NewzIntel.com

Category: Politics

  • MIL-OSI New Zealand: Finance – Mortgage advisers alarmed at ComCom proposal that will be “shocking for consumers”

    Source: Finance and Mortgage Advisers Association of New Zealand (FAMNZ)

    The Finance and Mortgage Advisers Association of New Zealand (FAMNZ) has revealed recommendations by the Commerce Commission to supposedly “promote price competition and choice for home loans” would in fact be disastrous for consumers.

    FAMNZ country manager Leigh Hodgetts revealed the commission has requested mortgage advisers to provide clients with a least three “actual offers” to consider and “to submit multiple applications on behalf of their clients”, or face “government intervention.”

    Calling the recommendations a solution looking for a problem, she said any such move would hurt consumers by driving up costs, blowing out application times, and affecting their credit ratings.

    “Let me be clear. They are not requesting three quotes, but three actual applications and offers, something unheard of anywhere in the world that I’m aware of.”

    “Three lenders all processing applications for the same applicant means they will be spending time and resources for loans they know they will likely never get, while other borrowers will be forced to wait and may even miss out on properties,” she explained.

    FAMNZ managing director Peter White AM said it was “bureaucracy gone mad”, and has called on commerce and consumer affairs minister Andrew Bayly to immediately intervene.

    “The crazy thing is that nothing is broken.

    “Mortgage advisers already promote competition, consumers are increasingly choosing to use advisers, and complaints are almost non-existent.”

    He said despite FAMNZ attempting to educate the commission on the way advisers worked for the past year, “they clearly still have no idea and now want to make things worse.

    “Furthermore, this requirement puts at risk clients’ credit records, which is simply unacceptable and I believe unethical.”

    Ms Hodgetts said while advisers could provide multiple choices of lender where possible, only one application should be submitted at once according to the customer’s needs.

    “And in some circumstances, for example with self-employed people, there may only be one option,” she explained.

    MIL OSI New Zealand News –

  • MIL-OSI Security: Tiptonville, Tennessee, Man Sentenced to 10 Years in Prison for Attempted Enticement of a Minor

    Source: Federal Bureau of Investigation (FBI) State Crime News

    PEORIA, Ill. – A Tiptonville, Tennessee, man, Jerry Braddy, 45, was sentenced on February 4, 2025, to ten years in federal prison, to be followed by a five-year term of supervised release, for attempted enticement of a minor. He also must register as a sex offender once he is released.

    At the sentencing hearing before U.S. District Judge Jonathan E. Hawley, the government established that between June 2, 2024, and June 12, 2024, Braddy communicated via an online platform with an individual he believed to be the stepfather of a nine-year-old child. Braddy agreed to meet the child and stepfather in Bloomington, Illinois, in order to engage in a sexual encounter with the minor. Federal law enforcement agents, with assistance from the McLean County Sherriff’s Office, arrested Braddy when he arrived at the location.

    Braddy was charged by criminal complaint in June 2024 and indicted five days later. Braddy pleaded guilty in August 2024. He has remained in the custody of the United States Marshals Service since his arrest.

    The statutory penalties for attempted enticement of a minor are a minimum of ten years to life imprisonment, followed by a minimum of five years to a maximum life term of supervised release.

    The Federal Bureau of Investigation, Springfield Field Office, investigated the case. Assistant U.S. Attorney Melissa P. Ortiz represented the government in the prosecution.

    The case against Braddy was brought as part of Project Safe Childhood, a nationwide initiative by the Department of Justice to combat the epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov

    MIL Security OSI –

  • MIL-OSI Security: 2020 Census Contractor Agrees to Pay $8,000,000 to Settle Fraud Allegations

    Source: Office of United States Attorneys

    Maximus, Inc., a government services contractor based in Virginia, has agreed to pay the United States $8 million to resolve allegations that it misled the United States Census Bureau about the quality of its call handling as a contractor for the 2020 Census. The settlement resolves allegations brought by whistleblowers under the federal False Claims Act.

    Maximus operated several multi-lingual call centers throughout the United States that took incoming calls from individuals with questions about Census operations and made outgoing calls to assist individuals in responding to the Census. Its contract with the United States Census Bureau also required Maximus to perform services to assess the quality and data accuracy of its call center operations. Maximus employed quality monitors to score calls for the accuracy of the call taker’s data input and adherence to standards of professionalism and decorum, based on a set of scoring standards agreed on between Maximus and the Census Bureau. In addition to compensation for its costs incurred, the contract provided that Maximus would receive an “award fee.” An “award fee” is a contract incentive paid to encourage contractors to meet certain contract goals. The Census Bureau used the call quality scores Maximus reported to help determine an appropriate “award fee” to pay Maximus. 

    The United States alleges that Maximus provided the Census Bureau inaccurate or misleading score information to improve the Census Bureau’s impression of the quality of Maximus’s work. While the contract required Maximus

    to score a random sample of calls, the United States alleges that Maximus encouraged its quality monitors to choose which calls to score in a way designed to 
    improve the quality scores reported to the Census Bureau. The United States contends that Maximus did not tell the Census Bureau about these practices, which artificially increased the quality scores and permitted Maximus to receive greater award fees than it would have received with accurate reporting.

    Maximus cooperated with the investigation. The claims asserted against Maximus are allegations only; there was no determination or admission of liability. The lawsuit does not allege that Maximus manipulated any census enumeration data it helped collect.

    The lawsuit arose under the qui tam, or whistleblower, provisions of the False Claims Act. The False Claims Act permits private citizens with knowledge of fraud against the government to bring a lawsuit on behalf of the United States and share in the recovery. The whistleblowers will receive a $1.2 million share of the settlement.        

    “Government contractors must be honest and accurate in their reporting to their government partners. This is particularly true when the information they report affects the amount the government pays them. Our office is committed to holding accountable contractors that enrich themselves by misleading American taxpayers,” said United States Attorney Timothy T. Duax.

    “The U.S. Department of Commerce, Office of Inspector General is dedicated to investigating schemes to defraud U.S. Census Bureau contracts and programs,” said Special Agent-in-Charge Eric Arcand with the United States Department of Commerce Office of Inspector General (Commerce-OIG). “Census data informs policy and decision-making at all levels of government, and fraud affecting any aspect of the Census Bureau’s programs must not be tolerated. We are committed to protecting the Census Bureau’s funding and programs from fraud, waste, and abuse. We also appreciate the Department of Justice and the U.S. Attorney’s Office for the Northern District of Iowa’s efforts toward resolving this matter.”

    The case was handled by Assistant United States Attorneys

    Brandon J. Gray and Brian J. Keogh and investigated by the Department of Commerce-OIG, particularly Assistant Special Agent-in-Charge Judd Leinum.  

    Follow us on X @USAO_NDIA.

    MIL Security OSI –

  • MIL-OSI Security: Indiana Real Estate Developer and Property Manager Sentenced to 41 Months in Prison for Multimillion-Dollar Ponzi Scheme

    Source: Federal Bureau of Investigation (FBI) State Crime Alerts (c)

    NEWARK, N.J. –  An Indianapolis man was sentenced today to 41 months in prison today for his role in a scheme to defraud real estate investors, Acting U.S. Attorney Vikas Khanna announced.

    Herbert Whalen, a/k/a “Bert Whalen,” 50, of Indianapolis, Indiana, previously pleaded guilty in Newark federal court to conspiracy to commit wire fraud for his role in a multi-million dollar real estate investment scheme that took place in Indiana and New Jersey.  Judge Madeline Cox Arleo imposed the sentence today in Newark federal court.

    According to documents filed in this case and statements made in court:

    From August 2016 to July 2018, Whalen, who operated Oceanpointe Property Management in Indianapolis, engaged in a scheme to obtain money from real estate investors by misrepresenting and concealing the poor condition of properties managed by Oceanpointe and by creating fake leases for unoccupied Oceanpointe properties. Investors were promised that, after repairs and rehabilitations were completed, and tenants rented the properties, investors would receive copies of the leases and begin to receive rent payments as their return on investment. In reality, many Oceanpointe properties were not repaired and rehabilitated, and were not ready for occupancy. To conceal these facts from victim investors, Whalen and a conspirator directed Oceanpointe employees to draft fake leases, making it appear to investors that Oceanpointe properties were rented, when, in fact, the properties remained vacant. Whalen instructed Oceanpointe employees to place fake tenant names on leases to send to Oceanpointe investors.

    Whalen and others commingled tenant rent payments and selected which investors would be paid from the pool of funds in order to silence investors who voiced concerns and evade detection of the fraud. In order to prevent investors from leaving Oceanpointe and exposing his fraudulent conduct, Whalen directed an Oceanpointe employee to create a false identity and falsely claim, on an online real estate message forum, that the Oceanpointe employee was an investor with Oceanpointe and another company, and that Oceanpointe had addressed all of the concerns regarding the investment property. These misrepresentations and others led to millions of dollars in losses to investors, which Whalen used to, among other things, fund his lifestyle.

    In addition to the prison term, Judge Arleo sentenced Whalen to three years of supervised release.

    Acting U.S. Attorney Khanna credited special agents of the FBI, under the direction of Acting Special Agent in Charge Terence G. Reilly in Newark, with the investigation leading to the charge.

    The government is represented by Assistant U.S. Attorneys Caroline Silane of the Economic Crimes Unit and Ari B. Fontecchio, Chief of the Opioid Abuse Prevention and Enforcement Unit.

                                                               ###

    Defense counsel: John L. Tompkins, Tompkins Law, Indianapolis, IN

    MIL Security OSI –

  • MIL-OSI: QXO Proposes Full Slate of Independent Directors for Election at Beacon Roofing Supply’s 2025 Annual Meeting

    Source: GlobeNewswire (MIL-OSI)

    GREENWICH, Conn., Feb. 12, 2025 (GLOBE NEWSWIRE) — QXO, Inc. (NYSE: QXO) announced today that it has informed Beacon Roofing Supply, Inc. (Nasdaq: BECN) that it will propose 10 independent director nominees at Beacon’s 2025 Annual Meeting of Shareholders to replace Beacon’s Board of Directors.

    The slate of independent nominees includes current and former senior executives and directors of leading global companies who were selected for their deep expertise with large-scale corporate transformations, extensive knowledge of the building products and distribution sectors, and track records of unlocking shareholder value.

    “We are proposing a slate of high-caliber, independent director nominees who are astute at delivering value to shareholders of large public companies,” said Brad Jacobs, chairman and chief executive officer of QXO. “If elected, our nominees would give Beacon’s shareholders a direct voice in advocating for an independent evaluation of QXO’s proposal.”  

    On January 27, 2025, QXO commenced a tender offer to purchase all outstanding shares of Beacon for $124.25 per share in cash for an aggregate enterprise value of approximately $11 billion, representing a 37% premium to Beacon’s 90-day unaffected volume-weighted average price per share as of November 15, 2024, when news of QXO’s offer was first brought to public attention. QXO’s offer price of $124.25 per share is higher than Beacon’s shares have ever traded. QXO’s tender offer will be outstanding until 12:00 midnight (New York City time) at the end of February 24, 2025. QXO has received antitrust clearance for the acquisition in both the U.S. and Canada and is prepared to complete it shortly after the offer expires, subject to the terms of the offer.

    QXO intends to solicit proxies from Beacon stockholders by filing a proxy statement and universal WHITE proxy voting card for Beacon’s 2025 Annual Meeting. Beacon stockholders can choose to replace Beacon’s current directors and elect the 10 new directors proposed by QXO by voting “FOR” on the universal WHITE proxy card. Stockholders can cast their vote prior to or at Beacon’s 2025 Annual Meeting, which is expected to be held in May.

    Nominees

    QXO’s independent nominees for Beacon’s Board of Directors are:

    Sheree Bargabos: Sheree Bargabos served as president, roofing and asphalt for over a decade with Owens Corning (NYSE: OC), a global manufacturer of building and composite material systems. During her 37-year tenure with the company, she held a variety of leadership roles, including vice president, customer experience, roofing. More recently, Ms. Bargabos was a non-executive director of the board and member of the governance committee of PGT Innovations, Inc. (formerly NYSE: PGTI), a manufacturer of high-performance windows and doors, until the company was acquired by MITER Brands in 2024. Since 2018, she has served on the board of Steel Dynamics, Inc. (Nasdaq: STLD), a leading steel producer in the U.S., where she sits on the audit and compensation committees.

    Paul Camuti: Paul Camuti is the former executive vice president and chief technology and sustainability officer of Trane Technologies plc (NYSE: TT), a global leader in HVAC and refrigeration solutions for residential, commercial, and industrial markets, which separated from Ingersoll Rand, Inc. (NYSE: IR) in 2020. Prior to that, Mr. Camuti served as chief technology officer, corporate sustainability, and senior vice president, innovation, at Ingersoll Rand for nine years. Earlier, he spent 13 years at Siemens AG (OTC: SIEGY), holding various divisional executive leadership roles. Mr. Camuti currently serves on the board of Garrett Motion, Inc. (Nasdaq: GTX) and previously served on the board of The ExOne Company (formerly Nasdaq: XONE).

    Karel Czanderna: Karel Czanderna is the former president, chief executive officer and a board director of Flexsteel Industries, Inc. (Nasdaq: FLXS), a global leader in the design and production of residential furniture. Prior to Flexsteel, she was group president of the building materials division of Owens Corning (NYSE: OC) and earlier held divisional executive leadership roles with Whirlpool Corp. (NYSE: WHR). Ms. Czanderna serves on the boards of Cibo Vita, Inc. and Soteria Flexibles, and previously served on the board of BlueLinx Holdings Inc. (NYSE: BXC), a wholesale distributor of building and industrial products.

    Jonathan Foster: Jonathan Foster is the founder and a managing director of Current Capital Partners, an independent advisory and merchant banking firm. His 35-year career in financial and investment services includes 10 years with Lazard, Inc. (NYSE: LAZ), where he rose to managing director. He has served on more than 40 corporate boards, including current roles on the boards of Berry Global Group, Inc. (NYSE: BERY), Five Point Holdings, LLC (NYSE: FPH), and Lear Corp. (NYSE: LEA). Previously, he was a director and the audit committee chair of door manufacturer Masonite International Corp. for 15 years and served on the special transaction committee during the company’s sale to Owens Corning (NYSE: OC).

    Mauro Gregorio: Mauro Gregorio is the former president of Performance Materials & Coatings at Dow Inc. (NYSE: DOW), a global leader in materials science. He previously served as chief executive officer of Dow Silicones Corp., formerly Dow Corning, and president of Dow Consumer Solutions. Mr. Gregorio serves on the board of Eagle Materials, Inc. (NYSE: EXP), a construction products manufacturer, and sits on the audit and corporate governance, nominating and sustainability committees. Mr. Gregorio also serves on the board of Radius Recycling, Inc. (Nasdaq: RDUS), formerly Schnitzer Steel Industries, Inc., and sits on the audit and compensation and human resources committees.

    Michael Lenz: Michael Lenz is the former chief financial officer of FedEx Corp. (NYSE: FDX), overseeing all financial functions within its portfolio of transportation, e-commerce and supply chain management services. He held a variety of senior roles during his 18-year tenure with FedEx, including senior vice president and treasurer. Prior to FedEx, he was with American Airlines Group, Inc. (NYSE: AAL) for 11 years in investor relations, international network, and strategic planning roles. Mr. Lenz serves on the board of Methodist Le Bonheur Healthcare.

    Teresa May: Teresa May is the president and owner of H+G Advisory, LLC and an advisor for portfolio operations at private equity firm KPS Capital Partners. Her 25-year career as an international growth and strategic marketing executive includes prior positions as chief marketing officer for American Woodmark Corp. (Nasdaq: AMWD), head of global strategic marketing for Owens Corning (NYSE: OC), and president of healthcare and chief strategy officer of security solutions for Stanley Black & Decker, Inc. (NYSE: SWK). Ms. May is a member of the board of Fluidmaster, Inc., a global leader in water management, and previously served on the boards of American Woodmark and Transcendia, Inc.

    Stephen Newlin: Stephen Newlin is the former president, chief executive officer and chairman of the board of Univar Solutions, Inc. (NYSE: UNVR), a global chemicals distributor. Prior to Univar, he was president, chief executive officer and chairman of PolyOne Corp., now Avient Corp. (NYSE: AVNT), a specialty polymer manufacturer and distributor. Mr. Newlin is currently chairman of the board of Oshkosh Corp. (NYSE: OSK), a global equipment manufacturer, where he also sits on the audit, governance, and human resource committees. He previously served on the boards of The Chemours Company (NYSE: CC) and Valspar Corp (NYSE: VAL), prior to its acquisition by Sherwin Williams in 2017.

    Joseph Reitmeier: Joseph Reitmeier is the former chief financial officer of Lennox International, Inc. (NYSE: LII), a global manufacturer of residential and commercial climate control solutions and refrigeration systems. Since 2016, he has served on the board of Watts Water Technologies, Inc. (NYSE: WTS), a global leader of water quality solutions. Mr. Reitmeier currently sits on the board’s audit committee, the governance and sustainability committees, and previously served on the nominating and corporate governance committee.

    Wendy Whiteash: Wendy Whiteash is the former executive vice president, integration and strategic priorities, for US LBM Holdings, LLC, a leading distributor of roofing, siding, windows, doors, decking, and engineered components. Earlier, she served as US LBM’s chief human resources officer. Ms. Whiteash spent the first 17 years of her career with Ferguson Enterprises, Inc. (NYSE: FERG), the largest U.S. value-added distributor of plumbing, heating, ventilation, air conditioning and MRO solutions, where she held various roles in finance, operations and human resources.

    Advisors

    Morgan Stanley & Co. LLC is acting as lead financial advisor to QXO, and Paul, Weiss, Rifkind, Wharton & Garrison LLP is acting as legal counsel.

    About QXO

    QXO provides technology solutions, primarily to clients in the manufacturing, distribution and service sectors. The company provides consulting and professional services, including specialized programming, training and technical support, and develops proprietary software. As a value-added reseller of business application software, QXO offers solutions for accounting, financial reporting, enterprise resource planning, warehouse management systems, customer relationship management, business intelligence and other applications. QXO plans to become a tech-forward leader in the $800 billion building products distribution industry. The company is targeting tens of billions of dollars of annual revenue in the next decade through accretive acquisitions and organic growth. Visit www.qxo.com for more information.

    Forward-Looking Statements

    This communication contains forward-looking statements. Statements that are not historical facts, including statements about beliefs, expectations, targets, goals, regulatory approval timing and nominating directors are forward-looking statements. These statements are based on plans, estimates, expectations and/or goals at the time the statements are made, and readers should not place undue reliance on them. In some cases, readers can identify forward-looking statements by the use of forward-looking terms such as “may,” “will,” “should,” “expect,” “opportunity,” “intend,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” “target,” “goal,” or “continue,” or the negative of these terms or other comparable terms. Forward-looking statements involve inherent risks and uncertainties and readers are cautioned that a number of important factors could cause actual results to differ materially from those contained in any such forward-looking statements. Such factors include but are not limited to: the ultimate outcome of any possible transaction between QXO, Inc. (“QXO”) and Beacon Roofing Supply, Inc. (“Beacon”), including the possibility that the parties will not agree to pursue a business combination transaction or that the terms of any definitive agreement will be materially different from those proposed; uncertainties as to whether Beacon will cooperate with QXO regarding the proposed transaction; the ultimate result should QXO commence a proxy contest for election of directors to Beacon’s Board of Directors; QXO’s ability to consummate the proposed transaction with Beacon; the conditions to the completion of the proposed transaction, including the receipt of any required shareholder approvals and any required regulatory approvals; QXO’s ability to finance the proposed transaction; the substantial indebtedness QXO expects to incur in connection with the proposed transaction and the need to generate sufficient cash flows to service and repay such debt; that operating costs, customer loss and business disruption (including, without limitation, difficulties in maintaining relationships with employees, customers or suppliers) may be greater than expected following the proposed transaction or the public announcement of the proposed transaction; QXO’s ability to retain certain key employees; and general economic conditions that are less favorable than expected. QXO cautions that forward-looking statements should not be relied on as predictions of future events, and these statements are not guarantees of performance or results. Forward-looking statements herein speak only as of the date each statement is made. QXO does not assume any obligation to update any of these statements in light of new information or future events, except to the extent required by applicable law.

    Important Additional Information and Where to Find It

    This communication is for informational purposes only and does not constitute a recommendation, an offer to purchase or a solicitation of an offer to sell Beacon securities. QXO and Queen MergerCo, Inc. (the “Purchaser”) filed a Tender Offer Statement on Schedule TO with the Securities and Exchange Commission (the “SEC”) on January 27, 2025, and Beacon filed a Solicitation/Recommendation Statement on Schedule 14D-9 with respect to the tender offer with the SEC on February 6, 2025. Investors and security holders are urged to carefully read the Tender Offer Statement (including the Offer to Purchase, the related Letter of Transmittal and certain other tender offer documents, as each may be amended or supplemented from time to time) and the Solicitation/Recommendation Statement as these materials contain important information that investors and security holders should consider before making any decision regarding tendering their common stock, including the terms and conditions of the tender offer. The Tender Offer Statement, Offer to Purchase, Solicitation/Recommendation Statement and related materials are filed with the SEC, and investors and security holders may obtain a free copy of these materials and other documents filed by QXO and Beacon with the SEC at the website maintained by the SEC at www.sec.gov. In addition, the Tender Offer Statement and other documents that QXO and the Purchaser file with the SEC will be made available to all investors and security holders of Beacon free of charge from the information agent for the tender offer: Innisfree M&A Incorporated, 501 Madison Avenue, 20th Floor, New York, NY 10022, toll-free telephone: +1 (888) 750-5834.

    QXO and the other participants intend to file a preliminary proxy statement and accompanying WHITE universal proxy card with the SEC to be used to solicit proxies for, among other matters, the election of its slate of director nominees at the 2025 Annual Meeting of stockholders of Beacon. QXO strongly advises all stockholders of Beacon to read the preliminary proxy statement, any amendments or supplements to such proxy statement, and other proxy materials filed by QXO with the SEC as they become available because they will contain important information. Such proxy materials will be available at no charge on the SEC’s website at www.sec.gov and at QXO’s website at investors.qxo.com. In addition, the participants in this proxy solicitation will provide copies of the proxy statement, and other relevant documents, without charge, when available, upon request. Requests for copies should be directed to the participants’ proxy solicitor.

