Category: KB

MIL-OSI: National Fuel Reports First Quarter Earnings

Source: GlobeNewswire (MIL-OSI)

WILLIAMSVILLE, N.Y., Jan. 29, 2025 (GLOBE NEWSWIRE) — National Fuel Gas Company (“National Fuel” or the “Company”) (NYSE:NFG) today announced consolidated results for the first quarter of its 2025 fiscal year.

FISCAL 2025 FIRST QUARTER SUMMARY

GAAP net income of $45.0 million (or $0.49 per share), which includes $104.6 million in non-cash, after-tax impairment charges in the Exploration & Production segment, compared to GAAP net income of $133.0 million (or $1.44 per share) in the prior year.
Adjusted operating results of $151.9 million (or $1.66 per share), an increase of 14%, or $16.7 million ($0.20 per share), compared to the prior year. See non-GAAP reconciliation on page 2.
Pipeline & Storage segment net income increased $8.4 million, or 35%, compared to the prior year, primarily due to the settlement of the Supply Corporation rate case, which led to increased rates effective February 1, 2024.
Utility segment net income increased $5.9 million, or 22%, compared to the prior year driven by a three-year settlement of a rate proceeding in the Company’s New York jurisdiction, which led to increased rates starting October 1, 2024.
E&P segment adjusted operating results increased $2.6 million, or 5%, compared to the prior year, supported by hedging-related gains, which more than offset the $0.08 per MMBtu decrease in the weighted average natural gas price compared to the prior year.
The Company repurchased $34 million of common stock during the quarter, which brings the total amount repurchased to $99 million, or 1.7 million shares, under the $200 million share buyback program, authorized in March 2024.
The Company is increasing its guidance for fiscal 2025 adjusted earnings per share to a range of $6.50 to $7.00 as a result of higher forecasted natural gas prices and ongoing improvements in the outlook for each segment.

MANAGEMENT COMMENTS

David P. Bauer, President and CEO of National Fuel Gas Company, stated: “Fiscal 2025 is off to a great start for National Fuel, with each business contributing to our strong consolidated adjusted operating results.

“In our regulated segments, we are delivering on our long-term growth outlook, with adjusted earnings per share in the quarter increasing approximately 30% compared to the prior year. The recent approval of our rate case settlement in our New York utility jurisdiction, which extends through 2027, combined with the ongoing benefits from ratemaking activity in our Pennsylvania utility territory and at Supply Corporation, gives us further confidence in our 7% to 10% earnings growth projections over the next three years. Furthermore, our integrated upstream and gathering operations in the Eastern Development Area (“EDA”) continue to exceed expectations, with the combination of strong operational execution and our highly-prolific assets. This differentiated ability to drive capital efficiency improvements alongside a rising price outlook for natural gas positions these businesses to deliver strong results in the coming years. We expect that these tailwinds will contribute to rising free cash flow across the system and deliver significant value to National Fuel shareholders.”

RECONCILIATION OF GAAP EARNINGS TO ADJUSTED OPERATING RESULTS


	Three Months Ended
	December 31,
(in thousands except per share amounts)	2024			2023
Reported GAAP Earnings	$	44,986		$	133,020
Items impacting comparability:
Impairment of assets (E&P)		141,802			—
Tax impact of impairment of assets		(37,169	)		—
Unrealized (gain) loss on derivative asset (E&P)		349			4,198
Tax impact of unrealized (gain) loss on derivative asset		(94	)		(1,151	)
Unrealized (gain) loss on other investments (Corporate / All Other)		2,617			(1,049	)
Tax impact of unrealized (gain) loss on other investments		(550	)		220
Adjusted Operating Results	$	151,941		$	135,238

Reported GAAP Earnings Per Share	$	0.49		$	1.44
Items impacting comparability:
Impairment of assets, net of tax (E&P)		1.14			—
Unrealized (gain) loss on derivative asset, net of tax (E&P)		—			0.03
Unrealized (gain) loss on other investments, net of tax (Corporate / All Other)		0.02			(0.01	)
Rounding		0.01			—
Adjusted Operating Results Per Share	$	1.66		$	1.46

FISCAL 2025 GUIDANCE UPDATE

National Fuel is increasing its guidance for fiscal 2025 adjusted earnings per share, which are now expected to be within a range of $6.50 to $7.00. This updated range incorporates better than expected results in the first quarter along with the anticipated impact of higher natural gas prices and higher production in the Exploration and Production segment for the remainder of the fiscal year. The Company is now assuming NYMEX natural gas prices will average $3.50 per MMBtu for the remaining nine months of fiscal 2025, an increase of $0.70 from the $2.80 per MMBtu assumed in previous guidance. This updated natural gas price projection approximates the current NYMEX forward curve at this time, however; given the continued volatility in NYMEX natural gas prices, the Company is providing the following sensitivities to its adjusted operating results guidance range:

NYMEX Assumption *Remaining 9 months* ($/MMBtu)		Fiscal 2025 Adjusted Earnings Per Share Sensitivities
$3.00		$6.15 – $6.65
$3.50		$6.50 – $7.00
$4.00		$6.90 – $7.40

The Company’s production guidance for fiscal 2025 is now expected to be in the range of 410 to 425 Bcfe, an increase of 7.5 Bcfe, or 2%, at the midpoint compared to previous guidance. The revised production guidance is principally a result of ongoing improvements in Seneca’s well results and additional operational efficiencies in the highly prolific EDA. This is also expected to result in increased Gathering segment revenue, relative to the Company’s prior projections, and as a result the Company has increased the midpoint of its guidance range by $5 million. While the Company’s guidance does not incorporate any future price-related curtailments, with 87% of its projected fiscal 2025 production linked to firm sales contracts, Seneca has limited exposure to in-basin markets. Further, 71% of expected production for the balance of the fiscal year is either matched by a financial hedge, including a combination of swaps and no-cost collars, or was entered into at a fixed price, both of which provide price certainty for that production.

Additionally, as a result of operational improvements, the Company is revising Seneca’s capital expenditure guidance range downward to $495 million to $515 million, or $505 million at the midpoint, which is a $5 million decrease from the midpoint of the Company’s previous guidance.

The Company’s other fiscal 2025 guidance assumptions remain largely unchanged and are detailed in the table on page 7.

DISCUSSION OF FIRST QUARTER RESULTS BY SEGMENT

The following earnings discussion of each operating segment for the quarter ended December 31, 2024 is summarized in a tabular form on pages 8 and 9 of this report. It may be helpful to refer to those tables while reviewing this discussion.

Note that management defines adjusted operating results as reported GAAP earnings adjusted for items impacting comparability, and adjusted EBITDA as reported GAAP earnings before the following items: interest expense, income taxes, depreciation, depletion and amortization, other income and deductions, impairments, and other items reflected in operating income that impact comparability.

Upstream Business

Exploration and Production Segment

The Exploration and Production segment operations are carried out by Seneca Resources Company, LLC (“Seneca”). Seneca explores for, develops and produces primarily natural gas reserves in Pennsylvania.

	Three Months Ended
	December 31,
(in thousands)	2024			2023		Variance
GAAP Earnings	$	(46,777	)	$	52,483	$	(99,260	)
Impairment of assets, net of tax		104,633			—		104,633
Unrealized (gain) loss on derivative asset, net of tax		255			3,047		(2,792	)
Adjusted Operating Results	$	58,111		$	55,530	$	2,581

Adjusted EBITDA	$	156,645		$	159,970	$	(3,325	)

Seneca’s first quarter GAAP earnings decreased $99.3 million versus the prior year. This was driven by non-cash, pre-tax impairment charges of $141.8 million ($104.6 million after-tax), the majority of which is related to a “ceiling test” impairment which required Seneca to write-down the book value of its reserves under the full cost method of accounting. For purposes of the ceiling test, the 12-month average of first day of the month pricing for NYMEX natural gas for the period ended December 31, 2024 was $2.13 per MMBtu.

Excluding impairments, as well as the net impact of unrealized losses related to reductions in the fair value of contingent consideration received in connection with the June 2022 divestiture of Seneca’s California assets (see table above), Seneca’s adjusted operating results increased $2.6 million primarily due to higher realized natural gas prices after the impact of hedging and lower per unit operating expenses, partially offset by lower natural gas production.

During the first quarter, Seneca produced 97.7 Bcf of natural gas, a decrease of 3.0 Bcf, or 3%, from the prior year. Compared to the preceding fourth quarter of fiscal 2024, production in the first quarter is higher by 5.8 Bcf, or 6%. Early in the quarter, Seneca curtailed approximately 1 Bcf of production due to low in-basin pricing. Production in the quarter was lower than the prior year largely due to the timing of turn in line dates for new wells between fiscal years.

Seneca’s average realized natural gas price, after the impact of hedging and transportation costs, was $2.53 per Mcf, an increase of $0.02 per Mcf from the prior year. Seneca recorded hedging gains of $29.7 million, or an uplift of $0.30 per Mcf, during the quarter, which more than offset a $0.08 per Mcf decrease in pre-hedge natural gas price realizations versus the prior year.

On a per unit basis, first quarter Lease Operating Expense (“LOE”) was $0.67 per Mcf, consistent with the prior year. LOE included $55.0 million ($0.56 per Mcf) for gathering and compression services from the Company’s Gathering segment to connect Seneca’s production to sales points along interstate pipelines. General and Administrative Expense (“G&A”) was $0.20 per Mcf, an increase of $0.02 per Mcf compared to the prior year driven by the combination of higher personnel costs and modestly lower production. Depreciation, Depletion and Amortization Expense (“DD&A”) was $0.65 per Mcf, a decrease of $0.06 per Mcf from the prior year largely due to ceiling test impairments recorded in the third and fourth quarters of fiscal 2024 that lowered Seneca’s full cost pool depletable base.

Midstream Businesses

Pipeline and Storage Segment

The Pipeline and Storage segment’s operations are carried out by National Fuel Gas Supply Corporation (“Supply Corporation”) and Empire Pipeline, Inc. (“Empire”). The Pipeline and Storage segment provides natural gas transportation and storage services to affiliated and non-affiliated companies through an integrated system of pipelines and underground natural gas storage fields in western New York and Pennsylvania.

	Three Months Ended
	December 31,
(in thousands)	2024		2023		Variance
GAAP Earnings	$	32,454	$	24,055	$	8,399

Adjusted EBITDA	$	70,953	$	59,142	$	11,811

The Pipeline and Storage segment’s first quarter GAAP earnings increased $8.4 million versus the prior year primarily due to higher operating revenues, partly offset by higher operation and maintenance (“O&M”) expense.

The increase in operating revenues of $12.2 million, or 13%, was primarily attributable to an increase in Supply Corporation’s transportation and storage rates effective February 1, 2024, in accordance with its rate settlement, which was approved in fiscal 2024. O&M expense increased $1.1 million primarily due to higher pipeline integrity and labor-related costs.

Gathering Segment

The Gathering segment’s operations are carried out by National Fuel Gas Midstream Company, LLC’s limited liability companies. The Gathering segment constructs, owns and operates natural gas gathering pipelines and compression facilities in the Appalachian region, which delivers Seneca and other non-affiliated Appalachian production to the interstate pipeline system.

	Three Months Ended
	December 31,
(in thousands)	2024		2023		Variance
GAAP Earnings	$	27,145	$	28,825	$	(1,680	)

Adjusted EBITDA	$	51,936	$	53,061	$	(1,125	)

The Gathering segment’s first quarter GAAP earnings decreased $1.7 million versus the prior year due to lower operating revenues and higher DD&A expense.

Operating revenues decreased $1.5 million, or 2%, primarily due to a decrease in throughput from Seneca. DD&A expense increased $1.1 million primarily due to higher average depreciable plant in service compared to the prior year.

Downstream Business

Utility Segment

The Utility segment operations are carried out by National Fuel Gas Distribution Corporation (“Distribution Corporation”), which sells or transports natural gas to customers located in western New York and northwestern Pennsylvania.

	Three Months Ended
	December 31,
(in thousands)	2024		2023		Variance
GAAP Earnings	$	32,499	$	26,551	$	5,948

Adjusted EBITDA	$	60,665	$	53,366	$	7,299

The Utility segment’s first quarter GAAP earnings increased $5.9 million, or 22%, primarily as a result of the implementation of the recent rate case order in the Utility’s New York jurisdiction.

For the quarter, customer margin (operating revenues less purchased gas sold) increased $9.1 million, primarily due to the aforementioned rate case in Distribution Corporation’s New York jurisdiction, for which a settlement became effective October 1, 2024. Other income, which was also impacted by the rate settlement, increased $4.0 million. This was in large part due to the recognition of non-service pension and post-retirement benefit income that is offset with a corresponding reduction in new base rates and as a result, has no effect on net income.

O&M expense increased by $1.6 million, primarily driven by higher personnel costs, partially offset by a reduction related to amortizations of certain regulatory assets as a result of the New York rate settlement. DD&A expense increased $0.8 million primarily due to higher average depreciable plant in service compared to the prior year. Interest expense increased $2.3 million primarily due to a higher average amount of net borrowings.

Corporate and All Other

The Company’s operations that are included in Corporate and All Other generated a combined net loss of $0.3 million in the current-year first quarter, which was $1.4 million lower than combined earnings of $1.1 million in the prior-year first quarter. The reduction in earnings during the quarter was primarily driven by unrealized losses recorded on investment securities that fund non-qualified retirement benefit plans.

EARNINGS TELECONFERENCE

A conference call to discuss the results will be held on Thursday, January 30, 2025, at 9 a.m. ET. All participants must pre-register to join this conference using the Participant Registration link. A webcast link to the conference call will be provided under the Events Calendar on the NFG Investor Relations website at investor.nationalfuelgas.com. A replay will be available following the call through the end of the day, Thursday, February 6, 2025. To access the replay, dial 1-866-813-9403 and provide Access Code 245940.

National Fuel is an integrated energy company reporting financial results for four operating segments: Exploration and Production, Pipeline and Storage, Gathering, and Utility. Additional information about National Fuel is available at www.nationalfuel.com.

Certain statements contained herein, including statements identified by the use of the words “anticipates,” “estimates,” “expects,” “forecasts,” “intends,” “plans,” “predicts,” “projects,” “believes,” “seeks,” “will,” “may” and similar expressions, and statements which are other than statements of historical facts, are “forward-looking statements” as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties, which could cause actual results or outcomes to differ materially from those expressed in the forward-looking statements. The Company’s expectations, beliefs and projections contained herein are expressed in good faith and are believed to have a reasonable basis, but there can be no assurance that such expectations, beliefs or projections will result or be achieved or accomplished. In addition to other factors, the following are important factors that could cause actual results to differ materially from those discussed in the forward-looking statements: impairments under the SEC’s full cost ceiling test for natural gas reserves; changes in the price of natural gas; changes in laws, regulations or judicial interpretations to which the Company is subject, including those involving derivatives, taxes, safety, employment, climate change, other environmental matters, real property, and exploration and production activities such as hydraulic fracturing; governmental/regulatory actions, initiatives and proceedings, including those involving rate cases (which address, among other things, target rates of return, rate design, retained natural gas and system modernization), environmental/safety requirements, affiliate relationships, industry structure, and franchise renewal; the Company’s ability to estimate accurately the time and resources necessary to meet emissions targets; governmental/regulatory actions and/or market pressures to reduce or eliminate reliance on natural gas; changes in economic conditions, including inflationary pressures, supply chain issues, liquidity challenges, and global, national or regional recessions, and their effect on the demand for, and customers’ ability to pay for, the Company’s products and services; the creditworthiness or performance of the Company’s key suppliers, customers and counterparties; financial and economic conditions, including the availability of credit, and occurrences affecting the Company’s ability to obtain financing on acceptable terms for working capital, capital expenditures and other investments, including any downgrades in the Company’s credit ratings and changes in interest rates and other capital market conditions; changes in price differentials between similar quantities of natural gas sold at different geographic locations, and the effect of such changes on commodity production, revenues and demand for pipeline transportation capacity to or from such locations; the impact of information technology disruptions, cybersecurity or data security breaches; factors affecting the Company’s ability to successfully identify, drill for and produce economically viable natural gas reserves, including among others geology, lease availability and costs, title disputes, weather conditions, water availability and disposal or recycling opportunities of used water, shortages, delays or unavailability of equipment and services required in drilling operations, insufficient gathering, processing and transportation capacity, the need to obtain governmental approvals and permits, and compliance with environmental laws and regulations; the Company’s ability to complete strategic transactions; increased costs or delays or changes in plans with respect to Company projects or related projects of other companies, as well as difficulties or delays in obtaining necessary governmental approvals, permits or orders or in obtaining the cooperation of interconnecting facility operators; increasing health care costs and the resulting effect on health insurance premiums and on the obligation to provide other post-retirement benefits; other changes in price differentials between similar quantities of natural gas having different quality, heating value, hydrocarbon mix or delivery date; the cost and effects of legal and administrative claims against the Company or activist shareholder campaigns to effect changes at the Company; negotiations with the collective bargaining units representing the Company’s workforce, including potential work stoppages during negotiations; uncertainty of natural gas reserve estimates; significant differences between the Company’s projected and actual production levels for natural gas; changes in demographic patterns and weather conditions (including those related to climate change); changes in the availability, price or accounting treatment of derivative financial instruments; changes in laws, actuarial assumptions, the interest rate environment and the return on plan/trust assets related to the Company’s pension and other post-retirement benefits, which can affect future funding obligations and costs and plan liabilities; economic disruptions or uninsured losses resulting from major accidents, fires, severe weather, natural disasters, terrorist activities or acts of war, as well as economic and operational disruptions due to third-party outages; significant differences between the Company’s projected and actual capital expenditures and operating expenses; or increasing costs of insurance, changes in coverage and the ability to obtain insurance. The Company disclaims any obligation to update any forward-looking statements to reflect events or circumstances after the date thereof.

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES

GUIDANCE SUMMARY

As discussed on page 2, the Company is revising its adjusted earnings per share guidance for fiscal 2025. Additional details on the Company’s forecast assumptions and business segment guidance are outlined in the table below.

The revised adjusted earnings per share guidance range excludes certain items that impacted the comparability of adjusted operating results during the three months ended December 31, 2024, including: (1) the after tax impairment of assets, which reduced earnings by $1.14 per share; (2) after-tax unrealized losses on a derivative asset, which reduced earnings by less than $0.01 per share; and (3) after-tax unrealized losses on other investments, which reduced earnings by $0.02 per share. While the Company expects to record certain adjustments to unrealized gain or loss on a derivative asset and unrealized gain or loss on investments during the nine months ending September 30, 2025, the amounts of these and other potential adjustments and charges, including ceiling test impairments, are not reasonably determinable at this time. As such, the Company is unable to provide earnings guidance other than on a non-GAAP basis.

