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Category: Finance

  • MIL-OSI USA: Man Who Murdered Fellow Soldier on Military Base in Germany Sentenced to Prison

    Source: US State of California

    A former U.S. soldier was sentenced today to 30 years in prison for the murder of a pregnant, 19-year-old fellow soldier on a U.S. Army base in Germany over 22 years ago.

    On May 7, a jury in Pensacola, Florida, found Shannon L. Wilkerson, 44, guilty of second-degree murder in the death of Amanda Gonzales.

    According to court documents, Wilkerson beat and strangled Amanda Gonzales to death on Nov. 3, 2001, in her barracks room at Fliegerhorst Kaserne, then a U.S. Army base in Hanau, Germany. Evidence introduced at trial indicated that Wilkerson feared he was the father of Gonzales’ unborn child and that her pregnancy would interfere with his military career and his marriage to another soldier on the base. Wilkerson was a member of the U.S. Armed Forces at the time of the offense but was later discharged.

    “Shannon Wilkerson brutally murdered Amanda Gonzales, a fellow soldier who Wilkerson knew was pregnant at the time,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “While nothing we can do will reunite Amanda with her family, we hope today’s sentencing brings some measure of closure and comfort to Amanda’s loved ones. I am proud of the dedicated and hardworking members of the Criminal Division and our law enforcement partners, who are committed to pursuing justice for victims of violent crime, no matter how challenging that pursuit may be.”

    “The murder of Amanda Gonzales and her unborn child was a horrific act of violence,” said U.S. Attorney Jason R. Coody for the Northern District of Florida. “This decades-long investigation and resulting prosecution demonstrate the unwavering resolve of our law enforcement partners and their commitment to obtain justice for the victims and their family. The defendant took the life of a 19-year-old woman serving her country far from home — knowing that he was killing her unborn child. The sentence acknowledges the brutal, selfish nature of his crime and imposes just punishment.”

    “Justice for victims is not just a promise, it’s a commitment, no matter how long it takes,” said Assistant Director Chad Yarbrough of the FBI Criminal Investigative Division. “This sentencing comes just as Amanda Gonzales’ family will mark 23 years since she and her unborn child were brutally murdered by Shannon Wilkerson on Nov. 3, 2001. While no amount of prison time will bring the young Army solider back, we hope this will close another chapter in the Gonzales family’s grieving process.”

    The FBI New York and Jacksonville Field Offices investigated this case, with assistance from the Army Criminal Investigative Division, which originally investigated the case.

    Trial Attorney Patrick Jasperse of the Criminal Division’s Human Rights and Special Prosecutions Section and Assistant U.S. Attorney David L. Goldberg for the Northern District of Florida prosecuted the case.

    MIL OSI USA News –

  • MIL-OSI Security: Coldbrook — Missing youth: Help the RCMP find Tyson Taylor

    Source: Royal Canadian Mounted Police

    October 25, 2024, Coldbrook, Nova Scotia… Kings District RCMP is asking for the public’s assistance in locating 15-year-old Tyson Taylor.

    Tyson is described as 5-foot-11, 175 lbs., with brown hair and blue eyes. Investigators believe he may be in the Berwick area.

    When someone goes missing, it has deep and far-reaching impacts for the person and those who know them. We ask that people spread the word through respectfully.

    Anyone with information on the whereabouts of Tyson Taylor is asked to contact Kings District RCMP at 902-679-5555. If you wish to remain anonymous, call Nova Scotia Crime Stoppers, toll free, at 1-800-222-TIPS (8477), submit a secure web tip at www.crimestoppers.ns.ca, or use the P3 Tips App.

    File #: 2024-1568992

    –30–

    Sgt. Deepak Prasad

    Public Information Officer
    Nova Scotia RCMP
    rcmpns-grcne@rcmp-grc.gc.ca

    MIL Security OSI –

  • MIL-OSI Security: Man Who Murdered Fellow Soldier on Military Base in Germany Sentenced to Prison

    Source: United States Attorneys General

    A former U.S. soldier was sentenced today to 30 years in prison for the murder of a pregnant, 19-year-old fellow soldier on a U.S. Army base in Germany over 22 years ago.

    On May 7, a jury in Pensacola, Florida, found Shannon L. Wilkerson, 44, guilty of second-degree murder in the death of Amanda Gonzales.

    According to court documents, Wilkerson beat and strangled Amanda Gonzales to death on Nov. 3, 2001, in her barracks room at Fliegerhorst Kaserne, then a U.S. Army base in Hanau, Germany. Evidence introduced at trial indicated that Wilkerson feared he was the father of Gonzales’ unborn child and that her pregnancy would interfere with his military career and his marriage to another soldier on the base. Wilkerson was a member of the U.S. Armed Forces at the time of the offense but was later discharged.

    “Shannon Wilkerson brutally murdered Amanda Gonzales, a fellow soldier who Wilkerson knew was pregnant at the time,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “While nothing we can do will reunite Amanda with her family, we hope today’s sentencing brings some measure of closure and comfort to Amanda’s loved ones. I am proud of the dedicated and hardworking members of the Criminal Division and our law enforcement partners, who are committed to pursuing justice for victims of violent crime, no matter how challenging that pursuit may be.”

    “The murder of Amanda Gonzales and her unborn child was a horrific act of violence,” said U.S. Attorney Jason R. Coody for the Northern District of Florida. “This decades-long investigation and resulting prosecution demonstrate the unwavering resolve of our law enforcement partners and their commitment to obtain justice for the victims and their family. The defendant took the life of a 19-year-old woman serving her country far from home — knowing that he was killing her unborn child. The sentence acknowledges the brutal, selfish nature of his crime and imposes just punishment.”

    “Justice for victims is not just a promise, it’s a commitment, no matter how long it takes,” said Assistant Director Chad Yarbrough of the FBI Criminal Investigative Division. “This sentencing comes just as Amanda Gonzales’ family will mark 23 years since she and her unborn child were brutally murdered by Shannon Wilkerson on Nov. 3, 2001. While no amount of prison time will bring the young Army solider back, we hope this will close another chapter in the Gonzales family’s grieving process.”

    The FBI New York and Jacksonville Field Offices investigated this case, with assistance from the Army Criminal Investigative Division, which originally investigated the case.

    Trial Attorney Patrick Jasperse of the Criminal Division’s Human Rights and Special Prosecutions Section and Assistant U.S. Attorney David L. Goldberg for the Northern District of Florida prosecuted the case.

    MIL Security OSI –

  • MIL-OSI: The First of Long Island Corporation Reports Earnings for the Third Quarter of 2024

    Source: GlobeNewswire (MIL-OSI)

    MELVILLE, N.Y., Oct. 24, 2024 (GLOBE NEWSWIRE) — The First of Long Island Corporation (Nasdaq: FLIC, the “Company” or the “Corporation”), the parent of The First National Bank of Long Island (the “Bank”), reported earnings for the three and nine months ended September 30, 2024.

    President and Chief Executive Officer Chris Becker commented on the Company’s results: “We are encouraged by a second consecutive linked quarter showing improvements in key financial metrics. After an increase in the net interest margin of one basis point in the second quarter of 2024 from the first quarter of 2024, the margin increased nine basis points in the third quarter of 2024 when compared to second quarter of 2024. We are optimistic the trend will continue during the fourth quarter of this year. Excluding merger and branch consolidation expenses, our noninterest expense remains well controlled and in line with expectations. Finally, our credit quality results remained strong.”

    Analysis of Earnings – Nine Months Ended September 30, 2024

    Net income and earnings per share (“EPS”) for the nine months ended September 30, 2024, were $13.8 million and $0.61, respectively, as compared to $20.2 million and $0.89, respectively, in the same period of 2023.  Adjusted net income and EPS for the current nine-month period, which exclude merger and branch consolidation expenses, were $14.8 million and $0.66, respectively (see “Non-GAAP Reconciliation” table at the end of this release). The principal drivers of the change in adjusted net income were a decline in net interest income of $11.7 million, or 17.5%, and a provision for credit losses of $740,000 as compared to a provision reversal of $1.2 million in the prior period, partially offset by a loss on sales of securities of $3.5 million in the first quarter of 2023, an increase in remaining noninterest income of $1.4 million, and decreases in noninterest expense of $1.2 million and income tax expense of $2.2 million. The nine months ended 2024 produced a return on average assets (“ROA”) of 0.44%, a return on average equity (“ROE”) of 4.88%, an efficiency ratio of 76.39%, and a net interest margin of 1.83%.  Excluding merger and branch consolidation expenses, adjusted ROA and ROE were 0.47% and 5.23%, respectively, and the adjusted efficiency ratio was 74.21% (see “Non-GAAP Reconciliation” table at the end of this release).

    Net interest income declined when comparing the first nine months of 2024 and 2023 due to an increase in interest expense of $23.4 million that was only partially offset by a $11.7 million increase in interest income. The cost of interest-bearing liabilities increased 109 basis points while the yield on interest-earning assets increased 38 basis points when comparing the nine-month periods.  The Bank’s balance sheet remains liability sensitive, however the pace of repricing of average interest-earning assets began outpacing the repricing of average interest-bearing liabilities in the third quarter.

    The Bank recorded a provision for credit losses of $740,000 for the nine months ended 2024, compared to a provision reversal of $1.2 million in the same period of 2023. The allowance for credit losses declined when compared to year-end 2023 largely due to declines in historical loss rates and reserves on individually evaluated loans, partially offset by a deterioration in current and forecasted economic conditions, including adjustments for rent stabilization status of multifamily properties. The reserve coverage ratio remained stable at 0.88% of total loans at September 30, 2024 as compared to 0.88% at June 30, 2024 and 0.89% at December 31, 2023. Past due loans and nonaccrual loans were at $346,000 and $2.9 million, respectively, on September 30, 2024. Overall credit quality of the loan and investment portfolios remains strong.

    Noninterest income, excluding the loss on sales of securities of $3.5 million in the 2023 period, increased $1.4 million, or 19.1%, when comparing the first nine months of 2024 and 2023. Recurring components of noninterest income including bank-owned life insurance (“BOLI”) and service charges on deposit accounts had increases of 8.0% and 13.4%, respectively. Other noninterest income increased 33.2% and included increases of $469,000 in merchant card services, $232,000 in back-to-back swap fees, and $181,000 in pension income, which were partially offset by a gain on disposition of premises and fixed assets of $240,000 in 2023.

    Noninterest expense increased $254,000, or 0.5%, for the nine months of 2024, as compared to the same period in 2023. Excluding merger and branch consolidation expenses, adjusted noninterest expense decreased by $1.2 million (See “Non-GAAP Reconciliation” table at the end of this release). Reductions in occupancy and equipment expense of $685,000 and telecommunication expense of $383,000 drove the decline in adjusted noninterest expense. The decrease in occupancy and equipment expense was largely due to the ongoing branch optimization strategy, which resulted in the closing of various locations. Telecom expense decreased mainly due to efficiencies associated with system upgrades.

    Income tax expense decreased $2.7 million, and the effective tax rate declined to (0.3)% for the nine months ended 2024 as compared to 11.6% for the same period in prior year. The decline in the effective tax rate is mainly due to an increase in the percentage of pre-tax income derived from the Bank’s real estate investment trust reducing the state and local income tax due. The decrease in income tax expense reflects the lower effective tax rate and a decline in pre-tax income.

    Analysis of Earnings – Third Quarter 2024 Versus Third Quarter 2023

    Net income for the third quarter of 2024 decreased $2.2 million as compared to the third quarter of last year. Adjusted net income for the third quarter decreased by $1.2 million (see “Non-GAAP Reconciliation” table at the end of this release). The change in adjusted net income is mainly attributable to a $2.8 million decline in net interest income for substantially the same reasons discussed above with respect to the nine-month periods along with a $341,000 increase in the provision for credit losses.  Partially offsetting the decreases, was an increase in noninterest income of $966,000 for substantially the same reasons discussed above with respect to the nine-month periods. The quarter produced a ROA of 0.44%, a ROE of 4.77%, an efficiency ratio of 79.09%, and a net interest margin of 1.89%.  On an adjusted basis, ROA and ROE were 0.53% and 5.79%, respectively, and the efficiency ratio was 72.69% (see “Non-GAAP Reconciliation” table at the end of this release).

    Analysis of Earnings –Third Quarter 2024 Versus Second Quarter 2024

    Net income for the third quarter of 2024 decreased $199,000 compared to the second quarter of 2024. Adjusted net income for the third quarter increased by $782,000 (see “Non-GAAP Reconciliation” table at the end of this release). The increase in adjusted net income was partially due to an increase in net interest income of $169,000, a decrease in the provision for credit losses of $400,000, and an increase in back-to-back swap fees of $232,000.  

    Net interest income increased due to an increase in net interest margin. The increase in the net interest margin to 1.89% in the third quarter of 2024 from 1.80% in the second quarter of 2024 was largely due to the repricing of wholesale funding at lower costs largely offsetting the increase in cost of other interest-bearing liabilities while the yield on interest-earning assets continued to rise. Additionally, average interest-bearing deposits decreased $35.8 million and average higher cost borrowings decreased $65.6 million.

    The decrease in income tax expense was substantially due to the same reasons discussed above with respect to the nine-month periods.

    Liquidity

    Total average deposits declined by $89.6 million, or 2.6%, when comparing the nine-month periods of 2024 and 2023. On September 30, 2024, overnight advances and other borrowings were down by $70.0 million and $27.5 million, respectively, from year-end 2023. The Bank had $582.8 million in collateralized borrowing lines with the Federal Home Loan Bank of New York and the Federal Reserve Bank, as well as a $20 million unsecured line of credit with a correspondent bank. We also had $312.9 million in unencumbered cash and securities. In total, we had approximately $915.7 million of available liquidity on September 30, 2024.  At September 30, 2024, uninsured deposits were 45.9% of total deposits. 

    Capital

    The Corporation’s capital position remains strong with a leverage ratio of approximately 10.13% on September 30, 2024.  Book value per share was $17.25 on September 30, 2024, versus $16.83 on December 31, 2023. The accumulated other comprehensive loss component of stockholders’ equity is mainly comprised of a net unrealized loss in the available-for-sale securities portfolio due to higher market interest rates. The Company declared its quarterly cash dividend of $0.21 per share during the quarter. There were no share repurchases during the quarter. The Board and management continue to evaluate the quarterly dividend to provide the best opportunity to maximize shareholder value.

    Forward Looking Information

    This earnings release contains various “forward-looking statements” within the meaning of that term as set forth in Rule 175 of the Securities Act of 1933 and Rule 3b-6 of the Securities Exchange Act of 1934. Such statements are generally contained in sentences including the words “may” or “expect” or “could” or “should” or “would” or “believe” or “anticipate”. The Corporation cautions that these forward-looking statements are subject to numerous assumptions, risks and uncertainties that could cause actual results to differ materially from those contemplated by the forward-looking statements. Factors that could cause future results to vary from current management expectations include, but are not limited to, changing economic conditions; legislative and regulatory changes; monetary and fiscal policies of the federal government; changes in interest rates; deposit flows and the cost of funds; demand for loan products; competition; changes in management’s business strategies; changes in accounting principles, policies or guidelines; changes in real estate values; and other factors discussed in the “risk factors” section of the Corporation’s filings with the Securities and Exchange Commission (“SEC”). The forward-looking statements are made as of the date of this press release, and the Corporation assumes no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those projected in the forward-looking statements.

    For more detailed financial information please see the Corporation’s quarterly report on Form 10-Q for the quarter ended September 30, 2024. The Form 10-Q will be available through the Bank’s website at www.fnbli.com on or about October 28, 2024, when it is anticipated to be electronically filed with the SEC. Our SEC filings are also available on the SEC’s website at www.sec.gov.

               
    CONSOLIDATED BALANCE SHEETS
    (Unaudited)
               
      9/30/2024     12/31/2023  
      (dollars in thousands)  
    Assets:              
    Cash and cash equivalents $ 78,568     $ 60,887  
    Investment securities available-for-sale, at fair value   659,696       695,877  
                   
    Loans:              
    Commercial and industrial   146,440       116,163  
    Secured by real estate:              
    Commercial mortgages   1,950,008       1,919,714  
    Residential mortgages   1,103,937       1,166,887  
    Home equity lines   36,962       44,070  
    Consumer and other   1,150       1,230  
        3,238,497       3,248,064  
    Allowance for credit losses   (28,647 )     (28,992 )
        3,209,850       3,219,072  
                   
    Restricted stock, at cost   28,191       32,659  
    Bank premises and equipment, net   30,180       31,414  
    Right-of-use asset – operating leases   20,359       22,588  
    Bank-owned life insurance   116,192       114,045  
    Pension plan assets, net   10,421       10,740  
    Deferred income tax benefit   27,779       28,996  
    Other assets   20,243       19,622  
      $ 4,201,479     $ 4,235,900  
    Liabilities:              
    Deposits:              
    Checking $ 1,121,871     $ 1,133,184  
    Savings, NOW and money market   1,594,317       1,546,369  
    Time   610,876       591,433  
        3,327,064       3,270,986  
                   
    Overnight advances   —       70,000  
    Other borrowings   445,000       472,500  
    Operating lease liability   22,876       24,940  
    Accrued expenses and other liabilities   17,958       17,328  
        3,812,898       3,855,754  
    Stockholders’ Equity:              
    Common stock, par value $0.10 per share:              
    Authorized, 80,000,000 shares;              
    Issued and outstanding, 22,532,080 and 22,590,942 shares   2,253       2,259  
    Surplus   79,157       79,728  
    Retained earnings   355,541       355,887  
        436,951       437,874  
    Accumulated other comprehensive loss, net of tax   (48,370 )     (57,728 )
        388,581       380,146  
      $ 4,201,479     $ 4,235,900  
                   
                   
    CONSOLIDATED STATEMENTS OF INCOME
    (Unaudited)
               
      Nine Months Ended     Three Months Ended  
      9/30/2024     9/30/2023     9/30/2024     9/30/2023  
      (dollars in thousands)  
    Interest and dividend income:                              
    Loans $ 102,679     $ 94,706     $ 35,026     $ 32,818  
    Investment securities:                              
    Taxable   20,701       15,877       6,229       6,594  
    Nontaxable   2,872       3,976       955       1,004  
        126,252       114,559       42,210       40,416  
    Interest expense:                              
    Savings, NOW and money market deposits   33,637       22,188       12,117       8,802  
    Time deposits   20,748       13,086       6,712       5,785  
    Overnight advances   392       596       125       50  
    Other borrowings   16,283       11,782       4,656       4,347  
        71,060       47,652       23,610       18,984  
    Net interest income   55,192       66,907       18,600       21,432  
    Provision (credit) for credit losses   740       (1,227 )     170       (171 )
    Net interest income after provision (credit) for credit losses   54,452       68,134       18,430       21,603  
                                   
    Noninterest income:                              
    Bank-owned life insurance   2,573       2,383       876       809  
    Service charges on deposit accounts   2,543       2,243       842       703  
    Net loss on sales of securities   —       (3,489 )     —       —  
    Other   3,732       2,802       1,492       732  
        8,848       3,939       3,210       2,244  
    Noninterest expense:                              
    Salaries and employee benefits   29,169       29,268       9,695       9,649  
    Occupancy and equipment   9,289       9,974       2,965       3,253  
    Merger expenses   866       —       866       —  
    Branch consolidation expenses   547       —       547       —  
    Other   9,635       10,010       3,378       3,262  
        49,506       49,252       17,451       16,164  
    Income before income taxes   13,794       22,821       4,189       7,683  
    Income tax (credit) expense   (38 )     2,641       (410 )     883  
    Net income $ 13,832     $ 20,180     $ 4,599     $ 6,800  
                                   
    Share and Per Share Data:                              
    Weighted Average Common Shares   22,520,026       22,538,520       22,529,051       22,569,716  
    Dilutive restricted stock units   87,716       69,010       138,272       86,914  
    Dilutive weighted average common shares   22,607,742       22,607,530       22,667,323       22,656,630  
                                   
    Basic EPS $ 0.61     $ 0.90     $ 0.20     $ 0.30  
    Diluted EPS   0.61       0.89       0.20       0.30  
    Cash Dividends Declared per share   0.63       0.63       0.21       0.21  
                                   
    FINANCIAL RATIOS  
    (Unaudited)  
    ROA   0.44 %     0.64 %     0.44 %     0.63 %
    ROE   4.88       7.29       4.77       7.34  
    Net Interest Margin   1.83       2.21       1.89       2.13  
    Dividend Payout Ratio   103.28       70.79       105.00       70.00  
    Efficiency Ratio   76.39       65.33       79.09       67.51  
                                   
                                   
    PROBLEM AND POTENTIAL PROBLEM LOANS AND ASSETS
    (Unaudited)
               
      9/30/2024     12/31/2023  
      (dollars in thousands)  
    Loans including modifications to borrowers experiencing financial difficulty:              
    Modified and performing according to their modified terms $ 424     $ 431  
    Past due 30 through 89 days   346       3,086  
    Past due 90 days or more and still accruing   —       —  
    Nonaccrual   2,899       1,053  
        3,669       4,570  
    Other real estate owned   —       —  
      $ 3,669     $ 4,570  
                   
    Allowance for credit losses $ 28,647     $ 28,992  
    Allowance for credit losses as a percentage of total loans   0.88 %     0.89 %
    Allowance for credit losses as a multiple of nonaccrual loans   9.9 x     27.5 x
                   
                   
    AVERAGE BALANCE SHEET, INTEREST RATES AND INTEREST DIFFERENTIAL
    (Unaudited)
           
        Nine Months Ended September 30,  
        2024     2023  
        Average     Interest/     Average     Average     Interest/     Average  
    (dollars in thousands)   Balance     Dividends     Rate     Balance     Dividends     Rate  
    Assets:                                                
    Interest-earning bank balances   $ 66,593     $ 2,724       5.46 %   $ 52,163     $ 1,969       5.05 %
    Investment securities:                                                
    Taxable (1)     620,721       17,977       3.86       564,857       13,908       3.28  
    Nontaxable (1) (2)     152,758       3,636       3.17       209,566       5,033       3.20  
    Loans (1) (2)     3,236,794       102,679       4.23       3,266,184       94,708       3.87  
    Total interest-earning assets     4,076,866       127,016       4.15       4,092,770       115,618       3.77  
    Allowance for credit losses     (28,590 )                     (30,531 )                
    Net interest-earning assets     4,048,276                       4,062,239                  
    Cash and due from banks     32,844                       31,410                  
    Premises and equipment, net     30,979                       32,107                  
    Other assets     122,671                       115,167                  
        $ 4,234,770                     $ 4,240,923                  
    Liabilities and Stockholders’ Equity:                                                
    Savings, NOW & money market deposits   $ 1,589,154       33,637       2.83     $ 1,668,506       22,188       1.78  
    Time deposits     625,553       20,748       4.43       536,529       13,086       3.26  
    Total interest-bearing deposits     2,214,707       54,385       3.28       2,205,035       35,274       2.14  
    Overnight advances     9,303       392       5.63       14,993       596       5.31  
    Other borrowings     457,053       16,283       4.76       377,053       11,782       4.18  
    Total interest-bearing liabilities     2,681,063       71,060       3.54       2,597,081       47,652       2.45  
    Checking deposits     1,136,738                       1,236,001                  
    Other liabilities     38,354                       37,736                  
          3,856,155                       3,870,818                  
    Stockholders’ equity     378,615                       370,105                  
        $ 4,234,770                     $ 4,240,923                  
                                                     
    Net interest income (2)           $ 55,956                     $ 67,966          
    Net interest spread (2)                     0.61 %                     1.32 %
    Net interest margin (2)                     1.83 %                     2.21 %
                                                     
    (1) The average balances of loans include nonaccrual loans. The average balances of investment securities exclude unrealized gains and losses on available-for-sale securities.
    (2) Tax-equivalent basis. Interest income on a tax-equivalent basis includes the additional amount of interest income that would have been earned if the Corporation’s investment in tax-exempt loans and investment securities had been made in loans and investment securities subject to federal income taxes yielding the same after-tax income. The tax-equivalent amount of $1.00 of nontaxable income was $1.27 for each period presented using the statutory federal income tax rate of 21%.
       
    AVERAGE BALANCE SHEET, INTEREST RATES AND INTEREST DIFFERENTIAL
    (Unaudited)
           
        Three Months Ended September 30,  
        2024     2023  
        Average     Interest/     Average     Average     Interest/     Average  
    (dollars in thousands)   Balance     Dividends     Rate     Balance     Dividends     Rate  
    Assets:                                                
    Interest-earning bank balances   $ 33,463     $ 453       5.39 %   $ 66,474     $ 902       5.38 %
    Investment securities:                                                
    Taxable (1)     602,446       5,776       3.84       625,827       5,692       3.64  
    Nontaxable (1) (2)     152,278       1,209       3.18       161,423       1,271       3.15  
    Loans (1)     3,237,138       35,026       4.33       3,257,256       32,818       4.03  
    Total interest-earning assets     4,025,325       42,464       4.22       4,110,980       40,683       3.96  
    Allowance for credit losses     (28,495 )                     (29,981 )                
    Net interest-earning assets     3,996,830                       4,080,999                  
    Cash and due from banks     33,028                       33,420                  
    Premises and equipment, net     30,754                       32,268                  
    Other assets     126,428                       113,084                  
        $ 4,187,040                     $ 4,259,771                  
    Liabilities and Stockholders’ Equity:                                                
    Savings, NOW & money market deposits   $ 1,614,294       12,117       2.99     $ 1,655,032       8,802       2.11  
    Time deposits     600,873       6,712       4.44       587,814       5,785       3.90  
    Total interest-bearing deposits     2,215,167       18,829       3.38       2,242,846       14,587       2.58  
    Overnight advances     8,793       125       5.66       3,478       50       5.70  
    Other borrowings     396,739       4,656       4.67       382,500       4,347       4.51  
    Total interest-bearing liabilities     2,620,699       23,610       3.58       2,628,824       18,984       2.87  
    Checking deposits     1,146,274                       1,225,052                  
    Other liabilities     36,805                       38,123                  
          3,803,778                       3,891,999                  
    Stockholders’ equity     383,262                       367,772                  
        $ 4,187,040                     $ 4,259,771                  
                                                     
    Net interest income (2)           $ 18,854                     $ 21,699          
    Net interest spread (2)                     0.64 %                     1.09 %
    Net interest margin (2)                     1.89 %                     2.13 %
                                                     
    (1) The average balances of loans include nonaccrual loans. The average balances of investment securities exclude unrealized gains and losses on available-for-sale securities.
    (2) Tax-equivalent basis. Interest income on a tax-equivalent basis includes the additional amount of interest income that would have been earned if the Corporation’s investment in tax-exempt investment securities had been made in investment securities subject to federal income taxes yielding the same after-tax income. The tax-equivalent amount of $1.00 of nontaxable income was $1.27 for each period presented using the statutory federal income tax rate of 21%.
       