    Certain Information Concerning the Participants

    The participants in the proxy solicitation are anticipated to be QXO, Brad Jacobs, Ihsan Essaid, Matt Fassler, Mark Manduca, Sheree Bargabos, Paul Camuti, Karel Czanderna, Jonathan Foster, Mauro Gregorio, Michael Lenz, Teresa May, Stephen Newlin, Joseph Reitmeier and Wendy Whiteash. As of the date of this communication, QXO owns 100 shares of common stock of Beacon in record name and Ms. Czanderna may be deemed to beneficially own 10 shares of common stock of Beacon held in a trust, for which Ms. Czanderna’s husband serves as trustee. As of the date of this communication, none of the other participants has any direct or indirect interest, by security holdings or otherwise, in Beacon.

    Media Contacts

    Joe Checkler
    joe.checkler@qxo.com
    203-609-9650

    Steve Lipin / Lauren Odell
    Gladstone Place Partners
    212-230-5930

    Investor Contacts

    Mark Manduca
    mark.manduca@qxo.com
    203-321-3889

    Scott Winter / Jonathan Salzberger
    Innisfree M&A Incorporated
    212-750-5833

    The MIL Network –

  • MIL-OSI Canada: New appointments to Agricultural Products Marketing Council

    The council is a public agency that oversees agricultural marketing boards and commissions to ensure they are implementing governance best practices, provides policy advice to the minister of Agriculture and Irrigation, and administers legislation for the agricultural industry and government.

    “This is an important board, whose membership includes people with excellent agricultural credentials and experience. It provides the government with advice to ensure our ag industry remains competitive and innovative, while attracting investment, creating jobs and putting food on the tables of Alberta families and families across the country and around the world.”

    RJ Sigurdson, Minister of Agriculture and Irrigation

    Three appointees are returning for a second term, including the new council chair, John Buckley, and vice-chair, Henricus Bos. The new chair and vice-chair will assume their executive positions effective March 21, 2025. The third appointment for a second term is council member John Guelly.

    Susan Novak continues to serve as the government’s representative.

    “I am honoured to be appointed chair of the Marketing Council board. I’ve enjoyed the past three years on council, particularly helping amalgamate the former wheat and barley commissions and our continued focus on marketing board and commission bylaws. I look forward to working with my fellow council members, our boards and commissions and Minister Sigurdson to help ensure agriculture remains a strong and thriving sector in Alberta.”

    John Buckley, chair of the Alberta Agricultural Products Marketing Council

    Three other members are either completing their terms or have decided to resign due to other priorities. They will be replaced by three new council members, who will infuse new ideas and perspectives into the council. They are:

    • Ian Chitwood
    • Susan Schafers
    • David Moss

    The new council members will start their first term on March 21, 2025.

    The government appoints council members using an open and competitive application and members are chosen based on experience and credentials.

    Quick facts

    • The Alberta Agricultural Products Marketing Council is established under the Marketing of Agricultural Products Act. The council currently has seven members, including a Government of Alberta representative.
    • Council members can serve a maximum of two consecutive terms (one term is three years) and are appointed by an order-in-council.

    Related information – Biographies

    John Buckley: John and his wife operate a cow-calf operation southwest of Cochrane. John has 40 years of experience in the livestock industry. John has been active in his community and industry and continues to be involved with a number of organizations and groups. His passion for rangelands, specifically grasslands, fuels his desire to operate in such a way that leaves the land in a better state than when he started operating on it, creating opportunity for future generations.

    Henricus Bos: Hennie is a farmer, on-farm processor and industry leader. He has filled many leadership roles in the Alberta and Canadian dairy industry as director and chair of Alberta Milk, as well as commissioner at the Canadian Dairy Commission. Being involved provincially and nationally in the dairy industry, combined with Bles-Wold yogurt processing experience, Hennie knows the industry and supply management well. Hennie holds a bachelor of science in dairy science and has completed several governance and business courses.

    John Guelly: John is a third-generation grain and oilseed farmer from north-central Alberta. He, his wife and two children have been farming for more than 30 years. John was a regional director for Alberta Canola from 2015-2021 (chair from 2019-2021), and has served on numerous other local, provincial, and national boards and committees in the agricultural industry. John graduated from the University of Alberta with a B.Sc. in agricultural engineering and previously worked full-time in manufacturing, as well as consulting while operating the farm.

    Ian Chitwood: Ian is a farmer and a professor who works with students to advance agriculture. Ian has extensive board experience with Alberta Canola, Agsafe Alberta and Verb Theatre. Ian has a PhD in business from Athabasca University, a MBA, a M.A., and a B.Comm from the University of Alberta.

    Susan Schafers: Susan is a second-generation pullet and cattle farmer who is past chair for Egg Farmers of Alberta and current chair for Parkland County’s Agricultural Service Board. Susan has broad experience serving on local, provincial and national boards as well as various committees. She has strong governance training and experience in facilitation and consensus building. She holds a B.Sc. in agriculture and food business management from the University of Alberta.

    David Moss: David is the director of business development (Animal Agriculture) for TELUS Agriculture. Previously, he was the general manager of the Canadian Cattle Association where he led the animal health file and worked closely with the Government of Canada and the Canadian Food Inspection Agency on numerous files, including co-chairing the working group responsible for Canada regaining negligible-risk status for bovine spongiform encephalopathy (BSE) by the World Organization for Animal Health. He was co-founder and vice-president of AgriClear LP, an enterprise level online agri-business marketplace joint venture with the TMX Group. He has also held executive roles at ITS Global and Livestock Identification Services. An entrepreneur by nature, David has been in the agriculture industry his entire career. He helped build ranch-to-retail alliances in the United States, Australia and South America and brings a focus on innovation, data technology, and international business knowledge and experience. David holds a master of arts in Leadership Studies from the University of Guelph, a bachelor of management from the University of Lethbridge, and a master’s certificate in project management from York University. He serves on numerous industry committees and is an active volunteer in his Okotoks community.

    Susan Novak: Susan has a wealth of experience in leading policy, programs and people. She received her PhD in animal science from the University of Alberta and completed a post-doctoral fellowship at Laval University. Susan started her career at Agriculture and Irrigation as the provincial horse specialist, and now is the executive director of the animal health and assurance branch. She also has a wealth of experience delivering agriculture research funding programming to support a competitive and sustainable agriculture industry in Alberta.

    Frank Robinson: Frank has a PhD from the University of Guelph and has been a University of Alberta professor for 35 years. He has worked with broiler breeder chickens to improve reproductive fitness. He has taught introductory animal science classes to more than 1,000 students with a focus on experiential learning. Frank has served as vice-provost and dean of students at the University of Alberta. He has fulfilled leadership roles in several agricultural and academic boards and associations. He was inducted into the Alberta Agriculture Hall of Fame in 2006.

    MIL OSI Canada News –

  • MIL-OSI Australia: NSW Government appoints first statutory Agriculture Commissioner

    Source: New South Wales Premiere

    Published: 13 February 2025

    Released by: Minister for Agriculture

    The Minns Labor Government is continuing work to ensure the New South Wales farmers and agriculture industry are safeguarded into the future with the appointment of Alison Stone as the state’s first statutory Agriculture Commissioner.

    Committed to during the state election and legislated last year, the Commissioner will provide independent advice, conduct reviews and make recommendations to the NSW Government on agricultural matters, including productivity, land use conflict and food security.

    Commissioner Stone has over 40 years of experience across primary industries equipping her to provide informed advice to the NSW Government on future proofing this vital industry.

    This experience has included 25 years as a farmer, policy experience across Land, Natural Resources, Foresty, Heritage and Wildlife Roles and experience in disaster resilience, response and recovery having led the codesign process for the Disaster Wise Communities Network.

    Further, the Commissioner served on the NSW Government’s cornerstone Regional Advisory Council, the Victorian Fisheries Co-Management Council and the Commonwealth Government’s Forest Industry Advisory Council.

    As Agriculture Commissioner, Ms Stone will serve an initial three-year term with work to include:

    • Assisting the NSW Government in developing an ongoing system for defining, identifying, and mapping agricultural lands throughout the State
    • Progressing the pilot of a Farm Practices Panel, which will look at ways to reduce conflict between agricultural producers and neighbours on a broader scale
    • Providing input and advice to address challenges related to critical renewable energy infrastructure to support our energy transition and the impact it can have on landholders
    • Promoting a coordinated and collaborative approach across the Commonwealth Government, the NSW Government and local government in relation to agricultural matters
    • Work with the Net Zero Commissioner promoting a cohesive approach to policy making.

    The appointment of the state’s first Statutory Agriculture Commissioner is part of the Minns Labor Government’s ongoing work to ensure regional communities and farmers can thrive. This work has included the following:

    • The appointment of the state’s first Independent Biosecurity Commissioner Dr Marion Healy
    • The creation of the $450 million Regional Development Trust Fund to deliver sustainable and strategic investment that make a real difference to regional communities
    • A historic investment of $947 million in biosecurity protection and enforcement.

    NSW Minister for Agriculture Tara Moriarty said:

    “The Minns Government has delivered another key election commitment by ensuring farmers and the agricultural sector has a dedicated and independent Agriculture Commissioner to advise me and the Government on best options for matters such as land planning in regional NSW.

    “Ms Stone’s extensive career across both the public and private sectors has made her a respected leader in agriculture and the Government is endorsing her for this role because she has a proven track record of resolving complex and contentious issues in areas such as land management reform.

    “With 25 years of hands-on experience as a livestock farmer, she also understands the realities of rural life and the challenges faced by our farming communities.

    “The appointment of a statutory Agricultural Commissioner marks an exciting new chapter for agriculture in NSW, and I look forward to working alongside Ms Stone to champion our farmers, protect valuable agricultural land, and build a stronger, more resilient agricultural sector.

    Ms Alison Stone, endorsed to be the first statutory NSW Agriculture Commissioner said:

    “Agriculture is the backbone of our state, and my role is to collaborate with government, landowners and industry leaders to drive tangible, on-the-ground  outcomes and practices to ensure NSW has a strong and prosperous agriculture sector.”

    “NSW’s primary industries sector is one of the most diverse in the country, with a wide range of agricultural commodities and farming systems. While this presents challenges, it also creates valuable opportunities for growth and innovation.

    “One of my key priorities is helping government to protect and support our agricultural land, ensuring productivity remains on the government’s agenda alongside its priorities for renewable energy and housing.

    “I am honoured to be endorsed by the NSW Government for the first statutory Agriculture Commissioner and to work alongside Minister Moriarty and the farming sector to build a more resilient and prosperous future.

    MIL OSI News –

  • MIL-OSI Australia: NSW Government rebuilding TAFE with multi-year pay deal

    Source: New South Wales Premiere

    Published: 13 February 2025

    Released by: Minister for Industrial Relations, Minister for Skills, TAFE and Tertiary Education

    The Minns Labor Government has secured a multi-year pay deal with TAFE NSW teachers, benefiting nearly 9,000 teaching staff. Over 90 per cent of teaching staff, backed by the NSW Teachers Federation, voted to accept the government’s 10.5% baseline pay offer, higher than ever offered under the former government.

    This comes after a decade long wages cap by the former Liberal-National Government that left thousands of teachers underpaid and in insecure employment.  

    Nearly two thirds of NSW Public sector workers and their union have now signed wage agreements with the NSW Government.

    The deal, which delivers on the Government’s election commitment to rebuild TAFE NSW, consists of:

    • A 3.5% pay rise, plus a 0.5% superannuation boost for 2024-25;
    • A 3% pay rise annually in both 2025-26 and 2026-27, plus a further 0.5% increase to super in 2025-26.

    Additionally, the Government will undertake reforms within 12 months to remove TAFE NSW from the former Government’s “Smart and Skilled” competitive market, a key recommendation of the NSW VET Review.

    This means TAFE NSW will no longer compete with the private training providers for funding and instead will have a more predictable annual budget.

    These changes will slash red tape and give teachers more time to focus on the actual teaching of students.

    In addition, the Minns Labor Government has transitioned more than 1700 casual teachers and delivery support staff from the beginning of this semester into permanent roles, providing long-overdue job security and stability for staff who have endured years of uncertainty.

    80% of the TAFE NSW teaching workforce now enjoy greater job security, ensuring a stable, experienced workforce to deliver training in priority industries such as construction, manufacturing, and healthcare.

    Minister for Industrial Relations, Sophie Cotsis said:

    “This pay agreement with TAFE NSW teaching staff reaffirms the Minns Labor Government’s industrial relations framework is working.

    “It recognises not only the important service our teachers and educators provide but acknowledges and rewards their efforts.

    “This is a good step forward but there is always more work to do to ensure we have the best public service in the world.”

    Minister for Skills, TAFE and Tertiary Education, Steve Whan said:    

    “I’m delighted that the TAFE NSW teaching staff have agreed to the Government’s offer, recognising their contribution to the state. Our teachers are on the front line of delivering the skills education to fill shortages in our critical industries and we value them.”  

    “We’ve heard from teachers that they want to see reform in TAFE NSW, and alongside the increase in pay, this agreement builds on reform by no longer requiring TAFE NSW to compete with private training providers for funding.

    “Removing TAFE NSW from the competitive (Smart and Skilled) market was a key recommendation of the Government’s VET Review.  It will result in a major reduction in administrative burden for TAFE NSW, but more importantly it enhances the recognition that TAFE NSW is the core provider of vocational training in NSW.  

    “Funding certainty and a stable and secure vocational training workforce are crucial to meeting the increasing demand for skilled workers across several critical industries NSW communities rely on every day.” 

    NSW Teachers Federation President, Henry Rajendra said:  

    “The Federation enthusiastically welcomes the strengthening of TAFE NSW, with more than 1700 teachers transitioning from casual to permanent role starting earlier this term.

    We also commend the removal of the constraints of the contestable funding market on TAFE NSW, and the introduction of a new three-year enterprise agreement that delivers solid pay increases to some of the most essential educators in NSW.  

    “These are a clear demonstration of the NSW Government’s commitment to rebuilding a strong and stable TAFE NSW. 

    “As the heart of the vocational education and training sector in Australia, TAFE NSW is critical to delivering the education and skills for our students, communities and economy across NSW. 

    “TAFE NSW has a proven track record of excellence, delivering dependable public education that meets individual, industry and community needs.” 

    MIL OSI News –

  • MIL-OSI: Diginex Limited Engages Lambert and SPRG to Drive Global Investor Relations and Shareholder Communications Program

    Source: GlobeNewswire (MIL-OSI)

    HONG KONG, Feb. 12, 2025 (GLOBE NEWSWIRE) — Diginex Limited (“Diginex” or the “Company”), a Cayman Islands-based impact technology company specializing in environmental, social, and governance (ESG) issues, has engaged international investor relations specialists Lambert by LLYC (Lambert) and its partner—Hong Kong-based Strategic Public Relations Group Ltd. (SPRG)—to lead a global investor relations and financial communications initiative to help broaden Diginex’s shareholder base. This collaboration underscores Diginex’s commitment to enhancing its visibility and investor engagement across key global markets.

    Working closely with Diginex’s leadership, Lambert and SPRG will execute an aggressive strategic investor relations program aimed at strengthening the Company’s presence within the global investment community. The initiative will emphasize how Diginex’s innovative, technology-driven solutions empower enterprises with comprehensive tools, empower enterprises with comprehensive tools to navigate the evolving and rapidly expanding sustainability landscape.

    Diginex recently completed a $10.61 million initial public offering (IPO), including the full exercise of the underwriters’ over-allotment option. The successful IPO and subsequent healthy market reaction reflect growing investor confidence in sustainability compliance technology and Diginex’s mission to democratize sustainability through innovative technology, dramatically reducing the cost of compliance with their tailored suite of platforms.

    Led by Lambert, the IR partnership will provide strategic guidance to Diginex, ensuring global investor outreach, enhanced shareholder engagement, and expanded visibility among institutional and retail investors.

    “This is an exciting time for Diginex as we accelerate investor engagement across a broad and diverse range of investor pools globally, strengthening and diversifying the shareholder base while increasing investor and marketplace familiarity with our brand and products” said Miles Pelham, Chairman of Diginex Limited. “Our partnership with Lambert and SPRG strengthens our presence in key financial markets and reinforces our leadership in ESG and sustainability technology. We remain committed to driving innovation and helping enterprises achieve their sustainability goals, ultimately striving to leave the world in a better place.”

    “With our successful public offering on the Nasdaq stock exchange, we look forward to working with Lambert and SPRG to speed-up and broaden our investor outreach,” said Mark Blick, Chief Executive Officer of Diginex Limited. “As demand for ESG solutions grows, we are focused on accelerating our global presence and delivering long-term value to our shareholders.”

    About Diginex Limited

    Diginex Limited is a Cayman Islands exempted company incorporated under the laws of the Cayman Islands in 2024, with subsidiaries located in Hong Kong, United Kingdom and United States of America. Diginex Limited conducts operations through its wholly owned subsidiary Diginex Solutions (HK) Limited, a Hong Kong corporation (“DSL”) and DSL is the sole owner of (i) Diginex Services Limited, a corporation formed in the United Kingdom and (ii) Diginex USA LLC, a limited liability company formed in the State of Delaware. DSL commenced operations in 2020, is headquartered in Hong Kong, and is a software company that empowers businesses and governments to streamline ESG, climate, and supply chain data collection and reporting. DSL is an impact technology business that helps organizations to address the some of the most pressing ESG, climate and sustainability issues, utilizing blockchain, machine learning and data analysis technology to lead change and increase transparency in corporate social responsibility and climate action.

    Diginex’s products and services solutions enable companies to collect, evaluate and share sustainability data through easy-to-use software For more information, please visit the Company’s website: https://www.diginex.com/.

    Forward-Looking Statements

    Certain statements in this announcement are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company’s current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Investors can identify these forward-looking statements by words or phrases such as “approximates,” “believes,” “hopes,” “expects,” “anticipates,” “estimates,” “projects,” “intends,” “plans,” “will,” “would,” “should,” “could,” “may” or other similar expressions. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company’s filings with the SEC.

    For investor and media inquiries, please contact:

    Diginex
    Investor Relations
    Email:ir@diginex.com

    Jackson Lin
    Lambert by LLYC
    Phone: +1 (646) 717-4593
    Email: jian.lin@llyc.global

    The MIL Network –

  • MIL-OSI: Birchcliff Energy Ltd. Announces Unaudited 2024 Full-Year and Fourth Quarter Results and 2024 Reserves Highlights

    Source: GlobeNewswire (MIL-OSI)

    CALGARY, Alberta, Feb. 12, 2025 (GLOBE NEWSWIRE) — Birchcliff Energy Ltd. (“Birchcliff” or the “Corporation”) (TSX: BIR) is pleased to announce its unaudited 2024 full-year and fourth quarter financial and operational results and highlights from its independent reserves evaluation effective December 31, 2024.

    “Due to the success of our 2024 capital program and driven by our improved capital efficiencies, we delivered annual average production of 76,695 boe/d and adjusted funds flow(1) of $236.8 million and returned $107.8 million to shareholders through common share dividends in 2024,” commented Chris Carlsen, President and Chief Executive Officer of Birchcliff. “The 27 wells we brought on production as part of the 2024 capital program delivered strong PDP reserves additions of 34.1 MMboe, which highlights the quality of our assets. We believe that there is significant intrinsic shareholder value embedded in Birchcliff’s asset base that is not reflected in our current share price, as demonstrated by our PDP reserves net asset value per common share(2) of $6.35 and $13.79 and $18.09 for our proved and proved plus probable reserves, respectively.(3) In addition, our Elmworth asset, which is largely unbooked from a reserves basis, provides us with significant inventory and a large potential future development area consisting of approximately 145 net sections of Montney lands.”

    “Our strategy for 2025 builds off of the operational momentum from 2024, maintaining our focus on capital efficiency improvements and further driving down costs. Our 2025 capital program has been designed to ensure that our capital is strategically deployed throughout the year, providing us with the flexibility to adjust our capital spending if necessary in response to the commodity price volatility we expect during 2025, including as a result of the potential for U.S. and Canadian tariffs and the start-up of LNG Canada.”

    2024 Financial and Operational Highlights

    • Delivered annual average production of 76,695 boe/d (82% natural gas and 18% liquids) in 2024 and quarterly average production of 77,623 boe/d (82% natural gas and 18% liquids) in Q4 2024.
    • Generated annual adjusted funds flow of $236.8 million in 2024 and quarterly adjusted funds flow of $71.8 million in Q4 2024. Cash flow from operating activities was $203.7 million in 2024 and $45.6 million in Q4 2024.
    • Reported annual net income to common shareholders of $56.1 million in 2024 and quarterly net income to common shareholders of $35.2 million in Q4 2024.
    • F&D capital expenditures were $273.1 million in 2024 and $58.3 million in Q4 2024. Birchcliff drilled 29 (29.0 net) wells and brought 27 (27.0 net) wells on production in 2024.
    • Returned $107.8 million to shareholders in 2024 through common share dividends.

    2024 Reserves Highlights(4)

    • Birchcliff brought 27 new wells on production as part of its 2024 F&D capital program with strong PDP reserves additions of 34.1 MMboe (1.26 MMboe per well) and delivered PDP F&D costs(5) of $8.01/boe, resulting in a PDP F&D operating netback recycle ratio(2) of 1.4x in 2024 on such additions.
    • Birchcliff added an aggregate of 23.7 MMboe of PDP reserves on an F&D basis in 2024, after adding back 2024 actual production of 28.1 MMboe(6) and including all other applicable PDP reserves adjustments in 2024. Birchcliff’s PDP reserves totalled 217.1 MMboe at December 31, 2024.
    • Birchcliff delivered PDP F&D costs of $11.52/boe and a PDP F&D operating netback recycle ratio of 1.0x on its aggregate 23.7 MMboe of PDP reserves additions, notwithstanding $18.8 million in F&D capital expenditures spent on strategic priorities in Elmworth for which there was no production or reserves assigned at year-end 2024.
    • At December 31, 2024, the net present value of future net revenue (before income taxes, discounted at 10%) was $2.3 billion for Birchcliff’s PDP reserves, $4.4 billion for its proved reserves and $5.6 billion for its proved plus probable reserves.
    • The net asset value per common share of Birchcliff’s PDP, proved and proved plus probable reserves at December 31, 2024 was $6.35, $13.79 and $18.09, respectively, which is 9%, 136% and 210% higher than the closing price of its common shares on the TSX on February 10, 2025 of $5.84.
    • Reserves life index(5) at December 31, 2024 of 7.7 years on a PDP basis, 23.6 years on a proved basis and 34.3 years on a proved plus probable basis.

