2023, respectively.
    • Non-GAAP Operating Income: $274 million compared to $269 million in the third quarter of 2023, representing 43 percent and 45 percent of total revenues in the third quarter of 2024 and 2023, respectively
    • GAAP Taxes on Income: $37 million compared to $39 million in the third quarter of 2023.
    • GAAP Net Income: $207 million compared to $205 million in the third quarter of 2023.
    • Non-GAAP Net Income: $255 million compared to $242 million in the third quarter of 2023.
    • GAAP Earnings per Diluted share: $1.83 compared to $1.75 in the third quarter of 2023, a 4 percent increase year over year.
    • Non-GAAP Earnings per Diluted share: $2.25 compared to $2.07 in the third quarter of 2023, a 9 percent increase year over year.
    • Deferred Revenues: As of September 30, 2024, deferred revenues were $1,745 million compared to $1,709 million as of September 30, 2023, a 2 percent increase year over year.
    • Cash Balances, Marketable Securities and Short-Term Deposits: $2,873 million as of September 30, 2024, compared to $2,989 million as of September 30, 2023.
    • Cash Flow: During the quarter we acquired Cyberint Ltd, a pioneering provider of External Risk Management solutions, for $186 million net cash consideration. Cash flow from operations was $249 million, and acquisition-related costs for the current quarter were insignificant. This compares to $222 million in the third quarter of 2023, which included $22 million in costs related to acquisitions.
    • Share Repurchase Program: During the third quarter of 2024, we repurchased approximately 1.79 million shares at a total cost of approximately $325 million.

    For information regarding the non-GAAP financial measures discussed in this release, as well as a reconciliation of such non-GAAP financial measures to the most directly comparable GAAP financial measures, please see “Use of Non-GAAP Financial Information” and “Reconciliation of GAAP to Non-GAAP Financial Information.”

    Video Conference Information
    Check Point will host a video conference with the investment community on October 29, 2024, at 8:30 AM ET/5:30 AM PT. To listen to the live video cast or replay, please visit the website: www.checkpoint.com/ir.

    Fourth Quarter Investor Conference Participation Schedule:    

    • Morgan Stanley 23rdAnnual Asia Pacific Summit
      November 20-21, 2024, Singapore
    • 2024 UBS Global Technology Conference
      December 2-3, 2024, Scottsdale, AZ – 1×1’s
    • Wells Fargo TMT Summit
      December 4, 2024, Rancho Palos Verdes, CA – 1×1’s
    • FBN Virtual Silicon Valley Tech Tour
      December 6, 2024, Virtual
    • Nasdaq 50thInvestor Conference
      December 10, 2024, London, UK

    Members of Check Point’s management team anticipate attending these conferences and events to discuss the latest company strategies and initiatives. Check Point’s conference presentations, if applicable, will be available via webcast on the company’s web site. To hear these presentations and access the most updated information please visit the company’s web site at www.checkpoint.com/ir. The schedule is subject to change.

    To follow this and other Check Point news visit:

    About Check Point Software Technologies Ltd.
    Check Point Software Technologies Ltd. (www.checkpoint.com) is a leading AI-powered, cloud-delivered cyber security platform provider protecting over 100,000 organizations worldwide. Check Point leverages the power of AI everywhere to enhance cyber security efficiency and accuracy through its Infinity Platform, with industry-leading catch rates enabling proactive threat anticipation and smarter, faster response times. The comprehensive platform includes cloud-delivered technologies consisting of Check Point Harmony to secure the workspace, Check Point CloudGuard to secure the cloud, Check Point Quantum to secure the network, and Check Point Infinity Core Services for collaborative security operations and services.

    Legal Notice Regarding Forward-Looking Statements
    This press release contains forward-looking statements. Forward-looking statements generally relate to future events or our future financial or operating performance. Forward-looking statements in this press release include, but are not limited to, statements related to our expectations regarding our products and solutions, and our participation in investor conferences and events during the fourth quarter of 2024. Our expectations and beliefs regarding these matters may not materialize, and actual results or events in the future are subject to risks and uncertainties that could cause actual results or events to differ materially from those projected. These risks include our ability to continue to develop platform capabilities and solutions; customer acceptance and purchase of our existing solutions and new solutions; the market for IT security continuing to develop; competition from other products and services; the appointment of our new CEO, the transition of our CEO into the role of Executive Chairman; and general market, political, economic, and business conditions, including acts of terrorism or war. The forward-looking statements contained in this press release are also subject to other risks and uncertainties, including those more fully described in our filings with the Securities and Exchange Commission, including our Annual Report on Form 20-F filed with the Securities and Exchange Commission on April 2, 2024. The forward-looking statements in this press release are based on information available to Check Point as of the date hereof, and Check Point disclaims any obligation to update any forward-looking statements, except as required by law.

    Use of Non-GAAP Financial Information
    In addition to reporting financial results in accordance with generally accepted accounting principles, or GAAP, Check Point uses non-GAAP measures of operating income, net income, and earnings per diluted share, which are adjustments from results based on GAAP to exclude, as applicable, stock-based compensation expenses, amortization of intangible assets and acquisition related expenses and the related tax affects. Check Point’s management believes the non-GAAP financial information provided in this release is useful to investors’ understanding and assessment of Check Point’s ongoing core operations and prospects for the future. Historically, Check Point has also publicly presented these supplemental non-GAAP financial measures to assist the investment community in visualizing the Company “through the eyes of management,” and thereby enhance understanding of its operating performance. The presentation of this non-GAAP financial information is not intended to be considered in isolation or as a substitute for results prepared in accordance with GAAP. A reconciliation of the non-GAAP financial measures discussed in this press release to the most directly comparable GAAP financial measures is included with the financial statements contained in this press release. Management uses both GAAP and non-GAAP information in evaluating and operating the business internally and has determined that it is important to provide this information to investors.

    CHECK POINT SOFTWARE TECHNOLOGIES LTD.
    CONSOLIDATED STATEMENT OF INCOME

    (Unaudited, in millions, except per share amounts)
      Three Months Ended   Nine Months Ended
      September 30,   September 30,
        2024     2023     2024     2023
    Revenues:                              
    Products and licenses $ 118.9   $ 114.2   $ 337.3   $ 339.1
    Security subscriptions   276.9     248.3     812.0     715.4
    Total revenues from products and security subscriptions   395.8     362.5     1,149.3     1,054.5
    Software updates and maintenance   239.3     233.8     712.0     696.7
    Total revenues   635.1     596.3     1,861.3     1,751.2
                   
    Operating expenses:              
    Cost of products and licenses   24.3     22.5     68.2     71.3
    Cost of security subscriptions   19.6     13.9     52.9     39.8
    Total cost of products and security subscriptions   43.9     36.4     121.1     111.1
    Cost of Software updates and
    Maintenance    		   30.2     27.7     90.5     81.8
    Amortization of technology   5.8     3.0     17.4     8.2
    Total cost of revenues   79.9     67.1     229.0     201.1
                    
    Research and development   97.5     90.0     293.8     268.9
    Selling and marketing   208.9     183.3     630.8     546.6
    General and administrative   30.3     29.8     86.0     87.3
    Total operating expenses   416.6     370.2     1,239.6     1,103.9
                   
    Operating income   218.5     226.1     621.7     647.3
    Financial income, net   25.3     17.7     71.6     58.1
    Income before taxes on income   243.8     243.8     693.3     705.4
    Taxes on income   36.9     38.8     105.1     114.3
    Net income $ 206.9   $ 205.0   $ 588.2   $ 591.1
     

    Basic earnings per share

    		  

    $

    		  

    1.87

    		    

    $

    		  

    1.77

    		    

    $

    		  

    5.28

    		    

    $

    		  

    5.01
    Number of shares used in computing basic earnings per share   110.5     116.0     111.4     117.9
    Diluted earnings per share $ 1.83   $ 1.75   $ 5.16   $  4.96
    Number of shares used in computing diluted earnings per share    113.4     117.3     114.1     119.2
    CHECK POINT SOFTWARE TECHNOLOGIES LTD.
    SELECTED FINANCIAL METRICS
    (Unaudited, in millions, except per share amounts)
      Three Months Ended   Nine Months Ended
      September 30,   September 30,
        2024     2023     2024     2023
                   
    Revenues $ 635.1   $ 596.3   $ 1,861.3   $ 1,751.2
    Non-GAAP operating income   274.0     269.0     791.1     770.5
    Non-GAAP net income   255.4     242.4     735.9     698.6
    Diluted Non-GAAP Earnings per share $ 2.25   $ 2.07   $ 6.45   $ 5.86
    Number of shares used in computing diluted Non-GAAP earnings per share   113.4     117.3     114.1     119.2
    CHECK POINT SOFTWARE TECHNOLOGIES LTD.

