Category: Finance

  • MIL-OSI USA: Casey, Colleagues Urge Biden Administration to Combat China’s Illegal Fentanyl Trafficking

    US Senate News:

    Source: United States Senator for Pennsylvania Bob Casey

    Senators urge Administration to impose trade countermeasures to stop China from sending fentanyl into the United States

    Over 97 percent of all illicit fentanyl present in the U.S. originates in China

    Senators: “China’s state-sponsored policy is to profit from Americans’ deaths. […] A whole-of-government approach is necessary to stop the fentanyl crisis, hold China accountable, and save lives”

    Washington, D.C. – U.S. Senator Bob Casey (D-PA) joined his Senate colleagues in calling on the Biden Administration to investigate and take new action to stop China’s relentless export of illicit fentanyl into the United States. China has become the leading exporter of the precursor chemicals used to make fentanyl with over 97 percent of all illicit fentanyl present in the U.S. originating in China. The Senators pressed the Administration to impose trade countermeasures on China for its direct role in supporting the illicit fentanyl trade.

    “China’s state-sponsored policy is to profit from Americans’ deaths. As Senators who represent thousands of families deeply impacted by illicit fentanyl, we have seen that fentanyl doesn’t just hurt the health of our states’ population, it also leaves economic destruction in its wake. […] A whole-of-government approach is necessary to stop the fentanyl crisis, hold China accountable, and save lives,” wrote the Senators.

    The Senators detailed how China’s ongoing manufacturing and shipment of illicit fentanyl is directly subsidized by the Chinese government. The Senators called on U.S Trade Representative Katherine Tai to support a Section 301 tariff petition filed by Facing Fentanyl, Inc., a national coalition of thousands of families and over 200 fentanyl awareness organizations. Section 301 tariffs are imposed when a foreign nation engages in unfair trade practices. The United States has repeatedly imposed Section 301 tariffs on China due to a recurring and ongoing practice of illegal behavior, including in 2018 to combat unfair trade practices such as forced technology transfer, theft of intellectual property, and overproduction of commodities to distort fair market prices.

    Senator Casey has led efforts in the Senate to prevent the spread of fentanyl into the United States. He has traveled around Pennsylvania meeting with law enforcement and families of victims of fentanyl overdoses as he pushed for passage of the FEND Off Fentanyl Act. In October and November 2023, Senator Casey sent multiple letters to President Biden urging his Administration to focus diplomatic conversations with China on the role of the Chinese government in the illicit fentanyl supply chain and demanding meaningful action to combat this crisis. In January, Casey introduced the Stop Fentanyl at the Border Act, a bill to reduce the flow of fentanyl by increasing staffing capacity and technology to detect illicit drugs being smuggled through ports of entry along the southwest border. In July, Casey applauded the Senate passage of the?Preventing the Financing of Illegal Synthetic Drugs Act,?a bill that will direct the U.S. Government Accountability Office (GAO) to investigate how transnational criminal organizations finance synthetic drug trafficking and help the federal government target them more effectively. In August, Casey led his colleagues in introducing the bipartisan?Fighting Illicit Goods, Helping Trustworthy Importers, and Netting Gains (FIGHTING) for America Act?to help CBP prevent fentanyl from entering the country undetected. In September, Casey introduced the Interdiction of Fentanyl at Federal Prisons Act, which would protect prison officers, staff, and inmates from fentanyl and other illicit substances entering the Federal Prison System through inmate mail. 

    In addition to Senator Casey, the letter is signed by Sherrod Brown (D-OH), Tammy Baldwin (D-WI), Amy Klobuchar (D-MN), and Tina Smith (D-MN).

    Read the read the full letter to U.S. Trade Representative Katherine Tai HERE or below:  

    Dear Ambassador Tai:

    We write regarding the Section 301 petition filed by Facing Fentanyl, Inc. – a national coalition of over 200 fentanyl awareness organizations and thousands of families – to request that the Administration impose trade countermeasures on the People’s Republic of China (PRC) given the fact that “its government and companies—[are] engaged in a devastating and unrelenting attack on the United States through the export of illicit fentanyl, a lethal poison.” Illicit fentanyl and its precursors have not only caused irreparable harm to the health of American families and communities, but also to the health of our economy. In light of these harms, we write in strong support of this petition and encourage its full and fair evaluation.

    Nothing happens in the PRC without express approval of its government – making the ongoing, unrelenting manufacture and shipment of fentanyl and its precursor chemicals a direct, government-sponsored assault on the American people. The Chinese government directly subsidizes the production of illicit fentanyl materials through tax rebates, awards grants to companies openly trafficking illicit fentanyl online, and holds ownership interests in companies trafficking illicit fentanyl materials. In other words, China’s state-sponsored policy is to profit from Americans’ deaths. As Senators who represent thousands of families deeply impacted by illicit fentanyl, we have seen that fentanyl doesn’t just hurt the health of our states’ population, it also leaves economic destruction in its wake. This problem requires a whole of government approach to combatting China’s unfair and harmful strategies intended to harm the American public and economy.

    As you know, Section 301 tariffs are imposed when a foreign nation engages in unfair trade practices – in essence, when another country cheats at the rules of international trade. The United States has repeatedly imposed Section 301 tariffs upon the PRC due to a recurring and ongoing practice of trade distorting behavior, including in 2018 to combat unfair trade practices regarding technology transfer, intellectual property, and innovation. This petition represents a critical next step in addressing China’s trade cheating.

    The impacts of the fentanyl crisis are felt in every community and across the United States, which has the highest rate of fentanyl overdose deaths of any high-income country. On average, fentanyl kills 200 Americans daily, and has killed nearly 75,000 people in the last year alone. This loss of life is first and foremost tragic and devastating, and it is directly due to the PRC’s support and subsidies for the production and export of fentanyl and the chemicals that can be used to make the deadly drug.  The result is that China has “cornered the market” on fentanyl. It is the source of 97 percent of the world’s fentanyl, and it designed this poison to be more lethal and undetectable – with the result being that many killed by fentanyl had no idea they were ingesting this drug.

    In addition to widespread overdose deaths, the prevalence of fentanyl has had an enormously detrimental effect on the United States economy. The strain on the healthcare system and the diversion of law enforcement resources all contribute to an extreme burden on United States commerce. These consequences directly stem from one source: the PRC’s direct role in and support for the illicit fentanyl trade. Nearly all fentanyl precursors used to manufacture illicit fentanyl come from China. Significant work in Congress has been done to hold China accountable for these horrific policies. Earlier this year, Congress passed the FEND Off Fentanyl Act, which imposes new sanctions and anti-money laundering penalties targeting the illicit fentanyl supply chain. Diplomatic efforts should be acknowledged as well. We have even seen a welcome decline in the number of unintentional overdose deaths in America, but this reprieve will not last without action.

    These are important steps, but more must be done. A whole-of-government approach is necessary to stop the fentanyl crisis, hold China accountable, and save lives. This petition offers new opportunity to enforce U.S. law to protect American citizens and our economy. Through Section 301 of the Trade Act of 1974, USTR has an opportunity to directly address the root of over 97 percent of the illicit fentanyl coming into the U.S. Petitioners request trade countermeasures including: tariffs on specific manufacturers and broad sectors that are complicit in fentanyl production, mobile application restrictions, outbound investment restrictions, and complete closure of the de minimis loophole. Every available tool should be considered to help our nation grapple with this crisis.

    Although the network of how fentanyl travels can be complex, the source is not. The manufacturing and distribution of illicit fentanyl that gets into our country is the active, conscious policy choice of the PRC. The government of the United States must fight back on behalf of the families and communities that have been devastated by this crisis using every tool we have. It is imperative that USTR carefully evaluate this Section 301 petition and take every step possible to hold to account those making and shipping this poison into the United States.

    Thank you for your consideration of this critically important issue.

    MIL OSI USA News

  • MIL-OSI USA: Capito Announces Funding to Support Yeager Airport Upgrades

    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.), a leader on both the Senate Appropriations and Commerce Committees, as well as Ranking Member of the Senate Environment and Public Works (EPW) Committee, announced a funding award from the U.S. Department of Transportation (DOT) for West Virginia International Yeager Airport to support the new terminal project.

    This grant award, which was made possible through provisions included in the bipartisan Infrastructure Investment and Jobs Act (IIJA) that Senator Capito helped negotiate and craft, will provide funding for the reconstruction and rehabilitation of the passenger terminal, including constructing a new concourse, at Yeager Airport.

    “CRW’s terminal is from the 1940s and is long overdue for a major upgrade. As I was helping negotiate the Infrastructure Investment and Jobs Act, I made certain to highlight and support the needs of smaller and rural airports in West Virginia and across the country,” Senator Capito said. “We are now seeing the results with funding like this headed to West Virginia to support significant passenger growth at Yeager Airport. West Virginia continues to see the benefits of the Infrastructure Investment and Jobs Act, and this grant announcement is yet another example.”

    “Thanks to this significant investment, we are on the path to fully transforming the passenger experience at CRW,” Dominique Ranieri, Airport Director and CEO of West Virginia International Yeager Airport, said. “This project will not only upgrade our facilities to meet modern standards but also ensures CRW remains a key, competitive asset for the region. We are immensely grateful for Senator Capito’s ongoing support in securing the funding needed to position the Airport for future growth.”

    Individual award details listed below:

    • $8,000,000 IIJA Airport Terminal Program grant to West Virginia International Yeager Airport (Charleston, W.Va.) to enhance passenger amenities, expand the security checkpoint, and meet requirements of the Americans with Disabilities Act.

    MIL OSI USA News

  • MIL-OSI USA News: G7 Leaders’ Statement on Extraordinary Revenue Acceleration (ERA)  Loans

    Source: The White House

    Today, we, the Leaders of the Group of Seven (G7), have reached a consensus on how to deliver approximately $50 billion in Extraordinary Revenue Acceleration (ERA) loans to Ukraine.

    These loans will be serviced and repaid by future flows of extraordinary revenues stemming from the immobilization of Russian Sovereign Assets, in line with G7 respective legal systems and international law. The loan proceeds will be disbursed through multiple channels to support Ukraine’s budgetary, military and reconstruction assistance, as consistent with all applicable law and G7 members’ respective legal systems. Our aim is to begin disbursing the funds by the end of the year.

    We express our utmost appreciation for the timely implementation of this historic G7 Leaders’ decision by the Finance Ministers, who have agreed on a technical solution ensuring consistency, coordination, fair distribution of lending, and solidarity among all G7 partners. We are particularly grateful to the European Union and its Member States for their constructive engagement towards this remarkable result.

    Today’s announcement confirms that the G7 fulfills the commitment they made in June at the Apulia G7 Leaders’ Summit. Russian illegal and unprovoked aggression has caused untold harm to the people of Ukraine and to global peace and security. We will not tire in our resolve to give Ukraine the support it needs to prevail. Russia must end its illegal war of aggression and pay for the damage it has caused to Ukraine in line with international law.

    The G7 remains steadfast in its solidarity to support Ukraine’s fight for freedom, and its recovery and reconstruction. With the large amount of financing from the ERA loans to meet its pressing need, we have once again made clear our unwavering commitment to stand by Ukraine for as long as it takes. Time is not on President Putin’s side.

    ###

    MIL OSI USA News

  • MIL-OSI Economics: ADB Signs New Exposure Exchange Agreements with African Development Bank and Inter-American Development Bank

    Source: Asia Development Bank

    MANILA, PHILIPPINES (26 October 2024) — The Asian Development Bank (ADB) today signed two new sovereign exposure exchange agreements (EEAs), strengthening ADB’s ability to lend to borrowing members.

    ADB signed a $1 billion agreement with the African Development Bank (AfDB) and a $1.5 billion agreement with the Inter-American Development Bank (IDB). These two new exchanges bring to five the number of EEAs signed by ADB with these multilateral development banks (MDBs) since 2020, for a total of $6 billion.

    “Regularly exchanging exposures with other MDBs is a key feature of our balance sheet optimization efforts, allowing us to reduce concentration risk and extend greater assistance to our developing member countries,” ADB Vice-President for Finance and Risk Management Roberta Casali said. “The increasing use of this risk transfer method is a great example of the enhanced cooperation across MDBs and our willingness to work together as a system.”  

    A sovereign exposure exchange is a risk management tool to reduce portfolio concentration risks. It provides capital relief for sovereign-focused MDBs by exchanging concentrated loan exposures with exposure to countries where their credit exposure is less or nonexistent. By lowering exposure concentration, ADB reduces its capital usage, thereby increasing its lending capacity. It also lowers the net exposure to borrowers included in the exchanges, providing additional borrowing headroom under ADB’s limits framework.

    For more information about EEAs, refer to the Q&A article.

    ADB continuously explores ways to effectively manage its capital to help the region address simultaneous crises. In 2023, it unlocked $100 billion in additional lending capacity over the next decade by updating its Capital Adequacy Framework.

    ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. Established in 1966, it is owned by 69 members—49 from the region.

    MIL OSI Economics

  • MIL-OSI USA News: Remarks by President  Biden on the Biden-⁠ Harris Administration’s Record of Delivering for Tribal Communities, Including Keeping His Promise to Make this Historic Visit to Indian Country | Laveen Village,  AZ

    Source: The White House

    Gila Crossing Community School
    Laveen Village, Arizona

    10:44 A.M. MST

    PRESIDENT BIDEN:  I’m Joe Biden.  I’m Jill Biden’s husband  (Laughter.)

    Gov, thank you for that introduction and to the Gila Indian River Community — the — Gila — yeah, Gila — nothing wrong with me — (laughter) — Gila River Indian Community for welcoming me today. 

    You know — (applause) — I say this with all sincerity, this, to me, is one the most consequential things I’ve ever had an opportunity to do in my whole career and as president of the United States.  It’s an honor — a genuine honor to be in this special place on this special day. 

    Thank you to Senator Mark Kelly, a great friend, who also is married to an incredible woman who is my friend. 

    Please have a seat, by the way.  (Laughter.)

    And Congressman Greg Stanton.  I saw Greg when I came in.  He’s over there somewhere.  Greg, thank you.

    And I’m putting these glasses on because I’m having trouble seeing this. 

    And all the elected leaders and the Tribal community leaders for being here. 

    You know, I can’t tell you what a special thanks I have for Deb Haaland, my Interior secretary.  I was determined — (applause) — I was determined — I made a commitment when I became president to have an administration that looked like America.  Except you’re America, and there’s — never has been — never has been a Native American, an Indigenous person who was on — in the Cabinet or in a — in the secretary’s job or any consequential job in a presidential administration.

    She’s the first — but it’s clearly not the last — Native American Cabinet secretary ever.  (Applause.)  And her historic and dedicated leadership is strengthening the relationship between the Tribal Nations and the federal government — is unlike ever happened before. 

    That’s why we’re here today. 

    You know, when I got to the Senate, I was only 29 years old.  I had to wait 17 days to be eligible.  And I had — after I got elected, w- — while I waiting, my wife and daughter were killed and my two boys were badly injured.

    And a guy that came to my assistance was a guy named Danny Inouye.  And the first thing he taught me — not a joke — was, “Joe, it is not ‘Indians.’  It’s ‘Indian Nations’ — Indian N-” — (applause) — No, I — he was serious, deadly earnest about it.

    It’s been 10 years since a sitting president — president came and visited Indian Country.  That’s simply much too long.

    And that’s why I am here today not only to fulfil my promise to be a president that — first president to visit Indian Country but, more importantly, to right a wrong, to chart a new path toward a better future for us all.

    I am also here because, as I said, my wife Jill has been here 10 times in Indian Country, literally.  The first lady sends her love and said, “Joe, make sure you come home.”  (Laughter.)  Because every time she goes — she spent a lot of time in, excuse me for saying this, the Navajo Nation.  I’m worried — (applause) — every time she goes, I’m worried she’s not coming home.  (Laughter.)

    I watched that beautiful performance just now, and it moved me deeply.  It’s a reminder of everything Native people enjoy and employ: sacred traditions, culture passed down over thousands of — thousands of years.  (Applause.)  

    Long before there was a United States, Native communities flourished on these lands.  They practiced democratic government before we ever heard of it, developed advanced agriculture, contributed to science, art, and culture.  (Applause.)

    But eventually, the United States was established and began expanding, entering treaties with sovereign Tribal Nations.  But as time moved on, respect for s- — for Tribal sovereignty evaporated, was shattered, pushing Native people off their homelands, denying — denying their humanity and their rights, targeting children to cut their connection to their ancestors and their inheritance and their heritage. 

    At first, in the 19- — 1800s, the effort was voluntary, asking Tribes to sell their children — to send their children away to vocational schools.  But then — then the federal government mandated — mandated the removal of children from their families and Tribes, launching what’s called the Federal Indian Boarding School era — era.  Over a 150-year span — 150 years — from the early 1800s to 1870 — to 1970.  One of the most horrific chapters in American history.  We should be ashamed.  A chapter that most Americans don’t know about.  The vast majority don’t even know about it. 

    I was — I was at my hotel today.  I told the pe- — the hotel staff, as we were leaving.  They said, “Where are you going?”  I told them.  They said, “What are you doing?”  I told them.  They said they’re Natives here.  They said, “I never knew that.  I never knew that.”  Think of how many people don’t know.

    As president, I believe it’s imper- — important that we do know — know generations of Native children stolen, taken away to places they didn’t know with people they never met who spoke a language they had never heard.  Native communities silenced.  Their children’s laughter and play were gone. 

    Children would arrive at schools.  Their clothes taken off.  Their hair that they were told was sacred was chopped off.  Their names literally erased and replaced by a number or an English name. 

    One survivor later recounted her days when taken away.  She said, quote, “My mother standing on that sidewalk as we loaded into a green bus.  I can see the image of my mom burned into my mind and my heart where she was crying.”

    Another survivor described what it was like at the boarding school, and I quote, “When I would talk in my Tribal language, I would get hit.  I lost my tongue.  They beat me every day.”

    Children abused — emotionally, physically, and sexually abused.  Forced into hard labor.  Some put up for adoption without the consent of their birth parents.  Some left for dead in unmarked graves. 

    And for those who did return home, they were wounded in body and in spirit — trauma and shame passed down through generations. 

    The policy continued even after the Civil Rights Act, which got me involved in politics as a young man.  Even after the Civil Rights Act was passed in 1964, it continued. 

    All told, hundreds and hundreds of Federal Indian Boarding Schools across the country.  Tens of thousands of Native children entered the system.  Nearly 1,000 documented Native child deaths, though the real number is likely to be much, much higher; lost generations, culture, and language; lost trust. 

    It’s horribly, horribly wrong.  It’s a sin on our soul.

    I’d like to ask, with your permission, for a moment of silence as we remember those lost and the generations living with that trauma. 

    (A moment of silence is observed.)

    After 150 years, the United States government eventually stopped the program, but the federal government has never — never — formally apologized for what happened until today. 

    I formally apologize — (applause) — as president of the United States of America, for what we did.  I formally apologize.  And it’s long overdue.

    At the Tribal school — at a Tribal school in Arizona, a community full of tradition and culture, and joined by survivors and descendants to do just that: apologize, apologize, apolo- — rewrite the history book correctly.  (Applause.)

    I have a solemn responsibility to be the first president to formally apologize to the Native peoples — Native Americans, Native Hawaiians, Native Alaskans — and [at] Federal Indian Boarding Schools. 

    It’s long, long, long overdue.  Quite frankly, there’s no excuse that this apology took 50 years to make. 

    The Federal Indian Boarding School policy and the pain it has caused will always be a significant mark of shame, a blot on American history. 

    For too long, this all happened with virtually no public attention, not written about in our history books —

    AUDIENCE MEMBER:  Yeah, what about the people in Gaza?

    THE PRESIDENT:  — not taught in our schools.

    AUDIENCE MEMBER:  What about the people in Palestine, huh?

    (Cross-talk.)

    AUDIENCE:  Booo —

    AUDIENCE MEMBER:  (Inaudible.)

    THE PRESIDENT:  Let her talk.  Let her talk.

    AUDIENCE MEMBER:  (Inaudible) empty promise for our people.  How can you apologize for a genocide while committing a genocide in Palestine?

    Free Palestine!  Free Palestine!

    AUDIENCE MEMBER:  Get out of here!

    AUDIENCE MEMBER:  Free Palestine!

    THE PRESIDENT:  No, no.  Let — let her go.  There’s a lot of innocent people being killed. 

    AUDIENCE MEMBER:  (Inaudible.)

    THE PRESIDENT:  There’s a lot of innocent people being killed, and it has to stop.

    For those — (applause) — for those who went through this period, it was too painful to speak of.  For our nation, it was too shameful to acknowledge.  But just because history is silent doesn’t mean it didn’t take place.  It did take place.  (Applause.)

    While darkness can hide much, it erases nothing.  It erases nothing.  Some injustices are heinous, horrific, and grievous.  They can’t be buried, no matter how hard people try. 

    As I’ve said throughout my presidency, we must know the good, the bad, the truth of who we are as a nation.  That’s what great nations do.  We’re a great nation.  We’re the greatest of nations.  We do not erase history; we make history.  We learn from history, and we remember so we can heal as a nation.  It takes remembering.

    This formal apology is the culmination of decades of work by so many courageous people, many of whom are here today: survivors and descendants, allies and advocates — like the nation’s Native American Boarding School Healing Coalition and other — (applause) —

    All of you who are part of that, stand up.  Stand up.  (Applause.)  As my grandfather would say, you’re doing God’s work.

    And other courageous leaders who spent decades shining a light on this dark chapter.  And leaders like Secretary Haaland, whose grandparents were children at one of those boarding schools. 

    U.S. Interior Department, the same department that long ago oversaw Federal Indian Boarding Schools — guess what? — the extensive work on the — breaking ground, it’s happened with her.  It’s appropriate that she is bringing an end to what that very agency did.  (Applause.)  Groundbreaking report documenting what happened. 

    We owe it to all of you across Indian Country.  The truth — the truth must be told.  And the truth must be heard all across America. 

    But this official apolocy [apology] is only one step toward and forward from the shadows of failed policies of the past.  That’s why I’ve committed to working with Indigenous communities across the country to write a new and better chapter of our — in our history, to honor the solemn promise the United States made to Tribal Nations, to fulfill our federal trust and treaty obligations.  It’s long, long, long overdue.  (Applause.)

    And I say this with all sincerity, from day one, my administration, Jill and I, Kamala and Secretary Haaland, our entire administration have worked to include Indigenous voices in all we do.  Along with Secretary Haaland, I’ve appointed Native Americans to lead across the federal government.

    I signed a groundbreaking executive order to give Tribes the — more autonomy to make your own decisions — (applause) — requiring federal agencies to streamline grant appro- — grant appropriations and applications, to comanage federal programs, to eliminate heavy-handed reporting requirements.  It’s about representing your autonomy.  And, I might add, it’s a hell of a lot more efficient when you do it too.  (Applause.)

    Folks, I’m proud to have reestablished the White House Council on Native American Affairs — (applause); relaunched the White House Tribal Na- — Tribal Nations Summit — (applause); and taken historic steps to improve Tribal consultation.  (Applause.) 

    With the historic laws I’ve signed, we’re making some of the most significant investments in Native communities ever — ever in American history. 

    It’s part of my Invest in America agenda, and it’s helping all Americans from every state and every Tribe, and that’s good for all America. 

    Helping Native communities get through the pandemic with vaccine shots in arms and checks in pockets. 

    I’m proud this helped cut child poverty in Native communities by more than one third.  (Applause.) 

    I’m proud our economy — our economic plan has created 200,000 jobs for Native Americans, record-low [un]employment in Native communities. 

    With the strong support from Secretary Haaland and all of you, we’re finally modernizing Tribal infrastructure, for God’s sake — (applause) — building new roads, new bridges; delivering clean water, affordable high-speed broadband in every Native community; and so much more. 

    Folks, we’re just getting started.  We’re making historic climate investments in clean energy, conservation, and clean water [for] Native communities, including co-stewardships of our land and waters. 

    We just des- — designated the first National Marine Sancrutary — Sanctuary proposed by Indigenous communities, which is off the coast of California.  We just got that done.  (Applause.)  And I have restored and designated multiple national monuments to honor Tribal Nations, including the Ancestral Footprints of the Grand Canyon, right here in Arizona, where I had the honor of visiting.  (Applause.)  It was breathtaking.  It was breathtaking.

    I secured the first-ever advanced funding for Indian Health Services — (applause) — so Tribal hospitals can plan ahead, order supplies, hire doctors and know that the money will be there.  (Applause.)  

    We’re also preserving ancestral Tribal homelands, restoring salmon and other native fish, recognizing the value of Indigenous knowledge and languages, especially those damaged in the boarding school era. 

    In fact, my administration was proud to defend the Indian Child Welfare Act — (applause) — an act that was passed in 1970 [1978] in no small part to remedy the harms of 150 years of taking Native children away from their families. 

    But you all know, that act was challenged just a few years ago in the summer of 2023.  Those who opposed us challenged — challenged on the grounds that Native families should not have priority over everyone else in adopting Native children.  Well, I took that all the way to the Supreme Court and we won.  We won.  (Applause.)

    We also extended mental health programs through the Bureau of Indian Education so young people have the tools to end cycles of generational trauma. 

    As an educator, this is something Jill cares deeply about, my wife, just as she’s traveled across Native communities to increase access to health care and so much more, including helping open the first cancer cure [care] center in Navajo Nation.  (Applause.)

    And more to do — a lot more to do.

    And, by the way, the infrastructure bill is over a trillion dollars.  It’s not a decade.  I mean, it’s not a quarter.  It’s going to be there for a decade.  Much, much more to come, and you got to get your fair share.   

    By [re]authorizing the Violence Against Women Act — an Act I took great pains in writing 30 years ago, we also — (applause) — we also reasirmed [reaffirmed] Tribal sovereignty and expanded Tribal jurisdiction in cases where outside predators [perpetrators] harm members of your Nation. 

    And as we mark Native Americans History Month in November — this November, we recognize the contributions of Indigenous people in — to American history.  You — you are the first Americans.  I might add, you’re among the most patriotic Americans.  (Applause.)  Well, that’s a fact.  The whole of America should know, all Americans should know Indigenous people volunteer to serve in the United States military five times more than any other single group.  (Applause.)  Five times.  Five.  Five.  Five.  (Applause.)  Many having paid the ultimate sacrifice in every war since our founding. 

    To all of you, thank you — thank you for serving in so many ways — as first responders, artists, entrepreneurs, educators, doctors, scientists, and so much more — sharing your culture and your knowledge for the good of future generations, believing in possibilities — the possibility to usher in a new era to a nation-to-nation relationship grounded in dignity and respect.  It matters. 

    My dad used to have an expression.  He’d say, “Joey, everyone — everyone — is entitled to be treated with dignity.  Everyone.”  “Everyone is enti-” — he meant it.  (Applause.)

    Well, let me close with this.  It’s about restoring your dignity.

    I know no apology can or will make up for what was lost during the darkness of the Federal Boarding School policy.  But today, we’re finally moving forward into the light. 

    As president of the United States, I’ve had the honor to bestow our nation’s most prestigious medals to distinguished people and organizations all across America.  That includes Native Americans who survived the boarding school era. 

    Early in my term, I bestowed the Medal of Freedom — our highest civilian honor — on a man my grandfather, who was an Irish immigrant and was not treated very well because he was an Irish Catholic in the coal-mine era in Scranton — but he went on to be an all-American football player at Santa Clara.  And every time they’d talk about all-Americans, he’d say, “Joey, the greatest athlete in American history is Jim Thorpe.”  (Applause.)  Oh, I’m seri- — I knew a lot about Jim Thorpe before some of you probably even knew.  (Laughter.)

    As a child, Jim was taken from his home but went on to become one of the greatest athletes ever, ever, ever in all of American history. 

    And earlier this week, I bestowed two other revere- — revered medals — the National Medals of Arts and the National Medal of the Humanities — to 39 extraordinary Americans and organizations, including Roseta Wrol [Rosita Worl], an Alaskan Native.  (Applause.) 

    More than 80 years ago, she was a six-year-old when she was taken to a federal boarding school.  She spent three years without her family, her family not knowing if she’d ever come home.  Nine years old, she was one of those who did come home. 

    Over the next seven decades, she became a leading anthropologist and advocate, building a new era of understanding.  Her story, from being taken from her home as child to standing in the Oval Office receiving one of the nation’s most consequential medals, is a story of the truth, the power of healing. 

    When Roseta [Rosita] sees young people signing tradi- — singing traditional songs, just like we heard today, she says, and I quote, “We will hear the voices of our ancestors, and we are now hearing it through our children.”

    For too long, this nation sought to silence the voices of generations of Native children, but now your voices are being heard.    

    That’s the America that we should be.  That’s the America we can all be proud of.  That’s who we are.  For God’s sake, let’s make sure we reach out and embrace, because you make us stronger.  You are America.

    God bless you all.  And may God protect our troops. 

    Thank you.  (Applause.)

    11:07 A.M. MST

    MIL OSI USA News

  • MIL-OSI Asia-Pac: Japanese doughnut chain Mister Donut debuts in Hong Kong (with photos)

    Source: Hong Kong Government special administrative region

         â€‹Invest Hong Kong announced that Japanese doughnut chain Mister Donut officially opened its first store in Hong Kong today (October 26), bringing the popular donut brand to the city as part of its overseas expansion plan in the region.
          
         Associate Director-General of Investment Promotion Dr Jimmy Chiang said, “We are happy to see that a famous Japanese food brand has established its foothold in Hong Kong. The city, as a well-known food paradise, is an ideal place for companies to promote their brands to the world. We wish the brand every success in Hong Kong and beyond.”
          
         The opening of Mister Donut in Hong Kong is a partnership between Duskin Co Ltd from Japan and a local franchisee, Dragon Circle Enterprise Limited. The Chief Executive Officer of Dragon Circle Enterprise Limited, Ms Fanny Su, said that the company sees a huge opportunity for Mister Donut in Hong Kong. That is why it is bringing the brand here to meet local needs.
          
         She said, “Our market research shows that there is a huge potential customer base in Hong Kong. They are so looking forward to the Mister Donut brand coming to Hong Kong. That is why we are bringing the brand to the city. We will open the second shop by the end of this year, and nine in total by 2027.”
          
         The new store is located in an art shopping mall in Tsim Sha Tsui, offering a wide range of popular donuts made with the same quality ingredients as in Japan, according to Ms Su. Its signature donut is the Pon de Ring which is loved both in Japan and abroad for its soft, airy and chewy texture.
          