    Birchcliff anticipates filing its annual information form and audited financial statements and related management’s discussion and analysis for the year ended December 31, 2024 on March 12, 2025.

    This press release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. For further information regarding the forward-looking statements and forward-looking information contained herein, see “Advisories – Forward-Looking Statements”. With respect to the disclosure of Birchcliff’s reserves and related reserves metrics contained in this press release, see “2024 Year-End Reserves”, “Presentation of Oil and Gas Reserves” and “Advisories – Oil and Gas Metrics”. With respect to the disclosure of Birchcliff’s production contained in this press release, unless otherwise stated herein, production volumes have been disclosed on a “gross” basis as such term is defined in National Instrument 51-101– Standards of Disclosure for Oil and Gas Activities (“NI 51-101”). For further information regarding the disclosure of Birchcliff’s production contained herein, see “Advisories – Production”. In addition, this press release uses various “non-GAAP financial measures”, “non-GAAP ratios” and “capital management measures” as such terms are defined in National Instrument 52-112 – Non-GAAP and Other Financial Measures Disclosure (“NI 52-112”). Non-GAAP financial measures and non-GAAP ratios are not standardized financial measures under GAAP and might not be comparable to similar financial measures disclosed by other issuers. For further information regarding the non-GAAP and other financial measures used in this press release, see “Non-GAAP and Other Financial Measures”.

    ______________________________

    (1)  Non-GAAP financial measure. See “Non-GAAP and Other Financial Measures”.

    (2)  Non-GAAP ratio. See “Non-GAAP and Other Financial Measures”.

    (3)  Net asset value per common share is at December 31, 2024 and before income taxes (discounted at 10%). See “2024 Year-End Reserves – Net Asset Value”.

    (4)  Deloitte LLP (“Deloitte”) prepared an independent evaluation of the Corporation’s reserves effective December 31, 2024 as contained in their report dated February 12, 2025 (the “Deloitte Report”). The forecast commodity prices, inflation and exchange rates utilized in the Deloitte Report were computed using the average of forecasts from Deloitte, McDaniel & Associates Consultants Ltd. (“McDaniel”), GLJ Ltd. (“GLJ”) and Sproule Associates Limited (“Sproule”) effective January 1, 2025 (the “2024 Price Forecast”). See “2024 Year-End Reserves” and “Presentation of Oil and Gas Reserves”.

    (5)  See “Advisories – Oil and Gas Metrics”.

    (6)  Consists of 738.2 Mbbls of light oil, 1,619.6 Mbbls of condensate, 2,591.3 Mbbls of NGLs and 138,728.6 MMcf of natural gas.

    2024 UNAUDITED FINANCIAL AND OPERATIONAL SUMMARY

      Three months ended
    December 31,
    		   Twelve months ended
    December 31,
    		  
      2024   2023   2024   2023  
    OPERATING        
    Average production        
    Light oil (bbls/d) 1,993   1,649   2,017   1,849  
    Condensate (bbls/d) 4,310   5,145   4,425   5,202  
    NGLs (bbls/d) 7,748   7,653   7,080   6,306  
    Natural gas (Mcf/d) 381,433   372,594   379,040   374,052  
    Total (boe/d) 77,623   76,546   76,695   75,699  
    Average realized sales prices (CDN$)(1)        
    Light oil (per bbl) 95.18   100.07   98.90   99.07  
    Condensate (per bbl) 95.79   103.80   99.66   103.76  
    NGLs (per bbl) 26.20   26.95   26.37   26.92  
    Natural gas (per Mcf) 2.27   2.92   2.05   3.03  
    Total (per boe) 21.53   26.02   20.90   26.79  
             
    NETBACK AND COST ($/boe)        
    Petroleum and natural gas revenue(1) 21.53   26.03   20.91   26.80  
    Royalty expense (1.26 ) (2.75 ) (1.41 ) (2.54 )
    Operating expense (2.91 ) (3.81 ) (3.24 ) (3.83 )
    Transportation and other expense(2) (5.26 ) (5.53 ) (5.24 ) (5.69 )
    Operating netback(2) 12.10   13.94   11.02   14.74  
    G&A expense, net (2.00 ) (1.80 ) (1.45 ) (1.52 )
    Interest expense (1.40 ) (0.95 ) (1.31 ) (0.74 )
    Lease interest expense (0.33 ) –   (0.16 ) –  
    Realized gain (loss) on financial instruments 1.68   (0.38 ) 0.33   (1.35 )
    Other cash income (expense) 0.01   0.01   0.01   (0.03 )
    Adjusted funds flow(2) 10.06   10.82   8.44   11.10  
    Depletion and depreciation expense (8.96 ) (8.44 ) (8.79 ) (8.20 )
    Unrealized gain (loss) on financial instruments 5.95   (1.58 ) 3.51   (1.38 )
    Other expenses(3) (0.75 ) (1.88 ) (0.52 ) (0.95 )
    Deferred income tax (expense) recovery (1.37 ) 0.29   (0.64 ) (0.22 )
    Net income (loss) to common shareholders 4.93   (0.79 ) 2.00   0.35  
             
    FINANCIAL        
    Petroleum and natural gas revenue ($000s)(1) 153,741   183,295   586,856   740,359  
    Cash flow from operating activities ($000s) 45,641   79,006   203,710   320,529  
    Adjusted funds flow ($000s)(4) 71,838   76,215   236,794   306,827  
    Per basic common share ($)(2) 0.27   0.29   0.88   1.15  
    Free funds flow ($000s)(4) 13,528   18,049   (36,290 ) 2,190  
    Per basic common share ($)(2) 0.05   0.07   (0.13 ) 0.01  
    Net income (loss) to common shareholders ($000s) 35,216   (5,533 ) 56,100   9,780  
    Per basic common share ($) 0.13   (0.02 ) 0.21   0.04  
    End of period basic common shares (000s) 271,304   267,156   271,304   267,156  
    Weighted average basic common shares (000s) 270,185   266,667   269,081   266,465  
    Dividends on common shares ($000s) 27,126   53,390   107,833   213,344  
    F&D capital expenditures ($000s)(5) 58,310   58,166   273,084   304,637  
    Total capital expenditures ($000s)(4) 66,673   59,541   282,745   307,916  
    Revolving term credit facilities ($000s) 566,857   372,097   566,857   372,097  
    Total debt ($000s)(6) 535,557   382,306   535,557   382,306  

    (1)  Excludes the effects of financial instruments but includes the effects of any physical delivery contracts.

    (2)  Non-GAAP ratio. See “Non-GAAP and Other Financial Measures”.

    (3)  Includes non-cash items such as compensation, accretion, amortization of deferred financing fees and other gains and losses.

    (4)  Non-GAAP financial measure. See “Non-GAAP and Other Financial Measures”.

    (5)  See “Advisories – F&D Capital Expenditures”.

    (6)  Capital management measure. See “Non-GAAP and Other Financial Measures”.

    FULL-YEAR AND Q4 2024 UNAUDITED FINANCIAL AND OPERATIONAL RESULTS

    Production

    • Birchcliff’s production averaged 76,695 boe/d in 2024, a 1% increase from 2023. Production averaged 77,623 boe/d in Q4 2024, a 1% increase from Q4 2023. Birchcliff’s annual average production for 2024 was at the high-end of its guidance range of 75,000 to 77,000 boe/d.
    • The increases were primarily due to the strong performance of the Corporation’s capital program and the successful drilling of new Montney/Doig wells brought on production, partially offset by natural production declines. Full-year production in 2023 was negatively impacted by an unplanned system outage on Pembina’s Northern Pipeline system, which reduced the Corporation’s NGLs sales volumes in 2023.
    • Liquids accounted for 18% of Birchcliff’s total production in both 2024 and 2023, which was in line with Birchcliff’s guidance of 19%. Liquids accounted for 18% of Birchcliff’s total production in Q4 2024 as compared to 19% in Q4 2023.

    Adjusted Funds Flow and Cash Flow From Operating Activities

    • Birchcliff generated adjusted funds flow of $236.8 million in 2024, or $0.88 per basic common share, both of which decreased by 23% from 2023. Adjusted funds flow was $71.8 million in Q4 2024, or $0.27 per basic common share, a 6% and 7% decrease from Q4 2023, respectively. Birchcliff’s full-year adjusted funds flow in 2024 was higher than its guidance of $230 million primarily due to lower than expected royalty and G&A expenses.
    • Birchcliff’s cash flow from operating activities was $203.7 million in 2024, a 36% decrease from 2023. Cash flow from operating activities was $45.6 million in Q4 2024, a 42% decrease from Q4 2023.
    • The decreases in adjusted funds flow and cash flow from operating activities were primarily due to lower natural gas revenue, which was largely the result of a 32% and 22% decrease in the average realized sales price Birchcliff received for its natural gas production in the full-year and Q4 2024, respectively, as compared to 2023, and higher interest expenses. Birchcliff’s adjusted funds flow and cash flow from operating activities were positively impacted by lower royalty expenses and realized gains on financial instruments of $9.3 million and $12.0 million in the full-year and Q4 2024, respectively, as compared to realized losses on financial instruments of $37.3 million and $2.6 million in 2023.

    Net Income (Loss) to Common Shareholders

    • Birchcliff earned net income to common shareholders of $56.1 million in 2024, or $0.21 per basic common share, as compared to $9.8 million and $0.04 per basic common share in 2023. The increases were primarily due to an unrealized mark-to-market gain on financial instruments of $98.6 million in 2024 as compared to an unrealized mark-to-market loss on financial instruments of $38.2 million in 2023, partially offset by lower adjusted funds flow in 2024.
    • Birchcliff earned net income to common shareholders of $35.2 million in Q4 2024, or $0.13 per basic common share, as compared to a net loss to common shareholders of $5.5 million and $0.02 per basic common share in Q4 2023. The change to a net income position was primarily due to an unrealized mark-to-market gain on financial instruments of $42.5 million in Q4 2024 as compared to an unrealized mark-to-market loss on financial instruments of $11.1 million in Q4 2023.

    Debt and Credit Facilities

    • Total debt at December 31, 2024 was $535.6 million, a 40% increase from December 31, 2023. Birchcliff’s 2024 year-end total debt was at the high-end of its guidance range of $515 million to $535 million.
    • At December 31, 2024, Birchcliff had a balance outstanding under its extendible revolving credit facilities (the “Credit Facilities”) of $570.9 million (December 31, 2023: $374.1 million) from available Credit Facilities of $850.0 million (December 31, 2023: $850.0 million), leaving the Corporation with $279.1 million (33%) of unutilized credit capacity after adjusting for outstanding letters of credit and unamortized deferred financing fees. This unutilized credit capacity provides Birchcliff with significant financial flexibility and available capital resources. The Credit Facilities have a maturity date of May 11, 2027 and do not contain any financial maintenance covenants.

    Marketing and Natural Gas Market Diversification

    • Birchcliff’s physical natural gas sales exposure primarily consists of the AECO, Dawn and Alliance markets. In addition, the Corporation has various financial instruments outstanding that provide it with exposure to NYMEX HH pricing.

    The following table sets forth Birchcliff’s effective sales, production and average realized sales price for natural gas and liquids for Q4 2024, after taking into account the Corporation’s financial instruments:

    Three months ended December 31, 2024
      Effective
    sales
    (CDN$000s)    		 Percentage of total sales
    (%)    		 Effective
    production
    (per day)    		 Percentage of
    total natural gas production
    (%)    		 Percentage of
    total corporate production
    (%)    		 Effective average realized
    sales price
    (CDN$)
    Market            
    AECO(1)(2) 11,831 6 82,345 Mcf 21 18 1.56/Mcf
    Dawn(3) 48,281 26 162,555 Mcf 43 35 3.23/Mcf
    NYMEX HH(1)(4) 53,015 28 136,533 Mcf 36 29 4.22/Mcf
    Total natural gas(1) 113,127 60 381,433 Mcf 100 82 3.22/Mcf
    Light oil 17,450 10 1,993 bbls   3 95.18/bbl
    Condensate 37,985 20 4,310 bbls   5 95.79/bbl
    NGLs 18,679 10 7,748 bbls   10 26.20/bbl
    Total liquids 74,114 40 14,051 bbls   18 57.33/bbl
    Total corporate(1) 187,241 100 77,623 boe   100 26.22/boe

    (1)  Effective sales and effective average realized sales price on a total natural gas and total corporate basis and for the AECO and NYMEX HH markets are non-GAAP financial measures and non-GAAP ratios, respectively. See “Non-GAAP and Other Financial Measures”.

    (2)  Birchcliff has short-term physical sales agreements with third-party marketers to sell and deliver into the Alliance pipeline system. All of Birchcliff’s short-term physical Alliance sales and production during Q4 2024 received AECO premium pricing and have therefore been included as effective sales and production in the AECO market.

    (3)  Birchcliff has agreements for the firm service transportation of an aggregate of 175,000 GJ/d of natural gas on TransCanada PipeLines’ Canadian Mainline, whereby natural gas is transported to the Dawn trading hub in Southern Ontario.

    (4)  NYMEX HH effective sales and production include financial NYMEX HH/AECO 7A basis swap contracts for an aggregate of 147,500 MMBtu/d at an average contract price of NYMEX HH less US$1.12/MMBtu during Q4 2024.
    Birchcliff’s effective average realized sales price for NYMEX HH of CDN$4.22/Mcf (US$2.76/MMBtu) was determined on a gross basis before giving effect to the average NYMEX HH/AECO 7A fixed contract basis differential price of CDN$1.71/Mcf (US$1.12/MMBtu) and includes any realized gains and losses on financial NYMEX HH/AECO 7A basis swap contracts during Q4 2024.
    After giving effect to the NYMEX HH/AECO 7A fixed contract basis differential price and including any realized gains and losses on financial NYMEX HH/AECO 7A basis swap contracts during Q4 2024, Birchcliff’s effective average realized net sales price for NYMEX HH was CDN$2.51/Mcf (US$1.64/MMBtu) in Q4 2024.

    The following table sets forth Birchcliff’s physical sales, production, average realized sales price, transportation costs and natural gas sales netback by natural gas market for the periods indicated, before taking into account the Corporation’s financial instruments:

    Three months ended December 31, 2024
    Natural
    gas
    market    		 Natural gas
    sales(1)
    (CDN$000s)    		 Percentage of
    natural gas
    sales
    (%)    		 Natural gas
    production
    (Mcf/d)    		 Percentage of
    natural gas
    production
    (%)    		 Average realized
    natural gas sales
    price(1)
    (CDN$/Mcf)    		 Natural gas
    transportation
    costs    (2)
    (CDN$/Mcf)    		 Natural gas
    sales
    netback    (3)
    (CDN$/Mcf)
    AECO 31,027 39 216,321 57 1.57 0.38 1.19
    Dawn 48,281 60 162,555 42 3.23 1.43 1.80
    Alliance(4) 307 1 2,557 1 1.30 – 1.30
    Total 79,615 100 381,433 100 2.27 0.83 1.44
    Three months ended December 31, 2023
    Natural
    gas
    market    		 Natural gas
    sales(1)
    (CDN$000s)    		 Percentage of
    natural gas
    sales
    (%)    		 Natural gas
    production
    (Mcf/d)    		 Percentage of
    natural gas
    production
    (%)    		 Average realized
    natural gas sales
    price(1)
    (CDN$/Mcf)    		 Natural gas
    transportation
    costs    (2)
    (CDN$/Mcf)    		 Natural gas
    sales
    netback    (3)
    (CDN$/Mcf)
    AECO 50,508 51 203,024 55 2.72 0.38 2.33
    Dawn 47,433 47 161,119 43 3.20 1.42 1.78
    Alliance(4) 2,016 2 8,451 2 2.59 – 2.59
    Total 99,957 100 372,594 100 2.92 0.83 2.09

    (1)  Excludes the effects of financial instruments but includes the effects of any physical delivery contracts.

    (2)  Reflects costs to transport natural gas from the field receipt point to the delivery sales trading hub.

    (3)  Natural gas sales netback denotes the average realized natural gas sales price less natural gas transportation costs.

    (4)  Birchcliff has short-term physical sales agreements with third-party marketers to sell and deliver into the Alliance pipeline system. Alliance sales are recorded net of transportation tolls.

    Capital Activities and Investment

    • F&D capital expenditures were $273.1 million in 2024, as compared to Birchcliff’s guidance of $250 million to $270 million.
    • In 2024, the Corporation achieved a significant year-over-year improvement in capital efficiency(7) for its wells of approximately 24% compared to 2023. The following table sets forth the wells that were drilled and brought on production in 2024:
      Number of wells
    drilled in 2024(1)    		 Number of wells brought
    on production in 2024
    Pouce Coupe    
         
      04-30 (5-well pad) Montney D1 0(2) 5
             
      16-17 (5-well pad) BD/UM 1 1
        Montney D1 3 3
        Montney D4 1 1
             
      16-15 (6-well pad) Montney D1 6 6
             
      10-22 (5-well pad) Montney D1 5 5
             
      04-05 (5-well pad) Montney D1 5 0(3)
             
    Gordondale    
         
      02-27 (2-well pad) Montney D1 1 1
        Montney D2 1 1
             
      01-10 (4-well pad) Montney D1 4 4
             
    Elmworth    
             
      13-09 vertical Montney 1 0
             
      01-28 horizontal Montney 1 0
           
    TOTAL 29 27

    (1)  All wells are natural gas wells, except for the 4-well 01-10 pad, which are light oil wells.

    (2)  The five wells drilled on the 04-30 pad were drilled in December 2023.

    (3)  The five wells drilled on the 04-05 pad are scheduled to come on production later in February 2025.

    ______________________________

    (7)  See “Advisories – Oil and Gas Metrics”.

    UPDATE ON 2025 CAPITAL PROGRAM

    • As disclosed in Birchcliff’s press release dated January 22, 2025, the Corporation’s board of directors (the “Board”) approved a disciplined F&D capital budget of $260 million to $300 million for 2025. Benefitting from the learnings gained from the Corporation’s 2024 capital program, the wells in Birchcliff’s 2025 capital program are expected to yield strong production, using the Corporation’s latest field development practices and wellbore design, which incorporates longer lateral lengths, reduced cluster spacing and increased proppant loading where appropriate.
    • The Corporation successfully completed drilling its 5-well 04-05 pad in Pouce Coupe in December 2024. Completions operations are currently underway on the pad, with the wells scheduled to come on production later in February 2025. The pad was drilled in the Lower Montney targeting high-rate natural gas wells.
    • The Corporation is currently drilling its 3-well 07-10 pad in Pouce Coupe. The pad is targeting condensate-rich natural gas wells in the Lower Montney. The wells are anticipated to be brought on production at the end of Q1 2025.
    • The Corporation successfully completed drilling its 4-well 02-27 pad in Gordondale in February 2025, with completions operations scheduled to begin in March 2025. The pad is targeting condensate-rich natural gas wells in the Lower Montney. The wells are anticipated to be brought on production in early Q2 2025.
    • In Elmworth, the Corporation completed a horizontal land retention well and has commenced a short clean-up test. As disclosed in the Corporation’s press release on January 22, 2025, this well is not currently planned to be tied in.

    U.S. AND CANADIAN TARIFFS

    • While Birchcliff hopes that there will not be a trade dispute between the United States and Canada, the Corporation believes that Canada’s over-reliance on exporting its energy into the U.S. must be addressed through the reduction of red tape and government interference in the construction of critical infrastructure such as oil and gas pipelines to the east and west coasts of Canada, LNG terminals on each coast and an increase in refining capacity within Canada, in order to diversify Canada’s energy export market. The Corporation continues to actively monitor this situation.
    • Birchcliff believes that its ongoing strategy of maintaining significant natural gas market diversification for 2025 will continue to protect the Corporation from volatility in the North American natural gas pricing environment, including as it relates to potential tariffs. Approximately 41% of Birchcliff’s natural gas production is physically delivered to the Dawn trading hub in Ontario, which is priced in U.S. dollars, and the Corporation also has U.S. denominated financial contracts that expose approximately 35% of its natural gas production to NYMEX HH pricing on a financial basis, without physical delivery into the United States.

    2024 YEAR-END RESERVES

    The reserves data set forth below at December 31, 2024 is based upon the Deloitte Report, which has been prepared in accordance with the standards contained in the Canadian Oil and Gas Evaluation Handbook (the “COGE Handbook”) and NI 51-101.

    The reserves data provided in this press release presents only a portion of the disclosure required under NI 51-101. The disclosure required under NI 51-101 will be contained in Birchcliff’s annual information form for the year ended December 31, 2024, which is expected to be filed on SEDAR+ (www.sedarplus.ca) on March 12, 2025.

    In some of the tables below, numbers may not add due to rounding. The estimates of future net revenue contained herein do not represent fair market value. For additional information regarding the presentation of Birchcliff’s reserves disclosure contained herein, see “Presentation of Oil and Gas Reserves” and “Advisories” in this press release.

    Reserves Summary

    The following table summarizes the estimates of Birchcliff’s gross reserves at December 31, 2024 and December 31, 2023, estimated using the forecast price and cost assumptions in effect as at the effective date of the applicable reserves evaluation:

    Reserves Category December 31, 2024
    (Mboe)    		   December 31, 2023(1)
    (Mboe)    		   % Change  
    Proved Developed Producing 217,076   220,536   (2)  
    Total Proved 667,390   691,886   (4)  
    Total Proved Plus Probable 969,636   993,897   (2)  

    (1)  Deloitte prepared an independent evaluation of the Corporation’s reserves effective December 31, 2023 as contained in their report dated February 14, 2024 (the “2023 Deloitte Report”). The forecast commodity prices, inflation and exchange rates utilized in the 2023 Deloitte Report were computed using the average of forecasts from Deloitte, McDaniel, GLJ and Sproule effective January 1, 2024 (the “2023 Price Forecast”).