	Previous FY 2025 Guidance	Updated FY 2025 Guidance

Consolidated Adjusted Earnings per Share	$5.50 to $6.00	$6.50 to $7.00
Consolidated Effective Tax Rate	~ 24.5 – 25%	~ 25%

Capital Expenditures(Millions)
Exploration and Production	$495 – $525	$495 – $515
Pipeline and Storage	$130 – $150	$130 – $150
Gathering	$95 – $110	$95 – $110
Utility	$165 – $185	$165 – $185
Consolidated Capital Expenditures	$885 – $970	$885 – $960

Exploration and Production Segment Guidance

Commodity Price Assumptions*
NYMEX natural gas price	$2.80 /MMBtu	$3.50 /MMBtu
Appalachian basin spot price	$2.00 /MMBtu	$2.90 /MMBtu

Realized natural gas prices, after hedging ($/Mcf)	$2.47 – $2.51	$2.77 – $2.81

Production (Bcf)	400 to 420	410 to 425

E&P Operating Costs($/Mcf)
LOE	$0.68 – $0.70	$0.68 – $0.70
G&A	$0.18 – $0.19	$0.18 – $0.19
DD&A	$0.65 – $0.69	$0.63 – $0.67

Other Business Segment Guidance(Millions)
Gathering Segment Revenues	$245 – $255	$250 – $260
Pipeline and Storage Segment Revenues	$415 – $435	$415 – $435

* Commodity price assumptions are for the remaining nine months of the fiscal year.

NATIONAL FUEL GAS COMPANY
RECONCILIATION OF CURRENT AND PRIOR YEAR GAAP EARNINGS
QUARTER ENDED DECEMBER 31, 2024
(Unaudited)

	Upstream			Midstream						Downstream

	Exploration &			Pipeline &									Corporate /
(Thousands of Dollars)	Production			Storage			Gathering			Utility			All Other			Consolidated*

First quarter 2024 GAAP earnings	$	52,483		$	24,055		$	28,825		$	26,551		$	1,106		$	133,020
Items impacting comparability:
Unrealized (gain) loss on derivative asset		4,198															4,198
Tax impact of unrealized (gain) loss on derivative asset		(1,151	)														(1,151	)
Unrealized (gain) loss on other investments														(1,049	)		(1,049	)
Tax impact of unrealized (gain) loss on other investments														220			220
First quarter 2024 adjusted operating results		55,530			24,055			28,825			26,551			277			135,238
Drivers of adjusted operating results**
Upstream Revenues
Higher (lower) natural gas production		(6,016	)														(6,016	)
Higher (lower) realized natural gas prices, after hedging		1,885															1,885
Midstream Revenues
Higher (lower) operating revenues					9,637			(1,151	)								8,486
Downstream Margins***
Impact of usage and weather											(325	)					(325	)
Impact of new rates in New York											7,865						7,865
Operating Expenses
Lower (higher) lease operating and transportation expenses		1,133															1,133
Lower (higher) operating expenses					(856	)					(1,244	)					(2,100	)
Lower (higher) depreciation / depletion		6,842						(835	)		(624	)					5,383
Other Income (Expense)
Higher (lower) other income		(1,680	)								3,176			1,686			3,182
(Higher) lower interest expense											(1,785	)					(1,785	)
Income Taxes
Lower (higher) income tax expense / effective tax rate		(8	)		(488	)		443			(584	)		205			(432	)
All other / rounding		425			106			(137	)		(531	)		(436	)		(573	)
First quarter 2025 adjusted operating results		58,111			32,454			27,145			32,499			1,732			151,941
Items impacting comparability:
Impairment of assets		(141,802	)														(141,802	)
Tax impact of impairment of assets		37,169															37,169
Unrealized gain (loss) on derivative asset		(349	)														(349	)
Tax impact of unrealized gain (loss) on derivative asset		94															94
Unrealized gain (loss) on other investments														(2,617	)		(2,617	)
Tax impact of unrealized gain (loss) on other investments														550			550
First quarter 2025 GAAP earnings	$	(46,777	)	$	32,454		$	27,145		$	32,499		$	(335	)	$	44,986

* Amounts do not reflect intercompany eliminations.
** Drivers of adjusted operating results have been calculated using the 21% federal statutory rate.
*** Downstream margin defined as operating revenues less purchased gas expense.

NATIONAL FUEL GAS COMPANY
RECONCILIATION OF CURRENT AND PRIOR YEAR GAAP EARNINGS PER SHARE
QUARTER ENDED DECEMBER 31, 2024
(Unaudited)

	Upstream			Midstream						Downstream

	Exploration &			Pipeline &									Corporate /
	Production			Storage			Gathering			Utility			All Other			Consolidated*

First quarter 2024 GAAP earnings per share	$	0.57		$	0.26		$	0.31		$	0.29		$	0.01		$	1.44
Items impacting comparability:
Unrealized (gain) loss on derivative asset, net of tax		0.03															0.03
Unrealized (gain) loss on other investments, net of tax														(0.01	)		(0.01	)
First quarter 2024 adjusted operating results per share		0.60			0.26			0.31			0.29			—			1.46
Drivers of adjusted operating results**
Upstream Revenues
Higher (lower) natural gas production		(0.07	)														(0.07	)
Higher (lower) realized natural gas prices, after hedging		0.02															0.02
Midstream Revenues
Higher (lower) operating revenues					0.11			(0.01	)								0.10
Downstream Margins***
Impact of usage and weather											—						—
Impact of new rates in New York											0.09						0.09
Operating Expenses
Lower (higher) lease operating and transportation expenses		0.01															0.01
Lower (higher) operating expenses					(0.01	)					(0.01	)					(0.02	)
Lower (higher) depreciation / depletion		0.08						(0.01	)		(0.01	)					0.06
Other Income (Expense)
Higher (lower) other income		(0.02	)								0.03			0.02			0.03
(Higher) lower interest expense											(0.02	)					(0.02	)
Income Taxes
Lower (higher) income tax expense / effective tax rate		—			(0.01	)		—			(0.01	)		—			(0.02	)
All other / rounding		0.02			—			0.01			—			(0.01	)		0.02
First quarter 2025 adjusted operating results per share		0.64			0.35			0.30			0.36			0.01			1.66
Items impacting comparability:
Impairment of assets, net of tax		(1.14	)														(1.14	)
Unrealized gain (loss) on derivative asset, net of tax		—															—
Unrealized gain (loss) on other investments, net of tax														(0.02	)		(0.02	)
Rounding		(0.01	)														(0.01	)
First quarter 2025 GAAP earnings per share	$	(0.51	)	$	0.35		$	0.30		$	0.36		$	(0.01	)	$	0.49

* Amounts do not reflect intercompany eliminations.
** Drivers of adjusted operating results have been calculated using the 21% federal statutory rate.
*** Downstream margin defined as operating revenues less purchased gas expense.

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES

(Thousands of Dollars, except per share amounts)
	Three Months Ended
	December 31,
	(Unaudited)
SUMMARY OF OPERATIONS	2024			2023
Operating Revenues:
Utility Revenues	$	228,424		$	201,920
Exploration and Production and Other Revenues		248,860			254,019
Pipeline and Storage and Gathering Revenues		72,198			69,422
		549,482			525,361
Operating Expenses:
Purchased Gas		65,337			56,552
Operation and Maintenance:
Utility		55,244			53,705
Exploration and Production and Other		33,541			34,826
Pipeline and Storage and Gathering		35,941			34,962
Property, Franchise and Other Taxes		22,056			22,416
Depreciation, Depletion and Amortization		109,370			115,790
Impairment of Assets		141,802			—
		463,291			318,251

Operating Income		86,191			207,110

Other Income (Expense):
Other Income (Deductions)		7,720			3,732
Interest Expense on Long-Term Debt		(33,362	)		(28,462	)
Other Interest Expense		(4,381	)		(6,273	)

Income Before Income Taxes		56,168			176,107

Income Tax Expense		11,182			43,087

Net Income Available for Common Stock	$	44,986		$	133,020

Earnings Per Common Share
Basic	$	0.50		$	1.45
Diluted	$	0.49		$	1.44

Weighted Average Common Shares:
Used in Basic Calculation		90,777,446			91,910,244
Used in Diluted Calculation		91,434,741			92,442,145

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Unaudited)

	December 31,			September 30,
(Thousands of Dollars)	2024			2024
ASSETS
Property, Plant and Equipment	$	14,675,281		$	14,524,798
Less – Accumulated Depreciation, Depletion and Amortization		7,393,477			7,185,593
Net Property, Plant and Equipment		7,281,804			7,339,205
Current Assets:
Cash and Temporary Cash Investments		48,694			38,222
Receivables – Net		202,821			127,222
Unbilled Revenue		57,117			15,521
Gas Stored Underground		24,725			35,055
Materials and Supplies – at average cost		47,820			47,670
Other Current Assets		83,435			92,229
Total Current Assets		464,612			355,919
Other Assets:
Recoverable Future Taxes		83,740			80,084
Unamortized Debt Expense		5,206			5,604
Other Regulatory Assets		106,386			108,022
Deferred Charges		68,952			69,662
Other Investments		71,493			81,705
Goodwill		5,476			5,476
Prepaid Pension and Post-Retirement Benefit Costs		185,224			180,230
Fair Value of Derivative Financial Instruments		20,695			87,905
Other		7,860			5,958
Total Other Assets		555,032			624,646
Total Assets	$	8,301,448		$	8,319,770
CAPITALIZATION AND LIABILITIES
Capitalization:
Comprehensive Shareholders’ Equity
Common Stock, $1 Par Value Authorized – 200,000,000 Shares; Issued and
Outstanding – 90,612,955 Shares and 91,005,993 Shares, Respectively	$	90,613		$	91,006
Paid in Capital		1,039,705			1,045,487
Earnings Reinvested in the Business		1,698,648			1,727,326
Accumulated Other Comprehensive Loss		(76,153	)		(15,476	)
Total Comprehensive Shareholders’ Equity		2,752,813			2,848,343
Long-Term Debt, Net of Current Portion and Unamortized Discount and Debt Issuance Costs		2,189,421			2,188,243
Total Capitalization		4,942,234			5,036,586
Current and Accrued Liabilities:
Notes Payable to Banks and Commercial Paper		200,000			90,700
Current Portion of Long-Term Debt		500,000			500,000
Accounts Payable		120,991			165,068
Amounts Payable to Customers		42,587			42,720
Dividends Payable		46,671			46,872
Interest Payable on Long-Term Debt		44,376			27,247
Customer Advances		15,295			19,373
Customer Security Deposits		36,091			36,265
Other Accruals and Current Liabilities		172,409			162,903
Fair Value of Derivative Financial Instruments		20,893			4,744
Total Current and Accrued Liabilities		1,199,313			1,095,892
Other Liabilities:
Deferred Income Taxes		1,089,394			1,111,165
Taxes Refundable to Customers		303,344			305,645
Cost of Removal Regulatory Liability		296,660			292,477
Other Regulatory Liabilities		147,561			151,452
Other Post-Retirement Liabilities		3,476			3,511
Asset Retirement Obligations		199,310			203,006
Other Liabilities		120,156			120,036
Total Other Liabilities		2,159,901			2,187,292
Commitments and Contingencies		—			—
Total Capitalization and Liabilities	$	8,301,448		$	8,319,770

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
	Three Months Ended
	December 31,
(Thousands of Dollars)	2024			2023

Operating Activities:
Net Income Available for Common Stock	$	44,986		$	133,020
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities:
Impairment of Assets		141,802			—
Depreciation, Depletion and Amortization		109,370			115,790
Deferred Income Taxes		(5,385	)		38,362
Stock-Based Compensation		4,705			4,660
Other		7,146			8,041
Change in:
Receivables and Unbilled Revenue		(115,165	)		(58,459	)
Gas Stored Underground and Materials and Supplies		10,180			6,915
Other Current Assets		8,814			892
Accounts Payable		9,703			(3,355	)
Amounts Payable to Customers		(133	)		1,013
Customer Advances		(4,078	)		2,083
Customer Security Deposits		(174	)		2,079
Other Accruals and Current Liabilities		21,266			28,612
Other Assets		(3,892	)		(6,306	)
Other Liabilities		(9,057	)		(2,403	)
Net Cash Provided by Operating Activities	$	220,088		$	270,944

Investing Activities:
Capital Expenditures	$	(240,427	)	$	(246,938	)
Other		5,878			(920	)
Net Cash Used in Investing Activities	$	(234,549	)	$	(247,858	)

Financing Activities:
Changes in Notes Payable to Banks and Commercial Paper		109,300			12,500
Shares Repurchased Under Repurchase Plan		(33,524	)		—
Dividends Paid on Common Stock		(46,872	)		(45,451	)
Net Repurchases of Common Stock Under Stock and Benefit Plans		(3,971	)		(3,897	)
Net Cash Provided by (Used in) Financing Activities	$	24,933		$	(36,848	)

Net Increase (Decrease) in Cash and Cash Equivalents		10,472			(13,762	)
Cash and Cash Equivalents at Beginning of Period		38,222			55,447
Cash and Cash Equivalents at December 31	$	48,694		$	41,685

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES

SEGMENT OPERATING RESULTS AND STATISTICS
(UNAUDITED)

UPSTREAM BUSINESS


	Three Months Ended
(Thousands of Dollars, except per share amounts)	December 31,
EXPLORATION AND PRODUCTION SEGMENT	2024			2023			Variance
Total Operating Revenues	$	248,860		$	254,019		$	(5,159	)
Operating Expenses:
Operation and Maintenance:
General and Administrative Expense		19,326			17,793			1,533
Lease Operating and Transportation Expense		65,640			67,074			(1,434	)
All Other Operation and Maintenance Expense		3,867			5,544			(1,677	)
Property, Franchise and Other Taxes		3,382			3,638			(256	)
Depreciation, Depletion and Amortization		63,304			71,965			(8,661	)
Impairment of Assets		141,802			—			141,802
		297,321			166,014			131,307

Operating Income (Loss)		(48,461	)		88,005			(136,466	)

Other Income (Expense):
Non-Service Pension and Post-Retirement Benefit Credit		37			100			(63	)
Interest and Other Income (Deductions)		272			(1,513	)		1,785
Interest Expense		(15,200	)		(15,268	)		68
Income (Loss) Before Income Taxes		(63,352	)		71,324			(134,676	)
Income Tax Expense (Benefit)		(16,575	)		18,841			(35,416	)
Net Income (Loss)	$	(46,777	)	$	52,483		$	(99,260	)
Net Income (Loss) Per Share (Diluted)	$	(0.51	)	$	0.57		$	(1.08	)

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES

SEGMENT OPERATING RESULTS AND STATISTICS
(UNAUDITED)

MIDSTREAM BUSINESSES

	Three Months Ended
(Thousands of Dollars, except per share amounts)	December 31,
PIPELINE AND STORAGE SEGMENT	2024			2023			Variance
Revenues from External Customers	$	68,750		$	64,826		$	3,924
Intersegment Revenues		37,862			29,587			8,275
Total Operating Revenues		106,612			94,413			12,199
Operating Expenses:
Purchased Gas		(42	)		601			(643	)
Operation and Maintenance		27,034			25,950			1,084
Property, Franchise and Other Taxes		8,667			8,720			(53	)
Depreciation, Depletion and Amortization		18,585			18,213			372
		54,244			53,484			760

Operating Income		52,368			40,929			11,439

Other Income (Expense):
Non-Service Pension and Post-Retirement Benefit Credit		952			1,257			(305	)
Interest and Other Income		2,040			1,931			109
Interest Expense		(11,729	)		(11,725	)		(4	)
Income Before Income Taxes		43,631			32,392			11,239
Income Tax Expense		11,177			8,337			2,840
Net Income	$	32,454		$	24,055		$	8,399
Net Income Per Share (Diluted)	$	0.35		$	0.26		$	0.09


	Three Months Ended
	December 31,
GATHERING SEGMENT	2024			2023			Variance
Revenues from External Customers	$	3,448		$	4,596		$	(1,148	)
Intersegment Revenues		57,683			57,992			(309	)
Total Operating Revenues		61,131			62,588			(1,457	)
Operating Expenses:
Operation and Maintenance		9,429			9,504			(75	)
Property, Franchise and Other Taxes		(234	)		23			(257	)
Depreciation, Depletion and Amortization		10,515			9,458			1,057
		19,710			18,985			725

Operating Income		41,421			43,603			(2,182	)

Other Income (Expense):
Non-Service Pension and Post-Retirement Benefit Credit		—			9			(9	)
Interest and Other Income		58			73			(15	)
Interest Expense		(4,210	)		(3,729	)		(481	)
Income Before Income Taxes		37,269			39,956			(2,687	)
Income Tax Expense		10,124			11,131			(1,007	)
Net Income	$	27,145		$	28,825		$	(1,680	)
Net Income Per Share (Diluted)	$	0.30		$	0.31		$	(0.01	)

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES

SEGMENT OPERATING RESULTS AND STATISTICS
(UNAUDITED)

DOWNSTREAM BUSINESS


	Three Months Ended
(Thousands of Dollars, except per share amounts)	December 31,
UTILITY SEGMENT	2024			2023			Variance
Revenues from External Customers	$	228,424		$	201,920		$	26,504
Intersegment Revenues		85			87			(2	)
Total Operating Revenues		228,509			202,007			26,502
Operating Expenses:
Purchased Gas		101,473			84,051			17,422
Operation and Maintenance		56,260			54,684			1,576
Property, Franchise and Other Taxes		10,111			9,906			205
Depreciation, Depletion and Amortization		16,827			16,037			790
		184,671			164,678			19,993

Operating Income		43,838			37,329			6,509

Other Income (Expense):
Non-Service Pension and Post-Retirement Benefit Credit		5,871			470			5,401
Interest and Other Income		528			1,911			(1,383	)
Interest Expense		(10,716	)		(8,457	)		(2,259	)
Income Before Income Taxes		39,521			31,253			8,268
Income Tax Expense		7,022			4,702			2,320
Net Income	$	32,499		$	26,551		$	5,948
Net Income Per Share (Diluted)	$	0.36		$	0.29		$	0.07

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES

SEGMENT OPERATING RESULTS AND STATISTICS
(UNAUDITED)

	Three Months Ended
(Thousands of Dollars, except per share amounts)	December 31,
ALL OTHER	2024			2023			Variance
Total Operating Revenues	$	—		$	—		$	—
Operating Expenses:
Operation and Maintenance		—			—			—
		—			—			—

Operating Income		—			—			—
Other Income (Expense):
Interest and Other Income (Deductions)		(136	)		(77	)		(59	)
Interest Expense		(116	)		(81	)		(35	)
Loss before Income Taxes		(252	)		(158	)		(94	)
Income Tax Benefit		(59	)		(37	)		(22	)
Net Loss	$	(193	)	$	(121	)	$	(72	)
Net Loss Per Share (Diluted)	$	—		$	—		$	—

	Three Months Ended
	December 31,
CORPORATE	2024			2023			Variance
Revenues from External Customers	$	—		$	—		$	—
Intersegment Revenues		1,341			1,285			56
Total Operating Revenues		1,341			1,285			56
Operating Expenses:
Operation and Maintenance		4,047			3,795			252
Property, Franchise and Other Taxes		130			129			1
Depreciation, Depletion and Amortization		139			117			22
		4,316			4,041			275

Operating Loss		(2,975	)		(2,756	)		(219	)
Other Income (Expense):
Non-Service Pension and Post-Retirement Benefit Costs		(212	)		(387	)		175
Interest and Other Income		41,061			41,030			31
Interest Expense on Long-Term Debt		(33,362	)		(28,462	)		(4,900	)
Other Interest Expense		(5,161	)		(8,085	)		2,924
Income (Loss) before Income Taxes		(649	)		1,340			(1,989	)
Income Tax Expense (Benefit)		(507	)		113			(620	)
Net Income (Loss)	$	(142	)	$	1,227		$	(1,369	)
Net Income (Loss) Per Share (Diluted)	$	(0.01	)	$	0.01		$	(0.02	)


	Three Months Ended
	December 31,
INTERSEGMENT ELIMINATIONS	2024			2023			Variance
Intersegment Revenues	$	(96,971	)	$	(88,951	)	$	(8,020	)
Operating Expenses:
Purchased Gas		(36,094	)		(28,100	)		(7,994	)
Operation and Maintenance		(60,877	)		(60,851	)		(26	)
		(96,971	)		(88,951	)		(8,020	)
Operating Income		—			—			—
Other Income (Expense):
Interest and Other Deductions		(42,751	)		(41,072	)		(1,679	)
Interest Expense		42,751			41,072			1,679
Net Income	$	—		$	—		$	—
Net Income Per Share (Diluted)	$	—		$	—		$	—

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES

SEGMENT INFORMATION (Continued)
(Thousands of Dollars)

	Three Months Ended
	December 31,
	(Unaudited)
							Increase
	2024			2023			(Decrease)

Capital Expenditures:
Exploration and Production	$	122,602	⁽¹⁾⁽²⁾	$	160,957	⁽³⁾⁽⁴⁾	$	(38,355	)
Pipeline and Storage		19,792	⁽¹⁾⁽²⁾		24,554	⁽³⁾⁽⁴⁾		(4,762	)
Gathering		13,027	⁽¹⁾⁽²⁾		19,569	⁽³⁾⁽⁴⁾		(6,542	)
Utility		36,430	⁽¹⁾⁽²⁾		30,510	⁽³⁾⁽⁴⁾		5,920
Total Reportable Segments		191,851			235,590			(43,739	)
All Other		—			—			—
Corporate		204			61			143
Total Capital Expenditures	$	192,055		$	235,651		$	(43,596	)

(1)	Capital expenditures for the quarter ended December 31, 2024, include accounts payable and accrued liabilities related to capital expenditures of $56.3 million, $4.4 million, $6.0 million, and $4.9 million in the Exploration and Production segment, Pipeline and Storage segment, Gathering segment and Utility segment, respectively. These amounts have been excluded from the Consolidated Statement of Cash Flows at December 31, 2024, since they represent non-cash investing activities at that date.