         Mister Donut is one of Duskin’s food businesses. As part of Duskin’s expansion plan, the company has set out to assess and proceed with entering additional Asian markets while developing its businesses in existing locations.
          
         For more information about Mister Donut, please visit http://www.misterdonut.jp.
              
         To get a copy of the photos, please visit http://www.flickr.com/photos/investhk/albums/72177720321428942.      

    MIL OSI Asia Pacific News

  • MIL-OSI: Cielo Provides Virtual AGM Reminder and Announces Extension of Proxy Voting Deadline

    Source: GlobeNewswire (MIL-OSI)

    CALGARY, Alberta, Oct. 26, 2024 (GLOBE NEWSWIRE) — Cielo Waste Solutions Corp. (TSXV:CMC; OTC PINK:CWSFF) (“Cielo” or the “Company”), a company fueling renewable change, wishes to remind its shareholders that its forthcoming Annual General Meeting of shareholders (the “AGM”) will be held on Tuesday, October 29, 2024, at 10 a.m. MT. As the AGM will be held virtually, shareholders will not be able to attend in person.

    To attend the AGM, shareholders will have to access the following link online: https://teams.microsoft.com/CieloAGM2024 (meeting ID 218 185 286 033, passcode 5A4kx6). Shareholders will have an equal opportunity to participate at the AGM by video conference regardless of their geographic location. Additional details related to the AGM, including the method of attending the AGM virtually, are described in the Company’s meeting materials, which are available on SEDAR+ (http://www.sedarplus.ca) and the Company’s website (http://www.cielows.com/investors).

    Proxy Deadline

    In addition, the Company has elected to extend the deadline for submission of proxies related to the AGM to Monday, October 28, 2024, at 2 p.m. MT, to allow shareholders additional time for voting. Management encourages voting in advance of the AGM by proxy to allow for a more efficient AGM. Those who vote in advance of the AGM by proxy will still have an opportunity to participate in the AGM, including during the planned question and answer period.

    ABOUT CIELO

    Cielo is fueling renewable change with a mission to be a leader in the wood by-product-to-fuels industry by using environmentally friendly, economically sustainable and market-ready technologies. We are proud to advance our non-food derived model based on our exclusive licence in Canada for patented Enhanced Biomass to Liquids (EBTL™) and Biomass Gas to Liquids (BGTL™) technologies and related intellectual property, along with an exclusive licence in the US for creosote and treated wood waste, including abundant railway tie feedstock. We have assembled a diverse portfolio of projects across geographic regions and secured the ability to leverage the expertise of proven industry leaders. Cielo is committed to helping society ‘change the fuel, not the vehicle’, which we believe will contribute to generating positive returns for shareholders. Cielo shares are listed on the TSX Venture Exchange under the symbol “CMC,” as well as on the OTC Pink Market under the symbol “CWSFF.”

    For further information please contact:

    Cielo Investor Relations

    Ryan Jackson, CEO
    Phone: (403) 348-2972
    Email: investors@cielows.com

    CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

    This news release contains certain forward-looking statements and forward-looking information (collectively referred to herein as “forward-looking statements”) within the meaning of applicable Canadian securities laws. All statements other than statements of present or historical fact are forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as “anticipate”, “achieve”, “could”, “believe”, “plan”, “intend”, “objective”, “continuous”, “ongoing”, “estimate”, “outlook”, “expect”, “may”, “will”, “project”, “should” or similar words, including negatives thereof, suggesting future outcomes.

    Forward-looking statements are subject to both known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the Company, that may cause the actual results, level of activity, performance, or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements. Forward-looking statements and information are based on plans, expectations and estimates of management at the date the information is provided and are subject to certain factors and assumptions. Cielo is making forward-looking statements, with respect to, but not limited to: the AGM, including timing and the proxy deadline.

    Investors should continue to review and consider information disseminated through news releases and filed by the Company on SEDAR+. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended.

    Forward-looking statements are not a guarantee of future performance and involve a number of risks and uncertainties, some of which are described herein. Such forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause the Company’s actual performance and results to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements. Any forward-looking statements are made as of the date hereof and, except as required by law, the Company assumes no obligation to publicly update or revise such statements to reflect new information, subsequent or otherwise.

    The MIL Network

  • MIL-OSI China: China-aid school improvement project inaugurated in Cambodia

    Source: China State Council Information Office

    The China-Aid Project of Improving School Environment and Educational Facilities in Cambodia (CPISEEF) was inaugurated in southeast Kampong Cham province.

    Cambodian Prime Minister Hun Manet and Chinese Ambassador to Cambodia Wang Wenbin presided over the inauguration ceremony held at the Hun Sen Peam Chi Kang High School in Kang Meas district, with more than 1,000 participants.

    The project had constructed school buildings, resource buildings, dorms for teachers, sanitary facilities, wells, football pitches, basketball courts, fences, roads and sewage at 26 high schools and the Hun Sen Kandal Regional Teacher Training Center, located in the capital Phnom Penh, Kandal province and Kampong Cham province, Hun Manet said.

    Besides helping develop hard infrastructure, the China-aid project has also supported the Information and Communication Technology (ICT) development project for education in Cambodia.

    The Cambodian prime minister said these achievements are a new testament to excellent ties and close cooperation between Cambodia and China, particularly in the education sector.

    “This China-aid project has significantly contributed to improving the quality of education in Cambodia, benefiting both teachers and students,” he said.

    Ambassador Wang was confident that the CPISEEF would importantly contribute to improving the quality of high school education in the Southeast Asian country.

    “Youth represent the future. Investing in the education sector of Cambodia is investing in the future of the China-Cambodia relations,” he said.

    Wang added that the alignment between China’s Belt and Road Initiative (BRI) and Cambodia’s Pentagonal Strategy would help deepen cooperation in the education sector between the two countries. 

    MIL OSI China News

  • MIL-OSI United Kingdom: Budget: No retreat from record climate investment

    Source: Scottish Greens

    The Scottish Government must ensure record climate investment.

    The SNP must commit to continuing the record level of climate and nature investment previously delivered by the Scottish Greens if they are to get the support of Green MSPs for the forthcoming Budget, says the party’s finance spokesperson, Ross Greer MSP.

    In giving the keynote opening speech of the Scottish Green conference at the Beacon theatre in Greenock, Mr Greer insisted that there must be no going back from the £4.7 billion that his party secured for climate and nature in this year’s budget. He insisted that this sum was just the start of what is needed to meet the scale of the crisis.

    Addressing the party’s conference, Mr Greer said: “When the Greens were in Government we delivered a huge escalation in Scottish Government action for our environment. We secured a record £4.7 billion annually for climate and nature programmes this year alone. 

    “Today we are making clear to the SNP that if they want our support for the next budget there can be no going back on that record level of support. £4.7 billion is the very minimum that our planet needs at this time of crisis.”

    MIL OSI United Kingdom

  • MIL-OSI United Kingdom: Scottish Greens look ahead to record results at next Scottish elections

    Source: Scottish Greens

    The Scottish Greens have a bold and progressive vision for a fairer, greener and better Scotland.

    Scottish Green co-leader Lorna Slater rallied party activities at their autumn conference in Greenock, saying their party will stand at the next election on a “boldly progressive platform of real change.”

    Slater celebrated her party’s achievements in government, from free bus travel for young people to record investment in climate and nature, and said her party would continue to be “effective and constructive” from opposition. 

    Addressing her party conference, Ms Slater said, “I’m deeply proud of what we achieved during our time in Government.

    “From free bus travel for all our young people, to the biggest expansion of the living wage and the Scottish Child Payment since devolution; Scotland’s first emergency rent freeze and eviction protections during the cost of living crisis, bans on polluting behaviours like incineration, single use plastics and disposable vapes, increased multi-year funding for nature restoration and active travel  the policies you, our Scottish Green members, decided on at past conferences were being put into action. Making people’s lives better, day in, day out.

    “In or out of government we are committed to delivering the change that Scotland needs.”

    Turning her attention to record general election results for her party earlier in the year, Ms Slater said: “We know that voters appreciate Green values and leadership. They told us so, at this year’s General election, which saw record Scottish Green results up and down the country.

    “Whilst Rishi Sunak couldn’t even muster an umbrella, our activists pulled off our biggest on-the-ground campaign since before the pandemic. A substantial effort at short notice. 

    “In the record 44 seats in which we stood, we nearly doubled our vote share, with over 92,000 people casting their vote for us and demonstrating support for the Scottish Greens all over Scotland, including in the islands. 

    “In our biggest cities, we are now the third party, beating the Tories and the Lib Dems in one of their biggest elections. And how did we do it? Through your hard work, determination, and our positive vision for how Green values and policies can change this country. 

    “In the next few months branches will begin selecting their target wards and candidates and start looking ahead to Holyrood 2026.  

    “I am glad that the Scottish Greens are being recognised as influential, and we can do even more with more of us elected into Holyrood.

    “Whilst the SNP lurch to the right and court the votes and donations of Big Oil, and Labour continue to support nuclear weapons and Tory fiscal rules that let the rich get even richer, while public services crumble, the Scottish Greens will stand on a boldly progressive platform of real change. We have a clear position. We have a big opportunity.”

    MIL OSI United Kingdom

  • MIL-OSI United Kingdom: Patrick Harvie Autumn Conference 2024 speech

    Source: Scottish Greens

    Patrick Harvie called for the Scottish Government to take serious climate action and deliver a fairer, greener and better budget for Scotland.

    Greens always aim to offer an inspiring and positive vision at election times, because we believe that politics is capable of changing our society for the better.

    Labour, by contrast, spent the whole election campaign trying to lower everyone’s expectations. Maybe they thought it was better to under-promise, rather than under-deliver. And yet somehow, they have managed to do both.

    I don’t think there can be a single voter left in the UK who can honestly say they’ve been inspired by what has happened since. 

    Of course there is reason to be happy about seeing the end of 14 years of Tory austerity, corruption, and downright lies; to be rid of Boris Johnson and his pals partying in Downing street; or the shameless profiteering on the back of Brexit and the pandemic; or the Liz Truss blink-and-you-miss-it catastrophe – it’s no wonder the British public jumped at the opportunity for a change of government. 

    But Labour’s offer to the electorate, after they’d dumped every remnant of a radical programme and purged their progressive candidates, was so insipid that I warned that the UK was likely to get a change of government without a change of politics. And that’s exactly what we’ve seen from Keir Starmer’s Labour since then. 

    We’ve just passed the 100 day mark of this new Labour government. And what have they achieved in that time? 

    Keir Starmer has some lovely new suits, and if you can believe it thousands of pounds worth of quite boring glasses. Some of the cabinet have had some nice free holidays and Taylor Swift tickets.

    But have they lifted the cruel two-child benefit cap which has forced families, and especially women and children into poverty? Perish the thought.

    Have they cut the artificial link between gas and electricity prices, instantly making renewable home heating cheap and affordable for millions? Of course not, instead they’ve removed winter fuel payments from nearly 10 million pensioners, forcing vulnerable older people to choose between heating their home and feeding themselves. 

    It is a decision that is up there with the worst of the Tories; it’s one that will kill people. And unlike so many of their bad policies, this one wasn’t even in the Labour manifesto.

    Our message to Keir Starmer is simple: reverse this cut. Do it now or your first year’s legacy will be a cold and deadly winter.

    This is a Labour Government working for the few, not the many. A Labour government that is defending a broken status quo and standing up for the interests of big business and their corporate donors rather than working people.

    Here in Scotland, Anas Sarwar told us to ‘read his lips’, promising that there would be ‘no austerity under Labour’. 

    Anas was probably hoping that a long Labour honeymoon would let him coast for much of the way to the 2026 election. Instead people have been given an instant reminder of just how underwhelming a Labour government can be.

    Two weeks ago, Scottish Labour had the chance to take a different path, and condemn their London colleagues’ decision to means-test the winter fuel payment in a vote in the Scottish Parliament. 

    Instead, they doubled down, standing up for Starmer’s decision and supporting one of the cruellest cuts for years.

    But perhaps Labour’s most shameful failure has been on the international stage.

    The last 12 months have seen daily horrors and atrocities inflicted on the people of Gaza. So many children, so many whole families, have had their lives destroyed in some of the gravest war crimes in living memory. It has been the collective punishment of millions of people.

    The killing has spread to Lebanon, and missile attacks between Israel and Iran, with Netanyahu deliberately increasing the risk of a wider regional war.

    For the international community this has been one of the most profound moral tests for our age, and it is one that Labour has failed badly.

    When hospitals and homes have been bombed into rubble, and when genocide is being inflicted, we all have a moral duty to stand against it, and to stand on the side of humanity.

    Yet, Keir Starmer can’t even bring himself to end political and military support for Israel or take action against even its most extreme far right politicians.

    Every government is under a moral obligation to do everything possible to oppose the atrocities. That is why we have persistently called on the Scottish Government to block all public contracts for companies who are complicit in the illegal settlements in the West Bank, and why we have called for an end to all public grants and support for the companies who are profiting from the killing.

    Even ending the arms sales and the bombing isn’t enough; peace requires justice, and that means an end to the decades of occupation, and it means statehood for Palestine.

    Conference, it is long past time to end this complicity. It is long past time for a watertight arms embargo and it is long past time for an end to all trade with the illegal settlements in the occupied territories.

    It is long past time for Scotland and the UK to join the call for boycott, disinvestment and sanctions against Israel. Because profiting from atrocities must have no place in a civilised society.

    Conference, the months and years ahead will be crucial for peace, and they will also be crucial for the fate of our planet.

    With global temperatures rising, Governments must take bold and urgent action both here in Scotland and around the world.

    With just 18 months left of this session of the Scottish Parliament, the SNP now face some key tests on an issue they still claim is a priority. 

    The first of those is underway already, as Holyrood considers the Scottish Government’s new Climate bill. 

    The first two Climate Change Acts were statements of high ambition. This third one will be an admission that, as Greens have long argued, Scotland is years behind where we should be. That’s an admission that needs to be made; but making it demands an urgent acceleration of action here and now, not just promise of more plans to come.

    When we last met in April, I said that Scotland has been held back by too many politicians ready to celebrate the supposed ‘world-leading’ targets, while blocking the action needed to actually meet them. 

    We have known for decades how to do it – it’s getting people out of cars and onto clean public transport; replacing fossil fuel for home heating with cheap, abundant renewables; changing the way we manage our land and farm our food, so we lock up more carbon than we produce; and ending the extraction of oil and gas in the north sea for good. 

    But what have we seen in the last six months from the now minority Scottish Government? Instead of accepting that missed targets demand accelerated action, they’ve chosen a sharp u-turn on much of the action that the Greens had been advancing. 

    Cutting the funding for climate projects and net-zero investment; returning to exorbitant prices on our railways; rolling back on new clean standards for home heating – these are not the actions of a Government that is serious about climate action.

    And on some key climate policy areas they are simply stalling. A new energy strategy is long overdue; they said it was ready to publish before the UK election, but we’re still waiting.

    Greens had insisted on a climate assessment of their road building plan for the A96, and it’s been sitting on Ministers’ desks too, unpublished. They need to come clean, publish that assessment, and make a decisive shift in their priorities, from unsustainable road building, to the green, low carbon infrastructure we need.

    While this dithering and inaction continues, experts like Jim Skea of the IPCC are now warning not only could 1.5 degrees of warming be moving out of reach, but that we are potentially headed to more than 3°C of global warming in this century if we carry on with the policies we have at the moment.

    Three degrees plus of warming would be catastrophic for life on this planet. We know what we need to do, yet the Scottish Government is refusing to take some of the most basic steps.

    So the Scottish Greens will not waive the Climate Targets bill through Holyrood as a ‘minor technical amendment’ as the Scottish Government claims. 

    When parliament goes back next week, Mark Ruskell and I will be moving amendments to the bill to try and improve it where we can. 

    We’ll try to keep the interim targets alive, as crucial milestones on our path to net zero; we’ll put forward improvements to the timescales in the bill, because as it stands they risk wasting most of the time left till the next Holyrood election without an agreed climate plan. 

    But the thing is, outside of the text of the Bill, what’s really needed now is an immediate programme of accelerated action to deliver emission cuts that are long overdue.

    A climate plan is only worthwhile if it takes the steps that are necessary, like halting new road building projects, investing in public transport and refusing the plan to expand the gas-fuelled power station at Peterhead. 

    These are just some of the actions that we have put forward as part of our Climate Reset package, published in August. Even these plans aren’t the end of the story, not by a long way, but without these kinds of changes right now, the Scottish Greens cannot vote for the new Climate bill. 

    Our demands for climate action must not end with this legislation however – tackling the climate emergency must be a mission across all parts and all levels of Government. 

    Nowhere is this more pressing than the upcoming Budget. 

    We recognise the challenges that come with the limitations of devolution, as well as the impact of 14 years of Tory cuts and now what looks like continued austerity under Labour. We know our full ambition for a fairer, greener economy can best be delivered with the powers of a normal independent country. 

    However, we’ve also been clear in recent months that we still have a duty to use every last lever available to solve the current crisis in Scotland’s public finances.

    On Wednesday, when the UK Government publishes its budget, we’ll have a better idea of the financial situation Scotland faces. Labour could and should choose to end austerity, and restore Scotland’s budget to workable levels. But given their track record, none of us will be holding our breath for that.

    Even the current rumours of an increase in capital spending won’t take us anywhere near the levels of investment that are needed, and UK Ministers have openly lobbied against the public service cuts they are being told to make.

    There are those in Scottish politics who refuse the responsibility to offer solutions. Instead they demand the impossible, pretending that every tax can be cut and every service funded, and they never need to make the sums add up. That’s dishonest politics, and it’s never been the Green approach.

    The Scottish Greens have been honest about needing to raise more money through fair taxes if we want to support public services. We are proud that we have the most progressive tax system anywhere in the UK. That is because of the work of Green activists and members in this hall and across this country, and our work in Parliament.

    That’s why there’s an extra billion and a half pounds going into public services every year. It’s why councils are now able to raise more tax from second homes, and from the tourism industry.

    We’ll continue to ensure the Scottish Government comes good on the commitments we secured to introduce new local taxes such as on cruise ships and carbon emissions from land, and we’ll hold them to account on the long overdue commitment for wider reform of local government finance – one of the biggest missed opportunities of the first 25 years of the Scottish Parliament, and one where the SNP are still dragging their feet. 

    We’ve shown how we could make big savings by stopping tax breaks to wealthy landowners and enterprise grants to arms companies, and by bringing in more money to support our healthcare system through a public health levy on supermarkets. 

    But these steps are only the start. Extra funds raised through tax or coming from the UK Government must go into reversing the broken promises made by the SNP government since they ended the Bute House Agreement. 

    That includes reinstating the plan to roll out free school meals to all children in Scotland’s primary schools before the next election, restoring the Scottish Green’s Nature Restoration Fund, fully funding an ambitious programme to cut energy bills and emissions from our home heating, and reversing the decision to bring back peak rail fares which punish workers and students.

    But crucially, John Swinney must also address the very real issue of the trust that was broken this year. 

    In the last six months we’ve not only seen Bute House Agreement policies facing the axe, but commitments which were agreed before we even entered Government, as well as commitments that were made to local government. 

    Now, for the first time in four years, we’re being asked to back a Scottish Government budget without a role in overseeing how it’s implemented; to vote on the basis of trust. That is a risk we cannot take lightly.

    Later today, our Finance portfolio lead Ross Greer will open a conference debate calling on the Scottish Government to guarantee no future agreements will be subject to in-year cuts.

    But even with that in place, we still face a challenging few months ahead. As Scottish Green MSPs, we have a responsibility to engage with the process in good faith, and with honesty. But as the only party that ever brought down an SNP budget, as John Swinney knows to his cost, we need to be clear that they cannot take our votes for granted. 

    Conference, this budget marks a turning point, not just because of the difficult circumstances and the challenges facing the country, but also because it’s the last full year budget for this parliamentary session.

    In just 18 months, Scotland will go back to the polls. Voters will make a decision that will be crucial to ensuring a sustainable and livable future for our planet, and for the people of Scotland.

    We’ve made important progress for Green politics in recent years – a string of ‘best ever’ election results at every level, from the 2019 European elections onward. Our first opportunity to enter government, and sustained high polling through turbulent times when the political right threw everything they had at us. 

    And despite the end of the Bute House Agreement, we have a clear role and opportunity to ensure delivery of what we got started, and hold the SNP to account for progressive Green policies they choose to drop, demonstrating to voters the reason why Green votes make a difference.

    But if we want the 2026 election to continue that string of election successes, and turn our potential into a reality, we need to keep learning, developing, and becoming the effective and professional political force we are capable of being.

    As a movement, Greens don’t exist for easy times. We’re here to draw attention to the profound challenges our society faces, from environmental destruction to poverty and inequality, from global threats to democracy, to the abuse of power by those who operate today’s failed economic model for their own short term benefit.

    Lots of politicians talk about “tough choices”, but what they really mean is sticking with the consequences of the status quo. They make brutal choices, but easy ones – hurting the most vulnerable is the path of least resistance, far easier then challenging the powerful. 

    Greens exist to take on the really tough choices – the choice to change our society, our economy and our politics, knowing that it’s not an easy path.

    Our party will do that, and will earn the trust of those who know it needs to be done, if we are united, true to our values, politically disciplined, and honest. And if we work hard – knocking on doors, campaigning in our communities and making green change happen at every level. 

    That’s what we are, that’s why we’re here, to be more than just a party, to be a movement. A movement for people, a movement for planet and a movement for peace. And a movement that is needed more than ever.

    MIL OSI United Kingdom

  • MIL-OSI Canada: Minister Hussen announces support for financial stability in developing countries at the 2024 Annual Meetings of the International Monetary Fund and the World Bank Group

    Source: Government of Canada News

    News release

    October 26, 2024 – Washington, D.C. – Global Affairs Canada

    Financial inclusion gives people a fair chance to succeed. However, with the rising cost of living, regional conflicts, and natural disasters caused by climate change, financial pressures have impacted everyday life, especially for the world’s most vulnerable.

    Yesterday, the Honourable Ahmed Hussen, Minister of International Development concluded his participation at the 2024 Annual Meetings of the International Monetary Fund (IMF) and the World Bank Group (WBG) in Washington. While there, he announced a $20 million contribution to the Toronto Centre over five years.

    Canada’s investment will expand the reach of the Toronto Centre’s tailored training to financial regulators in developing countries, including for women. Women continue to be less likely than men to have access to financial institutions, or even have their own bank account. Gender inclusive training can help break the cycle of gender-based poverty – changing lives and increasing women’s participation in the economy. The project focuses on Sub-Saharan Africa, the Indo-Pacific region and special assistance to Ukraine.

    Minister Hussen also engaged with global partners, World Bank management and other key stakeholders, committed to working with Canada to improve accessing to finance for those who need it most, especially women, a priority under Canada’s Feminist International Assistance Policy. The World Bank Group is an important partner in funding development projects that help increase financial stability, making it easier for people to access financial services, and providing support in times of crisis.

    Quotes

    “Canada is proud to continue our partnership with the Toronto Centre. This Canadian powerhouse has a long track record of strengthening financial systems through their training and expertise. What this means is that more women and girls will get access to stable financial resources, unlocking the door to reaching their full potential. Together, Canada and the Toronto Centre will continue to build a more inclusive financial sector around the world.”

    – Ahmed Hussen, Minister of International Development

    “We are deeply grateful to Global Affairs Canada for their continued support since our inception in 1998. This timely funding renewal strengthens our ability to build capacity in emerging markets and developing economies in line with the sustainable development goals to spur financial resilience and inclusion, mobilize domestic resources, and alleviate poverty. Our foundational institution-building work strengthens financial regulatory environments, fostering sustainable growth and building global confidence.” 

    – Babak Abbaszadeh, President and CEO, Toronto Centre

    Quick facts

    • Canada is a founding member of the World Bank Group and the International Monetary Fund and is represented at their Boards by Canada’s Minister of Finance.

    • The WBG is Canada’s largest development partner institution. Since 1945, we have worked together in every major area of development and in boosting shared prosperity through inclusive, sustainable economic growth and development.

    • The Annual Meetings for the International Monetary Fund and the World Bank is an opportunity for the global community to come together and advance a range of issues related to poverty reduction and international economic development, while advancing the Sustainable Development Goals.

    • In June 2024, Prime Minister Justin Trudeau announced that Canada would purchase $274 million (US$200 million) in hybrid capital from the World Bank’s International Bank for Reconstruction and Development (IBRD). This innovative financing mechanism provides additional capacity for the Bank to provide loans to developing countries, with a leverage factor of 6.5 times. This means up to $1.8 billion in additional lending is available to help developing countries meet the SDGs – from improving education and health to reducing food insecurity and carbon footprints.

    • Canada is a founding member of the Toronto Centre and together, they have built a partnership that dates back to 1998.

    • The Toronto Centre has hosted regular side events within the IMF and World Bank Annual and Spring meetings.

    • Since inception in 1998, Toronto Centre has enhanced the capacity of more than 28,000 financial supervisors from 190 countries and territories to build more stable, resilient, and inclusive financial systems.

    Associated links

    Contacts

    Olivia Batten
    Press Secretary
    Office of the Minister of International Development
    Olivia.Batten@international.gc.ca

    Media Relations Office
    Global Affairs Canada
    media@international.gc.ca
    Follow us on X (Twitter): @CanadaDev
    Like us on Facebook: Canada’s international development – Global Affairs Canada
    Follow us on Instagram: @canadadev

    MIL OSI Canada News

  • MIL-OSI Security: Dundurn — Saskatoon RCMP: woman charged after fatal collision

    Source: Royal Canadian Mounted Police

    On October 19, 2024 at approximately 9:45 p.m., Saskatoon RCMP received a report of a collision on Highway #11, one kilometre north of Dundurn.

    Officers immediately responded. Investigation determined a truck and an SUV collided in the southbound lanes. The truck was driving northbound in the southbound lanes.

    The driver and passenger of the SUV were declared deceased by EMS at the scene. They have been identified as a 50-year-old female and 20-year-old female from Lake Isle, AB. Their families have been notified.

    Two occupants of the truck, both children, were taken to hospital with injuries described as non-life-threatening in nature.

    The adult female driver of the truck did not report injuries to police. She was arrested at the scene of the collision.

    As a result of continued investigation, 32-year-old Brittany Barry from the RM of Blucher is charged with:

    • two counts, operate a conveyance while impaired over 80 mg causing death, Section 320.14(3), Criminal Code;
    • two counts, dangerous operation of a motor vehicle causing death, Section 320.13(3), Criminal Code;
    • two counts, operate a conveyance while impaired over 80 mg causing bodily harm, Section 320.14(s), Criminal Code;
    • two counts, dangerous operation of a motor vehicle causing bodily harm, Section 320.13(3), Criminal Code;
    • two counts, criminal negligence causing death, Section 220(b), Criminal Code; and
    • two counts, criminal negligence causing bodily harm, Section 221, Criminal Code.

    Brittany Barry is scheduled to appear in Saskatoon Provincial Court on October 21, 2024.

    The highway was closed for approximately six hours during initial investigation.

    The investigation continues. Saskatoon RCMP believes there are witnesses to this collision who they have not spoken to. If you witnessed the collision or stopped at the scene and have not yet spoken with police, contact Saskatoon RCMP by dialling 310-RCMP.

    MIL Security OSI

  • MIL-OSI: Nokia Corporation: Repurchase of own shares on 21.10.2024

    Source: GlobeNewswire (MIL-OSI)

    Nokia Corporation
    Stock Exchange Release
    21 October 2024 at 22:30 EET

    Nokia Corporation: Repurchase of own shares on 21.10.2024

    Espoo, Finland – On 21 October 2024 Nokia Corporation (LEI: 549300A0JPRWG1KI7U06) has acquired its own shares (ISIN FI0009000681) as follows:

    Trading venue (MIC Code) Number of shares Weighted average price / share, EUR*
    XHEL 1,317,830 4.34
    CEUX 269,017 4.32
    BATE
    AQEU
    TQEX
    Total 1,586,847 4.33

    * Rounded to two decimals

    On 25 January 2024, Nokia announced that its Board of Directors is initiating a share buyback program to return up to EUR 600 million of cash to shareholders in tranches over a period of two years. The first phase of the share buyback program started on 20 March 2024. On 19 July 2024, Nokia decided to accelerate the share buybacks by increasing the number of shares to be repurchased during the year 2024. The post-increase repurchases in compliance with the Market Abuse Regulation (EU) 596/2014 (MAR), the Commission Delegated Regulation (EU) 2016/1052 and under the authorization granted by Nokia’s Annual General Meeting on 3 April 2024 started on 22 July 2024 and end by 31 December 2024 with a maximum aggregate purchase price of EUR 600 million for all purchases during 2024.

    Total cost of transactions executed on 21 October 2024 was EUR 6,875,967. After the disclosed transactions, Nokia Corporation holds 178,234,633 treasury shares.

    Details of transactions are included as an appendix to this announcement.

    On behalf of Nokia Corporation

    BofA Securities Europe SA

    About Nokia
    At Nokia, we create technology that helps the world act together.

    As a B2B technology innovation leader, we are pioneering networks that sense, think and act by leveraging our work across mobile, fixed and cloud networks. In addition, we create value with intellectual property and long-term research, led by the award-winning Nokia Bell Labs.

    Service providers, enterprises and partners worldwide trust Nokia to deliver secure, reliable and sustainable networks today – and work with us to create the digital services and applications of the future.