    NON-GAAP RECONCILIATION
    (Unaudited)

    The following tables provide supplemental non-GAAP financial measures which management uses internally to help understand, manage, and evaluate our business performance and to help make operating decisions. These supplemental financial measures are not measurements of financial performance under generally accepted accounting principles in the United States (“GAAP”) and, as a result may not be comparable to similarly titled measures of other companies. The Corporation believes that these non-GAAP financial measures are useful to investors and analysts in comparing our performance across reporting periods on a consistent basis. The Corporation also believes the use of these non-GAAP financial measures can facilitate comparison of our operating results to those of our competitors. The following non-GAAP financial measures exclude merger related and branch consolidation expenses:  

               
      Nine Months Ended     Three Months Ended  
      9/30/2024     9/30/2023     9/30/2024     9/30/2023  
      (dollars in thousands, except per share data)  
    Reconciliation of adjusted net income:                              
    Net income $ 13,832     $ 20,180     $ 4,599     $ 6,800  
    Adjustments to net income:                              
    Merger expenses   866       —       866       —  
    Branch consolidation expenses   547       —       547       —  
    Income tax effect of adjustments (1)   (432 )     —       (432 )     —  
    Adjusted net income $ 14,813     $ 20,180     $ 5,580     $ 6,800  
                                   
    Diluted EPS                              
    Net income $ 13,832     $ 20,180     $ 4,599     $ 6,800  
    Adjusted net income   14,813       20,180       5,580       6,800  
                                   
    Dilutive weighted average common shares   22,607,742       22,607,530       22,667,323       22,656,630  
                                   
    Diluted EPS $ 0.61     $ 0.89     $ 0.20     $ 0.30  
    Adjusted Diluted EPS   0.66       0.89       0.25       0.30  
                                   
    ROA and ROE                              
    Net income $ 13,832     $ 20,180     $ 4,599     $ 6,800  
    Adjusted net income   14,813       20,180       5,580       6,800  
                                   
    Average Total Assets $ 4,234,770     $ 4,240,923     $ 4,187,040     $ 4,259,771  
    Average Total Equity   378,615       370,105       383,262       367,772  
                                   
    ROA   0.44 %     0.64 %     0.44 %     0.63 %
    Adjusted ROA   0.47       0.64       0.53       0.63  
                                   
    ROE   4.88 %     7.29 %     4.77 %     7.34 %
    Adjusted ROE   5.23       7.29       5.79       7.34  
                                   
    Efficiency Ratio                              
    Noninterest expense $ 49,506     $ 49,252     $ 17,451     $ 16,164  
    Adjustments to noninterest expense:                              
    Merger expenses   (866 )     —       (866 )     —  
    Branch consolidation expenses   (547 )     —       (547 )     —  
    Adjusted noninterest expense $ 48,093     $ 49,252     $ 16,038     $ 16,164  
                                   
    Net interest income $ 55,956       67,966       18,854       21,699  
    Noninterest income   8,848       3,939       3,210       2,244  
    Total revenue $ 64,804     $ 71,905     $ 22,064     $ 23,943  
                                   
    Efficiency Ratio   76.39 %     65.33 %     79.09 %     67.51 %
    Adjusted Efficiency Ratio   74.21       65.33       72.69       67.51  
                                   

    (1) Adjustments to net income are taxed at the Corporation’s approximate statutory rate. 

    For More Information Contact:
    Janet Verneuille, SEVP and CFO
    (516) 671-4900, Ext. 7462

    The MIL Network –

  • MIL-OSI: Blue Ribbon Income Fund Announces Monthly Distributions

    Source: GlobeNewswire (MIL-OSI)

    TORONTO, Oct. 24, 2024 (GLOBE NEWSWIRE) — (TSX: RBN.UN) Blue Ribbon Income Fund (the “Fund”) announces distributions in the amount of $0.04 per unit per month for record dates from October to December 2024.

    Record Date   Payment Date
    October 31, 2024   November 14, 2024
    November 29, 2024   December 13, 2024
    December 31, 2024   January 15, 2025

    Since the Fund’s inception in September 1997, the Fund has paid cash distributions of $21.69 per unit.  

    Unitholders are reminded that the Fund offers a distribution reinvestment plan (“DRIP”) which provides unitholders with the ability to automatically reinvest distributions, commission free, and realize the benefits of compound growth. Unitholders can enroll in the DRIP program by contacting their investment advisor.

    For further information, please contact your investment advisor, call Brompton’s investor relations line at 416-642-6000 (toll-free at 1-866-642-6001), email info@bromptongroup.com or visit our website at www.blueribbonincomefund.com.

    You will usually pay brokerage fees to your dealer if you purchase or sell units of the investment fund on the Toronto Stock Exchange or other alternative Canadian trading system (an “exchange”). If the units are purchased or sold on an exchange, investors may pay more than the current net asset value when buying units of the investment fund and may receive less than the current net asset value when selling them.

    There are ongoing fees and expenses associated with owning units of an investment fund. An investment fund must prepare disclosure documents that contain key information about the fund. You can find more detailed information about the Fund in the public filings available at www.sedarplus.ca. Investment funds are not guaranteed, their values change frequently and past performance may not be repeated.

    Certain statements contained in this news release constitute forward-looking information within the meaning of Canadian securities laws. Forward-looking information may relate to matters disclosed in this press release and to other matters identified in public filings relating to the Fund, to the future outlook of the Fund and anticipated events or results and may include statements regarding the future financial performance of the Fund. In some cases, forward-looking information can be identified by terms such as “may”, “will”, “should”, “expect”, “plan”, “anticipate”, “believe”, “intend”, “estimate”, “predict”, “potential”, “continue” or other similar expressions concerning matters that are not historical facts. Actual results may vary from such forward-looking information. Investors should not place undue reliance on forward-looking statements. These forward-looking statements are made as of the date hereof and we assume no obligation to update or revise them to reflect new events or circumstances.

    The MIL Network –

  • MIL-OSI: Mattr Announces Conference Call/Webcast to Discuss Third Quarter 2024 Results Thursday, November 14th, 2024 at 9:00AM ET

    Source: GlobeNewswire (MIL-OSI)

    TORONTO, Oct. 24, 2024 (GLOBE NEWSWIRE) — Mattr Corp. (“Mattr” or the “Company”) (TSX: MATR) announced today that it expects to report its financial results for the period ended September 30th, 2024 on Wednesday, November 13th, 2024 after the market closes for trading on the TSX.

    A conference call/webcast to discuss these results will be held on Thursday, November 14th, 2024 at 9:00am ET. Mattr will use a presentation to accompany its conference call. The presentation can be found on the Company’s website in advance of the earnings call and can also be accessed via the conference call/webcast.

    Please visit the Mattr Investor Centre website at mattr.com or use the following link https://investors.mattr.com/news-events/events-and-presentations for further details.

    About Mattr

    Mattr is a growth-oriented, global materials technology company broadly serving critical infrastructure markets, including transportation, communication, water management, energy and electrification. The Company operates through a network of fixed manufacturing facilities. Its two business segments, Composite Technologies and Connection Technologies, enable responsible renewal and enhancement of critical infrastructure while lowering risk.

    For further information, please contact

    Meghan MacEachern
    VP, External Communications & ESG
    Telephone: 437.341.1848
    Email: meghan.maceachern@mattr.com
    Website: www.mattr.com

    Source: Mattr Corp.

    The MIL Network –

  • MIL-OSI USA: Capito Announces $49.7 Million to Upgrade WV’s Drinking Water, Wastewater Infrastructure

    US Senate News:

    Source: United States Senator for West Virginia Shelley Moore Capito

    CHARLESTON, W.Va. — Today, U.S. Senator Shelley Moore Capito (R-W.Va.), Ranking Member of the Senate Environment and Public Works (EPW) Committee, and member of the Senate Appropriations Committee, announced $49.7 million for drinking water and wastewater infrastructure upgrades in West Virginia. This funding was made available through this year’s Clean Water and Drinking Water State Revolving Funds, made possible by the Infrastructure Investment and Jobs Act.

    “A central aspect of the Infrastructure Investment and Jobs Act is delivering the resources our states need to improve and expand their drinking water and wastewater systems, which was commissioned through diligent efforts at the Environment and Public Works Committee. Through that process, we made certain our states maintained the flexibility they need to address the issues most important to their residents, providing a significant boost to our communities and the services they rely on. I’m pleased to see these resources heading our way to further upgrade our local infrastructure and provide safe, clean water for West Virginians,” Ranking Member Capito said.

    BACKGROUND:

    From April 2021: EPW Committee Ranking Member Capito applauded passage of the Drinking Water and Wastewater Infrastructure Act of 2021 (DWWIA 2021), legislation she introduced and co-wrote along with Senator Tom Carper (D-Del.), Chairman of the EPW Committee.

    The Drinking Water and Wastewater Infrastructure Act of 2021 (DWWIA) makes significant investments in the U.S. Environmental Protection Agency’s (EPA) grant and loan programs, including the Clean Water and Drinking Water State Revolving Funds, or SRFs, and the Water Infrastructure Finance and Innovation Act (WIFIA) that are vital to support our nation’s water infrastructure. The legislation was enacted as part of the Infrastructure Investment and Jobs Act.

    MIL OSI USA News –

  • MIL-OSI: Sustainable Power & Infrastructure Split Corp. Increases Class A Share Distribution

    Source: GlobeNewswire (MIL-OSI)

    TORONTO, Oct. 24, 2024 (GLOBE NEWSWIRE) — Sustainable Power & Infrastructure Split Corp. class A shares (the “Class A Shares”) have delivered a 66.6% year-to-date return and a 13.5% per annum return since inception in May 2021(1). As a result of this strong performance, a positive outlook for the sectors Sustainable Power & Infrastructure Split Corp. (the “Fund”) invests in and dividend growth from the Fund’s portfolio holdings, Brompton Funds is pleased to announce an increase to the monthly distribution rate from $0.06667 to $0.085 per Class A Share. The new distribution rate for the Class A Shares of $1.02 per annum, or 10.5%(2) based on the TSX closing price of $9.70 on October 23, 2024, represents a 27.5% increase from the previous level of $0.80 per annum.

    Brompton Funds announces a distribution payable November 14, 2024 to the Fund’s Class A shareholders of record at the close of business on October 31, 2024:

      Ticker Amount per Share
    Sustainable Power & Infrastructure Split Corp. PWI $0.085

    The Fund invests in a globally diversified and actively managed portfolio (the “Portfolio”) consisting primarily of dividend-paying securities of power and infrastructure companies whose assets, products and services Brompton Funds Limited, the manager, believes are facilitating the multi-decade transition toward decarbonization and environmental sustainability. The Portfolio may include investments in companies operating in the areas of renewable power (wind, solar, hydroelectric), green transportation (electric vehicles, energy transportation and storage, railroads, carbon capture), energy efficiency (smart grids, smart meters, building efficiency), and communications (communication networks, 5G wireless technology), among others.

    The Fund’s Class A Shares have significantly outperformed the S&P Global Infrastructure Total Return Index and the MSCI World Total Return Index year-to-date, over 1-year, 3-years, and since inception(1).

    Annual Compound Returns(1) YTD 1-Year 3-Year Inception
    		  
    Sustainable Power & Infrastructure Split Corp. (TSX: PWI) 66.6 % 101.5 % 16.1 % 13.5 %  
    S&P Global Infrastructure Total Return Index 18.0 % 30.8 % 9.6 % 8.2 %  
    MSCI World Total Return Index 19.3 % 32.9 % 9.6 % 9.4 %  


    About Brompton Funds

    Founded in 2000, Brompton is an experienced investment fund manager with income and growth focused investment solutions including exchange-traded funds (ETFs) and other Toronto Stock Exchange (“TSX”) traded investment funds. For further information, please contact your investment advisor, call Brompton’s investor relations line at 416-642-6000 (toll-free at 1-866-642-6001), email info@bromptongroup.com or visit our website at www.bromptongroup.com.

    (1)Returns are for the periods ended September 30, 2024 and are unaudited. Inception date May 21, 2021. The table shows the Fund’s compound returns on a Class A Share for each period indicated, compared with the S&P Global Infrastructure Total Return Index (“Infrastructure Index”), and the MSCI World Index (“MSCI Index”) (together the “Indices”). The Infrastructure Index tracks 75 companies from around the world, chosen to represent the listed infrastructure industry and related operations. The index includes three distinct infrastructure clusters: energy, transportation, and utilities. The MSCI Index captures large‑ and mid‑cap representation across 23 developed markets countries and covers approximately 85% of the free float‑adjusted market capitalization in each country. The Fund is actively managed; therefore, its performance is not expected to mirror that of the Indices, which have more diversified portfolios and include a substantially larger number of companies. Furthermore, the Indices performance is calculated without the deduction of management fees, fund expenses and trading commissions whereas the performance of the Class A Shares is calculated after deducting such fees and expenses. Additionally, the performance of the Class A Shares is impacted by the leverage provided by the Fund’s preferred shares. The performance information shown is based on the net asset value per Class A Share and assumes that cash distributions made by the Fund during the periods shown were reinvested at net asset value per Class A Share in additional Class A Shares of the Fund. Past performance does not necessarily indicate how the Fund will perform in the future.

    (2)No distributions will be paid on the Class A Shares if (i) the distributions payable on the Preferred Shares are in arrears, or (ii) in respect of a cash distribution, after the payment of a cash distribution by the Fund the NAV per unit would be less than $15.00.

    You will usually pay brokerage fees to your dealer if you purchase or sell shares of the investment funds on the TSX or other alternative Canadian trading system (an “exchange”). If the shares are purchased or sold on an exchange, investors may pay more than the current net asset value when buying shares of the investment fund and may receive less than the current net asset value when selling them.

    There are ongoing fees and expenses associated with owning shares of an investment fund. An investment fund must prepare disclosure documents that contain key information about the fund. You can find more detailed information about the Fund in the public filings available at www.sedarplus.ca. The indicated rates of return are the historical annual compounded total returns including changes in share value and reinvestment of all distributions and do not take into account certain fees such as redemption costs or income taxes payable by any securityholder that would have reduced returns. Investment funds are not guaranteed, their values change frequently, and past performance may not be repeated.

    Certain statements contained in this document constitute forward-looking information within the meaning of Canadian securities laws. Forward-looking information may relate to matters disclosed in this document and to other matters identified in public filings relating to the Fund, to the future outlook of the Fund and anticipated events or results and may include statements regarding the future financial performance of the Fund. In some cases, forward-looking information can be identified by terms such as “may”, “will”, “should”, “expect”, “plan”, “anticipate”, “believe”, “intend”, “estimate”, “predict”, “potential”, “continue” or other similar expressions concerning matters that are not historical facts. Actual results may vary from such forward-looking information. Investors should not place undue reliance on forward-looking statements. These forward-looking statements are made as of the date hereof and we assume no obligation to update or revise them to reflect new events or circumstances.

    Certain information contained herein (the “Information”) is sourced from/copyright of MSCI Inc., MSCI ESG Research LLC, or their affiliates (“MSCI”), or information providers (together the “MSCI Parties”) and may have been used to calculate scores, signals, or other indicators. The Information is for internal use only and may not be reproduced or disseminated in whole or part without prior written permission. The Information may not be used for, nor does it constitute, an offer to buy or sell, or a promotion or recommendation of, any security, financial instrument or product, trading strategy, or index, nor should it be taken as an indication or guarantee of any future performance. Some funds may be based on or linked to MSCI indexes, and MSCI may be compensated based on the fund’s assets under management or other measures. MSCI has established an information barrier between index research and certain Information. None of the Information in and of itself can be used to determine which securities to buy or sell or when to buy or sell them. The Information is provided “as is” and the user assumes the entire risk of any use it may make or permit to be made of the Information. No MSCI Party warrants or guarantees the originality, accuracy and/or completeness of the Information and each expressly disclaims all express or implied warranties. No MSCI Party shall have any liability for any errors or omissions in connection with any Information herein, or any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages.

    The MIL Network –

  • MIL-OSI: Xtract One Announces Annual Fiscal 2024 Results

    Source: GlobeNewswire (MIL-OSI)

    TORONTO, Oct. 24, 2024 (GLOBE NEWSWIRE) — Xtract One Technologies Inc. (TSX: XTRA) (OTCQX: XTRAF) (FRA: 0PL) (“Xtract One” or the “Company”) a leading technology-driven threat detection and security solution that prioritizes the patron access experience by leveraging artificial intelligence (AI), today announced its annual results for the year ended July 31, 2024. All information is in Canadian dollars unless otherwise indicated.

    “What a year it’s been! With record results across the board, we continue to make progress towards profitability through operational execution and higher top line growth,” stated Peter Evans, Chief Executive Officer of Xtract One. “Revenue for the year was $16.4 million – quadruple that of last year – while our combined backlog rose to $26.8 million, reflecting strong demand across all vertical markets. We’re positioning the Company for continued expansion going forward as we are seeing growing interest from all types of customers – stadiums and arenas to schools, business centers, and factories – putting us on track for even greater performance in fiscal 2025.”

    “To add further momentum to this success, the recent introduction of Xtract One Gateway will significantly expand our addressable market, and win rate in those markets, by improving the Company’s competitive positioning. Xtract One Gateway will allow high-traffic facilities like schools, convention centers, and commercial properties to quickly screen patrons who may have laptops, tablets or other large metallic objects while still accurately detecting weapons. As the only product on the market with these capabilities, it’s clearly transformational for us and the industry.”

    Fiscal 2024 Annual Highlights

    • Record revenue of $16.4 million for the year ended July 31, 2024 versus $4.1 million in the prior fiscal year
    • Gross profit margin of 63% for the year ended July 31, 2024 versus 60% in the prior fiscal year
    • Total contract value of new bookings1 was $29.8 million for the year ended July 31, 2024 as compared to $15.0 million during the prior fiscal year
    • Platform contractual backlog was $13.8 million at the end of fiscal 2024 as compared to $4.1 million at the end of fiscal 2023. This excludes an additional $13.0 million of agreements pending installation1 at the end of fiscal 2024 versus $10.4 million at the end of fiscal 2023
    • Loss and comprehensive loss was $11.1 million for the year ended July 31, 2024 as compared to $16.3 million for the prior year
    • Subsequent to July 31, 2024, the Company launched Xtract One Gateway, with advanced bi-directional configurable screening and proprietary sensors, for precise weapons detection at locations where users carry a medium volume of personal items such as laptops

    Fourth Quarter Highlights

    • Record quarterly revenue of $5.6 million for the three months ended July 31, 2024 versus $1.8 million in the prior year period
    • Gross profit margin of 65% for the fourth quarter versus 70% in the prior year period
    • Total contract value of new bookings1 was $5.6 million for the three months ended July 31, 2024 as compared to $5.2 million for the prior year period
    • Loss and comprehensive loss was $2.4 million for the three months ended July 31, 2024 as compared to $3.3 million for the same period in fiscal 2023

    This press release should be read in conjunction with the Company’s Annual Consolidated Financial Statements, prepared in accordance with International Financial Reporting Standards (“IFRS”) and the Company’s Management’s Discussion and Analysis for the years ended July 31, 2024 and 2023, which can be found under the Company’s profile on SEDAR+ at www.sedarplus.ca.

    Conference Call Details

    Xtract One will host a conference call to discuss its results on October 25, 2024 at 10:00 am ET. Peter Evans, CEO and Director, and Karen Hersh, CFO and Corporate Secretary, will provide an overview of the financial results along with management’s outlook for the business, followed by a question-and-answer period.

    The webcast and presentation will be accessible on the Company’s website. The webcast can be accessed here and the telephone number for the conference call is 844-481-3016 (412-317-1881 for international callers).

    About Xtract One Technologies

    Xtract One Technologies is a leading technology-driven provider of threat detection and security solutions leveraging AI to deliver seamless and secure experiences. The Company makes unobtrusive weapons and threat detection systems that enable facility operators to prioritize and deliver improved “Walk-right-In” experiences while providing unprecedented safety. Xtract One’s innovative portfolio of AI-powered Gateway solutions excels at allowing facilities to discreetly screen and identify weapons and other threats at points of entry and exit without disrupting the flow of traffic. With solutions built to serve the unique market needs for schools, hospitals, arenas, stadiums, manufacturing, distribution, and other customers, Xtract One is recognized as a market leader delivering the highest security in combination with the best individual experience. For more information, visit www.xtractone.com or connect on Facebook, X, and LinkedIn.

    For further information, please contact:

    Xtract One Inquiries: info@xtractone.com, http://www.xtractone.com    
    Media Contact: Kristen Aikey, JMG Public Relations, 212-206-1645, kristen@jmgpr.com
    Investor Relations: Chris Witty, Darrow Associates, 646-438-9385, cwitty@darrowir.com

    1Supplementary Financial Measures
    The Company utilizes specific supplementary financial measures in this earnings release to allow for a better evaluation of the operating performance of the Company’s business and facilitates meaningful comparison of results in the current period with those in prior periods and future periods. Supplementary financial measures do not have any standardized meaning prescribed under IFRS and therefore may not be comparable to measures presented by other companies. Supplementary financial measures presented in this earnings release include ‘Agreements pending installation’ and ‘Total contract value of new bookings.’ Agreements pending installation reflects total value of signed contracts awarded to the Company that has not been installed at the customer site. ‘Total contract value of new bookings’ is comprised of all new contracts signed and awarded to the Company, regardless of the performance obligations outstanding as of the end of the reporting period. Total contract value is the aggregate value of sales commitments from customers as at the end of the reporting period without consideration of the Company’s completion of the associated performance obligations outlined in each contract.

    Forward Looking Statements

    This news release contains forward-looking statements within the meaning of applicable securities laws that are not historical facts. Forward-looking statements are often identified by terms such as “will”, “may”, “should”, “anticipates”, “expects”, “believes”, and similar expressions or the negative of these words or other comparable terminology. All statements other than statements of historical fact, included in this release are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company’s expectations include but are not limited to the risks detailed from time to time in the continuous disclosure filings made by the Company with securities regulations. The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company. The reader is cautioned not to place undue reliance on any forward-looking information. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement. The forward-looking statements contained in this news release are made as of the date of this news release and the Company will update or revise publicly any of the included forward-looking statements only as expressly required by applicable law.

    No securities exchange or commission has reviewed or accepts responsibility for the adequacy or accuracy of this release.

    Consolidated Statements of Loss and Comprehensive Loss for the Years Ended July 31, 2024 and 2023

    The following table is extracted from the Company’s consolidated financial statements and presented in Canadian dollars to demonstrate the Statements of Loss and Comprehensive loss for the years ended July 31, 2024 and 2023:

            2024       2023    
                 
    Revenue          
    Platform revenue   $ 15,969,996     $ 3,596,999    
    Xtract revenue     388,011       514,245    
    Total revenue   $ 16,358,007     $ 4,111,244    
                 
    Cost of revenue          
    Platform cost of revenue   $ 5,858,611     $ 1,383,623    
    Xtract cost of revenue     241,377       242,724    
    Total cost of revenue   $ 6,099,988     $ 1,626,347    
                 
    Gross profit   $ 10,258,019     $ 2,484,897    
                 
    Operating expenses          
    Selling and marketing   $ 5,593,432     $ 4,566,130    
    General and administration     7,479,609       6,813,847    
    Research and development     8,265,043       7,078,280    
    Loss on inventory write-down     175,042       346,374    
    Loss on retirement of assets     95,066       181,107    
    Total operating expenses   $ 21,608,192     $ 18,985,738    
                 
    Loss from operations     (11,350,173 )     (16,500,841 )  
                 
    Other income (loss)          
    Unrealized gain on investments     –       58,333    
    Realized loss on investment     –       (55,082 )  
    Interest and other income     285,318       161,117    
                 
    Loss and comprehensive loss for the year     $ (11,064,855 )   $ (16,336,473 )  
                 
    Weighted average number of shares     203,820,258       176,664,492    
                 
    Basic and diluted loss per share   $ (0.05 )   $ (0.09 )  
                 

    Consolidated Statements of Financial Position as at July 31, 2024 and 2023

    The following table is extracted from the Company’s consolidated financial statements and presented in Canadian dollars to demonstrate the Company’s financial position as at July 31, 2024 and July 31, 2023:

        July 31, 2024   July 31, 2023
    Assets      
    Current assets      
      Cash and cash equivalents $ 8,628,521     $ 8,327,449  
      Receivables   3,862,199       847,429  
      Prepaid expenses and deposits   949,012       1,026,668  
      Current portion of deferred cost of revenue   371,309       –  
      Inventory   3,688,246       1,602,971  
             
          17,499,287       11,804,517  
             
    Property and equipment   2,135,956       2,063,817  
    Intangible assets   4,465,755       4,843,700  
    Non-current portion of deferred cost of revenue   496,868       –  
    Right of use assets   344,304       286,796  
             
    Total assets $ 24,942,170     $ 18,998,830  
             
    Liabilities      
    Current liabilities      
      Accounts payable and accrued liabilities $ 3,991,292     $ 2,519,350  
      Current portion of deferred revenue   3,443,524       968,509  
      Current portion of lease liability   190,400       232,483  
             
          7,625,216       3,720,342  
             
    Non-Current liabilities      
      Non-current portion of deferred revenue   3,155,579       411,232  
      Non-current portion of lease liability   190,526       124,358  
             
        $ 10,971,321     $ 4,255,932  
             
    Shareholders’ equity      
      Share capital $ 144,372,452     $ 135,823,337  
      Contributed surplus   16,163,950       14,420,259  
      Accumulated deficit   (146,565,553 )     (135,500,698 )
             
        $ 13,970,849     $ 14,742,898  
             
    Total liabilities and shareholders’ equity $ 24,942,170     $ 18,998,830  
             


    Consolidated Statements of Cash Flows for the Years Ended July 31, 2024 and 2023

    The following table is extracted from the Company’s consolidated financial statements and presented in Canadian dollars to demonstrate the Company’s cash flows for the years ended July 31, 2024 and 2023:

              2024       2023    
    Cash flow used in operating activities          
      Loss and comprehensive loss for the year   $ (11,064,855 )   $ (16,336,473 )  
      Adjustment for:          
        Share-based compensation     1,036,744       950,536    
        Depreciation     1,303,571       923,764    
        Amortization     805,900       805,900    
        Finance cost     22,420       42,237    
        Loss on inventory     175,042       346,374    
        Loss on retirement of assets     95,066       181,107    
        Other income     –       (20,000 )  
        Realized loss on investments     –       55,082    
        Unrealized gain on investments     –       (58,333 )  
                   
              (7,626,112 )     (13,109,806 )  
      Changes in non-cash working capital          
        Receivables     (3,014,770 )     1,047,727    
        Prepaid expenses and deposits     77,656       (358,018 )  
        Inventory     (4,522,739 )     (2,198,583 )  
        Deferred cost of revenue     250,853       –    
        Accounts payable and accrued liabilities     1,471,942       (99,732 )  
        Deferred revenue     5,219,362       1,183,090    
                   
      Cash used in operating activities     (8,143,808 )     (13,535,322 )  
                   
    Cash flow used in investing activities          
      Acquisition of intangible assets     (427,955 )     –    
      Acquisition of right of use asset     (1,800 )     –    
      Purchase of property and equipment     –       (32,539 )  
      Disposal of investment – Gemina Labs     –       397,001    
                   
      Cash (used in) received from investing activities     (429,755 )     364,462    
                   
    Cash flow from financing activities          
      Proceeds on issue of share capital, net of share issue costs   9,256,062       15,583,660    
      Lease payments     (381,427 )     (362,672 )  
                   
      Cash received from financing activities     8,874,635       15,220,988    
                   
    Net increase in cash for the year   $ 301,072     $ 2,050,128    
                   
    Cash beginning of the year     8,327,449       6,277,321    
                   
    Cash end of the year   $ 8,628,521     $ 8,327,449    
                   

    The MIL Network –

  • MIL-OSI Security: Mexican National Admits Role in Smuggling and Labor Trafficking Scheme

    Source: United States Department of Justice (Human Trafficking)

    Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that MARIA DEL CARMEN SANCHEZ POTRERO, also known as Maria Carmela Sanchez, 73, a citizen of Mexico last residing in Hartford, pleaded guilty today before U.S. District Judge Kari A. Dooley in Bridgeport to a charge stemming from her involvement in a scheme to smuggle aliens into the U.S., harbor them at Hartford area residences, force them to work, and threaten to harm them in various ways if they failed to pay exorbitant fees, interest, and other living expenses.