    RECONCILIATION OF GAAP TO NON GAAP FINANCIAL INFORMATION

    (Unaudited, in millions, except per share amounts)
      Three Months Ended   Nine Months Ended
      September 30,   September 30,
        2024       2023       2024       2023  
                   
    GAAP operating income $ 218.5     $ 226.1     $ 621.7     $ 647.3  
    Stock-based compensation (1)   39.0                 36.5       119.9       105.4  
    Amortization of intangible assets and acquisition related expenses (2)   16.5       6.4       49.5       17.8  
    Non-GAAP operating income $ 274.0     $ 269.0     $ 791.1     $ 770.5  
                   
    GAAP net income $ 206.9     $ 205.0     $ 588.2     $ 591.1  
    Stock-based compensation (1)   39.0                       36.5       119.9                105.4  
    Amortization of intangible assets and acquisition related expenses (2)   16.5       6.4       49.5                   17.8  
    Taxes on the above items (3)   (7.0 )     (5.5 )     (21.7 )     (15.7 )
    Non-GAAP net income $ 255.4     $ 242.4     $ 735.9     $ 698.6  
                   
    Diluted GAAP Earnings per share $ 1.83     $ 1.75     $ 5.16     $ 4.96  
    Stock-based compensation (1)   0.34       0.31       1.04       0.88  
    Amortization of intangible assets and acquisition related expenses (2)   0.14       0.06       0.44       0.15  
    Taxes on the above items (3)   (0.06 )     (0.05 )     (0.19 )     (0.13 )
    Diluted Non-GAAP Earnings per share $ 2.25     $ 2.07     $ 6.45     $ 5.86  
                   
    Number of shares used in computing diluted
    Non-GAAP earnings per share    		   113.4       117.3       114.1       119.2  
                   
    (1) Stock-based compensation:              
    Cost of products and licenses $ 0.1     $ 0.1     $ 0.3     $ 0.3  
    Cost of software updates and maintenance   1.8       1.9       6.2       4.9  
    Research and development   14.0       12.1       42.3                   34.5  
    Selling and marketing   15.4       15.0       46.2                41.1  
    General and administrative   7.7       7.4       24.9                24.6  
        39.0       36.5       119.9       105.4  
                   
    (2) Amortization of intangible assets and acquisition related expenses:              
    Amortization of technology-cost of revenues   5.8       3.0       17.4                      8.2  
    Research and development   1.6       1.1       4.8       5.0  
    Selling and marketing   9.1       2.3       27.3       4.6  
        16.5       6.4       49.5       17.8  
    (3) Taxes on the above items   (7.0 )     (5.5 )                  (21.7 )                  (15.7 )
     Total, net $ 48.5     $ 37.4     $ 147.7     $ 107.5  
    CHECK POINT SOFTWARE TECHNOLOGIES LTD.
    CONDENSED CONSOLIDATED BALANCE SHEET DATA
    (In millions)
    ASSETS
      September 30,   December 31,
      2024
    (Unaudited)    		   2023
    (Audited)
    Current assets:      
    Cash and cash equivalents $ 543.8   $ 537.7
    Marketable securities and short-term deposits   925.6     992.3
    Trade receivables, net   391.9     657.7
    Prepaid expenses and other current assets   90.9     70.0
    Total current assets   1,952.2     2,257.7
           
    Long-term assets:      
    Marketable securities   1,403.4     1,429.7
    Property and equipment, net   80.6     80.4
    Deferred tax asset, net   76.5     81.8
    Goodwill and other intangible assets, net   1,900.4     1,748.5
    Other assets   99.5     97.4
    Total long-term assets   3,560.4     3,437.8
           
    Total assets $            5,512.6   $ 5,695.5
    LIABILITIES AND
    SHAREHOLDERS’ EQUITY
    Current liabilities:      
    Deferred revenues $ 1,270.2     $ 1,413.8  
    Trade payables and other accrued liabilities   446.0       502.3  
    Total current liabilities   1,716.2       1,916.1  
           
    Long-term liabilities:      
    Long-term deferred revenues   474.8       493.9  
    Income tax accrual   457.8       436.1  
    Other long-term liabilities   35.2       28.4  
        967.8       958.4  
           
    Total liabilities   2,684.0       2,874.5  
           
    Shareholders’ equity:      
    Share capital   0.8       0.8  
    Additional paid-in capital   3,019.4       2,732.5  
    Treasury shares at cost   (13,946.7 )     (13,041.2 )
    Accumulated other comprehensive loss   (1.2 )     (39.2 )
    Retained earnings   13,756.3       13,168.1  
    Total shareholders’ equity   2,828.6       2,821.0  
    Total liabilities and shareholders’ equity $ 5,512.6     $ 5,695.5  
    Total cash and cash equivalents, marketable securities and short-term deposits $ 2,872.8     $ 2,959.7  
    CHECK POINT SOFTWARE TECHNOLOGIES LTD.
    SELECTED CONSOLIDATED CASH FLOW DATA

     (Unaudited, in millions)
      Three Months Ended   Nine Months Ended
      September 30,   September 30,
        2024       2023       2024       2023  
    Cash flow from operating activities:              
    Net income $ 206.9     $ 205.0     $ 588.2     $ 591.1  
    Adjustments to reconcile net income to net cash provided by operating activities:              
    Depreciation of property and equipment   5.2       5.2       17.7       17.4  
    Amortization of intangible assets   13.4       4.6       40.4       10.8  
    Stock-based compensation   39.0       36.5       119.9       105.4  
    Realized loss on marketable securities   *)       6.0       *)       6.7  
    Decrease in trade and other receivables, net   67.8       38.1       258.2       263.3  
    Decrease in deferred revenues, trade payables and other accrued liabilities   (91.6 )     (75.8 )     (213.3 )     (205.1 )
    Deferred income taxes, net   8.2       2.7       (1.3 )     9.3  
    Net cash provided by operating activities   248.9       222.3       809.8       798.9  
                   
    Cash flow from investing activities:              
    Payment in conjunction with acquisitions, net of acquired cash   (185.8 )     (455.0 )     (185.8 )     (455.0 )
    Investment in property and equipment   (4.8 )     (6.1 )     (17.7 )     (13.9 )
    Net cash used in investing activities   (190.6 )     (461.1 )     (203.5 )     (468.9 )
                   
    Cash flow from financing activities:              
    Proceeds from issuance of shares upon exercise of options   45.4       32.6       249.6       117.7  
    Purchase of treasury shares   (325.0 )     (324.6 )     (975.0 )     (974.4 )
    Payments related to shares withheld for taxes   (3.9 )     (2.1 )     (17.1 )     (9.8 )
    Net cash used in financing activities   (283.5 )     (294.1 )     (742.5 )     (866.5 )
                   
    Unrealized gain on marketable securities, net   40.1       6.1       49.3       22.0  
                   
    Decrease in cash and cash equivalents, marketable securities and short term deposits   (185.1 )     (526.8 )      (86.9 )      (514.5 )
                   
    Cash and cash equivalents, marketable securities and short term deposits at the beginning of the period    3,057.9        3,515.5       2,959.7       3,503.2  
                   
    Cash and cash equivalents, marketable securities and short term deposits at the end of the period $ 2,872.8     $ 2,988.7     $ 2,872.8     $ 2,988.7  

    *) represents an amount lower than 0.1

    The MIL Network –

  • MIL-OSI Asia-Pac: Pradhan Mantri Mudra Yojana

    Source: Government of India (2)

    Pradhan Mantri Mudra Yojana

    Loan Limit Raised to ₹20 Lakh from ₹10 Lakh

    Posted On: 29 OCT 2024 3:00PM by PIB Delhi

     

    “Millions of common men and women of this country, who run small business, have almost remained outside the net of formal institutional finance, in spite of their large contribution to the economy. MUDRA is our innovation of funding the unfunded.”

                             ~ Prime Minister Narendra Modi

     

    The Pradhan Mantri MUDRA Yojana (PMMY), launched by the Prime Minister on April 8, 2015, has played a pivotal role in empowering non-corporate, non-farm small and micro enterprises by providing loans of up to ₹10 lakh. To strengthen support for aspiring entrepreneurs, the finance minister announced an increase in the loan limit to ₹20 lakh during the Union Budget 2024-25 on July 23, 2024. This new limit took effect on October 24, 2024.

    This announcement also introduces a new loan category, Tarun Plus, designed specifically for those who have previously availed and successfully repaid loans under the Tarun category, allowing them to access funding between ₹10 lakh and ₹20 lakh. Additionally, the Credit Guarantee Fund for Micro Units (CGFMU) will now provide guarantee coverage for these enhanced loans, further reinforcing the government’s commitment to nurturing a robust entrepreneurial ecosystem in India.

    Mudra Yojana

     

    MUDRA,3 which stands for Micro Units Development & Refinance Agency Ltd, is a financial institution set up by the Government of India under PMMY for development and refinancing micro unit enterprises. PMMY aims to provide financial inclusiveness and support to the marginalized and hitherto socio-economically neglected classes. PMMY has given wings to the dreams and aspirations of millions, along with a feeling of self-worth and independence.

    Need for the MUDRA Yojana

    India is a young country brimming with youthful enthusiasm and aspirations. In order to provide a fertile ground for sowing the seeds of India’s development it is very important to harness this innovative zeal of young India which can provide new age solutions to existing gaps in the economic ecosystem of the country. Understanding the need to harness the latent potential of entrepreneurship in India, the Union Government launched the Pradhan Mantri MUDRA Yojana.

    MUDRA Loans: Categories

    Under PMMY collateral free loans up to Rs. 20 Lakh are extended by Member Lending Institutions (MLIs) viz Scheduled Commercial Banks,  Regional Rural Banks (RRBs), Small Finance Banks (SFBs), Non-Banking Financial Companies (NBFCs), Micro Finance Institutions (MFIs) etc. The loans are given for income generating activities in manufacturing, trading and services sectors and for activities allied to agriculture.