(2)	Capital expenditures for the quarter ended December 31, 2024, exclude capital expenditures of $63.3 million, $14.4 million, $21.7 million and $20.6 million in the Exploration and Production segment, Pipeline and Storage segment, Gathering segment and Utility segment, respectively. These amounts were in accounts payable and accrued liabilities at September 30, 2024 and paid during the quarter ended December 31, 2024. These amounts were excluded from the Consolidated Statement of Cash Flows at September 30, 2024, since they represented non-cash investing activities at that date. These amounts have been included in the Consolidated Statement of Cash Flows at December 31, 2024.

(3)	Capital expenditures for the quarter ended December 31, 2023, include accounts payable and accrued liabilities related to capital expenditures of $74.9 million, $5.5 million, $11.1 million, and $6.4 million in the Exploration and Production segment, Pipeline and Storage segment, Gathering segment and Utility segment, respectively. These amounts were excluded from the Consolidated Statement of Cash Flows at December 31, 2023, since they represented non-cash investing activities at that date.

(4)	Capital expenditures for the quarter ended December 31, 2023, exclude capital expenditures of $43.2 million, $31.8 million, $20.6 million and $13.6 million in the Exploration and Production segment, Pipeline and Storage segment, Gathering segment and Utility segment, respectively. These amounts were in accounts payable and accrued liabilities at September 30, 2023 and paid during the quarter ended December 31, 2023. These amounts were excluded from the Consolidated Statement of Cash Flows at September 30, 2023, since they represented non-cash investing activities at that date. These amounts have been included in the Consolidated Statement of Cash Flows at December 31, 2023.

DEGREE DAYS
				Percent Colder
				(Warmer) Than:
Three Months Ended December 31,	Normal	2024	2023	Normal ⁽¹⁾	Last Year ⁽¹⁾
Buffalo, NY	2,253	1,884	1,858	(16.4)	1.4
Erie, PA	1,894	1,697	1,664	(10.4)	2.0

⁽¹⁾Percents compare actual 2024 degree days to normal degree days and actual 2024 degree days to actual 2023 degree days.

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES

EXPLORATION AND PRODUCTION INFORMATION


	Three Months Ended
	December 31,
					Increase
	2024		2023		(Decrease)

Gas Production/Prices:
Production (MMcf)
Appalachia		97,717		100,757		(3,040	)

Average Prices (Per Mcf)
Weighted Average	$	2.23	$	2.31	$	(0.08	)
Weighted Average after Hedging		2.53		2.51		0.02

Selected Operating Performance Statistics:
General and Administrative Expense per Mcf ⁽¹⁾	$	0.20	$	0.18	$	0.02
Lease Operating and Transportation Expense per Mcf ⁽¹⁾⁽²⁾	$	0.67	$	0.67	$	—
Depreciation, Depletion and Amortization per Mcf ⁽¹⁾	$	0.65	$	0.71	$	(0.06	)

⁽¹⁾Refer to page 13 for the General and Administrative Expense, Lease Operating and Transportation Expense and Depreciation, Depletion, and Amortization Expense for the Exploration and Production segment.

⁽²⁾Amounts include transportation expense of $0.57 and $0.56 per Mcf for the three months ended December 31, 2024 and December 31, 2023, respectively.

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES



Pipeline and Storage Throughput – (millions of cubic feet – MMcf)

	Three Months Ended
	December 31,
			Increase
	2024	2023	(Decrease)
Firm Transportation – Affiliated	31,870	31,495	375
Firm Transportation – Non-Affiliated	171,012	168,606	2,406
Interruptible Transportation	62	118	(56	)
	202,944	200,219	2,725

Gathering Volume – (MMcf)
	Three Months Ended
	December 31,
			Increase
	2024	2023	(Decrease)
Gathered Volume	120,961	124,261	(3,300	)


Utility Throughput – (MMcf)
	Three Months Ended
	December 31,
			Increase
	2024	2023	(Decrease)
Retail Sales:
Residential Sales	18,476	17,982	494
Commercial Sales	2,919	2,800	119
Industrial Sales	199	138	61
	21,594	20,920	674
Transportation	16,942	17,528	(586	)
	38,536	38,448	88

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
NON-GAAP FINANCIAL MEASURES

In addition to financial measures calculated in accordance with generally accepted accounting principles (GAAP), this press release contains information regarding adjusted operating results, adjusted EBITDA and free cash flow, which are non-GAAP financial measures. The Company believes that these non-GAAP financial measures are useful to investors because they provide an alternative method for assessing the Company’s ongoing operating results or liquidity and for comparing the Company’s financial performance to other companies. The Company’s management uses these non-GAAP financial measures for the same purpose, and for planning and forecasting purposes. The presentation of non-GAAP financial measures is not meant to be a substitute for financial measures in accordance with GAAP.

Management defines adjusted operating results as reported GAAP earnings before items impacting comparability. The following table reconciles National Fuel’s reported GAAP earnings to adjusted operating results for the three months ended December 31, 2024 and 2023:

	Three Months Ended
	December 31,
(in thousands except per share amounts)	2024			2023
Reported GAAP Earnings	$	44,986		$	133,020
Items impacting comparability:
Impairment of assets (E&P)		141,802			—
Tax impact of impairment of assets		(37,169	)		—
Unrealized (gain) loss on derivative asset (E&P)		349			4,198
Tax impact of unrealized (gain) loss on derivative asset		(94	)		(1,151	)
Unrealized (gain) loss on other investments (Corporate / All Other)		2,617			(1,049	)
Tax impact of unrealized (gain) loss on other investments		(550	)		220
Adjusted Operating Results	$	151,941		$	135,238

Reported GAAP Earnings Per Share	$	0.49		$	1.44
Items impacting comparability:
Impairment of assets, net of tax (E&P)		1.14			—
Unrealized (gain) loss on derivative asset, net of tax (E&P)		—			0.03
Unrealized (gain) loss on other investments, net of tax (Corporate / All Other)		0.02			(0.01	)
Rounding		0.01			—
Adjusted Operating Results Per Share	$	1.66		$	1.46

Management defines adjusted EBITDA as reported GAAP earnings before the following items: interest expense, income taxes, depreciation, depletion and amortization, other income and deductions, impairments, and other items reflected in operating income that impact comparability. The following tables reconcile National Fuel’s reported GAAP earnings to adjusted EBITDA for the three months ended December 31, 2024 and 2023:

	Three Months Ended
	December 31,
(in thousands)	2024			2023
Reported GAAP Earnings	$	44,986		$	133,020
Depreciation, Depletion and Amortization		109,370			115,790
Other (Income) Deductions		(7,720	)		(3,732	)
Interest Expense		37,743			34,735
Income Taxes		11,182			43,087
Impairment of Assets		141,802			—
Adjusted EBITDA	$	337,363		$	322,900

Adjusted EBITDA by Segment
Pipeline and Storage Adjusted EBITDA	$	70,953		$	59,142
Gathering Adjusted EBITDA		51,936			53,061
Total Midstream Businesses Adjusted EBITDA		122,889			112,203
Exploration and Production Adjusted EBITDA		156,645			159,970
Utility Adjusted EBITDA		60,665			53,366
Corporate and All Other Adjusted EBITDA		(2,836	)		(2,639	)
Total Adjusted EBITDA	$	337,363		$	322,900

NATIONAL FUEL GAS COMPANY
AND SUBSIDIARIES
NON-GAAP FINANCIAL MEASURES
SEGMENT ADJUSTED EBITDA

	Three Months Ended
	December 31,
(in thousands)	2024			2023
Exploration and Production Segment
Reported GAAP Earnings	$	(46,777	)	$	52,483
Depreciation, Depletion and Amortization		63,304			71,965
Other (Income) Deductions		(309	)		1,413
Interest Expense		15,200			15,268
Income Taxes		(16,575	)		18,841
Impairment of Assets		141,802			—
Adjusted EBITDA	$	156,645		$	159,970

Pipeline and Storage Segment
Reported GAAP Earnings	$	32,454		$	24,055
Depreciation, Depletion and Amortization		18,585			18,213
Other (Income) Deductions		(2,992	)		(3,188	)
Interest Expense		11,729			11,725
Income Taxes		11,177			8,337
Adjusted EBITDA	$	70,953		$	59,142

Gathering Segment
Reported GAAP Earnings	$	27,145		$	28,825
Depreciation, Depletion and Amortization		10,515			9,458
Other (Income) Deductions		(58	)		(82	)
Interest Expense		4,210			3,729
Income Taxes		10,124			11,131
Adjusted EBITDA	$	51,936		$	53,061

Utility Segment
Reported GAAP Earnings	$	32,499		$	26,551
Depreciation, Depletion and Amortization		16,827			16,037
Other (Income) Deductions		(6,399	)		(2,381	)
Interest Expense		10,716			8,457
Income Taxes		7,022			4,702
Adjusted EBITDA	$	60,665		$	53,366

Corporate and All Other
Reported GAAP Earnings	$	(335	)	$	1,106
Depreciation, Depletion and Amortization		139			117
Other (Income) Deductions		2,038			506
Interest Expense		(4,112	)		(4,444	)
Income Taxes		(566	)		76
Adjusted EBITDA	$	(2,836	)	$	(2,639	)

Management defines free cash flow as net cash provided by operating activities, less net cash used in investing activities, adjusted for acquisitions and divestitures. The Company is unable to provide a reconciliation of any projected free cash flow measure to its comparable GAAP financial measure without unreasonable efforts. This is due to an inability to calculate the comparable GAAP projected metrics, including operating income and total production costs, given the unknown effect, timing, and potential significance of certain income statement items.

The MIL Network –

January 30, 2025

MIL-OSI USA: Graham, Cruz and Britt Introduce Bill to Restrict Birthright Citizenship

US Senate News:

Source: United States Senator for South Carolina Lindsey Graham
WASHINGTON – U.S. Senators Lindsey Graham (R-South Carolina), Ted Cruz (R-Texas) and Katie Britt (R-Alabama) today introduced a bill that would restrict one of the biggest magnets for illegal immigration into the United States. The Birthright Citizenship Act of 2025 stops the practice of granting citizenship to both the children of illegal immigrants and the children of non-immigrants in the U.S. on temporary visas, also known as birthright citizenship. Graham first introduced the legislation in September 2024.
The exploitation of birthright citizenship is a major pull factor for illegal immigration and a weakness for our national security. The United States is one of only 33 countries in the world with no restrictions on birthright citizenship.
“It is long overdue for the United States to change its policy on birthright citizenship because it is being abused in so many ways,” said Senator Graham. “One example is birth tourism, where wealthy individuals from China and other nations come to the United States simply to have a child who will be an American citizen. When you look at the magnets that draw people to America, birthright citizenship is one of the largest. I also appreciate President Trump’s executive order to address birthright citizenship. It is time for the United States to align itself with the rest of the world and restrict this practice once and for all.”
“The promise of American citizenship should not incentivize illegal migration, but that’s exactly what has happened for far too long,” said Senator Britt. “It’s time to fix this. Senator Lindsey Graham’s and my Birthright Citizenship Act would codify President Trump’s commonsense stance and end the abuse of birthright citizenship that I do not believe is consistent with the original meaning of the 14thAmendment’s Citizenship Clause. This will protect our nation’s sovereignty, disincentivize illegal migration, and ensure America’s citizenship practices are stronger and better aligned with peer countries around the globe.”
The Biden-Harris Administration’s catch-and-release policies let migrants come into the U.S. illegally and stay for years, while enjoying many of the benefits of living in America.
Illegal immigration skyrocketed during the Biden-Harris Administration.
The Center for Immigration Studies estimates that in 2023, there were 225,000 to 250,000 births to illegal immigrants, amounting to close to seven percent of births in the U.S.
Our adversaries are taking advantage of our laws.
In September 2024, two individuals from California were found guilty in a “birth tourism” scheme. Predominantly Chinese clients paid the operators of a “maternity hotel” tens of thousands of dollars to come to the U.S. to give birth. Clients were coached on how to lie during the admissions process.
A 2022 Senate Homeland Security & Governmental Affairs Committee report found a birthing company catering to the wives of Russian oligarchs, celebrities, athletes, and public figures.
The Birthright Citizenship Act of 2025:
Specifies who can receive citizenship by virtue of their birth in the United States, including children born to at least one parent who is either:
A citizen or national of the U.S.,
A lawful permanent resident of the U.S., or
An alien performing active service in the armed forces.
This bill only applies to children born after the date of enactment.
To read the full bill text, click HERE.

MIL OSI USA News –

January 30, 2025
MIL-OSI USA: 01.29.2025 Sen. Cruz Introduces Legislation to Defund the CFPB and Restore Congressional Oversight

US Senate News:

Source: United States Senator for Texas Ted Cruz
WASHINGTON, D.C. – U.S. Sen. Ted Cruz (R-Texas) introduced the Defund the CFPB Act, which would zero out transfer payments from the Federal Reserve to the Consumer Financial Protection Bureau (CFPB).
Upon introduction, Sen. Cruz said, “The CFPB is an unelected, unaccountable bureaucratic agency that has imposed burdensome and harmful regulations on American businesses, banks, and credit unions. It is an unchecked Obama-era executive arm and the Federal Reserve should not be transferring funds to it. Enacting this legislation would save American taxpayers billions of dollars and I call on the Senate to expeditiously take it up and pass it.”
The bill is co-sponsored by Sens. John Barrasso (R-Wyo.), Rick Scott (R-Fla.), Steve Daines (R-Mont.), Marsha Blackburn (R-Tenn.), Mike Rounds (R-S.D.), and Mike Lee (R-Utah).
Rep. Keith Self (R-Texas-03) introduced the companion legislation in the House of Representatives.
Read the Defund the CFPB Act here.
BACKGROUND
This bill is supported by the Texas Credit Union Association (TXCUA), Texas Bankers Association (TBA), and Heritage Action.

MIL OSI USA News –

January 30, 2025
MIL-OSI USA: Senator Collins’ Statement on OMB Rescinding Memo to Freeze Federal Funding

US Senate News:

Source: United States Senator for Maine Susan Collins
Published: January 29, 2025

Washington, D.C. – U.S. Senator Susan Collins, Chair of the Senate Appropriations Committee, issued a statement on the decision of the White House Office of Management and Budget (OMB) to rescind the memo to temporarily freeze certain federal funding.
“I am pleased that OMB is rescinding the memo imposing sweeping pauses in federal programs. While it is not unusual for incoming administrations to review federal programs and policies, this memo was overreaching and created unnecessary confusion and consternation.”