    The following table sets forth Birchcliff’s light crude oil and medium crude oil, conventional natural gas, shale gas and NGLs reserves at December 31, 2024, estimated using the 2024 Price Forecast:

    Reserves Category Light Crude Oil and
    Medium Crude Oil    		 Conventional
    Natural Gas    		 Shale Gas NGLs(1) Total Oil Equivalent
    Gross
    (Mbbls)    		 Net
    (Mbbls)    		 Gross
    (MMcf)    		 Net
    (MMcf)    		 Gross
    (MMcf)    		 Net
    (MMcf)    		 Gross
    (Mbbls)    		 Net
    (Mbbls)    		 Gross
    (Mboe)    		 Net
    (Mboe)
    Proved                  
      Developed Producing 4,889 3,946 6,051 5,707 1,053,238 971,102 35,639 29,058 217,076 195,805
      Developed Non-Producing 9 9 0 0 4,840 4,537 239 203 1,054 968
      Undeveloped 7,089 5,747 2,858 2,625 2,320,235 2,094,569 54,988 42,966 449,259 398,246
    Total Proved 11,987 9,701 8,909 8,332 3,378,312 3,070,208 90,866 72,227 667,390 595,019
    Total Probable 9,083 6,933 5,270 4,911 1,442,846 1,272,820 51,811 39,640 302,246 259,529
    Total Proved Plus Probable 21,070 16,635 14,179 13,243 4,821,158 4,343,028 142,676 111,868 969,636 854,547

    (1)  NGLs includes condensate.

    Net Present Values of Future Net Revenue

    The following table sets forth the net present values of future net revenue attributable to Birchcliff’s reserves at December 31, 2024, estimated using the 2024 Price Forecast, before deducting future income tax expenses and calculated at various discount rates:

    Reserves Category Before Income Taxes Discounted At (%/year)   Unit Value
    Discounted
    at 10%/year
    ($/boe)(1)
    0
    ($000s)    		 5
    ($000s)    		 10
    ($000s)    		 15
    ($000s)    		 20
    ($000s)    		  
    Proved              
    Developed Producing 3,670,971 2,851,081 2,277,750 1,892,104 1,621,811   11.63
    Developed Non-Producing 13,717 9,900 7,499 5,888 4,750   7.75
    Undeveloped 7,083,864 3,707,943 2,073,919 1,199,557 694,944   5.21
    Total Proved 10,768,552 6,568,924 4,359,168 3,097,549 2,321,504   7.33
    Total Probable 6,210,051 2,553,082 1,204,663 632,630 361,133   4.64
    Total Proved Plus Probable 16,978,602 9,122,005 5,563,831 3,730,179 2,682,638   6.51

    (1)   Unit values are based on net reserves volumes.

    Net Asset Value

    Net asset value reflects the estimated long-term fair value of Birchcliff’s underlying reserves assets after settling its outstanding financial obligations at a point in time. The net present value of the Corporation’s reserves can vary significantly depending on the oil and natural gas price assumptions used by Deloitte and assumes only the reserves identified in the applicable reserves report, with no further acquisitions or incremental development.

    The following table sets forth Birchcliff’s net asset value for its PDP, total proved and total proved plus probable reserves for the periods indicated:

    ($000s, except per share amounts) Proved Developed Producing Total Proved Total Proved Plus Probable
    As at December 31,   2024     2023     2024     2023     2024     2023  
    Reserves, NPV10%(1)   2,277,750     2,620,064     4,359,168     5,405,617     5,563,831     6,835,417  
    Total debt(2)   (535,557 )   (382,306 )   (535,557 )   (382,306 )   (535,557 )   (382,306 )
    Unexercised securities(3)   34,961     16,717     34,961     16,717     34,961     16,717  
    Net asset value(4)(5)   1,777,154     2,254,475     3,858,572     5,040,028     5,063,235     6,469,828  
    Net asset value (per common share)(4)(5)(6) $6.35   $8.22   $13.79   $18.38   $18.09   $23.60  

    (1)  Represents the net present value of the future net revenue (before income taxes, discounted at 10%) of Birchcliff’s PDP, total proved and total proved plus probable reserves, as applicable, as estimated by Deloitte effective December 31, 2024 and December 31, 2023, using forecast prices and costs.

    (2)  Capital management measure. See “Non-GAAP and Other Financial Measures”.

    (3)  Represents the value of unexercised in-the-money stock options and performance warrants outstanding at the end of the year. The closing trading price on the TSX of Birchcliff’s common shares on December 31, 2024 and December 29, 2023 was $5.42 and $5.78, respectively.

    (4)  Excludes any value from undeveloped land and seismic.

    (5)  Net asset value is a non-GAAP financial measure and net asset value per common share is a non-GAAP ratio. See “Non-GAAP and Other Financial Measures”.

    (6) For 2024, based on 279.9 million common shares, which includes 271.3 million basic common shares outstanding at December 31, 2024 and 8.6 million dilutive common shares from unexercised in-the-money stock options and performance warrants outstanding at December 31, 2024. For 2023, based on 274.2 million common shares, which includes 267.2 million basic common shares outstanding at December 31, 2023 and 7.0 million dilutive common shares from unexercised in-the-money stock options and performance warrants outstanding at December 31, 2023.

    Net asset value decreased in all categories of reserves in 2024 as compared to 2023 primarily due to lower forecast prices in the 2024 Price Forecast compared to the 2023 Price Forecast, including an AECO price decrease of approximately 20% for 2025 through 2027 and approximately 11% thereafter.

    Pricing Assumptions

    The following table sets forth the 2024 Price Forecast used in the Deloitte Report:

    Year Crude Oil
    		   Natural Gas(1)
    		   NGLs
    		 Currency Exchange Rate (US$/CDN$) Price and Cost Inflation Rates
    (%)
                                       
    WTI at Cushing Oklahoma (US$/bbl) Edmonton City Gate (CDN$/bbl) Alberta AECO
    Average Price
    (CDN$/Mcf)    		 Ontario Dawn
    Reference Point
    (CDN$/Mcf)    		 NYMEX Henry Hub
    (US$/Mcf)    		 Edmonton Ethane
    (CDN$/bbl)    		 Edmonton Propane (CDN$/bbl) Edmonton Butane (CDN$/bbl) Edmonton Pentanes + Condensate (CDN$/bbl)
    2025 71.19   94.00   2.35   4.28   3.30   7.27   32.05   48.68   98.02   0.714 0.0
    2026 73.20   94.84   3.32   4.83   3.76   10.40   31.19   47.43   97.60   0.731 2.0
    2027 74.54   95.28   3.52   4.94   3.93   11.04   31.28   47.63   97.43   0.736 2.0
    2028 76.28   96.40   3.69   5.05   4.01   11.61   31.70   48.26   98.60   0.758 2.0
    2029 77.81   98.33   3.77   5.14   4.10   11.85   32.33   49.22   100.58   0.758 2.0
    2030 79.37   100.30   3.84   5.25   4.17   12.08   32.98   50.20   102.57   0.758 2.0
    2031 80.96   102.31   3.92   5.34   4.25   12.34   33.64   51.21   104.63   0.758 2.0
    2032 82.57   104.36   3.99   5.46   4.34   12.58   34.31   52.24   106.73   0.758 2.0
    2033 84.22   106.44   4.08   5.58   4.43   12.85   35.00   53.27   108.86   0.758 2.0
    2034 85.91   108.57   4.16   5.68   4.52   13.10   35.69   54.35   111.04   0.758 2.0
    2035 87.63   110.74   4.24   5.80   4.61   13.37   36.41   55.43   113.27   0.758 2.0
    2036 89.38   112.95   4.33   5.93   4.69   13.64   37.14   56.54   115.52   0.758 2.0
    2037 91.17   115.21   4.42   6.03   4.79   13.91   37.88   57.67   117.84   0.758 2.0
    2038 92.99   117.51   4.51   6.14   4.88   14.19   38.63   58.83   120.20   0.758 2.0
    2039 94.85   119.86   4.59   6.28   4.99   14.47   39.41   60.00   122.60   0.758 2.0
    2040 96.75   122.26   4.68   6.41   5.09   14.76   40.20   61.20   125.05   0.758 2.0
    2041 98.69   124.71   4.78   6.54   5.19   15.05   41.00   62.43   127.56   0.758 2.0
    2042 100.66   127.20   4.87   6.67   5.29   15.35   41.82   63.68   130.10   0.758 2.0
    2043 102.67   129.75   4.97   6.81   5.39   15.66   42.66   64.94   132.71   0.758 2.0
    2044 104.72   132.34   5.07   6.93   5.51   15.98   43.51   66.24   135.36   0.758 2.0
    2044+ 2.0%   2.0%   2.0%   2.0%   2.0%   2.0%   2.0%   2.0%   2.0%   0.758 2.0

    (1)  1 Mcf = 1 MMBtu.

    Reconciliation of Changes in Reserves

    The following table sets forth the reconciliation of Birchcliff’s gross reserves at December 31, 2024 as set forth in the Deloitte Report, estimated using the 2024 Price Forecast, to Birchcliff’s gross reserves at December 31, 2023:

    Factors Light Crude Oil
    and
    Medium Crude
    Oil
    (Mbbls)    		 Conventional
    Natural Gas
    (MMcf)    		 Shale Gas
    (MMcf)    		 NGLs(8)
    (Mbbls)    		 Oil Equivalent
    (Mboe)
    GROSS TOTAL PROVED          
    Opening balance December 31, 2023 14,460   10,251   3,493,022   93,547   691,886  
    Extensions and Improved Recovery(1) 0   0   58,875   2,287   12,099  
    Technical Revisions(2) (1,724 ) 2,244   (37,966 ) (2,022 ) (9,699 )
    Discoveries(3) 0   0   0   0   0  
    Acquisitions(4) 0   0   18,193   1,633   4,665  
    Dispositions(5) 0   0   0   0   0  
    Economic Factors(6) (12 ) (2,746 ) (15,923 ) (367 ) (3,491 )
    Production(7) (738 ) (840 ) (137,889 ) (4,211 ) (28,070 )
    Closing balance December 31, 2024 11,987   8,909   3,378,312   90,866   667,390  
    GROSS TOTAL PROBABLE
    Opening balance December 31, 2023 10,088   5,666   1,438,587   51,213   302,011  
    Extensions and Improved Recovery(1) 0   0   9,320   1,602   3,155  
    Technical Revisions(2) (1,003 ) (2,604 ) (33,104 ) (3,347 ) (10,301 )
    Discoveries(3) 0   0   0   0   0  
    Acquisitions(4) 0   0   24,508   2,296   6,381  
    Dispositions(5) 0   0   0   0   0  
    Economic Factors(6) (2 ) 2,208   3,535   45   1,000  
    Production(7) 0   0   0   0   0  
    Closing balance December 31, 2024 9,083   5,270   1,442,846   51,811   302,246  
    GROSS TOTAL PROVED PLUS PROBABLE
    Opening balance December 31, 2023 24,549   15,917   4,931,609   144,760   993,897  
    Extensions and Improved Recovery(1) 0   0   68,195   3,888   15,254  
    Technical Revisions(2) (2,727 ) (361 ) (71,069 ) (5,369 ) (20,000 )
    Discoveries(3) 0   0   0   0   0  
    Acquisitions(4) 0   0   42,701   3,929   11,046  
    Dispositions(5) 0   0   0   0   0  
    Economic Factors(6) (14 ) (538 ) (12,389 ) (322 ) (2,490 )
    Production(7) (738 ) (840 ) (137,889 ) (4,211 ) (28,070 )
    Closing balance December 31, 2024 21,070   14,179   4,821,158   142,676   969,636  

    (1)  Additions to volumes resulting from capital expenditures for: (i) step-out drilling in previously discovered reservoirs; (ii) infill drilling in previously discovered reservoirs that were not drilled as part of an enhanced recovery scheme; and (iii) the installation of improved recovery schemes.

    (2)  Positive or negative volume revisions to an estimate resulting from new technical data or revised interpretations on previously assigned volumes, performance and operating costs. This category also includes revisions resulting from well locations combined or removed as part of an updated development plan.

    (3)  Additions to volumes in reservoirs where no reserves were previously booked.

    (4)  Positive additions to volume estimates because of purchasing interests in oil and gas properties.

    (5)  Reductions in volume estimates because of selling all or a portion of an interest in oil and gas properties.

    (6)  Changes to volumes resulting from different price forecasts, inflation rates and regulatory changes.

    (7)  Reductions in the volume estimates due to actual production.

    (8)  NGLs includes condensate.

    Key highlights include the following:

    • Extensions and Improved Recovery
      • Reserves were added from 27 wells brought on production pursuant to the Corporation’s successful 2024 capital program. The 2024 program was focused in Birchcliff’s core areas in Pouce Coupe and Gordondale, converting proved and probable undeveloped reserves into PDP reserves.
    • Technical Revisions
      • The technical revisions in all reserves categories for light crude oil and medium crude oil were primarily the result of: (i) higher gas-to-oil ratios for existing producing oil wells in the southeast area in Gordondale; and (ii) potential future drilling location adjustments based on offsetting well performance.
      • The technical revisions in all reserves categories for conventional natural gas were primarily the result of existing well performance.
      • The technical revisions in all reserves categories for shale gas were primarily the result of:

    (i) an updated reserves forecast for existing wells based on historical performance, which included a reduction in the reserves attributable to 56 existing high-density producing wells that were drilled from 2019 to 2023. The Corporation does not expect that the technical revisions relating to these wells will negatively impact future reserves booked for other existing or future wells;

    (ii) an updated full-field development plan, which included the combining or removal of multiple proved and probable potential future drilling locations, resulting in the removal of 10 proved undeveloped locations and 3 probable locations; and

    (iii) an updated reserves forecast for various potential future drilling locations in the Lower Montney in Gordondale as a result of an increase in the reserves attributable to such future locations due to the continued outperformance of existing wells in the area.

    • The technical revisions in all reserves categories for NGLs were primarily the result of: (i) a reduction in shale gas volumes; and (ii) reduced NGLs recoveries at the Corporation’s owned and/or operated natural gas processing plants in Pouce Coupe and Gordondale. The reduced NGLs recoveries were partially offset by reduced natural gas shrinkage.
    • Acquisitions
      • Changes were the result of various accretive acquisitions completed by Birchcliff in the Pouce Coupe and Gordondale areas in 2024.
    • Economic Factors
      • The forecast prices for each product type were generally lower in the 2024 Price Forecast than the 2023 Price Forecast, which resulted in the economic limit at the end of a well’s life being achieved earlier and therefore a reduction of the reserves volumes in the total proved and total proved plus probable categories.

    Future Development Costs

    Future development costs (“FDC”) reflect Deloitte’s best estimate of what it will cost to bring the proved and proved plus probable reserves on production. Changes in forecast FDC occur annually as a result of development activities, acquisition and disposition activities and capital cost estimates. The following table sets forth development costs deducted in the estimation of Birchcliff’s future net revenue attributable to the reserves categories noted below, estimated using the 2024 Price Forecast:

    Year Proved
    ($000s)    		 Proved Plus Probable
    ($000s)
    2025 198,395 215,960
    2026 355,662 374,083
    2027 424,921 455,059
    2028 895,366 895,366
    2029 644,546 645,166
    Thereafter 849,599 2,299,368
    Total undiscounted 3,368,489 4,885,002

    FDC for proved reserves on an FD&A basis decreased to $3.37 billion at December 31, 2024 from $3.46 billion at December 31, 2023. FDC for proved plus probable reserves on an FD&A basis decreased to $4.89 billion at December 31, 2024 from $4.97 billion at December 31, 2023. The FDC to drill, case, complete, equip and tie-in for future locations in Birchcliff’s Pouce Coupe and Gordondale areas ($5.9 million per well) did not change from December 31, 2023 to December 31, 2024.

    The FDC for both proved and proved plus probable reserves are primarily the capital costs required to drill, case, complete, equip and tie-in the net undeveloped locations. The estimates of FDC on a proved and proved plus probable basis also include approximately $320 million (unescalated) for the continued expansion of the Pouce Coupe Gas Plant from the existing 340 MMcf/d to 660 MMcf/d of total throughput. The FDC for the expansion of the Pouce Coupe Gas Plant also include the costs of the related gathering pipelines and maintenance capital.

    F&D and FD&A Costs

    The following table sets forth Birchcliff’s F&D and FD&A costs for its PDP, total proved and total proved plus probable reserves for the three previous financial years, including FDC:

      2024(2) 2023 2022 3-Year Average
    F&D costs ($/boe)(1)        
    Proved Developed Producing 11.52(3) 13.16 10.24 11.43
    Total Proved n/a(4) 16.02 82.02 29.43
    Total Proved Plus Probable n/a(4) 24.90 n/a(5) 110.72
    FD&A costs ($/boe)(1)        
    Proved Developed Producing 11.42(6) 13.06 10.25 11.38
    Total Proved 53.86(7) 13.79 78.96 23.24
    Total Proved Plus Probable 50.39(8) 20.97 n/a(5) 49.27

    (1)  See “Advisories – Oil and Gas Metrics” for a description of the methodology used to calculate F&D and FD&A costs.

    (2)  Birchcliff’s F&D and FD&A capital expenditures were $273.1 million and $281.0 million, respectively, in 2024. Birchcliff’s F&D and FD&A capital expenditures included $18.8 million spent on strategics priorities in the Corporation’s Elmworth area for which there was no production or reserves assigned at year-end 2024.

    (3)  Birchcliff added 23.7 MMboe of PDP reserves in 2024, after adding back 2024 actual production of 28.1 MMboe and including all other PDP reserves adjustments in 2024, excluding acquisitions and dispositions.

    (4)  Birchcliff’s proved and proved plus probable reserves decreased in 2024, after adding back 2024 actual production of 28.1 MMboe. As a result of the year-over-year decrease in proved and proved plus probable reserves, the calculation for F&D costs for these reserves categories was not applicable in 2024.

    (5)  Birchcliff’s proved plus probable reserves decreased in 2022, after adding back 2022 actual production of 28.1 MMboe. As a result of the year-over-year decrease in proved plus probable reserves, the calculations for F&D and FD&A costs for this reserves category were not applicable in 2022.

    (6)  Birchcliff added 24.6 MMboe of PDP reserves in 2024, after adding back 2024 actual production of 28.1 MMboe and including all other PDP reserves adjustments in 2024.

    (7)  Includes the 2024 decrease in FDC from 2023 of $88.5 million on a proved basis. Birchcliff added 3.6 MMboe of proved reserves in 2024, after adding back 2024 actual production of 28.1 MMboe and including all other proved reserves adjustments in 2024.

    (8)  Includes the 2024 decrease in FDC from 2023 of $89.0 million on a proved plus probable basis. Birchcliff added 3.8 MMboe of proved plus probable reserves in 2024, after adding back 2024 actual production of 28.1 MMboe and including all other proved plus probable reserves adjustments in 2024.

    Recycle Ratios

    The following table sets forth Birchcliff’s F&D and FD&A operating netback recycle ratios for its PDP, total proved and total proved plus probable reserves for the three previous financial years, including FDC:

      2024 2023 2022 3-Year Average
    F&D operating netback recycle ratio(1)(2)        
    Proved Developed Producing 1.0x 1.1x 3.2x 1.7x
    Total Proved n/a(3) 0.9x 0.4x 0.7x
    Total Proved Plus Probable n/a(3) 0.6x n/a(4) 0.2x
    FD&A operating netback recycle ratio(1)(2)        
    Proved Developed Producing 1.0x 1.1x 3.2x 1.7x
    Total Proved 0.2x 1.1x 0.4x 0.8x
    Total Proved Plus Probable 0.2x 0.7x n/a(4) 0.4x

    (1)  Non-GAAP ratio. See “Non-GAAP and Other Financial Measures”.

    (2)  Birchcliff’s operating netback was $11.02/boe in 2024 as compared to $14.74/boe in 2023 and $32.85/boe in 2022. Operating netback is a non-GAAP ratio. See “Non-GAAP and Other Financial Measures”.

    (3)  As a result of the year-over-year decrease in proved and proved plus probable reserves, the calculation for F&D operating netback recycle ratio for these reserves categories was not applicable in 2024.

    (4)  As a result of the year-over-year decrease in proved plus probable reserves, the calculations for F&D and FD&A operating netback recycle ratio for this reserves category were not applicable in 2022.

    Reserves Replacement

    The following table sets forth Birchcliff’s 2024 reserves replacement on an F&D and FD&A basis for its PDP, total proved and total proved plus probable reserves:

    Reserves Category 2024 F&D Reserves Replacement(1)  2024 FD&A Reserves Replacement(1) 
    Proved Developed Producing 84 % 88 %
    Total Proved n/a(2) 13 %
    Total Proved Plus Probable n/a(2) 14 %

    (1)  See “Advisories – Oil and Gas Metrics” for a description of the methodology used to calculate reserves replacement.

    (2)  As a result of the 1.1 MMboe and 7.2 MMboe decrease in Birchcliff’s proved and proved plus probable reserves, respectively, in 2024, after adding back 2024 actual production of 28.1 MMboe, the calculation for F&D reserves replacement for theses reserves categories was not applicable in 2024.

    Reserves Life Index

    The following table sets forth Birchcliff’s reserves life index for its PDP, total proved and total proved plus probable reserves at December 31, 2024:

    Reserves Category Reserves Life Index(1)  
    Proved Developed Producing 7.7 years  
    Total Proved 23.6 years  
    Total Proved Plus Probable 34.3 years  

    (1)  See “Advisories – Oil and Gas Metrics” for a description of the methodology used to calculate reserves life index.