    According to court documents and statements made in court, beginning in September 2022, the FBI and Hartford Police interviewed several Mexican nationals who disclosed that they were smuggled from Mexico into the U.S. and transported to Hartford.  The investigation revealed that victims typically arranged with Sanchez, her co-conspirators in Connecticut, and associates in Mexico to cross the border into the U.S. in exchange for a fee of between $15,000 and $20,000 that each would need to pay once they were in the U.S.  In most cases, the victims were required to turn over a property deed as collateral before leaving Mexico.  They were then smuggled across the border and transported to Hartford area residences, including Sanchez’s residence on Madison Street in Hartford, often at a substantial risk of bodily injury or death.

    After the victims arrived in Connecticut, they were told that they would have to pay $30,000, with interest, and that they would have to pay Sanchez and her co-coconspirators for rent, food, gas and utilities.  Sanchez and her co-conspirators created false documents for the victims, including Permanent Residence cards and Social Security cards, and helped the victims find employment in the Hartford area.  In addition to their own jobs, some victims were required to perform housework and yardwork without compensation and without having their debt reduced.

    Victims were rarely provided with an accounting of their debt.  If victims failed to make regular payments, or in amounts that Sanchez and her co-conspirators expected, they were sometimes threatened, including with threats to harm family members in Mexico, to take property in Mexico that had been secured as collateral, to reveal victims’ immigration status to U.S. authorities, and to raise their interest payments.

    To date, investigators have identified 18 victims of this scheme.

    Sanchez pleaded guilty to conspiracy to encourage and induce, bring in, transport, and harbor aliens, an offense that carries a maximum term of imprisonment of 10 years.  Judge Dooley scheduled sentencing for January 16, 2025.

    As part of her plea agreement, Sanchez has agreed to a restitution order of $494,608.

    Sanchez has been detained since her arrest on March 1, 2023.

    This investigation is being conducted by the Federal Bureau of Investigation, Hartford Police Department, U.S. Department of Labor – Office of Inspector General, U.S. Customs and Border Protection, U.S. Citizenship and Immigration Services, and U.S. Immigration and Customs Enforcement.  The case is being prosecuted by Assistant U.S. Attorneys Angel Krull and Shan Patel.

    MIL Security OSI –

  • MIL-OSI Security: Spartanburg Man Sentenced to Federal Prison for Second Federal Cocaine Trafficking Conviction

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

    SPARTANBURG, S.C. —Maurice Suber, 39, of Spartanburg was sentenced to more than 11 years in federal prison after pleading guilty to conspiring to distribute cocaine.

    Evidence presented to the court showed that since at least 2022, Suber was distributing drugs in the Highlands area of Spartanburg. On Nov. 15, 2023, a search warrant was executed on Suber’s home and multiple firearms and cash were located. Suber had previously been sentenced for conspiracy to distribute cocaine in the same federal courthouse.

    United States District Judge Donald C. Coggins sentenced Suber to 141 months in federal prison, followed by a court ordered term of supervision. The court also entered an order of forfeiture for $3.8 million dollars. 

    This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

    This case was investigated by Homeland Security Investigations, the Bureau of Alcohol, Tobacco, Firearms and Explosives, Border Enforcement Security Task Force – Upstate South Carolina, Spartanburg County Sheriff’s Office, Cherokee County Sheriff’s Office, Oconee County Sheriff’s Office, South Carolina Law Enforcement Division, and Greenville County Multi-Jurisdictional Drug Enforcement Unit. Assistant U.S. Attorney Jamie Schoen is prosecuting the case.

    ###

    MIL Security OSI –

  • MIL-OSI: PEL 83 Second Exploration Campaign Commencement of Operations – Spud of Mopane 1-A Well

    Source: GlobeNewswire (MIL-OSI)

    TORONTO, Oct. 24, 2024 (GLOBE NEWSWIRE) — Sintana Energy Inc. (TSX-V: SEI, OTCQB: SEUSF) (“Sintana” or the “Company”) is pleased to provide the following update regarding a second exploration and appraisal campaign on blocks 2813A and 2814B located in the heart of Namibia’s Orange Basin, emerging as one of the world’s most prospective oil and gas regions. The blocks are governed by Petroleum Exploration License 83 (“PEL 83”) which is operated by a subsidiary of Galp Energia (“Galp”) of Portugal. Sintana maintains an indirect 49% interest in Custos Energy (Pty) Ltd. (“Custos”), which in turn owns a 10% working interest owner in PEL 83. NAMCOR, the National Petroleum Company of Namibia, also maintains a 10% working interest.

    The drill ship Santorini has arrived on location and operations associated with the Mopane 1-A well have commenced. Specifically, the Mopane 1-A was spud 23:30 local time on October 23rd.

    This appraisal well is the first of an up to four well program potentially consisting of two exploration wells and two appraisal wells. This second campaign on PEL 83 is predicated on providing additional insights into the scope and quality of the Mopane complex.

    We refer to press releases from Galp (available at galp.com) and Custos (available at newsdirect.com) throughout Q1 and Q2 of 2024, noting that an inaugural two well exploration campaign that commenced in Q4 2023 resulted in multiple discoveries of significant columns of light oil in high-quality reservoir sands providing for an initial estimate of original oil in place (“OOIP”) of 10 billion barrels of oil equivalent. A drill stem test was also conducted resulting in an infrastructure constrained flow of 14,000 boe/d.

    Initial analysis suggests the reservoirs have good porosities, high pressures and high permeabilities in large hydrocarbon columns with very low oil viscosity, and no CO2 nor H2S. The flows achieved during the well test have reached the maximum allowed limits, positioning Mopane as, potentially, an important commercial discovery. 

    “We look forward to the continuing progress on PEL 83, further unveiling of the potential and quality of the Mopane complex. These efforts should provide additional insights into this world class opportunity and into our broader Orange Basin portfolio located at the heart of this emerging hydrocarbon province.” said Robert Bose, Chief Executive Officer of Sintana.

    ABOUT SINTANA ENERGY:

    The Company is engaged in petroleum and natural gas exploration and development activities on five large, highly prospective, onshore and offshore petroleum exploration licenses in Namibia, and in Colombia’s Magdalena Basin.

    On behalf of Sintana Energy Inc.,
    “A. Robert Bose”
    Chief Executive Officer

    For additional information or to sign-up to receive periodic updates about Sintana’s projects, and corporate activities, please visit the Company’s website at www.sintanaenergy.com

    Corporate Contacts:   Investor Relations Advisor:
    Robert Bose Sean J. Austin Jonathan Paterson
    Chief Executive Officer Vice-President Founder & Managing Partner
    212-201-4125 713-825-9591 Harbor Access
        475-477-9401
         

    Forward-Looking Statements

    Certain information in this release are forward-looking statements. Forward-looking statements consist of statements that are not purely historical, including statements regarding beliefs, plans, expectations or intensions for the future, and include, but not limited to, statements with respect to potential future farmout agreements on PEL 83 and/or PEL 87, and proposed future exploration and development activities on PEL 83 and/or PEL 90 and neighbouring properties, as well as the prospective nature of the Company’s property interests. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements, including, but not limited to risks relating to the receipt of all applicable regulatory approvals, results of exploration and development activities, the ability to source joint venture partners and fund exploration, permitting and government approvals, and other risks identified in the Company’s public disclosure documents from time to time. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. The Company assumes no obligation to update such information, except as may be required by law.

    NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

    A photo accompanying this announcement is available at: 
    https://www.globenewswire.com/NewsRoom/AttachmentNg/ca79be82-d8c9-4894-be4d-1acfbcc48be3

    The MIL Network –

  • MIL-OSI USA: Governor Shapiro Announces $3 Million Investment in Erie County Organic Potato Company to Create Local Jobs and Grow Pennsylvania’s Agricultural Sector

    Source: US State of Pennsylvania

    October 23, 2024 – Waterford, PA

    Governor Shapiro Announces $3 Million Investment in Erie County Organic Potato Company to Create Local Jobs and Grow Pennsylvania’s Agricultural Sector

    Governor Josh Shapiro visited start-up company Folkland Foods, located in Waterford, Erie County, to announce a $3 million Redevelopment Assistance Capital Program (RACP) investment in the company. This funding will support a significant capital expansion that will enable Folkland’s parent company Troyer, Inc. – the only organic potato supplier on the East Coast – to expand its operations, transition more acreage to organic farming, and begin producing a range of potato products, creating up to 50 new local jobs in the region over the first three years.

    Owned and operated by the Troyer family, who have been a mainstay in northwestern Pennsylvania’s potato farming industry for three generations, Folkland Foods is poised to build on its legacy of agricultural success and pioneering role in organic farming.

    “I’m excited to announce this $3 million investment in Folkland Foods, a company that is leading the way in organic farming and sustainable practices, built on hard work and know-how developed right here in Pennsylvania. This expansion will create 50 new, good-paying jobs and significantly boost the local economy in Erie County, all while reinforcing Pennsylvania’s reputation as a leader in agriculture and food production,” said Governor Shapiro. “My Administration is committed to making targeted investments like this one that benefit our farmers, strengthen rural economies, and ensure Pennsylvania remains at the forefront of agricultural innovation and production for generations to come.”

    List of Speakers:
    Zack Troyer, co-founder of Folkland Foods
    Governor Shapiro
    Department of Agriculture Secretary Russell Redding
    Brian Garlick, Folkland’s Chief Operating Officer

    MIL OSI USA News –

  • MIL-OSI USA: Pennsylvania Gets it Done: Governor Shapiro, GSK Leadership Announce the GlobalBiopharma Company’s Investment of up to $800 Million in Pennsylvania, Expanding itsOperations and Creating Jobs in the Commonwealth

    Source: US State of Pennsylvania

    October 24, 2024 – Marietta, PA

    Pennsylvania Gets it Done: Governor Shapiro, GSK Leadership Announce the Global
    Biopharma Company’s Investment of up to $800 Million in Pennsylvania, Expanding its
    Operations and Creating Jobs in the Commonwealth

    Governor Josh Shapiro and GSK leadership announced the global biopharma company’s major investment of up to $800 million in Pennsylvania that will increase its research and development (R&D) and manufacturing footprint at its existing facility in Lancaster County. The Commonwealth is supporting this expansion with a $21 million investment, which will create at least 200 new, high-paying jobs. This is the largest Commonwealth-supported economic development project in Lancaster County history.

    GSK will expand its existing facility at 325 North Bridge Street in Marietta with new facilities to manufacture vaccines and medicines. Currently, one in four Americans are administered a vaccine supplied from the company’s Marietta location. This expansion will double the size and capacity of the site.

    “Pennsylvania is a leader in life sciences – and GSK’s decision to make its largest single investment ever in manufacturing in the United States right here in the Commonwealth is further proof that we are the best state in the nation for business growth and economic development,” said Governor Shapiro. “Our Commonwealth offers the skilled workforce, market access, and innovation infrastructure that biotech and life sciences companies need to thrive. Pennsylvania is getting things done, and my Administration will continue to work with companies like GSK to drive innovation forward and create jobs – and economic opportunity – for people across the Commonwealth.”

    List of Speakers:
    Matteo Leardini
    Governor Shapiro
    Maya Martinez-Davis, President, U.S. GSK
    Secretary Rick Siger

    MIL OSI USA News –

  • MIL-OSI: Federal Home Loan Bank of San Francisco Announces Third Quarter 2024 Operating Results

    Source: GlobeNewswire (MIL-OSI)

    SAN FRANCISCO, Oct. 24, 2024 (GLOBE NEWSWIRE) — The Federal Home Loan Bank of San Francisco (Bank) today announced its unaudited third quarter 2024 operating results. Net income for the third quarter of 2024 was $102 million, a decrease of $1 million compared with net income of $103 million for the third quarter of 2023.

     “We continue to manage a solid balance sheet, strong liquidity position, and a steadfast commitment to investing in innovative and impactful programs that meet our public mission and expand affordable housing and economic opportunity throughout our district,” said Alanna McCargo, president and chief executive officer of the Bank. “In the third quarter of 2024, we awarded Access to Housing and Economic Assistance for Development (AHEAD) Program grants, which provided $7.3 million in funding to 84 organizations dedicated to capacity building, creating job opportunities, and servicing community needs across Arizona, California, and Nevada. Our Bank will continue to engage with stakeholders to find new ways to move the needle and deliver on our promise to drive new economic opportunities, close homeownership gaps, deliver invaluable technical assistance, and address housing affordability and economic development needs in our region.”

    The $1 million decrease in net income relative to the prior-year period was primarily attributable to a decrease in net interest income of $25 million and an increase in other expense of $10 million, offset by an increase in other income/(loss) of $23 million and a change in the provision for/(reversal of) credit losses of $11 million.

    • The $25 million decrease in net interest income was mainly attributable to lower average balances of advances and short-term investments and higher costs of consolidated obligation bonds and discount notes. The decrease was partially offset by lower average balances of consolidated obligation bonds and discount notes.
    • The $10 million increase in other expense was primarily attributable to the Bank’s increase in charitable “mission-oriented” contributions mainly to fund downpayment assistance grants to middle-income homebuyers (delivered by participating member financial institutions).
    • The $23 million increase in other income/(loss) was primarily driven by an overall improvement in net fair values on the Bank’s financial instruments carried at fair value, partially offset by a net decrease in fair value on interest rate swaps classified as economic hedges.
    • The $11 million change in the provision for/(reversal of) credit losses was related to an improvement in the fair values of certain private label mortgage-backed securities.

    At September 30, 2024, total assets were $83.3 billion, a decrease of $9.5 billion from $92.8 billion at December 31, 2023. The primary driver of reduced assets was a decline in advances, which decreased by $11.8 billion from $61.3 billion at December 31, 2023 to $49.5 billion at September 30, 2024, which was primarily related to maturities of advances totaling $9.7 billion acquired by nonmembers in connection with certain Bank member acquisitions. Investments at September 30, 2024 were $32.6 billion, a net increase of $2.3 billion from $30.3 billion at December 31, 2023, attributable to increases of $1.4 billion in U.S. Treasury securities, $525 million in mortgage-backed securities, and $381 million in short-term investments.

    Community investments continue to be central to the philosophy, function, and operations at the Bank. Following approval by the Bank’s board of directors in the third quarter of 2024, the Bank’s AHEAD Program awarded $7.3 million in economic development grants, an amount of funding that represents an increase of 82% over last year. Now in its 20th year, the AHEAD Program is designed to advance innovative, economic, and community development initiatives that empower underserved communities. The Bank’s AHEAD Program has funded over $32 million in grants over the past two decades, delivered in partnership with member financial institutions.

    As of September 30, 2024, the Bank exceeded all regulatory capital requirements. The Bank exceeded its 4.0% regulatory requirement with a regulatory capital ratio of 8.8% at September 30, 2024. The increase in the regulatory capital ratio from 8.0% at December 31, 2023 mainly resulted from the decrease in total assets during the first nine months of 2024. The Bank also exceeded its risk-based capital requirement of $1.1 billion with $7.3 billion in permanent capital. Total retained earnings increased to $4.4 billion at September 30, 2024, from $4.3 billion at December 31, 2023.

    Today, the Bank’s board of directors declared a quarterly cash dividend on the average capital stock outstanding during the third quarter of 2024 at an annualized rate of 8.75%. The quarterly dividend rate is consistent with the Bank’s dividend philosophy of endeavoring to pay a quarterly dividend rate that is equal to or greater than the current market rate for highly rated investments and that is sustainable under current and projected earnings while maintaining appropriate levels of capital. The quarterly dividend will total $65 million, and the Bank expects to pay the dividend on November 12, 2024.

    Financial Highlights
    (Unaudited)
    (Dollars in millions)

    Selected Balance Sheet Items
      at Period End    		 Sep 30, 2024   Dec 31, 2023  
    Total Assets $            83,270   $            92,828  
    Advances                 49,473                   61,335  
    Mortgage Loans Held for Portfolio, Net                      707                        754  
    Investments, Net1                 32,587                   30,294  
    Consolidated Obligations:      
      Bonds                 62,745                   64,297  
      Discount Notes                 11,005                   19,187  
    Mandatorily Redeemable Capital Stock                      465                        706  
    Capital Stock – Class B – Putable                   2,416                     2,450  
    Retained Earnings                   4,446                     4,290  
    Accumulated Other Comprehensive Income/(Loss)                         47                         (72 )
    Total Capital                   6,909                     6,668  
           
    Selected Other Data at Period End Sep 30, 2024   Dec 31, 2023  
    Regulatory Capital Ratio2   8.80 %   8.02 %
      Three Months Ended   Nine Months Ended  
    Selected Operating Results for the Period Sep 30, 2024     Sep 30, 2023   Sep 30, 2024     Sep 30, 2023    
    Net Interest Income $                  146     $                  171   $                432     $                637    
    Provision for/(Reversal of) Credit Losses                         (4 )                             7                         (5 )                          7    
    Other Income/(Loss)                         30                               7                        78                        (15 )  
    Other Expense                         65                             55                      162                        148    
    Affordable Housing Program Assessment                         13                             13                        41                          48    
    Net Income/(Loss) $                  102     $                  103   $                312     $                419    
                     
      Three Months Ended   Nine Months Ended  
    Selected Other Data for the Period Sep 30, 2024     Sep 30, 2023   Sep 30, 2024     Sep 30, 2023    
    Net Interest Margin3   0.70   %   0.68 %   0.68   %   0.70   %
    Return on Average Assets   0.48       0.41     0.49       0.46    
    Return on Average Equity   5.88       6.17     6.15       7.69    
    Annualized Dividend Rate4   8.75       7.75     8.75       7.26    
    Average Equity to Average Assets Ratio   8.21       6.63     7.91       5.99    

                   
    1.   Investments consist of federal funds sold, interest-bearing deposits, trading securities, available-for-sale securities, held-to-maturity securities, and securities purchased under agreements to resell.
    2.   The regulatory capital ratio is calculated as regulatory capital divided by total assets. Regulatory capital includes retained earnings, Class B capital stock, and mandatorily redeemable capital stock (which is classified as a liability), but excludes accumulated other comprehensive income/(loss). Total regulatory capital as of September 30, 2024, and December 31, 2023, was $7.3 billion and  $7.4 billion, respectively.
    3.   Net interest margin is calculated as net interest income (annualized) divided by average interest-earning assets.
    4.   Cash dividends are declared, recorded, and paid during the period, on the average capital stock outstanding during the previous quarter.

    Federal Home Loan Bank of San Francisco
    The Federal Home Loan Bank of San Francisco is a member-driven cooperative helping local lenders in Arizona, California, and Nevada build strong communities, create opportunity, and change lives for the better. The tools and resources we provide to our member financial institutions–commercial banks, credit unions, industrial loan companies, savings institutions, insurance companies, and community development financial institutions propel homeownership, finance affordable housing, drive economic vitality, and revitalize whole neighborhoods. Together with our members and other partners, we are making the communities we serve more vibrant, equitable, and resilient.

    Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
    This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including statements related to the Bank’s dividend philosophy and dividend rates. These statements are based on our current expectations and speak only as of the date hereof. These statements may use forward-looking terms, such as “endeavoring,” “will,” and “expects,” or their negatives or other variations on these terms. The Bank cautions that by their nature, forward-looking statements involve risk or uncertainty and that actual results could differ materially from those expressed or implied in these forward-looking statements or could affect the extent to which a particular objective, projection, estimate, or prediction is realized, including future dividends. These forward-looking statements involve risks and uncertainties including, but not limited to, the Risk Factors set forth in our Annual Report on Form 10-K and other periodic and current reports that we may file with the Securities and Exchange Commission, as well as regulatory and accounting rule adjustments or requirements; the application of accounting standards relating to, among other things, certain fair value gains and losses; hedge accounting of derivatives and underlying financial instruments; the fair values of financial instruments; the allowance for credit losses; future operating results; the withdrawal of one or more large members; high inflation and interest rates that may adversely affect our members and their customers; and our ability to pay a quarterly dividend rate that is equal to or greater than similar current rates for highly rated investments. We undertake no obligation to revise or update publicly any forward-looking statements for any reason.

    The MIL Network –

  • MIL-OSI: Transocean Ltd. Provides Quarterly Fleet Status Report

    Source: GlobeNewswire (MIL-OSI)

    STEINHAUSEN, Switzerland, Oct. 24, 2024 (GLOBE NEWSWIRE) — Transocean Ltd. (NYSE: RIG) today issued a quarterly Fleet Status Report that provides the current status of, and contract information for, the company’s fleet of offshore drilling rigs.

    This quarter’s report includes the following updates:

    • Deepwater Atlas – Awarded a 365-day contract in the U.S. Gulf of Mexico at a dayrate of $635,000.
    • Deepwater Conqueror – Awarded a 365-day contract in the U.S. Gulf of Mexico at a dayrate of $530,000.
    • Deepwater Invictus – Awarded a 1095-day contract in the U.S. Gulf of Mexico at a dayrate of $485,000.
    • Deepwater Invictus – Awarded two one-well contract extensions in the U.S. Gulf of Mexico.
    • Dhirubhai Deepwater KG1 – Awarded a six-well contract in India at a dayrate of $410,000.
    • Transocean Spitsbergen – Customer exercised a three-well option in Norway at a dayrate of $483,000.
    • Transocean Endurance – Customer exercised a one-well option in Australia at a dayrate of $390,000.
    • Transocean Endurance – Customer exercised a five-well option in Australia at a dayrate of $390,000.

    The aggregate incremental backlog associated with these fixtures is approximately $1.3 billion. As of October 24, 2024, the company’s total backlog is approximately $9.3 billion.  

    The report can be accessed on the company’s website: www.deepwater.com.

    About Transocean

    Transocean is a leading international provider of offshore contract drilling services for oil and gas wells. Transocean specializes in technically demanding sectors of the global offshore drilling business with a particular focus on deepwater and harsh environment drilling services and operates the highest specification floating offshore drilling fleet in the world.

    Transocean owns or has partial ownership interests in and operates a fleet of 34 mobile offshore drilling units, consisting of 26 ultra-deepwater floaters and eight harsh environment floaters.

    Forward-Looking Statements

    The statements described herein that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements could contain words such as “possible,” “intend,” “will,” “if,” “expect,” or other similar expressions. Forward-looking statements are based on management’s current expectations and assumptions, and are subject to inherent uncertainties, risks and changes in circumstances that are beyond our control, and many cases, cannot be predicted. As a result, actual results could differ materially from those indicated by these forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to, estimated duration of customer contracts, contract dayrate amounts, future contract commencement dates and locations, planned shipyard projects and other out-of-service time, sales of drilling units, the cost and timing of mobilizations and reactivations, operating hazards and delays, risks associated with international operations, actions by customers and other third parties, the fluctuation of current and future prices of oil and gas, the global and regional supply and demand for oil and gas, the intention to scrap certain drilling rigs, the effects of the spread of and mitigation efforts by governments, businesses and individuals related to contagious illnesses, and other factors, including those and other risks discussed in the company’s most recent Annual Report on Form 10-K for the year ended December 31, 2023, and in the company’s other filings with the SEC, which are available free of charge on the SEC’s website at: www.sec.gov. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated. All subsequent written and oral forward-looking statements attributable to us or to persons acting on our behalf are expressly qualified in their entirety by reference to these risks and uncertainties. You should not place undue reliance on forward looking statements. Each forward-looking statement speaks only as of the date of the particular statement. We expressly disclaim any obligations or undertaking to release publicly any updates or revisions to any forward-looking statement to reflect any change in our expectations or beliefs with regard to the statement or any change in events, conditions or circumstances on which any forward-looking statement is based, except as required by law. All non-GAAP financial measure reconciliations to the most comparative GAAP measure are displayed in quantitative schedules on the company’s website at: www.deepwater.com.

    This press release, or referenced documents, do not constitute an offer to sell, or a solicitation of an offer to buy, any securities, and do not constitute an offering prospectus within the meaning of the Swiss Financial Services Act (“FinSA”) or advertising within the meaning of the FinSA. Investors must rely on their own evaluation of Transocean and its securities, including the merits and risks involved. Nothing contained herein is, or shall be relied on as, a promise or representation as to the future performance of Transocean.

    Analyst Contact:
    Alison Johnson
    +1 713-232-7214

    Media Contact:
    Pam Easton
    +1 713-232-7647

    The MIL Network –

  • MIL-OSI USA: New Report Reveals Historic Surge in Small Business Financing Under Biden-Harris Administration

    Source: United States Small Business Administration

    WASHINGTON – Today, Vice President Kamala Harris and Administrator Isabel Casillas Guzman, head of the U.S. Small Business Administration (SBA) and the voice for America’s more than 34 million small businesses in President Biden’s Cabinet, announced that the SBA delivered a transformative $56 billion to small businesses and disaster-impacted communities in Fiscal Year 2024 (FY24). The FY24 Capital Impact Report released today shows that the Agency increased its annual capital portfolio – which includes startup, growth, and recovery capital, as well as surety bonds – by 7% over Fiscal Year 2023 (FY23). Moreover, for the first time since 2008, the SBA made more than 100,000 financings to small businesses, representing a 22% increase over FY23 and a 50% increase over 2020.

    “Under the Biden-Harris Administration, the SBA has revolutionized its capital access programs, helping finance tens of thousands of small businesses in every corner of this country,” said Administrator Guzman. “As every entrepreneur knows, capital is critical – it’s integral to business owners at all stages of their journey, from startup to growth and resilience. Through loans, investments, and surety bond guarantees, the SBA has helped power the small businesses that have in turn powered America’s unparalleled economic recovery from the COVID-19 crisis. Today, we are proud to share data that reveals how in FY24 the Biden-Harris Administration contributed once again to the historic Small Business Boom which has revitalized Main Streets and innovation hubs across America.”

    The SBA’s FY24 Capital Impact Report shows a marked spike in small dollar loans. This notable increase comes on the heels of the agency’s historic program reforms in late FY23 that improved access to affordable small loans. Specifically, these reforms modernized lending criteria for small loans, welcomed new lenders with expertise on underserved borrowers into the 7(a) program, and made it easier for both lenders and business owners to work with the SBA. The FY24 Capital Impact Report reveals that these reforms contributed to a doubling of loans less than $150,000 since FY20, and a 33% increase since FY23.