    MUDRA loans now will be offered in four categories namely, ‘Shishu’, ‘Kishore’and ‘Tarun’ and newly added category ‘Tarun Plus’ which signifies the stage of growth or development and funding needs of the borrowers:-

    • Shishu: covering loans upto Rs. 50,000/-
    • Kishore: covering loans above Rs. 50,000/- and up to Rs. 5 lakhs
    • Tarun: covering loans above Rs. 5 lakh and up to Rs. 10 lakhs
    • Tarun Plus: Rs. 10 lakh and up to Rs. 20 lakhs

     

    Achievements of PMMY

     

    Under Pradhan Mantri Mudra Yojana (PMMY) amount sanctioned and disbursed in the financial year 2023-24 under various categories:[4]

    • Women Borrowers: A total of ₹1,08,472.51 crore was disbursed under the Shishu category, ₹1,00,370.49 crore under Kishore, and ₹13,454.27 crore under the Tarun category.
    • Minority Borrowers: The disbursements amounted to ₹15,759.66 crore under Shishu, ₹20,766.3 crore under Kishore, and ₹8562.27 crore under Tarun.
    • New Entrepreneurs / Accounts:
      • Shishu category: 88,49,101 accounts with a sanctioned amount of ₹29,445.41 crore and disbursed amount of ₹28,839.75 crore.
      • Kishore category: 34,06,239 accounts with ₹62,290.58 crore sanctioned and ₹60,407.02 crore disbursed.
      • Tarun category: 7,57,456 accounts with a sanctioned amount of ₹70,294.35 crore and ₹68,861.13 crore disbursed.
    • Unique Borrowers (from 8th April 2015 to 31st March 2024):
      • ₹44,891.82 crore was sanctioned under Shishu.
      • ₹24,575.57 crore was sanctioned under Kishore.
      • ₹19,120.58 crore was sanctioned under Tarun.

     

    Mudra Card

     

     

    MUDRA Card[5] is an innovative credit product wherein the borrower can avail of credit in a hassle free and flexible manner. It provides a facility of working capital arrangement in the form of an overdraft facility to the borrower. Since MUDRA Card is a RuPay debit card, it can be used for drawing cash from ATM or Business Correspondent or make purchase using Point of Sale (POS) machine. Facility is also there to repay the amount, as and when, surplus cash is available, thereby reducing the interest cost.

     

     

    MUDRA App- “MUDRA MITRA”

     

     MUDRA MITRA is a mobile phone application available in Google Play Store and Apple App    Store, providing information regarding ‘Micro Units Development and RefinanceAgency Ltd. (MUDRA)’ and its various products/ schemes. It will guide a loan seeker to approach a Banker in availing MUDRA loan under PMMY. Users can also access useful loan related material including sample loan application forms in this app.

     

     Steps taken to improve implementation of the Scheme:[6]

    • Handholding support for facilitating submission of loan applications
    • Provision for online applications through PSBloansin59minutes and Udyamimitra portal
    • Intensive publicity campaigns for increased visibility of the scheme amongst the stakeholders
    • Simplification of application forms
    • Nomination of MUDRA Nodal Officers in Public Sector Banks (PSBs)
    • Periodic monitoring of performance of PSBs with regard to PMMY
    • Interest Subvention of 2% on prompt repayment of Shishu loans extended under PMMY for a period of 12 months to all eligible borrowers.
    • Announced by Union Finance Minister on 14.05.2020 under Aatmanirbhar Bharat Package, the scheme has been formulated as a specific response to an unprecedented situation and aims to alleviate financial stress for borrowers at the ‘bottom of the pyramid’ by reducing their cost of credit.

     

    Conclusion

    The Pradhan Mantri MUDRA Yojana (PMMY) has fundamentally reshaped the landscape of entrepreneurship in India, driving significant progress in financial inclusion. By providing critical funding support, the scheme has enabled countless new entrepreneurs to turn their business ideas into reality. Over the years, it has also empowered women and minority communities, creating opportunities for economic upliftment and fostering a more inclusive growth environment. As the loan limit expands to ₹20 lakh, PMMY continues to play a vital role in nurturing small businesses and fueling the nation’s journey toward a more equitable and prosperous future.

    References:

     

    Click here to see in PDF

    Santosh Kumar/ Sarla Meena/ Kamna Lakaria

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    MIL OSI Asia Pacific News –

  • MIL-OSI Asia-Pac: Maximum Retail Price of three Anti-cancer Drugs (Trastuzumab, Osimertinib and Durvalumab) to come down on account of exemption from Custom duty and Reduction in GST Rates

    Source: Government of India

    Posted On: 29 OCT 2024 2:23PM by PIB Delhi

    In line with the Government’s commitment to ensure the availability of drugs at affordable prices, National Pharmaceutical Pricing Authority (NPPA) has issued an O.M. dated 28.10.2024 directing the concerned manufacturers to reduce the MRP on three anti-cancer drugs, Trastuzumab, Osimertinib and Durvalumab.  This is in pursuance to the announcement made in the Union Budget for the year 2024-25 exempting these three anti-cancer medicines from customs duty. The Department of Revenue, Ministry of Finance issued Notification 30/2024 dated 23.07.2024 reducing the custom duty to nil on these three anticancer drugs.

    Further, the Department of Revenue, Ministry of Finance has issued notification no. 05/2024 dated 08.10.2024 notifying the reduction in GST Rates from 12% to 5% with effect from 10.10.2024 on these three drugs.

    Accordingly, there should be a reduction in MRP of these drugs in the market and benefits of reduced taxes & duties should be passed on to the consumers. Hence, NPPA vide O.M. dated 28.10.2024 has directed all the manufacturers of above-mentioned drugs to reduce their MRP. The manufacturers are required to issue a price list or supplementary price list to the dealers, State Drugs Controllers and the Government indicating changes and to submit information regarding price change to NPPA through Form-II/ Form V.

    *****

    MV/AKS

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    MIL OSI Asia Pacific News –

  • MIL-OSI Asia-Pac: Key Decisions by Central Empowered Committee to strengthen Gram Panchayats across the country

    Source: Government of India (2)

    Key Decisions by Central Empowered Committee to strengthen Gram Panchayats across the country

    Standardized Honorarium, Training in Smart Classrooms, New Panchayat Buildings to improve Service Delivery at the Grassroots

    Posted On: 29 OCT 2024 12:10PM by PIB Delhi

    In a bid to further enhance the effectiveness of grassroots governance across the country, the Central Empowered Committee (CEC) of the Revamped, Centrally Sponsored Scheme of Rashtriya Gram Swaraj Abhiyan (RGSA), in its 8th meeting under the Chairmanship of Secretary, Ministry of Panchayati Raj (MoPR) Mr. Vivek Bharadwaj, made several significant decisions. The major decisions taken include Adoption of Standardized Honorarium under RGSA, Long term Domestic Training of Panchayat officials, Training of elected representatives in Smart Classrooms, Investment in Gram Panchayat Infrastructure throughout the country with special focus on North Eastern States and UT of Jammu and Kashmir.

    Adoption of Standardized Honorarium System under RGSA

    The CEC approved the standardization of honorarium rates for Master Trainers, Guest Faculties, and Eminent Resource Persons across States/UTs. This decision ensures equitable compensation, fostering the availability of high-quality trainers, which is critical for improving training delivery at the grassroots level. By addressing disparities in honorarium, the decision sets a new benchmark for training consistency and capacity building across Panchayati Raj Institutions (PRIs). This decision marks a crucial step towards ensuring uniformity and quality in training delivery across the country, from larger States like Uttar Pradesh and Maharashtra to smaller ones like Sikkim and Goa. This is particularly important for States like Bihar, Gujarat, Punjab and West Bengal, which are scaling up their training initiatives. By standardizing rates, the Ministry aims to attract and retain high-quality Trainers and Resource Persons, which is essential for effective capacity building of Panchayati Raj Institutions (PRIs) in every State.

    States/UTs to sponsor Panchayat Officials for Long-Term Domestic Training Programs for higher Learning

    “Funding for Long-Term Domestic Training Programs” for up to one year of duration for officials of PRIs and Panchayati Raj Department in the States/UTs under the State component of RGSA has been given a go ahead. The move aims at ensuring that the officials receive advanced, sector-specific training from Institutes of Excellence which will upgrade their skill set for better service delivery at the grassroots. This aligns with the objective of RGSA to strengthen decentralized governance and improved implementation efficiency. It will boost the overall competency of officials involved in rural development and local self-governance, thereby improving grassroots planning. It will also result in extensive Human Capital formation in PRIs over a period of few years.

    The decision addresses the critical need for in-depth skill upgradation of PRI functionaries across all participating States. By including subjects like spatial planning, resource mobilization, and disaster management, the program aims to equip officials with comprehensive knowledge essential for rural development in diverse geographical contexts, from the coastal regions of Kerala to the mountainous terrains of Himachal Pradesh. All the States and UTs will benefit from this decision as the North East (NE) and Hilly States can sponsor 10 candidates each for higher learning, UTs and Goa up to 5 applicants each while other States can sponsor up to 20 candidates each.

    Boost to Panchayat Infrastructure

    To enhance infrastructure, the CEC approved, construction of 3,301 Gram Panchayat Bhawans with Common Service Centre (CSC) co-location and sanctioned 22,164 computers for Gram Panchayats across various States including Andhra Pradesh, Chhattisgarh, Punjab, and Telangana. This decision is a boost for Panchayati Raj system in these States as it directly addresses infrastructure gaps, enabling better administrative functioning and digital governance in rural areas. The provision of dedicated buildings and computer equipment will facilitate efficient record-keeping and e-governance, significantly enhancing local government operations and service delivery.