    ABBREVIATIONS

    AECO benchmark price for natural gas determined at the AECO ‘C’ hub in southeast Alberta
    bbl barrel
    bbls barrels
    bbls/d barrels per day
    BD/UM Basal Doig/Upper Montney
    boe barrel of oil equivalent
    boe/d barrel of oil equivalent per day
    condensate pentanes plus (C5+)
    F&D finding and development
    FD&A finding, development and acquisition
    G&A general and administrative
    GAAP generally accepted accounting principles for Canadian public companies, which are currently International Financial Reporting Standards as issued by the International Accounting Standards Board
    GJ/d gigajoules per day
    HH Henry Hub
    IP initial production
    LNG liquefied natural gas
    Mbbls thousand barrels
    Mboe thousand barrels of oil equivalent
    Mcf thousand cubic feet
    Mcf/d thousand cubic feet per day
    MMboe million barrels of oil equivalent
    MMBtu million British thermal units
    MMBtu/d million British thermal units per day
    MMcf million cubic feet
    MMcf/d million cubic feet per day
    NGLs natural gas liquids consisting of ethane (C2), propane (C3) and butane (C4) and, except where otherwise noted, excludes condensate
    NPV net present value
    NYMEX New York Mercantile Exchange
    OPEC Organization of the Petroleum Exporting Countries
    PDP proved developed producing
    Q quarter
    TSX Toronto Stock Exchange
    WTI West Texas Intermediate, the reference price paid in U.S. dollars at Cushing, Oklahoma, for crude oil of standard grade
    000s thousands
    $000s thousands of dollars
       

    NON-GAAP AND OTHER FINANCIAL MEASURES

    This press release uses various “non-GAAP financial measures”, “non-GAAP ratios” and “capital management measures” (as such terms are defined in NI 52-112), which are described in further detail below.

    Non-GAAP Financial Measures

    NI 52-112 defines a non-GAAP financial measure as a financial measure that: (i) depicts the historical or expected future financial performance, financial position or cash flow of an entity; (ii) with respect to its composition, excludes an amount that is included in, or includes an amount that is excluded from, the composition of the most directly comparable financial measure disclosed in the primary financial statements of the entity; (iii) is not disclosed in the financial statements of the entity; and (iv) is not a ratio, fraction, percentage or similar representation. The non-GAAP financial measures used in this press release are not standardized financial measures under GAAP and might not be comparable to similar measures presented by other companies. Investors are cautioned that non-GAAP financial measures should not be construed as alternatives to or more meaningful than the most directly comparable GAAP financial measures as indicators of Birchcliff’s performance. Set forth below is a description of the non-GAAP financial measures used in this press release.

    Adjusted Funds Flow and Free Funds Flow

    Birchcliff defines “adjusted funds flow” as cash flow from operating activities before the effects of decommissioning expenditures, retirement benefit payments and changes in non-cash operating working capital. Birchcliff eliminates settlements of decommissioning expenditures from cash flow from operating activities as the amounts can be discretionary and may vary from period to period depending on its capital programs and the maturity of its operating areas. The settlement of decommissioning expenditures is managed with Birchcliff’s capital budgeting process which considers available adjusted funds flow. Birchcliff eliminates retirement benefit payments from cash flow from operating activities as such payments reflect costs for past service and contributions made by eligible executives under the Corporation’s post-employment benefit plan, which are not indicative of the current period. Changes in non-cash operating working capital are eliminated in the determination of adjusted funds flow as the timing of collection and payment are variable and by excluding them from the calculation, the Corporation believes that it is able to provide a more meaningful measure of its operations and ability to generate cash on a continuing basis. Management believes that adjusted funds flow assists management and investors in assessing Birchcliff’s financial performance after deducting all operating and corporate cash costs, as well as its ability to generate the cash necessary to fund sustaining and/or growth capital expenditures, repay debt, settle decommissioning obligations, buy back common shares and pay dividends.

    Birchcliff defines “free funds flow” as adjusted funds flow less F&D capital expenditures. Management believes that free funds flow assists management and investors in assessing Birchcliff’s ability to generate shareholder value and returns through a number of initiatives, including but not limited to, debt repayment, common share buybacks, the payment of common share dividends, acquisitions and other opportunities that would complement or otherwise improve the Corporation’s business and enhance long-term shareholder value.

    The most directly comparable GAAP financial measure to adjusted funds flow and free funds flow is cash flow from operating activities. The following table provides a reconciliation of cash flow from operating activities to adjusted funds flow and free funds flow for the periods indicated:

      Three months ended
    December 31,
    		    Twelve months ended
    December 31,
    		  
    ($000s) 2024   2023   2024   2023  
    Cash flow from operating activities 45,641   79,006   203,710   320,529  
    Change in non-cash operating working capital 25,278   (6,248 ) 17,269   (19,477 )
    Decommissioning expenditures 919   1,457   1,964   3,775  
    Retirement benefit payments –   2,000   13,851   2,000  
    Adjusted funds flow 71,838   76,215   236,794   306,827  
    F&D capital expenditures (58,310 ) (58,166 ) (273,084 ) (304,637 )
    Free funds flow 13,528   18,049   (36,290 ) 2,190  

    Transportation and Other Expense

    Birchcliff defines “transportation and other expense” as transportation expense plus marketing purchases less marketing revenue. Birchcliff may enter into certain marketing purchase and sales arrangements with the objective of reducing any unused transportation or fractionation fees associated with its take-or-pay commitments and/or increasing the value of its production through value-added downstream initiatives. Management believes that transportation and other expense assists management and investors in assessing Birchcliff’s total cost structure related to transportation and marketing activities.

    The most directly comparable GAAP financial measure to transportation and other expense is transportation expense. The following table provides a reconciliation of transportation expense to transportation and other expense for the periods indicated:

      Three months ended
    December 31,
    		   Twelve months ended
    December 31,
    		  
    ($000s) 2024   2023   2024   2023  
    Transportation expense 36,722   38,509   149,534   152,828  
    Marketing purchases 14,905   8,928   51,496   34,772  
    Marketing revenue (14,083 ) (8,532 ) (54,069 ) (30,521 )
    Transportation and other expense 37,544   38,905   146,961   157,079  

    Operating Netback

    Birchcliff defines “operating netback” as petroleum and natural gas revenue less royalty expense, operating expense and transportation and other expense. Management believes that operating netback assists management and investors in assessing Birchcliff’s operating profits after deducting the cash costs that are directly associated with the sale of its production, which can then be used to pay other corporate cash costs or satisfy other obligations.

    The following table provides a breakdown of Birchcliff’s operating netback for the periods indicated:

      Three months ended
    		   Twelve months ended
    		  
      December 31,
    		   December 31,
    		  
    ($000s) 2024   2023   2024   2023   2022  
    Petroleum and natural gas revenue 153,741   183,295   586,856   740,359   1,340,180  
    Royalty expense (9,033 ) (19,400 ) (39,608 ) (70,257 ) (161,226 )
    Operating expense (20,758 ) (26,808 ) (90,890 ) (105,809 ) (101,581 )
    Transportation and other expense (37,544 ) (38,905 ) (146,961 ) (157,079 ) (154,924 )
    Operating netback 86,406   98,182   309,397   407,214   922,449  

    FD&A and Total Capital Expenditures

    Birchcliff defines “FD&A capital expenditures” as exploration and development expenditures, less dispositions, plus acquisitions (if any). Birchcliff defines “total capital expenditures” as FD&A capital expenditures plus administrative assets. Management believes that FD&A capital expenditures and total capital expenditures assist management and investors in assessing Birchcliff’s overall capital cost structure associated with its petroleum and natural gas activities.

    The most directly comparable GAAP financial measure to FD&A capital expenditures and total capital expenditures is exploration and development expenditures. The following table provides a reconciliation of exploration and development expenditures to FD&A capital expenditures and total capital expenditures for the periods indicated:

      Three months ended
    		   Twelve months ended
    		  
      December 31,
    		   December 31,
    		  
    ($000s) 2024   2023   2024   2023  
    Exploration and development expenditures(1) 58,310   58,166   273,084   304,637  
    Acquisitions 8,076   2   8,169   190  
    Dispositions (100 ) (10 ) (258 ) (87 )
    FD&A capital expenditures 66,286   58,158   280,995   304,740  
    Administrative assets 387   1,383   1,750   3,176  
    Total capital expenditures 66,673   59,541   282,745   307,916  

    (1)  Disclosed as F&D capital expenditures elsewhere in this press release. See “Advisories – F&D Capital Expenditures”.

    Net Asset Value

    Birchcliff defines “net asset value” as property, plant and equipment, plus reserves premium adjustment (less reserves discount adjustment) for its PDP, total proved and total proved plus probable reserves (as the case may be), less total debt and plus the value of unexercised in-the-money stock options and performance warrants outstanding at the end of the period. Management believes that net asset value assists management and investors in assessing the long-term fair value of Birchcliff’s underlying reserves assets after settling its outstanding financial obligations.

    The most directly comparable GAAP financial measure to net asset value is property, plant and equipment. The following table provides a reconciliation of property, plant and equipment to net asset value for the periods indicated:

      Proved Developed Producing Total Proved Total Proved Plus Probable
    As at December 31, ($000s) 2024   2023   2024   2023   2024   2023  
    Property, plant and equipment 3,218,506   3,055,958   3,218,506   3,055,958   3,218,506   3,055,958  
    Reserves premium (discount) adjustment(1) (940,756 ) (435,894 ) 1,140,662   2,349,659   2,345,325   3,779,459  
    Total debt (535,557 ) (382,306 ) (535,557 ) (382,306 ) (535,557 ) (382,306 )
    Unexercised securities 34,961   16,717   34,961   16,717   34,961   16,717  
    Net asset value 1,777,154   2,254,475   3,858,572   5,040,028   5,063,235   6,469,828  

    (1)  Represents the premium or discount, as the case may be, between the net present value of future net revenue (before income taxes, discounted at 10%) of Birchcliff’s PDP, total proved and total proved plus probable reserves, as the case may be, and the property, plant and equipment disclosed on the financial statements.

    Effective Sales – Total Corporate, Total Natural Gas, AECO Market and NYMEX HH Market

    Birchcliff defines “effective sales” in the AECO market and NYMEX HH market as the sales amount received from the production of natural gas that is effectively attributed to the AECO and NYMEX HH market pricing, respectively, and does not consider the physical sales delivery point in each case. Effective sales in the NYMEX HH market includes realized gains and losses on financial instruments and excludes the notional fixed basis costs associated with the underlying financial contract in the period. Birchcliff defines “effective total natural gas sales” as the aggregate of the effective sales amount received in each natural gas market. Birchcliff defines “effective total corporate sales” as the aggregate of the effective total natural gas sales and the sales amount received from the production of light oil, condensate and NGLs. Management believes that disclosing the effective sales for each natural gas market assists management and investors in assessing Birchcliff’s natural gas diversification and commodity price exposure to each market.

    The most directly comparable GAAP financial measure to effective total natural gas sales and effective total corporate sales is natural gas sales. The following table provides a reconciliation of natural gas sales to effective total natural gas sales and effective total corporate sales for the periods indicated:

      Three months ended
    		  
      December 31,
    		  
    ($000s) 2024 2023  
    Natural gas sales 79,615 99,957  
    Realized gain (loss) on financial instruments 12,022 (2,583 )
    Notional fixed basis costs(1) 21,490 20,802  
    Effective total natural gas sales 113,127 118,176  
    Light oil sales 17,450 15,180  
    Condensate sales 37,985 49,135  
    NGLs sales 18,679 18,977  
    Effective total corporate sales 187,241 201,468  

    (1)  Reflects the aggregate notional fixed basis cost associated with Birchcliff’s financial and physical NYMEX HH/AECO 7A basis swap contracts in the period.

    Non-GAAP Ratios

    NI 52-112 defines a non-GAAP ratio as a financial measure that: (i) is in the form of a ratio, fraction, percentage or similar representation; (ii) has a non-GAAP financial measure as one or more of its components; and (iii) is not disclosed in the financial statements of the entity. The non-GAAP ratios used in this press release are not standardized financial measures under GAAP and might not be comparable to similar measures presented by other companies. Set forth below is a description of the non-GAAP ratios used in this press release.

    Adjusted Funds Flow Per Boe and Adjusted Funds Flow Per Basic Common Share

    Birchcliff calculates “adjusted funds flow per boe” as aggregate adjusted funds flow in the period divided by the production (boe) in the period. Management believes that adjusted funds flow per boe assists management and investors in assessing Birchcliff’s financial profitability and sustainability on a cash basis by isolating the impact of production volumes to better analyze its performance against prior periods on a comparable basis.

    Birchcliff calculates “adjusted funds flow per basic common share” as aggregate adjusted funds flow in the period divided by the weighted average basic common shares outstanding at the end of the period. Management believes that adjusted funds flow per basic common share assists management and investors in assessing Birchcliff’s financial strength on a per common share basis.

    Free Funds Flow Per Basic Common Share

    Birchcliff calculates “free funds flow per basic common share” as aggregate free funds flow in the period divided by the weighted average basic common shares outstanding at the end of the period. Management believes that free funds flow per basic common share assists management and investors in assessing Birchcliff’s financial strength and its ability to deliver shareholder returns on a per common share basis.

    Transportation and Other Expense Per Boe

    Birchcliff calculates “transportation and other expense per boe” as aggregate transportation and other expense in the period divided by the production (boe) in the period. Management believes that transportation and other expense per boe assists management and investors in assessing Birchcliff’s cost structure as it relates to its transportation and marketing activities by isolating the impact of production volumes to better analyze its performance against prior periods on a comparable basis.

    Operating Netback Per Boe

    Birchcliff calculates “operating netback per boe” as aggregate operating netback in the period divided by the production (boe) in the period. Operating netback per boe is a key industry performance indicator and one that provides investors with information that is commonly presented by other oil and natural gas producers. Management believes that operating netback per boe assists management and investors in assessing Birchcliff’s operating profitability and sustainability by isolating the impact of production volumes to better analyze its performance against prior periods on a comparable basis.

    Operating Netback Recycle Ratio

    Birchcliff calculates “operating netback recycle ratio” as operating netback per boe in the period divided by F&D or FD&A costs, as the case may be, for its PDP, proved and proved plus probable reserves, as the case may be, in the period. Management believes that operating netback recycle ratio assists management and investors in assessing Birchcliff’s ability to profitably find and develop its PDP, proved and proved plus probable reserves.

    Net Asset Value Per Common Share

    Birchcliff calculates “net asset value per common share” as the net asset value in each category of reserves divided by the aggregate of the basic common shares outstanding and in-the-money dilutive common shares attributable to stock options and performance warrants outstanding at the end of the period. Management believes that net asset value per common share assists management and investors in comparing Birchcliff’s common share trading price to the underlying fair market value of its net assets on a per common share basis.

    Effective Average Realized Sales Price – Total Corporate, Total Natural Gas, AECO Market and NYMEX HH Market

    Birchcliff calculates “effective average realized sales price” as effective sales, in each of total corporate, total natural gas, AECO market and NYMEX HH market, as the case may be, divided by the effective production in each of the markets during the period. Management believes that disclosing the effective average realized sales price for each natural gas market assists management and investors in comparing Birchcliff’s commodity price realizations in each natural gas market on a per unit basis.

    Capital Management Measures

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

    Total Debt

    Birchcliff calculates “total debt” at the end of the period as the amount outstanding under the Corporation’s Credit Facilities plus working capital deficit (less working capital surplus) plus the fair value of the current asset portion of financial instruments less the fair value of the current liability portion of financial instruments and less the current portion of other liabilities discounted to the end of the period. The current portion of other liabilities has been excluded from total debt as these amounts have not been incurred and reflect future commitments in the normal course of operations. Management believes that total debt assists management and investors in assessing Birchcliff’s overall liquidity and financial position at the end of the period. The following table provides a reconciliation of the amount outstanding under the Credit Facilities, as determined in accordance with GAAP, to total debt for the periods indicated:

    As at December 31, ($000s) 2024   2023  
    Revolving term credit facilities 566,857   372,097  
    Working capital deficit (surplus)(1) (88,953 ) 10,522  
    Fair value of financial instruments – asset(2) 71,038   3,588  
    Fair value of financial instruments – liability(2) –   (1,394 )
    Other liabilities(2) (13,385 ) (2,507 )
    Total debt 535,557   382,306  

    (1)  Current liabilities less current assets.

    (2)  Reflects the current portion only.

    PRESENTATION OF OIL AND GAS RESERVES

    Deloitte prepared the Deloitte Report and the 2023 Deloitte Report. In addition, Deloitte prepared a reserves evaluation in respect of Birchcliff’s oil and natural gas properties effective December 31, 2022. Such evaluations were prepared in accordance with the standards contained in NI 51-101 and the COGE Handbook that were in effect at the relevant time. Reserves estimates stated herein are extracted from the relevant evaluation.

    There are numerous uncertainties inherent in estimating quantities of oil, natural gas and NGLs (including condensate) reserves and the future net revenue attributed to such reserves. The reserves and associated future net revenue information set forth in this press release are estimates only. In general, estimates of economically recoverable oil, natural gas and NGLs reserves and the future net revenue therefrom are based upon a number of variable factors and assumptions, such as historical production from the properties, production rates, ultimate reserves recovery, the timing and amount of capital expenditures, marketability of oil, natural gas and NGLs, royalty rates, the assumed effects of regulation by governmental agencies and future operating costs, all of which may vary materially from actual results. For these reasons, estimates of the economically recoverable oil, natural gas and NGLs reserves attributable to any particular group of properties, the classification of such reserves based on risk of recovery and estimates of future net revenue associated with reserves prepared by different engineers, or by the same engineer at different times, may vary. Birchcliff’s actual production, revenue, taxes and development and operating expenditures with respect to its reserves will vary from estimates thereof and such variations could be material.

    It should not be assumed that the undiscounted or discounted net present value of future net revenue attributable to the Corporation’s reserves estimated by the Corporation’s independent qualified reserves evaluator represent the fair market value of those reserves. There is no assurance that the forecast prices and costs assumptions will be attained and variances could be material. Actual oil, natural gas and NGLs reserves may be greater than or less than the estimates provided herein and variances could be material.

    In this press release, unless otherwise stated all references to “reserves” are to Birchcliff’s gross company reserves, meaning Birchcliff’s working interest (operating or non-operating) share before the deduction of royalties and without including any royalty interests of Birchcliff.

    The information set forth in this press release relating to the reserves, future net revenue and future development costs of Birchcliff constitutes forward-looking statements and is subject to certain risks and uncertainties. See “Advisories – Forward-Looking Statements”.

    Certain terms used herein but not defined are defined in NI 51-101, CSA Staff Notice 51-324 – Revised Glossary to NI 51-101 Standards of Disclosure for Oil and Gas Activities (“CSA Staff Notice 51-324”) and/or the COGE Handbook and, unless the context otherwise requires, shall have the same meanings herein as in NI 51-101, CSA Staff Notice 51-324 and the COGE Handbook, as the case may be.

    ADVISORIES

    Unaudited Information

    All financial information contained in this press release for the fourth quarter and year ended December 31, 2024 is based on unaudited estimated financial information which has been disclosed in accordance with GAAP. These estimated results have not been reviewed by the Corporation’s auditor and are subject to change upon completion of the audited financial statements for the year ended December 31, 2024, and changes could be material. Birchcliff anticipates filing its audited financial statements and related management’s discussion and analysis for the year ended December 31, 2024 on SEDAR+ on March 12, 2025.

    Currency

    Unless otherwise indicated, all dollar amounts are expressed in Canadian dollars, all references to “$” and “CDN$” are to Canadian dollars and all references to “US$” are to United States dollars.

    Boe Conversions

    Boe amounts have been calculated by using the conversion ratio of 6 Mcf of natural gas to 1 bbl of oil. Boe amounts may be misleading, particularly if used in isolation. A boe conversion ratio of 6 Mcf: 1 bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. Given that the value ratio based on the current price of crude oil as compared to natural gas is significantly different from the energy equivalency of 6:1, utilizing a conversion on a 6:1 basis may be misleading as an indication of value.

    MMBtu Pricing Conversions

    $1.00 per MMBtu equals $1.00 per Mcf based on a standard heat value Mcf.

    Oil and Gas Metrics

    This press release contains metrics commonly used in the oil and natural gas industry, including F&D costs, FD&A costs, reserves replacement, reserves life index, capital efficiency, operating netback, operating netback recycle ratio, net asset value and net asset value per common share, which have been determined by Birchcliff as set out below. These oil and gas metrics do not have any standardized meanings or standard methods of calculation and therefore may not be comparable to similar measures presented by other companies. As such, they should not be used to make comparisons. Management uses these oil and gas metrics for its own performance measurements and to provide investors with measures to compare Birchcliff’s performance over time; however, such measures are not reliable indicators of Birchcliff’s future performance, which may not compare to Birchcliff’s performance in previous periods, and therefore should not be unduly relied upon.

    • With respect to F&D and FD&A costs:
      • F&D costs for PDP, proved or proved plus probable reserves, as the case may be, are calculated by taking the sum of: (i) exploration and development expenditures (F&D capital expenditures) incurred in the period; and (ii) where appropriate, the change during the period in FDC for the reserves category; divided by the applicable additions to the reserves category after adding back production in the period. F&D costs exclude the effects of acquisitions and dispositions.
      • FD&A costs for PDP, proved or proved plus probable reserves, as the case may be, are calculated by taking the sum of: (i) FD&A capital expenditures incurred in the period; and (ii) where appropriate, the change during the period in FDC for the reserves category; divided by the applicable additions to the reserves category after adding back production in the period.
      • In determining the F&D and FD&A costs for PDP, proved or proved plus probable reserves, as the case may be, the estimated reserves additions during the period and the change during the period in estimated FDC are based upon the evaluations of Birchcliff’s reserves prepared by its independent qualified reserves evaluator effective December 31 of such year.
      • The aggregate of the F&D and FD&A capital expenditures incurred in the most recent financial year and the change during that year in estimated FDC generally will not reflect total F&D and FD&A costs related to reserves additions for that year.
      • F&D and FD&A costs may be used as a measure of the Corporation’s efficiency with respect to finding and developing its reserves.
    • Reserves replacement on an F&D basis is calculated by dividing PDP, proved or proved plus probable reserves additions, as the case may be, before production by the total annual production in the applicable period. Reserves replacement on an FD&A basis is calculated in the same manner as F&D reserves replacement, but include the effects of acquisitions and dispositions. Reserves replacement may be used as a measure of the Corporation’s sustainability and its ability to replace its PDP, proved or proved plus probable reserves, as the case may be.
    • Reserves life index is calculated by dividing PDP, proved or proved plus probable reserves, as the case may be, estimated by Deloitte at December 31, 2024, by 77,500 boe/d (which represents the mid-point of Birchcliff’s annual average production guidance range for 2025) determined on an annualized basis. Reserves life index may be used as a measure of the Corporation’s sustainability.
    • Capital efficiency is calculated on an average well basis as drill, case, complete and equip capital expenditures divided by the IP365 boe/d for the applicable well(s). Birchcliff defines “IP365 boe/d” as the estimated average daily field production in the first 365 days a well is on-stream. Where field production data is not available for a well, Birchcliff uses the forecasted production data for that well. Capital efficiency is determined at the individual well level and then aggregated and averaged for the year. Management believes that capital efficiency assists management and investors in assessing Birchcliff’s asset performance, execution and ability to generate shareholder value.
    • For information regarding operating netback, operating netback recycle ratio, net asset value and net asset value per common share and how such metrics are calculated, see “Non-GAAP and Other Financial Measures”.