    Since 2020, the most dramatic trend in the SBA’s capital programs has been the outsized growth in loans to Black-, Latino-, and women-owned businesses. In FY 2024, across its signature 7(a) and 504 loan programs, the SBA backed:

    • 5,200 loans for $1.5 billion to Black-owned businesses, a tripling of loan count relative to FY20.
    • 9,600 loans for $3.3 billion to Latino-owned businesses, reflecting a loan count 2.5 times greater than in FY20.
    • 15,500 loans for $5.6 billion to majority women-owned businesses, representing doubling in women-owned business participation relative to FY20.

    The FY24 Capital Impact Report also revealed the power of the Biden-Harris Administration’s Investing in America Agenda. In 2023 and 2024, construction became the leading industry in the SBA’s 7(a) program, reflecting in part the once-in-a-generation investment in infrastructure and domestic manufacturing since President Biden took office.

    View the complete FY24 Capital Impact report, which includes additional data. For complete data on the SBA’s loan programs visit SBA Office Of Capital Access – Dataset – U.S. Small Business Administration (SBA) | Open Data.

    Small businesses can visit SBA’s Lender Match page to be matched with participating SBA Lenders that can provide funding with competitive rates and fees.

    ###

    About the U.S. Small Business Administration 
    The U.S. Small Business Administration helps power the American dream of business ownership. As the only go-to resource and voice for small businesses backed by the strength of the federal government, the SBA empowers entrepreneurs and small business owners with the resources and support they need to start, grow, or expand their businesses, or recover from a declared disaster. It delivers services through an extensive network of SBA field offices and partnerships with public and private organizations. To learn more, visit www.sba.gov.

    MIL OSI USA News –

  • MIL-OSI USA: North Carolina Railroad Company Secures $105.6 Million for Transformational Rail Improvements

    Source: US State of North Carolina

    Headline: North Carolina Railroad Company Secures $105.6 Million for Transformational Rail Improvements

    North Carolina Railroad Company Secures $105.6 Million for Transformational Rail Improvements
    mseets

    Today, Governor Roy Cooper announced that the North Carolina Railroad Company (NCRR) has been awarded a $105 million grant from the U.S. Department of Transportation through the Consolidated Rail Infrastructure and Safety Improvement Program (CRISI). The announcement represents a major step forward in enhancing North Carolina’s rail infrastructure, aimed at improving both passenger and freight services in the state’s busiest rail corridor.

    The $105.6 million investment, combined with contributions from NCRR, the North Carolina Department of Transportation (NCDOT), and Norfolk Southern (NS), brings the total project funding to $170 million. The project is expected to deliver $214.49 million in public benefits including substantial economic growth, safety enhancements, and environmental improvements.

    “Continued investment in passenger and commercial rail is good for our communities and economy across North Carolina,” said Governor Cooper. “We are working together to make historic investments moving people and goods faster and safer and I appreciate the Biden-Harris Administration and our federal delegation for their work securing this monumental investment.”

    “This is an extraordinary moment for North Carolina’s rail network,” said NCRR President and CEO Carl Warren. “Improved freight and passenger rail services will accommodate one of the fastest-growing regions in the country and will enable a new era of rail capacity in North Carolina. Thanks to the support of Governor Roy Cooper, Senators Thom Tillis and Ted Budd, our bipartisan congressional delegation, and rail partners, we are positioned to modernize our rail system, improving the safe and efficient movement of both passengers and freight. This is a significant win for the entire state.”

    “We often talk about how important partnerships are for all Department of Transportation projects and this is especially true for rail projects that receive the majority of funding through competitive federal grants,” says Secretary of Transportation Joey Hopkins. “Having partners like NCRR and Norfolk Southern actively working on improvements that will greatly benefit our current service as well as future routes and projects helps us achieve the vision of a convenient, accessible and reliable passenger rail network in North Carolina and beyond.

    Investments in North Carolina’s passenger rail corridor will allow for increased ridership and new routes. For the first six months of 2024, over 342,000 customers rode NC By Train, which is 20% higher than during the same period in 2023. There are currently 10 daily trains between Raleigh and Charlotte and each month in 2024 has been record-breaking for that particular month. Last year, the US Department of Transportation also announced a $1.1 billion grant supporting the S-Line, which will feature higher speed rail and a direct route between Raleigh and Richmond.

    The $105.6 million in federal funds are being supported by state matches, including: $34 million from NCDOT, $17.8 million from NCRR and $13 million from Norfolk Southern.

    Governor Cooper, along with North Carolina’s federal delegation, participated in the grant application process. Such widespread support for the grant demonstrates a commitment from state leaders to strengthen transportation infrastructure to support a growing population and economy.

    “Norfolk Southern greatly appreciates the opportunity to partner with NCRR, NCDOT and the State of North Carolina on this transformational investment in the states rail infrastructure and we look forward to future opportunities in the years to come,” said Norfolk Southern Senior Vice President and Chief Strategy Officer Micheal McClellan.

    The Carolinian and Piedmont Passenger and Freight Improvements Project will bring key upgrades across seven locations including Raleigh, Cary, Morrisville, Hillsborough, Burlington, and Greensboro. These improvements will allow for additional passenger trains and significantly reduce freight and passenger delays. Construction is slated to begin in 2025, following the design and environmental permitting phases.

    With this landmark investment, North Carolina is paving the way for a future of enhanced rail service, economic growth, and sustainable transportation. This project represents a major milestone in the state’s infrastructure development, ensuring the continued competitiveness and connectivity of North Carolina’s railways for decades to come.

    The CRISI Program, which is administered by the Federal Railroad Administration, advances projects that modernize America’s freight and passenger rail infrastructure, allowing people and goods to move more safely and efficiently.

    About the North Carolina Railroad Company

    The North Carolina Railroad Company is the one private railroad company that has been driving economic growth for North Carolina for more than 175 years. The company manages 317 miles of rail corridor, transforming its trusted expertise and unique assets into economic advantages. The company’s mission is to focus on our rail and safety expertise, assets, and advantageous corridor to provide dynamic services and best-in-class solutions. Our vision is a railroad company promoting and facilitating opportunities, leading to economic gains for North Carolina.

    ###

    Oct 24, 2024

    MIL OSI USA News –

  • MIL-OSI Security: RM of Grahamdale, Manitoba  — Gypsumville RCMP discharge firearm in stolen vehicle investigation

    Source: Royal Canadian Mounted Police

    On October 24, 2024, at approximately 12:00 pm, Gypsumville RCMP were patrolling for a stolen vehicle that was linked to a series of criminal activities that occurred overnight in the city of Thompson.

    Officers located the stolen vehicle on Highway 6 south of Pinaymootang First Nation and attempted a traffic stop. The driver refused to pull over.

    After a short pursuit, the vehicle came to a stop on Highway 6. The male suspect exited the stolen vehicle with a firearm and attempted to carjack a stopped car. At this time, an officer discharged their firearm, striking the male suspect.

    The suspect was then able to get into the stopped car and drive a short distance before coming to a stop in the ditch along Highway 6 where he was taken into custody.

    The suspect, a 39-year-old male from Thompson, was provided immediate medical attention by officers and transported by STARS to hospital with serious injuries.

    The officers involved did not sustain any physical injuries.

    The Independent Investigation Unit of Manitoba has taken carriage of the investigation.

    MIL Security OSI –

  • MIL-OSI: Meridian Corporation Reports Third Quarter 2024 Results and Announces a Quarterly Dividend of $0.125 per Common Share

    Source: GlobeNewswire (MIL-OSI)

    MALVERN, Pa., Oct. 24, 2024 (GLOBE NEWSWIRE) — Meridian Corporation (Nasdaq: MRBK) today reported:

      Three Months Ended
    (Dollars in thousands, except per share data) (Unaudited) September 30,
    2024    		   June 30,
    2024    		   September 30,
    2023
    Income:          
    Net income $ 4,743   $ 3,326   $ 4,005
    Diluted earnings per common share $ 0.42   $ 0.30   $ 0.35
    Pre-tax, pre-provision income (1) $ 8,527   $ 7,072   $ 5,292
    (1) See Non-GAAP reconciliation in the Appendix          
               
    • Net income for the quarter ended September 30, 2024 was $4.7 million and pre-tax, pre-provision income was $8.5 million1.
    • Return on average assets and return on average equity for the third quarter of 2024 were 0.80% and 11.41%, respectively.
    • Net interest margin was 3.20% for the third quarter of 2024, with a loan yield of 7.41%.
    • Total assets at September 30, 2024 were $2.4 billion, compared to $2.4 billion at June 30, 2024 and $2.2 billion at September 30, 2023.
    • Commercial loans, excluding leases, increased $30.0 million, or 2% for the quarter and $158.0 million, or 11% year over year.
    • Third quarter deposit growth was $63.5 million, or 3%, and $170.3 million, or 9.4% year over year.
    • Non-interest-bearing deposits were up $13.2 million or 6%, quarter over quarter.
    • On October 22, 2024, the Board of Directors declared a quarterly cash dividend of $0.125 per common share, payable November 19, 2024 to shareholders of record as of November 12, 2024.

    Christopher J. Annas, Chairman and CEO commented:

    “Our third quarter earnings showed significant improvement from the second quarter, increasing by 42.6% to $4.7 million, or $0.42 per share. Key highlights include an improving net interest margin at 3.20% for the quarter, and strong results from our wealth and mortgage segments. Robust loan growth of 7.2% for the first nine months of the year reflects our strong sales culture and healthy economic conditions in our primary market areas.  We have great systems for lenders to be more effective, and that same technology for our customers to bank entirely online, which leads to better efficiencies. Deposit growth is consistent, and we are evaluating deposit-rich segments to accelerate growth that is less reliant on branch networks.

    Our wealth segment is benefiting from local disruption and the cross-selling from our commercial/industrial and CRE lending units. A recent hire from a large local bank has accelerated growth and has a pipeline for adding advisors. The mortgage segment has recovered from the rate shock, and despite a continued lack of homes for sale, is hitting volume levels similar to pre-2019. The hard decisions made to cut back expenses and reposition the business are paying off. And if mortgage rates fall in 2025, there are many refinance opportunities.  

    Since starting the bank in 2004, Meridian has built a great reputation for responsiveness and consistency. The business community heavily relies on these qualities in a bank to build and grow themselves. We are the go-to bank in the Philadelphia metro market, and in a great position to build ever larger market share.”

    Select Condensed Financial Information

      As of or for the quarter ended (Unaudited)
      September 30, 
    2024    		   June 30, 
    2024    		   March 31, 
    2024    		   December 31, 
    2023    		   September 30, 
    2023
      (Dollars in thousands, except per share data)
    Income:                  
    Net income $ 4,743     $ 3,326     $ 2,676     $ 571     $ 4,005  
    Basic earnings per common share   0.43       0.30       0.24       0.05       0.36  
    Diluted earnings per common share   0.42       0.30       0.24       0.05       0.35  
    Net interest income   18,242       16,846       16,609       16,942       17,224  
                       
    Balance Sheet:                  
    Total assets $ 2,387,721     $ 2,351,584     $ 2,292,923     $ 2,246,193     $ 2,230,971  
    Loans, net of fees and costs   2,008,396       1,988,535       1,956,315       1,895,806       1,885,629  
    Total deposits   1,978,927       1,915,436       1,900,696       1,823,462       1,808,645  
    Non-interest bearing deposits   237,207       224,040       220,581       239,289       244,668  
    Stockholders’ equity   167,450       162,382       159,936       158,022       155,114  
                       
    Balance Sheet Average Balances:                  
    Total assets $ 2,373,261     $ 2,319,295     $ 2,269,047     $ 2,219,340     $ 2,184,385  
    Total interest earning assets   2,277,523       2,222,177       2,173,212       2,121,068       2,086,331  
    Loans, net of fees and costs   1,997,574       1,972,740       1,944,187       1,891,170       1,876,648  
    Total deposits   1,960,145       1,919,954       1,823,523       1,820,532       1,782,140  
    Non-interest bearing deposits   246,310       229,040       233,255       254,025       253,485  
    Stockholders’ equity   165,309       162,119       159,822       157,210       156,271  
                       
    Performance Ratios (Annualized):                  
    Return on average assets   0.80 %     0.58 %     0.47 %     0.10 %     0.73 %
    Return on average equity   11.41 %     8.25 %     6.73 %     1.44 %     10.17 %
                                           

    Income Statement – Third Quarter 2024 Compared to Second Quarter 2024

    Third quarter net income increased $1.4 million, or 42.6%, to $4.7 million led by increased net interest income and a lower quarterly provision for credit losses, combined with an increase in net operating income from the mortgage division.  Net interest income increased $1.4 million, or 8.3%, as the increase in interest income out-paced the increase in interest expense. Non-interest income increased $1.6 million or 17.2%, reflecting higher levels of mortgage banking income and an improvement in fair value changes of the pipeline as well as fair valued portfolio loans.  Non-interest expense increased $1.5 million, or 8.0%, due primarily to an increase in salaries and employee benefits expense, professional fees and other expense.  These increases were partially offset by a decrease in advertising and promotion expense. Detailed explanations of the major categories of income and expense follow below.

    Net Interest income

    The rate/volume analysis table below analyzes dollar changes in the components of interest income and interest expense as they relate to the change in balances (volume) and the change in interest rates (rate) of tax-equivalent net interest income for the periods indicated and allocated by rate and volume. Changes in interest income and/or expense related to changes attributable to both volume and rate have been allocated proportionately based on the relationship of the absolute dollar amount of the change in each category.

      Quarter Ended                
    (dollars in thousands) September 30,
    2024    		   June 30,
    2024    		   $ Change   % Change   Change due
    to rate    		   Change due
    to volume
    Interest income:                      
    Cash and cash equivalents $ 416   $ 331   $ 85     25.7 %   $ 3     $ 82  
    Investment securities – taxable   1,480     1,324     156     11.8 %     28       128  
    Investment securities – tax exempt (1)   397     403     (6 )   (1.5 )%     (3 )     (3 )
    Loans held for sale   766     572     194     33.9 %     (5 )     199  
    Loans held for investment (1)   37,339     35,916     1,423     4.0 %     967       456  
    Total loans   38,105     36,488     1,617     4.4 %     962       655  
    Total interest income $ 40,398   $ 38,546   $ 1,852     4.8 %   $ 990     $ 862  
    Interest expense:                      
    Interest-bearing demand deposits $ 1,390   $ 1,279   $ 111     8.7 %   $ 118     $ (7 )
    Money market and savings deposits   8,391     8,265     126     1.5 %     (494 )     620  
    Time deposits   9,532     9,447     85     0.9 %     (406 )     491  
    Total interest – bearing deposits   19,313     18,991     322     1.7 %     (782 )     1,104  
    Borrowings   1,985     1,851     134     7.2 %     21       113  
    Subordinated debentures   779     777     2     0.3 %     —       2  
    Total interest expense   22,077     21,619     458     2.1 %     (761 )     1,219  
    Net interest income differential $ 18,321   $ 16,927   $ 1,394     8.24 %   $ 1,751     $ (357 )
    (1) Reflected on a tax-equivalent basis.                    
                         

    Interest income increased $1.9 million quarter-over-quarter on a tax equivalent basis, driven by the level of average earning assets which increased by $55.3 million contributing $862 thousand to the interest income increase. In addition, the yield on earnings assets increased 8 basis points during the period.

    Average total loans, excluding residential loans for sale, increased $25.0 million resulting in an increase due to volume in interest income of $456 thousand. The largest drivers of this increase were commercial, commercial real estate, and small business loans which on a combined basis increased $34.4 million on average, partially offset by a decrease in average leases of $11.6 million. Home equity, residential real estate, consumer and other loans held in portfolio increased on a combined basis $2.1 million on average.  The yield on total loans increased 10 basis points, helped by loan fees of $509 thousand, and the yield on cash and investments increased 3 basis points on a combined basis. 

    Total interest expense increased $458 thousand, quarter-over-quarter, due to higher levels of deposits, particularly money market and time deposits having a bigger impact than rate changes. Interest expense on total deposits increased $322 thousand and interest expense on borrowings increased $134 thousand. During the period, money market accounts and time deposits increased $15.1 million and $8.6 million on average, respectively, while interest-bearing demand deposits decreased $640 thousand on average. Borrowings increased $9.1 million on average. Overall increase in interest expense on deposits due to volume changes was $1.1 million. 

    The cost of interest-bearing deposits decreased 3 basis points driven by certain money market funds and wholesale time deposits which repriced at lower costs. The total decrease in interest expense on deposits attributable to rate changes was $782 thousand. Overall the net interest margin increased 14 basis points to 3.20% as the yield on earning assets improved, the cost of funds declined and non-interest bearing balances increased $18.7 million on average.

    Provision for Credit Losses

    The overall provision for credit losses for the third quarter decreased $398 thousand to $2.3 million, from $2.7 million in the second quarter.  The provision for funded loans decreased $670 thousand and the provision on unfunded loan commitments increased $272 thousand during the current quarter.  The third quarter provision for funded loans of $2.0 million declined from the prior quarter due largely to a decrease of $1.9 million in net charge-offs and was positively impacted by favorable changes in certain portfolio baseline loss rates.

    Non-interest income

    The following table presents the components of non-interest income for the periods indicated:

      Quarter Ended        
    (Dollars in thousands) September 30, 
    2024    		   June 30, 
    2024    		   $ Change   % Change
    Mortgage banking income $ 6,474     $ 5,420     $ 1,054     19.4 %
    Wealth management income   1,447       1,444       3     0.2 %
    SBA loan income   544       785       (241 )   (30.7 )%
    Earnings on investment in life insurance   222       215       7     3.3 %
    Net change in the fair value of derivative instruments   (102 )     203       (305 )   (150.2 )%
    Net change in the fair value of loans held-for-sale   169       (29 )     198     (682.8 )%
    Net change in the fair value of loans held-for-investment   965       (24 )     989     (4120.8 )%
    Net loss (gain) on hedging activity   (197 )     (63 )     (134 )   212.7 %
    Net loss on sale of investment securities available-for-sale   (57 )     —       (57 )   (100.0 )%
    Other   1,366       1,293       73     5.6 %
    Total non-interest income $ 10,831     $ 9,244     $ 1,587     17.2 %
                                 

    Total non-interest income increased $1.6 million, or 17.2%, quarter-over-quarter as mortgage banking income increased $1.1 million, or 19.4%. Mortgage loan sales increased $47.8 million or 24.1% quarter over quarter driving higher gain on sale income at a slightly higher margin.  SBA and other income decreased $168 thousand combined due largely to lower levels of SBA loan sales.  SBA loans sold for the quarter-ended September 30, 2024 totaled $11.9 million, down $246 thousand, or 2.0%, compared to the quarter-ended June 30, 2024. The gross margin on SBA sales was 7.9% for the quarter, down from 8.8% for the previous quarter. 

    Non-interest expense

    The following table presents the components of non-interest expense for the periods indicated:

      Quarter Ended        
    (Dollars in thousands) September 30, 
    2024    		   June 30, 
    2024    		   $ Change   % Change
    Salaries and employee benefits $              12,829   $              11,437   $                 1,392     12.2 %
    Occupancy and equipment                     1,243                       1,230                            13     1.1 %
    Professional fees                     1,106                       1,029                            77     7.5 %
    Data processing and software                     1,553                       1,506                            47     3.1 %
    Advertising and promotion                        717                          989                        (272 )   (27.5 )%
    Pennsylvania bank shares tax                        181                          274                           (93 )   (33.9 )%
    Other                     2,917                       2,553                          365     14.3 %
    Total non-interest expense $              20,546   $              19,018   $                 1,528     8.0 %
                             

    Salaries and employee benefits increased $1.4 million overall, with bank and wealth segments combined having increased $588 thousand, and the mortgage segment increased $804 thousand.  Mortgage segment salaries, commissions, and employee benefits are impacted by volume and therefore increased as originations increased $17.2 million over the prior quarter.

    Professional fees increased $77 thousand during the current quarter due to an increased level of legal expense related to non-performing assets.  Advertising and promotion expense decreased $272 thousand from the prior quarter as a result of a seasonal decrease in business development expenses.  Other expense increased $365 thousand from the prior quarter due to an increase in employee travel and trainings, combined with an increase in loan fees.

    Balance Sheet – September 30, 2024 Compared to June 30, 2024

    Total assets increased $36.1 million, or 1.5%, to $2.4 billion as of September 30, 2024 from $2.4 billion at June 30, 2024. This increase was driven by strong loan growth and an increase in investments.  Interest-bearing cash increased $4.2 million, or 26.9%, to $19.8 million as of September 30, 2024, from June 30, 2024.

    Portfolio loan growth was $20.3 million, or 1.0% quarter-over-quarter.  The portfolio growth was generated from commercial mortgage loans which increased $25.6 million, or 3.3%, commercial & industrial loans which increased $11.4 million, or 3.2%, and small business loans which increased $5.0 million despite the sale of $11.9 million in small business loan during the quarter.  Lease financings decreased $10.9 million, or 11.2% from June 30, 2024, partially offsetting the above noted loan growth, but this decline was expected as we continue to refocus away from lease originations. Other assets increased by $7.1 million quarter-over-quarter, due largely to certain SBA loan sales that settled after quarter-end. 

    Total deposits increased $63.5 million, or 3.3% quarter-over-quarter, due largely to higher levels of money market accounts and time deposits to a lesser degree.  Money market accounts and savings accounts increased a combined $35.4 million, while time deposits increased $11.6 million from largely wholesale efforts, and interest bearing demand deposits increased $3.4 million.  Non-interest bearing deposits increased $13.2 million. Overall borrowings decreased $42.4 million, or 22.6% quarter-over-quarter.

    Total stockholders’ equity increased by $5.1 million from June 30, 2024, to $167.5 million as of September 30, 2024.  Changes to equity for the current quarter included net income of $4.7 million, less dividends paid of $1.4 million, plus an increase of $1.3 million in other comprehensive income due to the positive impact that declining interest rate environment had on the investment portfolio.  The Community Bank Leverage Ratio for the Bank was 9.32% at September 30, 2024.

    Asset Quality Summary

    Non-performing loans increased $7.5 million to $45.1 million at September 30, 2024 compared to $37.6 million at June 30, 2024. As a result of the increase, the ratio of non-performing loans to total loans increased to 2.20% as of September 30, 2024, from 1.84% as of June 30, 2024, and the ratio of non-performing assets to total assets increased to 1.97% as of September 30, 2024, compared to 1.68% as of June 30, 2024. The increase in non-performing assets was led by a $4.2 million increase in non-performing residential mortgage loans and a $1.8 million increase in non-performing commercial loans as the bank repurchased at a discount of $574 thousand, the remaining balance of a commercial loan participation to another bank. The impact of this loan repurchase increased the balance of non-performing loans by $2.1 million and also increased the ACL by the amount of the discount. 

    Meridian realized net charge-offs of 0.11% of total average loans for the quarter ended September 30, 2024, down from 0.20% for the quarter ended June 30, 2024.  Net charge-offs decreased to $2.3 million for the quarter ended September 30, 2024, compared to net charge-offs of $4.1 million for the quarter ended June 30, 2024.  Third quarter charge-offs were comprised of $1.2 million from small ticket equipment leases which are charged-off after becoming more than 120 days past due, and $1.1 million in SBA loans.  Overall there were recoveries of $153 thousand, largely related to leases and small business loans.

    The ratio of allowance for credit losses to total loans held for investment, excluding loans at fair value (a non-GAAP measure, see reconciliation in the Appendix), was 1.10% as of September 30, 2024, consistent with the coverage ratio of 1.10% as of June 30, 2024.  As of September 30, 2024 there were specific reserves of $6.8 million against individually evaluated loans, a decrease of $394 thousand from $7.2 million in specific reserves as of June 30, 2024.  The specific reserve decline over the prior quarter was the result of a drop in SBA loan related reserves driven by charge-offs during the current quarter, partially offset by an increase in specific reserve as the result of repurchasing a commercial loan participation from another bank as discussed above.

    About Meridian Corporation

    Meridian Bank, the wholly owned subsidiary of Meridian Corporation, is an innovative community bank serving Pennsylvania, New Jersey, Delaware and Maryland. Through its 17 offices, including banking branches and mortgage locations, Meridian offers a full suite of financial products and services. Meridian specializes in business and industrial lending, retail and commercial real estate lending, electronic payments, and wealth management solutions through Meridian Wealth Partners. Meridian also offers a broad menu of high-yield depository products supported by robust online and mobile access. For additional information, visit our website at www.meridianbanker.com. Member FDIC.

    “Safe Harbor” Statement

    In addition to historical information, this press release may contain “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include statements with respect to Meridian Corporation’s strategies, goals, beliefs, expectations, estimates, intentions, capital raising efforts, financial condition and results of operations, future performance and business. Statements preceded by, followed by, or that include the words “may,” “could,” “should,” “pro forma,” “looking forward,” “would,” “believe,” “expect,” “anticipate,” “estimate,” “intend,” “plan,” or similar expressions generally indicate a forward-looking statement.  These forward-looking statements involve risks and uncertainties that are subject to change based on various important factors (some of which, in whole or in part, are beyond Meridian Corporation’s control). Numerous competitive, economic, regulatory, legal and technological factors, risks and uncertainties that could cause actual results to differ materially include, without limitation, credit losses and the credit risk of our commercial and consumer loan products; changes in the level of charge-offs and changes in estimates of the adequacy of the allowance for credit losses, or ACL; cyber-security concerns; rapid technological developments and changes; increased competitive pressures; changes in spreads on interest-earning assets and interest-bearing liabilities; changes in general economic conditions and conditions within the securities markets;  unanticipated changes in our liquidity position; unanticipated changes in regulatory and governmental policies impacting interest rates and financial markets; legislation affecting the financial services industry as a whole, and Meridian Corporation, in particular; changes in accounting policies, practices or guidance;  developments affecting the industry and the soundness of financial institutions and further disruption to the economy and U.S. banking system; among others, could cause Meridian Corporation’s financial performance to differ materially from the goals, plans, objectives, intentions and expectations expressed in such forward-looking statements. Meridian Corporation cautions that the foregoing factors are not exclusive, and neither such factors nor any such forward-looking statement takes into account the impact of any future events. All forward-looking statements and information set forth herein are based on management’s current beliefs and assumptions as of the date hereof and speak only as of the date they are made. For a more complete discussion of the assumptions, risks and uncertainties related to our business, you are encouraged to review Meridian Corporation’s filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended December 31, 2023 and subsequently filed quarterly reports on Form 10-Q and current reports on Form 8-K that update or provide information in addition to the information included in the Form 10-K and Form 10-Q filings, if any. Meridian Corporation does not undertake to update any forward-looking statement whether written or oral, that may be made from time to time by Meridian Corporation or by or on behalf of Meridian Bank.