MIL OSI USA News –

January 30, 2025
MIL-OSI USA: At Hearing, Warren Slams RFK Jr. for Dangerous Conflicts of Interest, Profiting From Anti-Vaccine Conspiracies

US Senate News:

Source: United States Senator for Massachusetts – Elizabeth Warren
January 29, 2025
Kennedy answers raise fresh questions about his ethics agreement
Kennedy could profit from anti-vaccine lawsuits he can influence as Health Secretary
Warren: “Kennedy can kill off access to vaccines and make millions of dollars while he does it…Kids might die, but Robert Kennedy will keep cashing in.”
Round 1 Questioning (YouTube) | Round 2 Questioning (YouTube)
Washington, D.C. – At a hearing of the Senate Finance Committee, U.S. Senator Elizabeth Warren (D-Mass.), Ranking Member of the Senate Committee on Banking, Housing, and Urban Affairs and member of the Senate Finance Committee, questioned Mr. Robert F. Kennedy Jr., nominee for Secretary of Health and Human Services (HHS), about his dangerous conflicts of interest and record of profiting from anti-vaccine conspiracies.
Mr. Kennedy has made nearly $2.5 million in referral fees from the law firm Wisner Baum, in connection with lawsuits against vaccine makers. Mr. Kennedy receives a 10% contingency fee in these cases if the plaintiffs win, and his ethics agreement indicates he will continue to receive these payments even if he is confirmed as HHS Secretary. However, during his confirmation hearing, Mr. Kennedy initially appeared to agree to not accept any compensation from lawsuits against drug companies while serving as HHS Secretary, stating, “Well, I will certainly commit to that while I’m Secretary.” He then backtracked and did not clearly commit to ending this arrangement — through which he can profit off of anti-vaccine lawsuits even if he is confirmed as HHS Secretary.
If Mr. Kennedy does maintain his financial stake in anti-vaccine lawsuits, he will have a serious conflict of interest. Senator Warren highlighted seven ways Mr. Kennedy could benefit financially from anti-vaccine lawsuits and increase his payouts, including:
Publishing anti-vaccine conspiracies on government letterhead to influence juries;
Appointing anti-vaccine people to the CDC vaccine panel;
Opening vaccine manufacturers to lawsuits by removing vaccines from special compensation programs;
Making more injuries eligible for compensation even with no causal evidence;
Change vaccine court processes to make it easier to bring junk lawsuits to get vaccines pulled from the market; and
Turn over FDA data to his connections at law firm Wisner Baum, for their use in lawsuits.
Senator Warren also asked Mr. Kennedy if he would take responsibility for more than 80 deaths in Samoa after Mr. Kennedy spread anti-vaccine conspiracies in the country. Mr. Kennedy refused to take responsibility.
Transcript: Hearing to consider the nomination of Robert F. Kennedy, Jr., of California, to be Secretary of Health and Human ServicesSenate Committee on Finance January 29, 2025
Senator Elizabeth Warren: Thank you, Mr. Chairman. Mr. Kennedy, I want to start with something that I think you and I agree on: Big Pharma has too much power in Washington. You’ve said that, President Trump asked you to, “clean up corruption and conflicts.” Sounds great. You’ve said you will “slam shut the revolving door” between government agencies and the companies they regulate. That also sounds great.
So here’s an easy question: will you commit that when you leave this job, you will not accept compensation from a drug company, a medical device company, a hospital system, or a health insurer for at least four years—including as a lobbyist or board member?
Mr. Robert F. Kennedy, Jr., nominee for Secretary of Health and Human Services: Can you just repeat the last part of the question? Can I commit to what?
Senator Warren: Sure, you’re not going to take money from drug companies in any way shape or form?
Mr. Kennedy: Who? Me?
Senator Warren: Yes. You.
Mr. Kennedy: I’m happy to commit to that.
Senator Warren: Good, that’s what I figured. I said, it’s an easy question to start with. And I think you’re right on this question –
Mr. Kennedy: I don’t think any of them want to give me any money, by the way.
Senator Warren: Let’s keep going. You are right to say yes because every American has the right to know that every decision you make as our number one health officer is to help them—not to make money for yourself in the future.
So, I want to talk more about money. I’m looking at your paperwork right now. In the past two years, you’ve raked in $2.5 million from a law firm called Wisner Baum. You go online, you do commercials to encourage people to sign up with Wisner Baum to join lawsuits against vaccine makers. And for everyone who signs up, you personally get paid, and if they win their case, you get 10% of what they win. So, if you bring in someone who gets $10 million, you walk away with a million dollars.
Now, you just said that you want the American people to know that you cannot be bought, your decisions won’t depend on how much money you could make in the future, you won’t go work for a drug company after you leave HHS. But you and I both know there’s another way to make money.
So, Mr. Kennedy, will you also agree that you also won’t take any compensation from any lawsuits against drug companies while you are Secretary and for four years afterwards?
Mr. Kennedy: Well, I will certainly commit to that while I’m Secretary. But I do want to clarify something because you make me sound like a shill. I put together that case. I did the science day presentation to the judge on that case to get it into court, the docket hearing –
Senator Warren: Mr. Kennedy, it’s just a really simple question. You’ve taken in $2.5 million, I want to know if you will commit right now that not only will you not go to work for drug companies, you won’t go to work suing the drug companies and taking your rake out of that while you are Secretary and for four years after.
Mr. Kennedy: I will commit to not taking any fees from drug companies while I’m Secretary. I –
Senator Warren: No, I’m asking about fees from suing drug companies. Will you agree not to do that?
Mr. Kennedy: You are asking me to not sue drug companies, and I’m not going to agree to that –
Senator Warren: No. You can sue drug companies as much as you want.
Mr. Kennedy: I am not going to agree to not sue drug companies or anybody.
Senator Warren: So, let’s do a quick count here of how, as Secretary of HHS, if you get confirmed, you could influence every one of those lawsuits. Well, let me start the list.
You could publish your anti-vaccine conspiracies, but this time on U.S. government letterhead – something a jury might be impressed by.
Mr. Kennedy: I don’t understand that.
Senator Warren: You could appoint people to the CDC vaccine panel who share your anti-vax views and let them do your dirty work.
You could tell the CDC vaccine panel to remove a particular vaccine from the vaccine schedule.
You could remove vaccines from special compensation programs, which would open up manufacturers to mass torts.
You could make more injuries eligible for compensation even if there’s no causal evidence.
You could change vaccine court processes to make it easier to bring junk lawsuits.
You could turn over FDA data to your friends at the law firm, and they could use it however it benefitted them.
You could change vaccine labelling.
You could change vaccine information rules.
You could change which claims are compensated in the vaccine injury compensation program.
There’s a lot of ways you can influence those future lawsuits and pending lawsuits while you are Secretary of HHS, and I’m asking you to commit right now that you will not take a financial stake in every one of those lawsuits so that what you do as Secretary will also benefit you financially down the line.
Mr. Kennedy: I will comply with all the ethical guidelines.
Senator Warren: That’s not the question. You and I—you have said repeatedly—
Mr. Kennedy: You are asking me—Senator, you’re asking me not to sue vaccine—pharmaceutical companies.
Senator Warren: No, I am not. My question is: stop enriching yourself.
Look, no one should be fooled here. As Secretary of HHS, Robert Kennedy will have the power to undercut vaccines and vaccine manufacturing across our country. And for all his talk about “follow the science” and his promise that he won’t interfere with those of us who want to vaccinate our kids, the bottom line is the same: Kennedy can kill off access to vaccines and make millions of dollars while he does it.
Kids might die, but Robert Kennedy can keep cashing in.
Mr. Kennedy: Senator, I support vaccines, I will—I support the childhood schedule, I will do that. The only thing I want is good science, and that’s it.
Senator Warren: How about then saying you won’t make money off what you do as Secretary of HHS?
Chair Mike Crapo: Before we go to Senator Tillis, I think it would be important for me to make it very clear that Mr. Kennedy has gone through the same Office of Government Ethics process as every single other nominee in the Finance Committee this year and in previous administrations. In addition to listing his assets, including the items that you’ve identified, he has signed an ethics letter that has been reviewed by the Office of Government Ethics concerning any possible conflict in light of its functions and the nominee’s proposed duties. And we have a letter from the Office of Government Ethics that he has complied completely with all applicable laws and regulations governing conflicts of interest.
Senator Warren: Mr. Chairman, point of information here: have we had a single nominee come through who’s made two and a half million dollars off suing one of the entities that it would be regulating and plans to keep getting a take of every lawsuit in the future? Have we had that before?
Chair Crapo: I haven’t reviewed the past documentation of every other nominee’s financial interests, and so no. But I know that every single time we get a nominee, their financial interests are attacked. That’s why we have the Office of Government Ethics. That’s why they’ve reviewed everything that’s in his record, and that’s why he has even—I think, and I don’t know that I want to ask him to get into it—but he has listed his assets and has gone through a discussion of the responsibilities under our ethics laws and is complied with all of those requirements.
Round 2
Senator Warren: Thank you, Mr. Chairman. Mr. Kennedy, I want to ask about your role in a 2019 measles outbreak in Samoa. In July 2018, two children died immediately after receiving a measles vaccine that nurses had mistakenly mixed with a muscle relaxant. The nurses get charged with manslaughter, but the vaccination rates go down.
I asked you about this in my office. You told me flatly that your visit to Samoa had nothing to do with vaccinations. We now know that’s not true. I have the documentation. You met with the Prime Minister, you talked about vaccinations. You met with an anti-vaccine influencer who described the meeting as “profoundly monumental for this movement.”
So what happens? Vaccinations go down. There’s a measles outbreak, and children start dying, but you double down. You didn’t give up just four days after the Prime Minister declared a state of emergency. 16 people already dead. You sent a letter to him promoting the idea that the children had died not from measles but from a “defective vaccine.” You launched the idea that a measles vaccine caused these deaths.
You are a very influential man. In fact, you are called the leader of the disinformation dozen. UNICEF and WHO, the World Health Organization, investigated this. They say the claims are false. It is not biologically possible what you claimed, and yet, ultimately, more than 70 people died because they didn’t get vaccines.
So my question is, do you accept even a scintilla, just even a sliver of responsibility for the drop in vaccinations and the subsequent deaths of more than 70 people? Anything you’d do differently?
Mr. Kennedy: No, absolutely not. After the—there were two incidents in which children died in 2015 and again in 2018. 2015, it was from the measles vaccine. That’s what the New Zealand General Hospital found. The government of Samoa banned the measles vaccine after 2018. I arrived in July of the next year, after the ban had been in place for a year, and the measles—
Senator Warren: Mr. Chairman, understanding that you wanted to hold this to a minute, and then I don’t get to present all the facts and documentation I’ve got. How about if we just decide to make entries for the record on exactly what the record shows about Mr. Kennedy’s participation? And I think he’s answered the yes or no question. He takes no responsibility.
Chair Crapo: Senator Warren, we will do that. And Mr. Kennedy, and to all the senators, every senator knows that following this hearing, they will be able to ask you questions off the record, and you will be able to put answers back onto the record. So please give that answer. I apologize that we’re shutting you off for giving a full response right now.

MIL OSI USA News –

January 30, 2025
MIL-OSI USA: Ricketts Statement on Passing of Jay Dunlap

US Senate News:

Source: United States Senator Pete Ricketts (Nebraska)

January 29, 2025

WASHINGTON, D.C. – Today, U.S. Senator Pete Ricketts (R-NE) issued the following statement in response to the passing of former Union Bank and Trust (UBT) President and CEO Jay Dunlap:
“Jay Dunlap was a visionary businessman who loved the people he served. He grew Union Bank and Trust from a small community bank to the state’s third largest bank. While his bank grew bigger, his commitment to treating people right did too. He leaves a legacy of service, leadership, and generosity. Susanne and I send our condolences to his wife Shirley and family.”

Print
Share
Like
Tweet

MIL OSI USA News –

January 30, 2025
MIL-OSI USA: Ricketts Slams Senate Democrats for Blocking Bill to Protect American Servicemembers

US Senate News:

Source: United States Senator Pete Ricketts (Nebraska)

January 29, 2025

WASHINGTON, D.C. – Today, U.S. Senator Pete Ricketts (R-NE), a senior member of the Senate Committee on Foreign Relations, issued the following statement after Senate Democrats blockedbipartisan International Criminal Court (ICC) sanctions legislation:
“The ICC is a lawless, politicized body that threatens our sovereignty, our servicemembers, and our allies. It is investigating American troops. It’s taken illegitimate action against Israel. This bill would have sent a strong response to this rogue international body. It already passed the House twice with strong bipartisan support. In blocking this bill, Senate Democrats chose political games over supporting the women and men who defend our country.”

Print
Share
Like
Tweet

MIL OSI USA News –

January 30, 2025
MIL-OSI USA: Ricketts Votes to Confirm Lee Zeldin as Administrator of the Environmental Protection Agency

US Senate News:

Source: United States Senator Pete Ricketts (Nebraska)

January 29, 2025

January 29, 2025
WASHINGTON, D.C. – Today, U.S. Senator Pete Ricketts (R-NE), a member of the Senate Committee on Environment and Public Works, issued the following statement after voting to confirm Lee Zeldin as the Administrator of the Environment Protection Agency (EPA).
“Biden’s EPA attacked an all-the-above American energy approach to appease radical environmentalists. His delusional mandates hurt Nebraska producers and industry. Lee Zeldin will help President Trump’s EPA return to its core mission – protecting people and the environment. He’s committed to a more balanced, transparent approach to rulemaking. This includes regulations critical for renewable fuel stakeholders and farmers in the state of Nebraska. He will support innovation instead of regulation. I appreciate his commitment to leverage the potential of liquid fuels, including biofuels, to unlock America’s full energy potential.”

Print
Share
Like
Tweet

MIL OSI USA News –

January 30, 2025
MIL-OSI USA: Cortez Masto Statement on President Trump’s Decision to Revoke TPS Extension for Venezuela

US Senate News:

Source: United States Senator for Nevada Cortez Masto
Washington, D.C. – U.S. Senator Catherine Cortez Masto (D-Nev.) released the following statement after Department of Homeland Security (DHS) Secretary Kristi Noem moved to rescind a preexisting extension of Temporary Protected Status (TPS) for Venezuela.
“TPS recipients from Venezuela are hardworking members of our communities who would face immense danger if they were forced to return to communist Venezuela. The Trump administration does not have the authority to revoke this TPS extension – it’s cruel, misinformed, and illegal.”

MIL OSI USA News –

January 30, 2025
MIL-OSI USA: At Confirmation Hearing, Cortez Masto Spars with RFK Jr. on Commitment to Protecting Abortion Access, Lowering Drug Prices

US Senate News:

Source: United States Senator for Nevada Cortez Masto
In the hearing, RFK Jr. said he “didn’t know” if a woman experiencing a life-threatening condition had the right to an abortion.
Senator Cortez Masto will not vote to confirm Mr. Kennedy to lead the HHS.
Washington, D.C. – U.S. Senator Catherine Cortez Masto (D-Nev.) questioned Robert F. Kennedy, Jr., President-elect Trump’s nominee for Secretary of Health and Human Services (HHS) about a woman’s access to life-saving abortion care and President Trump’s Executive Order rescinding Biden-era actions to lower drug prices. Following his distressing answers at the hearing, Senator Cortez Masto announced she would not vote to confirm him to lead HHS.
First, Senator Cortez Masto asked Mr. Kennedy to acknowledge that a woman having a heart-attack had the right, under a 40-year old federal law, to be given emergency care in hospitals that receive Medicare payments. Mr. Kennedy agreed that she did. Then, Cortez Masto asked “A pregnant woman with life-threatening bleeding from an incomplete miscarriage goes to the ER, and her doctor determines that she needs an emergency abortion. But, she’s in a state where abortion is banned. You would agree also…that federal law protects her right to that emergency care, correct?”
“Uh…I don’t know,” Mr. Kennedy responded. Under the Emergency Medical Treatment and Active Labor Act (EMTALA) hospitals must provide lifesaving and stabilizing care to patients experiencing medical emergencies, which can include abortion care. Mr. Kennedy also did not know that HHS investigates hospitals who don’t comply with EMTALA.
Cortez Masto also highlighted that one of President Trump’s first actions in the White House was to revoke a Biden-era executive order that pushed to cut prescription drug costs, and that House Republicans have repeatedly stated that they hope to repeal the Inflation Reduction Act which significantly lowered drug prices for thousands of Americans. She asked Mr. Kennedy what he would do to lower drug costs.
Mr. Kennedy repeatedly referenced a executive order by the Trump Administration supporting the drug negotiation language passed in the Inflation Reduction Act. While the Centers for Medicare and Medicaid Services did put out a statement today saying they are “committed to incorporating lessons learned to date from the program” into future actions, no such executive order exists. Mr. Kennedy did not offer any additional suggestions to lower drug prices for Americans.
Mr. Kennedy also displayed a concerning lack of understanding of how Medicaid and Medicare support Nevadans, including by helping keep the doors open for many rural hospitals and community health centers.

MIL OSI USA News –

January 30, 2025

MIL-OSI Economics: Microsoft Cloud and AI strength drives second quarter results

Source: Microsoft

Headline: Microsoft Cloud and AI strength drives second quarter results

Microsoft Cloud and AI Strength Drives Second Quarter Results

REDMOND, Wash. — January 29, 2025 — Microsoft Corp. today announced the following results for the quarter ended December 31, 2024, as compared to the corresponding period of last fiscal year:

· Revenue was $69.6 billion and increased 12%

· Operating income was $31.7 billion and increased 17% (up 16% in constant currency)

· Net income was $24.1 billion and increased 10%

· Diluted earnings per share was $3.23 and increased 10%

“We are innovating across our tech stack and helping customers unlock the full ROI of AI to capture the massive opportunity ahead,” said Satya Nadella, chairman and chief executive officer of Microsoft. “Already, our AI business has surpassed an annual revenue run rate of $13 billion, up 175% year-over-year.”

“This quarter Microsoft Cloud revenue was $40.9 billion, up 21% year-over-year,” said Amy Hood, executive vice president and chief financial officer of Microsoft. ”We remain committed to balancing operational discipline with continued investments in our cloud and AI infrastructure.”

Business Highlights

Revenue in Productivity and Business Processes was $29.4 billion and increased 14% (up 13% in constant currency), with the following business highlights:

· Microsoft 365 Commercial products and cloud services revenue increased 15% driven by Microsoft 365 Commercial cloud revenue growth of 16% (up 15% in constant currency)

· Microsoft 365 Consumer products and cloud services revenue increased 8% driven by Microsoft 365 Consumer cloud revenue growth of 8%

· LinkedIn revenue increased 9%

· Dynamics products and cloud services revenue increased 15% (up 14% in constant currency) driven by Dynamics 365 revenue growth of 19% (up 18% in constant currency)

Revenue in Intelligent Cloud was $25.5 billion and increased 19%, with the following business highlights:

· Server products and cloud services revenue increased 21% driven by Azure and other cloud services revenue growth of 31%

Revenue in More Personal Computing was $14.7 billion and was relatively unchanged, with the following business highlights:

· Windows OEM and Devices revenue increased 4%

· Xbox content and services revenue increased 2%

· Search and news advertising revenue excluding traffic acquisition costs increased 21% (up 20% in constant currency)

Microsoft returned $9.7 billion to shareholders in the form of dividends and share repurchases in the second quarter of fiscal year 2025.

Business Outlook

Microsoft will provide forward-looking guidance in connection with this quarterly earnings announcement on its earnings conference call and webcast.

Quarterly Highlights, Product Releases, and Enhancements

Every quarter Microsoft delivers hundreds of products, either as new releases, services, or enhancements to current products and services. These releases are a result of significant research and development investments, made over multiple years, designed to help customers be more productive and secure and to deliver differentiated value across the cloud and the edge.

Here are the major product releases and other highlights for the quarter, organized by product categories, to help illustrate how we are accelerating innovation across our businesses while expanding our market opportunities.

Environmental, Social, and Governance (ESG)

To learn more about Microsoft’s corporate governance and our environmental and social practices, please visit our investor relations Board and ESG website and reporting at Microsoft.com/transparency.

Webcast Details

Satya Nadella, chairman and chief executive officer, Amy Hood, executive vice president and chief financial officer, Alice Jolla, chief accounting officer, Keith Dolliver, corporate secretary and deputy general counsel, and Brett Iversen, vice president of investor relations, will host a conference call and webcast at 2:30 p.m. Pacific time (5:30 p.m. Eastern time) today to discuss details of the company’s performance for the quarter and certain forward-looking information. The session may be accessed at http://www.microsoft.com/en-us/investor. The webcast will be available for replay through the close of business on January 29, 2026.

Constant Currency

Microsoft presents constant currency information to provide a framework for assessing how our underlying businesses performed excluding the effect of foreign currency rate fluctuations. To present this information, current and comparative prior period results for entities reporting in currencies other than United States dollars are converted into United States dollars using the average exchange rates from the comparative period rather than the actual exchange rates in effect during the respective periods. All growth comparisons relate to the corresponding period in the last fiscal year. Microsoft has provided this non-GAAP financial information to aid investors in better understanding our performance. The non-GAAP financial measures presented in this release should not be considered as a substitute for, or superior to, the measures of financial performance prepared in accordance with GAAP.