    Elected Representatives of Panchayats to be trained in Smart Classrooms

    In a bid to modernize the Panchayat Resource Centers at the State and District level across the country, computer labs in State Panchayat Resource Centers (SPRCs) in 25 States as well as in District Panchayat Resource Centers (DPRCs) in 395 Districts will be upgraded with more computers of latest specification. At the same time, approval has been given for installing technological Educational Aids in these SPRCs and DPRCs across States/UTs. This decision for upgrading the State and District Panchayat Resource Centers (SPRCs/ DPRCs) in States like Gujarat and Tamil Nadu will modernize training infrastructure, creating a conducive learning environment. By integrating digital tools including projectors, LCDs, interactive panels and PA systems, the training centers will be better equipped to deliver high-quality capacity-building programs. This move is expected to accelerate the adoption of digital learning and improve the training outreach to Panchayat functionaries across India.

    Investment in Panchayat Infrastructure in the Vibrant Villages of the Border Areas of North East and Jammu and Kashmir

    Over a period of last few years, a number of decisions to support the infrastructure development for PRIs in the North Eastern States and the UT of Jammu and Kashmir have been taken. In the past years, the Ministry has supported construction of Panchayat Bhawans as well as setting up of Common Service Centres for ease of the residents in these areas. In J&K, the Ministry has supported construction of 970 GP Bhawans and co-location of 1606 Common Service Centres during 2024-25.

    In this meeting, decision has been taken for the construction of 400 Panchayat Bhawans-cum-Common Service Centers in Arunachal Pradesh. This is in continuation of MoPR’s support in the past for 939 GP Bhawans with collocated CSCs. Similarly, Panchayat infrastructure has been supported for the other States of North East including Mizoram, Meghalaya, Nagaland, Assam, Manipur. Overall, 1633 Gram Panchayat Bhawans and 514 CSCs have been approved for the States of North East.

    These initiatives aim at enhancing administrative efficiency and provide essential services at the grassroots level, significantly contributing to the development of Vibrant Villages.

    ****

    AA

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    MIL OSI Asia Pacific News –

  • MIL-OSI Asia-Pac: Marching Towards Atmanirbharta: India’s Defence Revolution

    Source: Government of India (2)

    Marching Towards Atmanirbharta: India’s Defence Revolution

    Domestic production hit ₹1.27 lakh crore in FY 2023-24, with exports growing 30x in a decade

    Posted On: 29 OCT 2024 11:21AM by PIB Delhi

    Introduction

    The recent inauguration of the TATA Aircraft Complex at the TATA Advanced Systems Limited (TASL) Campus in Vadodara, Gujarat, on October 28, 2024, marks a key milestone in India’s journey toward Atmanirbharta in defence. This facility, dedicated to manufacturing C-295 military transport aircraft, becomes the first private sector Final Assembly Line (FAL) for military aircraft in India, underscoring the government’s commitment to enhancing indigenous production capabilities. Under the program, 56 C-295 aircraft will be delivered, with the initial 16 arriving from Airbus in Spain and the remaining 40 produced domestically. This initiative exemplifies India’s shift toward self-reliance in defence manufacturing, aimed at strengthening operational readiness and reducing dependency on foreign imports.

    India’s commitment to Atmanirbharta in defence is further evidenced by its transformation from a major arms importer to an emerging centre for indigenous production. Driven by strategic government policies, this shift reached a landmark in FY 2023-24, with the Ministry of Defence reporting an unprecedented ₹1.27 lakh crore in domestic defence production. Once reliant on foreign suppliers, India now places a high priority on self-reliant manufacturing to meet its security needs, reinforcing its vision to strengthen national resilience and reduce dependency on external sources.

     

    Rise in India’s Defence Production

    India has achieved the highest-ever growth in indigenous defence production in value terms during Financial Year (FY) 2023-24, driven by the successful implementation of government policies and initiatives led by Prime Minister Shri Narendra Modi, focusing on attaining
    Atmanirbharta. According to data from all Defence Public Sector Undertakings (DPSUs), other public sector units manufacturing defence items, and private companies, the value of defence production has surged to a record high of ₹1,27,265 crore, representing an impressive increase of approximately 174% from ₹46,429 crore in 2014-15.

    Historically, India relied heavily on foreign countries for its defence needs, with about 65-70% of defence equipment being imported. However, this landscape has dramatically shifted, with around 65% of defence equipment now manufactured within India. This transformation reflects the country’s commitment to self-reliance in this critical sector and underscores the strength of its defence industrial base, which comprises 16 Defence Public Sector Units (DPSUs), over 430 licensed companies, and approximately 16,000 Micro, Small, and Medium Enterprises (MSMEs). Notably, 21% of this production comes from the private sector, bolstering India’s journey toward self-reliance.

    As part of the Make in India initiative, major defence platforms such as the Dhanush Artillery Gun System, Advanced Towed Artillery Gun System (ATAGS), Main Battle Tank (MBT) Arjun, Light Combat Aircraft (LCA) Tejas, submarines, frigates, corvettes, and the recently commissioned INS Vikrant have been developed, reflecting the growing capabilities of India’s defence sector.

    Consequently, the annual defence production has not only crossed ₹1.27 lakh crore but is also on track to reach a target of ₹1.75 lakh crore in the current fiscal year. With aspirations to achieve ₹3 lakh crore in defence production by 2029, India is solidifying its position as a global manufacturing hub for defence.

     

    India’s Defence Exports Surge

    India’s defence exports have reached an all-time high, surging from ₹686 crore in FY 2013-14 to ₹21,083 crore in FY 2023-24, reflecting a remarkable increase of over 30 times in export value over the past decade.

    This achievement is driven by effective policy reforms, initiatives, and improvements in the ease of doing business implemented by the government, all aimed at attaining self-reliance in defence. Notably, defence exports also experienced a substantial growth of 32.5% over the previous fiscal year, rising from ₹15,920 crore.

    India’s export portfolio boasts a diverse range of advanced defence equipment, including bulletproof jackets and helmets, Dornier (Do-228) aircraft, Chetak helicopters, fast interceptor boats, and lightweight torpedoes. A noteworthy highlight is the inclusion of ‘Made in Bihar’ boots in the Russian Army’s equipment, marking a significant milestone for Indian products in the global defence market and showcasing the country’s high manufacturing standards.

    Currently, India exports to over 100 nations, with the top three destinations for defence exports in 2023-24 being the USA, France, and Armenia. According to Raksha Mantri Shri Rajnath Singh, the target is to further increase defence exports to ₹50,000 crore by 2029. This expanding international footprint underscores India’s commitment to becoming a reliable defence partner globally while bolstering its economic growth through enhanced defence production and exports.

    Key Government Initiatives

    In recent years, the Indian government has implemented a series of transformative initiatives aimed at bolstering the country’s defence production capabilities and achieving self-reliance. These measures are designed to attract investment, enhance domestic manufacturing, and streamline procurement processes. From liberalizing foreign direct investment (FDI) limits to prioritizing indigenous production, these initiatives reflect a robust commitment to strengthening India’s defence industrial base. The following points outline the key government initiatives that have been pivotal in driving growth and innovation in the defence sector.

    • Liberalized FDI Policy: The Foreign Direct Investment (FDI) limit in the defence sector was raised in 2020 to 74% through the Automatic Route for companies seeking new defence industrial licenses and up to 100% through the Government Route for those likely to result in access to modern technology. As of February 9, 2024, ₹5,077 crore worth of FDI has been reported by companies operating in the defence sector.
    • Budget Allocation: The allocation for the Ministry of Defence for the financial year 2024-25 is ₹6,21,940.85 crore, as part of the “Demand for Grant” presented in Parliament during the ongoing Budget Session.
    • Priority for Domestic Procurement: Emphasis is placed on procuring capital items from domestic sources under the Defence Acquisition Procedure (DAP)-2020.
    • Positive Indigenization Lists: Notification of five ‘Positive Indigenization Lists’ totalling 509 items of services and five lists of 5,012 items from Defence Public Sector Undertakings (DPSUs), with an embargo on imports beyond specified timelines.
    • Simplified Licensing Process: Streamlining the industrial licensing process with a longer validity period.
    • iDEX Scheme Launch: The Innovations for Defence Excellence (iDEX) scheme was launched to involve startups and Micro, Small, and Medium Enterprises (MSMEs) in defence innovation.

     

    • Public Procurement Preference: Implementation of the Public Procurement (Preference to Make in India) Order 2017 to support domestic manufacturers.

     

    • Indigenization Portal: Launch of the Self-Reliant Initiatives through Joint Action (SRIJAN) portal to facilitate indigenization by Indian industry, including MSMEs.

     

    • Defence Industrial Corridors: Establishment of two Defence Industrial Corridors, one each in Uttar Pradesh and Tamil Nadu, to promote defence manufacturing.

     

    • Opening Defence R&D: Defence Research & Development (R&D) has been opened up for industry and startups to foster innovation and collaboration.

     

    • Domestic Procurement Allocation: Out of the total allocation of ₹1,40,691.24 crore under the Capital Acquisition (Modernization) Segment, ₹1,05,518.43 crore (75%) has been earmarked for domestic procurement in the Budget Estimates for 2024-25.

     

    Conclusion

    India’s journey toward Atmanirbharta in defence reflects a transformative shift from reliance on imports to becoming a self-sufficient manufacturing hub. The record achievements in domestic production and exports underscore the government’s commitment to enhancing national security and bolstering economic growth through robust defence initiatives. With strategic policies in place, a growing emphasis on indigenization, and a vibrant defence industrial base, India is poised to not only meet its own security needs but also emerge as a key player in the global arms market. The ambitious targets set for future production and exports signify a strong resolve to reinforce the country’s position as a reliable defence partner worldwide. As India continues to innovate and collaborate across sectors, it is well on its way to solidifying its status as a formidable force in global defence manufacturing.