    MERIDIAN CORPORATION AND SUBSIDIARIES
    FINANCIAL RATIOS (Unaudited)
    (Dollar amounts and shares in thousands, except per share amounts)
     
      Quarter Ended
      September 30, 
    2024    		   June 30, 
    2024    		   March 31, 
    2024    		   December 31, 
    2023    		   September 30, 
    2023
    Earnings and Per Share Data:                  
    Net income $ 4,743     $ 3,326     $ 2,676     $ 571     $ 4,005  
    Basic earnings per common share $ 0.43     $ 0.30     $ 0.24     $ 0.05     $ 0.36  
    Diluted earnings per common share $ 0.42     $ 0.30     $ 0.24     $ 0.05     $ 0.35  
    Common shares outstanding   11,229       11,191       11,186       11,183       11,178  
                       
    Performance Ratios:                  
    Return on average assets (2)   0.80 %     0.58 %     0.47 %     0.10 %     0.73 %
    Return on average equity (2)   11.41       8.25       6.73       1.44       10.17  
    Net interest margin (tax-equivalent) (2)   3.20       3.06       3.09       3.18       3.29  
    Yield on earning assets (tax-equivalent) (2)   7.06       6.98       6.90       6.81       6.76  
    Cost of funds (2)   4.05       4.10       4.00       3.81       3.63  
    Efficiency ratio   70.67 %     72.89 %     73.90 %     78.63 %     79.09 %
                       
    Asset Quality Ratios:                  
    Net charge-offs (recoveries) to average loans   0.11 %     0.20 %     0.12 %     0.11 %     0.05 %
    Non-performing loans to total loans   2.20       1.84       1.93       1.76       1.53  
    Non-performing assets to total assets   1.97       1.68       1.74       1.58       1.38  
    Allowance for credit losses to:                  
    Total loans and other finance receivables   1.09       1.09       1.18       1.17       1.04  
    Total loans and other finance receivables (excluding loans at fair value) (1)   1.10       1.10       1.19       1.17       1.05  
    Non-performing loans   48.66 %     57.66 %     60.59 %     65.48 %     67.61 %
                       
    Capital Ratios:                  
    Book value per common share $ 14.91     $ 14.51     $ 14.30     $ 14.13     $ 13.88  
    Tangible book value per common share $ 14.58     $ 14.17     $ 13.96     $ 13.78     $ 13.53  
    Total equity/Total assets   7.01 %     6.91 %     6.98 %     7.04 %     6.95 %
    Tangible common equity/Tangible assets – Corporation (1)   6.87       6.76       6.82       6.87       6.79  
    Tangible common equity/Tangible assets – Bank (1)   8.95       8.85       8.93       8.94       8.89  
    Tier 1 leverage ratio – Bank   9.32       9.33       9.42       9.46       9.65  
    Common tier 1 risk-based capital ratio – Bank   10.17       9.84       9.87       10.10       10.82  
    Tier 1 risk-based capital ratio – Bank   10.17       9.84       9.87       10.10       10.82  
    Total risk-based capital ratio – Bank   11.22 %     10.84 %     10.95 %     11.17 %     11.85 %
    (1) See Non-GAAP reconciliation in the Appendix                
    (2) Annualized                  
                       
    MERIDIAN CORPORATION AND SUBSIDIARIES
    CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited)
    (Dollar amounts and shares in thousands, except per share amounts)
     
      Three Months Ended   Nine Months Ended
      September 30, 
    2024    		   June 30, 
    2024    		   September 30, 
    2023    		   September 30, 
    2024    		   September 30, 
    2023
    Interest income:                  
    Loans and other finance receivables, including fees $ 38,103     $ 36,486     $ 33,980     $ 109,928     $ 95,612  
    Securities – taxable   1,480       1,324       901       4,055       2,853  
    Securities – tax-exempt   320       324       333       969       1,038  
    Cash and cash equivalents   416       331       245       1,047       741  
    Total interest income   40,319       38,465       35,459       115,999       100,244  
    Interest expense:                  
    Deposits   19,313       18,991       15,543       55,696       41,013  
    Borrowings and subordinated debentures   2,764       2,628       2,692       8,606       7,230  
    Total interest expense   22,077       21,619       18,235       64,302       48,243  
    Net interest income   18,242       16,846       17,224       51,697       52,001  
    Provision for credit losses   2,282       2,680       82       7,828       2,186  
    Net interest income after provision for credit losses   15,960       14,166       17,142       43,869       49,815  
    Non-interest income:                  
    Mortgage banking income   6,474       5,420       4,819       15,528       13,143  
    Wealth management income   1,447       1,444       1,258       4,208       3,689  
    SBA loan income   544       785       982       2,315       3,463  
    Earnings on investment in life insurance   222       215       201       644       585  
    Net change in the fair value of derivative instruments   (102 )     203       103       176       217  
    Net change in the fair value of loans held-for-sale   169       (29 )     111       138       (88 )
    Net change in the fair value of loans held-for-investment   965       (24 )     (570 )     766       (673 )
    Net loss (gain) on hedging activity   (197 )     (63 )     82       (279 )     81  
    Net loss on sale of investment securities available-for-sale   (57 )     —       (3 )     (57 )     (58 )
    Other   1,366       1,293       1,103       4,620       3,489  
    Total non-interest income   10,831       9,244       8,086       28,059       23,848  
    Non-interest expense:                  
    Salaries and employee benefits   12,829       11,437       12,420       34,839       35,633  
    Occupancy and equipment   1,243       1,230       1,226       3,706       3,610  
    Professional fees   1,106       1,029       1,104       3,633       2,930  
    Data processing and software   1,553       1,506       1,652       4,591       4,764  
    Advertising and promotion   717       989       848       2,454       2,799  
    Pennsylvania bank shares tax   181       274       244       729       735  
    Other   2,917       2,553       2,524       7,786       6,951  
    Total non-interest expense   20,546       19,018       20,018       57,738       57,422  
    Income before income taxes   6,245       4,392       5,210       14,190       16,241  
    Income tax expense   1,502       1,066       1,205       3,445       3,568  
    Net income $ 4,743     $ 3,326     $ 4,005     $ 10,745     $ 12,673  
                       
    Basic earnings per common share $ 0.43     $ 0.30     $ 0.36     $ 0.97     $ 1.14  
    Diluted earnings per common share $ 0.42     $ 0.30     $ 0.35     $ 0.96     $ 1.11  
                       
    Basic weighted average shares outstanding   11,110       11,096       11,058       11,098       11,129  
    Diluted weighted average shares outstanding   11,234       11,150       11,363       11,198       11,449  
                                           
    MERIDIAN CORPORATION AND SUBSIDIARIES
    CONDENSED CONSOLIDATED STATEMENTS OF CONDITION (Unaudited)
    (Dollar amounts and shares in thousands, except per share amounts)
                       
      September 30, 
    2024    		   June 30, 
    2024    		   March 31, 
    2024    		   December 31, 
    2023    		   September 30, 
    2023
    Assets:                  
    Cash and due from banks $ 12,542     $ 8,457     $ 8,935     $ 10,067     $ 12,734  
    Interest-bearing deposits at other banks   19,805       15,601       14,092       46,630       47,025  
    Cash and cash equivalents   32,347       24,058       23,027       56,697       59,759  
    Securities available-for-sale, at fair value   171,568       159,141       150,996       146,019       122,218  
    Securities held-to-maturity, at amortized cost   33,833       35,089       35,157       35,781       36,232  
    Equity investments   2,166       2,088       2,092       2,121       2,019  
    Mortgage loans held for sale, at fair value   46,602       54,278       29,124       24,816       23,144  
    Loans and other finance receivables, net of fees and costs   2,008,396       1,988,535       1,956,315       1,895,806       1,885,629  
    Allowance for credit losses   (21,965 )     (21,703 )     (23,171 )     (22,107 )     (19,683 )
    Loans and other finance receivables, net of the allowance for credit losses   1,986,431       1,966,832       1,933,144       1,873,699       1,865,946  
    Restricted investment in bank stock   8,542       10,044       8,560       8,072       8,309  
    Bank premises and equipment, net   12,807       13,114       13,451       13,557       13,310  
    Bank owned life insurance   29,489       29,267       29,051       28,844       28,641  
    Accrued interest receivable   10,012       9,973       9,864       9,325       8,984  
    Other real estate owned   1,862       1,862       1,703       1,703       1,703  
    Deferred income taxes   3,537       3,950       4,339       4,201       4,993  
    Servicing assets   4,364       11,341       11,573       11,748       11,835  
    Servicing assets held for sale   6,609       —       —       —       —  
    Goodwill   899       899       899       899       899  
    Intangible assets   2,818       2,869       2,920       2,971       3,022  
    Other assets   33,835       26,779       37,023       25,740       39,957  
    Total assets $ 2,387,721     $ 2,351,584     $ 2,292,923     $ 2,246,193     $ 2,230,971  
                       
    Liabilities:                  
    Deposits:                  
    Non-interest bearing $ 237,207     $ 224,040     $ 220,581     $ 239,289     $ 244,668  
    Interest bearing                  
    Interest checking   133,429       130,062       121,204       150,898       156,537  
    Money market and savings deposits   822,837       787,479       797,525       747,803       746,599  
    Time deposits   785,454       773,855       761,386       685,472       660,841  
    Total interest-bearing deposits   1,741,720       1,691,396       1,680,115       1,584,173       1,563,977  
    Total deposits   1,978,927       1,915,436       1,900,696       1,823,462       1,808,645  
    Borrowings   144,880       187,260       145,803       174,896       177,959  
    Subordinated debentures   49,928       49,897       49,867       49,836       50,079  
    Accrued interest payable   7,017       7,709       8,350       10,324       7,814  
    Other liabilities   39,519       28,900       28,271       29,653       31,360  
    Total liabilities   2,220,271       2,189,202       2,132,987       2,088,171       2,075,857  
                       
    Stockholders’ equity:                  
    Common stock   13,232       13,194       13,189       13,186       13,181  
    Surplus   81,002       80,639       80,487       80,325       79,731  
    Treasury stock   (26,079 )     (26,079 )     (26,079 )     (26,079 )     (26,079 )
    Unearned common stock held by employee stock ownership plan   (1,204 )     (1,204 )     (1,204 )     (1,204 )     (1,403 )
    Retained earnings   107,765       104,420       102,492       101,216       102,043  
    Accumulated other comprehensive loss   (7,266 )     (8,588 )     (8,949 )     (9,422 )     (12,359 )
    Total stockholders’ equity   167,450       162,382       159,936       158,022       155,114  
    Total liabilities and stockholders’ equity $ 2,387,721     $ 2,351,584     $ 2,292,923     $ 2,246,193     $ 2,230,971  
                                           
    MERIDIAN CORPORATION AND SUBSIDIARIES
    CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND SEGMENT INFORMATION (Unaudited)
    (Dollar amounts and shares in thousands, except per share amounts)
     
      Three Months Ended
      September 30,
    2024    		   June 30,
    2024    		   March 31,
    2024    		   December 31,
    2023    		   September 30,
    2023
    Interest income $ 40,319   $ 38,465   $ 37,215   $ 36,346   $ 35,459
    Interest expense   22,077     21,619     20,606     19,404     18,235
    Net interest income   18,242     16,846     16,609     16,942     17,224
    Provision for credit losses   2,282     2,680     2,866     4,628     82
    Non-interest income   10,831     9,244     7,984     8,117     8,086
    Non-interest expense   20,546     19,018     18,174     19,703     20,018
    Income before income tax expense   6,245     4,392     3,553     728     5,210
    Income tax expense   1,502     1,066     877     157     1,205
    Net Income $ 4,743   $ 3,326   $ 2,676   $ 571   $ 4,005
                       
    Basic weighted average shares outstanding   11,110     11,096     11,088     11,070     11,058
    Basic earnings per common share $ 0.43   $ 0.30   $ 0.24   $ 0.05   $ 0.36
                       
    Diluted weighted average shares outstanding   11,234     11,150     11,201     11,206     11,363
    Diluted earnings per common share $ 0.42   $ 0.30   $ 0.24   $ 0.05   $ 0.35
                                 
      Segment Information
      Three Months Ended September 30, 2024   Three Months Ended September 30, 2023
    (dollars in thousands) Bank   Wealth   Mortgage   Total   Bank   Wealth   Mortgage   Total
    Net interest income $ 18,151     $ 46     $ 45     $ 18,242     $ 17,205     $ (15 )   $ 34     $ 17,224  
    Provision for credit losses   2,282       —       —       2,282       82       —       —       82  
    Net interest income after provision   15,869       46       45       15,960       17,123       (15 )     34       17,142  
    Non-interest income   1,358       1,447       8,026       10,831       1,758       1,258       5,070       8,086  
    Non-interest expense   13,287       840       6,419       20,546       12,564       826       6,628       20,018  
    Income (loss) before income taxes $ 3,940     $ 653     $ 1,652     $ 6,245     $ 6,317     $ 417     $ (1,524 )   $ 5,210  
    Efficiency ratio   68 %     56 %     80 %     71 %     66 %     66 %     130 %     79 %
                                   
      Nine Months Ended September 30, 2024   Nine Months Ended September 30, 2023
    (dollars in thousands) Bank   Wealth   Mortgage   Total   Bank   Wealth   Mortgage   Total
    Net interest income $ 51,528     $ 76     $ 93     $ 51,697     $ 51,928     $ (12 )   $ 85     $ 52,001  
    Provision for credit losses   7,828       —       —       7,828       2,186       —       —       2,186  
    Net interest income after provision   43,700       76       93       43,869       49,742       (12 )     85       49,815  
    Non-interest income   4,908       4,207       18,944       28,059       5,696       3,689       14,463       23,848  
    Non-interest expense   37,962       2,479       17,297       57,738       35,608       2,704       19,110       57,422  
    Income (loss) before income taxes $ 10,646     $ 1,804     $ 1,740     $ 14,190     $ 19,830     $ 973     $ (4,562 )   $ 16,241  
    Efficiency ratio   67 %     58 %     91 %     72 %     62 %     74 %     131 %     76 %
                                   

    MERIDIAN CORPORATION AND SUBSIDIARIES
    APPENDIX: NON-GAAP MEASURES (Unaudited)
    (Dollar amounts and shares in thousands, except per share amounts)

    Meridian believes that non-GAAP measures are meaningful because they reflect adjustments commonly made by management, investors, regulators and analysts. The non-GAAP disclosure have limitations as an analytical tool, should not be viewed as a substitute for performance and financial condition measures determined in accordance with GAAP, and should not be considered in isolation or as a substitute for analysis of Meridian’s results as reported under GAAP, nor is it necessarily comparable to non-GAAP performance measures that may be presented by other companies.

      Pre-tax, Pre-provision Reconciliation
      Three Months Ended   Nine Months Ended
    (Dollars in thousands, except per share data, Unaudited) September 30, 
    2024    		   June 30, 
    2024    		   September 30, 
    2023    		   September 30, 
    2024    		   September 30, 
    2023
    Income before income tax expense $ 6,245   $ 4,392   $ 5,210   $ 14,190   $ 16,241
    Provision for credit losses   2,282     2,680     82     7,828     2,186
    Pre-tax, pre-provision income $ 8,527   $ 7,072   $ 5,292   $ 22,018   $ 18,427
                                 
      Pre-tax, Pre-provision Reconciliation
      Three Months Ended   Nine Months Ended
    (Dollars in thousands, except per share data, Unaudited) September 30,
    2024    		   June 30,
    2024    		   September 30,
    2023    		   September 30,
    2024    		   September 30,
    2023
    Bank $ 6,222   $ 5,851   $ 6,399     $ 18,474   $ 22,016  
    Wealth   653     676     417       1,804     973  
    Mortgage   1,652     545     (1,524 )     1,740     (4,562 )
    Pre-tax, pre-provision income $ 8,527   $ 7,072   $ 5,292     $ 22,018   $ 18,427  
                                     
      Allowance For Credit Losses (ACL) to Loans and Other Finance Receivables, Excluding and Loans at Fair Value
      September 30,
    2024    		   June 30,
    2024    		   March 31,
    2024    		   December 31,
    2023    		   September 30,
    2023
    Allowance for credit losses (GAAP) $ 21,965     $ 21,703     $ 23,171     $ 22,107     $ 19,683  
                       
    Loans and other finance receivables (GAAP)   2,008,396       1,988,535       1,956,315       1,895,806       1,885,629  
    Less: Loans at fair value   (13,965 )     (12,900 )     (13,139 )     (13,726 )     (13,231 )
    Loans and other finance receivables, excluding loans at fair value  (non-GAAP) $ 1,994,431     $ 1,975,635     $ 1,943,176     $ 1,882,080     $ 1,872,398  
                       
    ACL to loans and other finance receivables (GAAP)   1.09 %     1.09 %     1.18 %     1.17 %     1.04 %
    ACL to loans and other finance receivables, excluding loans at fair value (non-GAAP)   1.10 %     1.10 %     1.19 %     1.17 %     1.05 %
                                           
      Tangible Common Equity Ratio Reconciliation – Corporation
      September 30, 
    2024    		   June 30, 
    2024    		   March 31, 
    2024    		   December 31, 
    2023    		   September 30, 
    2023
    Total stockholders’ equity (GAAP) $ 167,450     $ 162,382     $ 159,936     $ 158,022     $ 155,114  
    Less: Goodwill and intangible assets   (3,717 )     (3,768 )     (3,819 )     (3,870 )     (3,921 )
    Tangible common equity (non-GAAP)   163,733       158,614       156,117       154,152       151,193  
                       
    Total assets (GAAP)   2,387,721       2,351,584       2,292,923       2,246,193       2,230,971  
    Less: Goodwill and intangible assets   (3,717 )     (3,768 )     (3,819 )     (3,870 )     (3,921 )
    Tangible assets (non-GAAP) $ 2,384,004     $ 2,347,816     $ 2,289,104     $ 2,242,323     $ 2,227,050  
    Tangible common equity to tangible assets ratio – Corporation (non-GAAP)   6.87 %     6.76 %     6.82 %     6.87 %     6.79 %
                                           
      Tangible Common Equity Ratio Reconciliation – Bank
      September 30, 
    2024    		   June 30, 
    2024    		   March 31, 
    2024    		   December 31, 
    2023    		   September 30, 
    2023
    Total stockholders’ equity (GAAP) $ 217,028     $ 211,308     $ 208,319     $ 204,132     $ 201,996  
    Less: Goodwill and intangible assets   (3,717 )     (3,768 )     (3,819 )     (3,870 )     (3,921 )
    Tangible common equity (non-GAAP)   213,311       207,540       204,500       200,262       198,075  
                       
    Total assets (GAAP)   2,385,994       2,349,600       2,292,894       2,244,893       2,232,297  
    Less: Goodwill and intangible assets   (3,717 )     (3,768 )     (3,819 )     (3,870 )     (3,921 )
    Tangible assets (non-GAAP) $ 2,382,277     $ 2,345,832     $ 2,289,075     $ 2,241,023     $ 2,228,376  
    Tangible common equity to tangible assets ratio – Bank (non-GAAP)   8.95 %     8.85 %     8.93 %     8.94 %     8.89 %
                       
      Tangible Book Value Reconciliation
      September 30, 
    2024    		   June 30, 
    2024    		   March 31, 
    2024    		   December 31, 
    2023    		   September 30, 
    2023
    Book value per common share $ 14.91     $ 14.51     $ 14.30     $ 14.13     $ 13.88  
    Less: Impact of goodwill /intangible assets   0.33       0.34       0.34       0.35       0.35  
    Tangible book value per common share $ 14.58     $ 14.17     $ 13.96     $ 13.78     $ 13.53  
     

    Contact:
    Christopher J. Annas
    484.568.5001
    CAnnas@meridianbanker.com

    The MIL Network –

  • MIL-OSI: First Savings Financial Group, Inc. Reports Financial Results for the Fiscal Year Ended September 30, 2024

    Source: GlobeNewswire (MIL-OSI)

    JEFFERSONVILLE, Ind., Oct. 24, 2024 (GLOBE NEWSWIRE) — First Savings Financial Group, Inc. (NASDAQ: FSFG – news) (the “Company”), the holding company for First Savings Bank (the “Bank”), today reported net income of $13.6 million, or $1.98 per diluted share, for the year ended September 30, 2024, compared to net income of $8.2 million, or $1.19 per diluted share, for the year ended September 30, 2023. The core banking segment reported net income of $16.9 million, or $2.47 per diluted share for the year ended September 30, 2024, compared to $14.9 million, or $2.18 per diluted share for the year ended September 30, 2023.

    Commenting on the Company’s performance, Larry W. Myers, President and CEO, stated “Fiscal 2024 was, in many ways, a year of rebuilding, repositioning and refinement. A summary of these enhancement actions is provided below. While we’re not entirely pleased with the financial performance in fiscal 2024, we are confident that the Company is well positioned to better perform in fiscal 2025 and the years thereafter regardless of the economic environment. For fiscal 2025 we’ll remain focused on core banking; strong asset quality; selective high-quality lending; core deposit growth; increased SBA lending volume; continued improvement of liquidity, capital and interest rate sensitivity positions; and strategic opportunities. We believe the efforts of fiscal 2024 along with the focus for fiscal 2025 will deliver enhanced shareholder value. Additionally, we’ll continue to evaluate options and strategies that we believe will further position the Company for future success and deliver shareholder value.”

    Enhancements Actions During Fiscal Year Ended September 30, 2024

    • Converted the core operating system immediately prior to the beginning of fiscal 2024 and committed to effectively adapt to the new system and gain efficiencies and expense reductions therewith.
    • Ceased national mortgage banking operations in the first fiscal quarter, including sale of the residential mortgage servicing rights portfolio.
    • Implemented additional expense reduction and containment strategies, which were effective.
    • Experienced the net interest margin floor in the second fiscal quarter and recognized expansion in the subsequent quarters, in addition to a slowed paced of deposit migration to higher cost types.
    • Maintained a balance sheet position that is expected to benefit in a potential decreasing rate environment but having limited exposure to potential increasing rates.
    • Remained disciplined in our lending philosophy with respect to both rate expectations and credit quality.
    • Enhanced our review of asset quality, which remains strong, in order to prepare for any potential financial downturn that may occur.
    • Enhanced SBA Lending business development staff with new and replacement hires throughout the fiscal year, plus decreased surplus support staff at the end of the fourth fiscal quarter.

    Results of Operations for the Fiscal Years Ended September 30, 2024 and 2023

    Net interest income decreased $3.5 million, or 5.7%, to $58.1 million for the year ended September 30, 2024 as compared to the prior year. The tax equivalent net interest margin for the year ended September 30, 2024 was 2.68% as compared to 3.10% for the prior year. The decrease in net interest income was due to a $22.3 million increase in interest expense, partially offset by an $18.8 million increase in interest income. A table of average balance sheets, including average asset yields and average liability costs, is included at the end of this release.

    The Company recognized a provision for credit losses for loans of $3.5 million, a credit for unfunded lending commitments of $421,000, and a provision for credit losses for securities of $21,000 for the year ended September 30, 2024, compared to a provision for loan losses of $2.6 million only for the prior year. The provision for credit losses for loans increased primarily due to loan growth and the effects of adopting the Current Expected Credit Loss (CECL) methodology during the year ended September 30, 2024. The Company recognized net charge-offs totaling $527,000 during the year, of which $104,000 was related to unguaranteed portions of SBA loans, compared to net charge-offs of $1.1 million during the prior year, of which $872,000 was related to unguaranteed portions of SBA loans. Nonperforming loans, which consist of nonaccrual loans and loans over 90 days past due and still accruing interest, increased $3.0 million from $13.9 million at September 30, 2023 to $16.9 million at September 30, 2024.

    Noninterest income decreased $12.8 million for the year ended September 30, 2024 as compared to the prior year. The decrease was due primarily to a $14.1 million decrease in mortgage banking income due to the cessation of national mortgage banking operations in the quarter ended December 31, 2023.

    Noninterest expense decreased $23.2 million for the year ended September 30, 2024 as compared to the prior year. The decrease was due primarily to decreases in compensation and benefits, data processing expense and other operating expenses of $12.0 million, $2.2 million and $7.8 million, respectively. The decrease in compensation and benefits expense was due primarily to a reduction in staffing related to the cessation of national mortgage banking operations in the quarter ended December 31, 2023. The decrease in data processing expense was due primarily to expenses recognized in the prior year related to the implementation of the new core operating system in August 2023. The decrease in other operating expense was due primarily to a $1.9 decrease in net loss on captive insurance operations due to the dissolution of the captive insurance company in September 2023; a decrease in loss contingency accrual for SBA-guaranteed loans of $754,000 in 2024 compared to an increase of $1.5 million in 2023; a decrease in the loss contingency accrual for restitution to mortgage borrowers of $283,000 in 2024 compared to an increase of $609,000 in 2023; and a decrease of $853,000 in loan expense for 2024 as compared to 2023 due primarily to lower mortgage loan originations related to the cessation of national mortgage banking operations in the quarter ended December 31, 2023.

    The Company recognized income tax expense of $1.0 million for the year ended September 30, 2024 compared to tax expense of $10,000 for the prior year. The increase is primarily due to higher taxable income in the 2024 period. The effective tax rate for 2024 was 7.0%, which was an increase from the effective tax rate of 0.1% in 2023. The effective tax rate is well below the statutory tax rate primarily due to the recognition of investment tax credits related to solar projects in both the 2024 and 2023 periods.

    Results of Operations for the Three Months Ended September 30, 2024 and 2023

    The Company reported net income of $3.7 million, or $0.53 per diluted share, for the three months ended September 30, 2024, compared to a net loss of $747,000, or $0.11 per diluted share, for the three months ended September 30, 2023. The core banking segment reported net income of $4.1 million, or $0.60 per diluted share, for the three months ended September 30, 2024, compared to $2.3 million, or $0.33 per diluted share, for the three months ended September 30, 2023.

    Net interest income decreased $459,000, or 3.0%, to $15.1 million for the three months ended September 30, 2024 as compared to the same period in 2023. The tax equivalent net interest margin was 2.72% for the three months ended September 30, 2024 as compared to 3.03% for the same period in 2023. The decrease in net interest income was due to a $4.5 million increase in interest expense, partially offset by a $4.1 million increase in interest income. A table of average balance sheets, including average asset yields and average liability costs, is included at the end of this release.

    The Company recognized a provision for credit losses for loans of $1.8 million, a credit for unfunded lending commitments of $262,000, and a credit for credit losses for securities of $86,000 for the three months ended September 30, 2024, compared to a provision for loan losses of $815,000 only for the same period in 2023. The provision for credit losses for loans increased primarily due to loan growth and the effects of adopting the Current Expected Credit Loss (CECL) methodology during the year ended September 30, 2024. The Company recognized net charge-offs totaling $304,000 during the 2024 period, of which $120,000 was related to unguaranteed portions of SBA loans, compared to net charge-offs of $753,000 during the 2023 period, of which $609,000 was related to unguaranteed portions of SBA loans.

    Noninterest income decreased $2.6 million for the three months ended September 30, 2024 as compared to the same period in 2023. The decrease was due primarily to a $3.0 million decrease in mortgage banking income due to the cessation of national mortgage banking operations in the quarter ended December 31, 2023.