    Inquiries:

    Nokia Communications
    Phone: +358 10 448 4900
    Email: press.services@nokia.com
    Maria Vaismaa, Global Head of External Communications

    Nokia Investor Relations
    Phone: +358 40 803 4080
    Email: investor.relations@nokia.com

    Attachment

    The MIL Network

  • MIL-OSI: Trustco Reports Third Quarter 2024 Net Income of $12.9 Million; Skillful Application of Strong Fundamentals Produce Solid Results

    Source: GlobeNewswire (MIL-OSI)

    Executive Snapshot:

    • Average Loan portfolio continues to grow:
      • On average, total loans were up $127.0 million or 2.6% for the third quarter 2024 compared to the third quarter 2023
    • Continued solid financial results:
      • Key metrics for third quarter 2024:
        • Net income of $12.9 million versus $12.6 million for the second quarter 2024
        • Net interest income of $38.7 million, up from $37.8 million compared to the second quarter of 2024
        • Return on average equity (ROAE) of 7.74% versus 7.76% for the second quarter 2024
    • Capital continues to grow:
      • Consolidated equity to assets increased 6.2% to 10.95% as of September 30, 2024 from 10.31% as of September 30, 2023
      • Book value per share as of September 30, 2024 was $35.19, up from $34.46 compared to June 30, 2024

    GLENVILLE, N.Y., Oct. 21, 2024 (GLOBE NEWSWIRE) —

    TrustCo Bank Corp NY (TrustCo, NASDAQ: TRST) today announced third quarter 2024 net income of $12.9 million or $0.68 diluted earnings per share, compared to net income of $14.7 million or $0.77 diluted earnings per share for the third quarter 2023; and net income of $37.6 million or $1.97 diluted earnings per share for the nine months ended September 30, 2024, compared to net income of $48.9 million or $2.57 diluted earnings per share for the nine months ended September 30, 2023. Average loans increased $127.0 million or 2.6% for the third quarter 2024 over the same period in 2023.   TrustCo was able to increase the balances of home equity lines of credit (HECLs) outstanding through an aggressive campaign to encourage existing customers to utilize their HECLs in place of the higher rates on other products.  The objective was to meet customer needs and encourage increased utilization through existing HECLs.

    Overview

    Chairman, President, and CEO, Robert J. McCormick said “Hard, consistent work on the fundamentals of banking once again have served the Trustco Bank team well and enabled us to post strong results under challenging circumstances. Our bankers posted one modest success after another – which accumulated into solid performance. We continued to hold the line on demand accounts and capitalized on strong customer relationships which enabled us to direct the flow into competitively-priced CDs, rather than to non-bank investment products. Not having to purchase expensive deposits or pay excessive rates, helped keep interest expense down, contributing to increased net interest income. We have continued to sell home equity products at favorable rates where origination of purchase mortgages lagged due to lack of sales volume. We booked these new loans at higher interest rates, also boosting net interest margin. Once again, loans reached a new all-time high. All of these efforts by our team resulted in net income of $12.9 million for the quarter.”

    Details

    Average loans were up $127.0 million or 2.6% in the third quarter 2024 over the same period in 2023. Average residential loans and home equity lines of credit, our primary lending focus, were up $50.4 million, or 1.2%, and $60.0 million, or 18.7%, respectively, in the third quarter 2024 over the same period in 2023. Average commercial loans also increased $18.1 million, or 6.9%, in the third quarter 2024 over the same period in 2023. Average deposits were up $15.3 million, or 0.3% for the third quarter 2024 over the same period in 2023. We believe the increase in time deposits compared to the prior year continues to reflect the desire of customers to have additional funds in the safety and security offered by TrustCo’s long history of conservative banking, while earning a competitive interest rate. As we move forward, the objective is to encourage customers to retain these additional funds in the expanded product offerings of Trustco Bank (the “Bank”) through aggressive marketing and product differentiation.

    Net interest income was $38.7 million for the third quarter 2024, an increase of $883 thousand, or 2.3%, compared to the prior quarter, driven by loan growth at higher interest rates and lower cost of deposits, partially offset by lower investment earnings and a decrease in interest on federal funds sold and other short-term investments. The net interest margin for the third quarter 2024 was 2.61%, up 8 basis points from 2.53% in the second quarter of 2024. The yield on interest earnings assets increased to 4.11%, up 5 basis points from 4.06% in the second quarter of 2024. The cost of interest bearing liabilities decreased to 1.94% in the third quarter 2024 from 1.97% in the second quarter 2024. The Bank has seen success in retaining deposits while lowering the rates on time deposits, and still being competitive in the markets it serves. The Federal Reserve’s decision regarding whether to cut or hold rates in upcoming meetings will have an effect on the Bank’s ability to continue to manage deposit costs. Further reductions should help margin expansion in future quarters. Non-interest expense decreased $259 thousand over the prior quarter as a result of the Bank’s ongoing efforts to control expenses.

    Asset quality remains strong and has been consistent over the past twelve months. The Company recorded a provision for credit losses of $500 thousand in the third quarter of 2024, which is the result of a provision for credit losses on loans of $400 thousand, and provision for credit losses on unfunded commitments of $100 thousand. The ratio of allowance for credit losses on loans to total loans was 0.99% and 0.95% as of September 30, 2024 and 2023, respectively. The allowance for credit losses on loans was $50.0 million at September 30, 2024, compared to $47.2 million at September 30, 2023. Nonperforming loans (NPLs) were $19.4 million at September 30, 2024, compared to $17.9 million at September 30, 2023. NPLs were 0.38% and 0.36% of total loans at September 30, 2024 and 2023, respectively. The coverage ratio, or allowance for credit losses on loans to NPLs, was 256.9% at September 30, 2024, compared to 264.2% at September 30, 2023. Nonperforming assets (NPAs) were $21.9 million at September 30, 2024, compared to $19.1 million at September 30, 2023.  

    At September 30, 2024, our equity to asset ratio was 10.95%, compared to 10.31% at September 30, 2023. Book value per share at September 30, 2024 was $35.19, up 7.3% compared to $32.80 a year earlier.

    A conference call to discuss third quarter 2024 results will be held at 9:00 a.m. Eastern Time on October 22, 2024. Those wishing to participate in the call may dial toll-free for the United States at 1-833-470-1428, and for Canada at 1-833-950-0062, Access code 034120. A replay of the call will be available for thirty days by dialing toll-free for the United States at 1-866-813-9403, Access code 285814.   The call will also be audio webcast at https://events.q4inc.com/attendee/854762065, and will be available for one year.

    About TrustCo Bank Corp NY

    TrustCo Bank Corp NY is a $6.1 billion savings and loan holding company and through its subsidiary, Trustco Bank, operated 138 offices in New York, New Jersey, Vermont, Massachusetts, and Florida at September 30, 2024.

    In addition, the Bank’s Wealth Management Department offers a full range of investment services, retirement planning and trust and estate administration services. The common shares of TrustCo are traded on the NASDAQ Global Select Market under the symbol TRST.

    Forward-Looking Statements

    All statements in this news release that are not historical are forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as “anticipate,” “intend,” “plan,” “goal,” “seek,” “believe,” “project,” “estimate,” “expect,” “strategy,” “future,” “likely,” “may,” “should,” “will” and similar references to future development, results or periods. Examples of forward-looking statements include, among others, statements we make regarding our expectations for our future performance, including our expectations regarding the effects of the economic environment on our financial results, our ability to retain customers and the amount of customers’ business, including deposit balances, with us, the impact of the Federal Reserve’s actions regarding interest rates, and the growth of loans and deposits throughout our branch network. Forward-looking statements are based on management’s current expectations as well as certain assumptions and estimates made by, and information available to, management at the time the statements are made. Such forward-looking statements are subject to factors and uncertainties that could cause actual results to differ materially for TrustCo from the views, beliefs and projections expressed in such statements, and many of the risks and uncertainties are heightened by or may, in the future, be heightened by volatility in financial markets and macroeconomic or geopolitical concerns related to inflation, continued elevated interest rates and ongoing armed conflicts (including the Russia/Ukraine conflict and the conflict in Israel and surrounding areas). TrustCo wishes to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. The following important factors, among others, in some cases have affected and in the future could affect TrustCo’s actual results and could cause TrustCo’s actual financial performance to differ materially from that expressed in any forward-looking statement: future changes in interest rates; ongoing inflationary pressures and continued elevated prices; exposure to credit risk in our lending activities; our increasing commercial loan portfolio; the sufficiency of our allowance for credit losses on loans to cover actual loan losses; our ability to meet the cash flow requirements of our depositors or borrowers or meet our operating cash needs to fund corporate expansion and other activities; claims and litigation pertaining to fiduciary responsibility and lender liability; our dependency upon the services of the management team; our disclosure controls and procedures’ ability to prevent or detect errors or acts of fraud; the adequacy of our business continuity and disaster recovery plans; the effectiveness of our risk management framework; the impact of any expansion by us into new lines of business or new products and services; the impact of severe weather events and climate change on us and the communities we serve, including societal responses to climate change; increasing scrutiny and evolving expectations from customers, regulators, investors, and other stakeholders with respect to our environmental, social and governance practices; the chance of a prolonged economic downturn, especially one affecting our geographic market area; instability in global economic conditions and geopolitical matters, as well as volatility in financial markets; the soundness of other financial institutions; U.S. government shutdowns, credit rating downgrades, or failure to increase the debt ceiling; fluctuations in the trust wealth management fees we receive as a result of investment performance; the impact of regulatory capital rules on our growth; changes in laws and regulations, including changes in cybersecurity or privacy regulations; restrictions on data collection and use; our compliance with the USA PATRIOT Act, Bank Secrecy Act, and other laws and regulations that could result in material fines or sanctions; changes in tax laws; limitations on our ability to pay dividends; TrustCo Realty Corp.’s ability to qualify as a real estate investment trust; changes in accounting standards; competition within our market areas; consumers and businesses’ use of non-banks to complete financial transactions; our reliance on third-party service providers; the impact of data breaches and cyber-attacks; the impact of a failure in or breach of our operational or security systems or infrastructure, or those of third parties; the impact of an unauthorized disclosure of sensitive or confidential client or customer information; the impact of interruptions in the effective operation of our computer systems; the impact of anti-takeover provisions in our organizational documents; the impact of the manner in which we allocate capital; and other risks and uncertainties under the heading “Risk Factors” in our most recent annual report on Form 10-K and, if any, in our subsequent quarterly reports on Form 10-Q or other securities filings. The forward-looking statements contained in this news release represent TrustCo management’s judgment as of the date of this news release. TrustCo disclaims, however, any intent or obligation to update forward-looking statements, either as a result of future developments, new information or otherwise, except as may be required by law.

     
    TRUSTCO BANK CORP NY
    GLENVILLE, NY
             
    FINANCIAL HIGHLIGHTS
             
    (dollars in thousands, except per share data)
    (Unaudited)
        Three months ended        
        9/30/2024   6/30/2024   9/30/2023        
    Summary of operations                    
    Net interest income   $ 38,671     $ 37,788     $ 42,221              
    Provision for credit losses     500       500       100          
    Net gains on equity securities     23       1,360                
    Noninterest income, excluding net gains on equity securities     4,908       4,291       4,574          
    Noninterest expense     26,200       26,459       27,460          
    Net income     12,875       12,551       14,680          
                         
    Per share                    
    Net income per share:                    
    – Basic   $ 0.68     $ 0.66     $ 0.77          
    – Diluted     0.68       0.66       0.77          
    Cash dividends     0.36       0.36       0.36          
    Book value at period end     35.19       34.46       32.80              
    Market price at period end     33.07       28.77       27.29          
                         
    At period end                    
    Full time equivalent employees     735       753       764          
    Full service banking offices     138       138       143          
                         
    Performance ratios                    
    Return on average assets     0.84   %   0.82   %   0.96   %      
    Return on average equity     7.74       7.76       9.32          
    Efficiency ratio (1)     59.65       62.84       58.33          
    Net interest spread     2.17       2.09       2.55          
    Net interest margin     2.61       2.53       2.85          
    Dividend payout ratio     53.16       54.57       46.65              
                             
    Capital ratios at period end                        
    Consolidated equity to assets     10.95   %   10.73   %   10.31   %          
    Consolidated tangible equity to tangible assets (2)     10.94   %   10.72   %   10.30   %      
                         
    Asset quality analysis at period end                    
    Nonperforming loans to total loans     0.38   %   0.38   %   0.36   %      
    Nonperforming assets to total assets     0.36       0.35       0.31          
    Allowance for credit losses on loans to total loans     0.99       0.99       0.95          
    Coverage ratio (3)   2.6x   2.6x   2.6x        
                         
                         
    (1) Non-GAAP measure; calculated as noninterest expense (excluding ORE expense) divided by taxable equivalent net interest income plus noninterest income (excluding net gains on equity securities).
    See Non-GAAP Financial Measures Reconciliation.
    (2) Non-GAAP measure; calculated as total shareholders’ equity less $553 of intangible assets divided by total assets less $553 of intangible assets. See Non-GAAP Financial Measures Reconciliation.
    (3) Calculated as allowance for credit losses on loans divided by total nonperforming loans.
                         
                         
    FINANCIAL HIGHLIGHTS, Continued
               
    (dollars in thousands, except per share data)
    (Unaudited)
        Nine Months Ended            
        09/30/24   09/30/23            
    Summary of operations                    
    Net interest income $   113,037       133,238              
    Provision (Credit) for credit losses     1,600       (100 )            
    Net gains on equity securities     1,383                    
    Noninterest income, excluding net gains on equity securities     14,042       13,841              
    Noninterest expense     77,562       82,466              
    Net income     37,552       48,798              
                         
    Per share                    
    Net income per share:                    
    – Basic $   1.97       2.57              
    – Diluted     1.97       2.57              
    Cash dividends     1.08       1.08              
    Book value at period end     35.19       32.80              
    Market price at period end     33.07       27.29              
                         
    Performance ratios                    
    Return on average assets     0.82   %   1.08              
    Return on average equity     7.68       10.57                  
    Efficiency ratio (1)     60.80       55.70                  
    Net interest spread     2.08       2.78                  
    Net interest margin     2.52       3.01            
    Dividend payout ratio     54.70       42.11                  
                             
    (1) Non-GAAP measure; calculated as noninterest expense (excluding ORE expense) divided by taxable equivalent net interest income plus noninterest income (excluding net gains on equity securities).
    See Non-GAAP Financial Measures Reconciliation.
                         
                         
    CONSOLIDATED STATEMENTS OF INCOME
                         
    (dollars in thousands, except per share data)
    (Unaudited)
        Three months ended
        9/30/2024   6/30/2024   3/31/2024   12/31/2023   9/30/2023
    Interest and dividend income:                    
    Interest and fees on loans   $ 52,112     $ 50,660     $ 49,804     $ 49,201     $ 47,921  
    Interest and dividends on securities available for sale:                    
    U. S. government sponsored enterprises     718       909       906       750       672  
    State and political subdivisions           1             1        
    Mortgage-backed securities and collateralized mortgage                    
    obligations – residential     1,397       1,451       1,494       1,533       1,485  
    Corporate bonds     361       362       476       477       473  
    Small Business Administration – guaranteed                    
    participation securities     90       94       100       102       107  
    Other securities     2       2       3       3       2  
    Total interest and dividends on securities available for sale     2,568       2,819       2,979       2,866       2,739  
                         
    Interest on held to maturity securities:                    
    Mortgage-backed securities and collateralized mortgage                    
    obligations – residential     62       65       68       70       73  
    Total interest on held to maturity securities     62       65       68       70       73  
                         
    Federal Home Loan Bank stock     153       147       152       149       131  
                         
    Interest on federal funds sold and other short-term investments     6,174       6,894       6,750       6,354       6,688  
    Total interest income     61,069       60,585       59,753       58,640       57,552  
                         
    Interest expense:                    
    Interest on deposits:                    
    Interest-bearing checking     311       288       240       165       102  
    Savings     770       675       712       707       639  
    Money market deposit accounts     2,154       2,228       2,342       2,500       2,384  
    Time deposits     18,969       19,400       19,677       16,460       11,962  
    Interest on short-term borrowings     194       206       204       201       244  
    Total interest expense     22,398       22,797       23,175       20,033       15,331  
                         
    Net interest income     38,671       37,788       36,578       38,607       42,221  
                         
    Less: Provision for credit losses     500       500       600       1,350       100  
    Net interest income after provision for credit losses     38,171       37,288       35,978       37,257       42,121  
                         
    Noninterest income:                    
    Trustco Financial Services income     2,044       1,609       1,816       1,612       1,627  
    Fees for services to customers     2,482       2,399       2,745       2,563       2,590  
    Net gains on equity securities     23       1,360                    
    Other     382       283       282       299       357  
    Total noninterest income     4,931       5,651       4,843       4,474       4,574  
                         
    Noninterest expenses:                    
    Salaries and employee benefits     12,134       12,520       11,427       12,444       12,393  
    Net occupancy expense     4,271       4,375       4,611       4,209       4,358  
    Equipment expense     1,757       1,990       1,738       1,852       1,923  
    Professional services     1,863       1,570       1,460       1,561       1,717  
    Outsourced services     2,551       2,755       2,501       2,532       2,720  
    Advertising expense     339       466       408       384       586  
    FDIC and other insurance     1,112       797       1,094       1,085       1,078  
    Other real estate expense (income), net     204       16       74       (12 )     163  
    Other     1,969       1,970       1,590       4,776       2,522  
    Total noninterest expenses     26,200       26,459       24,903       28,831       27,460  
                         
    Income before taxes     16,902       16,480       15,918       12,900       19,235  
    Income taxes     4,027       3,929       3,792       3,052       4,555  
                         
    Net income   $ 12,875     $ 12,551     $ 12,126     $ 9,848     $ 14,680  
                         
    Net income per common share:                    
    – Basic   $ 0.68     $ 0.66     $ 0.64     $ 0.52     $ 0.77  
                         
    – Diluted     0.68       0.66       0.64       0.52       0.77  
                         
    Average basic shares (in thousands)     19,010       19,022       19,024       19,024       19,024  
    Average diluted shares (in thousands)     19,036       19,033       19,032       19,026       19,024  
                         
                         
                         
    CONSOLIDATED STATEMENTS OF INCOME, Continued
               
    (dollars in thousands, except per share data)
    (Unaudited)
        Nine Months Ended            
        09/30/24   09/30/23            
    Interest and dividend income:                        
    Interest and fees on loans $   152,576       138,255                  
    Interest and dividends on securities available for sale:                        
    U. S. government sponsored enterprises     2,533       2,055                  
    State and political subdivisions     1       1                  
    Mortgage-backed securities and collateralized mortgage                        
    obligations – residential     4,342       4,613                  
    Corporate bonds     1,199       1,510                  
    Small Business Administration – guaranteed                        
    participation securities     284       335                  
    Other securities     7       7                  
    Total interest and dividends on securities available for sale     8,366       8,521                  
                         
    Interest on held to maturity securities:                    
    Mortgage-backed securities-residential     195       226                  
    Total interest on held to maturity securities     195       226                  
                         
    Federal Home Loan Bank stock     452       351                  
                         
    Interest on federal funds sold and other short-term investments     19,818       20,213                  
    Total interest income     181,407       167,566                  
                         
    Interest expense:                    
    Interest on deposits:                    
    Interest-bearing checking     839       217                  
    Savings     2,157       1,824                  
    Money market deposit accounts     6,724       4,954                  
    Time deposits     58,046       26,525                  
    Interest on short-term borrowings     604       808                  
    Total interest expense     68,370       34,328                  
                         
    Net interest income     113,037       133,238                  
                         
    Less: Provision (Credit) for credit losses     1,600       (100 )                
    Net interest income after provision (credit) for credit losses     111,437       133,338                  
                         
    Noninterest income:                    
    Trustco Financial Services income     5,469       4,813                  
    Fees for services to customers     7,626       8,085                  
    Net gains on equity securities     1,383                        
    Other     947       943                  
    Total noninterest income     15,425       13,841                  
                         
    Noninterest expenses:                    
    Salaries and employee benefits     36,081       38,798                  
    Net occupancy expense     13,257       13,218                  
    Equipment expense     5,485       5,758                  
    Professional services     4,893       4,684                  
    Outsourced services     7,807       7,507                  
    Advertising expense     1,213       1,494                  
    FDIC and other insurance     3,003       3,215                  
    Other real estate expense, net     294       536                  
    Other     5,529       7,256                  
    Total noninterest expenses     77,562       82,466                  
                         
    Income before taxes     49,300       64,713                  
    Income taxes     11,748       15,915                  
                         
    Net income $   37,552       48,798                      
                             
    Net income per common share:                    
    – Basic $   1.97       2.57              
                         
    – Diluted     1.97       2.57              
                         
    Average basic shares (in thousands)     19,019       19,024              
    Average diluted shares (in thousands)     19,034       19,024              
                         
                         
                         
                         
    CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
     
    (dollars in thousands)
    (Unaudited)
        9/30/2024   6/30/2024   3/31/2024   12/31/2023   9/30/2023
    ASSETS:                    
                         
    Cash and due from banks   $ 49,659     $ 42,193     $ 44,868     $ 49,274     $ 45,940  
    Federal funds sold and other short term investments     473,306       493,920       564,815       528,730       461,321  
    Total cash and cash equivalents     522,965       536,113       609,683       578,004       507,261  
                       
    Securities available for sale:                  
    U. S. government sponsored enterprises     90,588       106,796       128,854       118,668       121,474  
    States and political subdivisions     26       26       26       26       34  
    Mortgage-backed securities and collateralized mortgage                  
    obligations – residential     222,841       218,311       227,078       237,677       233,719  
    Small Business Administration – guaranteed                    
    participation securities     15,171       15,592       16,260       17,186       17,316  
    Corporate bonds     54,327       53,764       53,341       78,052       76,935  
    Other securities     701       688       682       680       657  
    Total securities available for sale     383,654       395,177       426,241       452,289       450,135  
                         
    Held to maturity securities:                    
    Mortgage-backed securities and collateralized mortgage                    
    obligations-residential     5,636       5,921       6,206       6,458       6,724  
    Total held to maturity securities     5,636       5,921       6,206       6,458       6,724  
                         
    Federal Reserve Bank and Federal Home Loan Bank stock     6,507       6,507       6,203       6,203       6,203  
                       
    Loans:                  
    Commercial     280,261       282,441       279,092       273,515       268,642  
    Residential mortgage loans     4,382,674       4,370,640       4,354,369       4,365,063       4,343,006  
    Home equity line of credit     393,418       370,063       355,879       347,415       332,028  
    Installment loans     14,503       15,168       16,166       16,886       16,605  
    Loans, net of deferred net costs     5,070,856       5,038,312       5,005,506       5,002,879       4,960,281  
                       
    Less: Allowance for credit losses on loans     49,950       49,772       49,220       48,578       47,226  
    Net loans     5,020,906       4,988,540       4,956,286       4,954,301       4,913,055  
                         
    Bank premises and equipment, net     33,324       33,466       33,423       34,007       32,135  
    Operating lease right-of-use assets     37,958       38,376       39,647       40,542       41,475  
    Other assets     98,730       102,544       101,881       96,387       97,310  
                       
    Total assets   $ 6,109,680     $ 6,106,644     $ 6,179,570     $ 6,168,191     $ 6,054,298  
                       
    LIABILITIES:                  
    Deposits:                  
    Demand   $ 753,878     $ 745,227     $ 742,997     $ 754,532     $ 773,293  
    Interest-bearing checking     988,527       1,029,606       1,020,136       1,015,213       1,033,898  
    Savings accounts     1,092,038       1,144,427       1,155,517       1,179,241       1,235,658  
    Money market deposit accounts     477,113       517,445       532,611       565,767       610,012  
    Time deposits     1,952,635       1,840,262       1,903,908       1,836,024       1,581,504  
    Total deposits     5,264,191       5,276,967       5,355,169       5,350,777       5,234,365  
                       
    Short-term borrowings     91,450       89,720       94,374       88,990       103,110  
    Operating lease liabilities     41,469       42,026       43,438       44,471       45,418  
    Accrued expenses and other liabilities     43,549       42,763       37,399       38,668       47,479  
                       
    Total liabilities     5,440,659       5,451,476       5,530,380       5,522,906       5,430,372  
                       
    SHAREHOLDERS’ EQUITY:                  
    Capital stock     20,058       20,058       20,058       20,058       20,058  
    Surplus     257,644       257,490       257,335       257,181       257,078  
    Undivided profits     442,079       436,048       430,346       425,069       422,082  
    Accumulated other comprehensive loss, net of tax     (6,600 )     (14,268 )     (14,763 )     (13,237 )     (31,506 )
    Treasury stock at cost     (44,160 )     (44,160 )     (43,786 )     (43,786 )     (43,786 )
                       
    Total shareholders’ equity     669,021       655,168       649,190       645,285       623,926  
                         
    Total liabilities and shareholders’ equity   $ 6,109,680     $ 6,106,644     $ 6,179,570     $ 6,168,191     $ 6,054,298  
                         
    Outstanding shares (in thousands)     19,010       19,010       19,024       19,024       19,024  
                         
     
    NONPERFORMING ASSETS
                 
    (dollars in thousands)
    (Unaudited)
        9/30/2024 6/30/2024 3/31/2024 12/31/2023 9/30/2023
    Nonperforming Assets            
                 
    New York and other states*            
    Loans in nonaccrual status:            
    Commercial   $ 466   $ 741   $ 532   $ 536   $ 540  
    Real estate mortgage – 1 to 4 family     15,320     14,992     14,359     14,375     14,633  
    Installment     163     131     149     151     93  
    Total non-accrual loans     15,949     15,864     15,040     15,062     15,266  
    Other nonperforming real estate mortgages – 1 to 4 family                 3     5  
    Total nonperforming loans     15,949     15,864     15,040     15,065     15,271  
    Other real estate owned     2,503     2,334     2,334     194     1,185  
    Total nonperforming assets   $ 18,452   $ 18,198   $ 17,374   $ 15,259   $ 16,456  
                 
    Florida            
    Loans in nonaccrual status:            
    Commercial   $ 314   $ 314   $ 314   $ 314   $ 314  
    Real estate mortgage – 1 to 4 family     3,176     2,985     2,921     2,272     2,228  
    Installment     5     22         15     65  
    Total non-accrual loans     3,495     3,321     3,235     2,601     2,607  
    Other nonperforming real estate mortgages – 1 to 4 family                      
    Total nonperforming loans     3,495     3,321     3,235     2,601     2,607  
    Other real estate owned                      
    Total nonperforming assets   $ 3,495   $ 3,321   $ 3,235   $ 2,601   $ 2,607  
                 
    Total            
    Loans in nonaccrual status:            
    Commercial   $ 780   $ 1,055   $ 846   $ 850   $ 854  
    Real estate mortgage – 1 to 4 family     18,496     17,977     17,280     16,647     16,861  
    Installment     168     153     149     166     158  
    Total non-accrual loans     19,444     19,185     18,275     17,663     17,873  
    Other nonperforming real estate mortgages – 1 to 4 family                 3     5  
    Total nonperforming loans     19,444     19,185     18,275     17,666     17,878  
    Other real estate owned     2,503     2,334     2,334     194     1,185  
    Total nonperforming assets   $ 21,947   $ 21,519   $ 20,609   $ 17,860   $ 19,063  
                 
                 
    Quarterly Net (Recoveries) Chargeoffs            
                 
    New York and other states*            
    Commercial   $ 65   $   $   $   $  
    Real estate mortgage – 1 to 4 family     104     (74 )   (78 )   219     (26 )
    Installment     11     (2 )   36     23     14  
    Total net (recoveries) chargeoffs   $ 180   $ (76 ) $ (42 ) $ 242   $ (12 )
                 
    Florida            
    Commercial   $   $   $   $   $  
    Real estate mortgage – 1 to 4 family         17              
    Installment     42     7         6      
    Total net (recoveries) chargeoffs   $ 42   $ 24   $   $ 6   $  
                 
    Total            
    Commercial   $ 65   $   $   $   $  
    Real estate mortgage – 1 to 4 family     104     (57 )   (78 )   219     (26 )
    Installment     53     5     36     29     14  
    Total net (recoveries) chargeoffs   $ 222   $ (52 ) $ (42 ) $ 248   $ (12 )
                 
                 
    Asset Quality Ratios            
                 
    Total nonperforming loans (1)   $ 19,444   $ 19,185   $ 18,275   $ 17,666   $ 17,878  
    Total nonperforming assets (1)     21,947     21,519     20,609     17,860     19,063  
    Total net (recoveries) chargeoffs (2)     222     (52 )   (42 )   248     (12 )
                 
    Allowance for credit losses on loans (1)     49,950     49,772     49,220     48,578     47,226  
                 
    Nonperforming loans to total loans     0.38 %   0.38 %   0.37 %   0.35 %   0.36 %
    Nonperforming assets to total assets     0.36 %   0.35 %   0.33 %   0.29 %   0.31 %
    Allowance for credit losses on loans to total loans     0.99 %   0.99 %   0.98 %   0.97 %   0.95 %
    Coverage ratio (1)     256.9 %   259.4 %   269.3 %   275.0 %   264.2 %
    Annualized net (recoveries) chargeoffs to average loans (2)     0.02 %   0.00 %   0.00 %   0.02 %   0.00 %
    Allowance for credit losses on loans to annualized net chargeoffs (2)   56.3x N/A N/A 49.0x N/A
     
    * Includes New York, New Jersey, Vermont and Massachusetts.
    (1) At period-end
    (2) For the three-month period ended
                 
     
    DISTRIBUTION OF ASSETS, LIABILITIES AND SHAREHOLDERS’ EQUITY –
    INTEREST RATES AND INTEREST DIFFERENTIAL
     
    (dollars in thousands)                        
    (Unaudited)   Three months ended     Three months ended  
        September 30, 2024     September 30, 2023  
        Average   Interest Average     Average   Interest Average  
        Balance     Rate     Balance     Rate  
    Assets                        
                             
    Securities available for sale:                        
    U. S. government sponsored enterprises   $ 95,073     $ 718 3.02 %   $ 119,406     $ 672 2.25 %
    Mortgage backed securities and collateralized mortgage                        
    obligations – residential     241,792       1,397 2.29       269,535       1,485 2.19  
    State and political subdivisions     26       6.75       34       6.74  
    Corporate bonds     55,041       361 2.63       80,331       473 2.36  
    Small Business Administration – guaranteed                        
    participation securities     16,663       90 2.15       19,801       107 2.15  
    Other     701       2 1.14       686       2 1.17  
                             
    Total securities available for sale     409,296       2,568 2.51       489,793       2,739 2.24  
                             
    Federal funds sold and other short-term Investments     465,922       6,174 5.27       494,597       6,688 5.37  
                             
    Held to maturity securities:                        
    Mortgage backed securities and collateralized mortgage                        
    obligations – residential     5,779       62 4.29       6,877       73 4.22  
                             
    Total held to maturity securities     5,779       62 4.29       6,877       73 4.22  
                             
    Federal Home Loan Bank stock     6,507       153 9.41       6,203       131 8.45  
                             
    Commercial loans     279,199       3,807 5.45       261,061       3,398 5.21  
    Residential mortgage loans     4,375,641       41,811 3.82       4,325,219       39,321 3.64  
    Home equity lines of credit     380,422       6,245 6.53       320,446       4,946 6.12  
    Installment loans     14,443       249 6.87       15,959       256 6.37  
                             
    Loans, net of unearned income     5,049,705       52,112 4.12       4,922,685       47,921 3.89  
                             
    Total interest earning assets     5,937,209     $ 61,069 4.11       5,920,155     $ 57,552 3.88  
                             
    Allowance for credit losses on loans     (49,973 )             (47,077 )        
    Cash & non-interest earning assets     187,166               172,523          
                             
                             
    Total assets   $ 6,074,402             $ 6,045,601          
                             
                             
    Liabilities and shareholders’ equity                        
                             
    Deposits:                        
    Interest bearing checking accounts   $ 1,000,333     $ 311 0.12 %   $ 1,050,313     $ 102 0.04 %
    Money market accounts     499,408       2,154 1.72       625,031       2,384 1.51  
    Savings     1,122,673       770 0.27       1,282,641       639 0.20  
    Time deposits     1,880,021       18,969 4.01       1,494,402       11,962 3.18  
                             
    Total interest bearing deposits     4,502,435       22,204 1.96       4,452,387       15,087 1.34  
    Short-term borrowings     87,677       194 0.88       110,018       244 0.88  
                             
    Total interest bearing liabilities     4,590,112     $ 22,398 1.94       4,562,405     $ 15,331 1.33  
                             
    Demand deposits     742,164               776,885          
    Other liabilities     80,502               81,411          
    Shareholders’ equity     661,624               624,900          
                             
    Total liabilities and shareholders’ equity   $ 6,074,402             $ 6,045,601          
                             
    Net interest income, GAAP and non-GAAP tax equivalent (1)       $ 38,671           $ 42,221    
                             
    Net interest spread, GAAP and non-GAAP tax equivalent (1)         2.17 %         2.55 %
                             
                             
    Net interest margin (net interest income to                        
    total interest earning assets), GAAP and non-GAAP tax equivalent (1)       2.61 %         2.85 %
                             
    Tax equivalent adjustment (1)                        
                             
                             
    Net interest income       $ 38,671           $ 42,221    
                             
    (1) Tax equivalent adjustment to a measure results in a non-GAAP financial measure. See Non-GAAP Financial Measures Reconciliation.
                             