Financial Performance Constant Currency Reconciliation

	Three Months Ended December 31,
($ in millions, except per share amounts)	Revenue	Operating Income	Net Income	Diluted Earnings per Share
2023 As Reported (GAAP)	$62,020	$27,032	$21,870	$2.93
2024 As Reported (GAAP)	$69,632	$31,653	$24,108	$3.23
Percentage Change Y/Y (GAAP)	12%	17%	10%	10%
Constant Currency Impact	$171	$206	$14	$0.00
Percentage Change Y/Y Constant Currency	12%	16%	10%	10%

Segment Revenue Constant Currency Reconciliation

	Three Months Ended December 31,
($ in millions)	Productivity and Business Processes	Intelligent Cloud	More Personal Computing
2023 As Reported (GAAP)	$25,854	$21,525	$14,641
2024 As Reported (GAAP)	$29,437	$25,544	$14,651
Percentage Change Y/Y (GAAP)	14%	19%	0%
Constant Currency Impact	$142	$(22)	$51
Percentage Change Y/Y Constant Currency	13%	19%	0%

We have recast certain prior period amounts to conform to the way we internally manage and monitor our business.

Selected Product and Service Revenue Constant Currency Reconciliation

	Three Months Ended December 31, 2024
	Percentage Change Y/Y (GAAP)	Constant Currency Impact	Percentage Change Y/Y Constant Currency
Microsoft Cloud	21%	0%	21%
Microsoft 365 Commercial products and cloud services	15%	0%	15%
Microsoft 365 Commercial cloud	16%	(1)%	15%
Microsoft 365 Consumer products and cloud services	8%	0%	8%
Microsoft 365 Consumer cloud	8%	0%	8%
LinkedIn	9%	0%	9%
Dynamics products and cloud services	15%	(1)%	14%
Dynamics 365	19%	(1)%	18%
Server products and cloud services	21%	0%	21%
Azure and other cloud services	31%	0%	31%
Windows OEM and Devices	4%	0%	4%
Xbox content and services	2%	0%	2%
Search and news advertising excluding traffic acquisition costs	21%	(1)%	20%

About Microsoft

Microsoft (Nasdaq “MSFT” @microsoft) creates platforms and tools powered by AI to deliver innovative solutions that meet the evolving needs of our customers. The technology company is committed to making AI available broadly and doing so responsibly, with a mission to empower every person and every organization on the planet to achieve more.

Forward-Looking Statements

Statements in this release that are “forward-looking statements” are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ materially because of factors such as:

· intense competition in all of our markets that may adversely affect our results of operations;

· focus on cloud-based and AI services presenting execution and competitive risks;

· significant investments in products and services that may not achieve expected returns;

· acquisitions, joint ventures, and strategic alliances that may have an adverse effect on our business;

· impairment of goodwill or amortizable intangible assets causing a significant charge to earnings;

· cyberattacks and security vulnerabilities that could lead to reduced revenue, increased costs, liability claims, or harm to our reputation or competitive position;

· disclosure and misuse of personal data that could cause liability and harm to our reputation;

· the possibility that we may not be able to protect information stored in our products and services from use by others;

· abuse of our advertising, professional, marketplace, or gaming platforms that may harm our reputation or user engagement;

· products and services, how they are used by customers, and how third-party products and services interact with them, presenting security, privacy, and execution risks;

· issues about the use of AI in our offerings that may result in reputational or competitive harm, or legal liability;

· excessive outages, data losses, and disruptions of our online services if we fail to maintain an adequate operations infrastructure;

· supply or quality problems;

· government enforcement under competition laws and new market regulation may limit how we design and market our products;

· potential consequences of trade and anti-corruption laws;

· potential consequences of existing and increasing legal and regulatory requirements;

· laws and regulations relating to the handling of personal data that may impede the adoption of our services or result in increased costs, legal claims, fines, or reputational damage;

· claims against us that may result in adverse outcomes in legal disputes;

· uncertainties relating to our business with government customers;

· additional tax liabilities;

· sustainability regulations and expectations that may expose us to increased costs and legal and reputational risk;

· an inability to protect and utilize our intellectual property may harm our business and operating results;

· claims that Microsoft has infringed the intellectual property rights of others;

· damage to our reputation or our brands that may harm our business and results of operations;

· adverse economic or market conditions that may harm our business;

· catastrophic events or geo-political conditions, such as the COVID-19 pandemic, that may disrupt our business;

· exposure to increased economic and operational uncertainties from operating a global business, including the effects of foreign currency exchange; and

· the dependence of our business on our ability to attract and retain talented employees.

For more information about risks and uncertainties associated with Microsoft’s business, please refer to the “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Risk Factors” sections of Microsoft’s SEC filings, including, but not limited to, its annual report on Form 10-K and quarterly reports on Form 10-Q, copies of which may be obtained by contacting Microsoft’s Investor Relations department at (800) 285-7772 or at Microsoft’s Investor Relations website at http://www.microsoft.com/en-us/investor.

All information in this release is as of December 31, 2024. The company undertakes no duty to update any forward-looking statement to conform the statement to actual results or changes in the company’s expectations.

For more information, press only:

Microsoft Media Relations, WE Communications for Microsoft, (425) 638-7777, rrt@we-worldwide.com

For more information, financial analysts and investors only:

Brett Iversen, Vice President, Investor Relations, (425) 706-4400

Note to editors: For more information, news and perspectives from Microsoft, please visit the Microsoft News Center at http://www.microsoft.com/news. Web links, telephone numbers, and titles were correct at time of publication, but may since have changed. Shareholder and financial information, as well as today’s 2:30 p.m. Pacific time conference call with investors and analysts, is available at http://www.microsoft.com/en-us/investor.

**MICROSOFT CORPORATION**

INCOME STATEMENTS

(In millions, except per share amounts) (Unaudited)
	Three Months Ended December 31,		Six Months Ended December 31,
	Three Months Ended December 31,		Six Months Ended December 31,
	2024	2023	2024	2023
Revenue:
Product	$16,219	$18,941	$31,491	$34,476
Service and other	53,413	43,079	103,726	84,061
Total revenue	69,632	62,020	135,217	118,537
Cost of revenue:
Product	3,856	5,964	7,150	9,495
Service and other	17,943	13,659	34,748	26,430
Total cost of revenue	21,799	19,623	41,898	35,925
Gross margin	47,833	42,397	93,319	82,612
Research and development	7,917	7,142	15,461	13,801
Sales and marketing	6,440	6,246	12,157	11,433
General and administrative	1,823	1,977	3,496	3,451
Operating income	31,653	27,032	62,205	53,927
Other expense, net	(2,288)	(506)	(2,571)	(117)
Income before income taxes	29,365	26,526	59,634	53,810
Provision for income taxes	5,257	4,656	10,859	9,649
Net income	$24,108	$21,870	$48,775	$44,161
Earnings per share:
Basic	$3.24	$2.94	$6.56	$5.94
Diluted	$3.23	$2.93	$6.53	$5.92
Weighted average shares outstanding:
Basic	7,435	7,432	7,434	7,431
Diluted	7,468	7,468	7,469	7,465

COMPREHENSIVE INCOME STATEMENTS

(In millions) (Unaudited)
	Three Months Ended December 31,		Six Months Ended December 31,
	Three Months Ended December 31,		Six Months Ended December 31,
	2024	2023	2024	2023
Net income	$24,108	$21,870	$48,775	$44,161
Other comprehensive income (loss), net of tax:
Net change related to derivatives	34	(3)	24	18
Net change related to investments	(434)	1,331	680	1,071
Translation adjustments and other	(1,034)	660	(730)	305
Other comprehensive income (loss)	(1,434)	1,988	(26)	1,394
Comprehensive income	$22,674	$23,858	$48,749	$45,555

BALANCE SHEETS

(In millions) (Unaudited)
	December 31, 2024	June 30, 2024
Assets
Current assets:
Cash and cash equivalents	$17,482	$18,315
Short-term investments	54,073	57,228
Total cash, cash equivalents, and short-term investments	71,555	75,543
Accounts receivable, net of allowance for doubtful accounts of $662 and $830	48,188	56,924
Inventories	909	1,246
Other current assets	26,428	26,021
Total current assets	147,080	159,734
Property and equipment, net of accumulated depreciation of $82,820 and $76,421	166,902	135,591
Operating lease right-of-use assets	22,816	18,961
Equity and other investments	15,581	14,600
Goodwill	119,191	119,220
Intangible assets, net	25,385	27,597
Other long-term assets	36,943	36,460
Total assets	$533,898	$512,163
Liabilities and stockholders’ equity
Current liabilities:
Accounts payable	$22,608	$21,996
Short-term debt	0	6,693
Current portion of long-term debt	5,248	2,249
Accrued compensation	9,176	12,564
Short-term income taxes	6,056	5,017
Short-term unearned revenue	45,508	57,582
Other current liabilities	20,286	19,185
Total current liabilities	108,882	125,286
Long-term debt	39,722	42,688
Long-term income taxes	24,389	27,931
Long-term unearned revenue	2,537	2,602
Deferred income taxes	2,513	2,618
Operating lease liabilities	17,254	15,497
Other long-term liabilities	35,906	27,064
Total liabilities	231,203	243,686
Commitments and contingencies
Stockholders’ equity:
Common stock and paid-in capital – shares authorized 24,000; outstanding 7,435 and 7,434	104,829	100,923
Retained earnings	203,482	173,144
Accumulated other comprehensive loss	(5,616)	(5,590)
Total stockholders’ equity	302,695	268,477
Total liabilities and stockholders’ equity	$533,898	$512,163

CASH FLOWS STATEMENTS

(In millions) (Unaudited)
	Three Months Ended December 31,		Six Months Ended December 31,
	Three Months Ended December 31,		Six Months Ended December 31,
	2024	2023	2024	2023
Operations
Net income	$24,108	$21,870	$48,775	$44,161
Adjustments to reconcile net income to net cash from operations:
Depreciation, amortization, and other	6,827	5,959	14,210	9,880
Stock-based compensation expense	3,089	2,828	5,921	5,335
Net recognized losses on investments and derivatives	976	198	851	212
Deferred income taxes	(1,158)	(1,702)	(2,591)	(2,270)
Changes in operating assets and liabilities:
Accounts receivable	(5,978)	(2,951)	8,059	8,083
Inventories	711	1,474	338	969
Other current assets	(353)	725	(435)	(71)
Other long-term assets	(1,089)	(1,427)	(2,850)	(3,440)
Accounts payable	958	(2,521)	42	(1,307)
Unearned revenue	(6,338)	(5,538)	(11,891)	(9,664)
Income taxes	(3,395)	(1,554)	(2,379)	(129)
Other current liabilities	3,217	1,518	(2,262)	(2,588)
Other long-term liabilities	716	(26)	683	265
Net cash from operations	22,291	18,853	56,471	49,436
Financing
Proceeds from issuance (repayments) of debt, maturities of 90 days or less, net	0	(8,490)	(5,746)	10,202
Proceeds from issuance of debt	0	10,773	0	17,846
Repayments of debt	0	(2,916)	(966)	(4,416)
Common stock issued	256	261	962	946
Common stock repurchased	(4,986)	(4,000)	(9,093)	(8,831)
Common stock cash dividends paid	(6,170)	(5,574)	(11,744)	(10,625)
Other, net	(343)	(201)	(1,232)	(508)
Net cash from (used in) financing	(11,243)	(10,147)	(27,819)	4,614
Investing
Additions to property and equipment	(15,804)	(9,735)	(30,727)	(19,652)
Acquisition of companies, net of cash acquired, and purchases of intangible and other assets	(1,405)	(65,029)	(3,254)	(66,215)
Purchases of investments	(2,050)	(4,258)	(3,670)	(12,718)
Maturities of investments	2,604	4,150	4,740	19,868
Sales of investments	2,559	1,600	4,527	6,930
Other, net	(16)	1,347	(929)	365
Net cash used in investing	(14,112)	(71,925)	(29,313)	(71,422)
Effect of foreign exchange rates on cash and cash equivalents	(294)	72	(172)	(27)
Net change in cash and cash equivalents	(3,358)	(63,147)	(833)	(17,399)
Cash and cash equivalents, beginning of period	20,840	80,452	18,315	34,704
Cash and cash equivalents, end of period	$17,482	$17,305	$17,482	$17,305

SEGMENT REVENUE AND OPERATING INCOME

(In millions) (Unaudited)
	Three Months Ended December 31,		Six Months Ended December 31,
	Three Months Ended December 31,		Six Months Ended December 31,
	2024	2023	2024	2023
Revenue
Productivity and Business Processes	$29,437	$25,854	$57,754	$51,080
Intelligent Cloud	25,544	21,525	49,636	41,538
More Personal Computing	14,651	14,641	27,827	25,919
Total	$69,632	$62,020	$135,217	$118,537
Operating Income
Productivity and Business Processes	$16,885	$14,515	$33,401	$28,812
Intelligent Cloud	10,851	9,555	21,354	18,463
More Personal Computing	3,917	2,962	7,450	6,652
Total	$31,653	$27,032	$62,205	$53,927

We have recast certain prior period amounts to conform to the way we internally manage and monitor our business.

MIL OSI Economics –

January 30, 2025

MIL-OSI Submissions: OPEC Fund delivers record US$2.3 billion in development finance in 2024
Source: OPEC Fund for International Development (the OPEC Fund)

Highlights in the 49th year of operation included:

Lending growth: 35 percent increase y-o-y to US$2.3 billion

Triple agriculture and food security investments

Climate Action Plan delivery ahead of target

Bond placements: US$500 million in January 2024

Advancing partnerships: A co-financing agreement with the World Bank Group; MoUs with IFAD, FONPLATA; Country Framework Agreements with Uzbekistan, Kazakhstan, Turkmenistan.

January 29, 2025: The OPEC Fund for International Development achieved a record US$2.3 billion in new commitments in 2024 — a 35 percent increase year-on-year. These commitments, distributed across 70 projects worldwide, are combating climate change, improving global food security, advancing the energy transition and fostering sustainable economic and social development.

OPEC Fund President Abdulhamid Alkhalifa said: “In 2024, the OPEC Fund set a new benchmark in delivering impactful development finance to tackle global priorities. Our record commitments not only reflect our capacity to boost climate action and social resilience but also the strength of our cooperation with countries and development partners such as the World Bank and the Arab Coordination Group. As we approach our 50th anniversary, thanks to the strong support from our member countries and capital market investors, we are well positioned to maximize impact and create lasting benefits for communities worldwide.”

In 2024, the OPEC Fund’s financing supported projects across the Middle East and North Africa & Europe and Central Asia (39 percent of total commitments), Sub-Saharan Africa (34 percent), Asia and the Pacific (13 percent) as well as Latin America & the Caribbean (11 percent). The remaining 3 percent of financing was provided to support regional and global projects. The funds were delivered through a range of financial instruments in public and private sector lending, trade finance and grants operations.

The largest segment of last year’s funding was policy-based lending (19 percent), supporting government-led sustainable development programs and policy implementation in countries such as Armenia (US$50 million), Cote D’Ivoire (US$60 million), Jordan (US$100 million), Montenegro (US$50 million) , Morocco (US$100 million), Sri Lanka (US$50 million) and Uzbekistan (US$70 million).

Significant delivery to support global food security and climate action:

Compared to 2023, the OPEC Fund tripled its commitments to the agriculture sector, in line with its strategic priority to boost global food security. The OPEC Fund provided US$261 million in financing to promote agricultural sustainability in Benin (US$26 million), Eswatini (US$20 million), Honduras (US$15 million), Lesotho (US$20 million), Malawi (US$20 million), Rwanda (US$20 million), Tanzania (US$50 million) and Türkiye (US$50 million).

In 2024, the OPEC Fund delivered on its Climate Action Plan ahead of target. Aligned with this strategy, renewable energy projects constituted nearly 40 percent of the institution’s energy sector commitments last year. These included the Begana and Gamri hydro project in Bhutan (US$50 million), the Suez wind farm in Egypt (US$30 million), the Rogun hydropower project in Tajikistan (US$25 million) and a 42 MW wind farm in Uganda (US$16.5 million). Additional energy investments targeted improved transmission and connectivity in the Dominican Republic (two US$60 million loans) and Mauritania (US$40 million), as well as expanded energy access in Uzbekistan (US$37.5 million), all contributing to Sustainable Development Goal 7 – Clean and Affordable Energy.

Boosting sustainable and climate resilient infrastructure, significant funding (12 percent) was delivered to enhance connectivity in the transport sector. Major projects included investments in Madagascar (US$30 million), Oman (US$180 million), Paraguay (US$50 million), Senegal (US$38 million), Tanzania (US$41 million) and Uganda (US$30 million).

In the financial sector, the OPEC Fund allocated more than US$270 million to partner with governments and local banks for on-lending to small and medium-sized enterprises, driving job creation and enhancing access to finance in Armenia, Bangladesh, Bosnia and Herzegovina, the Dominican Republic, Nepal, Paraguay and Uzbekistan. Another US$375 million in trade finance supported the movement of critical commodities and goods, including agricultural products, to and from developing economies.

In 2024, the OPEC Fund strengthened partnerships with key institutions, including the African Development Bank (AfDB), Arab Coordination Group (ACG), European Bank for Reconstruction and Development (EBRD), European Investment Bank (EIB); signed a co-financing agreement with the World Bank Group and MoUs with the International Fund for Agricultural Development (IFAD) and FONPLATA. The OPEC Fund also signed Country Framework Agreements with Uzbekistan, Kazakhstan, Turkmenistan aiming to further deepen the institution’s impact in the Central Asia region.

About the OPEC Fund

The OPEC Fund for International Development (the OPEC Fund) is the only globally mandated development institution that provides financing from member countries to non-member countries exclusively. The organization works in cooperation with developing country partners and the international development community to stimulate economic growth and social progress in low- and middle-income countries around the world. The OPEC Fund was established in 1976 with a distinct purpose: to drive development, strengthen communities and empower people. Our work is people-centered, focusing on financing projects that meet essential needs, such as food, energy, infrastructure, employment (particularly relating to MSMEs), clean water and sanitation, healthcare and education. To date, the OPEC Fund has committed more than US$29 billion to development projects in over 125 countries with an estimated total project cost of more than US$200 billion. The OPEC Fund is rated AA+/Outlook Stable by Fitch and AA+, Outlook Stable by S&P. Our vision is a world where sustainable development is a reality for all.
MIL OSI – Submitted News –
January 30, 2025
MIL-OSI Submissions: DRC – Humanitarian catastrophe unfolds in North and South Kivu as violence escalates: INGOs call for immediate action

Source: Physicians for Human Rights (PHR)

29 Jan 2025 – Press release from the International NGO Forum in the Democratic Republic of Congo

International Non-Governmental Organizations (INGOs) operating in the Democratic Republic of Congo (DRC) express their grave concern over consequences of ongoing combats in the city of Goma since Sunday, marked by the deployment of M23/AFC supported by Rwanda Defense Forces, and the rapidly deteriorating humanitarian situation in North and South Kivu.

Despite the challenges and forced sheltering in place of their staff, ready to provide urgently needed support, humanitarian NGOs remain committed to staying and delivering aid in North and South Kivu.

Escalating fighting in and around Goma has engulfed densely populated areas, placing tens of thousands of civilians in immediate danger and direct harm. Active hostilities, including heavy artillery and small arms fire, have been reported in and around Goma’s outskirts. Relentless bombing and shelling have been heard in all neighborhoods, heightening fear among the local population and displaced communities alike.