    Noninterest expense decreased $9.0 million for the three months ended September 30, 2024 as compared to the same period in 2023. The decrease was due primarily to decreases in compensation and benefits expense, data processing expense, and other operating expenses of $4.5 million, $1.5 million and $3.5 million, respectively. The decrease in compensation and benefits expense was due primarily to a reduction in staffing related to the cessation of national mortgage banking operations in the quarter ended December 31, 2023. The decrease in data processing expense was due primarily to expenses recognized in the prior year period related to the implementation of the new core operating system in August 2023. The decrease in other operating expense was due primarily to a $978,000 decrease in the net loss on captive insurance operations due to the dissolution of the captive insurance company in September 2023; a decrease in loss contingency accrual for SBA-guaranteed loans of $14,000 in 2024 compared to an increase of $1.0 million in 2023; and a decrease of $270,000 in loan expense for 2024 as compared to 2023 due primarily to lower mortgage loan originations related to the cessation of the national mortgage banking operations in the quarter ended December 31, 2023.

    The Company recognized income tax expense of $145,000 for the three months ended September 30, 2024 compared to income tax benefit of $737,000 for the same period in 2023. The increase was primarily due to higher taxable income in the 2024 period.

    Comparison of Financial Condition at September 30, 2024 and September 30, 2023

    Total assets increased $161.5 million, from $2.29 billion at September 30, 2023 to $2.45 billion at September 30, 2024. Net loans held for investment increased $193.6 million during the year ended September 30, 2024 due primarily to growth in residential real estate, residential construction, and commercial real estate loans. Loans held for sale decreased by $20.1 million from $45.9 million at September 30, 2023 to $25.7 million, primarily due to the winddown of the national mortgage banking operations. Residential mortgage loan servicing rights decreased $59.8 million during the year ended September 30, 2024, due to the sale of the entire residential mortgage loan servicing rights portfolio during the year.

    Total liabilities increased $135.4 million due primarily to increases in total deposits of $199.1 million, which included an increase in brokered deposits of $70.8 million, partially offset by a decrease in FHLB borrowings of $61.5 million. As of September 30, 2024, deposits exceeding the FDIC insurance limit of $250,000 per insured account were 30.1% of total deposits and 13.7% of total deposits when excluding public funds insured by the Indiana Public Deposit Insurance Fund.

    Common stockholders’ equity increased $26.1 million, from $151.0 million at September 30, 2023 to $177.1 million at September 30, 2024, due primarily to a $18.4 million decrease in accumulated other comprehensive loss and an increase in retained net income of $7.0 million. The decrease in accumulated other comprehensive loss was due primarily to decreasing long term market interest rates during the year ended September 30, 2024, which resulted in an increase in the fair value of securities available for sale. At September 30, 2024 and September 30, 2023, the Bank was considered “well-capitalized” under applicable regulatory capital guidelines.

    First Savings Bank is an entrepreneurial community bank headquartered in Jeffersonville, Indiana, which is directly across the Ohio River from Louisville, Kentucky, and operates fifteen depository branches within Southern Indiana. The Bank also has two national lending programs, including single-tenant net lease commercial real estate and SBA lending, with offices located predominately in the Midwest. The Bank is a recognized leader, both in its local communities and nationally for its lending programs. The employees of First Savings Bank strive daily to achieve the organization’s vision, We Expect To Be The BEST community BANK, which fuels our success. The Company’s common shares trade on The NASDAQ Stock Market under the symbol “FSFG.”

    This release may contain forward-looking statements within the meaning of the federal securities laws. These statements are not historical facts; rather, they are statements based on the Company’s current expectations regarding its business strategies and their intended results and its future performance. Forward-looking statements are preceded by terms such as “expects,” “believes,” “anticipates,” “intends” and similar expressions.

    Forward-looking statements are not guarantees of future performance. Numerous risks and uncertainties could cause or contribute to the Company’s actual results, performance and achievements to be materially different from those expressed or implied by the forward-looking statements. Factors that may cause or contribute to these differences include, without limitation, changes in general economic conditions; changes in market interest rates; changes in monetary and fiscal policies of the federal government; legislative and regulatory changes; and other factors disclosed periodically in the Company’s filings with the Securities and Exchange Commission.

    Because of the risks and uncertainties inherent in forward-looking statements, readers are cautioned not to place undue reliance on them, whether included in this report or made elsewhere from time to time by the Company or on its behalf. Except as may be required by applicable law or regulation, the Company assumes no obligation to update any forward-looking statements.

    Contact:
    Tony A. Schoen, CPA
    Chief Financial Officer
    812-283-0724

    FIRST SAVINGS FINANCIAL GROUP, INC.  
    CONSOLIDATED FINANCIAL HIGHLIGHTS  
    (Unaudited)  
                         
                         
      Three Months Ended   Years Ended      
    OPERATING DATA: September 30,   September 30,      
    (In thousands, except share and per share data)   2024       2023       2024       2023        
                         
    Total interest income $ 32,223     $ 28,137     $ 121,988     $ 103,229        
    Total interest expense   17,146       12,601       63,926       41,655        
                         
    Net interest income   15,077       15,536       58,062       61,574        
                         
    Provision for credit losses – loans   1,808       815       3,492       2,612        
    Provision (credit) for unfunded lending commitments   (262 )     –       (421 )     –        
    Provision (credit) for credit losses – securities   (86 )     –       21       –        
                         
    Total provision for credit losses   1,460       815       3,092       2,612        
                         
    Net interest income after provision for credit losses   13,617       14,721       54,970       58,962        
                         
    Total noninterest income   2,842       5,442       12,530       25,342        
    Total noninterest expense   12,642       21,647       52,890       76,122        
                         
    Income (loss) before income taxes   3,817       (1,484 )     14,610       8,182        
    Income tax expense (benefit)   145       (737 )     1,018       10        
                         
    Net income (loss) $ 3,672     $ (747 )   $ 13,592     $ 8,172        
                         
    Net income (loss) per share, basic $ 0.54     $ (0.11 )   $ 1.99     $ 1.19        
    Weighted average shares outstanding, basic   6,833,376       6,817,365       6,830,466       6,848,311        
                         
    Net income (loss) per share, diluted $ 0.53     $ (0.11 )   $ 1.98     $ 1.19        
    Weighted average shares outstanding, diluted   6,877,518       6,837,919       6,856,520       6,880,072        
                         
                         
    Performance ratios (annualized)                    
    Return on average assets   0.61 %     (0.13 %)     0.58 %     0.37 %      
    Return on average equity   8.52 %     (1.82 %)     8.31 %     5.04 %      
    Return on average common stockholders’ equity   8.52 %     (1.82 %)     8.31 %     5.04 %      
    Net interest margin (tax equivalent basis)   2.72 %     3.03 %     2.68 %     3.10 %      
    Efficiency ratio   70.55 %     103.19 %     74.92 %     87.58 %      
                         
                         
              QTD       FYTD  
    FINANCIAL CONDITION DATA: September 30,   June 30,   Increase   September 30,   Increase  
    (In thousands, except per share data)   2024       2024     (Decrease)     2023     (Decrease)  
                         
    Total assets $ 2,450,368     $ 2,393,491     $ 56,877     $ 2,288,854     $ 161,514    
    Cash and cash equivalents   52,142       42,423       9,719       30,845       21,297    
    Investment securities   249,719       238,785       10,934       229,039       20,680    
    Loans held for sale   25,716       125,859       (100,143 )     45,855       (20,139 )  
    Gross loans   1,985,146       1,846,769       138,377       1,787,143       198,003    
    Allowance for credit losses (1)   21,294       19,789       1,505       16,900       4,394    
    Interest earning assets   2,277,512       2,239,109       38,403       2,083,397       194,115    
    Goodwill   9,848       9,848       –       9,848       –    
    Core deposit intangibles   398       438       (40 )     561       (163 )  
    Loan servicing rights   2,754       2,860       (106 )     62,819       (60,065 )  
    Noninterest-bearing deposits   191,528       201,854       (10,326 )     242,237       (50,709 )  
    Interest-bearing deposits (customer)   1,180,196       1,111,143       69,053       1,001,238       178,958    
    Interest-bearing deposits (brokered)   509,157       399,151       110,006       438,319       70,838    
    Federal Home Loan Bank borrowings   301,640       425,000       (123,360 )     363,183       (61,543 )  
    Subordinated debt and other borrowings   48,603       48,563       40       48,444       159    
    Total liabilities   2,273,253       2,225,491       47,762       2,137,873       135,380    
    Accumulated other comprehensive loss   (11,195 )     (17,415 )     6,220       (29,587 )     18,392    
    Stockholders’ equity   177,115       168,000       9,115       150,981       26,134    
                         
    Book value per share $ 25.72     $ 24.41       $ 1.31     $ 21.99     $ 3.73    
    Tangible book value per share – Non-GAAP (2)   24.23       22.91       1.32       20.47       3.76    
                         
    Non-performing assets:                    
    Nonaccrual loans – SBA guaranteed $ 5,036     $ 5,049     $ (13 )   $ 5,091     $ (55 )  
    Nonaccrual loans   11,906       11,705       201       8,857       3,049    
    Total nonaccrual loans $ 16,942     $ 16,754     $ 188     $ 13,948     $ 2,994    
    Accruing loans past due 90 days   –       –       –       –       –    
    Total non-performing loans   16,942       16,754       188       13,948       2,994    
    Foreclosed real estate   444       444       –       474       (30 )  
    Troubled debt restructurings classified as performing loans   –       –       –       1,266       (1,266 )  
    Total non-performing assets $ 17,386     $ 17,198     $ 188     $ 15,688     $ 1,698    
                         
    Asset quality ratios:                    
    Allowance for credit losses as a percent of total gross loans   1.07 %     1.07 %     0.00 %     0.95 %     0.13 %  
    Allowance for credit losses as a percent of nonperforming loans   125.69 %     118.12 %     7.57 %     121.16 %     4.52 %  
    Nonperforming loans as a percent of total gross loans   0.85 %     0.91 %     (0.05 %)     0.78 %     0.07 %  
    Nonperforming assets as a percent of total assets   0.71 %     0.72 %     (0.01 %)     0.69 %     0.02 %  
                         
    (1) The Company adopted ASU 2016-13 Topic 326 on October 1, 2023. Allowance was determined using current expected credit loss methodology (CECL) for the quarters ended September, June, and March 2024 and December 2023. Allowance was determined using the previous incurred loss methodology as of September 30, 2023.  
    (2) See reconciliation of GAAP and non-GAAP financial measures for additional information relating to calculation of these figures.
                         
    RECONCILIATION OF GAAP AND NON-GAAP FINANCIAL MEASURES (UNAUDITED):                
    The following non-GAAP financial measures used by the Company provide information useful to investors in understanding the Company’s performance. The Company believes the financial measures presented below are important because of their widespread use by investors as a means to evaluate capital adequacy and earnings. The following table summarizes the non-GAAP financial measures derived from amounts reported in the evaluate capital adequacy and earnings. The following table summarizes the non-GAAP financial measures derived from amounts reported in the evaluate capital adequacy and earnings. The following table summarizes the non-GAAP financial measures derived from amounts reported in the Company’s consolidated financial statements and reconciles those non-GAAP financial measures with the comparable GAAP financial measures.      
                         
      Three Months Ended   Fiscal Year Ended      
      September 30,   September 30,      
        2024       2023       2024       2023        
    Net Income (In thousands)                    
    Net income attributable to the Company (non-GAAP) $ 3,660     $ 2,824     $ 11,674     $ 12,731        
    Plus: Reversal of contingent liability, net of tax effect   –       –       212       –        
    Plus: Record Visa Class C shares, net of tax effect   15       –       342       –        
    Plus: Decrease in loss contingency for SBA-guaranteed loans, net of tax effect   –       –       492       –        
    Plus: Adjustment to MSR valuation allowance, net of tax effect   –       –       583       –        
    Plus: Gain (loss) on premises and equipment, net of tax effect   (3 )     –       87       –        
    Plus: Adjustment to previous data processing contract termination accrual, net of tax effect   –       –       117       –        
    Plus: Distribution from equity investment, net of tax effect   –       –       85       –        
    Plus: Gain from repurchase of subordinated debt, net of tax effect   –       –       –       513        
    Less: Net loss on sales of available for sale securities and time deposits, net of tax effect   –       –       –       (429 )      
    Less: Data processing system conversion, net of tax effect   –       (979 )     –       (1,119 )      
    Less: MSR valuation allowance for intended sale, net of tax effect   –       (598 )     –       (598 )      
    Less: Loss contingency for SBA-guaranteed loans, net of tax effect   –       (779 )     –       (1,160 )      
    Less: Mortgage banking loss contingencies, net of tax effect   –       (296 )     –       (847 )      
    Less: Professional fees related to mortgage banking loss contingencies, net of tax effect   –       (919 )     –       (919 )      
    Net income attributable to the Company (GAAP) $ 3,672     $ (747 )   $ 13,592     $ 8,172        
                         
    Net Income per Share, Diluted                    
    Net income per share, diluted (non-GAAP) $ 0.53     $ 0.41     $ 1.70     $ 1.85        
    Plus: Reversal of contingent liability, net of tax effect   –       –       0.03       –        
    Plus: Record Visa Class C shares, net of tax effect   –       –       0.05       –        
    Plus: Decrease in loss contingency for SBA-guaranteed loans, net of tax effect   –       –       0.07       –        
    Plus: Adjustment to MSR valuation allowance, net of tax effect   –       –       0.09       –        
    Plus: Gain (loss) on premises and equipment, net of tax effect   –       –       0.01       –        
    Plus: Adjustment to previous data processing contract termination accrual, net of tax effect   –       –       0.02       –        
    Plus: Distribution from equity investment, net of tax effect   –       –       0.01       –        
    Plus: Gain from repurchase of subordinated debt, net of tax effect   –       –       –       0.07        
    Less: Net loss on sales of available for sale securities and time deposits, net of tax effect   –       –       –       (0.06 )      
    Less: Data processing system conversion, net of tax effect   –       (0.14 )     –       (0.16 )      
    Less: MSR valuation allowance for intended sale, net of tax effect   –       (0.09 )     –       (0.09 )      
    Less: Loss contingency for SBA-guaranteed loans, net of tax effect   –       (0.11 )     –       (0.17 )      
    Less: Mortgage banking loss contingencies, net of tax effect   –       (0.05 )     –       (0.12 )      
    Less: Professional fees related to mortgage banking loss contingencies, net of tax effect   –       (0.13 )     –       (0.13 )      
    Net income per share, diluted (GAAP) $ 0.53     $ (0.11 )   $ 1.98     $ 1.19        
                         
    Core Banking Net Income (In thousands)                    
    Net income attributable to the Core Bank (non-GAAP) $ 4,081     $ 5,046     $ 15,449     $ 18,338        
    Plus: Reversal of contingent liability, net of tax effect   –       –       212       –        
    Plus: Record Visa Class C shares, net of tax effect   15       –       342       –        
    Plus: Adjustment to MSR valuation allowance, net of tax effect   –       –       583       –        
    Plus: Gain (loss) on premises and equipment, net of tax effect   (3 )     –       87       –        
    Plus: Adjustment to previous data processing contract termination accrual, net of tax effect   –       –       117       –        
    Plus: Distribution from equity investment, net of tax effect   –       –       85       –        
    Plus: Gain from repurchase of subordinated debt, net of tax effect   –       –       –       513        
    Less: Net loss on sales of available for sale securities and time deposits, net of tax effect   –       –       –       (429 )      
    Less: Data processing system conversion, net of tax effect   –       (979 )     –       (1,119 )      
    Less: MSR valuation allowance for intended sale, net of tax effect   –       (598 )     –       (598 )      
    Less: Mortgage banking loss contingencies, net of tax effect   –       (296 )     –       (847 )      
    Less: Professional fees related to mortgage banking loss contingencies, net of tax effect   –       (919 )     –       (919 )      
    Net income (loss) attributable to the Core Bank (GAAP) $ 4,093     $ 2,254     $ 16,875     $ 14,939        
                         
    Core Bank Net Income per Share, Diluted                    
    Core Bank net income per share, diluted (non-GAAP) $ 0.60     $ 0.74     $ 2.26     $ 2.67        
    Plus: Reversal of contingent liability, net of tax effect   –       –       0.03       –        
    Plus: Record Visa Class C shares, net of tax effect   –       –       0.05       –        
    Plus: Adjustment to MSR valuation allowance, net of tax effect   –       –       0.09       –        
    Plus: Gain (loss) on premises and equipment, net of tax effect   –       –       0.01       –        
    Plus: Adjustment to previous data processing contract termination accrual, net of tax effect   –       –       0.02       –        
    Plus: Distribution from equity investment, net of tax effect   –       –       0.01       –        
    Plus: Gain from repurchase of subordinated debt, net of tax effect   –       –       –       0.07        
    Less: Net loss on sales of available for sale securities and time deposits, net of tax effect   –       –       –       (0.06 )      
    Less: Data processing system conversion, net of tax effect   –       (0.14 )     –       (0.16 )      
    Less: MSR valuation allowance for intended sale, net of tax effect   –       (0.09 )     –       (0.09 )      
    Less: Mortgage banking loss contingencies, net of tax effect   –       (0.05 )     –       (0.12 )      
    Less: Professional fees related to mortgage banking loss contingencies, net of tax effect   –       (0.13 )     –       (0.13 )      
    Core Bank net income per share, diluted (GAAP) $ 0.60     $ 0.33     $ 2.47     $ 2.18        
                         
    Efficiency Ratio (In thousands)                    
    Net interest income (GAAP) $ 15,077     $ 15,536     $ 58,062     $ 61,574        
                         
    Noninterest income (GAAP)   2,842       5,442       12,530       25,342        
                         
    Noninterest expense (GAAP)   12,646       21,647       52,890       76,122        
                         
    Efficiency ratio (GAAP)   70.55 %     103.19 %     74.92 %     87.58 %      
                         
    Noninterest income (GAAP) $ 2,842     $ 5,442     $ 12,530     $ 25,342        
    Plus: Record Visa Class C shares   20       –       456       –        
    Plus: Adjustment to MSR valuation allowance   –       –       777       –        
    Plus: Gain (loss) on premises and equipment   (4 )     –       116       –        
    Plus: Distribution from equity investment   –       –       113       –        
    Plus: Gain from repurchase of subordinated debt   –       –       –       684        
    Less: Net loss on sales of available for sale securities and time deposits   –       –       –       (572 )      
    Less: MSR valuation allowance for intended sale   –       (797 )     –       (797 )      
    Noninterest income (Non-GAAP)   2,858       4,645       13,992       24,657        
                         
    Noninterest expense (GAAP) $ 12,642     $ 21,647     $ 52,890     $ 76,122        
    Plus: Reversal of contingent liability   –       –       283       –        
    Plus: Decrease in loss contingency for SBA-guaranteed loans   –       –       656       –        
    Plus: Adjustment to previous data processing contract termination accrual   –       –       156       –        
    Less: Data processing system conversion   –       (1,305 )     –       (1,492 )      
    Less: Loss contingency for SBA-guaranteed loans   –       (1,039 )     –       (1,547 )      
    Less: Mortgage banking loss contingencies   –       (395 )     –       (1,129 )      
    Less: Professional fees related to mortgage banking loss contingencies   –       (1,225 )     –       (1,225 )      
    Noninterest expense (Non-GAAP)   12,642       17,683       53,985       70,729        
                         
    Efficiency ratio (excluding nonrecurring items) (non-GAAP)   70.49 %     87.62 %     74.92 %     82.02 %      
                         
                         
    Tangible Book Value Per Share September 30,   June 30,   Increase   September 30,   Increase  
    (In thousands, except share and per share data)   2024       2024     (Decrease)     2023     (Decrease)  
                         
    Stockholders’ equity, net of noncontrolling interests (GAAP) $ 177,115     $ 168,000     $ 9,115     $ 150,981     $ 26,134    
    Less: goodwill and core deposit intangibles   (10,246 )     (10,286 )     40       (10,409 )     163    
    Tangible equity (non-GAAP) $ 166,869     $ 157,714     $ 9,155     $ 140,572       26,297    
                         
    Outstanding common shares   6,887,106       6,883,656     $ 3,450       6,867,121       19,985    
                         
    Tangible book value per share (non-GAAP) $ 24.23     $ 22.91     $ 1.32     $ 20.47     $ 3.76    
                         
    Book value per share (GAAP) $ 25.72     $ 24.41     $ 1.31     $ 21.99     $ 3.73    
                         
                         
    SUMMARIZED FINANCIAL INFORMATION (UNAUDITED): As of  
    Summarized Consolidated Balance Sheets September 30,   June 30,   March 31,   December 31,   September 30,  
    (In thousands, except per share data)   2024       2024       2023       2023       2023    
                         
    Total cash and cash equivalents $ 52,142     $ 42,423     $ 62,969     $ 33,366     $ 30,845    
    Total investment securities   249,719       238,785       240,142       246,801       229,039    
    Total loans held for sale   25,716       125,859       19,108       22,866       45,855    
    Total loans, net of allowance for credit losses   1,963,852       1,826,980       1,882,458       1,841,953       1,770,243    
    Loan servicing rights   2,754       2,860       3,028       3,711       62,819    
    Total assets   2,450,368       2,393,491       2,364,983       2,308,092       2,288,854    
                         
    Customer deposits $ 1,371,724     $ 1,312,997     $ 1,239,271     $ 1,180,951     $ 1,243,475    
    Brokered deposits   509,157       399,151       548,175       502,895       438,319    
    Total deposits   1,880,881       1,712,148       1,787,446       1,683,846       1,681,794    
    Federal Home Loan Bank borrowings   301,640       425,000       315,000       356,699       363,183    
                         
    Common stock and additional paid-in capital $ 27,725     $ 27,592     $ 27,475     $ 27,397     $ 27,064    
    Retained earnings – substantially restricted   173,337       170,688       167,648       163,753       166,306    
    Accumulated other comprehensive income (loss)   (11,195 )     (17,415 )     (17,144 )     (13,606 )     (29,587 )  
    Unearned stock compensation   (901 )     (999 )     (1,096 )     (1,194 )     (1,015 )  
    Less treasury stock, at cost   (11,851 )     (11,866 )     (11,827 )     (11,827 )     (11,787 )  
    Total stockholders’ equity   177,115       168,000       165,056       164,523       150,981    
                         
    Outstanding common shares   6,887,106       6,883,656       6,883,160       6,883,160       6,867,121    
                         
                         
      Three Months Ended  
    Summarized Consolidated Statements of Income September 30,   June 30,   March 31,   December 31,   September 30,  
    (In thousands, except per share data)   2024       2024       2023       2023       2023    
                         
    Total interest income $ 32,223     $ 31,094     $ 30,016     $ 28,655     $ 28,137    
    Total interest expense   17,146       16,560       15,678       14,542       12,601    
    Net interest income   15,077       14,534       14,338       14,113       15,536    
    Provision for credit losses – loans   1,808       501       713       412       815    
    Provision (credit) for unfunded lending commitments   (262 )     158       (259 )     –       –    
    Provision (credit) for credit losses – securities   (86 )     84       23       –       –    
    Net interest income after provision for credit losses   13,617       13,791       13,861       13,701       14,721    
                         
    Total noninterest income   2,842       3,196       3,710       2,782       5,442    
    Total noninterest expense   12,642       12,431       11,778       16,039       21,647    
    Income (loss) before income taxes   3,817       4,556       5,793       444       (1,484 )  
    Income tax expense (benefit)   145       483       866       (476 )     (737 )  
    Net income (loss) $ 3,672     $ 4,073     $ 4,927     $ 920     $ (747 )  
                         
                         
    Net income (loss) per share, basic $ 0.54     $ 0.60     $ 0.72     $ 0.13     $ (0.11 )  
    Weighted average shares outstanding, basic   6,833,376       6,832,452       6,832,130       6,823,948       6,817,365    
                         
    Net income (loss) per share, diluted $ 0.53     $ 0.60     $ 0.72     $ 0.13     $ (0.11 )  
    Weighted average shares outstanding, diluted   6,877,518       6,842,336       6,859,611       6,839,704       6,837,919    
                         
                         
    SUMMARIZED FINANCIAL INFORMATION (UNAUDITED) (CONTINUED): Three Months Ended  
    Noninterest Income Detail September 30,   June 30,   March 31,   December 31,   September 30,  
    (In thousands)   2024       2024       2023       2023       2023    
                         
    Service charges on deposit accounts $ 552     $ 538     $ 387     $ 473     $ 479    
    ATM and interchange fees   642       593       585       449       816    
    Net loss on sales of available for sale securities   –       –       –       –       (11 )  
    Net unrealized gain on equity securities   28       419       6       38       11    
    Net gain on sales of loans, Small Business Administration   647       581       951       834       538    
    Mortgage banking income   6       49       53       89       3,018    
    Increase in cash surrender value of life insurance   363       353       333       329       311    
    Commission income   294       220       220       222       182    
    Real estate lease income   122       154       115       115       116    
    Net gain on premises and equipment   (4 )     –       120       –       20    
    Other income   192       289       940       233       (38 )  
    Total noninterest income $ 2,842     $ 3,196     $ 3,710     $ 2,782     $ 5,442    
                         
                         
      Three Months Ended  
      September 30,   June 30,   March 31,   December 31,   September 30,  
    Consolidated Performance Ratios (Annualized)   2024       2024       2023       2023       2023    
                         
    Return on average assets   0.61 %     0.69 %     0.92 %     0.16 %     (0.13 %)  
    Return on average equity   8.52 %     9.86 %     13.06 %     2.42 %     (1.82 %)  
    Return on average common stockholders’ equity   8.52 %     9.86 %     13.06 %     2.42 %     (1.82 %)  
    Net interest margin (tax equivalent basis)   2.72 %     2.67 %     2.66 %     2.69 %     3.03 %  
    Efficiency ratio   70.55 %     70.11 %     65.26 %     94.93 %     103.19 %  
                         
                         
      As of or for the Three Months Ended  
      September 30,   June 30,   March 31,   December 31,   September 30,  
    Consolidated Asset Quality Ratios   2024       2024       2023       2023       2023    
                         
    Nonperforming loans as a percentage of total loans   0.85 %     0.91 %     0.82 %     0.83 %     0.78 %  
    Nonperforming assets as a percentage of total assets   0.71 %     0.72 %     0.68 %     0.69 %     0.69 %  
    Allowance for credit losses as a percentage of total loans   1.07 %     1.07 %     1.02 %     1.01 %     0.95 %  
    Allowance for credit losses as a percentage of nonperforming loans   125.69 %     118.12 %     124.01 %     121.16 %     121.16 %  
    Net charge-offs to average outstanding loans   0.02 %     0.01 %     0.01 %     0.00 %     0.04 %  
                         
                         
    SUMMARIZED FINANCIAL INFORMATION (UNAUDITED) (CONTINUED): Three Months Ended  
    Segmented Statements of Income Information September 30,   June 30,   March 31,   December 31,   September 30,  
    (In thousands)   2024       2024       2023       2023       2023    
                         
    Core Banking Segment:                    
    Net interest income $ 14,083     $ 13,590     $ 13,469     $ 13,113     $ 14,167    
    Provision (credit) for credit losses – loans   1,339       320       909       (49 )     1,266    
    Provision (credit) for unfunded lending commitments   78       64       (259 )     –       –    
    Provision (credit) for credit losses – securities   (86 )     84       23       –       –    
    Net interest income after provision for credit losses   12,752       13,122       12,796       13,162       12,901    
    Noninterest income   2,042       2,474       2,537       1,679       2,136    
    Noninterest expense   10,400       10,192       10,093       10,252       13,559    
    Income before income taxes   4,394       5,404       5,240       4,589       1,478    
    Income tax expense   301       689       729       541       3    
    Net income $ 4,093     $ 4,715     $ 4,511     $ 4,048     $ 1,475    
                         
    SBA Lending Segment (Q2 Business Capital, LLC):                    
    Net interest income $ 994     $ 944     $ 869     $ 1,003     $ 990    
    Provision (credit) for credit losses – loans   469       181       (196 )     461       (451 )  
    Provision (credit) for unfunded lending commitments   (340 )     94       –       –       –    
    Net interest income after provision for credit losses   865       669       1,065       542       1,441    
    Noninterest income   800       722       1,173       1,003       367    
    Noninterest expense   2,242       2,239       1,685       2,146       2,907    
    Income (loss) before income taxes   (577 )     (848 )     553       (601 )     (1,099 )  
    Income tax expense (benefit)   (156 )     (206 )     137       (131 )     (273 )  
    Net income (loss) $ (421 )   $ (642 )   $ 416     $ (470 )   $ (826 )  
                         
    Mortgage Banking Segment: (3)                    
    Net interest income (loss) $ –     $ –     $ –     $ (3 )   $ 379    
    Provision for credit losses – loans   –       –       –       –       –    
    Provision for unfunded lending commitments   –       –       –       –       –    
    Net interest income (loss) after provision for credit losses   –       –       –       (3 )     379    
    Noninterest income   –       –       –       100       2,939    
    Noninterest expense   –       –       –       3,641       5,181    
    Loss before income taxes   –       –       –       (3,544 )     (1,863 )  
    Income tax benefit   –       –       –       (886 )     (467 )  
    Net loss $ –     $ –     $ –     $ (2,658 )   $ (1,396 )  
                         
    (3) National mortgage banking operations were ceased in the quarter ended December 31, 2023 and subsequent immaterial mortgage lending activity is reported within the Core Banking segment.
                         