                             
                             
    DISTRIBUTION OF ASSETS, LIABILITIES AND SHAREHOLDERS’ EQUITY –
    INTEREST RATES AND INTEREST DIFFERENTIAL, Continued
                             
    (dollars in thousands)                        
    (Unaudited)   Nine Months Ended     Nine Months Ended  
        September 30, 2024     September 30, 2023  
        Average   Interest Average     Average   Interest Average  
        Balance     Rate     Balance     Rate  
    Assets                        
                             
    Securities available for sale:                        
    U. S. government sponsored enterprises $   111,570       2,533 3.03 % $   120,243       2,055 2.28 %
    Mortgage backed securities and collateralized mortgage                        
    obligations – residential     250,343       4,342 2.31       278,252       4,613 2.21  
    State and political subdivisions     26       1 6.80       34       1 6.74  
    Corporate bonds     61,221       1,199 2.61       83,732       1,510 2.41  
    Small Business Administration – guaranteed                        
    participation securities     17,438       284 2.17       20,876       335 2.14  
    Other     697       7 1.34       686       7 1.02  
                             
    Total securities available for sale     441,295       8,366 2.53       503,823       8,521 1.69  
                             
    Federal funds sold and other short-term Investments     489,934       19,818 5.40       540,570       20,213 5.00  
                             
    Held to maturity securities:                        
    Mortgage backed securities and collateralized mortgage                        
    obligations – residential     6,053       195 4.29       7,205       226 4.18  
                             
    Total held to maturity securities     6,053       195 4.29       7,205       226 4.18  
                             
    Federal Home Loan Bank stock     6,350       452 9.49       5,957       351 5.89  
                             
    Commercial loans     278,981       11,232 5.37       249,738       9,716 5.19  
    Residential mortgage loans     4,364,821       123,046 3.76       4,269,494       114,227 3.57  
    Home equity lines of credit     365,932       17,522 6.40       305,075       13,598 5.96  
    Installment loans     15,319       776 6.76       15,015       714 6.35  
                             
    Loans, net of unearned income     5,025,053       152,576 4.05       4,839,322       138,255 3.81  
                             
    Total interest earning assets     5,968,685       181,407 4.05       5,896,877       167,566 3.79  
                             
    Allowance for credit losses on loans     (49,419 )             (46,812 )        
    Cash & non-interest earning assets     187,963               173,521          
                             
                             
    Total assets $   6,107,229           $   6,023,586          
                             
                             
    Liabilities and shareholders’ equity                        
                             
    Deposits:                        
    Interest bearing checking accounts $   999,839       839 0.11 % $   1,088,859       217 0.03 %
    Money market accounts     522,636       6,724 1.72       613,119       4,954 1.08  
    Savings     1,142,313       2,157 0.25       1,363,052       1,824 0.18  
    Time deposits     1,881,027       58,046 4.12       1,343,762       26,525 2.64  
                             
    Total interest bearing deposits     4,545,815       67,766 1.99       4,408,792       33,520 1.02  
    Short-term borrowings     91,551       604 0.88       121,911       808 0.89  
                             
    Total interest bearing liabilities     4,637,366       68,370 1.97       4,530,703       34,328 1.01  
                             
    Demand deposits     734,604               793,890          
    Other liabilities     82,233               81,771          
    Shareholders’ equity     653,026               617,224          
                             
    Total liabilities and shareholders’ equity $   6,107,229           $   6,023,588          
                             
    Net interest income, GAAP and non-GAAP tax equivalent (1)         113,037             133,238    
                             
    Net interest spread, GAAP and non-GAAP tax equivalent (1)         2.08 %         2.78 %
                             
                             
    Net interest margin (net interest income to                        
    total interest earning assets), GAAP and non-GAAP tax equivalent (1)       2.52 %         3.01 %
                             
    Tax equivalent adjustment (1)                        
                             
                             
    Net interest income         113,037             133,238    
                             
    (1) Tax equivalent adjustment to a measure results in a non-GAAP financial measure. See Non-GAAP Financial Measures Reconciliation.
                             

    Non-GAAP Financial Measures Reconciliation

    Tangible book value per share is a non-GAAP financial measure derived from GAAP-based amounts. We calculate tangible book value by excluding the balance of intangible assets from total shareholders’ equity divided by shares outstanding. We believe that this is consistent with the treatment by bank regulatory agencies, which exclude intangible assets from the calculation of risk-based capital ratios. Additionally, we believe that this measure is important to many investors in the marketplace who are interested in relative changes from period to period in equity exclusive of changes in intangible assets.

    Tangible equity as a percentage of tangible assets at period end is a non-GAAP financial measure derived from GAAP-based amounts. We calculate tangible equity and tangible assets by excluding the balance of intangible assets from total shareholders’ equity and total assets, respectively. We calculate tangible equity as a percentage of tangible assets at period end by dividing tangible equity by tangible assets at period end. We believe that this is consistent with the treatment by bank regulatory agencies, which exclude intangible assets from the calculation of risk-based capital ratios. Additionally, we believe that this measure is important to many investors in the marketplace who are interested in relative changes from period to period in equity and total assets, each exclusive of changes in intangible assets.

    Net interest income is commonly presented on a taxable equivalent basis. That is, to the extent that some component of the institution’s net interest income will be exempt from taxation (e.g., was received by the institution as a result of its holdings of state or municipal obligations), an amount equal to the tax benefit derived from that component is added back to the net interest income total. Management considers this adjustment helpful to investors in comparing one financial institution’s net interest income (pre- tax) to that of another institution, as each will have a different proportion of tax-exempt items in their portfolios. Moreover, net interest income is itself a component of another financial measure commonly used by financial institutions, net interest margin, which is the ratio of net interest income to average interest earning assets. Additionally, management and many financial institutions also present net interest spread, which is the average yield on interest earning assets minus the average rate paid on interest bearing liabilities. For purposes of these measures as well, taxable equivalent net interest income is generally used by financial institutions, again to provide investors with a better basis of comparison from institution to institution. We calculate taxable equivalent net interest margin by dividing net interest income, adjusted to include the benefit of non-taxable interest income, by average interest earning assets. We calculate taxable equivalent net interest spread as the difference between average yield on interest earning assets, adjusted to include the benefit of non-taxable interest income, and the average rate paid on interest bearing liabilities.

    The efficiency ratio is a non-GAAP measure of expense control relative to revenue from net interest income and non-interest fee income. We calculate the efficiency ratio by dividing total noninterest expenses as determined under GAAP, excluding other real estate expense, net, by net interest income (fully taxable equivalent) and total noninterest income as determined under GAAP, excluding net gains on equity securities. We believe that this provides a reasonable measure of primary banking expenses relative to primary banking revenue. Additionally, we believe this measure is important to investors looking for a measure of efficiency in our productivity measured by the amount of revenue generated for each dollar spent.

    We believe that these non-GAAP financial measures provide information that is important to investors and that is useful in understanding our financial results. Our management internally assesses our performance based, in part, on these measures. However, these non-GAAP financial measures are supplemental and not a substitute for an analysis based on GAAP measures. As other companies may use different calculations for these measures, this presentation may not be comparable to other similarly titled measures reported by other companies. A reconciliation of the non-GAAP measures of tangible equity as a percentage of tangible assets, and efficiency ratio to the most directly comparable GAAP measures is set forth below. We have not presented a reconciliation of taxable equivalent net interest income, taxable equivalent net interest margin or taxable equivalent net interest spread to the most directly comparable GAAP measure, as there was no difference between the taxable equivalent measure and comparable GAAP measure for any period presented in this release.

     
    NON-GAAP FINANCIAL MEASURES RECONCILIATION
                   
    (dollars in thousands)              
    (Unaudited)              
        9/30/2024 6/30/2024 9/30/2023      
    Tangible Book Value Per Share              
                   
    Equity (GAAP)   $ 669,021   $ 655,168   $ 623,926        
    Less: Intangible assets     553     553     553        
    Tangible equity (Non-GAAP)   $ 668,468   $ 654,615   $ 623,373        
                   
    Shares outstanding     19,010     19,010     19,024        
    Tangible book value per share     35.16     34.44     32.77        
    Book value per share     35.19     34.46     32.80        
                   
    Tangible Equity to Tangible Assets              
    Total Assets (GAAP)   $ 6,109,680   $ 6,106,644   $ 6,054,298        
    Less: Intangible assets     553     553     553        
    Tangible assets (Non-GAAP)   $ 6,109,127   $ 6,106,091   $ 6,053,745        
                   
    Tangible Equity to Tangible Assets (Non-GAAP)     10.94 %   10.72 %   10.30 %      
    Equity to Assets (GAAP)     10.95 %   10.73 %   10.31 %      
                   
        Three months ended   Nine Months Ended
    Efficiency Ratio   9/30/2024 6/30/2024 9/30/2023   9/30/2024 9/30/2023
                   
    Net interest income (GAAP)   $ 38,671   $ 37,788   $ 42,221     $ 113,037   $ 133,238  
    Taxable equivalent adjustment                        
    Net interest income (fully taxable equivalent) (Non-GAAP)     38,671     37,788     42,221       113,037     133,238  
    Non-interest income (GAAP)     4,931     5,651     4,574       15,425     13,841  
    Less: Net gains on equity securities     23     1,360           1,383      
    Revenue used for efficiency ratio (Non-GAAP)   $ 43,579   $ 42,079   $ 46,795     $ 127,079   $ 147,079  
                   
    Total noninterest expense (GAAP)   $ 26,200   $ 26,459   $ 27,460     $ 77,562   $ 82,466  
    Less: Other real estate expense, net     204     16     163       294     536  
    Expense used for efficiency ratio (Non-GAAP)   $ 25,996   $ 26,443   $ 27,297     $ 77,268   $ 81,930  
                   
    Efficiency Ratio     59.65 %   62.84 %   58.33 %     60.80 %   55.70 %
                   
       
    Subsidiary: Trustco Bank
       
    Contact: Robert Leonard
    Executive Vice President
    (518) 381-3693

    The MIL Network

  • MIL-OSI: Powell Max Limited Announces Change of Chief Financial Officer

    Source: GlobeNewswire (MIL-OSI)

    HONG KONG, Oct. 21, 2024 (GLOBE NEWSWIRE) — Powell Max Limited (Nasdaq: PMAX) (the “Company” or “Powell Max”), a financial communications services provider headquartered in Hong Kong, today announced the resignation of Mr. Chun Ho Lam   (“Mr. Lam”) as the Chief Financial Officer of the Company due to personal reasons.  The Company thanks Mr. Lam for his contributions during his tenure of office.

    The Company has appointed Ms. Kam Lai Kwok (“Ms. Kwok”) as the new Chief Financial Officer. 

    Ms. Kwok is an associate of the Hong Kong Institute of Certified Public Accountants (formerly known as the Hong Kong Society of Accountants) since January 1997 and has over 30 years of experience in public accounting and financial management. She also has extensive managerial experience in financial communications and financial printing industry for over 20 years. Prior to her joining of the Company, Ms. Kwok served as an executive director of a Hong Kong listed company  principally engaged in financial communications and financial printing services and as a financial controller of its operating subsidiary for over 8 years.

    About Powell Max Limited

    Powell Max Limited is a financial communications services provider headquartered in Hong Kong. The Company engages in the provision of financial communications services that support capital market compliance and transaction needs for corporate clients and their advisors in Hong Kong. Its financial communications services cover a full range of financial printing, corporate reporting, communications and language support services from inception to completion, including typesetting, proofreading, translation, design, printing, electronic reporting, newspaper placement and distribution. The Company’s clients consist of domestic and international companies listed in Hong Kong, together with companies who are seeking to list in Hong Kong, as well as their advisors.

    Forward-Looking Statements

    This press release contains certain forward-looking statements. Words such as “will,” future,” “expects,” “believes,” and “intends,” or similar expressions, are intended to identify forward-looking statements. Forward-looking statements are subject to inherent uncertainties in predicting future results and conditions. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by law.

    For investor and media inquiries, please contact:

    Company Info:

    Powell Max Limited

    Investor Relations

    ir@janfp.com 

    (852) 2158 2888

    The MIL Network

  • MIL-OSI: Tactile Medical to Release Third Quarter of Fiscal Year 2024 Financial Results on November 4, 2024

    Source: GlobeNewswire (MIL-OSI)

    MINNEAPOLIS, Oct. 21, 2024 (GLOBE NEWSWIRE) — Tactile Systems Technology, Inc. (“Tactile Medical”; the “Company”) (Nasdaq: TCMD), a medical technology company providing therapies for people with chronic disorders, today announced that third quarter of fiscal year 2024 financial results will be released after the market closes on Monday, November 4, 2024.

    Management will host a conference call with a question and answer session at 5:00 p.m. Eastern Time on November 4, 2024, to discuss the results of the quarter. Those who would like to participate may dial 877-407-3088 (201-389-0927 for international callers) and provide access code 13748661. A live webcast of the call will also be provided on the investor relations section of the Company’s website at investors.tactilemedical.com.

    For those unable to participate, a replay of the call will be available for two weeks at 877-660-6853 (201-612-7415 for international callers); access code 13748661. The webcast will be archived at investors.tactilemedical.com.

    About Tactile Systems Technology, Inc. (DBA Tactile Medical)

    Tactile Medical is a leader in developing and marketing at-home therapies for people suffering from underserved, chronic conditions including lymphedema, lipedema, chronic venous insufficiency and chronic pulmonary disease by helping them live better and care for themselves at home. Tactile Medical collaborates with clinicians to expand clinical evidence, raise awareness, increase access to care, reduce overall healthcare costs and improve the quality of life for tens of thousands of patients each year.

    Investor Inquiries:
    Sam Bentzinger
    Gilmartin Group
    investorrelations@tactilemedical.com

    The MIL Network

  • MIL-OSI: RBB Bancorp Reports Third Quarter 2024 Earnings and Declares Quarterly Cash Dividend of $0.16 Per Common Share

    Source: GlobeNewswire (MIL-OSI)

    LOS ANGELES, Oct. 21, 2024 (GLOBE NEWSWIRE) — RBB Bancorp (NASDAQ:RBB) and its subsidiaries, Royal Business Bank (the “Bank”) and RBB Asset Management Company (“RAM”), collectively referred to herein as “the Company,” announced financial results for the quarter ended September 30, 2024.

    Third Quarter 2024 Highlights

    • Net income totaled $7.0 million, or $ 0.39 diluted earnings per share
    • Return on average assets of 0.72%, compared to 0.76% for the quarter ended June 30, 2024
    • Net interest margin of 2.68% compared to 2.67% for the quarter ended June 30, 2024
    • Repurchased 508,275 shares of common stock for $11.0 million during the quarter ended September 30, 2024, and completed the authorized program
    • Book value and tangible book value per share(1) increased to $28.81 and $24.64 at September 30, 2024, up from $28.12 and $24.06 at June 30, 2024

    The Company reported net income of $7.0 million, or $ 0.39 diluted earnings per share, for the quarter ended September 30, 2024, compared to net income of $7.2 million, or $ 0.39 diluted earnings per share, for the quarter ended June 30, 2024. 

    “Loans increased at a 6% annualized rate in the third quarter as our work to expand lending and deposit relationships began to deliver results,” said David Morris, Chief Executive Officer of RBB Bancorp. “Net interest margin increased slightly, and we are optimistic that it will continue to expand from here.  We continue to work through our non-performing loans and believe we will be able to resolve the majority of them by mid-2025.”

    “The team has done an excellent job building on the Bank’s reputation as one of the premier Asian-centric financial institutions,” said Christina Kao, Chair of the Board of Directors. “Returning the Bank to growth has been a priority for the Board of Directors as we believe it will enhance long-term shareholder value.”

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

    Net Interest Income and Net Interest Margin

    Net interest income was $24.5 million for the third quarter of 2024, compared to $24.0 million for the second quarter of 2024. The $580,000 increase was due to an increase in interest income of $1.5 million offset by an increase in interest expense of $959,000. The increase in interest income was due mostly to higher interest income on loans held for investment (“HFI”) of $2.0 million, partially offset by lower interest income on investment securities of $504,000. The increase in loan interest income was mostly due to higher average loans HFI of $54.4 million combined with a 9 basis point increase in the HFI loan yield. The decrease in investment income was attributed to lower average balances and a lower portfolio yield as proceeds from maturing short-term commercial paper were invested into loans and interest-earning cash. The increase in interest expense was due to higher average interest-bearing deposits of $42.3 million in the third quarter of 2024.

    Net interest margin (“NIM”) was 2.68% for the third quarter of 2024, an increase of 1 basis point from 2.67% for the second quarter of 2024. The increase was due to a 5 basis point increase in the yield on average interest-earning assets, partially offset by a 3 basis point increase in the overall cost of funds. The yield on average interest-earning assets increased to 5.94% for the third quarter of 2024 from 5.89% for the second quarter of 2024 due mainly to a 9 basis point increase in the yield on average loans HFI to 6.13% for the third quarter of 2024. The increase in the loan yield was largely attributed to nonaccrual loan activity in the current and prior quarter, including both the recapture of interest income for fully paid off nonaccrual loans and reversals of interest income for loans migrating to nonaccrual status. Such activity increased the third quarter loan yield by 1 basis point and decreased the second quarter loan yield by 7 basis points. Average loans represented 84% of average interest-earning assets in the third quarter of 2024, unchanged from the second quarter of 2024.

    The overall cost of funds increased to 3.57% in the third quarter of 2024 from 3.54% in the second quarter of 2024 due to a higher average cost of interest-bearing deposits in the third quarter of 2024 as compared to the second quarter of 2024. The overall funding mix remained relatively unchanged from the second quarter of 2024 as the ratio of average noninterest-bearing deposits to average total funding sources remained relatively unchanged at 16% for the third and second quarters of 2024. The all-in spot rate for total deposits was 3.53% at September 30, 2024.

    Provision for Credit Losses

    The Company recorded a provision for credit losses of $3.3 million for the third quarter of 2024 compared to $557,000 for the second quarter of 2024. The third quarter provision took into consideration factors including changes in the loan portfolio mix, higher specific reserves, the outlook for economic conditions and market interest rates, and credit quality metrics, including higher nonperforming, special mention and substandard loans at the end of the third quarter of 2024 as compared to the end of the second quarter of 2024.

    Noninterest Income

    Noninterest income for the third quarter of 2024 was $5.7 million, an increase of $2.3 million from $3.5 million for the second quarter of 2024. This increase was mostly due to a $2.8 million recovery of a fully charged off loan, which had been acquired in a bank acquisition (included in other income), partially offset by lower net gain on other real estate owned (“OREO”) of $292,000. 

    Noninterest Expense

    Noninterest expense for the third quarter of 2024 was $17.4 million, an increase of $297,000 from $17.1 million for the second quarter of 2024. This increase was due to higher salaries and employee benefits expense of $475,000 due in part to higher loan production and higher other expenses of $304,000 due to higher loan related expense. These increases were partially offset by lower insurance and regulatory assessments of $323,000 and lower legal and professional expenses of $302,000, the latter being due to reimbursed legal costs from nonaccrual loan payoffs. The annualized noninterest expenses to average assets ratio was 1.78% for the third quarter of 2024, down from 1.79% for the second quarter of 2024. The efficiency ratio was 57.51% for the third quarter of 2024, down from 62.38% for the second quarter of 2024 due mostly to higher noninterest income.

    Income Taxes

    The effective tax rate was 26.9% for the third quarter of 2024 and 25.9% for the second quarter of 2024. The effective tax rate for 2024 is estimated to range between 26.0% and 28.0%.

    Balance Sheet

    At September 30, 2024, total assets were $4.0 billion, a $122.3 million increase compared to June 30, 2024, and a $78.9 million decrease compared to September 30, 2023.

    Loan and Securities Portfolio

    Loans HFI totaled $3.1 billion as of September 30, 2024, an increase of $44.2 million compared to June 30, 2024 and a $29.1 million decrease compared to September 30, 2023. The increase from June 30, 2024 was primarily due to a $62.5 million increase in commercial real estate (“CRE”) loans, a $5.6 million increase in single-family residential (“SFR”) mortgages and a $2.2 million increase in commercial and industrial (“C&I”) loans, partially offset by a $22.3 million decrease in construction and land development (“C&D”) loans and a $2.2 million decrease in Small Business Administration (“SBA”) loans. The loan to deposit ratio was 98.6% at September 30, 2024, compared to 99.4% at June 30, 2024 and 97.6% at September 30, 2023. 

    As of September 30, 2024, available-for-sale securities totaled $305.7 million, a decrease of $19.9 million from June 30, 2024. As of September 30, 2024, net unrealized losses totaled $23.2 million, a $6.9 million decrease due to decreases in market interest rates, when compared to net unrealized losses as of June 30, 2024.

    Deposits

    Total deposits were $3.1 billion as of September 30, 2024, a $68.6 million increase compared to June 30, 2024 and a $61.9 million decrease compared to September 30, 2023. The increase during the third quarter of 2024 was due to an increase in interest-bearing deposits, while noninterest-bearing deposits remained relatively stable at $543.6 million as of September 30, 2024 compared to $543.0 million as of June 30, 2024. The increase in interest-bearing deposits included an increase in time deposits of $49.6 million and an increase in non-maturity deposits of $18.3 million. The increase in time deposits included a $26.6 million increase in wholesale deposits (brokered deposits, collateralized State of California certificates of deposit and deposits acquired through internet listing services). Wholesale deposits totaled $147.3 million at September 30, 2024, and $120.7 million at June 30, 2024. Noninterest-bearing deposits represented 17.6% of total deposits at September 30, 2024 compared to 18.0% at June 30, 2024.

    Credit Quality

    Nonperforming assets totaled $60.7 million, or 1.52% of total assets, at September 30, 2024, compared to $54.6 million, or 1.41% of total assets, at June 30, 2024. The $6.1 million increase in nonperforming assets was mostly due to two loans that migrated to nonaccrual totaling $13.3 million and consisted of a C&D loan and a CRE loan, offset by $6.1 million in payoffs with no losses and $1.2 million in partial charge-offs of nonaccrual loans.

    Special mention loans totaled $77.5 million, or 2.51% of total loans, at September 30, 2024, compared to $19.5 million, or 0.64% of total loans, at June 30, 2024. The $58.0 million increase was primarily due to one $43.6 million C&D loan for a completed hotel construction project, CRE loans totaling $25.2 million and C&I loans totaling $1.2 million. The increase was partially offset by one $11.7 million C&D loan, which migrated from special mention to substandard during the third quarter of 2024. All special mention loans, including the $11.7 million C&D loan which migrated to substandard rating, are all paying current.

    Substandard loans totaled $79.8 million, or 2.58% of total loans, at September 30, 2024, compared to $63.1 million, or 2.07% of total loans, at June 30, 2024. The $16.8 million increase was primarily due to downgrades of two C&D loans totaling $21.7 million and one $3.3 million CRE loan, offset by loan payoffs of $6.7 million and charge-offs of $1.2 million. Of the substandard loans at September 30, 2024, there are  $19.2 million which are paying current.

    30-89 day delinquent loans, excluding nonperforming loans, decreased $645,000 to $10.6 million as of September 30, 2024, compared to $11.3 million as of June 30, 2024. The decrease in past due loans was mostly due to 12 loans totaling $4.7 million that returned to current status and other decreases totaling $784,000, partially offset by new delinquent loans totaling $4.9 million, of which $4.1 million were 30 days past due.

    As of September 30, 2024, the allowance for credit losses totaled $44.5 million and was comprised of an allowance for loan losses of $43.7 million and a reserve for unfunded commitments of $779,000 (included in “Accrued interest and other liabilities”). This compares to the allowance for credit losses of $42.4 million comprised of an allowance for loan losses of $41.7 million and a reserve for unfunded commitments of $624,000 at June 30, 2024. The $2.1 million increase in the allowance for credit losses for the third quarter of 2024 was due to a $3.3 million provision for credit losses, including higher specific reserves of $2.5 million, offset by net charge-offs of $1.2 million. The increase in specific reserves and charge-offs in the third quarter of 2024 was primarily due to a decrease in the estimated fair value of collateral dependent loans, including estimated selling costs. Charge-offs in the third quarter of 2024 were related to one C&D loan and one CRE loan, which were written-down to their estimated fair value. The allowance for loan losses as a percentage of loans HFI was 1.41% at September 30, 2024, compared to 1.37% at June 30, 2024. The allowance for loan losses as a percentage of nonperforming loans was 72% at September 30, 2024, a decrease from 76% at June 30, 2024. The decrease in the allowance for loan losses as a percentage of nonperforming loans was due in part to an increase in individually evaluated loans, which required no allowance for loan losses.

        For the Three Months Ended
    September 30, 2024
        For the Nine Months Ended
    September 30, 2024
     
    (dollars in thousands)   Allowance for loan losses     Reserve for unfunded loan commitments     Allowance for credit losses     Allowance for loan losses     Reserve for unfunded loan commitments     Allowance for credit losses  
    Beginning balance   $ 41,741     $ 624     $ 42,365     $ 41,903     $ 640     $ 42,543  
    Provision for credit losses     3,145       155       3,300       3,718       139       3,857  
    Less loans charged-off     (1,210 )           (1,210 )     (1,991 )           (1,991 )
    Recoveries on loans charged-off     9             9       55             55  
    Ending balance   $ 43,685     $ 779     $ 44,464     $ 43,685     $ 779     $ 44,464  


    Shareholders’ Equity

    At September 30, 2024, total shareholders’ equity was $509.7 million, a $1.6 million decrease compared to June 30, 2024, and a $7.2 million increase compared to September 30, 2023. The decrease in shareholders’ equity for the third quarter of 2024 was due to common stock repurchases of $11.0 million and common stock cash dividends paid of $2.9 million, offset by net income of $7.0 million, lower net unrealized loss on available-for-sale securities of $4.8 million and equity compensation activity of $528,000. Book value per share and tangible book value per share(1) increased to $28.81 and $24.64 at September 30, 2024, up from $28.12 and $24.06 at June 30, 2024.

    On February 29, 2024, the Board of Directors authorized the repurchase of up to 1,000,000 shares of common stock. The repurchase program permitted shares to be repurchased in open market or private transactions, through block trades, and pursuant to any trading plan that may be adopted in accordance with Securities and Exchange Commission (“SEC”) Rules 10b5-1 and 10b-8. The Company repurchased 508,275 shares at a weighted average share price of $21.53 during the third quarter of 2024 and completed the authorized program.

    Dividend Announcement

    The Board of Directors has declared a common stock cash dividend of $0.16 per common share, payable on November 12, 2024 to shareholders of record on October 31, 2024.

      Contact:
    Lynn Hopkins, Chief Financial Officer
      (213) 716-8066
      lhopkins@rbbusa.com

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


    Corporate Overview

    RBB Bancorp is a community-based financial holding company headquartered in Los Angeles, California. As of September 30, 2024, the Company had total assets of $4.0 billion. Its wholly-owned subsidiary, Royal Business Bank, is a full service commercial bank, which provides consumer and business banking services predominately to the Asian-centric communities in Los Angeles County, Orange County, and Ventura County in California, in Las Vegas, Nevada, in Brooklyn, Queens, and Manhattan in New York, in Edison, New Jersey, in the Chicago neighborhoods of Chinatown and Bridgeport, Illinois, and on Oahu, Hawaii. Bank services include remote deposit, E-banking, mobile banking, commercial and investor real estate loans, business loans and lines of credit, commercial and industrial loans, SBA 7A and 504 loans, 1-4 single family residential loans, trade finance, a full range of depository account products and wealth management services. The Bank has nine branches in Los Angeles County, two branches in Ventura County, one branch in Orange County, California, one branch in Las Vegas, Nevada, three branches and one loan operation center in Brooklyn, three branches in Queens, one branch in Manhattan in New York, one branch in Edison, New Jersey, two branches in Chicago, Illinois, and one branch in Honolulu, Hawaii. The Company’s administrative and lending center is located at 1055 Wilshire Blvd., Los Angeles, California 90017, and its operations center is located at 7025 Orangethorpe Ave., Buena Park, California 90621. The Company’s website address is www.royalbusinessbankusa.com.