    Production

    With respect to the disclosure of Birchcliff’s production contained in this press release: (i) references to “light oil” mean “light crude oil and medium crude oil” as such term is defined in NI 51-101; (ii) references to “liquids” mean “light crude oil and medium crude oil” and “natural gas liquids” (including condensate) as such terms are defined in NI 51-101; and (iii) references to “natural gas” mean “shale gas”, which also includes an immaterial amount of “conventional natural gas”, as such terms are defined in NI 51-101. In addition, NI 51-101 includes condensate within the product type of natural gas liquids. In certain cases, Birchcliff has disclosed condensate separately from other natural gas liquids as the price of condensate as compared to other natural gas liquids is currently significantly higher and Birchcliff believes presenting the two commodities separately provides a more accurate description of its operations and results therefrom.

    With respect to the disclosure of Birchcliff’s production contained in this press release, all production volumes have been disclosed on a “gross” basis as such term is defined in NI 51-101, meaning Birchcliff’s working interest (operating or non-operating) share before the deduction of royalties and without including any royalty interests of Birchcliff.

    F&D Capital Expenditures

    Unless otherwise stated, references in this press release to “F&D capital expenditures” denotes exploration and development expenditures as disclosed in the Corporation’s financial statements in accordance with GAAP, and is primarily comprised of capital for land, seismic, workovers, drilling and completions, well equipment and facilities and capitalized G&A costs and excludes any acquisitions, dispositions, administrative assets and the capitalized portion of cash incentive payments that have not been approved by the Board. Management believes that F&D capital expenditures assists management and investors in assessing Birchcliff’s capital cost outlay associated with its exploration and development activities for the purposes of finding and developing its reserves.

    Forward-Looking Statements

    Certain statements contained in this press release constitute forward‐looking statements and forward-looking information (collectively referred to as “forward‐looking statements”) within the meaning of applicable Canadian securities laws. The forward-looking statements contained in this press release relate to future events or Birchcliff’s future plans, strategy, operations, performance or financial position and are based on Birchcliff’s current expectations, estimates, projections, beliefs and assumptions. Such forward-looking statements have been made by Birchcliff in light of the information available to it at the time the statements were made and reflect its experience and perception of historical trends. All statements and information other than historical fact may be forward‐looking statements. Such forward‐looking statements are often, but not always, identified by the use of words such as “seek”, “plan”, “focus”, “future”, “outlook”, “position”, “expect”, “project”, “intend”, “believe”, “anticipate”, “estimate”, “forecast”, “guidance”, “potential”, “proposed”, “predict”, “budget”, “continue”, “targeting”, “may”, “will”, “could”, “might”, “should”, “would”, “on track”, “maintain”, “deliver” and other similar words and expressions.

    By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward‐looking statements. Accordingly, readers are cautioned not to place undue reliance on such forward-looking statements. Although Birchcliff believes that the expectations reflected in the forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct and Birchcliff makes no representation that actual results achieved will be the same in whole or in part as those set out in the forward-looking statements.

    In particular, this press release contains forward‐looking statements relating to:

    • Birchcliff’s plans and other aspects of its anticipated future financial performance, results, operations, focus, objectives, strategies, opportunities, priorities and goals, including: Birchcliff’s belief that there is significant intrinsic shareholder value embedded in Birchcliff’s asset base that is not reflected in its current share price, as demonstrated by its PDP reserves net asset value per common share of $6.35 and $13.79 and $18.09 per share for its proved and proved plus probable reserves, respectively; that Birchcliff’s Elmworth asset provides Birchcliff with significant inventory and a large potential future development area; that Birchcliff’s strategy for 2025 builds off of the operational momentum from 2024, maintaining the Corporation’s focus on capital efficiency improvements and further driving down costs; that the Corporation’s 2025 capital program has been designed to ensure that its capital is strategically deployed throughout the year, providing it with the flexibility to adjust its capital spending if necessary in response to the commodity price volatility expected during 2025, including as a result of the potential for U.S. and Canadian tariffs and the start-up of LNG Canada; that the unutilized credit capacity under its Credit Facilities provides Birchcliff with significant financial flexibility and available capital resources; that Birchcliff believes its ongoing strategy of maintaining significant natural gas market diversification for 2025 will continue to protect the Corporation from volatility in the North American natural gas pricing environment, including as it relates to potential tariffs; and estimates of Birchcliff’s 2025 market diversification (including that approximately 41% of Birchcliff’s natural gas production is physically delivered to the Dawn trading hub in Ontario and that Birchcliff has U.S. denominated financial contracts that expose approximately 35% of its natural gas production to NYMEX HH pricing on a financial basis);
    • the information set forth under the heading “Update on 2025 Capital Program” and elsewhere in this press release regarding Birchcliff’s 2025 capital program and its exploration, production and development activities and the timing thereof, including: estimates of the Corporation’s 2025 F&D capital expenditures; that the wells in Birchcliff’s 2025 capital program are expected to yield strong production, using the Corporation’s latest field development practices and wellbore design, which incorporates longer lateral lengths, reduced stage spacing and increased proppant loading where appropriate; that the land retention well drilled and completed by the Corporation in Elmworth is not currently planned to be tied in; the targeted product types; and the expected timing for wells to be drilled, completed and brought on production;
    • statements regarding U.S. and Canadian tariffs, including that the Corporation believes that Canada’s over-reliance on exporting its energy into the U.S. must be addressed through the reduction of red tape and government interference in the construction of critical infrastructure such as oil and gas pipelines to the east and west coasts of Canada, LNG terminals on each coast and an increase in refining capacity within Canada, in order to diversify Canada’s energy export market; and that the Corporation continues to actively monitor this situation;
    • the information set forth under the heading “2024 Year-End Reserves” and elsewhere in this press release regarding the Corporation’s reserves, including: estimates of reserves; estimates of the net present values of future net revenue associated with Birchcliff’s reserves; forecasts of prices, inflation and exchange rates; FDC; reserves life index; and that the Corporation does not expect that the technical revisions relating to the 56 high-density wells drilled from 2019 to 2023 will negatively impact future reserves booked for other existing or future wells;
    • the performance and other characteristics of Birchcliff’s oil and natural gas properties and expected results from its assets, including statements regarding the potential or prospectivity of Birchcliff’s properties; and
    • that Birchcliff anticipates filing its annual information form and audited financial statements and related management’s discussion and analysis for the year ended December 31, 2024 on March 12, 2025.

    Information relating to reserves is forward-looking as it involves the implied assessment, based on certain estimates and assumptions, that the reserves exist in the quantities predicted or estimated and that the reserves can profitably be produced in the future. See “Presentation of Oil and Gas Reserves”.

    With respect to the forward-looking statements contained in this press release, assumptions have been made regarding, among other things: prevailing and future commodity prices and differentials, exchange rates, interest rates, inflation rates, royalty rates and tax rates; the state of the economy, financial markets and the exploration, development and production business; the political environment in which Birchcliff operates; the regulatory framework regarding royalties, taxes, environmental, climate change and other laws; the Corporation’s ability to comply with existing and future laws; future cash flow, debt and dividend levels; future operating, transportation, G&A and other expenses; Birchcliff’s ability to access capital and obtain financing on acceptable terms; the timing and amount of capital expenditures and the sources of funding for capital expenditures and other activities; the sufficiency of budgeted capital expenditures to carry out planned operations; the successful and timely implementation of capital projects and the timing, location and extent of future drilling and other operations; results of operations; Birchcliff’s ability to continue to develop its assets and obtain the anticipated benefits therefrom; the performance of existing and future wells; reserves volumes and Birchcliff’s ability to replace and expand reserves through acquisition, development or exploration; the impact of competition on Birchcliff; the availability of, demand for and cost of labour, services and materials; the approval of the Board of future dividends; the ability to obtain any necessary regulatory or other approvals in a timely manner; the satisfaction by third parties of their obligations to Birchcliff; the ability of Birchcliff to secure adequate processing and transportation for its products; Birchcliff’s ability to successfully market natural gas and liquids; the results of the Corporation’s risk management and market diversification activities; and Birchcliff’s natural gas market exposure. In addition to the foregoing assumptions, Birchcliff has made the following assumptions with respect to certain forward-looking statements contained in this press release:

    • Birchcliff’s forecast of F&D capital expenditures assumes that the Corporation’s 2025 capital program will be carried out as currently contemplated and excludes any potential acquisitions, dispositions and the capitalized portion of cash incentive payments that have not been approved by the Board. The amount and allocation of capital expenditures for exploration and development activities by area and the number and types of wells to be drilled and brought on production is dependent upon results achieved and is subject to review and modification by management on an ongoing basis throughout the year. Actual spending may vary due to a variety of factors, including commodity prices, economic conditions, results of operations and costs of labour, services and materials.
    • With respect to estimates of reserves volumes and the net present values of future net revenue associated with Birchcliff’s reserves, the key assumption is the validity of the data used by Deloitte in the Deloitte Report.
    • With respect to statements regarding future wells to be drilled or brought on production, such statements assume: the continuing validity of the geological and other technical interpretations performed by Birchcliff’s technical staff, which indicate that commercially economic volumes can be recovered from Birchcliff’s lands as a result of drilling future wells; and that commodity prices and general economic conditions will warrant proceeding with the drilling of such wells.

    Birchcliff’s actual results, performance or achievements could differ materially from those anticipated in the forward-looking statements as a result of both known and unknown risks and uncertainties including, but not limited to: general economic, market and business conditions which will, among other things, impact the demand for and market prices of Birchcliff’s products and Birchcliff’s access to capital; volatility of crude oil and natural gas prices; risks associated with increasing costs, whether due to high inflation rates, supply chain disruptions or other factors; fluctuations in exchange and interest rates; an inability of Birchcliff to generate sufficient cash flow from operations to meet its current and future obligations; an inability to access sufficient capital from internal and external sources on terms acceptable to the Corporation; risks associated with Birchcliff’s Credit Facilities, including a failure to comply with covenants under the agreement governing the Credit Facilities and the risk that the borrowing base limit may be redetermined; fluctuations in the costs of borrowing; operational risks and liabilities inherent in oil and natural gas operations; the risk that weather events such as wildfires, flooding, droughts or extreme hot or cold temperatures forces the Corporation to shut-in production or otherwise adversely affects the Corporation’s operations; the occurrence of unexpected events such as fires, explosions, blow-outs, equipment failures, transportation incidents and other similar events; an inability to access sufficient water or other fluids needed for operations; the risks associated with supply chain disruptions; uncertainty that development activities in connection with Birchcliff’s assets will be economic; an inability to access or implement some or all of the technology necessary to operate its assets and achieve expected future results; geological, technical, drilling, construction and processing problems; uncertainty of geological and technical data; horizontal drilling and completions techniques and the failure of drilling results to meet expectations for reserves or production; uncertainties related to Birchcliff’s future potential drilling locations; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of estimates and projections relating to production, revenue, costs and reserves; the accuracy of cost estimates and variances in Birchcliff’s actual costs and economic returns from those anticipated; incorrect assessments of the value of acquisitions and exploration and development programs; the risks posed by pandemics, epidemics and global conflict and their impacts on supply and demand and commodity prices; actions taken by OPEC and other major producers of crude oil and the impact such actions may have on supply and demand and commodity prices; stock market volatility; loss of market demand; changes to the regulatory framework in the locations where the Corporation operates, including changes to tax laws, Crown royalty rates, environmental laws, climate change laws, carbon tax regimes, incentive programs and other regulations that affect the oil and natural gas industry (including uncertainty with respect to the interpretation of Bill C-59 and the related amendments to the Competition Act (Canada)); political uncertainty and uncertainty associated with government policy changes, including the risk of U.S. tariffs on goods exported from Canada and any retaliatory tariffs implemented; actions by government authorities; an inability of the Corporation to comply with existing and future laws and the cost of compliance with such laws; dependence on facilities, gathering lines and pipelines; uncertainties and risks associated with pipeline restrictions and outages to third-party infrastructure that could cause disruptions to production; the lack of available pipeline capacity and an inability to secure adequate and cost-effective processing and transportation for Birchcliff’s products; an inability to satisfy obligations under Birchcliff’s firm marketing and transportation arrangements; shortages in equipment and skilled personnel; the absence or loss of key employees; competition for, among other things, capital, acquisitions of reserves, undeveloped lands, equipment and skilled personnel; management of Birchcliff’s growth; environmental and climate change risks, claims and liabilities; potential litigation; default under or breach of agreements by counterparties and potential enforceability issues in contracts; claims by Indigenous peoples; the reassessment by taxing or regulatory authorities of the Corporation’s prior transactions and filings; unforeseen title defects; third-party claims regarding the Corporation’s right to use technology and equipment; uncertainties associated with the outcome of litigation or other proceedings involving Birchcliff; uncertainties associated with counterparty credit risk; risks associated with Birchcliff’s risk management and market diversification activities; risks associated with the declaration and payment of future dividends, including the discretion of the Board to declare dividends and change the Corporation’s dividend policy and the risk that the amount of dividends may be less than currently forecast; the failure to obtain any required approvals in a timely manner or at all; the failure to complete or realize the anticipated benefits of acquisitions and dispositions and the risk of unforeseen difficulties in integrating acquired assets into Birchcliff’s operations; negative public perception of the oil and natural gas industry and fossil fuels; the Corporation’s reliance on hydraulic fracturing; market competition, including from alternative energy sources; changing demand for petroleum products; the availability of insurance and the risk that certain losses may not be insured; breaches or failure of information systems and security (including risks associated with cyber-attacks); risks associated with the ownership of the Corporation’s securities; the accuracy of the Corporation’s accounting estimates and judgments; and the risk that any of the Corporation’s material assumptions prove to be materially inaccurate.

    Readers are cautioned that the foregoing lists of factors are not exhaustive. Additional information on these and other risk factors that could affect Birchcliff’s results of operations, financial performance or financial results are included in Birchcliff’s annual information form and annual management’s discussion and analysis for the financial year ended December 31, 2023 under the heading “Risk Factors” and in other reports filed with Canadian securities regulatory authorities.

    This press release contains information that may constitute future-oriented financial information or financial outlook information (collectively, “FOFI”) about Birchcliff’s prospective financial performance, financial position or cash flows, all of which is subject to the same assumptions, risk factors, limitations and qualifications as set forth above. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise or inaccurate and, as such, undue reliance should not be placed on FOFI. Birchcliff’s actual results, performance and achievements could differ materially from those expressed in, or implied by, FOFI. Birchcliff has included FOFI in order to provide readers with a more complete perspective on Birchcliff’s future operations and management’s current expectations relating to Birchcliff’s future performance. Readers are cautioned that such information may not be appropriate for other purposes.

    Management has included the above summary of assumptions and risks related to forward-looking statements provided in this press release in order to provide readers with a more complete perspective on Birchcliff’s future operations and management’s current expectations relating to Birchcliff’s future performance. Readers are cautioned that this information may not be appropriate for other purposes.

    The forward-looking statements and FOFI contained in this press release are expressly qualified by the foregoing cautionary statements. The forward-looking statements and FOFI contained herein are made as of the date of this press release. Unless required by applicable laws, Birchcliff does not undertake any obligation to publicly update or revise any forward-looking statements or FOFI, whether as a result of new information, future events or otherwise.

    ABOUT BIRCHCLIFF:

    Birchcliff is an intermediate oil and natural gas company based in Calgary, Alberta with operations focused on the Montney/Doig Resource Play in Alberta. Birchcliff’s common shares are listed for trading on the TSX under the symbol “BIR”.

    For further information, please contact:
    Birchcliff Energy Ltd.
    Suite 1000, 600 – 3rd Avenue S.W.
    Calgary, Alberta T2P 0G5
    Telephone: (403) 261-6401
    Email: birinfo@birchcliffenergy.com
    www.birchcliffenergy.com    		   Chris Carlsen – President and Chief Executive Officer

    Bruno Geremia – Executive Vice President and Chief Financial Officer

    The MIL Network –

  • MIL-OSI: Robinhood Reports Fourth Quarter and Full Year 2024 Results

    Source: GlobeNewswire (MIL-OSI)

    Q4 Revenues up 115% year-over-year to a record $1.01 billion.
    Q4 Net Deposits grow to a record $16 billion.
    Q4 Gold Subscribers up 86% year-over-year to a record 2.6 million.
    Q4 Net Income up over 10X year-over-year to a record $916 million, or Diluted EPS of a record $1.01.
    Q4 Adjusted EBITDA up over 300% year-over-year to a record $613 million.

    MENLO PARK, Calif., Feb. 12, 2025 (GLOBE NEWSWIRE) — Robinhood Markets, Inc. (“Robinhood”) (NASDAQ: HOOD) today announced financial results for the fourth quarter and full year of 2024, which ended December 31, 2024.

    “We hit the gas on product development in 2024 with a new platform for active traders, Gold Card launch, an expanded UK and EU product suite, and much more,” said Vlad Tenev, CEO and Co-Founder of Robinhood. “We see a huge opportunity ahead of us as we work toward enabling anyone, anywhere, to buy, sell, or hold any financial asset and conduct any financial transaction through Robinhood.”

    “Q4 was a record-breaking quarter that caps off a record-setting year in 2024,” said Jason Warnick, Chief Financial Officer of Robinhood. “For both the quarter and full year, we reached new highs for Assets Under Custody, Net Deposits, Gold Subscribers, Revenues, Net Income, Adjusted EBITDA, and EPS. We’re entering 2025 with strong momentum as we remain focused on delivering another year of profitable growth.”

    Fourth Quarter Results:

    • Total net revenues increased 115% year-over-year to $1.01 billion.
      • Transaction-based revenues increased over 200% year-over-year to $672 million, primarily driven by cryptocurrencies revenue of $358 million, up over 700%, options revenue of $222 million, up 83%, and equities revenue of $61 million, up 144%.
      • Net interest revenues increased 25% year-over-year to $296 million, primarily driven by growth in interest-earning assets, partially offset by a lower federal funds rate.
      • Other revenues increased 31% year-over-year to $46 million, primarily due to increased Gold subscription revenues.
    • Net income increased over 10X year-over-year to $916 million, or diluted earnings per share (EPS) of $1.01, compared to $30 million, or diluted EPS of $0.03, in Q4 2023. Q4 2024 net income included:
      • a $369 million deferred tax benefit ($0.41 of diluted EPS), primarily from the release of the Company’s valuation allowance on most of its net deferred tax assets.
      • a $55 million benefit ($0.06 of diluted EPS) due to a reversal of an accrual as part of a regulatory settlement.
    • Total operating expenses increased 3% year-over-year to $458 million, including a $55 million benefit due to a reversal of an accrual as part of a regulatory settlement.
      • Adjusted Operating Expenses and Share-Based Compensation (SBC) (non-GAAP) increased 14% year-over-year to $508 million, which includes Adjusted Operating Expenses (non-GAAP) of $431 million and SBC of $77 million.
    • Adjusted EBITDA (non-GAAP) increased over 300% year-over-year to $613 million.
    • Funded Customers increased 8% year-over-year to 25.2 million.
      • Investment Accounts increased by 10% year-over-year to 26.2 million.
    • Assets Under Custody (AUC) increased 88% year-over-year to $193 billion, driven by continued Net Deposits and higher equity and cryptocurrency valuations.
    • Net Deposits were $16.1 billion, an annualized growth rate of 42% relative to AUC at the end of Q3 2024. Over the past twelve months, Net Deposits were $50.5 billion, a growth rate of 49% relative to AUC at the end of Q4 2023.
    • Average Revenue Per User (ARPU) increased by 102% year-over-year to $164.
    • Gold Subscribers increased by 1.2 million, or 86%, year-over-year to 2.6 million.
    • Cash and cash equivalents totaled $4.3 billion compared with $4.8 billion at the end of Q4 2023.
    • Share repurchases were $160 million, representing 5.3 million shares of our Class A common stock at an average price per share of $29.79.

    Full Year Results:

    • Total net revenues increased 58% year-over-year to $2.95 billion.
    • Net income increased $1.95 billion year-over-year to $1.41 billion, or diluted EPS of $1.56, compared to a net loss of $0.54 billion, or diluted EPS of -$0.61, in 2023.
      • 2024 included a deferred tax benefit of $369 million, primarily from the release of the Company’s valuation allowance on most of its net deferred tax assets.
      • 2023 included an expense of $485 million from the 2021 Founders Award Cancellation.
    • Total operating expenses decreased 21% year-over-year to $1.90 billion.
      • Adjusted Operating Expenses and SBC decreased 16% year-over-year to $1.94 billion, which includes Adjusted Operating Expenses of $1.63 billion and SBC of $304 million.
      • Adjusted Operating Expenses and SBC excluding the 2021 Founders Award Cancellation (non-GAAP) increased 7% year-over-year.
    • Adjusted EBITDA increased 167% year-over-year to $1.43 billion, compared to $536 million in 2023.
    • Share repurchases were $257 million, representing 10.4 million shares of our Class A common stock at an average price per share of $24.78 as we make progress on our $1 billion share repurchase program.