                         
    SUMMARIZED FINANCIAL INFORMATION (UNAUDITED) (CONTINUED): Three Months Ended  
    Segmented Statements of Income Information September 30,   June 30,   March 31,   December 31,   September 30,  
    (In thousands, except percentage data)   2024       2024       2023       2023       2023    
                         
    Net Income (Loss) Per Share by Segment                    
    Net income per share, basic – Core Banking $ 0.60     $ 0.69     $ 0.66     $ 0.59     $ 0.22    
    Net income (loss) per share, basic – SBA Lending (Q2 Business Capital, LLC)   (0.06 )     (0.09 )     0.06       (0.07 )     (0.12 )  
    Net income (loss) per share, basic – Mortgage Banking   0.00       0.00       0.00       (0.40 )     (0.21 )  
    Total net income (loss) per share, basic $ 0.54     $ 0.60     $ 0.72     $ 0.12     $ (0.11 )  
                         
    Net Income (Loss) Per Diluted Share by Segment                    
    Net income per share, diluted – Core Banking $ 0.60     $ 0.69     $ 0.66     $ 0.59     $ 0.22    
    Net income (loss) per share, diluted – SBA Lending (Q2 Business Capital, LLC)   (0.06 )     (0.09 )     0.06       (0.07 )     (0.12 )  
    Net loss per share, diluted – Mortgage Banking   0.00       0.00       0.00       (0.40 )     (0.21 )  
    Total net income (loss) per share, diluted $ 0.54     $ 0.60     $ 0.72     $ 0.12     $ (0.11 )  
                         
    Return on Average Assets by Segment (annualized) (4)                    
    Core Banking   0.71 %     0.83 %     0.80 %     0.73 %     0.28 %  
    SBA Lending   (1.71 %)     (2.91 %)     1.81 %     (2.11 %)     (3.81 %)  
                         
    Efficiency Ratio by Segment (annualized) (4)                    
    Core Banking   64.50 %     63.45 %     63.06 %     69.31 %     83.17 %  
    SBA Lending   124.97 %     134.39 %     82.52 %     106.98 %     214.22 %  
                         
                         
      Three Months Ended  
    Noninterest Expense Detail by Segment September 30,   June 30,   March 31,   December 31,   September 30,  
    (In thousands)   2024       2024       2023       2023       2023    
                         
    Core Banking Segment:                    
    Compensation $ 5,400     $ 5,587     $ 5,656     $ 5,691     $ 6,528    
    Occupancy   1,554       1,573       1,615       1,481       1,418    
    Advertising   399       253       205       189       404    
    Other   3,047       2,779       2,617       2,891       5,209    
    Total Noninterest Expense $ 10,400     $ 10,192     $ 10,093     $ 10,252     $ 13,559    
                         
    SBA Lending Segment (Q2 Business Capital, LLC):                    
    Compensation $ 1,854     $ 1,893     $ 1,933     $ 1,826     $ 1,533    
    Occupancy   55       51       58       91       68    
    Advertising   17       12       7       10       10    
    Other   316       283       (313 )     219       1,296    
    Total Noninterest Expense $ 2,242     $ 2,239     $ 1,685     $ 2,146     $ 2,907    
                         
    Mortgage Banking Segment: (4)                    
    Compensation $ –     $ –     $ –     $ 2,146     $ 3,647    
    Occupancy   –       –       –       469       395    
    Advertising   –       –       –       119       129    
    Other   –       –       –       907       1,010    
    Total Noninterest Expense $ –     $ –     $ –     $ 3,641     $ 5,181    
                         
    (4) Ratios for Mortgage Banking Segment are not considered meaningful due to cessation of national mortgage banking operations in the quarter ended December 31, 2023.  
                         
                         
    SUMMARIZED FINANCIAL INFORMATION (UNAUDITED) (CONTINUED):    
      Three Months Ended  
    SBA Lending (Q2 Business Capital, LLC) Data September 30,   June 30,   March 31,   December 31,   September 30,  
    (In thousands, except percentage data)   2024       2024       2023       2023       2023    
                         
    Final funded loans guaranteed portion sold, SBA $ 10,880     $ 7,515     $ 15,144     $ 14,098     $ 8,431    
                         
    Gross gain on sales of loans, SBA $ 1,029     $ 811     $ 1,443     $ 1,303     $ 809    
    Weighted average gross gain on sales of loans, SBA   9.46 %     10.79 %     9.53 %     9.24 %     9.60 %  
                         
    Net gain on sales of loans, SBA (5) $ 647     $ 581     $ 951     $ 834     $ 538    
    Weighted average net gain on sales of loans, SBA   5.95 %     7.73 %     6.28 %     5.92 %     6.38 %  
                         
    (5) Inclusive of gains on servicing assets and net of commissions, referral fees, SBA repair fees and discounts on unguaranteed portions held-for-investment.      
                         
                         
    SUMMARIZED FINANCIAL INFORMATION (UNAUDITED) (CONTINUED): Three Months Ended  
    Summarized Consolidated Average Balance Sheets September 30,   June 30,   March 31,   December 31,   September 30,  
    (In thousands)   2024       2024       2023       2023       2023    
    Interest-earning assets                    
    Average balances:                    
    Interest-bearing deposits with banks $ 16,841     $ 26,100     $ 24,587     $ 20,350     $ 21,631    
    Loans   1,988,997       1,943,716       1,914,609       1,857,654       1,796,749    
    Investment securities – taxable   99,834       101,350       102,699       103,728       105,393    
    Investment securities – nontaxable   158,917       157,991       157,960       159,907       160,829    
    FRB and FHLB stock   24,986       24,986       24,986       24,968       24,939    
    Total interest-earning assets $ 2,289,575     $ 2,254,143     $ 2,224,841     $ 2,166,607     $ 2,109,541    
                         
    Interest income (tax equivalent basis):                    
    Interest-bearing deposits with banks $ 209     $ 324     $ 261     $ 249     $ 266    
    Loans   29,450       28,155       27,133       26,155       25,214    
    Investment securities – taxable   910       918       923       942       969    
    Investment securities – nontaxable   1,685       1,665       1,662       1,687       1,695    
    FRB and FHLB stock   471       519       499       74       428    
    Total interest income (tax equivalent basis) $ 32,725     $ 31,581     $ 30,478     $ 29,107     $ 28,572    
                         
    Weighted average yield (tax equivalent basis, annualized):                    
    Interest-bearing deposits with banks   4.96 %     4.97 %     4.25 %     4.89 %     4.92 %  
    Loans   5.92 %     5.79 %     5.67 %     5.63 %     5.61 %  
    Investment securities – taxable   3.65 %     3.62 %     3.59 %     3.63 %     3.68 %  
    Investment securities – nontaxable   4.24 %     4.22 %     4.21 %     4.22 %     4.22 %  
    FRB and FHLB stock   7.54 %     8.31 %     7.99 %     1.19 %     6.86 %  
    Total interest-earning assets   5.72 %     5.60 %     5.48 %     5.37 %     5.42 %  
                         
    Interest-bearing liabilities                    
    Interest-bearing deposits $ 1,563,258     $ 1,572,871     $ 1,549,012     $ 1,389,384     $ 1,385,994    
    Fed funds purchased   –       –       –       –       76    
    Federal Home Loan Bank borrowings   378,956       351,227       333,275       440,786       353,890    
    Subordinated debt and other borrowings   48,576       48,537       48,497       48,458       48,406    
    Total interest-bearing liabilities $ 1,990,790     $ 1,972,635     $ 1,930,784     $ 1,878,628     $ 1,788,366    
                         
    Interest expense:                    
    Interest-bearing deposits $ 12,825     $ 12,740     $ 12,546     $ 9,989     $ 9,457    
    Fed funds purchased   –       –       –       –       1    
    Federal Home Loan Bank borrowings   3,521       3,021       2,298       3,769       2,459    
    Subordinated debt and other borrowings   800       799       833       784       684    
    Total interest expense $ 17,146     $ 16,560     $ 15,677     $ 14,542     $ 12,601    
                         
    Weighted average cost (annualized):                    
    Interest-bearing deposits   3.28 %     3.24 %     3.24 %     2.88 %     2.73 %  
    Fed funds purchased   0.00 %     0.00 %     0.00 %     0.00 %     5.26 %  
    Federal Home Loan Bank borrowings   3.72 %     3.44 %     2.76 %     3.42 %     2.78 %  
    Subordinated debt and other borrowings   6.59 %     6.58 %     6.87 %     6.47 %     5.65 %  
    Total interest-bearing liabilities   3.45 %     3.36 %     3.25 %     3.10 %     2.82 %  
                         
    Net interest income (taxable equivalent basis) $ 15,579     $ 15,021     $ 14,801     $ 14,565     $ 15,971    
    Less: taxable equivalent adjustment   (502 )     (487 )     (463 )     (452 )     (435 )  
    Net interest income $ 15,077     $ 14,534     $ 14,338     $ 14,113     $ 15,536    
                         
    Interest rate spread (tax equivalent basis, annualized)   2.27 %     2.24 %     2.23 %     2.27 %     2.60 %  
                         
    Net interest margin (tax equivalent basis, annualized)   2.72 %     2.67 %     2.66 %     2.69 %     3.03 %  
                         

    The MIL Network –

  • MIL-OSI USA: Washington Rail Systems to Receive $115M in Infrastructure Upgrades

    US Senate News:

    Source: United States Senator for Washington Maria Cantwell

    10.24.24

    Washington Rail Systems to Receive $115M in Infrastructure Upgrades

    Nine projects awarded include $37.7M for RR that moves Eastern WA wheat, $26.3M for Port of Kalama rail expansion to load grain exports faster; Awards also go to projects in Tacoma, Moses Lake, Chewelah, Rainier, Ferry County, and Puget Sound Rail Corridor

    SPOKANE, WA – Today, U.S. Senators Maria Cantwell (D-WA), chair of the Senate Committee on Commerce, Science, and Transportation, and Patty Murray (D-WA), chair of the Senate Appropriations Committee, announced nine major investments in Washington state’s rail system infrastructure, totaling $115,577,598.

    The improvements will boost railroad capacity all across the state, helping move freight and agricultural products quickly and more safely between our communities and on to international markets.

    The grants come from the Federal Railroad Administration’s (FRA) Consolidated Rail Infrastructure and Safety Improvements (CRISI) Program, which funds projects that improve the safety, efficiency, and reliability of intercity passenger and freight rail.

    The Washington State Department of Transportation (WSDOT) received $37,700,000 million for final design and construction of rehabilitation of the Palouse River & Coulee City Railroad (PCC). This is in addition to a $72.8 million CRISI grant for the railroad project that WSDOT received last year.

    “Wheat farmers in the state rely heavily on the Washington State Grain Train to help export 90 percent of the product they grow. This funding will replace lightweight, 100-year-old, worn rail with 34 miles of upgraded heavyweight track to accommodate heavy railcars, allowing train speeds to double, helping farmers get their goods to market more efficiently,” Sen. Cantwell said.

    “Washington state growers need fast and reliable transportation systems to get their products to market, especially if they want to compete in tough international markets—this is critical for our wheat growers and this major federal investment will help ensure Washington state farmers have the kind of infrastructure they need to succeed,” said Sen. Murray. “This is the Bipartisan Infrastructure Law at work—strengthening supply chains and upgrading our infrastructure so that America can compete and win the 21st century.”

    This PCC project is part of a multi-phase effort to improve the railroad system so it can handle heavier, faster rail cars and better withstand extreme weather conditions. Grant funding will help replace light-weight worn rail and rotten railroad ties, as well as rebuild dilapidated roadway crossings and surface tracks. Federal funds will cover 65% of the total project cost.

    The PCC serves a critical part of the wheat supply chain in Eastern Washington. This project will help ensure rural Eastern Washington agricultural products remain competitive in the global marketplace, by helping products reach customers faster. Rehabilitation of this freight corridor is important to maintain the region’s economic viability. By keeping rail shipments available and competitive, this project will reduce road maintenance, enhance economic development, improve the environment, and bring long-term jobs to rural communities.

    The Port of Kalama received $26,323,386 for a rail expansion project.

    “The Port of Kalama is already one of the largest grain export terminals on the West Coast. This funding will increase the port’s grain terminal efficiency by 25-30 percent meaning that farmers not just from Washington, but as far east as Wisconsin, can get their products to market faster,” Sen. Cantwell said.

    “These new replacement tracks are going to help the Port of Kalama transport even more goods, including grain, from rail to ship, faster than ever by allowing it to store empty trains at the port,” said Sen. Murray. “This is going to be a real boost for trade in the region, and it is exactly what the Bipartisan Infrastructure Law looks like at work—strengthening supply chains and upgrading our infrastructure so that America can compete and win the 21st century.”

    The proposed project will replace rail tracks at the Port of Kalama in Washington. The replacement tracks will support storage of two loaded and two empty trains simultaneously at the port. The project is expected to increase loading efficiency in the direct loading of grain from rail to ship by up to 30 percent. The Port of Kalama will contribute a 20 percent match. Sen. Cantwell wrote a letter in support of the project to U.S. Secretary of Transportation Pete Buttigieg, that letter is available HERE. Sen. Murray wrote a letter of support for the project to U.S. Secretary of Transportation Pete Buttigieg.

    The St. Paul & Pacific Northwest Railroad Company received $23,469,151 to improve track along the railroad’s main line in northeast Washington.

    “The St. Paul & Pacific Northwest railroad transports two million tons of lumber and other goods annually across Eastern Washington. With this funding, the railroad will upgrade and rehabilitate over 80 miles of mainline track, speeding products to market more safely and reliably,” Sen. Cantwell said.

    “This funding is going to help update outdated rail infrastructure that Washington state businesses and consumers rely on—this means safer, more efficient rails while creating good paying jobs,” said Sen. Murray. “This is the Bipartisan Infrastructure Law at work—strengthening supply chains and upgrading our infrastructure so that America can compete and win the 21st century.”

    The proposed project on this line between Chewelah, WA and Columbia Gardens, British Columbia, will replace approximately 18 miles (in two sections) of older jointed rail with 136 lb. continuous welded rail and install approximately 85,000 new concrete and steel rail ties along the entire line. This will upgrade the line to meet FRA Class 3 classification requirements, which improves safety and reliability. St. Paul & Pacific Northwest will contribute a 21 percent match. Sen. Cantwell wrote a letter in support of the project to Sec. Buttigieg, that letter is available HERE. Sen. Murray wrote a letter of support for the project to U.S. Secretary of Transportation Pete Buttigieg.

    The Columbia Basin Railroad Company, which operates between Moses Lake and Connell in central Washington, received $11,552,000 to rehabilitate approximately 10 miles of their railroad line.

    “The Columbia Basin Railroad serves over 50 businesses and is a lifeline for Washington farmers and exporters across Grant, Lincoln, Spokane, Adams, and Whitman counties. This funding will facilitate critically needed track repairs which will enable increased freight capacity and operating speeds,” Sen. Cantwell said.

    “When it comes to the rails our trains travel every day—and which connect companies and communities across Washington state with crucial goods, services, and opportunities—it is important we have safe, reliable tracks,” said Sen. Murray. “By helping to replace some 8,000 cross ties, and 10 miles of rail, this funding will help us make sure the tracks serving the Columbia Basin are in tip top shape and will safely increase operating speeds and capacity. This is the Bipartisan Infrastructure Law at work—strengthening supply chains and upgrading our infrastructure so that America can compete and win the 21st century.”

    The proposed project will replace approximately ten miles of rail and approximately 8,000 cross ties on the Columbia Basin Railroad. This will enhance safety and improve system performance as the project will return the line to a state of good repair, increase operating speeds, and allow for increased capacity to move freight, benefitting over 50 customers served by the Columbia Basin Railroad. Columbia Basin Railroad will contribute a 20 percent match.

    Tacoma Rail received $8,316,000 to replace the engines of four old locomotive with new Tier 4 diesel electric engines that will reduce harmful NOx emissions by about 90 percent. This is in addition to $4.095 million the railroad received last year to replace two high-polluting diesel electric switcher locomotives with two zero-emission battery-electric switcher locomotives. Sen. Murray wrote a letter of support for the project to U.S. Secretary of Transportation Pete Buttigieg.

    “With this grant funding, Tacoma Rail will replace the engines of four old locomotives with new clear diesel electric engines. This will reduce emissions by 200 tons per year and reduce fuel consumption by more than 18,000 gallons of diesel fuel annually. A significant step in contributing to the region’s climate action goals and reducing shipping costs for farmers,” Sen. Cantwell said.

    “This investment will help ensure we reduce carbon emissions while still moving freights as quickly and efficiently as possible—and creating good-paying jobs in the process,” said Sen. Murray. “This is the Bipartisan Infrastructure Law at work—helping us build a stronger clean energy economy while upgrading our national infrastructure.”

    Tier 0 project locomotives are equipped with diesel engines that were built between 1973 and 1992 – before the first federal EPA emission standards for locomotives were developed in 1997. The new engines will eliminate the consumption of more than 18,000 gallons of diesel fuel a year, which is expected to reduce up to 200 short tons of greenhouse gas emissions. These new locomotives will help the City of Tacoma and Port of Tacoma achieve local, county, regional, and state air quality and climate goals.

    WSDOT’s Puget Sound Rail Corridor Improvement Project received $6,451,894.25 to improve safety and help prevent winter weather delays. 

    “The Puget Sound Rail Corridor Improvement Project will upgrade rail switches between Everett and Vancouver, lowering maintenance costs and reducing weather delays for the two million passengers that ride Amtrak and Sound Transit each year,” Sen. Cantwell said.

    “I’m pleased to see this funding come back to Washington state to help keep trains running through our Puget Sound Corridor quickly, smoothly, and safely. Steps to tackle issues like eliminating gaps and preventing ice and snow build up are crucial to keep our tracks open and trains running full steam ahead—which is why this funding is so important. This is the Bipartisan Infrastructure Law at work—strengthening supply chains and upgrading our infrastructure so that America can compete and win the 21st century,” said Sen. Murray.

    The proposed project will eliminate potentially dangerous gaps between rails and install electrically powered heaters on turnouts to prevent ice and snow buildup. This will enhance resilience, safety, and performance. The Washington State Department of Transportation and BNSF will contribute a 50 percent match.

    Rainier Rail received $1,765,167 to improve four bridges in Western Washington, including the Minnesota St. Bridge in Rainier, WA.

    “Rainier Rail provides important transportation connections for goods including aircraft materials and animal feed moving through western Washington. This project will improve their track capacity and replace aging rail ties to ensure they can continue serving customers in our state,” Sen. Cantwell said.

    “This investment will help modernize existing infrastructure so that Rainier Rail can accommodate more freight, getting more goods to where they need to go more quickly,” said Sen. Murray. “This is the Bipartisan Infrastructure Law at work—strengthening supply chains and upgrading our infrastructure so that America can compete and win the 21st century.”

    The bridge improvements include replacement of structural components, increasing clearance on the Minnesota St. Bridge, installing larger rail to accommodate 286,000 lb. railcars, and replacing aging rail ties. The project will create a safer, more resilient, and environmentally sustainable rail network in the region as it will address safety concerns, environmental preservation, capacity limitations, climate resilience, and supply chain efficiency. Rainier Rail will contribute a 21 percent match.

    A portion of two other grants announced today will fund rail upgrades in Washington state.

    OmniTRAX received $50,570,400 to replace of railroad ties on four OmniTRAX-owned short lines across four states – including a line in Ferry County.

    “Kettle Falls Railroad is a strategic rail asset in Ferry County, supporting millions of dollars in economic activity in Washington state. This funding will install new ties along nearly 30 miles of rail enabling freight to move more reliably and efficiently in Northeast Washington,” Sen. Cantwell said.

    “This funding will help deliver timely infrastructure updates in Washington state—meaning safer, more efficient, and more resilient railways,” said Sen. Murray. “This is the Bipartisan Infrastructure Law at work—strengthening supply chains and upgrading our infrastructure so that America can compete and win the 21st century.”

    OmniTRAX will install 24,513 ties on approximately 29.9 miles of the KFR San Poil Subdivision near Danville, Washington. The line connects Kettle Falls to Grand Forks, Canada. The project will harden rail assets and update infrastructure, which will benefit rail users served by the short lines. OmniTRAX will contribute a 20 percent match. Sen. Cantwell wrote a letter in support of the project to Sec. Buttigieg, that letter is available HERE. Sen. Murray wrote a letter of support for the project to U.S. Secretary of Transportation Pete Buttigieg.

    Watco Companies received $19,843,062 to replace diesel locomotives with battery electric, zero emission locomotives at their facilities, including the Packaging Corporation of America in Washington.

    “With this funding we are replacing old diesel locomotives with clean battery electric, zero emission locomotives—that helps us cut down on harmful emissions and unhealthy pollution from diesel,” said Sen. Murray. “This is the Bipartisan Infrastructure Law at work—helping us build a stronger clean energy economy while upgrading our national infrastructure.”

    The U.S. Department of Transportation is providing $2.477 billion in CRISI grants to 122 projects across the nation this year.

    Sen. Cantwell secured $5 billion over 5 years for the CRISI program in her Surface Transportation Investment Act which was included in the 2021 Bipartisan Infrastructure Law, tripling annual funding for the program.

    The funding for the CRISI program comes from a mixture of annual appropriations and the Bipartisan Infrastructure Law—as Senate Appropriations Chair, Sen. Murray authors the annual appropriations bills and, as then Assistant Majority Leader, she played a critical role in passing the Bipartisan Infrastructure Law. Sen. Murray secured a total of $2.97 billion for the Federal Railroad Administration in the fiscal year 2024 government funding bill she negotiated and passed into law and set aside $100,000,000 specifically for the competitive CRISI grants.

    Sen. Murray also passed into law major reforms and oversight provisions to address the rail safety deficiencies identified in the East Palestine, Ohio, train derailment, providing a $27.3 million increase for FRA’s safety and operations budget for rail safety inspectors in the Fiscal Year 2024 government funding bills. Murray also included language directing specific research requirements for: (1) wayside detection technology, operational alert thresholds, and rail carrier response protocols to inform and verify the technologies capabilities and establish industry-wide standards; and (2) long-train operational safety to evaluate equipment safety standards for brake systems and wheel performance to inform the development of continuous component monitoring. Sen. Murray also increased funding for the Pipeline and Hazardous Materials Safety Administration’s (PHMSA) emergency preparedness grants to $46.825 million and required the agency to conduct research to improve the survivability of placards identifying hazardous materials on trains. Sen. Murray is currently negotiating and working to pass into law Fiscal Year 2025 funding bills and the Senate funding bill Sen. Murray passed out of committee builds on these efforts to improve rail safety and strengthen rail safety funding.

    MIL OSI USA News –

  • MIL-Evening Report: At $300m, Jules Verne-inspired Nautilus is the most expensive Australian-made show. But Disney+ was right to dump it

    Source: The Conversation (Au and NZ) – By Ari Mattes, Lecturer in Communications and Media, University of Notre Dame Australia

    Stan

    Investing in film and TV productions is a risky venture. Even the best directors and producers are just a flop away from ruining their careers.

    So if a company owns the intellectual property to a popular material, or if that material enters the public domain, these companies – risk-averse entities, to be sure – will hastily retread their tyres for another lap of the track. This is partly why you’ll see well-worn stories from your childhood told over and over onscreen, even now.

    But if the new version is too similar to the old, people will cynically roll their eyes. Enter Disney, which has perfected the strategy over the past few decades of retelling the same stories from different characters’ perspectives – a gambit that seems to strike people as inherently interesting.

    Maleficent, for example, is Sleeping Beauty from the perspective of the evil queen. Although this kind of fairytale revisionism goes back to Angela Carter’s best-selling feminist fiction, Disney has, more than any other corporation, become an expert at co-opting social movements in pursuit of profits.

    The latest revisionist work set to be distributed by Disney+ was Nautilus. The series filters the story of Jules Verne’s inimitable maritime adventure novel 20,000 Leagues Under the Sea through the lens of Captain Nemo, framed as a prequel to the original.

    The fact that Disney+ dropped Nautilus before its release (it has been picked up by Prime in the UK and Ireland and Stan in Australia) immediately stoked my interest. This is particularly notable because, with a budget of A$300 million, it’s the most expensive series ever made in Australia (filmed mainly on the Gold Coast).

    Alas, after restlessly sitting through all ten episodes, I understand Disney’s decision.

    Diluting a powerful message

    Where Verne’s novel (and to a lesser extent, the 1954 Disney live action film) effortlessly creates an authentic world, which is absolutely critical to the effectiveness of any fantasy work, Nautilus seems painfully contrived from its opening.

    It’s the kind of show where all the British soldiers and East India Company men speak in toffee accents and spout horrifically ruthless commands between sips of tea.