    Conference Call

    Management will hold a conference call at 11:00 a.m. Pacific time/2:00 p.m. Eastern time on Tuesday, October 22, 2024, to discuss the Company’s third quarter 2024 financial results.

    To listen to the conference call, please dial 1-888-506-0062 or 1-973-528-0011, the Participant ID code is 392446, conference ID RBBQ324. A replay of the call will be made available at 1-877-481-4010 or 1-919-882-2331, the passcode is 51366, approximately one hour after the conclusion of the call and will remain available through November 5, 2024.

    The conference call will also be simultaneously webcast over the Internet; please visit our Royal Business Bank website at http://www.royalbusinessbankusa.com and click on the “Investors” tab to access the call from the site. This webcast will be recorded and available for replay on our website approximately two hours after the conclusion of the conference call.

    Disclosure

    This press release contains certain non-GAAP financial disclosures for tangible common equity and tangible assets and adjusted earnings. The Company uses certain non-GAAP financial measures to provide meaningful supplemental information regarding the Company’s operational performance and to enhance investors’ overall understanding of such financial performance. Please refer to the tables at the end of this release for a presentation of performance ratios in accordance with GAAP and a reconciliation of the non-GAAP financial measures to the GAAP financial measures.

    Safe Harbor

    Certain matters set forth herein (including the exhibits hereto) constitute forward-looking statements relating to the Company’s current business plans and expectations and our future financial position and operating results. These forward-looking statements are subject to risks and uncertainties that could cause actual results, performance and/or achievements to differ materially from those projected. These risks and uncertainties include, but are not limited to, the effectiveness of the Companys internal control over financial reporting and disclosure controls and procedures; the potential for additional material weaknesses in the Companys internal controls over financial reporting or other potential control deficiencies of which the Company is not currently aware or which have not been detected; business and economic conditions generally and in the financial services industry, nationally and within our current and future geographic markets, including the tight labor market, ineffective management of the United States (U.S.) federal budget or debt or turbulence or uncertainly in domestic or foreign financial markets; the strength of the U.S. economy in general and the strength of the local economies in which we conduct operations; adverse developments in the banking industry highlighted by high-profile bank failures and the potential impact of such developments on customer confidence, liquidity and regulatory responses to these developments; our ability to attract and retain deposits and access other sources of liquidity; possible additional provisions for credit losses and charge-offs; credit risks of lending activities and deterioration in asset or credit quality; extensive laws and regulations and supervision that we are subject to, including potential supervisory action by bank supervisory authorities; increased costs of compliance and other risks associated with changes in regulation, including any amendments to the Dodd-Frank Wall Street Reform and Consumer Protection Act; compliance with the Bank Secrecy Act and other money laundering statutes and regulations; potential goodwill impairment; liquidity risk; failure to comply with debt covenants;  fluctuations in interest rates; risks associated with acquisitions and the expansion of our business into new markets; inflation and deflation; real estate market conditions and the value of real estate collateral; the effects of having concentrations in our loan portfolio, including commercial real estate and the risks of geographic and industry concentrations; environmental liabilities; our ability to compete with larger competitors; our ability to retain key personnel; successful management of reputational risk; severe weather, natural disasters, earthquakes, fires; or other adverse external events could harm our business; geopolitical conditions, including acts or threats of terrorism, actions taken by the U.S. or other governments in response to acts or threats of terrorism and/or military conflicts, including the conflicts between Russia and Ukraine, in the Middle East, and increasing tensions between China and Taiwan, which could impact business and economic conditions in the U.S. and abroad; public health crises and pandemics, and their effects on the economic and business environments in which we operate, including our credit quality and business operations, as well as the impact on general economic and financial market conditions; general economic or business conditions in Asia, and other regions where the Bank has operations; failures, interruptions, or security breaches of our information systems; climate change, including any enhanced regulatory, compliance, credit and reputational risks and costs; cybersecurity threats and the cost of defending against them; our ability to adapt our systems to the expanding use of technology in banking; risk management processes and strategies; adverse results in legal proceedings; the impact of regulatory enforcement actions, if any; certain provisions in our charter and bylaws that may affect acquisition of the Company; changes in tax laws and regulations; the impact of governmental efforts to restructure the U.S. financial regulatory system; the impact of future or recent changes in the Federal Deposit Insurance Corporation (“FDIC”) insurance assessment rate and the rules and regulations related to the calculation of the FDIC insurance assessments; the effect of changes in accounting policies and practices or accounting standards, as may be adopted from time-to-time by bank regulatory agencies, the SEC, the Public Company Accounting Oversight Board, the Financial Accounting Standards Board or other accounting standards setters, including Accounting Standards Update 2016-13 (Topic 326, “Measurement of Current Losses on Financial Instruments, commonly referenced as the Current Expected Credit Losses Model, which changed how we estimate credit losses and may further increase the required level of our allowance for credit losses in future periods; market disruption and volatility; fluctuations in the Company’s stock price; restrictions on dividends and other distributions by laws and regulations and by our regulators and our capital structure; issuances of preferred stock; our ability to raise additional capital, if needed, and the potential resulting dilution of interests of holders of our common stock; the soundness of other financial institutions; our ongoing relations with our various federal and state regulators, including the SEC, FDIC, FRB and California Department of Financial Protection and Innovation; our success at managing the risks involved in the foregoing items and all other factors set forth in the Company’s public reports, including its Annual Report as filed under Form 10-K for the year ended December 31, 2023, and particularly the discussion of risk factors within that document. The Company does not undertake, and specifically disclaims any obligation, to update any forward-looking statements to reflect occurrences or unanticipated events or circumstances after the date of such statements except as required by law. Any statements about future operating results, such as those concerning accretion and dilution to the Company’s earnings or shareholders, are for illustrative purposes only, are not forecasts, and actual results may differ.

    RBB BANCORP AND SUBSIDIARIES
    CONDENSED CONSOLIDATED BALANCE SHEETS
    (Unaudited)
    (Dollars in thousands)

     
        September 30,     June 30,     March 31,     December 31,     September 30,  
        2024     2024     2024     2023     2023  
    Assets                                        
    Cash and due from banks   $ 26,388     $ 23,313     $ 21,887     $ 22,671     $ 23,809  
    Interest-earning deposits with financial institutions     323,002       229,456       247,356       408,702       306,982  
    Cash and Cash Equivalents     349,390       252,769       269,243       431,373       330,791  
    Interest-earning time deposits with financial institutions     600       600       600       600       600  
    Investment securities available for sale     305,666       325,582       335,194       318,961       354,378  
    Investment securities held to maturity     5,195       5,200       5,204       5,209       5,214  
    Mortgage loans held for sale     812       3,146       3,903       1,911       62  
    Loans held for investment     3,091,896       3,047,712       3,027,361       3,031,861       3,120,952  
    Allowance for loan losses     (43,685 )     (41,741 )     (41,688 )     (41,903 )     (42,430 )
    Net loans held for investment     3,048,211       3,005,971       2,985,673       2,989,958       3,078,522  
    Premises and equipment, net     24,839       25,049       25,363       25,684       26,134  
    Federal Home Loan Bank (FHLB) stock     15,000       15,000       15,000       15,000       15,000  
    Cash surrender value of bank owned life insurance     59,889       59,486       59,101       58,719       58,346  
    Goodwill     71,498       71,498       71,498       71,498       71,498  
    Servicing assets     7,256       7,545       7,794       8,110       8,439  
    Core deposit intangibles     2,194       2,394       2,594       2,795       3,010  
    Right-of-use assets     29,283       30,530       31,231       29,803       29,949  
    Accrued interest and other assets     70,644       63,416       65,608       66,404       87,411  
    Total assets   $ 3,990,477     $ 3,868,186     $ 3,878,006     $ 4,026,025     $ 4,069,354  
    Liabilities and shareholders’ equity                                        
    Deposits:                                        
    Noninterest-bearing demand   $ 543,623     $ 542,971     $ 539,517     $ 539,621     $ 572,393  
    Savings, NOW and money market accounts     666,089       647,770       642,840       632,729       608,020  
    Time deposits, $250,000 and under     1,052,462       1,014,189       1,083,898       1,190,821       1,237,831  
    Time deposits, greater than $250,000     830,010       818,675       762,074       811,589       735,828  
    Total deposits     3,092,184       3,023,605       3,028,329       3,174,760       3,154,072  
    FHLB advances     200,000       150,000       150,000       150,000       150,000  
    Long-term debt, net of issuance costs     119,433       119,338       119,243       119,147       174,019  
    Subordinated debentures     15,102       15,047       14,993       14,938       14,884  
    Lease liabilities – operating leases     30,880       32,087       32,690       31,191       31,265  
    Accrued interest and other liabilities     23,150       16,818       18,765       24,729       42,603  
    Total liabilities     3,480,749       3,356,895       3,364,020       3,514,765       3,566,843  
    Shareholders’ equity:                                        
    Common Stock     259,280       266,160       271,645       271,925       277,462  
    Additional paid-in capital     3,520       3,456       3,348       3,623       3,579  
    Retained Earnings     262,946       262,518       259,903       255,152       247,159  
    Non-controlling interest     72       72       72       72       72  
    Accumulated other comprehensive loss, net     (16,090 )     (20,915 )     (20,982 )     (19,512 )     (25,761 )
    Total shareholders’ equity     509,728       511,291       513,986       511,260       502,511  
    Total liabilities and shareholders’ equity   $ 3,990,477     $ 3,868,186     $ 3,878,006     $ 4,026,025     $ 4,069,354  
    RBB BANCORP AND SUBSIDIARIES
    CONDENSED CONSOLIDATED STATEMENTS OF INCOME
    (Unaudited)
    (In thousands, except share and per share data) 

     
        For the Three Months Ended     For the Nine Months Ended  
        September 30,
    2024
        June 30,
    2024
        September 30,
    2023
        September 30,
    2024
        September 30,
    2023
     
    Interest and dividend income:                                        
    Interest and fees on loans   $ 47,326     $ 45,320     $ 47,617     $ 138,193     $ 148,369  
    Interest on interest-earning deposits     3,388       3,353       3,193       11,781       6,096  
    Interest on investment securities     3,127       3,631       4,211       10,369       10,321  
    Dividend income on FHLB stock     326       327       290       984       814  
    Interest on federal funds sold and other     258       255       252       779       716  
    Total interest and dividend income     54,425       52,886       55,563       162,106       166,316  
    Interest expense:                                        
    Interest on savings deposits, NOW and money market accounts     5,193       4,953       3,106       14,624       8,180  
    Interest on time deposits     22,553       21,850       21,849       67,725       54,424  
    Interest on long-term debt and subordinated debentures     1,681       1,679       2,579       5,039       7,668  
    Interest on other borrowed funds     453       439       440       1,331       2,428  
    Total interest expense     29,880       28,921       27,974       88,719       72,700  
    Net interest income before provision for credit losses     24,545       23,965       27,589       73,387       93,616  
    Provision for credit losses     3,300       557       1,399       3,857       3,793  
    Net interest income after provision for credit losses     21,245       23,408       26,190       69,530       89,823  
    Noninterest income:                                        
    Service charges and fees     1,071       1,064       1,057       3,127       3,200  
    Gain on sale of loans     447       451       212       1,210       258  
    Loan servicing fees, net of amortization     605       579       623       1,773       1,959  
    Increase in cash surrender value of life insurance     402       385       356       1,169       1,036  
    Gain on OREO           292       190       1,016       190  
    Other income     3,221       717       332       4,311       982  
    Total noninterest income     5,746       3,488       2,770       12,606       7,625  
    Noninterest expense:                                        
    Salaries and employee benefits     10,008       9,533       9,744       29,468       28,935  
    Occupancy and equipment expenses     2,518       2,439       2,414       7,400       7,242  
    Data processing     1,472       1,466       1,315       4,358       3,969  
    Legal and professional     958       1,260       1,022       3,098       6,907  
    Office expenses     348       352       437       1,056       1,163  
    Marketing and business promotion     252       189       340       613       892  
    Insurance and regulatory assessments     658       981       730       2,621       2,043  
    Core deposit premium     200       201       236       602       708  
    Other expenses     1,007       703       638       2,298       2,445  
    Total noninterest expense     17,421       17,124       16,876       51,514       54,304  
    Income before income taxes     9,570       9,772       12,084       30,622       43,144  
    Income tax expense     2,571       2,527       3,611       8,342       12,752  
    Net income   $ 6,999     $ 7,245     $ 8,473     $ 22,280     $ 30,392  
                                             
    Net income per share                                        
    Basic   $ 0.39     $ 0.39     $ 0.45     $ 1.22     $ 1.60  
    Diluted   $ 0.39     $ 0.39     $ 0.45     $ 1.22     $ 1.60  
    Cash Dividends declared per common share   $ 0.16     $ 0.16     $ 0.16     $ 0.48     $ 0.48  
    Weighted-average common shares outstanding                                        
    Basic     17,812,791       18,375,970       18,995,303       18,261,702       18,991,579  
    Diluted     17,885,359       18,406,897       18,997,304       18,313,086       19,013,838  
    RBB BANCORP AND SUBSIDIARIES
    AVERAGE BALANCE SHEET AND NET INTEREST INCOME
    (Unaudited)
     
        For the Three Months Ended  
        September 30, 2024     June 30, 2024     September 30, 2023  
    (tax-equivalent basis, dollars in thousands)   Average
    Balance
        Interest
     & Fees
        Yield /
    Rate
        Average
    Balance
        Interest
    & Fees
        Yield /
    Rate
        Average
    Balance
        Interest
    & Fees
        Yield /
    Rate
     
    Interest-earning assets                                                                        
    Cash and cash equivalents(1)   $ 260,205     $ 3,646       5.57 %   $ 255,973     $ 3,608       5.67 %   $ 270,484     $ 3,445       5.05 %
    FHLB Stock     15,000       326       8.65 %     15,000       327       8.77 %     15,000       290       7.67 %
    Securities                                                                        
    Available for sale(2)     298,948       3,105       4.13 %     318,240       3,608       4.56 %     369,459       4,187       4.50 %
    Held to maturity(2)     5,198       46       3.52 %     5,203       46       3.56 %     5,385       48       3.54 %
    Mortgage loans held for sale     1,165       23       7.85 %     3,032       57       7.56 %     739       13       6.98 %
    Loans held for investment:(3)                                                                        
    Real estate     2,888,528       43,495       5.99 %     2,828,339       41,590       5.91 %     2,968,246       43,583       5.83 %
    Commercial     179,885       3,808       8.42 %     185,679       3,673       7.96 %     187,140       4,021       8.52 %
    Total loans held for investment     3,068,413       47,303       6.13 %     3,014,018       45,263       6.04 %     3,155,386       47,604       5.99 %
    Total interest-earning assets     3,648,929     $ 54,449       5.94 %     3,611,466     $ 52,909       5.89 %     3,816,453     $ 55,587       5.78 %
    Total noninterest-earning assets     242,059                       240,016                       250,083                  
    Total average assets   $ 3,890,988                     $ 3,851,482                     $ 4,066,536                  
                                                                             
    Interest-bearing liabilities                                                                        
    NOW     55,757       277       1.98 %   $ 56,081     $ 276       1.98 %   $ 55,325     $ 201       1.44 %
    Money Market     439,936       4,093       3.70 %     431,559       3,877       3.61 %     403,300       2,656       2.61 %
    Saving deposits     164,515       823       1.99 %     164,913       800       1.95 %     123,709       249       0.80 %
    Time deposits, $250,000 and under     1,037,365       12,312       4.72 %     1,049,666       12,360       4.74 %     1,285,320       14,090       4.35 %
    Time deposits, greater than $250,000     819,207       10,241       4.97 %     772,255       9,490       4.94 %     717,026       7,759       4.29 %
    Total interest-bearing deposits     2,516,780       27,746       4.39 %     2,474,474       26,803       4.36 %     2,584,680       24,955       3.83 %
    FHLB advances     150,543       453       1.20 %     150,000       439       1.18 %     150,000       440       1.16 %
    Long-term debt     119,370       1,295       4.32 %     119,275       1,296       4.37 %     173,923       2,194       5.00 %
    Subordinated debentures     15,066       386       10.19 %     15,011       383       10.26 %     14,848       385       10.29 %
    Total interest-bearing liabilities     2,801,759       29,880       4.24 %     2,758,760       28,921       4.22 %     2,923,451       27,974       3.80 %
    Noninterest-bearing liabilities                                                                        
    Noninterest-bearing deposits     528,081                       529,450                       571,371                  
    Other noninterest-bearing liabilities     52,428                       51,087                       67,282                  
    Total noninterest-bearing liabilities     580,509                       580,537                       638,653                  
    Shareholders’ equity     508,720                       512,185                       504,432                  
    Total liabilities and shareholders’ equity   $ 3,890,988                     $ 3,851,482                     $ 4,066,536                  
    Net interest income / interest rate spreads           $ 24,569       1.70 %           $ 23,988       1.67 %           $ 27,613       1.98 %
    Net interest margin                     2.68 %                     2.67 %                     2.87 %
                                                                             
    Total cost of deposits   $ 3,044,861     $ 27,746       3.63 %   $ 3,003,924     $ 26,803       3.59 %   $ 3,156,051     $ 24,955       3.14 %
    Total cost of funds   $ 3,329,840     $ 29,880       3.57 %   $ 3,288,210     $ 28,921       3.54 %   $ 3,494,822     $ 27,974       3.18 %

    _________________
    (1) Includes income and average balances for interest-earning time deposits and other miscellaneous interest-earning assets.
    (2) Interest income and average rates for tax-exempt securities are presented on a tax-equivalent basis.
    (3) Average loan balances include nonaccrual loans. Interest income on loans includes the effects of discount accretion and net deferred loan origination fees and costs accounted for as yield adjustments.

    RBB BANCORP AND SUBSIDIARIES
    AVERAGE BALANCE SHEET AND NET INTEREST INCOME
    (Unaudited)
     
        For the Nine Months Ended  
        September 30, 2024     September 30, 2023  
    (tax-equivalent basis, dollars in thousands)   Average
    Balance
        Interest
    & Fees
        Yield /
    Rate
        Average
    Balance
        Interest
    & Fees
        Yield /
    Rate
     
    Interest-earning assets                                                
    Cash and cash equivalents(1)   $ 293,597     $ 12,560       5.71 %   $ 177,393     $ 6,812       5.13 %
    FHLB Stock     15,000       984       8.76 %     15,000       814       7.26 %
    Securities                                                
    Available for sale(2)     312,352       10,302       4.41 %     332,007       10,245       4.13 %
    Held to maturity(2)     5,203       140       3.59 %     5,610       151       3.60 %
    Mortgage loans held for sale     1,802       105       7.78 %     295       16       7.25 %
    Loans held for investment:(3)                                                
    Real estate     2,851,625       126,852       5.94 %     3,041,393       134,791       5.93 %
    Commercial     181,716       11,236       8.26 %     214,618       13,562       8.45 %
    Total loans held for investment     3,033,341       138,088       6.08 %     3,256,011       148,353       6.09 %
    Total interest-earning assets     3,661,295     $ 162,179       5.92 %     3,786,316     $ 166,391       5.88 %
    Total noninterest-earning assets     242,802                       244,822                  
    Total average assets   $ 3,904,097                     $ 4,031,138                  
                                                     
    Interest-bearing liabilities                                                
    NOW   $ 56,924       851       2.00 %   $ 59,476     $ 511       1.15 %
    Money Market     427,884       11,496       3.59 %     431,299       7,315       2.27 %
    Saving deposits     162,207       2,277       1.88 %     118,550       354       0.40 %
    Time deposits, $250,000 and under     1,087,501       38,476       4.73 %     1,141,290       33,905       3.97 %
    Time deposits, greater than $250,000     792,310       29,249       4.93 %     729,699       20,519       3.76 %
    Total interest-bearing deposits     2,526,826       82,349       4.35 %     2,480,314       62,604       3.37 %
    FHLB advances     150,182       1,331       1.18 %     179,707       2,428       1.81 %
    Long-term debt     119,276       3,886       4.35 %     173,780       6,584       5.07 %
    Subordinated debentures     15,012       1,153       10.26 %     14,794       1,084       9.80 %
    Total interest-bearing liabilities     2,811,296       88,719       4.22 %     2,848,595       72,700       3.41 %
    Noninterest-bearing liabilities                                                
    Noninterest-bearing deposits     528,624                       624,781                  
    Other noninterest-bearing liabilities     52,955                       58,786                  
    Total noninterest-bearing liabilities     581,579                       683,567                  
    Shareholders’ equity     511,222                       498,976                  
    Total liabilities and shareholders’ equity   $ 3,904,097                     $ 4,031,138                  
    Net interest income / interest rate spreads           $ 73,460       1.70 %           $ 93,691       2.47 %
    Net interest margin                     2.68 %                     3.31 %
                                                     
    Total cost of deposits   $ 3,055,450     $ 82,349       3.60 %   $ 3,105,095     $ 62,604       2.70 %
    Total cost of funds   $ 3,339,920     $ 88,719       3.55 %   $ 3,473,376     $ 72,700       2.80 %

    _______________
    (1) Includes income and average balances for interest-earning time deposits and other miscellaneous interest-earning assets.
    (2) Interest income and average rates for tax-exempt securities are presented on a tax-equivalent basis.
    (3) Average loan balances include nonaccrual loans. Interest income on loans includes the effects of discount accretion and net deferred loan origination fees and costs accounted for as yield adjustments.

    RBB BANCORP AND SUBSIDIARIES
    SELECTED FINANCIAL HIGHLIGHTS
    (Unaudited)
     
      At or for the Three Months Ended     At or for the Nine Months
    Ended September 30,
     
      September 30,   June 30,     September 30,                  
        2024     2024     2023     2024     2023  
    Per share data (common stock)                                  
    Book value $ 28.81     $ 28.12     $ 26.45     $ 28.81     $ 26.45  
    Tangible book value(1) $ 24.64     $ 24.06     $ 22.53     $ 24.64     $ 22.53  
    Performance ratios                                  
    Return on average assets, annualized   0.72 %     0.76 %     0.83 %     0.76 %     1.01 %
    Return on average shareholders’ equity, annualized   5.47 %     5.69 %     6.66 %     5.82 %     8.14 %
    Return on average tangible common equity, annualized(1)   6.40 %     6.65 %     7.82 %     6.81 %     9.58 %
    Noninterest income to average assets, annualized   0.59 %     0.36 %     0.27 %     0.43 %     0.25 %
    Noninterest expense to average assets, annualized   1.78 %     1.79 %     1.65 %     1.76 %     1.80 %
    Yield on average earning assets   5.94 %     5.89 %     5.78 %     5.92 %     5.88 %
    Yield on average loans   6.13 %     6.04 %     5.99 %     6.08 %     6.09 %
    Cost of average total deposits(2)   3.63 %     3.59 %     3.14 %     3.60 %     2.70 %
    Cost of average interest-bearing deposits   4.39 %     4.36 %     3.83 %     4.35 %     3.37 %
    Cost of average interest-bearing liabilities   4.24 %     4.22 %     3.80 %     4.22 %     3.41 %
    Net interest spread   1.70 %     1.67 %     1.98 %     1.70 %     2.47 %
    Net interest margin   2.68 %     2.67 %     2.87 %     2.68 %     3.31 %
    Efficiency ratio(3)   57.51 %     62.38 %     55.59 %     59.90 %     53.64 %
    Common stock dividend payout ratio   41.03 %     41.03 %     35.56 %     39.34 %     30.00 %

    ____________________

    (1) Non-GAAP measure. See Non–GAAP reconciliations set forth at the end of this press release.
    (2) Total deposits include non-interest bearing deposits and interest-bearing deposits.
    (3) Ratio calculated by dividing noninterest expense by the sum of net interest income before provision for credit losses and noninterest income.

    RBB BANCORP AND SUBSIDIARIES
    SELECTED FINANCIAL HIGHLIGHTS
    (Unaudited)
    (Dollars in thousands)
     
        At or for the quarter ended  
        September 30,     June 30,     September 30,  
        2024     2024     2023  
    Credit Quality Data:                        
    Special mention loans   $ 77,501     $ 19,520     $ 31,212  
    Special mention loans to total loans     2.51 %     0.64 %     1.00 %
    Substandard loans   $ 79,831     $ 63,076     $ 71,401  
    Substandard loans to total loans     2.58 %     2.07 %     2.29 %
    Loans 30-89 days past due, excluding nonperforming loans   $ 10,625     $ 11,270     $ 19,662  
    Loans 30-89 days past due, excluding nonperforming loans, to total loans     0.34 %     0.37 %     0.63 %
    Nonperforming loans   $ 60,662     $ 54,589     $ 40,146  
    OREO                 284  
    Nonperforming assets   $ 60,662     $ 54,589     $ 40,430  
    Nonperforming loans to total loans     1.96 %     1.79 %     1.29 %
    Nonperforming assets to total assets     1.52 %     1.41 %     0.99 %
                             
    Allowance for loan losses   $ 43,685     $ 41,741     $ 42,430  
    Allowance for loan losses to total loans     1.41 %     1.37 %     1.36 %
    Allowance for loan losses to nonperforming loans     72.01 %     76.46 %     105.69 %
    Net charge-offs   $ 1,201     $ 551     $ 2,206  
    Net charge-offs to average loans     0.16 %     0.07 %     0.28 %
                             
    Capital ratios(1)                        
    Tangible common equity to tangible assets(2)     11.13 %     11.53 %     10.71 %
    Tier 1 leverage ratio     12.19 %     12.48 %     11.68 %
    Tier 1 common capital to risk-weighted assets     18.16 %     18.89 %     17.65 %
    Tier 1 capital to risk-weighted assets     18.74 %     19.50 %     18.22 %
    Total capital to risk-weighted assets     24.79 %     25.67 %     26.24 %

    ______________
    (1) September 30, 2024 capital ratios are preliminary.
    (2) Non-GAAP measure. See Non-GAAP reconciliations set forth at the end of this press release.

    RBB BANCORP AND SUBSIDIARIES
    SELECTED FINANCIAL HIGHLIGHTS
    (Unaudited)

     
    Loan Portfolio Detail   As of September 30, 2024   As of June 30, 2024     As of September 30, 2023  
    (dollars in thousands)   $   %   $       %   $       %
    Loans:                                          
    Commercial and industrial   $ 128,861   4.2 %   $ 126,649       4.2 %   $ 127,655       4.1 %
    SBA     48,089   1.6 %     50,323       1.7 %     50,420       1.6 %
    Construction and land development     180,196   5.8 %     202,459       6.6 %     259,778       8.3 %
    Commercial real estate (1)     1,252,682   40.5 %     1,190,207       39.1 %     1,164,210       37.3 %
    Single-family residential mortgages     1,473,396   47.7 %     1,467,802       48.2 %     1,505,307       48.2 %
    Other loans     8,672   0.2 %     10,272       0.2 %     13,582       0.5 %
    Total loans (2)   $ 3,091,896   100.0 %   $ 3,047,712       100.0 %   $ 3,120,952       100.0 %
    Allowance for loan losses     (43,685 )       (41,741 )             (42,430 )        
    Total loans, net   $ 3,048,211       $ 3,005,971             $ 3,078,522          

    _______________
    (1) Includes non-farm and non-residential loans, multi-family residential loans and non-owner occupied single family residential loans.
    (2) Net of discounts and deferred fees and costs of $467, $645, and $383 as of September 30, 2024, June 30, 2024, and September 30, 2023, respectively.

    Deposits   As of September 30, 2024   As of June 30, 2024     As of September 30, 2023  
    (dollars in thousands)   $   %   $       %   $       %
    Deposits:                                          
    Noninterest-bearing demand   $ 543,623   17.6 %   $ 542,971       18.0 %   $ 572,393       18.1 %
    Savings, NOW and money market accounts     666,089   21.5 %     647,770       21.4 %     608,020       19.3 %
    Time deposits, $250,000 and under     926,877   30.0 %     921,712       30.5 %     848,868       26.9 %
    Time deposits, greater than $250,000     808,304   26.1 %     790,478       26.1 %     687,365       21.8 %
    Wholesale deposits(1)     147,291   4.8 %     120,674       4.0 %     437,426       13.9 %
    Total deposits   $ 3,092,184   100.0 %   $ 3,023,605       100.0 %   $ 3,154,072       100.0 %

    ___________________
    (1) Includes brokered deposits, collateralized deposits from the State of California, and deposits acquired through internet listing services.

    Non-GAAP Reconciliations

    Tangible Book Value Reconciliations

    Tangible book value per share is a non-GAAP disclosure. Management measures tangible book value per share to assess the Company’s capital strength and business performance and believes this is helpful to investors as additional tools for further understanding our performance. The following is a reconciliation of tangible book value to the Company shareholders’ equity computed in accordance with GAAP, as well as a calculation of tangible book value per share as of September 30, 2024, June 30, 2024, and September 30, 2023.