    Highlights

    Strong product momentum drove record growth in 2024 as Robinhood delivers on roadmap

    • Expanding Access to Crypto Across the U.S. and EU – Crypto notional volumes increased over 400 percent year-over-year, reaching $71 billion in Q4 2024. Since the start of Q4, Robinhood has also added seven crypto assets in the U.S. and launched Ethereum (ETH) staking in the EU. In June 2024, Robinhood entered into an agreement to acquire Bitstamp, the world’s longest running cryptocurrency exchange serving institutional and retail customers internationally. The acquisition is subject to customary closing conditions, including regulatory approvals, and is expected to close in the first half of 2025.
    • Establishing Ourselves as the #1 Platform for Active Traders – Last month, Robinhood made index options available to all customers and started to roll out futures trading directly in-app, allowing customers to trade stock indexes, energy, currency, metals and crypto. Additionally, since launching in October 2024, Robinhood Legend – the desktop trading platform built for active traders – has added nearly 30 additional indicators and rolled out crypto trading.
    • Robinhood Expands Global Ambitions – Robinhood announced plans to expand into the Asia-Pacific region in 2025, with Singapore serving as its local headquarters. Earlier this week, Robinhood also started to offer options trading to its UK customers.
    • Robinhood Gold Membership Continues to Climb – Robinhood Gold subscribers hit 2.6 million, with an adoption rate of over 10 percent in Q4. In addition, the Robinhood Gold Credit Card reached over 100 thousand cardholders and we have plans to continue expanding the cardholder base in 2025.
    • Stepping Into the Investment Advisory Space – In November 2024, Robinhood entered into an agreement to acquire TradePMR, a custodial and portfolio management platform for Registered Investment Advisors with over 25 years in the industry and over $40 billion in assets under administration at the time of signing. The acquisition is subject to customary closing conditions, including regulatory approvals, and is expected to close in the first half of 2025.

    Additional Q4 2024 Operating Data

    • Retirement AUC increased over 600% year-over-year to $13.1 billion.
    • Cash Sweep increased 59% year-over-year to $26.1 billion.
    • Margin Book increased 126% year-over-year to $7.9 billion.
    • Equity Notional Trading Volumes increased 154% year-over-year to $423 billion.
    • Options Contracts Traded increased 61% year-over-year to 477 million.
    • Crypto Notional Trading Volumes increased over 400% year-over-year to $71.0 billion.

    Conference Call and Livestream Information

    Robinhood will host a video call to discuss its results at 2 p.m. PT / 5 p.m. ET today, February 12, 2025. The video call can be accessed at investors.robinhood.com, along with the earnings press release and accompanying slide presentation. The event will also be live streamed to YouTube and X.com via Robinhood’s official channels, @RobinhoodApp.

    Following the call, a replay and transcript will also be available at investors.robinhood.com.

    Financial Outlook

    The paragraph below provides information on our 2025 expense plan and outlook. We are not providing a 2025 outlook for total operating expenses and have not reconciled our 2025 outlook for Adjusted Operating Expenses and SBC to the most directly comparable GAAP financial measure, total operating expenses, because we are unable to predict with reasonable certainty the impact of certain items without unreasonable effort. These items include, but are not limited to, provisions for credit losses and significant regulatory expenses which may be material and could have a significant impact on total operating expenses for 2025.

    Our 2025 expense plan includes growth investments in new products, features, and international expansion while also getting more efficient in our existing businesses. Our outlook for combined Adjusted Operating Expenses and SBC for full-year 2025 is $2.0 billion to $2.1 billion. This expense outlook does not include provisions for credit losses, costs related to TradePMR or Bitstamp, potential significant regulatory matters, or other significant expenses (such as impairments, restructuring charges, and other business acquisition- or disposition-related expenses) that may arise or accruals we may determine in the future are required, as we are unable to accurately predict the size or timing of such matters, expenses or accruals at this time.

    Actual results might differ materially from our outlook due to several factors, including the rate of growth in Funded Customers and our effectiveness to cross-sell products which affects variable marketing costs, the degree to which we are successful in managing credit losses and preventing fraud, and our ability to manage web-hosting expenses efficiently, among other factors. See “Non-GAAP Financial Measures” for more information on Adjusted Operating Expenses and SBC, including significant items that we believe are not indicative of our ongoing expenses that would be adjusted out of total operating expenses (GAAP) to get to Adjusted Operating Expenses and SBC (non-GAAP) should they occur.

    About Robinhood

    Robinhood Markets, Inc. (NASDAQ: HOOD) transformed financial services by introducing commission-free stock trading and democratizing access to the markets for millions of investors. Today, Robinhood lets you trade stocks, options, futures (which includes options on futures, swaps, and event contracts), and crypto, invest for retirement, and earn with Robinhood Gold. Headquartered in Menlo Park, California, Robinhood puts customers in the driver’s seat, delivering unprecedented value and products intentionally designed for a new generation of investors. Additional information about Robinhood can be found at www.robinhood.com.

    Robinhood uses the “Overview” tab of its Investor Relations website (accessible at investors.robinhood.com/overview) and its Newsroom (accessible at newsroom.aboutrobinhood.com), as means of disclosing information to the public in a broad, non-exclusionary manner for purposes of the U.S. Securities and Exchange Commission’s (“SEC”) Regulation Fair Disclosure (Reg. FD). Investors should routinely monitor those web pages, in addition to Robinhood’s press releases, SEC filings, and public conference calls and webcasts, as information posted on them could be deemed to be material information.

    “Robinhood” and the Robinhood feather logo are registered trademarks of Robinhood Markets, Inc. All other names are trademarks and/or registered trademarks of their respective owners.

    Contacts

    Investors:
    ir@robinhood.com

    Press:
    press@robinhood.com

     
    ROBINHOOD MARKETS, INC.
    CONDENSED CONSOLIDATED BALANCE SHEETS
    (Unaudited)
     
      December 31,
    (in millions, except share and per share data)   2023       2024  
    Assets      
    Current assets:      
    Cash and cash equivalents $ 4,835     $ 4,332  
    Cash, cash equivalents, and securities segregated under federal and other regulations   4,448       4,724  
    Receivables from brokers, dealers, and clearing organizations   89       471  
    Receivables from users, net   3,495       8,239  
    Securities borrowed   1,602       3,236  
    Deposits with clearing organizations   338       489  
    User-held fractional shares   1,592       2,530  
    Held-to-maturity investments   413       398  
    Prepaid expenses   63       75  
    Deferred customer match incentives   11       100  
    Other current assets   196       509  
    Total current assets   17,082       25,103  
    Property, software, and equipment, net   120       139  
    Goodwill   175       179  
    Intangible assets, net   48       38  
    Non-current held-to-maturity investments   73       —  
    Non-current deferred customer match incentives   19       195  
    Other non-current assets, including non-current prepaid expenses of $4 as of December 31, 2023 and $17 as of December 31, 2024   107       533  
    Total assets $ 17,624     $ 26,187  
    Liabilities and stockholders’ equity      
    Current liabilities:      
    Accounts payable and accrued expenses $ 384     $ 397  
    Payables to users   5,097       7,448  
    Securities loaned   3,547       7,463  
    Fractional shares repurchase obligation   1,592       2,530  
    Other current liabilities   217       266  
    Total current liabilities   10,837       18,104  
    Other non-current liabilities   91       111  
    Total liabilities   10,928       18,215  
    Commitments and contingencies      
    Stockholders’ equity:      
    Preferred stock, $0.0001 par value. 210,000,000 shares authorized, no shares issued and outstanding as of December 31, 2023 and December 31, 2024.   —       —  
    Class A common stock, $0.0001 par value. 21,000,000,000 shares authorized, 745,401,862 shares issued and outstanding as of December 31, 2023; 21,000,000,000 shares authorized, 764,903,997 shares issued and outstanding as of December 31, 2024.   —       —  
    Class B common stock, $0.0001 par value. 700,000,000 shares authorized, 126,760,802 shares issued and outstanding as of December 31, 2023; 700,000,000 shares authorized, 119,588,986 shares issued and outstanding as of December 31, 2024.   —       —  
    Class C common stock, $0.0001 par value. 7,000,000,000 shares authorized, no shares issued and outstanding as of December 31, 2023 and December 31, 2024.   —       —  
    Additional paid-in capital   12,145       12,008  
    Accumulated other comprehensive loss   (3 )     (1 )
    Accumulated deficit   (5,446 )     (4,035 )
    Total stockholders’ equity   6,696       7,972  
    Total liabilities and stockholders’ equity $ 17,624     $ 26,187  
     
    ROBINHOOD MARKETS, INC.
    CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
    (Unaudited)
     
     (in millions, except share, per share, and percentage data) Three Months Ended
    December 31,    		   YOY% Change   Three Months Ended
    September 30,    		   QOQ% Change
      2023       2024         2024  
    Revenues:                  
    Transaction-based revenues $ 200     $ 672     236 %   $ 319   111 %
    Net interest revenues   236       296     25 %     274   8 %
    Other revenues   35       46     31 %     44   5 %
    Total net revenues   471       1,014     115 %     637   59 %
                       
    Operating expenses(1)(2):                  
    Brokerage and transaction   32       50     56 %     39   28 %
    Technology and development   197       208     6 %     205   1 %
    Operations   26       29     12 %     27   7 %
    Provision for credit losses   14       19     36 %     23   (17)%
    Marketing   43       82     91 %     59   39 %
    General and administrative   133       70     (47)%     133   (47)%
    Total operating expenses   445       458     3 %     486   (6)%
                       
    Other income, net   3       2     (33)%     2   — %
    Income before income taxes   29       558     NM     153   265 %
    Provision for (benefit from) income taxes   (1 )     (358 )   NM     3   NM
    Net income $ 30     $ 916     NM   $ 150   511 %
    Net income attributable to common stockholders:                  
    Basic $ 30     $ 916         $ 150    
    Diluted $ 30     $ 916         $ 150    
    Net income per share attributable to common stockholders:                  
    Basic $ 0.03     $ 1.04         $ 0.17    
    Diluted $ 0.03     $ 1.01         $ 0.17    
    Weighted-average shares used to compute net income per share attributable to common stockholders:                  
    Basic   867,298,537       883,884,676           884,108,545    
    Diluted   883,227,967       907,767,796           905,544,750    
     
        Year Ended
    December 31,    		   YOY% Change
    (in millions, except share, per share, and percentage data)     2023       2024    
    Revenues:            
    Transaction-based revenues   $ 785     $ 1,647     110 %
    Net interest revenues     929       1,109     19 %
    Other revenues     151       195     29 %
    Total net revenues     1,865       2,951     58 %
                 
    Operating expenses(1)(2):            
    Brokerage and transaction     146       164     12 %
    Technology and development     805       818     2 %
    Operations     116       112     (3)%
    Provision for credit losses     43       76     77 %
    Marketing     122       272     123 %
    General and administrative     1,169       455     (61)%
    Total operating expenses     2,401       1,897     (21)%
                 
    Other income, net     3       10     233 %
    Income (loss) before income taxes     (533 )     1,064     NM
    Provision for (benefit from) income taxes     8       (347 )   NM
    Net income (loss)     (541 )     1,411     NM
    Net income (loss) attributable to common stockholders:            
    Basic   $ (541 )   $ 1,411      
    Diluted   $ (541 )   $ 1,411      
    Net income (loss) per share attributable to common stockholders:            
    Basic   $ (0.61 )   $ 1.60      
    Diluted   $ (0.61 )   $ 1.56      
    Weighted-average shares used to compute net income (loss) per share attributable to common stockholders:            
    Basic     890,857,659       881,113,156      
    Diluted     890,857,659       906,171,504      

    ________________
    (1) The following table presents operating expenses as a percent of total net revenues:

     
    Three Months Ended
    December 31,    		   Three Months Ended
    September 30,    		   Year Ended
    December 31,
      2023     2024     2024     2023     2024  
    Brokerage and transaction 7 %   5 %   6 %   8 %   5 %
    Technology and development 42 %   20 %   32 %   43 %   28 %
    Operations 6 %   3 %   4 %   6 %   4 %
    Provision for credit losses 2 %   2 %   4 %   3 %   3 %
    Marketing 9 %   8 %   9 %   7 %   9 %
    General and administrative 28 %   7 %   21 %   63 %   15 %
    Total operating expenses 94 %   45 %   76 %   130 %   64 %


    (2)     The following table presents the SBC on our unaudited condensed consolidated statements of operations for the periods indicated:

     
    Three Months Ended
    December 31,    		   Three Months Ended
    September 30,    		   Year Ended
    December 31,
    (in millions)   2023     2024     2024     2023     2024
    Brokerage and transaction $ 1   $ 2   $ 2   $ 7     9
    Technology and development   50     48     48     211     192
    Operations   2     2     1     8     7
    Marketing   2     2     3     5     8
    General and administrative   26     23     25     640     88
    Total SBC $ 81   $ 77 $ — $ 79   $ 871   $ 304
     
    ROBINHOOD MARKETS, INC.
    CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
    (Unaudited)
     
      Three Months Ended
    December 31,    		   Year Ended
    December 31,
    (in millions)   2023       2024       2023       2024  
    Operating activities:              
    Net income (loss) $ 30     $ 916     $ (541 )   $ 1,411  
    Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:              
    Depreciation and amortization   17       22       71       77  
    Impairment of long-lived assets   4       —       5       2  
    Provision for credit losses   14       19       43       76  
    Deferred income taxes   —       (369 )     —       (369 )
    Share-based compensation   81       77       871       304  
    Other   1       —       3       (2 )
    Changes in operating assets and liabilities:              
    Securities segregated under federal and other regulations   —       (397 )     —       (397 )
    Receivables from brokers, dealers, and clearing organizations   (26 )     (332 )     (13 )     (382 )
    Receivables from users, net   204       (2,621 )     (298 )     (4,592 )
    Securities borrowed   (398 )     468       (1,085 )     (1,634 )
    Deposits with clearing organizations   (63 )     (25 )     (152 )     (151 )
    Current and non-current prepaid expenses   11       16       37       (25 )
    Current and non-current deferred customer match incentives   (20 )     (63 )     (30 )     (265 )
    Other current and non-current assets   (19 )     (404 )     (18 )     (415 )
    Accounts payable and accrued expenses   (11 )     (63 )     134       (35 )
    Payables to users   772       1,184       396       2,351  
    Securities loaned   302       157       1,713       3,916  
    Other current and non-current liabilities   61       15       45       (27 )
    Net cash provided by (used in) operating activities   960       (1,400 )     1,181       (157 )
    Investing activities:              
    Purchases of property, software, and equipment   (1 )     (4 )     (2 )     (13 )
    Capitalization of internally developed software   (5 )     (11 )     (19 )     (37 )
    Business acquisition, net of cash and cash equivalents acquired   (3 )     —       (93 )     (6 )
    Asset acquisition, net of cash acquired   —       —       —       (3 )
    Purchases of held-to-maturity investments   (108 )     (87 )     (759 )     (556 )
    Proceeds from maturities of held-to-maturity investments   115       219       282       658  
    Purchases of credit card receivables by Credit Card Funding Trust   —       (509 )     —       (748 )
    Collections of purchased credit card receivables   —       426       —       556  
    Proceeds from sales and maturities of available-for-sale investments   —       —       10       —  
    Other   (1 )     —       (1 )     1  
    Net cash provided by (used in) investing activities   (3 )     34       (582 )     (148 )
    Financing activities:              
    Proceeds from exercise of stock options, net of repurchases   3       8       5       18  
    Proceeds from issuance of common stock under the Employee Share Purchase Plan   5       6       14       16  
    Taxes paid related to net share settlement of equity awards   (3 )     (89 )     (12 )     (244 )
    Repurchase of Class A common stock   —       (160 )     (608 )     (257 )
    Draws on credit facilities   —       10       20       22  
    Repayments on credit facilities   —       (10 )     (20 )     (22 )
    Borrowings by the Credit Card Funding Trust   —       37       —       132  
    Repayments on borrowings by the Credit Card Funding Trust   —       —       —       (1 )
    Change in principal collected from customers due to Coastal Bank   4       21       1       6  
    Payments of debt issuance costs   —       (1 )     (10 )     (15 )
    Net cash provided by (used in) financing activities   9       (178 )     (610 )     (345 )
    Effect of foreign exchange rate changes on cash and cash equivalents   —       (2 )     —       (1 )
    Net increase (decrease) in cash, cash equivalents, segregated cash, and restricted cash   966       (1,546 )     (11 )     (651 )
    Cash, cash equivalents, segregated cash, and restricted cash, beginning of the period   8,380       10,241       9,357       9,346  
    Cash, cash equivalents, segregated cash, and restricted cash, end of the period $ 9,346     $ 8,695     $ 9,346     $ 8,695  
                   
    Reconciliation of cash, cash equivalents, segregated cash and restricted cash, end of the period:
    Cash and cash equivalents, end of the period $ 4,835     $ 4,332     $ 4,835     $ 4,332  
    Segregated cash and cash equivalents, end of the period   4,448       4,327       4,448       4,327  
    Restricted cash in other current assets, end of the period   46       18       46       18  
    Restricted cash in other non-current assets, end of the period   17       18       17       18  
    Cash, cash equivalents, segregated cash and restricted cash, end of the period $ 9,346     $ 8,695     $ 9,346     $ 8,695  
    Supplemental disclosures:              
    Cash paid for interest $ 4     $ 4     $ 12     $ 16  
    Cash paid for income taxes, net of refund received $ —     $ 4     $ 9     $ 18  
     
    Reconciliation of GAAP to Non-GAAP Results
    (Unaudited)
     
        Three Months Ended
    December 31,    		   Three Months Ended
    September 30,    		   Year Ended
    December 31,
    (in millions)     2023       2024       2024       2023       2024  
    Net income (loss)   $ 30     $ 916     $ 150     $ (541 )   $ 1,411  
    Net margin     6 %     90 %     24 %   (29)%     48 %
    Add:                    
    Interest expenses related to credit facilities     6       6       6       23       24  
    Provision for (benefit from) income taxes     (1 )     (358 )     3       8       (347 )
    Depreciation and amortization     17       22       20       71       77  
    EBITDA (non-GAAP)     52       586       179       (439 )     1,165  
    Add: SBC                    
    SBC Excluding 2021 Founders Award Cancellation     81       77       79       386       304  
    2021 Founders Award Cancellation     —       —       —       485       —  
    Significant legal and tax settlements and reserves(1)     —       (50 )     10       104       (40 )
    Adjusted EBITDA (non-GAAP)   $ 133     $ 613     $ 268     $ 536     $ 1,429  
    Adjusted EBITDA margin (non-GAAP)     28 %     60 %     42 %     29 %     48 %
      Three Months Ended
    December 31,    		   Three Months Ended
    September 30,    		   Year Ended
    December 31,
    (in millions)   2023     2024       2024     2023     2024  
    Total operating expenses (GAAP) $ 445   $ 458     $ 486   $ 2,401   $ 1,897  
    Less: SBC                  
    SBC Excluding 2021 Founders Award Cancellation   81     77       79     386     304  
    2021 Founders Award Cancellation   —     —       —     485     —  
    Significant legal and tax settlements and reserves(1)   —     (50 )     10     104     (40 )
    Adjusted Operating Expenses (Non-GAAP) $ 364   $ 431     $ 397   $ 1,426   $ 1,633  
      Three Months Ended
    December 31,    		   Year Ended
    December 31,
    (in millions)   2023     2024       2023     2024  
    Total operating expenses (GAAP) $ 445   $ 458     $ 2,401   $ 1,897  
    Less: SBC              
    SBC Excluding 2021 Founders Award Cancellation   81     77       386     304  
    2021 Founders Award Cancellation   —     —       485     —  
    Significant legal and tax settlements and reserves(1)   —     (50 )     104     (40 )
    Adjusted Operating Expenses (Non-GAAP)   364     431       1,426     1,633  
    Add: SBC              
    SBC Excluding 2021 Founders Award Cancellation   81     77       386     304  
    2021 Founders Award Cancellation   —     —       485     —  
    Adjusted Operating Expenses and SBC (Non-GAAP)   445     508       2,297     1,937  
    Less: 2021 Founders Award Cancellation   —     —       485     —  
    Adjusted Operating Expense and SBC excluding the 2021 Founders Award Cancellation (Non-GAAP) $ 445   $ 508     $ 1,812   $ 1,937  

    ________________

    (1) Amounts for the three months and year ended December 31, 2024 included a $55 million benefit due to a reversal of an accrual as part of a regulatory settlement.


    Cautionary Note Regarding Forward-Looking Statements

    This press release contains forward-looking statements regarding the expected financial performance of Robinhood Markets, Inc. and its consolidated subsidiaries (“we,” “Robinhood,” or the “Company”) and our strategic and operational plans, including (among others) statements regarding that we see a huge opportunity ahead of us as we work toward enabling anyone, anywhere, to buy, sell, or hold any financial asset and conduct any financial transaction through Robinhood; that we’re entering 2025 with strong momentum as we remain focused on delivering another year of profitable growth; that we plan to expand into the Asia-Pacific region in 2025, with Singapore serving as our local headquarters; that we plan to continue expanding the cardholder base for the Robinhood Gold Credit Card in 2025; that the acquisitions of Bitstamp and TradePMR are each expected to close in the first half of 2025; and all statements and information under the headings “Financial Outlook”. Forward-looking statements generally relate to future events or our future financial or operating performance. In some cases, you can identify forward-looking statements because they contain words such as “believe,” “may,” “will” “should,” “expect,” “plan,” “anticipate,” “could,” “intend,” “target,” “project,” “contemplate,” “estimate,” “predict,” “potential,” or “continue,” or the negative of these words or other similar terms or expressions that concern our expectations, strategy, plans, or intentions. Our forward-looking statements are subject to a number of known and unknown risks, uncertainties, assumptions, and other factors that may cause our actual future results, performance, or achievements to differ materially from any future results expressed or implied in this press release. Reported results should not be considered an indication of future performance. Factors that contribute to the uncertain nature of our forward-looking statements include, among others: our rapid and continuing expansion, including continuing to introduce new products and services on our platforms as well as geographic expansion; the difficulty of managing our business effectively, including the size of our workforce, and the risk of declining or negative growth; the fluctuations in our financial results and key metrics from quarter to quarter; our reliance on transaction-based revenue, including payment for order flow (“PFOF”), the risk of new regulation or bans on PFOF and similar practices, and the addition of our new fee-based model for cryptocurrency; our exposure to fluctuations in interest rates and rapidly changing interest rate environments; the difficulty of raising additional capital (to provide liquidity needs and support business growth and objectives) on reasonable terms, if at all; the need to maintain capital levels required by regulators and self-regulatory organizations; the risk that we might mishandle the cash, securities, and cryptocurrencies we hold on behalf of customers, and our exposure to liability for processing, operational, or technical errors in clearing functions; the impact of negative publicity on our brand and reputation; the risk that changes in business, economic, or political conditions that impact the global financial markets, or a systemic market event, might harm our business; our dependence on key employees and a skilled workforce; the difficulty of complying with an extensive, complex, and changing regulatory environment and the need to adjust our business model in response to new or modified laws and regulations; the possibility of adverse developments in pending litigation and regulatory investigations; the effects of competition; our need to innovate and acquire or invest in new products, services, technologies, and geographies in order to attract and retain customers and deepen their engagement with us in order to maintain growth; our reliance on third parties to perform some key functions and the risk that processing, operational or technological failures could impair the availability or stability of our platforms; the risk of cybersecurity incidents, theft, data breaches, and other online attacks; the difficulty of processing customer data in compliance with privacy laws; our need as a regulated financial services company to develop and maintain effective compliance and risk management infrastructures; the risks associated with incorporating artificial intelligence technologies into some of our products and processes; the volatility of cryptocurrency prices and trading volumes; the risk that our platforms and services could be exploited to facilitate illegal payments; and the risk that substantial future sales of Class A common stock in the public market, or the perception that they may occur, could cause the price of our stock to fall. Because some of these risks and uncertainties cannot be predicted or quantified and some are beyond our control, you should not rely on our forward-looking statements as predictions of future events. More information about potential risks and uncertainties that could affect our business and financial results can be found in Part II, Item 1A of our Quarterly Report on Form 10-Q for the quarter ended September 30, 2024, as well as in our other filings with the SEC, all of which are available on the SEC’s web site at www.sec.gov. Moreover, we operate in a very competitive and rapidly changing environment; new risks and uncertainties may emerge from time to time, and it is not possible for us to predict all risks nor identify all uncertainties. The events and circumstances reflected in our forward-looking statements might not be achieved and actual results could differ materially from those projected in the forward-looking statements. Except as otherwise noted, all forward-looking statements in this press release are made as of the date of this press release, February 12, 2025, and are based on information and estimates available to us at this time. Although we believe that the expectations reflected in our forward-looking statements are reasonable, we cannot guarantee future results, performance, or achievements. Except as required by law, Robinhood assumes no obligation to update any of the statements in this press release whether as a result of any new information, future events, changed circumstances, or otherwise. You should read this press release with the understanding that our actual future results, performance, events, and circumstances might be materially different from what we expect. All fourth quarter and full year 2024 financial information in this press release is preliminary, based on our estimates and subject to completion of our financial closing procedures. Final results for the full year, which will be reported in our Annual Report on Form 10-K for the year ended December 31, 2024, may vary from the information in this press release. In particular, until our financial statements are issued in our Annual Report on Form 10-K, we may be required to recognize certain subsequent events (such as in connection with contingencies or the realization of assets) which could affect our final results.