     

    References:

    Click here to see in PDF:

    Santosh Kumar/ Ritu Kataria/ Saurabh Kalia

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  • MIL-OSI Security: Malware targeting millions of people taken down by international coalition

    Source: Eurojust

    A global operation, supported by Eurojust, has led to the takedown of servers of infostealers, a type of malware used to steal personal data and conduct cybercrimes worldwide. The infostealers, RedLine and META, taken down today targeted millions of victims worldwide, making it one of the largest malware platforms globally. An international coalition of authorities from the Netherlands, the United States, Belgium, Portugal, the United Kingdom and Australia shut down three servers in the Netherlands, seized two domains, unsealed charges in the United States and took two people into custody in Belgium.

    RedLine and Meta were able to steal personal data from infected devices. The data included saved usernames and passwords, and automatically saved form data, such as addresses, email addresses, phone numbers, cryptocurrency wallets, and cookies. After retrieving the personal data, the infostealers sold the information to other criminals through criminal market places. The criminals who purchased the personal data used it to steal money, cryptocurrency and to carry out follow-on hacking activities.

    Investigations into RedLine and Meta started after victims came forward and a security company notified authorities about possible servers in the Netherlands linked to the software. Authorities discovered that over 1 200 servers in dozens of countries were running the malware. To take down the transnational malware, Eurojust coordinated cooperation between authorities from the Netherlands, the United States, Belgium, Portugal, United Kingdom and Australia. Through Eurojust, authorities were able to quickly exchange information and coordinate actions to take down the infostealers.

    The take down of the infostealers took place on 28 October during a worldwide operation. Three servers were taken down in the Netherlands, two domains were seized, charges were unsealed in the United States and two people were taken into custody in Belgium. After the authorities obtained the data and took down the servers, a message was sent to the alleged perpetrators, including a video. The video sends a strong message to the criminals, showing that the international coalition of authorities was able to obtain crucial data on their network and will shut down their criminal activities. After the message was sent, Belgian authorities took down several Redline and Meta communication channels.

    The authorities also retrieved a database of clients from RedLine and Meta. Investigations will now continue into the criminals using the stolen data.

    For people concerned they may have fallen victim to RedLine and Meta, a private security company has launched an online tool to allow people to check if their data was stolen. The tool helps potential victims on the steps they need to take if their data has been stolen.

    The following authorities were involved in the actions:

    • The Netherlands: National Police, Team Cybercrime Limburg, Public Prosecution Service
    • United States: Federal Bureau of Investigation; Naval Criminal Investigative Service; Internal Revenue Service Criminal Investigations; Department of Defense Criminal Investigative Service; Army Criminal Investigation Division
    • Belgium: Federal Prosecutor’s Office; Federal Police
    • Portugal: Polícia Judiciária
    • United Kingdom: National Crime Agency
    • Australia: Australian Federal Police

    MIL Security OSI –

  • MIL-OSI: CECO Environmental Reports Third Quarter 2024 Results

    Source: GlobeNewswire (MIL-OSI)

    Company Produces Record Q3 Bookings and Highest-Ever Backlog
    Q3 Revenue and Income Impacted by Customer-Driven Project Delays
    Announced the Acquisition of Profire Energy (Nasdaq: PFIE) for $125 Million
    Completed Acquisition of WK, in Early October
    Updates FY24 Guidance and Introduces 2025 Outlook

    DALLAS, Oct. 29, 2024 (GLOBE NEWSWIRE) — CECO Environmental Corp. (Nasdaq: CECO) (“CECO”), (the “Company”), a leading environmentally focused, diversified industrial company whose solutions protect people, the environment, and industrial equipment, today reported its financial results for the third quarter of 2024. In addition, CECO, announces it has completed the acquisition of WK, an Industrial Air company headquartered in Germany, in early October. Additionally, the Company announced the acquisition of Profire Energy, Inc. (NASDAQ: PFIE) (“Profire”), a leader in burner management technology and combustion control systems that provide mission-critical combustion automation and control solutions and services to improve environmental efficiency, safety and reliability for industrial thermal applications globally.

    Third Quarter Summary(1)

    • Orders of $162.3 million, up 12 percent
    • Backlog of $437.5 million
    • Revenue of $135.5 million, down 9 percent
    • Gross profit of $45.3 million, up 5 percent; Gross margin of 33.4 percent, up 460 basis points
    • Net income of $2.1 million, down 36 percent; non-GAAP net income of $5.2 million, down 32 percent
    • GAAP EPS (diluted) of $0.06; non-GAAP EPS (diluted) of $0.14, down 36 percent
    • Adjusted EBITDA of $14.3 million, down 5 percent
    • Free cash flow of $11.1 million, down $17.4 million

    Subsequent to the Quarter

    • Completes the acquisition of WK in early October
    • Announces the acquisition of Profire; expected to close by January 2025

    (1) All comparisons are versus the comparable prior year period, unless otherwise stated.
    Reconciliations of GAAP (reported) to non-GAAP measures are in the attached financial tables.

    Todd Gleason, CECO’s Chief Executive Officer commented, “While our third quarter produced very strong orders and a new record backlog, we were disappointed that we fell short of the anticipated quarterly revenue and income outlook as a handful of customer-driven delays in larger projects could not be overcome by continued progress with margin expansion and other actions. These delayed projects are expected to begin activity over the coming months and the impact is reflected in our updated full year 2024 and newly introduced full year 2025 outlook. We are excited to have been awarded several large energy transition and general industrial orders in the quarter and we anticipate this trend to continue as we are forecasting a very strong fourth quarter bookings period.”

    Third quarter operating income was $7.2 million, down $0.7 million or 9 percent when compared to $7.9 million in the third quarter 2023. On an adjusted basis, non-GAAP operating income was $11.0 million, down $1.8 million or 14 percent when compared to $12.8 million in the third quarter of 2023. Net income was $2.1 million in the quarter, down $1.2 million or 36 percent when compared to $3.3 million in the third quarter of 2023. Non-GAAP net income was $5.2 million, down $2.4 million or 32 percent when compared to $7.6 million in the third quarter of 2023. Adjusted EBITDA of $14.3 million, reflecting a margin of 10.6 percent, was down 5 percent compared to $15.1 million in the third quarter of 2023. Free cash flow in the quarter was $11.1 million, down $17.4 million compared to $28.5 million in the third quarter of 2023.

    Completes Acquisition of WK

    CECO today announced that in early October it completed the acquisition of Germany-based, WK – a leading industrial air business with well-established global customers and a strong Asia-Pacific presence, based out of Singapore. WK designs, engineers and supplies a broad range of cutting-edge technical equipment and systems for process and environmental and surface technology applications, as well as innovative sustainable solutions. This acquisition strengthens CECO’s footprint and capabilities within the industrial processing solutions segment and further advances the Company’s Industrial Air and leadership positions. WK is expected to deliver full year 2024 sales of approximately $15 million with the potential for high-teen EBITDA margins.

    “I would like to welcome the WK organization to our portfolio of leading industrial air solutions businesses,” said Mr. Gleason. “Together we will advance our joint capabilities to better serve global customers while penetrating markets with solutions and services from across our diverse enterprise.”

    Announces Acquisition of Profire Energy, Inc. (Nasdaq: PFIE)

    “I am excited that today we announced the acquisition of Profire in an all-cash transaction that we expect will close in January 2025. Profire expects to generate approximately $60 million in revenues with adjusted EBITDA margins of approximately 20 percent in the full year 2024. With an installed base approaching 100,000 burner management systems and a growing industrial market product offering, we look forward to accelerating their global market expansion and introducing their high-efficiency solutions to more customers in the industrial air and water markets. We are confident the increased scale and combined corporate organizations will generate meaningful efficiencies and synergies. The addition of Profire is another important step in our ongoing execution of programmatic M&A and we expect it will further advance our position as the leading environmental solutions provider in industrial markets,” added Mr. Gleason.

    Updates 2024 Full Year Guidance

    The Company updated its 2024 full year revenue guidance to reflect revenue between $575 and $600 million, up approximately 10 percent year over year at the midpoint of the range, and adjusted EBITDA between $65 to $70 million, up approximately 17 percent year over year, at the midpoint of the range. The updated expected full year guidance compares to the previous outlook for revenues of between $600 to $620 million and adjusted EBITDA of between $68 to $72 million. The Company expects 2024 full year bookings guidance to reflect a book to bill rate of or in excess of 1.2x, up from a previous range of 1.05x to 1.1x. The Company maintains its full year outlook for free cash flow of 50% to 70% of adjusted EBITDA.

    “Our updated full year 2024 guidance essentially mirrors the initial outlook we provided as we entered 2024. As previously mentioned, unfortunately, the customer-driven delays associated with a handful of larger projects impacted our ability to hit the raised guidance we issued mid-year. This is the first time we have reduced guidance in company history, and although this is disappointing for our short-term results, we remain very pleased with our bookings, margin expansion progress and overall execution. Additionally, the revenue and associated income from the 2024 project delays slide into upcoming quarters, so we remain focused on execution and controlling factors we can influence,” said Mr. Gleason.

    Introduces 2025 Full Year Guidance

    The Company introduced its 2025 full year guidance to reflect revenue between $700 and $750 million, up approximately 25 percent at the midpoint of the range, and adjusted EBITDA between $90 and $100 million, up approximately 40% at the midpoint of the range. The Company expects full year free cash flow of between 50% to 70% of adjusted EBITDA.