                           
    (dollars in thousands, except share and per share data)   September 30,
    2024
        June 30,
    2024
        September 30,
    2023
     
    Tangible common equity:                        
    Total shareholders’ equity   $ 509,728     $ 511,291     $ 502,511  
    Adjustments                        
    Goodwill     (71,498 )     (71,498 )     (71,498 )
    Core deposit intangible     (2,194 )     (2,394 )     (3,010 )
    Tangible common equity   $ 436,036     $ 437,399     $ 428,003  
    Tangible assets:                        
    Total assets-GAAP   $ 3,990,477     $ 3,868,186     $ 4,069,354  
    Adjustments                        
    Goodwill     (71,498 )     (71,498 )     (71,498 )
    Core deposit intangible     (2,194 )     (2,394 )     (3,010 )
    Tangible assets   $ 3,916,785     $ 3,794,294     $ 3,994,846  
    Common shares outstanding     17,693,416       18,182,154       18,995,303  
    Common equity to assets ratio     12.77 %     13.22 %     12.35 %
    Tangible common equity to tangible assets ratio     11.13 %     11.53 %     10.71 %
    Book value per share   $ 28.81     $ 28.12     $ 26.45  
    Tangible book value per share   $ 24.64     $ 24.06     $ 22.53  


    Return on Average Tangible Common Equity

    Management measures return on average tangible common equity (“ROATCE”) to assess the Company’s capital strength and business performance and believes this is helpful to investors as an additional tool for further understanding our performance. Tangible equity excludes goodwill and other intangible assets (excluding mortgage servicing rights), and is reviewed by banking and financial institution regulators when assessing a financial institution’s capital adequacy. This non-GAAP financial measure should not be considered a substitute for operating results determined in accordance with GAAP and may not be comparable to other similarly titled measures used by other companies. The following table reconciles ROATCE to its most comparable GAAP measure:

        Three Months Ended     Nine Months Ended September 30,  
    (dollars in thousands)   September 30,
    2024
        June 30,
    2024
        September 30,
    2023
        2024     2023  
    Net income available to common shareholders   $ 6,999     $ 7,245     $ 8,473     $ 22,280     $ 30,392  
    Average shareholders’ equity     508,720       512,185       504,432       511,222       498,976  
    Adjustments:                                        
    Average goodwill     (71,498 )     (71,498 )     (71,498 )     (71,498 )     (71,498 )
    Average core deposit intangible     (2,326 )     (2,525 )     (3,165 )     (2,525 )     (3,398 )
    Adjusted average tangible common equity   $ 434,896     $ 438,162     $ 429,769     $ 437,199     $ 424,080  
    Return on average common equity     5.47 %     5.69 %     6.66 %     5.82 %     8.14 %
    Return on average tangible common equity     6.40 %     6.65 %     7.82 %     6.81 %     9.58 %

    The MIL Network

  • MIL-OSI: CNB Financial Corporation Reports Third Quarter 2024 Results

    Source: GlobeNewswire (MIL-OSI)

    CLEARFIELD, Pa., Oct. 21, 2024 (GLOBE NEWSWIRE) — CNB Financial Corporation (“Corporation”) (NASDAQ: CCNE), the parent company of CNB Bank, today announced its earnings for the three and nine months ended September 30, 2024.

    Executive Summary

    • Net income available to common shareholders (“earnings”) was $12.9 million, or $0.61 per diluted share, for the three months ended September 30, 2024, compared to earnings of $11.9 million, or $0.56 per diluted share, for the three months ended June 30, 2024. The quarterly increase was a result of increases in both net interest income and non-interest income, partially offset by an increase in non-interest expense, as discussed in more detail below. The increase in third quarter 2024 earnings and diluted earnings per share when compared to the quarter ended September 30, 2023 earnings of $12.7 million, or $0.60 per diluted share, was primarily due to the increase in non-interest income, partially offset by an increase in non-interest expense.
    • Earnings were $36.3 million, or $1.72 per diluted share, for the nine months ended September 30, 2024, compared to earnings of $40.8 million, or $1.94 per diluted share, for the nine months ended September 30, 2023. The decrease in earnings and diluted earnings per share comparing the nine months ended September 30, 2024 to the nine months ended September 30, 2023 was primarily due to the rise in deposit costs year over year.
    • At September 30, 2024, loans totaled $4.5 billion, excluding the balances of syndicated loans. This adjusted total of $4.5 billion in loans represented an increase of $96.7 million, or 2.18% (8.69% annualized), compared to the same adjusted total loans measured as of June 30, 2024, and an increase of $153.4 million, or 3.51%, compared to the same adjusted total loans measured as of September 30, 2023. The increase in loans for the quarter ended September 30, 2024 compared to the quarter ended June 30, 2024 was primarily driven by qualitative commercial and industrial growth in the Erie and Columbus markets and continued growth in new commercial customer relationships in the Corporation’s recent expansion market of Roanoke, coupled with growth in CNB’s Private Banking division with notable activity in the Roanoke market. The year over year growth in loans as of September 30, 2024 compared to loans as of September 30, 2023 resulted primarily from growth in the Corporation’s continued expansion into the newer markets of Cleveland and Roanoke, combined with growth in the Columbus and Erie markets and CNB Bank’s Private Banking division.
      • At September 30, 2024, the Corporation’s balance sheet reflected an increase in syndicated lending balances of $15.5 million compared to June 30, 2024. The increase in syndicated lending balances was the result of the Corporation managing the level of its syndicated portfolio by ensuring its historical discipline of seeking high credit quality loans with favorable yields. Year over year, the Corporation’s balance sheet reported a decrease in syndicated lending balances of $53.6 million compared to September 30, 2023, resulting from scheduled paydowns or early payoffs of certain syndicated loans. The syndicated loan portfolio totaled $69.5 million, or 1.51% of total loans, at September 30, 2024, compared to $53.9 million, or 1.20% of total loans, at June 30, 2024 and $123.1 million, or 2.74% of total loans, at September 30, 2023. As noted above, the Corporation is closely managing the level of its syndicated loan portfolio while it focuses more resources on organic loan growth from its in-market customer relationships.
    • At September 30, 2024, total deposits were $5.2 billion, reflecting an increase of $106.1 million, or 2.08% (8.26% annualized), from the previous quarter ended June 30, 2024, and an increase of $214.2 million, or 4.28%, compared to total deposits measured as of September 30, 2023. The increase in deposit balances compared to June 30, 2024 was primarily attributable to an increase in noninterest-bearing business deposits and retail saving deposits. Additional deposit and liquidity profile details were as follows:
      • During the quarter ended September 30, 2024, the Corporation repositioned $135.0 million of brokered deposits from savings to certificates of deposits. Additionally, $50.0 million of maturing brokered certificates of deposit were replaced with a similar offering. The repositioning and replacement totaling $185.0 million during the quarter and reduced the weighted average annual percentage yield (“APY”) from 5.70% to a locked-in APY of 4.37%, for maturity periods ranging from 12-14 months. This adjustment is expected to result in an estimated annual interest expense savings of $2.5 million for the Corporation. The mix of brokered deposits of 3.55% of total deposits at September 30, 2024, remained stable with the mix of 3.58% of total deposits at June 30, 2024.
      • At September 30, 2024, the total estimated uninsured deposits for CNB Bank were approximately $1.5 billion, or approximately 28.50% of total CNB Bank deposits. However, when excluding $103.1 million of affiliate company deposits and $462.7 million of pledged-investment collateralized deposits, the adjusted amount and percentage of total estimated uninsured deposits was approximately $950.6 million, or approximately 17.87% of total CNB Bank deposits as of September 30, 2024.
        • The level of adjusted uninsured deposits at September 30, 2024 was relatively unchanged with the prior quarter end’s level. At June 30, 2024, the total estimated uninsured deposits for CNB Bank were approximately $1.5 billion, or approximately 29.00% of total CNB Bank deposits; however, when excluding $101.4 million of affiliate company deposits and $460.7 million of pledged-investment collateralized deposits, the adjusted amount and percentage of total estimated uninsured deposits was approximately $949.8 million, or approximately 18.22% of total CNB Bank deposits as of June 30, 2024.
      • At September 30, 2024, the average deposit balance per account for CNB Bank was approximately $33 thousand, which generally remained consistent with the average deposit balance per account from recent quarters. CNB Bank had increases in the volume of business deposits, as well as retail customer household deposits, including those added after the 2023 launches of (i) CNB Bank’s “At Ease” account, a service for U.S. service member and veteran families, and (ii) CNB’s women-focused banking division, Impressia Bank.
      • At September 30, 2024, the Corporation had $282.0 million of cash equivalents held in CNB Bank’s interest-bearing deposit account at the Federal Reserve. These excess funds, when combined with collective contingent liquidity resources of $4.5 billion including (i) available borrowing capacity from the Federal Home Bank of Pittsburgh (“FHLB”) and the Federal Reserve, and (ii) available unused commitments from brokered deposit sources and other third-party funding channels, including previously established lines of credit from correspondent banks, resulted in the total on-hand and contingent liquidity sources for the Corporation as of September 30, 2024 to be approximately 5.0 times the estimated amount of adjusted uninsured deposit balances discussed above.
    • At September 30, 2024, June 30, 2024 and September 30, 2023, the Corporation had no outstanding short-term borrowings from the FHLB or the Federal Reserve’s Discount Window.
    • At September 30, 2024, the Corporation’s pre-tax net unrealized losses on available-for-sale and held-to-maturity securities totaled approximately $62.5 million, or 10.30% of total shareholders’ equity, compared to $84.1 million, or 14.33% of total shareholders’ equity, at June 30, 2024. The change in unrealized losses was primarily due to changes in the yield curve in the third quarter of 2024 compared to the second quarter of 2024, coupled with the Corporation’s scheduled bond maturities, which were all realized at par. Importantly, all regulatory capital ratios for the Corporation would still exceed regulatory “well-capitalized” levels as of both September 30, 2024 and June 30, 2024 if the net unrealized losses at the respective dates were fully recognized. Additionally, the Corporation maintained $102.0 million of liquid funds at its holding company, which more than covers the $62.5 million in unrealized losses on investments held primarily in its wholly-owned banking subsidiary, as an immediately available source of contingent capital to be down-streamed to CNB Bank, if necessary.
    • Total nonperforming assets were approximately $42.0 million, or 0.70% of total assets, as of September 30, 2024, compared to $36.5 million, or 0.62% of total assets, as of June 30, 2024, and $29.3 million, or 0.51% of total assets, as of September 30, 2023. The increase in nonperforming assets for the three months ended September 30, 2024 compared to the three months ended June 30, 2024 was primarily due to one commercial relationship (consisting of various loan types) totaling $7.9 million with a specific reserve balance of $2.2 million. Management does not believe there is risk of significant additional loss exposures beyond the specific reserves related to this loan relationship. The increase in non-performing assets at September 30, 2024 compared to September 30, 2023 was due to the loan relationship discussed above, as well as certain commercial and industrial relationships as previously disclosed in the fourth quarter of 2023 and second quarter of 2024, and a commercial real estate relationship as previously disclosed in the third quarter of 2023. For the three months ended September 30, 2024, net loan charge-offs were $1.2 million, or 0.11% (annualized) of average total loans and loans held for sale, compared to $2.8 million, or 0.25% (annualized) of average total loans and loans held for sale, during the three months ended June 30, 2024, and $732 thousand, or 0.06% (annualized) of average total loans and loans held for sale, during the three months ended September 30, 2023.
    • Pre-provision net revenue (“PPNR”), a non-GAAP measure, was $19.7 million for the three months ended September 30, 2024, compared to $18.6 million and $18.2 million for the three months ended June 30, 2024 and September 30, 2023, respectively.1 The third quarter 2024 PPNR, when compared to the second quarter of 2024, reflected improvements in net interest income and non-interest income, partially offset by higher non-interest expense. The increase in PPNR for the three months ended September 30, 2024, compared to the three months ended September 30, 2023, was primarily attributable to the increase in non-interest income. PPNR was $55.0 million for the nine months ended September 30, 2024 compared to $59.4 million for the nine months ended September 30, 2023.1 The decrease in PPNR for the nine months ended September 30, 2024 compared to the nine months ended September 30, 2023 was primarily attributable to the significant year-over-year increase in deposit costs, coupled with increases in certain personnel costs (primarily from new offices and personnel added in expansion markets), as well as additional technology expenses for recently completed full implementation of business development and customer relationship management applications.

    1 This release contains references to certain financial measures that are not defined under U.S. Generally Accepted Accounting Principles (“GAAP”). Management believes that these non-GAAP measures provide a greater understanding of ongoing operations, enhance comparability of results of operations with prior periods and show the effects of significant gains and charges in the periods presented. A reconciliation of these non-GAAP financial measures is provided in the “Reconciliation of Non-GAAP Financial Measures” section.

    Michael Peduzzi, President and CEO of both the Corporation and CNB Bank, commented on the Corporation’s positive quarterly results, stating, “CNB’s performance for the third quarter of 2024 was much in alignment with themes in a time of year when so many sports are active. We continue to have a strong defense with our traditionally sound loan and investment underwriting, disciplined loan and deposit pricing, and solid risk management practices. This was complemented by a solid offensive push as we translated pipeline activity and qualified business leads into sound loan growth, and an expansion of the number of relationships and accounts in our deposit base, all leading to notable increases in revenues. Further, thanks to effective “special team” efforts by our Finance team, we closely monitored market conditions and took advantage of an opportunity to realize substantial interest expense savings by repositioning a large portion of wholesale funding sources.

    The Corporation’s team across our entire footprint continues to be focused on controlling staffing levels and overhead cost management, while expanding the use of the Corporation’s previous investments in key sales and customer experience technologies. Our playbook for implementing our overall strategy remains the same – to maintain a team of motivated and engaged employees delivering products and services to achieve mutually beneficial and sustainable success for our clients and investors.”

    Other Balance Sheet Highlights

    • Book value per common share was $26.13 at September 30, 2024, reflecting an increase from $25.19 at June 30, 2024 and $23.52 at September 30, 2023. Tangible book value per common share, a non-GAAP measure, was $24.03 as of September 30, 2024, reflecting an increase of $0.94, or 16.20% (annualized) from $23.09 as of June 30, 2024 and a year-over-year increase of $2.63, or 12.29%, from $21.40 as of September 30, 2023.1 The increases in book value per common share and tangible book value per common share compared to June 30, 2024 were primarily due to a $9.1 million increase in retained earnings and a $10.1 million decrease in accumulated other comprehensive loss primarily from the after-tax impact of temporary unrealized valuation changes in the Corporation’s available-for-sale investment portfolio for the past three months. The increases in book value per common share and tangible book value per common share compared to September 30, 2023 were primarily due to (i) a $34.4 million increase in retained earnings over the twelve months ended September 30, 2024, (ii) the Corporation’s repurchase of 23,988 common shares at a weighted average price of $18.38 in the second quarter of 2024, and (iii) a $21.2 million decrease in accumulated other comprehensive loss primarily from the after-tax impact of temporary unrealized valuation changes in the Corporation’s available-for-sale investment portfolio for the past twelve months.

    Loan Portfolio Profile

    • As part of our lending policy and risk management activities, the Corporation tracks lending exposure by industry classification and type to determine potential risks associated with industry concentrations, and if any concentration risk issues could lead to additional credit loss exposure. In the current post-pandemic and relatively inflationary economic environment, the Corporation has continued to evaluate its exposure to the office, hospitality, and multifamily industries within its commercial real estate portfolio. Even given the Corporation’s historically sound underwriting protocols and high credit quality ratings for borrowers in the commercial real estate industry segments, the Corporation monitors numerous relevant sensitivity elements, including occupancy, loan-to-value, absorption and cap rates, debt service coverage and covenant compliance, and developer/lessor financial strength both in the project and globally. At September 30, 2024, the Corporation had the following key metrics related to its office, hospitality and multifamily portfolios:
    • Commercial office loans:
      • There were 114 outstanding loans, totaling $117.0 million, or 2.55%, of the Corporation loans outstanding;
      • There were no nonaccrual commercial office loans at September 30, 2024;
      • There was one past due commercial office loan that totaled $214 thousand, or 0.18% of total commercial office loans outstanding at September 30, 2024; and
      • The average outstanding balance per commercial office loan was $1.0 million.
    • Commercial hospitality loans:
      • There were 173 outstanding loans, totaling $320.6 million, or 6.98%, of total Corporation loans outstanding;
      • There were no nonaccrual commercial hospitality loans at September 30, 2024;
      • There were no past due commercial hospitality loans at September 30, 2024; and
      • The average outstanding balance per commercial hospitality loan was $1.9 million.
    • Commercial multifamily loans:
      • There were 225 outstanding loans, totaling $349.1 million, or 7.60%, of total Corporation loans outstanding;
      • There was one nonaccrual commercial multifamily loan that totaled $268 thousand, or 0.08% of total multifamily loans outstanding. The one customer relationship did not have a related specific loss reserve at September 30, 2024
      • There were two past due commercial office loans that totaled $760 thousand, or 0.22% of total commercial multifamily loans outstanding at September 30, 2024; and
      • The average outstanding balance per commercial multifamily loan was $1.6 million.

    The Corporation had no commercial office, hospitality or multifamily loan relationships considered by the banking regulators to be a high volatility commercial real estate credit (“HVCRE”).

    Performance Ratios

    • Annualized return on average equity was 9.28% for the three months ended September 30, 2024, compared to 8.94% and 9.80% for the three months ended June 30, 2024 and September 30, 2023, respectively. Annualized return on average equity was 9.01% for the nine months ended September 30, 2024 compared to 10.74% for the nine months ended September 30, 2023.
    • Annualized return on average tangible common equity, a non-GAAP measure, was 10.33% for the three months ended September 30, 2024, compared to 9.93% and 11.07% for the three months ended June 30, 2024 and September 30, 2023, respectively.1 Annualized return on average tangible common equity, a non-GAAP measure, was 10.01% for the nine months ended September 30, 2024 compared to 12.23% for the nine months ended September 30, 2023.1
    • The Corporation’s efficiency ratio was 66.34% for the three months ended September 30, 2024, compared to 65.94% and 67.00% for the three months ended June 30, 2024 and September 30, 2023, respectively. The efficiency ratio on a fully tax-equivalent basis, a non-GAAP measure, was 65.58% for the three months ended September 30, 2024, compared to 65.20% and 66.26% for the three months ended June 30, 2024 and September 30, 2023, respectively.1 The increase for the three months ended September 30, 2024 compared to the three months ended June 30, 2024 was primarily the result of an increase in incentive compensation related accruals which are based on various components of the Corporation’s financial performance for the year.
    • The Corporation’s efficiency ratio was 67.10% for the nine months ended September 30, 2024, compared to 64.26% for the nine months ended September 30, 2023. The efficiency ratio on a fully tax-equivalent basis, a non-GAAP ratio, was 66.34% for the nine months ended September 30, 2024, compared to 63.60% the nine months ended September 30, 2023.1

    Revenue

    • Total revenue (net interest income plus non-interest income) was $58.5 million for the three months ended September 30, 2024, compared to $54.6 million and $55.1 million for the three months ended June 30, 2024 and September 30, 2023, respectively.
      • Net interest income was $47.5 million for the three months ended September 30, 2024, compared to $45.7 million and $47.2 million, for the three months ended June 30, 2024 and September 30, 2023, respectively. When comparing the third quarter of 2024 to the second quarter of 2024, the difference in net interest income of $1.8 million, or 3.87% (15.39% annualized), reflected the increase in total loans outstanding quarter over quarter, partially offset by targeted interest-bearing deposit rate increases to ensure both deposit relationship retention and new deposit growth in the Corporation’s markets.
      • Net interest margin was 3.43%, 3.36% and 3.55% for the three months ended September 30, 2024, June 30, 2024 and September 30, 2023, respectively. Net interest margin on a fully tax-equivalent basis, a non-GAAP measure, was 3.42%, 3.34% and 3.53% for the three months ended September 30, 2024, June 30, 2024 and September 30, 2023, respectively.
        • The yield on earning assets of 5.98% for the three months ended September 30, 2024 increased 9 basis points from June 30, 2024 and increased 35 basis points from September 30, 2023. The increases in yield compared to June 30, 2024 and September 30, 2023 were attributable to the net benefit of higher interest rates on both variable-rate loans and new loan production.
        • The cost of interest-bearing liabilities of 3.21% for the three months ended September 30, 2024 increased 4 basis points from June 30, 2024 and 55 basis points from September 30, 2023 primarily as a result of the Corporation’s targeted interest-bearing deposit rate increases for deposit retention and growth initiatives given the competitive environment resulting from the numerous Federal Reserve rate hikes since the first quarter of 2022.
    • Total revenue was $167.2 million for the nine months ended September 30, 2024 compared to $166.3 million for the nine months ended September 30, 2023.
      • Net interest income was $138.4 million for the nine months ended September 30, 2024 compared to $142.1 million for the nine months ended September 30, 2023. When comparing the nine months ended September 30, 2024 to the nine months ended September 30, 2023, the decrease in net interest income of $3.7 million, or 2.61% (3.49% annualized), was due to loan growth and the benefits of the impact of higher interest rates resulting in greater income on variable-rate loans, coupled with a higher average balance of interest-bearing deposits with the Federal Reserve, being more than offset by an increase in the Corporation’s interest expense as a result of targeted interest-bearing deposit rate increases to ensure both deposit growth and retention.
      • Net interest margin was 3.40% and 3.66% for the nine months ended September 30, 2024 and 2023, respectively. Net interest margin on a fully tax-equivalent basis, a non-GAAP measure, was 3.38% and 3.64% for the nine months ended September 30, 2024 and 2023, respectively.
        • The yield on earning assets of 5.89% for the nine months ended September 30, 2024 increased 41 basis points from September 30, 2023. The increase in yield compared to September 30, 2023 was attributable to the net benefit of higher interest rates on both variable-rate loans and new loan production.
        • The cost of interest-bearing liabilities of 3.14% for the nine months ended September 30, 2024 increased 80 basis points from September 30, 2023 primarily as a result of the Corporation’s targeted interest-bearing deposit rate increases for deposit retention and growth initiatives given the competitive environment resulting from the numerous Federal Reserve rate hikes since the first quarter of 2022. The Federal Reserve rate decrease announced in mid-September 2024, being only effective for a short period of time in the quarter, had no significant impact on the Corporation’s third quarter results.
    • Total non-interest income was $11.0 million for the three months ended September 30, 2024 compared to $8.9 million and $7.9 million for the three months ended June 30, 2024 and September 30, 2023, respectively. During the three months ended September 30, 2024, notable changes compared to the three months ended June 30, 2024 included increases in net realized and unrealized gains on equity securities and higher pass-through income from small business investment companies (“SBICs”). The increase in third quarter 2024 noninterest income compared to the three months ended September 30, 2023 was primarily due to higher pass-through income from SBICs and net realized and unrealized gains on equity securities.
    • Total non-interest income was $28.8 million for the nine months ended September 30, 2024 compared to $24.2 million for the nine months ended September 30, 2023. This increase was primarily due to higher pass-through income from SBICs coupled with an increase in net realized and unrealized gains on equity securities.

    Non-Interest Expense

    • For the three months ended September 30, 2024 total non-interest expense was $38.8 million, compared to $36.0 million and $36.9 million for the three months ended June 30, 2024 and September 30, 2023, respectively. The increase of $2.8 million, or 7.77%, from the three months ended June 30, 2024 was primarily a result of an increase in salaries and benefits, card processing and interchange expenses, and other non-interest expenses. The increase in salaries and benefits resulted primarily from an increase in incentive compensation accruals, which are based on various components of the Corporation’s financial performance for the year, coupled with the timing of profit-sharing accruals. The increase in card processing and interchange expenses related primarily to corporate cardholder rewards program accrual, while the increase in other non-interest expenses was primarily driven by the timing of expenditures and business generation related expenses. The increase in non-interest expense compared to the three months ended September 30, 2023 was primarily attributable to higher salaries and benefits driven by costs for personnel added for new offices in expansion markets, an increase in personnel costs related to annual merit increases, increases in health insurance costs, and contractual renewal increases in the Corporation’s investments in technology applications.
    • For the nine months ended September 30, 2024 total non-interest expense was $112.2 million, compared to $106.9 million for the nine months ended September 30, 2023. The increase of $5.3 million, or 4.96%, from the nine months ended September 30, 2023 was primarily a result of an increase in salaries and benefits and technology expenses, partially offset by a decrease in card processing and interchange expenses. The increase in salaries and benefits was driven by an increase in personnel costs related to annual merit increases and growth in the Corporation’s staff and new offices in its expansion markets, while the increase in technology was primarily due to year-over-year investments in technology applications aimed at enhancing both customer online banking capabilities, customer call center communications, and in-branch technology delivery channels. The decrease in card processing and interchange expenses related to the changes made by the Corporation to its cardholder rewards program.

    Income Taxes

    • Income tax expense for the three months ended September 30, 2024 was $3.3 million, representing a 19.31% effective tax rate, compared to $3.0 million, representing an 19.03% effective tax rate, for the three months ended June 30, 2024 and $3.4 million, representing a 19.86% effective tax rate, for the three months ended September 30, 2023. Income tax expense for the nine months ended September 30, 2024 was $9.2 million, representing an 18.92% effective tax rate compared to $10.6 million, representing a 19.47% effective tax rate, for the nine months ended September 30, 2023.

    Asset Quality

    • Total nonperforming assets were approximately $42.0 million, or 0.70% of total assets, as of September 30, 2024, compared to $36.5 million, or 0.62% of total assets, as of June 30, 2024, and $29.3 million, or 0.51% of total assets, as of September 30, 2023, as discussed above.
    • The allowance for credit losses measured as a percentage of total loans was 1.02% as of September 30, 2024 compared to 1.02% as of both June 30, 2024 and September 30, 2023. In addition, the allowance for credit losses as a percentage of nonaccrual loans was 117.03% as of September 30, 2024, compared to 130.88% and 169.34% as of June 30, 2024 and September 30, 2023, respectively. The change in the allowance for credit losses as a percentage of nonaccrual loans was primarily attributable to the levels of nonperforming assets, as discussed above.
    • The provision for credit losses was $2.4 million for the three months ended September 30, 2024, compared to $2.6 million and $1.1 million for the three months ended June 30, 2024 and September 30, 2023, respectively. The $1.3 million increase in the provision expense for the third quarter of 2024 compared to the third quarter of 2023 was primarily a result of higher loan portfolio growth and increased net loan charge-offs in the third quarter of 2024 compared to the third quarter of 2023.
    • For the three months ended September 30, 2024, net loan charge-offs were $1.2 million, or 0.11% (annualized) of average total loans and loans held for sale, compared to $2.8 million, or 0.25% (annualized) of average total loans and loans held for sale, during the three months ended June 30, 2024, and $732 thousand, or 0.06% (annualized) of average total loans and loans held for sale, during the three months ended September 30, 2023.
    • For the nine months ended September 30, 2024, net loan charge-offs were $5.4 million, or 0.16% (annualized) of average total loans and loans held for sale, compared to $2.2 million, or 0.07% (annualized) of average total loans and loans held for sale, during the nine months ended September 30, 2023, with most of the larger year-to-date charge-offs being as previously disclosed occurring in the first and second quarter of 2024.

    Capital

    • As of September 30, 2024, the Corporation’s total shareholders’ equity was $606.4 million, representing an increase of $19.7 million, or 3.35% (13.33% annualized), from June 30, 2024 and an increase of $57.2 million, or 10.41%, from September 30, 2023 primarily due to an increase in the Corporation’s retained earnings (net income, partially offset by the common and preferred stock dividends paid) and a decrease in accumulated other comprehensive loss primarily from the after-tax impact of temporary unrealized valuation changes in the Corporation’s available-for-sale investment portfolio for the past twelve months. The additions to shareholders equity from retained earnings were partially offset by the Corporation’s repurchase of its common stock, as discussed above.
    • Regulatory capital ratios for the Corporation continue to exceed regulatory “well-capitalized” levels as of September 30, 2024, consistent with prior periods.
    • As of September 30, 2024, the Corporation’s ratio of common shareholders’ equity to total assets was 9.12% compared to 8.99% at June 30, 2024 and 8.57% at September 30, 2023. As of September 30, 2024, the Corporation’s ratio of tangible common equity to tangible assets, a non-GAAP measure, was 8.45% compared to 8.30% at June 30, 2024 and 7.86% at September 30, 2023. The increases compared to June 30, 2024 and September 30, 2023 were primarily the result of an increase in retained earnings coupled with a decrease in accumulated other comprehensive loss, as discussed above.1

    About CNB Financial Corporation

    CNB Financial Corporation is a financial holding company with consolidated assets of approximately $6.0 billion. CNB Financial Corporation conducts business primarily through its principal subsidiary, CNB Bank. CNB Bank is a full-service bank engaging in a full range of banking activities and services, including trust and wealth management services, for individual, business, governmental, and institutional customers. CNB Bank operations include a private banking division, two loan production offices, one drive-up office, one mobile office, and 54 full-service offices in Pennsylvania, Ohio, New York, and Virginia. CNB Bank, headquartered in Clearfield, Pennsylvania, with offices in Central and North Central Pennsylvania, serves as the multi-brand parent to various divisions. These divisions include ERIEBANK, based in Erie, Pennsylvania, with offices in Northwest Pennsylvania and Northeast Ohio; FCBank, based in Worthington, Ohio, with offices in Central Ohio; BankOnBuffalo, based in Buffalo, New York, with offices in Western New York; Ridge View Bank, based in Roanoke, Virginia, with offices in the Southwest Virginia region; and Impressia Bank, a division focused on banking opportunities for women, which operates in CNB Bank’s primary market areas. Additional information about CNB Financial Corporation may be found at http://www.CNBBank.bank.

    Forward-Looking Statements

    This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, with respect to the Corporation’s financial condition, liquidity, results of operations, future performance and business. These forward-looking statements are intended to be covered by the safe harbor for “forward-looking statements” provided by the Private Securities Litigation Reform Act of 1995. Forward-looking statements are those that are not historical facts. Forward-looking statements include statements with respect to beliefs, plans, objectives, goals, expectations, anticipations, estimates and intentions that are subject to significant risks and uncertainties and are subject to change based on various factors (some of which are beyond the Corporation’s control). Forward-looking statements often include the words “believes,” “expects,” “anticipates,” “estimates,” “forecasts,” “intends,” “plans,” “targets,” “potentially,” “probably,” “projects,” “outlook” or similar expressions or future conditional verbs such as “may,” “will,” “should,” “would” and “could.” The Corporation’s actual results may differ materially from those contemplated by the forward-looking statements, which are neither statements of historical fact nor guarantees or assurances of future performance. Such known and unknown risks, uncertainties and other factors that could cause the actual results to differ materially from the statements, include, but are not limited to, (i) adverse changes or conditions in capital and financial markets, including actual or potential stresses in the banking industry; (ii) changes in interest rates; the credit risks of lending activities, including our ability to estimate credit losses and the allowance for credit losses, as well as the effects of changes in the level of, and trends in, loan delinquencies and write-offs; (iv) effectiveness of our data security controls in the face of cyber attacks and any reputational risks following a cybersecurity incident; (v) changes in general business, industry or economic conditions or competition; (vi) changes in any applicable law, rule, regulation, policy, guideline or practice governing or affecting financial holding companies and their subsidiaries or with respect to tax or accounting principles or otherwise; (vii) higher than expected costs or other difficulties related to integration of combined or merged businesses; (viii) the effects of business combinations and other acquisition transactions, including the inability to realize our loan and investment portfolios; (ix) changes in the quality or composition of our loan and investment portfolios; (x) adequacy of loan loss reserves; (xi) increased competition; (xii) loss of certain key officers; (xiii) deposit attrition; (xiv) rapidly changing technology; (xv) unanticipated regulatory or judicial proceedings and liabilities and other costs; (xvi) changes in the cost of funds, demand for loan products or demand for financial services; and (xvii) other economic, competitive, governmental or technological factors affecting our operations, markets, products, services and prices. Such developments could have an adverse impact on the Corporation’s financial position and results of operations. For more information about factors that could cause actual results to differ from those discussed in the forward-looking statements, please refer to the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of and the forward-looking statement disclaimers in the Corporation’s annual and quarterly reports filed with the Securities and Exchange Commission.