Multiple humanitarian compounds, including NGO offices, health centers, and warehouses, have been directly impacted by the fighting. Several humanitarian organizations have had their compounds shelled and entered by combatants. Military positions have been placed near humanitarian offices, including downtown areas. Several humanitarian facilities storing essential resources to support the population have been looted. Looting and shell impacts have further diminished aid stocks, hampering future service delivery. Essential civilian infrastructures, such as healthcare facilities, schools, and markets, are also attacked or under threat. All must be protected, as well as humanitarian workers, in accordance with international humanitarian law.

In the three weeks leading to ongoing battle in Goma, intensifying conflict between the M23/AFC, the Congolese army and their allies had already displaced 400,000 new people, adding to the 4.6 million people already uprooted by years of violence in eastern DRC. Protection issues, including attacks on civilians, sexual violence, and human rights violations, have reached epidemic levels.

In Goma and surroundings, the situation has reached a breaking point. The city, a vital hub for over 2 million people, including 696,650 internally displaced persons (IDPs), had already seen 30,000 additional displaced people arrive between January 6 and 22, with many more unaccounted for. While the situation in Goma is extremely tense, with INGOs forced to halt operations due to insecurity, organizations are preparing to respond to the growing humanitarian needs, despite already overstretched resources .

Ongoing hostilities are forcing many families to abandon camps due to insecurity and regroup in the city or other overcrowded sites, further worsening their already precarious living conditions, with no safe space to go. Repeated attacks on critical infrastructure, including electrical grids, increasingly paralyze water supply systems, leaving the city without access to safe drinking water.

As a central hub for humanitarian operations in the region, Goma plays a vital role in coordinating and delivering assistance across North and South Kivu and most of Eastern DRC. The ongoing conflict could have catastrophic consequences, overwhelming already strained resources, disrupting aid delivery, and jeopardizing the entire humanitarian response in the province.

“Immediate diplomatic action is urgently needed. All parties to the conflict must uphold their obligations under international law to protect civilians from harm, ensuring their freedom of movements, and protection of humanitarian workers”, says Luc Lamprière, Director of DRC INGO Forum.”Humanitarians are there and ready. Safe and unhindered humanitarian access to deliver life-saving assistance must be an absolute priority to mitigate further deterioration of the crisis”, he adds.

Gunfire near Goma Airport and overall security situation in other areas has led to the suspension of all flights, including humanitarian, further limiting the movement of humanitarian workers and relief supplies. Internet access is also severely impacted and often interrupted. In North and South Kivu, humanitarian access is now severely restricted due to widespread violence and insecurity, which have rendered many key routes impassable. Roads to critical areas such as Lubero are blocked by ongoing clashes and the presence of armed groups, cutting off vital aid supplies and leaving thousands without assistance.

In Minova, South Kivu, since M23 took control of the city on January 21, stocks of essential medicines are rapidly depleting. While healthcare partners do their utmost to continue to provide critical services where possible, despite heavy artillery risks and proximity to frontline clashes, humanitarian access has been completely cut off. The delivery of essential goods such as food and medicines is close to impossible, and civilians are trapped without safe options for evacuation.

Humanitarian organizations urgently call on all parties to the conflict to agree to the establishment of safe access to enable the resupply of critical medical and humanitarian supplies, safe civilian movement, and the rotation of humanitarian staff. Specifically, access in and out of Goma, and between Minova and Bukavu, must be prioritized to ensure life-saving assistance reaches affected populations.

Donors must be prepared to mobilize humanitarian funding to address the immediate needs of affected populations and to support their long-term resilience. This includes providing food, shelter, water, healthcare, and protection services. The international community must act swiftly to prevent further suffering and ensure that the humanitarian response can meet the escalating needs.

For further information on this communication, please contact: representante-goma@forumongirdc.org

The INGO Forum in DRC is an independent body of over 124 international non-governmental organizations (INGOs). Forum members cover all the country’s provinces and work in all humanitarian, development, and peace-building sectors. Most INGOs members of the Forum have an active presence in Eastern DRC, including the provinces of North and South Kivu.

MIL OSI – Submitted News –

January 30, 2025
MIL-OSI Video: Secretary Rubio meets with Canadian Foreign Minister Mélanie Joly

Source: United States of America – Department of State (video statements)

Secretary of State Marco A. Rubio meets with Canadian Foreign Minister Mélanie Joly at the Department of State, on January 29, 2025.

———-
Under the leadership of the President and Secretary of State, the U.S. Department of State leads America’s foreign policy through diplomacy, advocacy, and assistance by advancing the interests of the American people, their safety and economic prosperity. On behalf of the American people we promote and demonstrate democratic values and advance a free, peaceful, and prosperous world.

The Secretary of State, appointed by the President with the advice and consent of the Senate, is the President’s chief foreign affairs adviser. The Secretary carries out the President’s foreign policies through the State Department, which includes the Foreign Service, Civil Service and U.S. Agency for International Development.

Get updates from the U.S. Department of State at www.state.gov and on social media!
Facebook: https://www.facebook.com/statedept
X: https://x.com/StateDept
Instagram: https://www.instagram.com/statedept
Flickr: https://flickr.com/photos/statephotos/

Subscribe to the State Department Blog: https://www.state.gov/blogs
Watch on-demand State Department videos: https://video.state.gov/
Subscribe to The Week at State e-newsletter: http://ow.ly/diiN30ro7Cw

State Department website: https://www.state.gov/
Careers website: https://careers.state.gov/
White House website: https://www.whitehouse.gov/
Terms of Use: https://state.gov/tou

#StateDepartment #DepartmentofState #Diplomacy

https://www.youtube.com/watch?v=oHGMeioGeqA

MIL OSI Video –

January 30, 2025
MIL-OSI New Zealand: Business – Clear the queue to boost innovation and primary sector – BusinessNZ

Source: BusinessNZ

BusinessNZ strongly backs Animal and Plant Health NZ’s call for a sensible and modern approvals process for innovative plant and animal products, to unlock greater economic potential for the primary sector and boost economic growth.

Chief Executive Katherine Rich says our current system is too slow, too costly and uncertain.

“Some multinational firms find great difficulty launching in New Zealand because we’ve made bringing innovation here cost and time-prohibitive.

“It should not take an application more than four years to get approval – particularly products or treatments which have been safely on the market elsewhere for a decade.

“Whether it be the approval of innovative new products through the Environmental Protection Authority or new pharmaceuticals and medical devices through Medsafe, New Zealand needs effective approval processes for launching innovation here which is not cost-prohibitive and many years long.

“New Zealand needs to be an attractive place to launch new products for innovation. We must have an effective and efficient approvals process.”

Rich says BusinessNZ gladly joined businesses and organisations in co-signing a letter to Ministers, calling for positive change.

“We also support the Ministry for Regulation’s review of the agricultural and horticultural products regulatory approval process, and BusinessNZ expects to hear more in the coming weeks after findings are presented to Cabinet.”

The BusinessNZ Network including BusinessNZ, EMA, Business Central, Business Canterbury and Business South, represents and provides services to thousands of businesses, small and large, throughout New Zealand.

MIL OSI New Zealand News –

January 30, 2025
MIL-OSI New Zealand: Universities – Remarkable climate solutions nominated for this year’s Earthshot Prize – Vic

Source: Te Herenga Waka—Victoria University of Wellington

An ocean remediation project, a predator-free blueprint, cleaner greenhouses, and a clean technology pioneer are the nominees put forward this year by Te Herenga Waka—Victoria University of Wellington to be considered for one of five £1,000,000 ($1.9m NZD) 2025 Earthshot Prizes.

The Earthshot Prize finds and grows the solutions that will repair our planet, addressing the challenge to regenerate the place we all call home in the next ten years. As a thought leader in sustainability, the University is the only official nominator based in New Zealand.

These remarkable sustainability solutions were selected by a panel for their potential for global impact, ability to be scaled or replicated, various environmental metrics, and solid organisational foundations.

The Earthshot Prize has a network of nominators all over the world who nominate game-changing innovations that will help repair the planet, awarding the best five solutions each year with £1 million to scale their work. The independent charity was founded by Prince William, and former Prime Minister, Dame Jacinda Ardern, is on the Board of Trustees.

The prizes are awarded to projects that highlight human ingenuity, drive change, and inspire collective action. The Earthshot Prize not only makes available the transformative financial resources of £5 million per year, it also has built a global, diverse, and hugely influential network of partnerships and collaborations involved with all levels of how the Prize works. All finalists get access to mentoring and support throughout the process.

In 2023, one of the University’s nominees, Sea Forest Ltd, was one of the fifteen finalists for The Earthshot Prize. (ref. https://www.wgtn.ac.nz/sustainability/about-us/news/methane-busting-seaweed-a-finalist-for-international-earthshot-prize )

The University’s nominees this year are:

Predator Free Wellington

New Zealand is at the top of the global list for threatened or endangered native species resulting from predation by introduced mammals. Predator Free Wellington is creating the world’s first predator-free capital city where native wildlife and communities thrive. They are creating the urban blueprint for the Predator Free Aotearoa New Zealand 2050 goal. The Predator Free Wellington team are developing a scalable, replicable system to permanently eliminate target introduced predators (rats, possums, mustelids) from Wellington city’s 30,000 hectares. This transformational project is a world-first, being delivered in partnership with every single resident and providing a replicable system for urban environments everywhere.

Kaipara Moana Remediation

The Kaipara is the southern hemisphere’s largest harbour and a place of global importance. Once home to ancient forests, the 600,000-hectare catchment is now degraded by land clearance, with around 700,000 tonnes of sediment flowing into the harbour each year, and 90 percent of wetlands lost. Through novel collaborations, investment in people, and ‘end-to-end’ support, Kaipara Moana Remediation mobilises landowners, iwi/hapū, communities, industry, and government to protect 16,200 kilometres of riparian margins, regenerate wetlands, and re-forest eroding hillsides. Using next-generation digital tools to identify ‘hotspots’ in the landscape, Kaipara Moana Remediation supports landowners to offset on-farm emissions, restore ecosystem remnants, and improve resilience to cyclones and floods impacting local communities.

Hot Lime Labs

Seventy percent of commercial greenhouses use natural gas for heat and yield-boosting CO2. The CO2 byproduct from natural gas is critical for greenhouses as it boosts yield by around 20 percent. No other greenhouse heating solution delivers clean CO2, so transitioning from natural gas carries a huge penalty and a major abatement challenge. The Hot Lime Labs vision is to decarbonise half the world’s greenhouses by 2030, reducing fossil emissions by 120 megatons per year. Hot Lime extracts CO2 from forestry and crop waste, replacing fossil-based CO2. Their solution delivers renewable CO2, boosting customer yields and enabling greenhouses to transition to renewable heating and decarbonise their operations.

Mint Innovation

As global mineral reserves deplete and decarbonisation becomes existential, Mint Innovation offers a sustainable solution. Mint is a clean technology pioneer, leveraging the world’s fastest growing waste streams and transforming them into value for a greener future. Their patented low-carbon technologies recover critical metals, such as copper, lithium, cobalt, nickel and rare earths from waste streams such as e-waste and spent li-ion batteries. Mint brings its world-first technology to these waste streams in city-scale facilities to return low-carbon metals back into local economies. The technology will help reduce our reliance on unsustainable practices like smelting and mining for mineral recovery, while diverting waste from landfills and preventing the export of hazardous waste to developing nations where it is typically disposed of in dangerous and highly pollutive ways.

MIL OSI New Zealand News –

January 30, 2025
MIL-OSI New Zealand: EPA – Rangitane maritime development declined COVID fast-track consent

Source: Environmental Protection Authority

An independent panel has declined resource consent to construct a public boat ramp facility at Rangitane, Kerikeri.

Far North District Council and Far North Holdings Limited applied for resource consent under the COVID-19 Recovery (Fast-track Consenting) Act 2020.

The decision comes 209 working days after the application was lodged with the Environmental Protection Authority.

The Environmental Protection Authority is not involved in the decision-making. We provide procedural advice and administrative support to the panel convenor, Judge Laurie Newhook, and the expert consenting panel he appoints.

Read the Rangitane maritime development report (ref. https://www.epa.govt.nz/fast-track-consenting/referred-projects/rangitane-maritime-development-re-application-2023/the-decision/ )

Note that this application was made under the COVID-19 Recovery (Fast-track Consenting) Act 2020 and not the more recent fast-track legislation.

More about fast-track consenting under the COVID-19 Recovery (Fast-track Consenting) Act (ref. https://www.epa.govt.nz/fast-track-consenting )

MIL OSI New Zealand News –

January 30, 2025
MIL-OSI Australia: Designing the Cultural Heart of Ipswich

Source: Australian Ministers 1

The Ipswich CBD will soon begin its transformation thanks to a $3.8 million investment from the Albanese Government to fund detailed upgrade designs.

The Ipswich Central Heart: Art, Commerce and Urban Greening project is being funded through Stream One of the Australian Government’s urban Precincts and Partnerships Program (uPPP).

The project will develop designs for the expansion of the Ipswich Art Gallery and the redevelopment of the Ipswich Civic Centre. It will also include planning for a streetscape refresh of Brisbane Street, the integration of the Inner CBD Cycle Network and additional urban greening initiatives.

The planned precinct aims to enhance economic development by creating new local job opportunities, in addition to supporting the investment already underway in Ipswich Central.

It will also deliver an arts and cultural precinct, providing a place for artists and performers to collectively work and create.

City of Ipswich will work collaboratively alongside the Office of the Queensland Government Architect, Queensland Health, West Moreton Health, and the Department of Transport and Main Roads throughout this planning project.

Stream One of the uPPP funds the design of places that contribute to local economic growth and revitalise urban spaces to meet the needs of growing communities.

This funding demonstrates the Albanese Government’s commitment to valuing local voices and developing partnerships that will help build Australia’s future in the long term.

Quotes attributable to Infrastructure, Transport, Regional Development and Local Government Minister, Catherine King:

“The Albanese Government’s urban Precincts and Partnerships Program is about reusing and reimagining our urban spaces to better serve the people who live in them.

“The Ipswich CBD has enormous potential and this funding is the first critical step in realising this project.”

Quotes attributable to Assistant Minister for Regional Development, Anthony Chisholm:

“This new precinct, right in the heart of Ipswich, will improve arts and cultural experiences for the local community and help secure Ipswich’s status as a cultural hub in the south east.

“This is yet another demonstration of the Federal Government’s ongoing commitment to back local priority infrastructure and community projects in our town centres.”

Quotes attributable to Member for Blair, Shayne Neumann:

“This $3.8 million investment from the Albanese Government in Ipswich’s heart will boost local businesses and jobs, in addition to supporting the investment already underway in Ipswich Central to make our city more vibrant and liveable.

“Ipswich is one of the fastest growing regions in Australia, and this funding will help drive a thriving arts and cultural zone in our city centre that can be used by our diverse arts and entertainment community.”

Quotes attributable to Ipswich Deputy Mayor, Cr Nicole Jonic:

“We want to build an Ipswich that provides not only jobs and opportunities, but access to arts, culture and recreation.

“The Ipswich Central Heart: Art, Commerce and Urban Greening project will help us create a modern city where people can work, play and have pride in where they live.

“This much-needed Federal funding will enhance the capacity of Ipswich Central cultural assets, like the Ipswich Art Gallery and Ipswich Civic Centre, and improve connectivity between these venues and our revitalised CBD.”

MIL OSI News –

January 30, 2025

MIL-OSI USA: Enhancing Emergency Communications Systems

Source: US State of New York

Governor Kathy Hochul today announced that $55 million would be awarded to 57 counties and New York City to bolster the State’s emergency response and communications systems through two grants — a $45 million grant under the State Interoperable Communications Formula Grant Program and a $10 million grant under the Public Safety Answering Point Grant Program. Both grant programs fall under the Statewide Interoperable Communications Grant program, which provides reimbursement of funding to eligible counties in order to improve their emergency communication systems, and allocate funding to further enhance public safety call-taking and dispatching abilities. The combined $55 million is set to deliver upgrades to the State’s public safety answering points and communications system. Funding will assist counties as they buy new equipment, upgrade their technology and improve training, and will encourage the development of Next Generation 911 technologies.

“Ensuring the safety of New Yorkers is my top priority, and a reliable emergency dispatch system is critical for getting first responders where they’re needed — fast,” Governor Hochul said. “This additional funding will strengthen emergency communications across the State, helping counties upgrade technology, improve training and enhance their response capabilities. I remain committed to advancing public safety efforts year after year, ensuring every community has the resources it needs and deserves.”

Division of Homeland Security and Emergency Services Commissioner Jackie Bray said, “Communication is key during emergencies and these grants will help communities across New York State get training and maintain and improve their systems. The professionals who take emergency calls and dispatch emergency responders are the first line of assistance, and we want to help ensure they have the tools they need.”

Executive Director of New York State Association of Counties Stephen J. Acquario said, “Counties applaud Governor Hochul for her continued priority emphasis on providing emergency 9-1-1 communication grants to counties. This funding is critical so that county based 911 systems can invest in modern technology and infrastructure to ensure our residents have access to emergency services.”

The State Interoperable Communications Formula Grant (SICG-Formula) focuses on minimizing gaps in interoperable communications by aligning technology acquisitions with its operational use by first responders, providing the foundation necessary to accomplish a high level of interoperability.

The grant allows the State to reimburse eligible expenses that aid localities in sustaining and improving communications systems and components, training and exercises, and governance structures. It also supports county public safety organizations in enhancing emergency response, improving capability and performance results from the U.S. Department of Homeland Security’s (DHS) National Emergency Communications Plan, improving operating procedures and infrastructure development, and addressing SAFECOM guidance from the DHS Cybersecurity and Infrastructure Security Agency (CISA).

The SICG Formula grant awards announced today are below:

County	Award Amount	County	Award Amount
Albany	$1,175,916	Niagara	$788,111
Allegany	$736,507	Oneida	$759,816
Broome	$890,183	Onondaga	$1,111,103
Cattaraugus	$640,674	Ontario	$577,913
Cayuga	$705,292	Orange	$869,382
Chautauqua	$643,479	Orleans	$501,156
Chemung	$498,210	Oswego	$794,392
Chenango	$494,618	Otsego	$715,946
Clinton	$639,814	Putnam	$422,645
Columbia	$446,381	Rensselaer	$730,577
Cortland	$786,336	Rockland	$758,386
Delaware	$667,382	Saratoga	$766,246
Dutchess	$526,279	Schenectady	$609,599
Erie	$1,187,283	Schoharie	$475,133
Essex	$826,549	Schuyler	$407,932
Franklin	$653,016	Seneca	$391,399
Fulton	$488,828	St. Lawrence	$798,892
Genesee	$682,571	Steuben	$748,369
Greene	$456,547	Suffolk	$893,700
Hamilton	$561,551	Sullivan	$637,453
Herkimer	$670,415	Tioga	$410,016
Jefferson	$739,206	Tompkins	$627,501
Lewis	$665,538	Ulster	$552,845
Livingston	$609,127	Warren	$492,667
Madison	$720,342	Washington	$773,600
Monroe	$1,420,159	Wayne	$484,283
Montgomery	$407,620	Westchester	$646,033
Nassau	$887,854	Wyoming	$443,244
New York City	$6,615,112	Yates	$368,872

The Public Safety Answering Point Operations Grant (PSAP) is noncompetitive and allocates money by a formula which distributes funding to awardees based on several varying criteria, including operational scope, demographic elements, emergency services call metrics, deployment of new technology, and adherence with State and national guidelines for emergency communications.