    Mr. Gleason concluded, “Our full year 2025 outlook reflects the visibility we have with our record backlog, ongoing strong bookings, 2024 related project push outs, and the impact from already completed acquisitions and the pending transaction with Profire. We continue to drive an aggressive operating model that supports strong organic growth, coupled with steady margin expansion and additions from accretive and strategic acquisitions.”

    EARNINGS CONFERENCE CALL

    A conference call is scheduled for today at 8:30 a.m. ET to discuss the third quarter 2024 financial results. Please visit the Investor Relations portion of the website (https://investors.cecoenviro.com) to listen to the call via webcast. The conference call may also be accessed by visiting https://edge.media-server.com/mmc/p/4ui844vi.

    A replay of the conference call will be available on the Company’s website for a period of one year. The replay may also be accessed by visiting https://edge.media-server.com/mmc/p/4ui844vi.

    ABOUT CECO ENVIRONMENTAL

    CECO Environmental is a leading environmentally focused, diversified industrial company, serving the broad landscape of industrial air, industrial water and energy transition markets globally providing innovative solutions and application expertise. CECO helps companies grow their business with safe, clean, and more efficient solutions that help protect people, the environment and industrial equipment. CECO solutions improve air and water quality, optimize emissions management, and increase energy efficiency for highly-engineered applications in power generation, midstream and downstream hydrocarbon processing and transport, electric vehicle production, polysilicon fabrication, semiconductor and electronics, battery production and recycling, specialty metals and steel production, beverage can, and water/wastewater treatment and a wide range of other industrial end markets. CECO is listed on Nasdaq under the ticker symbol “CECO.” Incorporated in 1966, CECO’s global headquarters is in Dallas, Texas. For more information, please visit www.cecoenviro.com.

    Company Contact:
    Peter Johansson
    Chief Financial and Strategy Officer
    888-990-6670
    investor.relations@onececo.com

    Investor Relations Contact:
    Steven Hooser and Jean Marie Young
    Three Part Advisors, LLC
    214-872-2710
    investor.relations@onececo.com

    CECO ENVIRONMENTAL CORP. AND SUBSIDIARIES
    CONSOLIDATED BALANCE SHEETS
               
    (in thousands, except per share data) (unaudited)
    September 30, 2024    		     December 31, 2023  
    ASSETS          
    Current assets:          
    Cash and cash equivalents $ 38,700     $ 54,779  
    Restricted cash   226       669  
    Accounts receivable, net of allowances of $7,214 and $6,460   100,111       112,733  
    Costs and estimated earnings in excess of billings on uncompleted contracts   68,500       66,574  
    Inventories, net   37,760       34,089  
    Prepaid expenses and other current assets   27,143       11,769  
    Prepaid income taxes   3,826       824  
    Total current assets   276,266       281,437  
    Property, plant and equipment, net   32,306       26,237  
    Right-of-use assets from operating leases   24,690       16,256  
    Goodwill   220,026       211,326  
    Intangible assets – finite life, net   51,547       50,461  
    Intangible assets – indefinite life   9,598       9,570  
    Deferred income taxes   287       304  
    Deferred charges and other assets   6,792       4,700  
    Total assets $ 621,512     $ 600,291  
    LIABILITIES AND SHAREHOLDERS’ EQUITY          
    Current liabilities:          
    Current portion of debt $ 10,580     $ 10,488  
    Accounts payable   92,316       87,691  
    Accrued expenses   43,762       44,301  
    Billings in excess of costs and estimated earnings on uncompleted contracts   64,801       56,899  
    Notes payable   1,700       2,500  
    Income taxes payable   —       1,227  
    Total current liabilities   213,159       203,106  
    Other liabilities   10,336       12,644  
    Debt, less current portion   122,818       126,795  
    Deferred income tax liability, net   9,622       8,838  
    Operating lease liabilities   19,696       11,417  
    Total liabilities   375,631       362,800  
    Commitments and contingencies (See Note 14)          
    Shareholders’ equity:          
    Preferred stock, $.01 par value; 10,000 shares authorized, none issued   —       —  
    Common stock, $.01 par value; 100,000,000 shares authorized, 34,979,018 and
    34,835,293 shares issued and outstanding at September 30, 2024 and December 31, 2023, respectively    		   349       348  
    Capital in excess of par value   253,590       254,956  
    Retained earnings (accumulated loss)   1,692       (6,387 )
    Accumulated other comprehensive loss   (14,374 )     (16,274 )
    Total CECO shareholders’ equity   241,257       232,643  
    Noncontrolling interest   4,624       4,848  
    Total shareholders’ equity   245,881       237,491  
    Total liabilities and shareholders’ equity $ 621,512     $ 600,291  
    CECO ENVIRONMENTAL CORP. AND SUBSIDIARIES
    CONSOLIDATED STATEMENTS OF INCOME
    (unaudited)
               
      Three months ended September 30,     Nine months ended September 30,  
    (in thousands, except share and per share data) 2024     2023     2024     2023  
    Net sales $ 135,513     $ 149,390     $ 399,367     $ 391,134  
    Cost of sales   90,247       106,269       259,921       273,303  
    Gross profit   45,266       43,121       139,446       117,831  
    Selling and administrative expenses   34,262       30,439       105,636       86,082  
    Amortization and earnout expenses   2,617       1,968       7,036       5,988  
    Acquisition and integration expenses   1,210       1,386       1,876       2,210  
    Executive transition expenses   —       1,258       —       1,417  
    Restructuring expenses   (10 )     217       544       217  
    Asbestos litigation expenses   —       —       225       —  
    Income from operations   7,187       7,853       24,129       21,917  
    Other expense, net   (398 )     (216 )     (2,589 )     (670 )
    Interest expense   (2,648 )     (3,340 )     (9,315 )     (9,498 )
    Income before income taxes   4,141       4,297       12,225       11,749  
    Income tax expense   1,602       585       2,664       1,577  
    Net income   2,539       3,712       9,561       10,172  
    Noncontrolling interest   (453 )     (382 )     (1,482 )     (1,140 )
    Net income attributable to CECO Environmental Corp. $ 2,086     $ 3,330     $ 8,079     $ 9,032  
    Earnings per share:                      
    Basic $ 0.06     $ 0.10     $ 0.23     $ 0.26  
    Diluted $ 0.06     $ 0.09     $ 0.22     $ 0.26  
    Weighted average number of common shares outstanding:                      
    Basic   34,966,625       34,771,742       34,910,165       34,612,163  
    Diluted   36,488,788       35,301,429       36,322,690       35,215,843  
    CECO ENVIRONMENTAL CORP. AND SUBSIDIARIES
    CONSOLIDATED STATEMENTS OF CASH FLOWS
         
      Nine months ended September 30,  
    (in thousands) 2024     2023  
    Cash flows from operating activities:          
    Net income $ 9,561     $ 10,172  
    Adjustments to reconcile net income to net cash provided by (used in) operating activities:          
    Depreciation and amortization   10,536       8,769  
    Unrealized foreign currency gain (loss)   201       (138 )
    Fair value adjustment to earnout liabilities   400       296  
    Gain on sale of property and equipment   135       43  
    Debt discount amortization   357       271  
    Share-based compensation expense   5,790       3,096  
    Bad debt expense   404       154  
    Inventory reserve expense   850       526  
    Other   77       —  
    Changes in operating assets and liabilities, net of acquisitions:          
    Accounts receivable   9,653       (25,961 )
    Costs and estimated earnings in excess of billings on uncompleted contracts   (1,498 )     6,006  
    Inventories   (4,305 )     (10,395 )
    Prepaid expense and other current assets   (18,059 )     (8,228 )
    Deferred charges and other assets   (2,755 )     (268 )
    Accounts payable   15,387       21,162  
    Accrued expenses   (550 )     7,868  
    Billings in excess of costs and estimated earnings on uncompleted contracts   7,286       19,330  
    Income taxes payable   (1,140 )     261  
    Other liabilities   (9,330 )     (3,473 )
    Net cash provided by operating activities   23,000       29,491  
    Cash flows from investing activities:          
    Acquisitions of property and equipment   (11,237 )     (5,511 )
    Net cash paid for acquisitions   (14,954 )     (48,102 )
    Net cash used in investing activities   (26,191 )     (53,613 )
    Cash flows from financing activities:          
    Borrowings on revolving credit lines   58,400       94,200  
    Repayments on revolving credit lines   (54,800 )     (63,200 )
    Repayments of long-term debt   (7,843 )     (2,478 )
    Payments on finance leases and financing liability   (692 )     (680 )
    Deferred consideration paid for acquisitions   (2,050 )     (1,247 )
    Earnout payments   (1,672 )     (1,496 )
    Proceeds from employee stock purchase plan and exercise of stock options   846       1,435  
    Noncontrolling interest distributions   (1,707 )     (1,364 )
    Common stock repurchased   (5,000 )     —  
    Net cash (used in) provided by financing activities   (14,518 )     25,170  
    Effect of exchange rate changes on cash, cash equivalents and restricted cash   1,187       703  
    Net (decrease) increase in cash, cash equivalents and restricted cash   (16,522 )     1,751  
    Cash, cash equivalents and restricted cash at beginning of period   55,448       46,585  
    Cash, cash equivalents and restricted cash at end of period $ 38,926     $ 48,336  
    Cash paid during the period for:          
    Interest $ 9,714     $ 8,531  
    Income taxes $ 6,779     $ 8,633  
    CECO ENVIRONMENTAL CORP. AND SUBSIDIARIES
    RECONCILIATION OF GAAP TO NON-GAAP MEASURES
               