    The forward-looking statements are based upon management’s beliefs and assumptions and are made as of the date of this press release. Factors or events that could cause the Corporation’s actual results to differ may emerge from time to time, and it is not possible for the Corporation to predict all of them. The Corporation undertakes no obligation to publicly update or revise any forward-looking statements included in this press release or to update the reasons why actual results could differ from those contained in such statements, whether as a result of new information, future events or otherwise, except to the extent required by law. In light of these risks, uncertainties and assumptions, the forward-looking events discussed in this press release might not occur and you should not put undue reliance on any forward-looking statements.

    CNB FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited
    (dollars in thousands, except per share data)

      Three Months Ended   Nine Months Ended
      September 30,
    2024
      June 30,
    2024
      September 30,
    2023
      September 30,
    2024
      September 30,
    2023
    Income Statement                  
    Interest and fees on loans $ 75,725     $ 72,142     $ 70,980     $ 219,380     $ 200,206  
    Interest and dividends on securities and cash and cash equivalents   7,510       8,510       4,536       22,412       14,279  
    Interest expense   (35,749 )     (34,935 )     (28,280 )     (103,367 )     (72,353 )
    Net interest income   47,486       45,717       47,236       138,425       142,135  
    Provision for credit losses   2,381       2,591       1,056       6,292       4,751  
    Net interest income after provision for credit losses   45,105       43,126       46,180       132,133       137,384  
    Non-interest income                  
    Wealth and asset management fees   2,060       2,007       1,833       5,869       5,567  
    Service charges on deposit accounts   1,790       1,794       1,861       5,278       5,569  
    Other service charges and fees   796       712       567       2,203       2,283  
    Net realized gains (losses) on available-for-sale securities   (9 )                 (9 )     52  
    Net realized and unrealized gains (losses) on equity securities   656       (80 )     (400 )     767       (930 )
    Mortgage banking   197       187       172       580       516  
    Bank owned life insurance   775       784       754       2,326       2,211  
    Card processing and interchange income   2,241       2,187       2,098       6,444       6,219  
    Other non-interest income   2,467       1,274       978       5,335       2,711  
    Total non-interest income   10,973       8,865       7,863       28,793       24,198  
    Non-interest expenses                  
    Salaries and benefits   19,572       17,676       17,758       56,035       51,862  
    Net occupancy expense of premises   3,701       3,580       3,596       10,921       10,790  
    Technology expense   5,417       5,573       5,232       16,062       14,677  
    Advertising expense   623       553       840       1,861       2,085  
    State and local taxes   1,256       1,237       1,028       3,636       3,108  
    Legal, professional, and examination fees   940       1,119       1,320       3,231       3,167  
    FDIC insurance premiums   846       1,018       1,027       2,854       2,901  
    Card processing and interchange expenses   1,193       878       1,207       3,250       4,269  
    Other non-interest expense   5,236       4,355       4,906       14,347       14,033  
    Total non-interest expenses   38,784       35,989       36,914       112,197       106,892  
    Income before income taxes   17,294       16,002       17,129       48,729       54,690  
    Income tax expense   3,340       3,045       3,402       9,218       10,647  
    Net income   13,954       12,957       13,727       39,511       44,043  
    Preferred stock dividends   1,076       1,075       1,076       3,226       3,226  
    Net income available to common shareholders $ 12,878     $ 11,882     $ 12,651     $ 36,285     $ 40,817  
                       
    Ending shares outstanding   20,994,730       20,998,117       20,895,634       20,994,730       20,895,634  
    Average diluted common shares outstanding   20,911,862       20,893,396       20,899,744       20,895,538       20,979,032  
    Diluted earnings per common share $ 0.61     $ 0.56     $ 0.60     $ 1.72     $ 1.94  
    Cash dividends per common share $ 0.180     $ 0.175     $ 0.175     $ 0.530     $ 0.525  
    Dividend payout ratio   30 %     31 %     29 %     31 %     27 %

    CNB FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited
    (dollars in thousands, except per share data)

      Three Months Ended   Nine Months Ended
      September 30,
    2024
      June 30,
    2024
      September 30,
    2023
      September 30,
    2024
      September 30,
    2023
    Average Balances                  
    Total loans and loans held for sale $ 4,536,702     $ 4,441,633     $ 4,485,017     $ 4,469,321     $ 4,373,648  
    Investment securities   722,577       734,087       749,352       729,273       771,457  
    Total earning assets   5,503,832       5,465,645       5,273,758       5,440,145       5,194,485  
    Total assets   5,907,115       5,854,978       5,647,491       5,831,002       5,561,649  
    Noninterest-bearing deposits   795,771       761,270       792,193       764,770       805,513  
    Interest-bearing deposits   4,319,606       4,321,678       4,109,360       4,290,247       3,976,820  
    Shareholders’ equity   597,984       583,221       555,464       586,017       548,034  
    Tangible common shareholders’ equity (non-GAAP) (1)   496,091       481,309       453,493       484,105       446,048  
                       
    Average Yields (annualized)                  
    Total loans and loans held for sale   6.66 %     6.55 %     6.30 %     6.57 %     6.14 %
    Investment securities   2.19 %     2.14 %     1.96 %     2.11 %     1.96 %
    Total earning assets   5.98 %     5.89 %     5.63 %     5.89 %     5.48 %
    Interest-bearing deposits   3.19 %     3.15 %     2.62 %     3.11 %     2.27 %
    Interest-bearing liabilities   3.21 %     3.17 %     2.66 %     3.14 %     2.34 %
                       
    Performance Ratios (annualized)                  
    Return on average assets   0.94 %     0.89 %     0.96 %     0.91 %     1.06 %
    Return on average equity   9.28 %     8.94 %     9.80 %     9.01 %     10.74 %
    Return on average tangible common equity (non-GAAP) (1)   10.33 %     9.93 %     11.07 %     10.01 %     12.23 %
    Net interest margin, fully tax equivalent basis (non-GAAP) (1)   3.42 %     3.34 %     3.53 %     3.38 %     3.64 %
    Efficiency Ratio, fully tax equivalent basis (non-GAAP) (1)   65.58 %     65.20 %     66.26 %     66.34 %     63.60 %
                       
    Net Loan Charge-Offs                  
    CNB Bank net loan charge-offs $ 837     $ 2,348     $ 381     $ 4,063     $ 955  
    Holiday Financial net loan charge-offs   383       456       351       1,305       1,252  
    Total Corporation net loan charge-offs $ 1,220     $ 2,804     $ 732     $ 5,368     $ 2,207  
    Annualized net loan charge-offs / average total loans and loans held for sale   0.11 %     0.25 %     0.06 %     0.16 %     0.07 %

    CNB FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited
    (dollars in thousands, except per share data)

      September 30,
    2024
      June 30,
    2024
      September 30,
    2023
    Ending Balance Sheet          
    Cash and due from banks $ 75,214     $ 56,031     $ 61,529  
    Interest-bearing deposits with Federal Reserve   281,972       271,943       117,632  
    Interest-bearing deposits with other financial institutions   3,723       3,171       3,424  
    Total cash and cash equivalents   360,909       331,145       182,585  
    Debt securities available-for-sale, at fair value   378,965       359,900       335,122  
    Debt securities held-to-maturity, at amortized cost   328,152       354,569       391,301  
    Equity securities   10,389       9,654       8,948  
    Loans held for sale   768       642       464  
    Loans receivable          
    Syndicated loans   69,470       53,938       123,090  
    Loans   4,522,438       4,425,754       4,369,084  
    Total loans receivable   4,591,908       4,479,692       4,492,174  
    Less: allowance for credit losses   (46,644 )     (45,532 )     (45,832 )
    Net loans receivable   4,545,264       4,434,160       4,446,342  
    Goodwill and other intangibles   43,874       43,874       43,874  
    Core deposit intangible   223       241       299  
    Other assets   346,300       352,386       322,973  
    Total Assets $ 6,014,844     $ 5,886,571     $ 5,731,908  
               
    Noninterest-bearing demand deposits $ 841,292     $ 762,918     $ 782,996  
    Interest-bearing demand deposits   681,056       693,074       781,309  
    Savings   3,040,769       3,140,505       2,883,736  
    Certificates of deposit   653,832       514,348       554,740  
    Total deposits   5,216,949       5,110,845       5,002,781  
    Subordinated debentures   20,620       20,620       20,620  
    Subordinated notes, net of issuance costs   84,495       84,419       84,191  
    Other liabilities   86,417       83,987       75,104  
    Total liabilities   5,408,481       5,299,871       5,182,696  
    Common stock                
    Preferred stock   57,785       57,785       57,785  
    Additional paid in capital   219,304       218,756       220,100  
    Retained earnings   371,086       361,987       336,690  
    Treasury stock   (4,516 )     (4,438 )     (6,862 )
    Accumulated other comprehensive loss   (37,296 )     (47,390 )     (58,501 )
    Total shareholders’ equity   606,363       586,700       549,212  
    Total liabilities and shareholders’ equity $ 6,014,844     $ 5,886,571     $ 5,731,908  
               
    Book value per common share $ 26.13     $ 25.19     $ 23.52  
    Tangible book value per common share (non-GAAP) (1) $ 24.03     $ 23.09     $ 21.40  

    CNB FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited
    (dollars in thousands, except per share data)

      September 30,
    2024
      June 30,
    2024
      September 30,
    2023
    Capital Ratios          
    Tangible common equity / tangible assets (non-GAAP) (1)   8.45 %     8.30 %     7.86 %
    Tier 1 leverage ratio (2)   10.59 %     10.56 %     10.50 %
    Common equity tier 1 ratio (2)   11.64 %     11.71 %     11.21 %
    Tier 1 risk-based ratio (2)   13.30 %     13.41 %     12.92 %
    Total risk-based ratio (2)   16.06 %     16.20 %     15.68 %
               
    Asset Quality Detail          
    Nonaccrual loans $ 39,855     $ 34,788     $ 27,065  
    Loans 90+ days past due and accruing   666       112       231  
    Total nonperforming loans   40,521       34,900       27,296  
    Other real estate owned   1,514       1,641       2,039  
    Total nonperforming assets $ 42,035     $ 36,541     $ 29,335  
               
    Asset Quality Ratios          
    Nonperforming assets / Total loans + OREO   0.92 %     0.82 %     0.65 %
    Nonperforming assets / Total assets   0.70 %     0.62 %     0.51 %
    Ratio of allowance for credit losses on loans to nonaccrual loans   117.03 %     130.88 %     169.34 %
    Allowance for credit losses / Total loans   1.02 %     1.02 %     1.02 %
               
               
    Consolidated Financial Data Notes:          
    (1) Management uses non-GAAP financial information in its analysis of the Corporation’s performance. Management believes that these non-GAAP measures provide a greater understanding of ongoing operations, enhance comparability of results of operations with prior periods and show the effects of significant gains and charges in the periods presented. The Corporation’s management believes that investors may use these non-GAAP measures to analyze the Corporation’s financial performance without the impact of unusual items or events that may obscure trends in the Corporation’s underlying performance. This non-GAAP data should be considered in addition to results prepared in accordance with GAAP, and is not a substitute for, or superior to, GAAP results. Limitations associated with non-GAAP financial measures include the risks that persons might disagree as to the appropriateness of items included in these measures and that different companies might calculate these measures differently. A reconciliation of these non-GAAP financial measures is provided below (dollars in thousands, except per share data).
    (2) Capital ratios as of September 30, 2024 are estimated pending final regulatory filings.

    CNB FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited
    (dollars in thousands, except per share data)

      Average Balances, Income and Interest Rates on a Taxable Equivalent Basis
      Three Months Ended,
      September 30, 2024   June 30, 2024   September 30, 2023
      Average
    Balance
      Annual
    Rate
      Interest
    Inc./Exp.
      Average
    Balance
      Annual
    Rate
      Interest
    Inc./Exp.
      Average
    Balance
      Annual
    Rate
      Interest
    Inc./Exp.
    ASSETS:                                  
    Securities:                                  
    Taxable (1) (4) $ 690,098     2.14 %   $ 3,980   $ 702,036     2.09 %   $ 3,941   $ 711,299     1.89 %   $ 3,674
    Tax-exempt (1) (2) (4)   25,368     2.57       178     25,088     2.59       178     29,455     2.55       204
    Equity securities (1) (2)   7,111     5.71       102     6,963     5.72       99     8,598     5.58       121
    Total securities (4)   722,577     2.19       4,260     734,087     2.14       4,218     749,352     1.96       3,999
    Loans receivable:                                  
    Commercial (2) (3)   1,457,192     7.02       25,708     1,416,476     6.85       24,133     1,516,942     6.72       25,693
    Mortgage and loans held for sale (2) (3)   2,947,787     6.25       46,278     2,897,473     6.15       44,331     2,834,576     5.83       41,618
    Consumer (3)   131,723     11.93       3,950     127,684     12.17       3,863     133,499     11.51       3,874
    Total loans receivable (3)   4,536,702     6.66       75,936     4,441,633     6.55       72,327     4,485,017     6.30       71,185
    Interest-bearing deposits with the Federal Reserve and other financial institutions   244,553     5.33       3,279     289,925     5.99       4,321     39,389     5.78       574
    Total earning assets   5,503,832     5.98     $ 83,475     5,465,645     5.89     $ 80,866     5,273,758     5.63     $ 75,758
    Noninterest-bearing assets:                                  
    Cash and due from banks   58,472               53,710               55,502          
    Premises and equipment   118,404               112,386               109,854          
    Other assets   272,377               268,930               254,106          
    Allowance for credit losses   (45,970 )             (45,693 )             (45,729 )        
    Total non interest-bearing assets   403,283               389,333               373,733          
    TOTAL ASSETS $ 5,907,115             $ 5,854,978             $ 5,647,491          
    LIABILITIES AND SHAREHOLDERS’ EQUITY:                                  
    Demand—interest-bearing $ 682,690     0.86 %   $ 1,477   $ 713,431     0.76 %   $ 1,342   $ 813,264     0.52 %   $ 1,061
    Savings   3,076,351     3.55       27,461     3,097,598     3.57       27,464     2,788,499     3.13       22,004
    Time   560,565     4.03       5,684     510,649     3.93       4,988     507,597     3.16       4,048
    Total interest-bearing deposits   4,319,606     3.19       34,622     4,321,678     3.15       33,794     4,109,360     2.62       27,113
    Short-term borrowings       0.00               0.00           6,101     5.66       87
    Finance lease liabilities   236     5.06       3     259     4.66       3     328     4.84       4
    Subordinated notes and debentures   105,077     4.26       1,124     105,001     4.36       1,138     104,773     4.07       1,076
    Total interest-bearing liabilities   4,424,919     3.21     $ 35,749     4,426,938     3.17     $ 34,935     4,220,562     2.66     $ 28,280
    Demand—noninterest-bearing   795,771               761,270               792,193          
    Other liabilities   88,441               83,549               79,272          
    Total Liabilities   5,309,131               5,271,757               5,092,027          
    Shareholders’ equity   597,984               583,221               555,464          
    TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY $ 5,907,115             $ 5,854,978             $ 5,647,491          
    Interest income/Earning assets     5.98 %   $ 83,475       5.89 %   $ 80,866       5.63 %   $ 75,758
    Interest expense/Interest-bearing liabilities     3.21       35,749       3.17       34,935       2.66       28,280
    Net interest spread     2.77 %   $ 47,726       2.72 %   $ 45,931       2.97 %   $ 47,478
    Interest income/Earning assets     5.98 %     83,475       5.89 %     80,866       5.63 %     75,758
    Interest expense/Earning assets     2.56       35,749       2.55       34,935       2.10       28,280
    Net interest margin (fully tax-equivalent)     3.42 %   $ 47,726       3.34 %   $ 45,931       3.53 %   $ 47,478
     
    _____________________________________________
    (1)
    Includes unamortized discounts and premiums.
    (2) Average yields are stated on a fully taxable equivalent basis (calculated using statutory rates of 21%) resulting from tax-free municipal securities in the investment portfolio and tax-free municipal loans in the commercial loan portfolio. The taxable equivalent adjustment to net interest income for the three months ended September 30, 2024, June 30, 2024 and September 30, 2023 was $240 thousand, $214 thousand and $242 thousand, respectively.
    (3) Average loans receivable outstanding includes the average balance outstanding of all nonaccrual loans. Loans receivable consist of the average of total loans receivable less average unearned income. In addition, loans receivable interest income consists of loans receivable fees, including PPP deferred processing fees.
    (4) Average balance is computed using the fair value of AFS securities and amortized cost of HTM securities. Average yield has been computed using amortized cost average balance for AFS and HTM securities. The adjustment to the average balance for securities in the calculation of average yield for the three months ended September 30, 2024, June 30, 2024 and September 30, 2023 was $(51.1) million, $(59.2) million and $(61.1) million, respectively.

    CNB FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited
    (dollars in thousands, except per share data)

      Average Balances, Income and Interest Rates on a Taxable Equivalent Basis
      Nine Months Ended,
      September 30, 2024   September 30, 2023
      Average
    Balance
      Annual
    Rate
      Interest
    Inc./Exp.
      Average
    Balance
      Annual
    Rate
      Interest
    Inc./Exp.
    ASSETS:                      
    Securities:                      
    Taxable (1) (4) $ 696,259     2.06 %   $ 11,572   $ 729,787     1.89 %   $ 11,140
    Tax-exempt (1) (2) (4)   26,063     2.58       547     31,025     2.60       646
    Equity securities (1) (2)   6,951     5.69       296     10,645     4.97       396
    Total securities (4)   729,273     2.11       12,415     771,457     1.96       12,182
    Loans receivable:                      
    Commercial (2) (3)   1,434,545     6.92       74,360     1,512,575     6.49       73,423
    Mortgage and loans held for sale (2) (3)   2,905,301     6.16       134,012     2,733,423     5.70       116,439
    Consumer (3)   129,475     11.96       11,591     127,650     11.50       10,978
    Total loans receivable (3)   4,469,321     6.57       219,963     4,373,648     6.14       200,840
    Interest-bearing deposits with the Federal Reserve and other financial institutions   241,551     5.58       10,085     49,380     6.01       2,221
    Total earning assets   5,440,145     5.89     $ 242,463     5,194,485     5.48     $ 215,243
    Noninterest-bearing assets:                      
    Cash and due from banks   55,243               54,494          
    Premises and equipment   113,629               107,016          
    Other assets   267,797               250,210          
    Allowance for credit losses   (45,812 )             (44,556 )        
    Total non interest-bearing assets   390,857               367,164          
    TOTAL ASSETS $ 5,831,002             $ 5,561,649          
    LIABILITIES AND SHAREHOLDERS’ EQUITY:                      
    Demand—interest-bearing $ 711,911     0.75 %   $ 4,014   $ 878,955     0.54 %   $ 3,545
    Savings   3,046,518     3.53       80,536     2,581,604     2.75       53,070
    Time   531,818     3.87       15,414     516,261     2.79       10,775
    Total interest-bearing deposits   4,290,247     3.11       99,964     3,976,820     2.27       67,390
    Short-term borrowings       0.00           47,094     5.07       1,787
    Finance lease liabilities   259     4.64       9     350     4.58       12
    Subordinated notes and debentures   105,001     4.32       3,394     104,698     4.04       3,164
    Total interest-bearing liabilities   4,395,507     3.14     $ 103,367     4,128,962     2.34     $ 72,353
    Demand—noninterest-bearing   764,770               805,513          
    Other liabilities   84,708               79,140          
    Total Liabilities   5,244,985               5,013,615          
    Shareholders’ equity   586,017               548,034          
    TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY $ 5,831,002             $ 5,561,649          
    Interest income/Earning assets     5.89 %   $ 242,463       5.48 %   $ 215,243
    Interest expense/Interest-bearing liabilities     3.14       103,367       2.34       72,353
    Net interest spread     2.75 %   $ 139,096       3.14 %   $ 142,890
    Interest income/Earning assets     5.89 %     242,463       5.48 %     215,243
    Interest expense/Earning assets     2.51       103,367       1.84       72,353
    Net interest margin (fully tax-equivalent)     3.38 %   $ 139,096       3.64 %   $ 142,890
     
    _____________________________________________
    (1)
    Includes unamortized discounts and premiums.
    (2) Average yields are stated on a fully taxable equivalent basis (calculated using statutory rates of 21%) resulting from tax-free municipal securities in the investment portfolio and tax-free municipal loans in the commercial loan portfolio. The taxable equivalent adjustment to net interest income for the nine months ended September 30, 2024 and 2023, was $671 thousand and $755 thousand, respectively.
    (3) Average loans receivable outstanding includes the average balance outstanding of all nonaccrual loans. Loans receivable consist of the average of total loans receivable less average unearned income. In addition, loans receivable interest income consists of loans receivable fees, including PPP deferred processing fees.
    (4) Average balance is computed using the fair value of AFS securities and amortized cost of HTM securities. Average yield has been computed using amortized cost average balance for AFS and HTM securities. The adjustment to the average balance for securities in the calculation of average yield for the nine months ended September 30, 2024 and 2023 was $(55.1) million and $(58.6) million, respectively.

    CNB FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited
    (dollars in thousands, except per share data)

    Reconciliation of Non-GAAP Financial Measures

      September 30,
    2024
      June 30,
    2024
      September 30,
    2023
    Calculation of tangible book value per common share and tangible common
    equity / tangible assets (non-GAAP):
             
    Shareholders’ equity $ 606,363     $ 586,700     $ 549,212  
    Less: preferred equity   57,785       57,785       57,785  
    Common shareholders’ equity   548,578       528,915       491,427  
    Less: goodwill and other intangibles   43,874       43,874       43,874  
    Less: core deposit intangible   223       241       299  
    Tangible common equity (non-GAAP) $ 504,481     $ 484,800     $ 447,254  
               
    Total assets $ 6,014,844     $ 5,886,571     $ 5,731,908  
    Less: goodwill and other intangibles   43,874       43,874       43,874  
    Less: core deposit intangible   223       241       299  
    Tangible assets (non-GAAP) $ 5,970,747     $ 5,842,456     $ 5,687,735  
               
    Ending shares outstanding   20,994,730       20,998,117       20,895,634  
               
    Book value per common share (GAAP) $ 26.13     $ 25.19     $ 23.52  
    Tangible book value per common share (non-GAAP) $ 24.03     $ 23.09     $ 21.40  
               
    Common shareholders’ equity / Total assets (GAAP)   9.12 %     8.99 %     8.57 %
    Tangible common equity / Tangible assets (non-GAAP)   8.45 %     8.30 %     7.86 %
               

    CNB FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited
    (dollars in thousands, except per share data)

    Reconciliation of Non-GAAP Financial Measures

      Three Months Ended   Nine Months Ended
      September 30,
    2024
      June 30,
    2024
      September 30,
    2023
      September 30,
    2024
      September 30,
    2023
    Calculation of net interest margin:                  
    Interest income $ 83,235     $ 80,652     $ 75,516     $ 241,792     $ 214,488  
    Interest expense   35,749       34,935       28,280       103,367       72,353  
    Net interest income $ 47,486     $ 45,717     $ 47,236     $ 138,425     $ 142,135  
                       
    Average total earning assets $ 5,503,832     $ 5,465,645     $ 5,273,758     $ 5,440,145     $ 5,194,485  
                       
    Net interest margin (GAAP) (annualized)   3.43 %     3.36 %     3.55 %     3.40 %     3.66 %
                       
    Calculation of net interest margin (fully tax equivalent basis) (non-GAAP):                  
    Interest income $ 83,235     $ 80,652     $ 75,516     $ 241,792     $ 214,488  
    Tax equivalent adjustment (non-GAAP)   240       214       242       671       755  
    Adjusted interest income (fully tax equivalent basis) (non-GAAP)   83,475       80,866       75,758       242,463       215,243  
    Interest expense   35,749       34,935       28,280       103,367       72,353  
    Net interest income (fully tax equivalent basis) (non-GAAP) $ 47,726     $ 45,931     $ 47,478     $ 139,096     $ 142,890  
                       
    Average total earning assets $ 5,503,832     $ 5,465,645     $ 5,273,758     $ 5,440,145     $ 5,194,485  
    Less: average mark to market adjustment on investments (non-GAAP)   (51,075 )     (59,225 )     (61,103 )     (55,134 )     (58,577 )
    Adjusted average total earning assets, net of mark to market (non-GAAP) $ 5,554,907     $ 5,524,870     $ 5,334,861     $ 5,495,279     $ 5,253,062  
                       
    Net interest margin, fully tax equivalent basis (non-GAAP) (annualized)   3.42 %     3.34 %     3.53 %     3.38 %     3.64 %

    CNB FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited
    (dollars in thousands, except per share data)

    Reconciliation of Non-GAAP Financial Measures

      Three Months Ended   Nine Months Ended
      September 30,
    2024
      June 30,
    2024
      September 30,
    2023
      September 30,
    2024
      September 30,
    2023
    Calculation of PPNR (non-GAAP): (1)                  
    Net interest income $ 47,486     $ 45,717     $ 47,236     $ 138,425     $ 142,135  
    Add: Non-interest income   10,973       8,865       7,863       28,793       24,198  
    Less: Non-interest expense   38,784       35,989       36,914       112,197       106,892  
    PPNR (non-GAAP) $ 19,675     $ 18,593     $ 18,185     $ 55,021     $ 59,441  
                       
    (1) Management believes that this is an important metric as it illustrates the underlying performance of the Corporation, it enables investors and others to assess the Corporation’s ability to generate capital to cover credit losses through the credit cycle and provides consistent reporting with a key metric used by bank regulatory agencies.
      Three Months Ended   Nine Months Ended
      September 30,
    2024
      June 30,
    2024
      September 30,
    2023
      September 30,
    2024
      September 30,
    2023
    Calculation of efficiency ratio:                  
    Non-interest expense $ 38,784     $ 35,989     $ 36,914     $ 112,197     $ 106,892  
                       
    Non-interest income $ 10,973     $ 8,865     $ 7,863     $ 28,793     $ 24,198  
    Net interest income   47,486       45,717       47,236       138,425       142,135  
    Total revenue $ 58,459     $ 54,582     $ 55,099     $ 167,218     $ 166,333  
    Efficiency ratio   66.34 %     65.94 %     67.00 %     67.10 %     64.26 %
                       
    Calculation of efficiency ratio (fully tax equivalent basis) (non-GAAP):                  
    Non-interest expense $ 38,784     $ 35,989     $ 36,914     $ 112,197     $ 106,892  
    Less: core deposit intangible amortization   18       19       20       57       65  
    Adjusted non-interest expense (non-GAAP) $ 38,766     $ 35,970     $ 36,894     $ 112,140     $ 106,827  
                       
    Non-interest income $ 10,973     $ 8,865     $ 7,863     $ 28,793     $ 24,198  
                       
    Net interest income $ 47,486     $ 45,717     $ 47,236     $ 138,425     $ 142,135  
    Less: tax exempt investment and loan income, net of TEFRA (non-GAAP)   1,473       1,318       1,376       4,127       4,043  
    Add: tax exempt investment and loan income (fully tax equivalent basis) (non-GAAP)   2,123       1,902       1,955       5,957       5,668  
    Adjusted net interest income (fully tax equivalent basis) (non-GAAP)   48,136       46,301       47,815       140,255       143,760  
    Adjusted net revenue (fully tax equivalent basis) (non-GAAP) $ 59,109     $ 55,166     $ 55,678     $ 169,048     $ 167,958  
                       
    Efficiency ratio (fully tax equivalent basis) (non-GAAP)   65.58 %     65.20 %     66.26 %     66.34 %     63.60 %

    CNB FINANCIAL CORPORATION
    CONSOLIDATED FINANCIAL DATA
    Unaudited
    (dollars in thousands, except per share data)

    Reconciliation of Non-GAAP Financial Measures

      Three Months Ended   Nine Months Ended
      September 30,
    2024
      June 30,
    2024
      September 30,
    2023
      September 30,
    2024
      September 30,
    2023
    Calculation of return on average tangible common equity (non-GAAP):                  
    Net income $ 13,954     $ 12,957     $ 13,727     $ 39,511     $ 44,043  
    Less: preferred stock dividends   1,076       1,075       1,076       3,226       3,226  
    Net income available to common shareholders $ 12,878     $ 11,882     $ 12,651     $ 36,285     $ 40,817  
                       
    Average shareholders’ equity $ 597,984     $ 583,221     $ 555,464     $ 586,017     $ 548,034  
    Less: average goodwill & intangibles   44,108       44,127       44,186       44,127       44,201  
    Less: average preferred equity   57,785       57,785       57,785       57,785       57,785  
    Tangible common shareholders’ equity (non-GAAP) $ 496,091     $ 481,309     $ 453,493     $ 484,105     $ 446,048  
                       
    Return on average equity (GAAP) (annualized)   9.28 %     8.94 %     9.80 %     9.01 %     10.74 %
    Return on average common equity (GAAP) (annualized)   9.48 %     9.10 %     10.09 %     9.18 %     11.13 %
    Return on average tangible common equity (non-GAAP) (annualized)   10.33 %     9.93 %     11.07 %     10.01 %     12.23 %

    The MIL Network

  • MIL-OSI: iRhythm Technologies Receives FDA 510(k) Clearance for Design Updates Previously Made to Its Zio® AT Device

    Source: GlobeNewswire (MIL-OSI)

    SAN FRANCISCO, Oct. 21, 2024 (GLOBE NEWSWIRE) — iRhythm Technologies, Inc. (NASDAQ:IRTC), a leading digital health care company focused on creating trusted solutions that detect, predict, and prevent disease, announced today that the U.S. Food and Drug Administration (FDA) has granted clearance for its 510(k) submission related to prior design changes made to the Zio AT device via letter to file. Zio AT remains commercially available on the market to ship to customers in the United States.