The grant supports an awardee’s existing operations and encourages the development of Next Generation 911 (NG911) technologies and the Geographic Information System (GIS) data needed for NG911. The PSAP grant also promotes the development of operational and procedural efficiencies and overall collaboration between different jurisdictions, such as other counties and state agencies.

The PSAP grant awards announced today are below:

County	Award Amount	County	Award Amount
Albany	$235,855	Niagara	$182,545
Allegany	$127,563	Oneida	$205,204
Broome	$221,995	Onondaga	$202,864
Cattaraugus	$156,861	Ontario	$213,167
Cayuga	$213,957	Orange	$151,513
Chautauqua	$167,574	Orleans	$104,727
Chemung	$213,276	Oswego	$181,122
Chenango	$165,794	Otsego	$173,737
Clinton	$150,227	Putnam	$108,883
Columbia	$159,118	Rensselaer	$186,187
Cortland	$194,635	Rockland	$176,964
Delaware	$165,193	Saratoga	$118,926
Dutchess	$154,993	Schenectady	$175,333
Erie	$202,408	Schoharie	$114,623
Essex	$223,942	Schuyler	$183,578
Franklin	$152,412	Seneca	$160,865
Fulton	$159,119	St. Lawrence	$209,055
Genesee	$211,687	Steuben	$175,667
Greene	$143,466	Suffolk	$189,488
Hamilton	$163,770	Sullivan	$155,955
Herkimer	$199,901	Tioga	$109,805
Jefferson	$188,735	Tompkins	$136,192
Lewis	$229,558	Ulster	$151,993
Livingston	$168,455	Warren	$165,940
Madison	$153,681	Washington	$147,298
Monroe	$229,967	Wayne	$180,950
Montgomery	$178,052	Westchester	$156,766
Nassau	$126,372	Wyoming	$116,975
New York City	$205,078	Yates	$200,034

Both the SICG-Formula and PSAP grant programs directly support local emergency response capabilities and promote interoperability for public safety agencies throughout the State.

About DHSES

The Division of Homeland Security and Emergency Services provides leadership, coordination, and support to prevent, protect against, prepare for, respond to, recover from, and mitigate disasters and other emergencies. For more information, follow @NYSDHSES on Facebook, Instagram and X, formerly known as Twitter, or visit dhses.ny.gov.

MIL OSI USA News –

January 30, 2025

MIL-OSI Security: Mexican National Sentenced for Passport Fraud and Illegal Reentry

Source: Office of United States Attorneys

Aberdeen, Mississippi – Joaquin Lineares-Rodriguez, a Mexican national, was sentenced Tuesday following his guilty plea to passport fraud and Illegal Reentry of a Removed Alien. This was Lineares-Rodriguez’s third conviction for Illegal Reentry into the United States.

According to court documents, Lineares-Rodriguez was charged with passport fraud following an attempt to gain a U.S. passport. The defendant made numerous false statements in his passport application. These false statements led to an investigation by agents with the Diplomatic Security Service, who investigate visa and passport fraud as a part of the Department of State. During the course of their investigation, agents learned that Lineares-Rodriguez had multiple prior deportations. Agents with Homeland Security assisted in the investigation.

Lineares-Rodriguez was sentenced by U.S. District Judge Sharion Aycock to 18 months incarceration. Following his sentence, DHS and ICE will be notified and Lineares-Rodriguez will be taken into ICE custody pending removal proceedings.

Following the sentencing, U.S. Attorney Clay Joyner noted the importance of this prosecution, stating, “Illegal reentry into the United States, and using fraudulent passports to do so, will never be rewarded; these crimes will instead be met will the full prosecutorial powers of the Department of Justice and this office. The joint efforts by AUSA John Herzog, and the Departments of State and Homeland Security are to be commended and will serve as a template for success moving forward. Hopefully, a prison sentence will deter yet another illegal re-entry by this defendant.”

This case was investigated by Diplomatic Security Service of the U.S. Department of State and the Department of Homeland Security. The case was prosecuted by AUSA John Herzog Jr.

MIL Security OSI –

January 30, 2025
MIL-OSI Security: Second Defendant Admits His Role in ATM Skimming Bank Fraud Conspiracy

Source: Office of United States Attorneys

PROVIDENCE – A second Romanian national has admitted to a federal judge in Rhode Island that he participated in a conspiracy that installed card skimming devices on bank ATMs in at least six states, including Rhode Island, announced United States Attorney Zachary A. Cunha.

Mario Demarco, a/k/a Marius Lupu a/k/a David Ademec, until recently residing in Queens, New York, pleaded guilty today to a charge of conspiracy to commit bank fraud. A co-defendant, Stefano Garioli, a/k/a Dumitru Bogdan Pancu a/k/a Leon Vutkus, also of Queens, New York, pleaded guilty on December 11, 2024, to the same charge.

According to information presented to the court, for more than two years, beginning in May 2022, the two men conspired together and with others to commit bank fraud by placing skimming devices on ATM machines in order to steal customer bank account information and PINs. The stolen information was used to clone counterfeit bank cards that were then used to fraudulently withdraw money from the bank accounts of unsuspecting customers.

The ATM skimmer conspiracy first came to the attention law enforcement on July 5, 2024, when a bank branch manager notified the Warwick Police Department that bank surveillance video had captured two men, later identified as the defendants, placing a skimming device inside a drive-up ATM. Nearby security video also captured images of the two men’s vehicle. The same vehicle was also identified as having been present two days earlier when a skimming device was placed inside an ATM at a North Kingstown bank branch.

On July 6, 2024, Cranston Police reported that a vehicle matching the one recorded by bank security cameras had been captured on a Flock camera in their city. Warwick Police responded to the area of the camera and located the vehicle. Demarco was detained as he walked away from a nearby ATM; Garioli was located sitting in the vehicle.

Further investigation determined that the two men had worked together and with others for more than two years placing skimmer devices on ATMs in Rhode Island, Massachusetts, Connecticut, New York, New Jersey, and Pennsylvania.

DeMarco and Garioli are scheduled to be sentenced on May 6, 2025. The defendants’ sentences will be determined by a federal district judge after consideration of the U.S. Sentencing Guidelines and other statutory factors.

The case is being prosecuted by Assistant United States Attorney Ly T. Chin.

The matter was investigated by Homeland Security Investigations with assistance from the Warwick, RI Police Department, Cranston, RI Police Department, East Greenwich, RI Police Department, North Kingstown, RI Police Department, East Providence, RI Police Department, Boston, MA Police Department, New York City Police Department, and the Stratford, CT Police Department.

###

MIL Security OSI –

January 30, 2025
MIL-OSI Security: Jacksonville Man Sentenced To Four Years In Prison For Possessing A Firearm As A Convicted Felon

Source: Office of United States Attorneys

Jacksonville, Florida – United States District Judge Brian J. Davis has sentenced Christopher O’Neal Houser (44, Jacksonville) to four years in federal prison for possessing a firearm as a convicted felon. Houser entered a guilty plea on October 15, 2024.

According to court documents, on February 2, 2024, Houser sold a sawed-off shotgun to another felon. At the time that he possessed and sold the shotgun, Houser had prior felony convictions for possession of methamphetamine and grand theft, which prohibited him from legally possessing firearms. He also had convictions for sexually assaulting multiple women in 2002, and for misdemeanor battery in 2019.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Clay County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Brenna Falzetta.

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 safe 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.

MIL Security OSI –

January 30, 2025
MIL-OSI Security: Multi-Convicted Felon Sentenced To Eight Years In Prison For Distributing Cocaine

Source: Office of United States Attorneys

Jacksonville, Florida – United States District Judge Harvey E. Schlesinger has sentenced James Matthew Doyle (38, Fleming Island) to eight years in federal prison for distributing cocaine. Doyle entered a guilty plea on May 31, 2024.

According to court records, in January and February 2023 Doyle sold cocaine on two different occasions to a confidential source working for the Bureau of Alcohol, Tobacco, Firearms and Explosives, as well as to an undercover agent. Doyle has several prior felony convictions, including the sale of marijuana and ecstasy, possession of cocaine and methamphetamine, possession of a firearm by a convicted felon, grand theft auto, and forging title information.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorney Brenna Falzetta.

MIL Security OSI –

January 30, 2025
MIL-OSI Security: One Defendant Pleads Guilty And Two Others Charged With Fraudulently Obtaining $59 Million In Public Benefits And Laundering Proceeds To China

Source: Office of United States Attorneys

HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Bruce Jin, age 60, pleaded guilty before United States District Court Judge Jennifer P. Wilson to one count of conspiracy to commit wire fraud and one count of conspiracy to launder monetary instruments in the amount of approximately $59 million. The United States Attorney’s Office also announced that Jin was charged with those offenses in August 2023, along with Brian R. Cleland, age 71, and Carlos A. Grijalva, age 59. All three defendants are residents of the Los Angeles, California area. The indictment also contains additional wire fraud charges against Cleland and Jin individually.

According to Acting United States Attorney John C. Gurganus, the indictment alleges that Cleland, Jin, and Grijalva, along with other unnamed coconspirators, conspired to obtain state unemployment compensation funds, and other public funds, through fraudulent means. The indictment alleges that the defendants and others entered into a series of agreements to make it appear as if they were operating legitimate businesses selling masks and other COVID19 personal protective equipment. In reality, the funds that the defendants obtained and laundered through their companies were derived from fraudulently obtained state unemployment compensation (“UC”) benefits. The indictment alleges that Economic Impact Payments, or “stimulus payments,” were also obtained through fraudulent means.

According to the indictment, unnamed members of the conspiracy, including some believed to be located in China, established thousands of accounts at banks across the United States using the personal identifying information (“PII”) of identity theft victims. From there, fraudulent UC claims were generated and paid to these accounts, including accounts in the names of people residing in the Middle District of Pennsylvania. The indictment alleges that these fraudulent UC claims were also generated by fraudsters based in China. As a result of this fraudulent activity, millions of dollars in fraudulent UC payments were made by Pennsylvania, Virginia, Florida, and other states.

After UC funds were paid out, they were then transferred from identity theft victims’ accounts to companies controlled by Cleland, Jin, and Grijalva. For instance, Jin, through companies that he controlled known as Ample International and Jin Commerce, allegedly received over $12 million in UC funds from the accounts of identity theft victims. In addition, the defendants are alleged to have used ACH processing—a type of electronic bank-to-bank transfer—to obtain over $45 million in fraudulent funds from the accounts of identity theft victims. This money mostly went from the accounts of identity theft victims to companies controlled by Cleland and Grijalva, including MexUS Service, Group Mex USA, CCB Group, GC Accounting, and CLECO. After that, Cleland and Grijalva transferred over $30 million to Jin’s companies and over $6 million to a company controlled by an associate of Jin who is referred to in the indictment as COCONSPIRATOR 1. That associate’s company is known in the indictment as COMPANY 1.

After Jin received the fraudulent funds, either from identity theft victims’ accounts or from Cleland and Grijalva through ACH processing, he then made international wire transfers totaling over $35 million to a bank account in China associated with a company known in the indictment as COMPANY 2. COMPANY 2 is controlled by an individual known in the indictment as COCONSPIRATOR 2, who, like COMPANY 2, is allegedly located in China. Jin also transferred over $2 million directly to COCONSPIRATOR 2.

The indictment also contains forfeiture allegations seeking over $59 million in US currency, as well as the contents of three bank accounts belonging to COMPANY 1 and a property in Honolulu, Hawaii that was purchased by COCONSPIRATOR 1 using funds connected to the charged offenses.

During his guilty plea, Bruce Jin admitted to the conduct that he is alleged to have engaged in with Cleland, Grijalva, and COCONSPIRATOR 2, as described above.

Jin has been detained since his arrest in August 2023. Cleland and Grijalva have been released pending trial on conditions. Cleland and Grijalva have both pleaded not guilty to the charged offenses and are scheduled for trial in May 2025.

“The Department of Justice is committed to identifying and punishing those who defrauded pandemic-era benefits programs, regardless of where they are located,” said Mandy Riedel, Director, COVID-19 Fraud Enforcement. “I commend the hard work of the prosecutors and investigators in the Middle District of Pennsylvania who doggedly pursued these organized overseas criminals to seek justice and the return of stolen tax payer funds.”

“Bruce Jin and his co-defendants engaged in an unemployment insurance (UI) fraud scheme that targeted multiple state workforce agencies, including the Pennsylvania Department of Labor and Industry,” stated Syreeta Scott, Special Agent-in-Charge of the Mid-Atlantic Region, U.S. Department of Labor, Office of Inspector General. “Jin conspired to file fraudulent UI claims in the names of identity theft victims who were not entitled to such benefits. We will continue to work with our law enforcement partners to protect the integrity of the UI system from those who seek to exploit this critical benefit program.”

“The millions of dollars fraudulently obtained in this case were meant to support struggling Americans, not to be funneled overseas,” said Wayne A. Jacobs, Special Agent in Charge of FBI Philadelphia. “The FBI is grateful for the ongoing collaboration of our partners as we work to hold accountable those who commit such egregious and complex financial crimes.”

The case was investigated by the Federal Bureau of Investigation and the U.S. Department of Labor, Office of Inspector General. Assistant U.S. Attorney Ravi Romel Sharma is prosecuting the case.

The U.S. Attorney General has established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.

The maximum penalty under federal law for wire fraud and conspiracy to commit wire fraud is 20 years of imprisonment, a term of supervised release following imprisonment, and a fine. The maximum penalty for conspiracy to commit money laundering is also 20 years of imprisonment, a term of supervised release following imprisonment, and a fine.

A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.

Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.

# # #

MIL Security OSI –

January 30, 2025
MIL-OSI Security: Jacksonville Man Pleads Guilty To Possession And Transfer Of A Destructive Device

Source: Office of United States Attorneys

Jacksonville, Florida – United States Attorney Roger B. Handberg announces that Shane Allen Gibson (45, Jacksonville) today pleaded guilty to possession of a destructive device and transfer of a destructive device to a convicted felon. Gibson faces a maximum penalty of 10 years in federal prison for the possession charge and up to 15 years in federal prison for the transfer charge. A sentencing date has not yet been set.

According to the plea agreement, on April 20, 2023, Gibson possessed and transferred an improvised explosive bomb, a destructive device under federal law, to an individual who he knew to be a convicted felon. The destructive device was one of three homemade explosive devices given by Gibson to the convicted felon. Laboratory testing revealed that the device contained explosive powder and numerous screws and fasteners within an arial shell and pyrotechnic fuse. An examiner from the Bureau of Alcohol, Tobacco, Firearms and Explosives concluded that igniting the fuse would, after a short delay, cause blast, thermal, and fragmentation effects capable of causing damage, injury, and death to persons nearby.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Rachel Lasry.

MIL Security OSI –

January 30, 2025
MIL-OSI Security: Leader of Drug Trafficking Organization Pleads Guilty to Numerous Drug Distribution Charges

Source: Office of United States Attorneys

BOSTON – One of the leaders of a large-scale drug trafficking conspiracy operating in and around the South Shore area of Massachusetts has pleaded guilty to multiple federal drug offenses in federal court in Boston.

Giovanni Pina, 27, of Brockton, pleaded guilty to one count of possessing with intent to distribute and distributing 500 grams and more of methamphetamine; one count of distributing and possessing with intent to distribute methamphetamine on a premises where a minor was present and/or resided; and one count of conspiracy to possess with intent to distribute 400 grams or more of fentanyl, 100 grams or more of a fentanyl analogue and 500 grams or more of cocaine. U.S. Senior District Court Judge William G. Young scheduled sentencing for April 30, 2025. Pina was charged by complaint in February 2023 and subsequently indicted by a federal grand jury in March 2023.

Beginning in at least January 2021 through at least November 2021, Pina served as one of the leaders of a large-scale drug trafficking conspiracy that distributed fentanyl, fentanyl analogue and cocaine in and around the South Shore area – including in the Brockton, Quincy and Weymouth communities. Part of that conspiracy involved a Weymouth “stash house.” During a search of the stash house location in January 2021, two kilo presses; extensive drug paraphernalia, including blenders, digital scales and packaging equipment; more than 10 kilograms of fentanyl, fentanyl analogue and cocaine; three firearms; ammunition; two high-capacity magazines; and a speed loader were recovered.

Additionally, Pina participated in a number of recorded drug deals with a cooperating witness in January and February 2023. One recorded drug deal occurred on or about Jan. 12, 2023, at a residence in Brockton, during which the deal and in the presence of a minor, Pina provided the witness with a box containing orange pills in exchange for cash. Subsequent lab testing confirmed that the pills consisted of over 2,000 grams of a mixture and substance of methamphetamine. On or about Jan. 25, 2023, Pina participated in another recorded drug deal with the cooperating witness in a vehicle in Taunton. During the deal, Pina provided the witness with a box that contained a large amount of orange pills in exchange for cash. Subsequent lab testing confirmed that the pills consisted of over 2,500 grams of a mixture and substance of methamphetamine.

The charge of conspiracy to possess with intent to distribute 400 grams or more of fentanyl, 100 grams or more of a fentanyl analogue and 500 grams or more of cocaine provides for a mandatory minimum sentence of at least 10 years and up to life in prison, at least five years and up to a lifetime of supervised release and a fine of up to $10 million. The charge of possession with intent to distribute and distribution of 500 grams or more of a mixture and substance of methamphetamine provides for a mandatory minimum sentence of 10 years and up to life in prison, at least five years and up to a lifetime of supervised release and a fine of up to $10 million. The charge of distributing and possessing with intent to distribute methamphetamine on premises where a minor was present and/or resided provides for an additional consecutive term of up to 20 years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

United States Attorney Leah B. Foley; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Quincy Police Chief Mark Kennedy made the announcement today. Valuable assistance in the investigation was provided by the Massachusetts State Police; Suffolk County Sheriff’s Department; and the Quincy, Weymouth, Braintree, Randolph, Brockton, East Bridgewater and Bridgewater Police Departments. Assistant U.S. Attorney Kaitlin R. O’Donnell of the Criminal Division is prosecuting the case.

This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.https://www.justice.gov/OCDETF

MIL Security OSI –

January 30, 2025
MIL-OSI Security: Lead Defendants Plead Guilty to RICO Conspiracy to Transport, Hire, and Harbor Unauthorized Workers

Source: Office of United States Attorneys

Criminal Enterprise Employed Unauthorized Workers at Dozens of Mexican Restaurants Across the Midwest

KANSAS CITY, Mo. – Seven defendants, including an owner, president, chief financial officer, and controller of a Joplin, Mo., corporation, have pleaded guilty in federal court to their roles in a racketeering conspiracy to transport, hire, and harbor undocumented workers in several Midwestern states.

“This case sends a clear and unequivocal message: employing unauthorized workers will not be tolerated and will be met with severe consequences,” said Mark Zito, HSI Kansas City Special Agent in Charge. “Our investigation uncovered a blatant and systemic disregard for our nation’s employment laws. Those who engage in such unlawful practices not only undermine the integrity of our labor market but also exploit vulnerable individuals. HSI Kansas City is relentless in our pursuit to dismantle these illegal operations and hold violators accountable to the fullest extent of the law. If you break the law, you will face the full force of our investigation and prosecution.”