    The show is a $300 million wreck.
    Stan

    The Nautilus’ crew is made up of a miscellany of virtuous victims of the company (and thus of the British empire): a wealthy British woman being forced into an arranged marriage, an old Chinese worker, a Māori cook, a trader from Zanzibar and ex‑slave Indians.

    The characters frequently pontificate about the value of freedom, the evils of slavery and the glory of the environment. In one particularly ludicrous scene early on, Nemo jumps onto a whale’s back to remove a harpoon.

    In the novel, Nemo’s romantic alienation perfectly complements his maniacal drive, interspersed with Verne’s faux-scientific descriptions of the submarine, giant squid and other objects.

    Similarly, here, Nemo is presented as being far from mercenary; hounded to the north seas by the British, he’s seeking treasure in order to bring the company down. But lead Shazad Latif’s delivery is monotonous and strained, as though even he doesn’t buy it.

    British actor Shazad Latif’s performance as Captain Nemo is far from convincing.
    Stan

    The idea that this is some kind of “fresh” (read “politically correct”) re‑imagining of the world of the novel is strange in the first place, given the original story (although narrated by Professor Aronnax) is already closely anchored to Nemo’s point of view.

    Verne clearly presents Nemo as a kind of eco-warrior responding to the brutalities of colonialism. If anything, the original message is diluted in this adaptation as it implies Nemo’s quest is mainly personal – that he simply wants vengeance for what the company did to his family – rather than political.

    At the same time, I sense the creators are going for some kind of psychological realism by painfully spelling out that Nemo had bad things done to him by the British. But this didacticism causes the spirit of adventure to suffer, so we’re left with something both silly and not particularly exciting.

    The British soldiers and company men speak in ridiculous accents.
    Stan

    A big fish isn’t always a good fish

    The show’s production design and cinematography (some of the most important components in this kind of adventure epic) seem flat, too. The sets, though colourful, look decidedly artificial. The synthesis of CGI elements with filmed footage is far from smooth.

    And the odd colour grade makes the characters’ skin look hyper-artificial. This was surely the intention, but why? It is distracting in every closeup.

    Not to single out any particular department, every aspect of the production seems dialled in, including the score, which sounds like something hastily composed using AI software.

    Of course, one could talk about the production’s benefits to the Australian industry, but this seems like a hapless argument if the work is no good. How many low-budget films could have been made with $300 million? 100? 150? Those would have also invested money in the industry, while developing local talent.

    The impact of a big-budget production on local industries isn’t clear when the production in question isn’t very compelling.
    Stan

    Not camp enough, yet not careful enough

    If it were camper, Nautilus could have acquired the cult value of a great cinematic fiasco such as Renny Harlin’s 1995 film Cutthroat Island. All the actors seem to be trying hard, and the writers clearly laboured away at the story.

    Perhaps this is the problem. Like so many new commercial works, Nautilus tries so hard to please everyone it ends up pleasing no one. The wider the appeal, the greater the risk mitigation, apparently.

    But given it actually tries to embed the story in a sense of history, its sins seem greater than mere televisual boredom for the viewer. The series presents a monolithic and simplistic image of the way colonialism and capitalism are intertwined.

    At best, this is naïve – one could argue, “who cares, it’s just a silly fantasy series”. At worst, however, it is actively destructive of historical consciousness. And that’s not smooth sailing.

    Ari Mattes does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

    – ref. At $300m, Jules Verne-inspired Nautilus is the most expensive Australian-made show. But Disney+ was right to dump it – https://theconversation.com/at-300m-jules-verne-inspired-nautilus-is-the-most-expensive-australian-made-show-but-disney-was-right-to-dump-it-241583

    MIL OSI Analysis – EveningReport.nz –

  • MIL-OSI USA: RI Delegation Lands $10M for Concourse Upgrades at Rhode Island T.F. Green Airport

    US Senate News:

    Source: United States Senator for Rhode Island Jack Reed
    PROVIDENCE, RI – Attention passengers in the terminal, Rhode Island T.F. Green International Airport (PVD) is getting some new interior upgrades and gates.
    In an effort to improve operational efficiency, deliver a unified and modern design, and enhance passenger flow and comfort for the traveling public, U.S. Senators Jack Reed and Sheldon Whitehouse and Congressmen Seth Magaziner and Gabe Amo today announced that the Rhode Island Airport Corporation (RIAC) has been awarded $10 million in federal funding from the Federal Aviation Administration (FAA) to advance renovations and technology upgrades at T.F. Green International Airport.
    This federal grant funding was awarded through the U.S. Department of Transportation (DOT) FAA’s Airport Terminals Program. Established by the Infrastructure Investment and Jobs Act of 2021 (Public Law 117–58), the Airport Terminals Program provides competitive grants for airport terminal development projects to address aging infrastructure at airports nationwide.
    The federal funding will help modernize PVD’s aging airport terminal infrastructure to sustain current and future air traffic and passenger demands, drive competition, and enhance environmental sustainability and energy efficiency.  Terminal improvement projects will include backup power and water upgrades to maintain public safety and minimize travel disruptions.  Additional improvements include upgrades to common interior areas, the expansion of seating capacity, traveler experience enhancements, and renovating the interior space in the concourse to introduce a “sense of place” by bringing elements of local architecture inside the terminal.
    This funding will also improve ADA accessibility across all areas of the terminal, and upgrade mechanical systems to meet energy efficiency and smart building goals. Terminal improvements will also accommodate additional increased passenger traffic, to allow for continued growth and competition.
    “Rhode Island T.F. Green International Airport is an economic engine and the gateway to the Ocean State for many visitors.  Upgrading the concourse will ensure the airport continues to offer a world-class experience for all and can continue to support a high-volume of traffic,” said Senator Reed, a senior member of the Appropriations Committee. “This is a forward-looking investment in a crucial piece of public infrastructure.  It will strengthen not just the airport, but local businesses, tourism, and our economy as well and help accommodate future growth.”
    “Thanks to our Bipartisan Infrastructure Law, more investments are on the way to keep improving one of the best, most user-friendly airports in the country,” said Whitehouse.  “This federal funding will make the terminal more comfortable so that residents and visitors flying out of T.F. Green can enjoy a better overall experience.”
    “T.F. Green Airport is a vital hub for travel, commerce and tourism,” said Rep. Seth Magaziner. “This federal funding will help modernize the airport, enhance the traveler experience and boost the local economy.”
    “T.F. Green International Airport is key part of how Rhode Islanders and our visitors experience memorable moments in our state. It’s where we welcome loved ones when they return from a trip and where we send off our community’s heroes when they travel to D.C. for their Honor Flight,” said Congressman Gabe Amo. “Today’s $10 million investment in our public infrastructure will help modernize our airport experience.”
    “Rhode Island T. F. Green International Airport conveys the first, best impression for business and leisure travelers visiting our state and plays a vital role in helping maintain and expand Rhode Island’s hospitality and travel economy,” said Iftikhar Ahmad, President and CEO of the Rhode Island Airport Corporation. “Thanks to the support of Senator Reed and all in our Congressional delegation, we can continue to put our state’s best face forward, improving airport access and efficiency while also elevating the passenger experience.”
    “In the more than thirty years since the construction of the Bruce Sundlun Terminal, Rhode Island T. F. Green International Airport has truly helped transform and maintain our local economy,” said Jonathan N. Savage, Rhode Island Airport Corporation Board Chair. “This federal investment will provide critical funding for our efforts to modernize our airport terminal to be ready for the next three decades. We are truly grateful for our Congressional delegation’s continued support for Rhode Island’s aviation economy.”
    PVD’s original terminal was constructed in 1993 to support 2.4 million annual enplanements.  Now the airport is on track to exceed that by 1 million passengers over the next five years.  Recently announced agreements with several airlines are slated to bring hundreds of new jobs to the airport and connect PVD to even more domestic and international destinations.
    As PVD operations continue to expand and passenger numbers increase, RIAC seeks funding to reconfigure its terminal to meet this demand.
    In addition to advocacy from the state’s federal delegation, Governor Dan McKee and the Providence and Warwick Convention and Visitors Bureau also supported federal funding to renovate the 30-year-old terminal and allow Rhode Island T. F. Green International Airport to serve the community’s growing needs.
    For the past several years, RIAC has been preparing for this new era of growth for PVD through the planning and design of the Terminal Reconfiguration project, which aims to ensure the over 30-year-old terminal presents the first and best impression of its state to incoming visitors.  

    MIL OSI USA News –

  • MIL-OSI Australia: UPDATE: Call for information – Hit and runs – Darwin

    Source: Northern Territory Police and Fire Services

    Northern Territory Police are continuing to call for information after suspicious hit and runs in Darwin yesterday morning.

    Investigators from Serious Crime have confirmed the vehicle was a stolen Silver Toyota Corolla Hatchback with Northern Territory Registration “HARYANV”.

    The vehicle was allegedly involved in 2 intentional hit and run incidents on McMinn Street and Illife Street, along with property offences in Woolner.

    Police urge anyone with information on the vehicle, or who has dash cam or CCTV footage, to contact police and quote reference number P24293700.

    Anonymous reports can also be made through Crime Stoppers on 1800 333 000 or via https://crimestoppersnt.com.au/.

    MIL OSI News –

  • MIL-OSI Australia: Minns Labor Government passes most significant rental reforms in a decade

    Source: New South Wales Ministerial News

    Published: 25 October 2024

    Released by: The Premier, Minister for Better Regulation and Fair Trading, Minister for Homelessness

    The Minns Labor Government has passed the most significant rental reforms in over a decade in the NSW Parliament.

    This historic legislative package follows through on Labor’s election commitment to improve rental laws and strikes the right balance between the interests of owners and renters.

    These reforms will mean that more than 2.2 million renters across the state will soon enjoy the following benefits:

    • No grounds evictions will be banned;
    • Rent increases will now be limited to only one per year;
    • It will be easier to have pets in rentals;
    • Fee-free ways to pay rent; and
    • A ban on paying for background checks when applying for a property.

    The banning of no grounds evictions will ensure housing security for renters, allowing them to make a house a home. The reforms will also give landlords more clarity on when they can end a fixed term or periodic lease based on clear, straightforward reasons.

    Previous protections against multiple rent hikes did not apply to fixed term leases of less than two years, or when there is a change in the type of lease, such as from periodic to fixed term, so this new legislation now closes those legal loopholes.

    The changes to make it easier to have pets in rentals will mean a tenant can apply to keep a pet, with landlords only able to decline on certain grounds.

    Tenants will now have easy and free ways to pay their rent by requiring property owners and agents to offer zero-fee ways to pay such as bank transfer and Commonwealth Centrepay.

    The new laws protecting renters from having to pay for background checks and limiting rent rises to one per year will take immediate effect upon the Bill’s assent.

    The ban on no ground evictions and the rules making it easier to have pets in rentals will come into effect once the Residential Tenancies Regulation 2019 has been amended in early 2025.

    The passing of these laws follows extensive and detailed discussions with renter advocates, industry stakeholders and tenancy experts, as well as a ‘Have Your Say’ public consultation process which received more than 16,000 submissions and survey responses.

    The Residential Tenancies Amendment Bill 2024 also complements key initiatives already announced to rebalance the rental marketplace:

    • Portable bond scheme – Investing $6.6 million to develop and deliver the nation’s first Portable Rental Bonds Scheme. This means eligible renters can move homes and digitally transfer their existing bond with them.
    • Establishing Rent Check – A new, free tool renters can use to help check whether the rent they’re being asked to pay is fair.
    • Rental Taskforce within NSW Fair Trading – The Government will invest $8.4 million for a taskforce with investigators, inspectors and support teams to help renters and act on serious breaches of rental laws.

    Premier Chris Minns said:

    “Renters have been the forgotten people in NSW for too long, and that ends now.

    “We have delivered major changes that make it fairer for the millions of renters across our state.

    “Millions of people rent in NSW, and we know how anxious and challenging it can be.

    “This brings the rental market into the 21st century.

    “These are sensible reforms to get the balance right for renters and owners.

    “Housing is the biggest cost people have, and renters are now getting a fairer deal.”

    Minister for Better Regulation and Fair Trading Anoulack Chanthivong said:

    “These landmark reforms are a huge leap forward and will create a fairer and more affordable rental system for the 2.2 million renters in this state. 

    “By limiting rent increases to only one a year, banning no grounds evictions, making it easier to have pets in rentals, and ensuring people can pay their rent without hidden fees, these historic reforms will make it easier for renters in NSW.

    “We want a thriving rental market in NSW where landlords have certainty and tenants have security, and these reforms do just that.”

    Minister for Homelessness Rose Jackson said:

    “Renters deserve a fair go. We know how hard it can be for young people and families who are facing consecutive rent increases, unfair evictions and hidden fees.

    “Today we are taking historic steps to ban unfair “no-grounds evictions”, ending hidden fees and allowing pets in rentals.

    “We inherited a rental crisis and a housing crisis and since day one we’ve been committed to making renting fairer and more secure.

    “This is a huge win for renters in our state – it was an election commitment and today we are making the system fairer and more compassionate for all.”

    NSW Rental Commissioner Trina Jones said:

    “The current rental market in NSW is the toughest that renters have seen for decades, with historically low vacancy rates, and median rent prices for houses increasing by around 7 per cent over the last 12 months.

    “These reforms will provide tenants with practical and meaningful support, which will help ease the insecurity and vulnerability of renting in challenging city and regional rental markets.”

    MIL OSI News –

  • MIL-OSI USA: SCHUMER DELIVERS NEARLY $16 MILLION TO STEUBEN COUNTY, ALSTOM, & BINGHAMTON BATTERY HUB TO DEVELOP CUTTING EDGE BATTERY TECH AT ALSTOM’S HORNELL FACILITY FOR NEXT GEN ENERGY-EFFICIENT TRAINS

    US Senate News:

    Source: United States Senator for New York Charles E Schumer

    Funding Will Help Alstom & Partners Produce And Test Hybrid, Battery-Powered Trains At Southern Tier Facility

    Schumer Urged U.S. Transportation Secretary – Which Brings Together Two Emerging Areas Of Manufacturing In The Southern Tier – To Fund Project Boosted By The Bipartisan Infrastructure Investment & Jobs Law

    Schumer: Fed $$ For Battery-Powered Rail Development Puts Southern Tier On Track To Lead In Developing Future Of This Industry!

    U.S. Senate Majority Leader Charles E. Schumer today announced $15,982,500 for Steuben County IDA, in partnership with Norfolk Southern Railway, Binghamton University’s New Energy New York (NENY) consortium, and Alstom to develop new battery technology for more energy-efficient trains.

    “This nearly $16 million in federal funding puts Steuben County IDA and its partners – including Alstom, a national leader in cutting-edge rail development – on track to develop new state-of-the-art hybrid locomotives that will enhance rail safety and improve climate resilience,” said Senator Schumer. “I’ve led the charge to establish the Southern Tier as a hub for battery manufacturing and research & development, and today’s investment will boost efforts to make sure the next generation of rail technology is stamped ‘Made in Upstate NY.’ I also fought to boost funding for the Department of Transportation’s rail infrastructure improvement program in the Bipartisan Infrastructure & Jobs Law and am thrilled that the program is continuing to deliver for NY.”

    This project will help produce and test two hybrid, battery-powered trains at Alstom’s Southern Tier facility and aims to enhance safety and improve climate resilience. The federal funding comes from the U.S. Department of Transportation’s Consolidated Rail Infrastructure and Safety Improvements (CRISI) program, which Schumer fought to increase funding for in his Bipartisan Infrastructure Investment & Jobs Law.

    “Alstom is grateful to Senator Schumer for his support and leadership that has made New York’s Southern Tier the nation’s center of rail manufacturing excellence,” said Michael Keroullé, Alstom Americas President. “Together with our partners, Steuben County Industrial Development Agency, Binghamton University and Norfolk Southern, we will use this project to develop and test new battery and rail technologies to help advance efforts to decarbonize the freight sector.”

    Steuben County Industrial Development Agency’s Federal Railroad Administration’s Hybrid Locomotive Project aims to develop new battery technology to produce and test two hybrid, battery-diesel locomotives at Alstom’s Kanona facility in Bath. The rebuilt locomotives will use batteries as the primary power source, enhancing safety and improving climate resilience.

    “The Steuben County Industrial Development Agency is pleased to be partnering with Alstom and Norfolk Southern Railway on the development of the locomotive of the future at Alstom’s facility in Kanona, New York.  The CRISI award will help advance a new clean diesel battery hybrid technology that builds off the region’s deep history in transportation manufacturing and innovation in battery and clean energy technology.  The project aligns the region’s strengths to establish the County as a leader in clean tech manufacturing. We appreciate the strong support that Senator Schumer has shown towards the Steuben County IDA and his commitment to new battery technology in the Southern Tier, ” said James C. Johnson, Executive Director of Steuben County Industrial Development Agency.

    The Bipartisan Infrastructure & Jobs Law, which Schumer crafted and led to passage in the Senate, included $5 billion over five years for the CRISI program. The program invests in various projects within the United States to improve railroad safety, efficiency, and reliability; mitigate congestion at both intercity passenger and freight rail chokepoints to support more efficient travel and goods movement; enhance multi-modal connections; and lead to new or substantially improved Intercity Passenger Rail Transportation corridors.

    Schumer has long fought to secure federal investment to boost Binghamton and Upstate NY’s battery manufacturing and R&D. Most recently, Schumer announced the Binghamton University-led Upstate New York Energy Storage Engine won the esteemed U.S. National Science Foundation’s Regional “Innovation Engines” Competition (NSF Engines), which was created by his CHIPS & Science Law. Schumer said the Binghamton-led project was one of only ten projects across the country selected for this award which brings $15 million in federal funding, with up to $160 million total over the life of the program from the NSF to supercharge growth and cutting-edge research in battery development and manufacturing in Upstate NY.

    “Our engineers have met with Alstom representatives and discussed future collaborations on this exciting project. Through our Watson College of Engineering and Applied Sciences and through all of our resources available through our New Energy New York and Upstate New York Energy Storage Engine programs, we stand ready to assist Alstom in any way we are able.  Electrification of all forms of transportation– vehicles, planes and trains– is simply what has to happen in the US and we are pleased to play a role in this important transformation,” said Dean Atul Kelkar, Watson College of Engineering and Applied Sciences, Binghamton University.

    Schumer secured the prestigious tech hubs designation for Binghamton University’s New Energy New York (NENY) project, which he also created in the CHIPS & Science Act, accelerating the Southern Tier’s emergence as America’s next battery tech hub. Receiving that designation made $500,000 in funding through the CHIPS & Science Law, along with the potential for philanthropic and private sector investment, possible. Schumer designed the Tech Hubs program to strengthen a region’s capacity to commercialize, manufacture, and grow technology in key focus areas like batteries, and now, thanks to his efforts, Binghamton is spurring innovation and bringing the manufacturing of batteries back to America, all while supporting the economic resurgence of the Southern Tier.

    In addition to the NSF Engine award and national recognition through the Tech Hubs program, Schumer’s American Rescue Plan created programs like the $1 billion Build Back Better Regional Challenge (BBBRC) that also supported Binghamton’s efforts. Schumer personally advocated for the selection of Binghamton University’s battery hub proposal for the BBBRC federal investment and in December 2021, Binghamton’s project was selected as a Phase 1 awardee out of over 500 applications from around the country to compete for a final award. In April 2022, Schumer personally visited the Southern Tier to double down on his advocacy, standing with Dr. Whittingham, to reiterate his support and urge federal leaders to select Binghamton as a final Regional Challenge awardee. 

    Finally, in September 2022, Schumer secured Binghamton’s spot as a final awardee, with a $63.7 million federal investment, one of the largest grants made in the competition, which was matched by $50 million in funding from New York State, to help make the Southern Tier and Finger Lakes a national hub for battery research and manufacturing. Additionally, Schumer brought Dr. Whittingham as his guest to last year’s State of the Union to highlight Binghamton’s national leadership in battery technology.

    A copy of Schumer’s letter to U.S. Secretary of Transportation Pete Buttigieg can be found below:

    Dear Secretary Buttigieg:

    I am pleased to write on behalf of the Steuben County Industrial Development Agency’s application to the Federal Railroad Administration’s Consolidated Rail Infrastructure and Safety Improvement (CRISI) Program. This collaborative effort between the Steuben County IDA, Alstom, Norfolk Southern Railway, and Binghamton University’s New Energy New York (NENY) consortium will result in the production and testing of two hybrid, battery-diesel locomotives. The project will demonstrate the efficiency, reliability, and commercial viability of technology that can be implemented to help accelerate the reduction of carbon emissions in the freight rail industry.

    In particular, the project will convert two GP 38/40 locomotives into a battery-diesel hybrid design. These locomotives will be remanufactured at Alstom’s Kanona facility in Bath, NY, and will reuse existing steel frames to significantly reduce carbon emissions. The rebuilt locomotives will use batteries as the primary power source, increasing pulling capacity by approximately 50% and maximizing engine efficiency. In addition, the locomotive will be designed to allow for the diesel engine to be replaced with zero emission technology as it becomes commercially and technology viable. This is a first step toward developing important prototype technology that has the potential to greatly benefit both industry and the environment.

    The Southern Tier is well positioned to help advance energy storage solutions for the freight rail industry given Binghamton University’s NENY. Following years of personal advocacy, NENY was designated a U.S. Economic Development Administration (U.S. EDA) Regional Technology and Innovation Hub, National Science Foundation (NSF) Regional Innovation Engine, and secured significant investment through the Build Back Better Regional Challenge. These federal awards recognize the region’s ability to lead the nation in battery innovation. Hence, the collaboration with experts at Binghamton University on battery-related subjects such as power density, modeling, and

    optimization underscores the potential of this project.

    I applaud the Steuben County Industrial Development Agency and the other partners for their foresight and sincerely hope the application is met with your approval. If you have questions, please do not hesitate to contact me or my grants coordinator at (202) 224-6542.

    MIL OSI USA News –

  • MIL-OSI Security: Buffalo man pleads guilty to being a felon in possession of a firearm

    Source: Office of United States Attorneys

    BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Henry Ford, 37, of Buffalo, NY, pleaded guilty before U.S. District Judge John L. Sinatra, Jr. to being a felon in possession of a firearm. The charge carries a maximum penalty of 15 years in prison and a $250,000 fine.

    Assistant U.S. Attorney Donna M. Duncan, who is handling the case, stated that in April 2024, a search warrant was executed on Ford’s person and at Ford’s Erb Street residence. Investigators recovered a loaded handgun from Ford’s pocket. Subsequent investigation revealed the handgun was reported stolen from Georgia in September 2019. During the search of Erb’s residence, investigators recovered a second firearm and ammunition. That firearm was reported stolen in the City of Buffalo in March 2024. In October 2008, Ford was convicted of a felony in Erie County Court and is legally prohibited from possessing a firearm.

    The plea is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge Bryan Miller, and the Buffalo Police Department, under the direction of Commissioner Joseph Gramaglia.

    Sentencing is scheduled for February 29, 2025, at 2:00 p.m. before Judge Sinatra.

    # # # #

    MIL Security OSI –

  • MIL-OSI USA: Governor Shapiro to Announce Targeted State, Local, Private, and Philanthropic Investments to Catalyze Downtown Pittsburgh’s Revitalization Plan

    Source: US State of Pennsylvania

    October 25, 2024 – Pittsburgh, PA

    ADVISORY – Governor Shapiro to Announce Targeted State, Local, Private, and Philanthropic Investments to Catalyze Downtown Pittsburgh’s Revitalization Plan

    Governor Josh Shapiro will visit Pittsburgh’s Cultural District to unveil a major collective effort with Pittsburgh leaders, nonprofits, and the local business community to make comprehensive investments that will improve Pittsburgh’s downtown area and turn the neighborhood into a thriving center for economic growth, culture, and industry.

    The Shapiro Administration has mobilized a united group of local government officials, private sector leaders, and nonprofits committed to Pittsburgh’s success to make targeted investments into a 10-year strategy to revitalize the Golden Triangle. With significant financial backing from the Commonwealth, this plan will help the city of Pittsburgh create more residential housing, breathe new life into public spaces, and create a cleaner, safer, more vibrant neighborhood for residents and visitors.

    Following the speaking program, principles will be available to participate in interviews upon request.

    WHO:
    Governor Josh Shapiro
    Lieutenant Governor Austin Davis
    DCED Secretary Rick Siger
    Emmai Alaquiva, Vice Chair of Pennsylvania Council on the Arts
    Allegheny County Executive Sara Innamorato
    Mayor Ed Gainey
    Senator Jay Costa
    Representative Aerion Abney
    David Holmberg, CEO of Highmark Health
    Shawn Fox, President of Oxford Development Company
    Greg Bernarding, Business Manager, Pittsburgh Regional Building Trades Council
    Susheela Nemani-Stanger, Executive Director, Urban Redevelopment Authority of Pittsburgh

    WHEN:
    Friday, October 25, 2024, at 11:00 AM

    WHERE:
    The Backyard at 8th and Penn
    801 Penn Avenue
    Pittsburgh, PA 15222

    LIVE STREAM:
    pacast.com/live/gov
    governor.pa.gov/live/

    RSVP: Press who are interested in attending must RSVP with the names and phone numbers for each member of their team to ra-gvgovpress@pa.gov.

    MIL OSI USA News –

  • MIL-OSI Security: Support to German-led action to halt at least EUR 300 million in online fraud

    Source: Eurojust

    The General Public Prosecution Office of Dresden and the Police Directorate of Chemnitz started investigations in June 2020, following complaints from online investors. They had been lured to professionally designed websites, promising high returns on low investments. Victims only received a maximum of 3% of their initial investment, if any money was returned at all. Through the websites, the perpetrators managed to gain access to personal data and bank account details, creating fake customer accounts to lend credibility to the scheme.

    To date, around 120 German victims are known, who have lost approximately EUR 12 million. However, further assessments by German investigators indicate that there are many more victims worldwide, with the fraud totaling at least EUR 300 million. It could even be as high as EUR 500 million. As result of these investigations, a number of suspects have been identified, including the one alleged main perpetrator, who has now been arrested. Investigations into the fraud are ongoing.

    Due to links with Serbia, a JIT was set up with the help of the Agency in February this year, to ensure close cooperation between German and Serbian judicial and law enforcement investigators. Eurojust also organised four coordination meetings with participation of German, Cypriot and Serbian representatives to prepare for the action day and assisted with the execution of European Investigation Orders and requests for Mutual Legal Assistance to Serbia.

    During the action day, 22 places were searched in Cyprus and Serbia. Furthermore, computer equipment, hard drives, mobile phones and digital data have been seized. Germany will ask the Cypriot authorities to surrender the arrested suspect.

    The action day was carried out at the request of and by the following authorities on the ground:

    • Germany: General Public Prosecutor’s Office (Generalstaatsanwaltschaft) Dresden; Police Directorate (Kriminalpolizeiinspektion) Chemnitz
    • Cyprus: Cyprus Police
    • Serbia: Special Prosecutоr’s Office for High-Tech Crime, Service for Combating High-Tech Crime (MOI)

    MIL Security OSI –