    “This clearance is related to modifications and certain enhancements to our Zio AT device previously made via letter to file and has been a priority for our teams to demonstrate iRhythm’s commitment to quality, compliance and performance,” said Quentin Blackford, iRhythm President and Chief Executive Officer. “We are pleased to have received this first 510(k) clearance in line with the sequence of how we submitted the first of two 510(k)s at the beginning of this year, and we look forward to hearing about our second 510(k) in the near future. Both 510(k) submissions are related to our ongoing remediation efforts with the FDA, and we remain committed to patient safety, physician trust in Zio AT’s clinical performance, service quality, and regulatory compliance.”

    About the Zio AT System

    The Zio AT device is a prescription-only outpatient cardiac telemetry device, commonly referred to as a mobile cardiac telemetry device, which is used for the provision of our mobile cardiac telemetry (MCT) services. The Zio AT system consists of: the Zio AT patch, an ECG monitor that continuously records ECG data for up to 14 days; the wireless gateway that provides connectivity between the Zio AT patch and the Zio ECG Utilization Software (ZEUS) to transmit data during the wear period; and ZEUS, iRhythm’s deep-learning algorithm that analyzes cardiac events transmitted by the Zio AT device and gateway. The Zio AT services provide event transmission reports during wear and a comprehensive end-of-wear report1-4 with preliminary findings to the treating medical professional for final clinical decisions. The Zio AT services are provided by iRhythm’s independent diagnostic testing facilities located in San Francisco, California, Deerfield, Illinois and Houston, Texas.

    Zio Services’ Clinically Proven Performance

    The value of the Zio service has been demonstrated in over 100 original scientific research manuscripts5. Zio AT’s patient-centered design enables high patient compliance and analyzable time with minimal noise or artifact6-8, and real-world data shows an impressive 98% patient compliance9, in part thanks to Zio AT’s zero required patient manipulations. Furthermore, physicians agree with the Zio service’s comprehensive end-of-wear report 99% of the time10-11.

    About iRhythm Technologies, Inc.
    iRhythm is a leading digital health care company that creates trusted solutions that detect, predict, and prevent disease. Combining wearable biosensors and cloud-based data analytics with powerful proprietary algorithms, iRhythm distills data from millions of heartbeats into clinically actionable information. Through a relentless focus on patient care, iRhythm’s vision is to deliver better data, better insights, and better health for all. To learn more about iRhythm, including its portfolio of Zio products and services, please visit irhythmtech.com.

    Zio AT Indications For Use

    The Zio AT device is intended to capture and transmit symptomatic and asymptomatic cardiac events and record continuous electrocardiogram (ECG) data for long-term monitoring. It is indicated for use on patients 18 years or older who may be asymptomatic or who may suffer from transient symptoms such as palpitations, shortness of breath, dizziness, light-headedness, pre-syncope, syncope, fatigue, or anxiety. It is not intended for use on critical care patients.

    Contraindications

    • Do not use the Zio AT device for patients with symptomatic episodes where variations in cardiac performance could result in immediate danger to the patient or when real-time or in-patient monitoring should be prescribed.
    • Do not use the Zio AT device for patients with known history of life-threatening arrhythmias.
    • Do not use the Zio AT device in combination with external cardiac defibrillators or high frequency surgical equipment near strong magnetic fields or devices such as MRI.
    • Do not use the Zio AT device on patients with a neuro-stimulator, as it may disrupt the quality of ECG data.
    • Do not use the Zio AT device on patients who do not have the competency to wear the device for the prescribed monitoring period.

    Investor Contact
    Stephanie Zhadkevich
    investors@irhythmtech.com

    Media Contact
    Kassandra Perry
    irhythm@highwirepr.com

    1. Zio AT Clinical Reference Manual. iRhythm Technologies, 2022.
    2. Continuous, uninterrupted refers to the recording of ECG data. Zio AT Gateway transmissions may be impacted by a variety of factors. See Product Labeling for more information.
    3. Zio AT is contraindicated for critical care patients.
    4. Do not use Zio AT for patients with symptomatic episodes where variations in cardiac performance could result in immediate danger to the patient or when real-time or in-patient monitoring should be prescribed. Refer to the Zio AT labeling and Clinical Reference Manual for full contraindications.
    5. Data on file. iRhythm Technologies, 2023.
    6. Data on file. iRhythm Technologies, 2022-2023.
    7. Zio XT Clinical Reference Manual. iRhythm Technologies, 2019.
    8. Zio monitor Instructions for Use. iRhythm Technologies, 2023.
    9. Zio AT Clinical Reference Manual. iRhythm Technologies, 2022.
    10. Data on file. iRhythm Technologies, 2021-2022.
    11. Based on a review of all online Zio XT, Zio monitor, and Zio AT end-of-wear reports. Data on file. iRhythm Technologies, 2023.

    The MIL Network

  • MIL-OSI: Jamf to Report Third Quarter 2024 Financial Results on November 7, 2024

    Source: GlobeNewswire (MIL-OSI)

    MINNEAPOLIS, Oct. 21, 2024 (GLOBE NEWSWIRE) — Jamf (NASDAQ: JAMF), the standard in managing and securing Apple at work, announced today it will report third quarter 2024 financial results for the period ended September 30, 2024, following the close of the market on Thursday, November 7, 2024. On that day, management will host a conference call and webcast at 3:30 p.m. CT (4:30 p.m. ET) to discuss the company’s business and financial results.

    Jamf Third Quarter 2024 Earnings Conference Call

    When: Thursday, November 7, 2024

    Time: 3:30 p.m. CT (4:30 p.m. ET)

    Live Webcast: The conference call will be webcast live on Jamf’s Investor Relations website at https://ir.jamf.com.

    Those parties interested in participating via telephone may register on Jamf’s Investor Relations website or by clicking here.

    Replay: A replay of the call will be available on the Investor Relations website beginning on November 7, 2024, at approximately 6:00 p.m. CT (7:00 p.m. ET).

    About Jamf

    Jamf’s purpose is to simplify work by helping organizations manage and secure an Apple experience that end users love and organizations trust. Jamf is the only company in the world that provides a complete management and security solution for an Apple-first environment that is enterprise secure, consumer simple and protects personal privacy. To learn more, visit: http://www.jamf.com.

    Investor Contact:
    Jennifer Gaumond
    ir@jamf.com

    Media Contact:
    media@jamf.com

    The MIL Network

  • MIL-OSI: Rich Steinmeier Named Chief Executive Officer of LPL Financial; Elected to Board of Directors

    Source: GlobeNewswire (MIL-OSI)

    SAN DIEGO, Oct. 21, 2024 (GLOBE NEWSWIRE) — LPL Financial Holdings Inc. (Nasdaq: LPLA) today announced that the Board of Directors has confirmed Rich Steinmeier as Chief Executive Officer. Steinmeier, who had been interim CEO since October 1, was also elected a member of the Board.  

    In addition, the Board named Matt Audette as President and Chief Financial Officer, expanding his previous role as Chief Financial Officer and Head of Business Operations. The appointments are effective immediately.  

    “LPL is fortunate to benefit from an exceptionally strong team with leaders who have a clear vision for the continued success of the business,” said Jim Putnam, chair of the LPL Financial Board of Directors.  

    “Rich’s appointment to CEO, which reflects the Board’s succession plan, is a testament to the valuable contributions he has made during his tenure with LPL and the trusted relationships he has established with clients and employees,” added Putnam, noting that LPL’s organic growth rate has more than doubled since Rich joined the company in 2018 to lead its growth initiatives. “With Rich as CEO and Matt in his expanded role as President, the Board is confident that LPL’s trajectory of high performance and its steadfast commitment to serving clients will continue to build stakeholder value.” 

    “The success of LPL is shaped by the clear-eyed view from our talented team that all Americans deserve access to sound financial advice. It is an incredible honor to lead the company that delivers on this purpose,” said Steinmeier. “I’m fortunate to collaborate with Matt and our leadership team to elevate our service to clients, provide rewarding careers for our people, and to build on our momentum as one of the fastest growing companies in wealth management.” 

    “We’re operating from a position of strength with a leadership team that is sharply focused on supporting our clients’ success through innovative solutions,” said Audette. “I look forward to continuing my partnership with Rich as we expand on our leading position in the advisor-centered marketplace and enhance value for all the stakeholders we serve.” 

    About Rich Steinmeier  

    Steinmeier, 50, was appointed LPL Financial’s interim CEO on October 1, 2024. He previously served as Managing Director, Chief Growth Officer and, prior to that, as Divisional President, Business Strategy and Growth. As Chief Growth Officer, he led teams responsible for shaping corporate and business line strategy, recruiting new financial advisors and institutions, leading the field management of LPL employee advisors, creating and deploying capital solutions to LPL clients, and leading the marketing and communications functions. 

    Before joining LPL in 2018, Steinmeier held senior leadership roles at UBS Financial and Merrill Lynch as well as working as a consultant for McKinsey & Company. Steinmeier earned a B.S. in economics from the Wharton School at the University of Pennsylvania and an M.B.A. from Stanford University. 

    About Matt Audette 

    Audette, 50, joined LPL Financial as Chief Financial Officer in 2015 and assumed responsibility for the firm’s business operations in 2023. Audette is responsible for the firm’s financial, risk, compliance and client operations functions. In addition, he oversees the teams responsible for delivering increased operational speed and transparency, along with continued strong risk management, to advisors and institutions. Over Audette’s tenure, he has contributed to the firm’s continued growth and profitability by leading corporate acquisitions, debt transactions, the client deposit portfolio, expense management, and capital allocation. 

    Prior to joining LPL, Audette served as Executive Vice President and Chief Financial Officer of E*TRADE Financial Corporation. Audette earned a Bachelor of Science in accounting from Virginia Tech. 

    About LPL Financial  

    LPL Financial Holdings Inc. (Nasdaq: LPLA) was founded on the principle that the firm should work for advisors and institutions, and not the other way around. Today, LPL is a leader in the markets we serve, serving more than 23,000 financial advisors, including advisors at approximately 1,000 institutions and at approximately 580 registered investment advisor firms nationwide. We are steadfast in our commitment to the advisor-mediated model and the belief that Americans deserve access to personalized guidance from a financial professional. At LPL, independence means that advisors and institution leaders have the freedom they deserve to choose the business model, services and technology resources that allow them to run a thriving business. They have the flexibility to do business theirway. And they have the freedom to manage their client relationships, because they know their clients best. Simply put, we take care of our advisors and institutions, so they can take care of their clients. 

    Securities and Advisory services offered through LPL Financial LLC (“LPL Financial”), a registered investment advisor.Member FINRA/SIPC. LPL Financial and its affiliated companies provide financial services only from the United States. 

    Throughout this communication, the terms “financial advisors” and “advisors” are used to refer to registered representatives and/or investment advisor representatives affiliated with LPL Financial. We routinely disclose information that may be important to shareholders in the “Investor Relations” or “Press Releases” section of our website. 

    Media Contact 
    Jen Roche 
    jen.roche@lplfinancial.com 

    The MIL Network

  • MIL-OSI: Climate Tech VC Cerulean Ventures to Hold Biodiversity Roundtable during UN Biodiversity COP 16, Cali, Colombia

    Source: GlobeNewswire (MIL-OSI)

    SANTA BARBARA, Calif., Oct. 21, 2024 (GLOBE NEWSWIRE) — Cerulean Ventures, a climate tech venture capital firm operating in the trillion dollar annual climate finance sector, will hold a roundtable at Bloom 24 on Friday, October 25th titled: “Investing in Technology for a Nature Positive Economy.”

    Cerulean Ventures is a leading investor in market-based solutions to value nature, define and document environmental assets and center biodiversity as a measure of ecosystem health and nature-positive business practices. Cerulean Ventures co-founders Matthew Stotts and Jahed Momand will be participating in the United Nations Biodiversity Conference, COP 16 as blue zone delegates. Cerulean was also a participant at the Biodiversity COP 15 in Montréal in 2022.

    “We are proud to lead this discussion during the United Nations Biodiversity Conference, COP 16,” said Jahed Momand, general partner of Cerulean Ventures. “Cerulean’s climate tech thesis is to invest venture capital in software businesses that connect the global economy for nature-positive outcomes.”

    Matthew and Jahed’s work with the Cerulean Ventures portfolio of climate tech entrepreneurs deepens the general partners’ years of work on biodiversity, nature-based solutions, decarbonization, circular economy, decentralized energy and global networks for coordinating climate finance and accounting. Cerulean’s portfolio of investments include highly-scalable software and data for sustainable supply chains, financial technology for carbon and energy markets, and several innovations in climate finance.

    About Cerulean Ventures
    https://cerulean.vc/

    Cerulean Ventures invests in pre-seed and seed stage Climate FinTech, SaaS and blockchain businesses tapping into the network effects of nature, renewable energy and climate-positive economies. Cerulean finds earth-scale (global) technology opportunities in areas like renewable energy, blue carbon, reforestation, biodiversity and regenerative agriculture, as well as decarbonization, circularity and sustainability across industry, manufacturing, transportation, construction, and supply chains.

    The MIL Network

  • MIL-OSI: Monroe Capital Corporation Schedules Third Quarter 2024 Earnings Release and Conference Call

    Source: GlobeNewswire (MIL-OSI)

    CHICAGO, Oct. 21, 2024 (GLOBE NEWSWIRE) — Monroe Capital Corporation (the “Company”) (NASDAQ: MRCC) announced today that it will report its third quarter ended September 30, 2024 financial results on Tuesday, November 12, 2024, after the close of the financial markets.

    The Company will host a webcast and conference call to discuss these operating and financial results on Wednesday, November 13, 2024 at 11:00 a.m. Eastern Time. The webcast will be hosted on a webcast link located in the Investor Relations section of our website at http://ir.monroebdc.com/events.cfm. To participate in the conference call, please dial (800) 715-9871 approximately 10 minutes prior to the call. Please reference conference ID # 5769748. For those unable to listen to the live broadcast, the webcast will be available for replay on the Company’s website approximately two hours after the event.

    About Monroe Capital Corporation

    Monroe Capital Corporation is a publicly-traded specialty finance company that principally invests in senior, unitranche and junior secured debt and, to a lesser extent, unsecured debt and equity investments in middle-market companies. The Company’s investment objective is to maximize the total return to its stockholders in the form of current income and capital appreciation. The Company’s investment activities are managed by its investment adviser, Monroe Capital BDC Advisors, LLC, which is an investment adviser registered under the Investment Advisers Act of 1940, as amended, and an affiliate of Monroe Capital LLC. To learn more about Monroe Capital Corporation, visit http://www.monroebdc.com.

    About Monroe Capital LLC

    Monroe Capital LLC (including its subsidiaries and affiliates, together “Monroe”) is a premier asset management firm specializing in private credit markets across various strategies, including direct lending, technology finance, venture debt, alternative credit, structured credit, real estate and equity. Since 2004, the firm has been successfully providing capital solutions to clients in the U.S. and Canada. Monroe prides itself on being a value-added and user-friendly partner to business owners, management, and both private equity and independent sponsors. Monroe’s platform offers a wide variety of investment products for both institutional and high net worth investors with a focus on generating high quality “alpha” returns irrespective of business or economic cycles. The firm is headquartered in Chicago and maintains 10 offices throughout the United States and Asia.

    Monroe has been recognized by both its peers and investors with various awards including Private Debt Investor as the 2023 Lower Mid-Market Lender of the Decade, 2023 Lower Mid-Market Lender of the Year, 2023 CLO Manager of the Year, Americas; Inc.’s 2023 Founder-Friendly Investors List; Global M&A Network as the 2023 Lower Mid-Markets Lender of the Year, U.S.A.; DealCatalyst as the 2022 Best CLO Manager of the Year; Korean Economic Daily as the 2022 Best Performance in Private Debt – Mid Cap; Creditflux as the 2021 Best U.S. Direct Lending Fund; and Pension Bridge as the 2020 Private Credit Strategy of the Year. For more information and important disclaimers, please visit http://www.monroecap.com.

    Forward-Looking Statements

    This press release may contain certain forward-looking statements. Any such statements, other than statements of historical fact, are likely to be affected by other unknowable future events and conditions, including elements of the future that are or are not under the Company’s control, and that the Company may or may not have considered; accordingly, such statements cannot be guarantees or assurances of any aspect of future performance. Actual developments and results are highly likely to vary materially from these estimates and projections of the future. Such statements speak only as of the time when made, and the Company undertakes no obligation to update any such statement now or in the future.

    SOURCE:          Monroe Capital Corporation

    The MIL Network

  • MIL-OSI Canada: Minister Guilbeault delivers statement on opening day of COP16 in Cali, Colombia

    Source: Government of Canada News

    Our recent 2030 Nature Strategy, released ahead of COP16, charts our path to achieving our objectives. To hold this and any future government accountable to fulfill those goals, we introduced the Nature Accountability Bill that requires the Government to transparently report on their progress.

    October 21, 2024 – Ottawa, Ontario

    “COP16 is here, and Canada is ready. Our livelihoods, our communities, and our economies rely on being responsible with the natural world, which is telling us it is in trouble.

    “Canada is immensely proud of the role we played in hosting COP15 in Montréal. Seeing the gavel come down in the late hours of the conference to pass the Kunming–Montréal Global Biodiversity Framework was an unforgettable moment for me. Together, we landed an agreement many said was not possible and planted the seed for a strong global action.

    “COP16 is the first chance for countries to show their plans. The natural world simply won’t wait for us to get our act together. Our citizens and communities around the world expect us to deliver.

    “For our part, Canada has moved fast and early. We are steadily making progress on the largest conservation campaign in our country’s history, backed by over $12 billion in investments and aiming toward protecting 30 percent of Canadian land and water by 2030. Our recent 2030 Nature Strategy, released ahead of COP16, charts our path to achieving our objectives.

    “To hold this and any future government accountable to fulfill those goals, we introduced the Nature Accountability Bill that requires the Government to transparently report on their progress. To date, we have gone from one percent to 15 percent protected oceans. We have conserved almost half a million hectares of land, with many large-scale conservation projects in the works. We are upholding the Species at Risk Act to protect threatened species. We moved forward quickly with the hope that it would encourage other countries to announce ambitious biodiversity plans.

    “Canada is coming to COP16 ready to galvanize leadership and action. Since COP15, we launched the Nature Champions Network, a ministerial-level group that focuses on fostering international awareness and understanding of the global biodiversity framework. We are leading members of the High Ambition Coalition for Nature and People who played an instrumental role in landing the deal at COP15. Canada became the first contributor country to pledge $200 million for the Global Biodiversity Framework Fund launched in record time in 2023 to support developing countries in the implementation of their biodiversity plans to restore nature and grow resilient economies.

    “Increasing global biodiversity momentum requires partnerships, especially with Indigenous peoples. That’s why Canada looks forward to working with Indigenous peoples toward historic COP16 outcomes with the creation of a United Nations permanent body under the Convention on Biological Diversity that further recognizes the role and contribution of Indigenous peoples in the implementation of global biodiversity goals.   

    “Now is our chance. Let’s make COP16 a breakthrough for many countries ready to deliver on the global biodiversity framework.”

    Canada on-the-ground at COP16

    • Canada will call for rapid global action to protect biodiversity, including through strengthened engagement with Indigenous peoples.
    • Canada will host multiple side-events at COP, including two in partnership with Indigenous leadership innovation, to show the world the importance of collaboration with Indigenous peoples and successful Indigenous-led conservation in Canada.
    • Canada has delivered its ambitious 2030 Nature Strategy as promised at COP15 and is pioneering the Nature Accountability Bill, setting a new standard as one of the first countries in the world to propose legislation to meet biodiversity commitments at the federal level.
    • In 2023, Canada established the Nature Champions Network, a ministerial-level network that focuses on fostering international awareness and understanding of the Kunming–Montréal Global Biodiversity Framework and retaining momentum to ensure that all countries deliver updated national biodiversity strategies and action plans by COP16. The Champions will be at COP16 to discuss progress and advocate for rapid global biodiversity action.

    Quick facts

    • Both the 2030 Nature Strategy and the Nature Accountability Bill provide a roadmap for collaboration across all levels of government and with Indigenous peoples in the development and implementation of measures aimed at meeting Kunming–Montréal Global Biodiversity Framework and related Convention on Biological Diversity commitments.
    • At COP15, Prime Minister Justin Trudeau announced $350 million in funding to support developing countries in advancing biodiversity efforts and to support the implementation of the Post-2020 Global Biodiversity Framework.
    • Indigenous-led conservation is proven to help land, water, and communities thrive, and it is central to Canada’s plan to protect 30 percent of our land and water by 2030.
    • In recent years, the Government of Canada has made historic investments in Indigenous-led conservation projects, including through initiatives like the Indigenous Guardians Program.
    • Project Finance for Permanence provides multi-partner investments and sustainable financing for large-scale conservation and sustainable development projects. These initiatives bring together Indigenous organizations, governments, and the philanthropic community to identify shared goals for protecting nature and ultimately halting biodiversity loss while advancing community well-being and reconciliation with Indigenous peoples.
    • In 2022, during COP15, Prime Minister Justin Trudeau pledged to deliver up to $800 million in support of up to four Indigenous-led Project Finance for Permanence initiatives, including the Great Bear Sea Project Finance for Permanence.

    Hermine Landry
    Press Secretary
    Office of the Minister of Environment and Climate Change
    873-455-3714
    Hermine.Landry@ec.gc.ca

    Media Relations
    Environment and Climate Change Canada
    819-938-3338 or 1-844-836-7799 (toll-free)
    media@ec.gc.ca

    MIL OSI Canada News

  • MIL-OSI New Zealand: New Zealanders want publicly-owned rail ferries!

    Source: Maritime Union of New Zealand

    New polling released on 15 October by the Maritime Union of New Zealand (MUNZ) shows the public wants publicly owned, rail enabled ferries.

    The poll was conducted by Talbot Mills over the period of 2-14 October and asked:

    New ferry options

    As you may be aware, in relation to the Cook Strait ferries, “rail-enabled” means freight carriages can roll onto and off of the ferry directly rather than requiring unloading and reloading onto trucks as additional handling steps on each side of Cook Strait. The efficiency gains of being “rail enabled” is thought to add 10-20% to the overall cost to the ferries/infrastructure. The government is now considering three possible options for new ferries. Which of the following options is closest to the one you would support? 

    Results showed a clear public preference:

    Maritime Union spokesperson Victor Billot says “This shows that New Zealanders can see the terrible mistake the Minister has made in cancelling the new rail ferries and that is only going to get more obvious as the massive costs of this fiasco, like the cancellation fee of up to a half a billion dollars, come to light.

    “Rail enabled and publicly owned ferries are vital to New Zealand’s domestic freight. No rail ferries would likely mean no viable rail system, and privatising would be like putting a toll booth on the strait and sending the revenue overseas.

    “Unions want rail-enabled ferries, so do logistics companies including Mainfreight, New Zealand First has just said they want them, and now it’s clear the people of New Zealand want them too. The question is why is the Finance Minister so intent on forcing New Zealanders into a bad deal that nobody wants?”

    Road-bridging – the practice of taking containers from trains and transporting them onto non-rail ferries adds up to $200 per container cost and takes up to three hours more per sailing. Industry experts have noted this additional cost would price rail out of the north/south freight market.

    MIL OSI New Zealand News

  • MIL-OSI New Zealand: Appointments – GUARDIANS OF NEW ZEALAND SUPERANNUATION APPOINTS CO-CIOS

    Source: Guardians of New Zealand Superannuation

    The Guardians of New Zealand Superannuation, manager of the New Zealand Superannuation Fund, has appointed Brad Dunstan and Will Goodwin as joint Chief Investment Officers, effective 2 December 2024.

    The announcement follows a global search to replace former CIO Stephen Gilmore, who left the Guardians at the end of June.

    Guardians CEO Jo Townsend said Mr Gilmore’s departure had created an opportunity for the Guardians to review the way the investment team was structured.

    “Taking into account the projected future growth of the Fund and the increasingly complex and challenging investment environment in which we are operating, it makes sense to combine the functions of the CIO and the GM Portfolio Completion and create a co-CIO model,” Ms Townsend said.

    Mr Dunstan and Mr Goodwin, currently the Guardians’ Acting GM Portfolio Completion and Head of Direct Investments respectively, have both been with the Guardians for several years.

    Ms Townsend said the two men’s broad experience had been a tremendous asset to the Guardians’ management of the Super Fund, and the new structure would enable the Guardians to get the very best out of their complementary skills and expertise.

    Alex Bacchus will continue as Acting CIO until the new structure is implemented.

    MIL OSI New Zealand News

  • MIL-OSI Security: Stowe Man Sentenced to 14 Months in Jail for Unlawful Possession of a Firearm

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

    Burlington, Vermont – The United States Attorney’s Office for the District of Vermont stated that on October 21, 2024, Theodore Bland, 29, of Stowe, Vermont, was sentenced by United States District Judge William K. Sessions III to a term of 14 months’ imprisonment to be followed by a two-year term of supervised release. Bland previously pleaded guilty to possessing a Mossburg 12-gauge shotgun on March 17, 2023, while being an unlawful user of controlled substances and knowing that he was an unlawful user of controlled substances.

    According to court records, on March 17, 2023, Bland brandished a 12-gauge Mossburg Model 88 Maverick shotgun while threatening the driver of a vehicle in the parking lot of a South Burlington convenience store. The two female passengers that had been travelling with the threatened driver then got in Bland’s car. Bland and the two females then drove around for several hours, during which time Bland smoked cocaine base and continued to possess the shotgun. When Bland was stopped by the Vermont State Police, officers observed the Mossburg shotgun and various controlled substances located in the vehicle.

    After the sentencing hearing, Bland was arraigned on a separate, pending indictment, which charges drug and firearms crimes. The United States issued a press release on that matter on September 19, 2024. Bland pleaded not guilty to those charges and was detained pending trial.

    United States Attorney Nikolas P. Kerest commended the collaborative investigatory efforts of the South Burlington Police Department, the Vermont State Police, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Stowe Police Department, the Federal Bureau of Investigation, the Morristown Police Department, the Drug Enforcement Administration, and the Lamoille County Sheriff’s Department.

    The case was prosecuted by Assistant U.S. Attorneys Jason Turner and Paul Van de Graaf. Bland is represented by David Sleigh, Esq.

    This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit Justice.gov/PSN.

    MIL Security OSI

  • MIL-OSI USA: Federal judge orders Florida water park to pay $151K in penalties after Department of Labor again finds child labor violations

    Source: US Department of Labor

    ORLANDO, FL – The U.S. Department of Labor has obtained a consent order requiring a Jacksonville Beach water park to pay $151,606 in penalties after investigators found the company assigned young teenagers to work late hours during the school year and as attendants on elevated water slides without certification.

    The consent order by the department’s Office of Administrative Law Judges follows an investigation by the department’s Wage and Hour Division. Investigators determined 1944 Beach Boulevard LLC, operator of Adventure Landing, employed 14- and 15-year-olds to work past 7 p.m. on weeknights and past 9 p.m. on Fridays between the day after Labor Day and May 31, outside of the limitations permitted under federal law. 

    “Employing children to work excessively can jeopardize their well-being and education,” said Wage and Hour Division District Director Vilma Bell in Orlando, Florida. “We are committed to ensuring that young people have positive first employment experiences that teach them valuable skills while earning wages. Employers must understand and comply with federal child labor laws to ensure young workers’ safety.” 

    Investigators also found Adventure Landing assigned 14-year-old employees to work as attendants atop elevated water slides without required certifications. The Fair Labor Standards Act makes employing 14-year-olds in this type of work illegal.

    In addition to paying $151,606 in civil money penalties, the employer signed a compliance agreement to enhance child labor safeguards and prevent future violations. Adventure Landing will take the following steps:

    • Review and enhance training on child labor regulations for all employees, including translating content, and making those training materials easily reviewable by the department’s investigators.
    • Ensure managers report known child labor violations.
    • Provide a report that outlines steps to come into compliance. 

    This is the second time division investigators uncovered federal child labor violations at Adventure Landing. In 2018, the division assessed $6,199 in penalties after the employer assigned eight 14- and 15-year-olds to work longer and later than allowed and one child to perform prohibited work at its Pineville, N.C. location.

    In fiscal year 2023, the division found nearly 5,800 children employed nationally in violation of federal law, including more than 500 illegally employed in hazardous occupations, and assessed employers more than $8 million in child labor-related penalties, up 83 percent from the previous year.

    The department’s YouthRules! initiative promotes positive and safe work experiences for teens by providing information about protections for young workers to youth, parents, employers and educators. Through this initiative, the department and its partners promote developmental work experiences that help prepare young workers to enter the workforce. The division has also published Seven Child Labor Best Practices for Employers to help employers comply with the law. Learn more about the Fair Labor Standards Act’s child labor provisions. 

    Learn more about the Wage and Hour Division. Workers and employers can call the division’s toll-free helpline at 866-4US-WAGE (487-9243) confidentially with questions, regardless of immigration status. The division can speak with callers in more than 200 languages. Download the agency’s free Timesheet App for Android and iOS devices, available in English and Spanish, to help track work hours and pay.

    MIL OSI USA News

  • MIL-OSI USA: Department of Labor investigation of worker’s serious injuries finds Texas furniture manufacturer failed to install required machine guards

    Source: US Department of Labor

    TEMPLE, TX – Federal workplace safety investigators have determined that a Temple manufacturer and designer of school furnishings could have prevented an employee’s serious and permanent hand and arm injuries by installing required machine guards. 

    Investigators with the U.S. Department of Labor’s Occupational Safety and Health Administration learned that in April 2024, while using a garden hose to clean machine rollers at Artco-Bell Corp., the hose became caught in the rollers, pulling the worker’s arm into the machine and leading to the worker injury. 

    In addition to failing to ensure the use of machine guards, OSHA inspectors found the company exposed workers to respirable crystalline silica hazards. The agency issued citations for 24 serious safety and health violations and assessed $257,183 in proposed penalties.

    “An employee suffered painful injuries because Artco-Bell Corp. failed to comply with federal requirements for machine guards,” explained OSHA Area Director Monica Camacho in Austin, Texas. “Employers are responsible for ensuring their workers are trained to recognize and address workplace hazards, and that safety information is communicated in languages their employees understand.” 

    Since 1965, Artco-Bell Corp. has designed and manufactured furniture for schools and other educational settings. The company employs more than 250 people.

    The company has 15 business days from receipt of its citations and penalties to comply, request an informal conference with OSHA’s area director, or contest the findings before the independent Occupational Safety and Health Review Commission.

    Learn about proper machine guarding.

     Learn more about OSHA.

    MIL OSI USA News