      Three months ended September 30,     Nine months ended September 30,  
    (in millions, except ratios) 2024     2023     2024     2023  
    Operating income as reported in accordance with GAAP $ 7.2     $ 7.9     $ 24.1     $ 21.9  
    Operating margin in accordance with GAAP   5.3 %     5.3 %     6.0 %     5.6 %
    Amortization and earnout expenses   2.6       2.0       7.1       6.0  
    Acquisition and integration expenses   1.2       1.4       1.9       2.2  
    Restructuring expenses   —       0.2       0.5       0.2  
    Executive transition expenses   —       1.3       —       1.4  
    Asbestos litigation expenses   —       —       0.2       —  
    Non-GAAP operating income $ 11.0     $ 12.8     $ 33.8     $ 31.7  
    Non-GAAP operating margin   8.1 %     8.6 %     8.5 %     8.1 %
      Three months ended September 30,     Nine months ended September 30,  
    (in millions, except share data) 2024     2023     2024     2023  
    Net income as reported in accordance with GAAP $ 2.1     $ 3.3     $ 8.1     $ 9.0  
    Amortization and earnout expenses   2.6       2.0       7.1       6.0  
    Acquisition and integration expenses   1.2       1.4       1.9       2.2  
    Restructuring expenses   —       0.2       0.5       0.2  
    Executive transition expense   —       1.3       —       1.4  
    Asbestos litigation expense   —       —       0.2       –  
    Foreign currency remeasurement   0.3       0.8       1.8       (0.1 )
    Tax (benefit) expense of adjustments   (1.0 )     (1.4 )     (2.8 )     (2.4 )
    Non-GAAP net income $ 5.2     $ 7.6     $ 16.8     $ 16.3  
    Depreciation   1.4       1.2       4.0       3.5  
    Non-cash stock compensation   1.9       1.1       5.8       3.1  
    Other expense, net   0.1       (0.6 )     0.8       0.8  
    Interest expense   2.6       3.3       9.3       9.5  
    Income tax expense   2.6       2.0       5.6       4.0  
    Noncontrolling interest   0.5       0.4       1.5       1.2  
    Adjusted EBITDA $ 14.3     $ 15.0     $ 43.8     $ 38.4  
                           
    Earnings per share:                      
    Basic $ 0.06     $ 0.09     $ 0.23     $ 0.26  
    Diluted $ 0.06     $ 0.10     $ 0.22     $ 0.26  
                           
    Non-GAAP net income per share:                      
    Basic $ 0.15     $ 0.22     $ 0.48     $ 0.47  
    Diluted $ 0.14     $ 0.22     $ 0.46     $ 0.46  
      Three months ended September 30,     Nine months ended September 30,  
    (in millions) 2024     2023     2024     2023  
    Net cash provided by operating activities $ 15.1     $ 30.1     $ 23.0     $ 29.5  
    Acquisitions of property and equipment   (4.0 )     (1.6 )     (11.2 )     (5.5 )
    Free cash flow $ 11.1     $ 28.5     $ 11.8     $ 24.0  
                                   

    NOTE REGARDING NON-GAAP FINANCIAL MEASURES

    CECO is providing certain non-GAAP historical financial measures as presented above as we believe that these figures are helpful in allowing individuals to better assess the ongoing nature of CECO’s core operations. A “non-GAAP financial measure” is a numerical measure of a company’s historical financial performance that excludes amounts that are included in the most directly comparable measure calculated and presented in accordance with GAAP.

    Non-GAAP operating income, non-GAAP net income, non-GAAP operating margin, non-GAAP earnings per basic and diluted share, adjusted EBITDA and free cash flow, as we present them in the financial data included in this press release, have been adjusted to exclude the effects of amortization expenses for acquisition-related intangible assets, contingent retention and earnout expenses, restructuring expenses primarily relating to severance and legal expenses, acquisition and integration expenses which include retention, legal, accounting, banking, and other expenses, foreign currency remeasurement and other nonrecurring or infrequent items and the associated tax benefit of these items. Management believes that these items are not necessarily indicative of the Company’s ongoing operations and their exclusion provides individuals with additional information to better compare the Company’s results over multiple periods. Management utilizes this information to evaluate its ongoing financial performance. Our financial statements may continue to be affected by items similar to those excluded in the non-GAAP adjustments described above, and exclusion of these items from our non-GAAP financial measures should not be construed as an inference that all such costs are unusual or infrequent.

    Non-GAAP operating income, non-GAAP net income, non-GAAP operating margin, non-GAAP earnings per basic and diluted share, adjusted EBITDA and free cash flow are not calculated in accordance with GAAP, and should be considered supplemental to, and not as a substitute for, or superior to, financial measures calculated in accordance with GAAP. Non-GAAP financial measures have limitations in that they do not reflect all of the costs associated with the operations of our business as determined in accordance with GAAP. As a result, you should not consider these measures in isolation or as a substitute for analysis of CECO’s results as reported under GAAP. Additionally, CECO cautions investors that non-GAAP financial measures used by the Company may not be comparable to similarly titled measures of other companies.

    In accordance with the requirements of Regulation G issued by the Securities and Exchange Commission, non-GAAP operating income, non-GAAP net income, non-GAAP operating margin, non-GAAP earnings per basic and diluted share, adjusted EBITDA and free cash flow stated in the tables above are reconciled to the most directly comparable GAAP financial measures.

    Non-GAAP measures presented on a forward-looking basis were not reconciled to the comparable GAAP financial measures because the reconciliation could not be performed without unreasonable efforts. The GAAP measures are not accessible on a forward-looking basis because we are currently unable to predict with a reasonable degree of certainty the type and extent of certain items that would be expected to impact GAAP measures for these periods but would not impact the non-GAAP measures. Such items may include amortization expenses for acquisition-related intangible assets, contingent retention and earnout expenses, restructuring expenses primarily relating to severance and legal expenses, acquisition and integration expenses which include retention, legal, accounting, banking, and other expenses, foreign currency remeasurement and other nonrecurring or infrequent items and the associated tax benefit of these items. The unavailable information could have a significant impact on our GAAP financial results.

    SAFE HARBOR

    Any statements contained in this Press Release, other than statements of historical fact, including statements about management’s beliefs and expectations, are 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, both as amended, and should be evaluated as such. These statements are made on the basis of management’s views and assumptions regarding future events and business performance. We use words such as “believe,” “expect,” “anticipate,” “intends,” “estimate,” “forecast,” “project,” “will,” “plan,” “should” and similar expressions to identify forward-looking statements. Forward-looking statements involve risks and uncertainties that may cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements. Potential risks and uncertainties, among others, that could cause actual results to differ materially are discussed under “Part I – Item 1A. Risk Factors” of the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2023 and may be included in subsequently filed Quarterly Reports on Form 10-Q, and include, but are not limited to: the parties’ ability to complete the proposed Profire transactions in the anticipated timeframe or at all, the occurrence of any event, change or other circumstance that could give rise to the termination of the Profire transaction agreement between the parties, the effect of the announcement or pendency of the proposed Profire transaction on business relationships, operating results, and business generally, disruption of current plans and operations and potential difficulties in employee retention as a result of the proposed Profire transaction, diversion of management’s attention from ongoing business operations as a result of the Profire transaction, the outcome of any legal proceedings that may be instituted related to the proposed Profire transaction, the amount of the costs, fees, expenses and other charges related to the proposed Profire transaction, the risk that competing offers or acquisition proposals will be made, the achievement of the anticipated benefits of the Profire transaction, the ability of Profire to achieve its 2024 earnings guidance, our ability to successfully integrate acquired businesses and realize the synergies from acquisitions, the sensitivity of our business to economic and financial market conditions generally and economic conditions in our service areas; dependence on fixed price contracts and the risks associated therewith, including actual costs exceeding estimates and method of accounting for revenue; the effect of growth on our infrastructure, resources, and existing sales; the ability to expand operations in both new and existing markets; the potential for contract delay or cancellation as a result of on-going or worsening supply chain challenges; liabilities arising from faulty services or products that could result in significant professional or product liability, warranty, or other claims; changes in or developments with respect to any litigation or investigation; failure to meet timely completion or performance standards that could result in higher cost and reduced profits or, in some cases, losses on projects; the potential for fluctuations in prices for manufactured components and raw materials, including as a result of tariffs and surcharges, and rising energy costs; inflationary pressures relating to rising raw material costs and the cost of labor; the substantial amount of debt incurred in connection with our strategic transactions and our ability to repay or refinance it or incur additional debt in the future; the impact of federal, state or local government regulations; our ability to repurchase shares of our common stock and the amounts and timing of repurchases, if any; our ability to successfully realize the expected benefits of our restructuring program; our ability to successfully identify acquisition targets, integrate acquired businesses and realize the synergies from strategic transactions; and the unpredictability and severity of catastrophic events, including cyber security threats, acts of terrorism or outbreak of war or hostilities or public health crises, as well as management’s response to any of the aforementioned factors. Many of these risks are beyond management’s ability to control or predict. Should one or more of these risks or uncertainties materialize, or should the assumptions prove incorrect, actual results may vary in material aspects from those currently anticipated. Investors are cautioned not to place undue reliance on such forward-looking statements as they speak only to our views as of the date the statement is made. Except as required under the federal securities laws or the rules and regulations of the Securities and Exchange Commission, we undertake no obligation to update or review any forward-looking statements, whether as a result of new information, future events or otherwise. 