Jose Luis Bravo, 54, of Claremore, Oklahoma; Jose Guadalupe Razo, 54, of Carl Junction, Mo.; Anthony Edward Doll, 46, and Miguel Tarin-Martinez, 46, both of Joplin, Mo.; Alejandro Castillo-Ramirez, 43, a citizen of Mexico; Jaime Ramirez-Ceja, 46, a citizen of Mexico; and Veronica Razo de Lara, 50, of Great Bend, Kansas, have pleaded guilty before U.S. District Judge Roseann A. Ketchmark.

Each defendant admitted they were part of a RICO (racketeer influenced and corrupt organizations) conspiracy from Jan. 1, 2018, to Aug. 10, 2021, that transported and employed Mexican, Guatemalan, and El Salvadoran nationals who were not authorized to live or work in the United States. Conspirators also harbored and encouraged the unauthorized workers to remain and reside in the United States by providing them with housing and, in certain circumstances, fraudulent identification documentation.

Bravo is the partial owner of Specialty Foods Distribution, a corporation based in Joplin. Specialty Foods Distribution is a wholesale Mexican food products and restaurant supply company. Razo is the president of Specialty Foods Distribution; Doll is the chief financial officer; Tarin-Martinez is the controller.

Bravo, Razo, Doll, and Tarin-Martinez created and maintained a network of restaurants operating under multiple LLCs in Missouri, Arkansas, Kansas, and Oklahoma that were serviced by Specialty Foods Distribution. The defendants conspired to staff these restaurants with unauthorized workers. Castillo-Ramirez, Ramirez-Ceja, and Razo de Lara managed three of the enterprise-affiliated restaurants that employed unauthorized workers. By utilizing unauthorized workers — a workforce not available to law-abiding business owners — the defendants obtained an unfair and illegal competitive business advantage.

In addition to transporting, harboring, and hiring unauthorized workers, the racketeering activity involved evasive and fraudulent actions. Specifically, to maintain high levels of unauthorized employees at the enterprise-affiliated restaurants, the defendants kept certain unauthorized workers off official payroll records; required certain unauthorized workers to work at times when federal officials were unlikely to conduct inspections; failed to collect or maintain complete and accurate Form I-9 documentation; falsely attested to the accuracy of information on Form I-9 documentation; submitted inaccurate wage and hour reports to state officials; and facilitated fraudulent identification documentation being produced, transported, and provided to unauthorized workers.

Bravo specifically admitted that, as part of the RICO conspiracy, he facilitated the production and transportation of two fraudulent U.S. permanent resident cards from Claremore to Butler, Mo., as well as personally transported three unauthorized workers from Claremore to the state of Kansas. Bavo has agreed to forfeit to the government approximately $5.7 million, comprising the forfeiture of proceeds he obtained from the RICO enterprise as well as property that afforded a source of influence over the RICO enterprise. The forfeiture agreement involves liquidation of five financial accounts; the government obtaining cash in lieu of Bravo’s interest in 12 real properties; and the government obtaining cash in lieu of Bravo’s interest in portions of 24 individual companies or corporations, including a portion of SFD, which Bravo admitted afforded a source of influence over the RICO enterprise.

Razo specifically admitted that he conspired to harbor five unauthorized workers at enterprise-affiliated restaurants in Great Bend, and encouraged and induced three unauthorized workers at SFD to reside in the United States in violation of the law. Razo has agreed to forfeiture in the form of liquidation of one bank account and a money judgment in the amount of approximately $130,700, representing the proceeds he obtained from the RICO enterprise.

Doll specifically admitted to encouraging unauthorized workers to reside in the United States by conspiring to create a Missouri LLC for the purpose of opening a new restaurant where certain unauthorized workers could gain employment, and conspiring to harbor unauthorized workers by taking steps to ensure unauthorized workers did not utilize established timeclock payroll systems at certain enterprise-affiliated restaurants. Doll has agreed to forfeiture in the form of liquidation of two bank accounts and a money judgment in the amount of approximately $132,300, representing the proceeds he obtained from the RICO enterprise.

Tarin-Martinez specifically admitted to encouraging unauthorized workers to reside in the United States in violation of the law in Springfield, Mo., and in Pittsburg, Kan. Tarin-Martinez has agreed to forfeiture in the form of a money judgment in the amount of approximately $23,094, representing the proceeds he obtained from the RICO enterprise.

Castillo-Ramirez specifically admitted to harboring two unauthorized workers at an enterprise-affiliated restaurant in Augusta, Kan. Castillo-Ramirez also admitted to encouraging the two unauthorized workers to reside in the United States in violation of the law by providing the unauthorized workers with employment, keeping them out of the established payroll system, and paying them in cash or by local check.

Ramirez-Ceja specifically admitted to encouraging two unauthorized workers to reside in the United States in violation of the law by providing the workers with employment at an enterprise-affiliated restaurant in Lebanon, Mo., allowing the unauthorized workers to utilize fraudulent identification documents, and providing the unauthorized workers with housing. Additionally, Ramirez-Ceja admitted to making false attestations on two Form I-9 documents.

Razo de Lara specifically admitted to conspiring to harbor four unauthorized workers at an enterprise-affiliated restaurant in Great Bend. As part of the conspiracy, Razo de Lara agreed to keep unauthorized workers out of the established payroll system, pay the unauthorized workers in cash, and have certain unauthorized workers complete work at times when federal agents were unlikely to inspect the restaurant.

Under federal statutes, each of these defendants is subject to a sentence of up to 20 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendants will be determined by the court based on the advisory sentencing guidelines and other statutory factors. Sentencing hearings will be scheduled after the completion of presentence investigations by the United States Probation Office.

This case is being prosecuted by Assistant U.S. Attorneys Rudolph R. Rhodes IV, Leigh Farmakidis, and Nicholas Heberle. It was investigated by Homeland Security Investigations with assistance from IRS-Criminal Investigations, Kansas Bureau of Investigation, Kansas Department of Labor, Kansas Department of Revenue, Kansas Highway Patrol, and Missouri State Highway Patrol.

MIL Security OSI –

January 30, 2025
MIL-OSI Security: Hot Springs Man Sentenced to More Than 10 Years in Federal Prison for Methamphetamine and Firearms Possession

Source: Office of United States Attorneys

HOT SPRINGS – An Arkansas man has been sentenced to 123 months in Federal Prison for Possession of Methamphetamine with the Intent to Distribute and Possession of a Firearm in furtherance of a Drug Trafficking Offense. The Honorable Chief Judge Susan O. Hickey presided over the sentencing hearings, which took place in the United States District Court in Hot Springs.

According to court records, on March 7, 2023, Darryl Lavell Williams, age 30, of Hot Springs, was observed by Hot Springs Police Department Officers walking along East Grand Avenue carrying a black backpack. Officers recognized Williams and knew that he had an active warrant from the Arkansas Parole Board. As Officers approached Williams, he ignored their commands and attempted to dispose of the backpack by throwing it off a bridge. Williams was taken into custody and the backpack was located. A search of the backpack revealed a loaded Jimenez 9mm handgun and 47 grams of methamphetamine.

On June 5, 2024, Williams pleaded guilty to Possession of a mixture or substance containing a detectable amount of Methamphetamine with Intent to Distribute and Possession of a firearm in Furtherance of a Drug Trafficking Crime.

U.S. Attorney David Clay Fowlkes made the announcement.

The Hot Springs Police Departments Special Investigation Division investigated the case.

Assistant U.S. Attorney Trent Daniels prosecuted the case for the United States.

Related court documents may be found on the Public Access to Electronic Records website at www.pacer.gov.

MIL Security OSI –

January 30, 2025
MIL-OSI Security: U.S. Attorney Michael F. Easley, Jr. Announces Departure

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

Tenure Marked by Violent Crime Declines, White Collar Fraud Crackdown, Dismantling Drug Traffickers, and Expansion of Civil Rights

RALEIGH, N.C. – U.S. Attorney Michael F. Easley, Jr., announced today that he is stepping down on Monday, February 3, 2025, after leading the Office since November 2021. President Joseph Biden nominated Easley on September 28, 2021, and the U.S. Senate unanimously confirmed him on November 21, 2021. He was officially sworn in on November 26, 2021.

“It has been the highest honor to serve as the top federal law enforcement official for Eastern North Carolina – a place I was born, raised, and am proud to call home,” said Easley. “The men and women of the Eastern District are among the hardest working in the nation – steadfast in the mission to keep America safe. Together, we helped drive down violent crime, turbocharged white-collar prosecutions, protected civil rights, and stemmed the tide of narcotics into our communities. We did it through partnering, shoulder to shoulder, with local law enforcement and community leaders to solve our region’s most challenging problems. I extend my heartfelt appreciation to the prosecutors, judges, law enforcement, and staff who give so much to see justice done every day.”

“U.S. Attorney Easley is the kind of partner every sheriff hopes for – sharp, decisive, and committed to results. He didn’t just talk about law enforcement partnerships; he made them real, partnering with sheriffs for solutions and backing them up with action. Under his leadership, we made real progress— violent crime down, overdose deaths falling, and tighter collaboration. Easley set a new gold standard for what it means to lead in federal law enforcement,” said Eddie Caldwell, Executive Vice President and General Counsel of the North Carolina Sheriffs Association.

“We are deeply grateful for the years that U.S. Attorney Easley served at the helm of the Eastern District of North Carolina. His leadership, particularly through collaborative efforts, like the VCAP initiative, played a critical role in prosecuting violent offenders. His work has significantly contributed to our goal of making Raleigh one of the safest cities in the nation. He will be greatly missed,” said Raleigh Police Chief Estella Patterson.

Expansion of Resources to Make Communities Safer

U.S. Attorney Easley fought to significantly expand investigative and prosecutorial resources in the District, including a nearly 17% increase in prosecutors and new legal support staff and investigators. Much of the new personnel were allocated through a competitive national application process, with no district in the nation receiving more new prosecutors than the Eastern District of North Carolina (EDNC). The Office’s productivity and strong law enforcement partnerships also led the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) to add an additional team of agents to partner on violent crime reduction across the District.

Easley and his Project Safe Neighborhoods (PSN) team also worked with Department of Justice (DOJ) leadership to have Raleigh named a National Public Safety Partnership Site (PSP). The program aims to lower crime rates and improve quality of life through intensive training and technical assistance (TTA) to enhance gun violence investigations, constitutional policing, community engagement, crime analysis, and the use of technology in crime reduction.

Driving Down Violent Crime and Dismantling Drug Traffickers

Throughout his tenure, Easley and his team have led the charge to combat violent crime and drug trafficking in the District by launching a Violent Crime Action Plan (VCAP) with formal coordination sites in Raleigh, Fayetteville, Wilmington, Rocky Mount, New Bern, and the Albemarle Region. The VCAP strategy built deeper ties and sustained partnerships with law enforcement, with VCAP sites showing double-digit percentage declines in homicides since 2022, for example, Raleigh (↓37%), Fayetteville (↓39%), Wilmington (↓15%), and Rocky Mount (↓67%).

VCAP is a collaboration between the U.S. Attorney’s Office and local police departments, sheriff’s offices, and district attorney’s offices to identify and prosecute the most significant drivers of violence, specifically targeting shooters and the gunrunners who arm them. Notable cases include the 20-year sentence for a Crabtree Valley Mall robbery and the carjacking, the sentencing of a Crips Gang member for multi-state gun trafficking; the indictment of two Sampson County men allegedly responsible for a quintuple murder, the prosecution of gang members with fully-automatic machine guns; and gun smuggling to Mexico.

VCAP provides a forum for structured inter-agency coordination, intelligence-led policing, and deployment of federal Task Force Officers to bring federal technology to address local gun violence.

In 2022, 2023, and 2024, EDNC prosecuted over 850 individuals for firearms offenses and took over 750 guns off the streets.

In addition to VCAP, Easley revamped the Office’s Organized Crime & Drug Enforcement Task Force (OCDETF) by expanding the use of federal wiretaps, embedding federal agents alongside prosecutors, and increasing financial investigations. During Easley’s tenure, the Office achieved a #1 national rank for the number of OCDETF cases and #1 for the number of OCDETF defendants convicted of violence. Easley encouraged partners to prioritize national-scale cases with strong local impact, dismantling the trafficking, distribution, and money laundering pillars of criminal enterprises.

OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. Notable cases include the 75-year sentence of a national leader of the Pagan’s Motorcycle Club for narcotics trafficking and violence; the indictment of 16 members of the Hell’s Angels and Red Devils motorcycle gangs as part of an alleged violent criminal enterprise; the 40-year sentence for a narcotics trafficker operating from a daycare; the prosecution of the leader of white supremacist organization for armed drug trafficking; the 35-year sentence of a violent Fayetteville fentanyl trafficker; the conviction of a Raleigh Police officer for drug trafficking; the conviction of two fentanyl traffickers with ties to the Sinaloa Cartel; the conviction of a Rocky Mount Blood Gang leader for drug trafficking and COVID-19 fraud; the 40-year sentence of a drug trafficker linked to the murder, dismemberment and disposal of a confidential informant; the prosecution of a former Wayne County Sheriff’s deputy for drug trafficking and bid-rigging; and the 50-year sentence of a violent Sampson County Blood Gang leader for armed drug trafficking.

Attacking the Fentanyl Epidemic

Easley also prioritized the prosecution of cases involving counterfeit pills and overdose deaths arising from fentanyl poisoning. An Elizabeth City man was sentenced to 20 years for trafficking heroin and fentanyl after causing an overdose death, a Raleigh man received a 15-year sentence after assisting in the distribution of fentanyl that killed a young woman, and a Snapchat fentanyl trafficker whose counterfeit pills led to an overdose death received 13 years in prison.

To help local law enforcement get justice for victims of fentanyl poisoning and their families, Easley launched Overdose Death Investigation Trainings to train more than 200 law enforcement officers and prosecutors across the District on building fentanyl death cases.

Easley also worked to reduce demand for opioids through outreach and education through the Heroin Education Action Team (HEAT), including educational events in local communities and schools. The team launched a powerful new educational video to teach students and communities about the dangers.

Protecting America’s National Security, Sensitive Technology, and Cybersecurity

Under Easley’s leadership, the Office prioritized national security cases involving domestic and international terrorism, international cybercriminals, and protecting sensitive technology from foreign adversaries. The prosecutions included a man accused of attempting to join ISIS and convictions against five members of a white supremacist plot to attack the energy grid, an anti-government bombmaker teaching how to target law enforcement, and a U.S. Army Major convicted of shipping guns to Ghana. The Office also extradited and pursued a groundbreaking case against one of the FBI’s most wanted cybercriminals responsible for tens of millions of dollars in losses from widescale ransomware attacks, including on a hospital.

Easley also built deeper ties with the DOJ’s National Security Division and the Department of Commerce Bureau of Industry & Security to launch a Disruptive Technology Strike Force (DTSF) cell to protect innovation in the Research Triangle’s high-tech sector. The DTSF partners with law enforcement and industry to protect advanced technology from unlawful acquisition by foreign adversaries. As home to the Research Triangle Park, world-class research institutions, and some of the Department of Defense’s largest installations, the EDNC hosts critical technology that malign foreign actors seek to obtain. The Raleigh DTSF cell is only one of fifteen in the country.

Surge in White Collar Fraud and Corruption Enforcement

Under Easley’s leadership, the Office saw a significant surge in white-collar enforcement, with white-collar caseloads increasing 115% in a year. Cases included the prosecution of a former Morgan Stanley financial advisor who defrauded investors in a multimillion-dollar Ponzi scheme, an ENT doctor sentenced to 25 years for defrauding Medicaid, a man who laundered $40mm in narco-linked crypto, and a plant manager who dumped tens of thousands of gallons of toxic waste into the Cape Fear River. The Office also prosecuted a $15-million-dollar COVID fraud scheme involving more than 20 businesses and individuals.

These cases arose from the launch of dedicated working groups focused on Securities Fraud, Money Laundering, Public Health, Environmental Crimes, and other priority areas. The Office also launched an annual Economic Crimes Summit to build deeper ties with investigators across about 30 different agencies.

Easley also launched an Illicit Finance Task Force with the Treasury Department to combat transnational money laundering by targeting third-party money launders and money-transmitting businesses utilizing cryptocurrency, banking, and brokerages to run dirty money through the American financial system.

Expanding Civil Rights Enforcement

Easley launched the Office’s first dedicated Civil Rights Team to enhance the Office’s civil rights enforcement. The team includes dedicated coordinators in both the Civil and Criminal Divisions and a designated Human Trafficking Coordinator. The Civil Rights Initiative emphasizes community engagement and law enforcement training.

As a part of the effort, the Office trained more than 200 officers in de-escalation, use of force, and community engagement strategies. The Office also hosted multiple outreach events through its United Against Hate Initiative to build stronger relationships between law enforcement and the community and to educate communities on how to identify and report hate crimes.

Easley also launched two human trafficking task forces – one in the Raleigh-Cary area and one in Southeastern North Carolina – to bring together law enforcement and community resources to share intelligence and investigative leads, provide specialized training, and promote greater public-private coordination to rescue and stabilize victims.

Strong Civil Practice

For the past three years, the EDNC’s Civil Division has ranked in the top 10 among large districts in the number of cases filed or responded to per AUSA. The Division has consistently ranked #1 in the Fourth Circuit for Affirmative Civil Rights and Affirmative Fraud cases and has ranked in the top five nationally compared to other large districts. EDNC’s Financial Litigation Program (FLP), responsible for collecting debts owed to the U.S. Government, collected over $58 million in the last three fiscal years.

About U.S. Attorney Easley

Prior to his appointment as the U.S. Attorney, Easley was a partner at a large international law firm focused on internal investigations and trial court work in state and federal courts.

Born in Southport, North Carolina, Easley attended the University of North Carolina, where he graduated Phi Beta Kappa with honors and distinction in political science. He later received his law degree with honors from the University of North Carolina School of Law.

MIL Security OSI –

January 30, 2025
MIL-OSI New Zealand: Two to front court after plans spiked

Source: New Zealand Police (National News)

A man who drove a stolen car recklessly from Bombay to Hamilton has had his plans spiked.

At about 8.15pm, officers observed the stolen Honda as it entered the South-Western Motorway at speed.

Acting Detective Inspector Simon Harrison, Waitematā CIB, says a short time later the Police Eagle helicopter located the vehicle, tracking it as it entered the Southern Motorway heading south.

“The vehicle was not pursued, however we continued observations as the vehicle continue south and into Waikato, before it was spiked near Taupiri.

“It has then continued towards Hamilton where it has slowed down due to the tyre destruction.”

Acting Detective Inspector Harrison says the vehicle was also allegedly driven on the wrong side of the road before staff moved in and were able to block the vehicle.

“It’s extremely fortunate that no one suffered any injuries as a result of this man’s alleged actions.

“I’m pleased we were able to take this person into custody and hold them to account for their actions.”

A 19-year-old will appear in Waitākere District Court today charged with burglary, unlawfully taking a motor vehicle and dangerous driving.

A 17-year-old charged with unlawfully getting into a motor vehicle and escapes custody will appear in North Shore Youth Court today.

ENDS.

Holly McKay/NZ Police

MIL OSI New Zealand News –

January 30, 2025

Category: KB

Source: BusinessNZ

Source: Environmental Protection Authority