    The MIL Network –

  • MIL-OSI Europe: EIB approves a €300 million loan to Red Eléctrica for the construction of Salto de Chira hydroelectric power plant in the Canary Islands

    Source: European Investment Bank

    • Salto de Chira is a cutting-edge strategic project for the island of Gran Canaria, which combines a pumped-storage hydroelectric power plant of 200 MW installed power capacity and a desalination plant.
    • It will strengthen Gran Canaria’s electricity system, providing a fundamental back-up to guarantee energy security and electricity supply, critical issues for citizens and businesses.
    • The project contributes to the integration of renewable energies on the island and reflects the important role the EIB is playing in consolidating Spain as the country of renewables.

    The European Investment Bank (EIB) has approved a €300 million loan to finance the construction of the Salto de Chira pumped-storage hydroelectric power plant being built by Red Eléctrica, a subsidiary of Redeia, in Gran Canaria.

    The Salto de Chira power plant will use a system of two water reservoirs at different heights to store or deliver energy from renewable energies according to the needs of the electricity system. It will have a installed power capacity of 200 MW and energy storage capacity of 3,5GWh, making possible to take advantage of surplus renewable production, which would otherwise be lost, at times when the system needs it. In this way, it will contribute to the quality and security of the electricity supply and to greater integration of renewable energies into the electricity system on the island of Gran Canaria. The project also includes the construction of a seawater desalination plant to contribute to water storage, which is also expected to have a positive impact on farming communities’ access to irrigation water.

    “We are delighted to join forces with Red Eléctrica to support the construction of the Salto de Chira hydroelectric power plant. This project is key to ensuring energy autonomy and driving the green transition in Gran Canaria,” said Jean-Christophe Laloux, Director General of Operations in the European Union at the EIB. “The project will improve electricity supply quality and security on the island using existing resources and reflects the EIB’s commitment to territorial cohesion and climate action, two of our strategic priorities.”

    The investment takes part entirely in the Canary Islands, a cohesion and outermost region. It is expected to have a positive impact on the local economy by driving growth and job creation, and firmly backs the EIB Group’s commitment to economic, social and territorial cohesion.

    Commenting on the agreement, the CEO of Redeia, Roberto García Merino, highlighted the importance of this project and of storage in advancing the penetration of renewable energies,  “storage will be one of the key elements in the energy transition, providing flexibility and manageability to the electricity system to integrate large amounts of renewable energies, thus contributing to electrification and access to renewable energy, which is especially important for an electricity system like the Canary Islands, which is isolated and therefore more vulnerable’.

    Once finalized, the pumped-storage hydroelectric power plant will be a fundamental tool for the operation of the system, providing it with the flexibility essential for the substitution of fossil energy sources and the safe and reliable integration of renewable resources, mitigating the interconnection difficulties of the Canary Islands’ electricity systems.

    This project contributes to the decarbonisation objectives of the European Green Deal. It is also part of the EIB’s action plan to support REPowerEU in ensuring energy security and reducing EU dependence on fossil fuel imports.

    Operation of the Salto de Chira pumped-storage plant

    The plant will use two of Gran Canaria’s existing reservoirs, Chira and Soria, to create an electricity-generating waterfall. It will that harnesses the renewable energy stored in the form of water in the upper reservoir to produce energy through an underground hydroelectric plant, reducing its impact on the environment.

    At times of peak renewable energy generation, the excess power will be used to pump water from the lower reservoir (Soria) to the upper one (Chira), storing this energy in the form of water. The water will then be used to generate electricity at times of high demand and low electricity generation from renewable sources.

    The project includes the construction of a seawater desalination plant that will be used to fill the reservoirs and will directly benefit the development of farming communities in the area thanks to the water not needed for the operation of the plant.

    The EIB and energy security

    In 2023, the EIB Group signed more than €21 billion in financing for energy security in Europe. In the same year, it allocated €4.5 billion to this goal in Spain, financing projects in areas including renewable energy, energy efficiency, power grids and storage systems. These investments are helping Europe speed up its transition to sustainable energy and reduce its reliance on fossil fuel imports.

    In July 2023, the EIB Board of Directors raised the amount earmarked for REPowerEU projects to €45 billion. REPowerEU is the plan designed to end Europe’s dependence on fossil fuel imports. To boost financing for the EU manufacturing industry, the EIB will also expand the range of eligible sectors to include leading strategic technologies with net-zero carbon emissions, as well as extraction, processing and recycling of critical raw materials. The additional financing will be disbursed between now and 2027. In total, it is expected to mobilise more than €150 billion in investment in the target sectors.

    Find out more about the EIB’s support for the energy sector here.

    Background information

    EIB

    The European Investment Bank (ElB) is the long-term lending institution of the European Union, owned by its Member States. It finances sound investments that further EU policy objectives. EIB projects bolster competitiveness, drive innovation, promote sustainable development, enhance social and territorial cohesion, and support a just and swift transition to climate neutrality.

    The EIB Group, consisting of the EIB and the European Investment Fund (EIF), reported total financing signatures in Spain of €11.4 billion in 2023, approximately €6.8 billion of which went to climate action and environmental sustainability projects. Overall, the EIB Group signed €88 billion in new financing in 2023.

    Red Eléctrica

    Red Eléctrica is the sole transmission agent and operator of the electricity system in Spain. Created in 1985, it is the first TSO in the world, being the first company dedicated exclusively to the operation of the electricity system and the transmission of electricity; a model currently implemented in 22 of the 27 countries of the EU.

    A subsidiary of Redeia, manager of essential electricity and telecommunications infrastructures, Red Eléctrica’s mission has always been to guarantee a safe and quality electricity supply and to develop a reliable electricity transmission grid to provide a service that is essential for households, companies and public services. It is now also a fundamental pillar of Spain’s ecological transition process, developing the grids necessary for this transformation and operating the system for an efficient and safe integration of renewable energies.

    MIL OSI Europe News –

  • MIL-OSI Europe: EIB Global and the European American Chamber of Commerce New York establish the Transatlantic Resilient Infrastructure Alliance

    Source: European Investment Bank

    EIB

    The European Investment Bank (EIB) and the European American Chamber of Commerce New York (EACCNY) signed a Memorandum of Understanding on Monday to establish the Transatlantic Resilient Infrastructure Alliance, a platform for engaging with the private sector to boost infrastructure financing in low- and middle-income countries.

    This alliance will provide a new grouping for a set of actors interested in infrastructure development and financing, building a transatlantic platform with major organisations from the US and Europe. Participants will include banks, institutional investors (such as pension funds, insurers, asset managers), and industry, all of which will join in an effort to develop sustainable financing options, identify and advance priority projects, and collaborate on the promotion of resilient infrastructure to build a sustainable future.

    TRIA will take as a basis the EIB’s long experience in financing infrastructure investments and complement this through dialogue with European and US businesses keen to support global sustainability goals.

    Based on the MoU, the alliance will regularly convene meetings between EIB senior staff and leaders from EACCNY member companies and associated organisations to improve shared understanding of the financing needs and opportunities in infrastructure projects in developing countries. The members of the alliance will work together to identify gaps in existing financing mechanisms and seek to identify solutions.

    “The initiative will allow us to build closer relationships with existing and potential clients and other partners interested in transatlantic cooperation in low- and middle-income countries,” said Markus Berndt, Head of the European Investment Bank’s Representation in Washington. “The EACCNY brings together a range of important corporates and institutions who have a lot of valuable insights, as we seek to ensure that more private sector finance reaches high priority investments.”

    “Considering the enormous needs in global infrastructure development at this critical moment in time, it is essential that Europe and the United States, two major economic powerhouses, come together and strategically address this challenge,” said Yvonne Bendinger-Rothschild, Executive Director of the EACCNY. “Bringing together public and private financing and expertise will help bridge the gap and improve the speed and efficiency of infrastructure investment around the world. Our members are ready to be part of this ambitious project.”

    The Transatlantic Resilient Infrastructure Alliance is aligned with the broader objectives of the EU’s Global Gateway strategy and the G7 Partnership for Global Infrastructure and Investment, aiming to promote sustainable investment in line with EU and international standards. The scope of TRIA will include all sectors of the Global Gateway strategy, namely digital, climate and energy, transport, health, and education, and their associated value chains.

    The European American Chamber of Commerce New York (EACCNY) is a platform connecting public and private sector entities on both sides of the Atlantic. The goal of the EACCNY is to stimulate transatlantic investment, cross-border business development and to facilitate networking and relationships between its members. To do this, the EACCNY provides its members with access to information, resources and support, on matters affecting business activities between Europe and the US.

    The European Investment Bank (EIB) is the long-term lending institution of the European Union owned by its Member States. It makes long-term finance available for sound investment in order to contribute towards EU policy goals.

    EIB Global is the EIB Group’s specialised arm devoted to increasing the impact of international partnerships and development finance, and a key partner in Global Gateway. We aim to support €100 billion of investment by the end of 2027, around one third of the overall target of this EU initiative. With Team Europe, EIB Global fosters strong, focused partnerships, alongside fellow development finance institutions and civil society. EIB Global brings the Group closer to people, companies and institutions through our offices around the world.

    EIB Global and the European American Chamber of Commerce New York establish the Transatlantic Resilient Infrastructure Alliance
    EIB Global and the European American Chamber of Commerce New York establish the Transatlantic Resilient Infrastructure Alliance
    ©EIB
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    EIB Global and the European American Chamber of Commerce New York establish the Transatlantic Resilient Infrastructure Alliance
    EIB Global and the European American Chamber of Commerce New York establish the Transatlantic Resilient Infrastructure Alliance
    ©EIB
    Download original

    MIL OSI Europe News –