    Non-GAAP Financial Measures

    We collect and analyze operating and financial data to evaluate the health of our business, allocate our resources and assess our performance. In addition to total net revenues, net income (loss), and other results under GAAP, we utilize non-GAAP calculations of adjusted earnings before interest, taxes, depreciation, and amortization (“Adjusted EBITDA”), Adjusted EBITDA Margin, Adjusted Operating Expenses, Adjusted Operating Expenses and SBC, Adjusted Operating Expenses and SBC excluding the 2021 Founders Award Cancellation, and SBC excluding the 2021 Founders Award Cancellation. This non-GAAP financial information is presented for supplemental informational purposes only, should not be considered in isolation or as a substitute for, or superior to, financial information presented in accordance with GAAP, and may be different from similarly titled non-GAAP measures used by other companies. Reconciliations of these non-GAAP measures to the most directly comparable financial measures calculated and presented in accordance with GAAP are provided in the financial tables included in this press release.

    Adjusted EBITDA

    Adjusted EBITDA is defined as net income (loss), excluding (i) interest expenses related to credit facilities, (ii) provision for (benefit from) income taxes, (iii) depreciation and amortization, (iv) SBC, (v) significant legal and tax settlements and reserves, and (vi) other significant gains, losses, and expenses (such as impairments, restructuring charges, and business acquisition- or disposition-related expenses) that we believe are not indicative of our ongoing results.

    The above items are excluded from our Adjusted EBITDA measure because these items are non-cash in nature, or because the amount and timing of these items are unpredictable, are not driven by core results of operations, and render comparisons with prior periods and competitors less meaningful. We believe Adjusted EBITDA provides useful information to investors and others in understanding and evaluating our results of operations, as well as providing a useful measure for period-to-period comparisons of our business performance. Moreover, Adjusted EBITDA is a key measurement used by our management internally to make operating decisions, including those related to operating expenses, evaluate performance, and perform strategic planning and annual budgeting.

    Adjusted EBITDA Margin

    Adjusted EBITDA Margin is calculated as Adjusted EBITDA divided by total net revenues. The most directly comparable GAAP measure is net margin (calculated as net income (loss) divided by total net revenues). We believe Adjusted EBITDA Margin provides useful information to investors and others in understanding and evaluating our results of operations, as well as providing a useful measure for period-to-period comparisons of our business performance. Adjusted EBITDA Margin is used by our management internally to make operating decisions, including those related to operating expenses, evaluate performance, and perform strategic planning and annual budgeting.

    Adjusted Operating Expenses

    Adjusted Operating Expenses is defined as GAAP total operating expenses minus (i) SBC, (ii) significant legal and tax settlements and reserves, and (iii) other significant expenses (such as impairments, restructuring charges, and business acquisition- or disposition-related expenses) that we believe are not indicative of our ongoing expenses. The amount and timing of the excluded items are unpredictable, are not driven by core results of operations, and render comparisons with prior periods less meaningful. We believe Adjusted Operating Expenses provides useful information to investors and others in understanding and evaluating our results of operations, as well as providing a useful measure for period-to-period comparisons of our cost structure. Adjusted Operating Expenses is used by our management internally to make operating decisions, including those related to operating expenses, evaluate performance, and perform strategic planning and annual budgeting. Starting in Q1 2025, Adjusted Operating Expenses will no longer include provision for credit losses.

    Adjusted Operating Expenses and SBC

    Adjusted Operating Expenses and SBC is defined as GAAP total operating expenses minus (i) significant legal and tax settlements and reserves and (ii) other significant expenses (such as impairments, restructuring charges, and business acquisition- or disposition-related expenses), that we believe are not indicative of our ongoing expenses. The amount and timing of the excluded items are unpredictable, are not driven by core results of operations, and render comparisons with prior periods less meaningful. Unlike Adjusted Operating Expenses, Adjusted Operating Expenses and SBC does not adjust for SBC. We believe Adjusted Operating Expense and SBC provides useful information to investors and others in understanding and evaluating our results of operations, as well as providing a useful measure for period-to-period comparisons of our cost structure. Adjusted Operating Expenses and SBC is used by our management internally to make operating decisions, including those related to operating expenses, evaluate performance, and perform strategic planning and annual budgeting.

    Adjusted Operating Expenses and SBC excluding the 2021 Founders Award Cancellation

    Adjusted Operating Expenses and SBC excluding the 2021 Founders Award Cancellation is defined as GAAP total operating expenses minus (i) significant legal and tax settlements and reserves, (ii) other significant expenses (such as impairments, restructuring charges, and business acquisition- or disposition-related expenses), and (iii) the 2021 Founders Award Cancellation, that we believe are not indicative of our ongoing expenses. The amount and timing of the excluded items are unpredictable, are not driven by core results of operations, and render comparisons with prior periods less meaningful. We believe Adjusted Operating Expense and SBC excluding the 2021 Founders Award Cancellation provides useful information to investors and others in understanding and evaluating our results of operations, as well as providing a useful measure for period-to-period comparisons of our cost structure. Adjusted Operating Expenses and SBC excluding the 2021 Founders Award Cancellation is used by our management internally to make operating decisions, including those related to operating expenses, evaluate performance, and perform strategic planning and annual budgeting.

    SBC excluding the 2021 Founders Award Cancellation

    We define SBC excluding the 2021 Founders Award Cancellation as GAAP SBC minus the impact of the 2021 Founders Award Cancellation, which we do not believe is indicative of our ongoing expenses. The amount and timing of the 2021 Founders Award Cancellation are not driven by core results of operations and renders comparisons with prior periods less meaningful. We believe SBC excluding the 2021 Founders Award Cancellation provides useful information to investors and others in understanding and evaluating our results of operations, as well as providing a useful measure for period-to-period comparisons of our cost structure. SBC excluding the Founders Award Cancellation is used by our management internally to make operating decisions, including those related to operating expenses, evaluate performance, and perform strategic planning and annual budgeting.

    Key Performance Metrics

    In addition to the measures presented in our unaudited condensed consolidated financial statements, we use the following key performance metrics to help us evaluate our business, identify trends affecting our business, formulate business plans, and make strategic decisions.

    Funded Customers

    We define a Funded Customer as a unique person who has at least one account with a Robinhood entity and, within the past 45 calendar days (a) had an account balance that was greater than zero (excluding amounts that are deposited into a Funded Customer account by the Company with no action taken by the unique person) or (b) completed a transaction using any such account. Individuals who share a funded joint investing account (which launched in July 2024) are each considered to be a Funded Customer.

    Assets Under Custody (“AUC”)

    We define AUC as the sum of the fair value of all equities, options, cryptocurrency, futures (including options on futures, swaps, and event contracts), and cash held by users in their accounts, net of receivables from users, as of a stated date or period end on a trade date basis. Net Deposits and net market gains (losses) drive the change in AUC in any given period.

    Net Deposits

    We define Net Deposits as all cash deposits and asset transfers from customers, as well as dividends, interest, and cash or assets earned in connection with Company promotions (such as account transfer and retirement match incentives and free stock bonuses) received by customers, net of reversals, customer cash withdrawals, margin interest, Gold subscription fees, and assets transferred off of our platforms for a stated period. Prior to the second quarter of 2024, Net Deposits did not include inflows from cash or assets earned in connection with Company promotions and prior to January 2024, Net Deposits did not include inflows from dividends and interest or outflows from Robinhood Gold subscription fees and margin interest, although we have not restated amounts in prior periods as the impact to those figures was immaterial.

    Average Revenue Per User (“ARPU”)

    We define ARPU as total revenue for a given period divided by the average number of Funded Customers on the last day of that period and the last day of the immediately preceding period. Figures in this press release represent ARPU annualized for each three-month period presented.

    Gold Subscribers

    We define a Gold Subscriber as a unique person who has at least one account with a Robinhood entity and who, as of the end of the relevant period (a) is subscribed to Robinhood Gold and (b) has made at least one Robinhood Gold subscription fee payment.

    Additional Operating Metrics

    Retirement AUC

    We define Retirement AUC as the total AUC in traditional IRAs and Roth IRAs.

    Cash Sweep

    We define Cash Sweep as the period-end total amount of participating users’ uninvested brokerage cash that has been automatically “swept” or moved from their brokerage accounts into deposits for their benefit at a network of program banks. This is an off-balance-sheet amount. Robinhood earns a net interest spread on Cash Sweep balances based on the interest rate offered by the banks less the interest rate given to users as stated in our program terms.

    Margin Book

    We define Margin Book as our period-end aggregate outstanding margin loan balances receivable (i.e., the period-end total amount we are owed by customers on loans made for the purchase of securities, supported by a pledge of assets in their margin-enabled brokerage accounts).

    Notional Trading Volume

    We define Notional Trading Volume or Notional Volume for any specified asset class as the aggregate dollar value (purchase price or sale price as applicable) of trades executed in that asset class over a specified period of time.

    Options Contracts Traded

    We define Options Contracts Traded as the total number of options contracts bought or sold over a specified period of time. Each contract generally entitles the holder to trade 100 shares of the underlying stock.

    Glossary Terms

    2021 Founders Award Cancellation

    We define the 2021 Founders Award Cancellation as the cancellation in February 2023 of the 2021 pre-IPO market-based restricted stock units granted to our founders of 35.5 million unvested shares.

    Investment Accounts

    We define an Investment Account as a funded individual brokerage account, a funded joint investing account, or a funded individual retirement account (“IRA”). As of December 31, 2024, a Funded Customer can have up to four Investment Accounts – individual brokerage account, joint investing account (which launched in July 2024), traditional IRA, and Roth IRA.

    Gold Adoption Rate

    We define the Gold adoption rate as end of period Gold Subscribers divided by end of period Funded Customers.

    Growth Rate and Annualized Growth Rate with respect to Net Deposits

    Growth rate is calculated as aggregate Net Deposits over a specified 12 month period, divided by AUC for the fiscal quarter that immediately precedes such 12 month period. Annualized growth rate is calculated as Net Deposits for a specified quarter multiplied by 4 and divided by AUC for the immediately preceding quarter.

    The MIL Network –

  • MIL-OSI: MARA Schedules Conference Call for Fourth Quarter and Fiscal Year 2024 Financial Results

    Source: GlobeNewswire (MIL-OSI)

    Earnings Webcast and Conference Call Set for Wednesday, February 26, 2025 at 5:00 p.m. ET

    Fort Lauderdale, FL , Feb. 12, 2025 (GLOBE NEWSWIRE) — MARA Holdings, Inc. (NASDAQ: MARA) (“MARA” or the “Company”), a global leader in leveraging digital asset compute to support the energy transformation, will hold a webcast and conference call on Wednesday, February 26, 2025 at 5:00 p.m. Eastern time to discuss its financial results for the fourth quarter and fiscal year ended December 31, 2024. Financial results will be published in a shareholder letter prior to the call and available on the investor relations section of the Company’s website.

    To register to participate in the conference call or to listen to the live audio webcast, please use this link. The webcast will also be broadcast live and available for replay via the investor relations section of the Company’s website.

    Verified retail and institutional shareholders will be able to submit and upvote questions ahead of the earnings call. A selection of these questions may be addressed by MARA’s management team during the earnings call. The Q&A platform will open on February 19 at 9:00 a.m. Eastern time and close on February 25 at 9:00 a.m. Eastern time. To submit questions, please use this link.

    Earnings Webcast and Conference Call Details
    Date: Wednesday, February 26, 2025
    Time: 5:00 p.m. Eastern time (2:00 p.m. Pacific time)
    Registration link: LINK

    If you have any difficulty connecting with the conference call, please contact MARA’s investor relations team at ir@mara.com.

    About MARA
    MARA (NASDAQ:MARA) is a global leader in digital asset compute that develops and deploys innovative technologies to build a more sustainable and inclusive future. MARA secures the world’s preeminent blockchain ledger and supports the energy transformation by converting clean, stranded, or otherwise underutilized energy into economic value.

    For more information, visit www.mara.com, or follow us on:

    Twitter: @MARAHoldings
    LinkedIn: www.linkedin.com/company/maraholdings
    Facebook: www.facebook.com/MARAHoldings
    Instagram: @maraholdingsinc

    MARA Company Contact:
    Telephone: 800-804-1690
    Email: ir@mara.com 

    MARA Media Contact:

    Email: marathon@wachsman.com 

    The MIL Network –

  • MIL-OSI: Arbor Realty Trust Schedules Fourth Quarter 2024 Earnings Conference Call

    Source: GlobeNewswire (MIL-OSI)

    UNIONDALE, N.Y., Feb. 12, 2025 (GLOBE NEWSWIRE) — Arbor Realty Trust, Inc. (NYSE: ABR), today announced that it is scheduled to release fourth quarter 2024 financial results before the market opens on Friday, February 21, 2025. The Company will host a conference call to review the results at 10:00 a.m. Eastern Time on February 21, 2025.

    A live webcast and replay of the conference call will be available at www.arbor.com in the investor relations section of the Company’s website. Those without web access should access the call telephonically at least ten minutes prior to the conference call. The dial-in numbers are (800) 579-2543 for domestic callers and (785) 424-1789 for international callers. Please use participant passcode ABRQ424 when prompted by the operator.

    A telephonic replay of the call will be available until February 28, 2025. The replay dial-in numbers are (800) 839-0866 for domestic callers and (402) 220-0662 for international callers.

    About Arbor Realty Trust, Inc.

    Arbor Realty Trust, Inc. (NYSE: ABR) is a nationwide real estate investment trust and direct lender, providing loan origination and servicing for multifamily, single-family rental (SFR) portfolios, and other diverse commercial real estate assets. Headquartered in New York, Arbor manages a multibillion-dollar servicing portfolio, specializing in government-sponsored enterprise products. Arbor is a leading Fannie Mae DUS® lender, Freddie Mac Optigo® Seller/Servicer, and an approved FHA Multifamily Accelerated Processing (MAP) lender. Arbor’s product platform also includes bridge, CMBS, mezzanine, and preferred equity loans. Rated by Standard and Poor’s and Fitch Ratings, Arbor is committed to building on its reputation for service, quality, and customized solutions with an unparalleled dedication to providing our clients excellence over the entire life of a loan.

    Contact:
    Arbor Realty Trust, Inc.
    Investor Relations
    516-506-4200
    InvestorRelations@arbor.com

    The MIL Network –

  • MIL-OSI NGOs: ‘Silencing our voices’: Greenpeace Australia Pacific slams charity restrictions in electoral reform

    Source: Greenpeace Statement –

    CANBERRA, 12 FEB 2025—Greenpeace Australia Pacific has warned that the Electoral Reform Bill that has just passed the Parliament contains a restriction that will severely curtail the ability of charities to do critical advocacy work during election campaigns.

    “The Electoral Reform Bill that has just passed the Senate severely restricts charitable organisations from using their funding to speak out about critical policy issues or to provide independent information and policy analysis during election campaigns. It hinders the ability of independent organisations to hold parties and candidates to account when it matters most,” said Dr Susie Byers, Head of Advocacy, Greenpeace Australia Pacific. 

    “Charities are an independent voice for progress on issues that affect every aspect of voter’s lives—from climate and energy to education, health, and human rights. Efforts like scorecards and analysis of parties’ policies are essential sources of information on the issues that matter most to all of us. 

    “The restrictions in the Electoral Reform Bill would force charities to create new and completely separate fundraising streams explicitly for the purposes of advocacy at election time. This administrative complexity and major barrier to fundraising will make campaigning at election time extremely difficult. 

    “Effectively locking charities out of election campaigns weakens our democracy and paves the way for vested interests to push through harmful policies without scrutiny or accountability from independent actors. 

    “We are deeply disappointed that what will be one of the last acts of this Parliament is to quiet the voices of millions of Australians who contribute to our community via charitable and non-government organisations. 

    “Greenpeace Australia Pacific stands with all charities working to advocate for better social, environmental and economic outcomes in our society, and will hold the government to its commitment to work with us to resolve issues for the sector.

    —ENDS—

    For more information or to arrange an interview please contact Vai Shah on 0452 290 082 or [email protected].

    MIL OSI NGO –

  • MIL-OSI USA: Capito Votes to Confirm Gabbard for Director of National Intelligence

    US Senate News:

    Source: United States Senator for West Virginia Shelley Moore Capito

    WASHINGTON, D.C. – U.S. Senator Shelley Moore Capito (R-W.Va.) issued the following statement after voting to confirm Lieutenant Colonel Tulsi Gabbard to serve as Director of National Intelligence (DNI):

    “Tulsi Gabbard brings more than 20 years of national security experience to the Office of the Director of National Intelligence as a Lieutenant Colonel in the United States Army Reserve. As both a soldier and a former Member of Congress serving on the Foreign Affairs, Homeland Security, and Armed Services committees, she has been a consumer of intelligence for many years, giving her valuable insight into the intelligence needs of our government and military. In my role as a member of the Senate Appropriations Subcommittee on Defense, I look forward to working closely with Director Gabbard to execute and properly resource President Trump’s Peace Through Strength agenda so the men and women who work hard to keep our country safe have everything they need for their important missions,” Senator Capito said.

    BACKGROUND:

    Senator Capito previously met with Lt. Col. Gabbard in January of 2025 to discuss her nomination and learn more about her vision to lead the agency.

    Additionally, Senator Capito and Lt. Col. Gabbard served together in the U.S. House of Representatives.

    MIL OSI USA News –

  • MIL-OSI United Nations: World News in Brief: Peacekeeper dies in CAR, Gaza and DR Congo latest, preventing violent extremism

    Source: United Nations MIL OSI b

    Peace and Security

    The UN Secretary-General has strongly condemned the killing of a Tunisian peacekeeper serving with the UN Stabilization Mission in the Central African Republic, MINUSCA. 

    The ‘blue helmet’ was part of a long-range MINUSCA patrol to protect civilians, that was near the village of Zobassinda, in Bamingui-Bangoran prefecture, which came under attack on Tuesday night by an unidentified armed assailant.

    António Guterres expressed his deepest condolences to the families of the fallen peacekeeper, and to the Government and the people of Tunisia.

    “The Secretary-General recalls that attacks targeting United Nations peacekeepers may constitute war crimes under international law,” said a statement issued by the UN spokesperson’s office. 

    Call for swift justice

    “He calls on the Central African authorities to spare no effort in identifying the perpetrators of this tragedy so that they can be brought to justice swiftly.”

    The UN chief also reaffirmed the solidarity of the United Nations with the people and Government of CAR.

    Head of MINUSCA and UN Special Representative Valentine Rugwabiza also condemned the attack and said the “cowardly” act would not undermine the mission’s determination to implement its mandate “in the service of peace and stability” in CAR. 

    © UNICEF/Jospin Benekire

    A UNICEF-supported cholera team add chlorine to water collected from a reservoir in Goma, in the DR Congo.

    Peacekeeping, relief efforts, continue to face challenges in DR Congo 

    The United Nations on Wednesday called on the M23 armed group to allow the unimpeded movement of UN personnel and humanitarian aid, as the violence in the eastern Democratic Republic of the Congo (DRC) continues to displace civilians.

    At a press briefing in New York on Wednesday, UN Deputy Spokesperson Farhan Haq said that the UN peacekeeping mission in the country, MONUSCO, was facing increasing restrictions in the Kivu provinces.

    M23 fighters denied the mission’s contractors access to Goma to deliver food to the MONUSCO bases and obstructed efforts to safely dispose of unexploded ordnance, including one posing a direct threat to peacekeepers and unarmed Congolese forces within a MONUSCO facility.

    “The UN Mission calls on the M23 to allow the unimpeded movement of UN personnel and to fully respect established humanitarian corridors,” Mr. Haq said.

    He added that on Wednesday, the remains of 18 soldiers – including two MONUSCO peacekeepers and 16 troops from the Southern African Development Community (SADC) mission – were repatriated to South Africa. 

    A MONUSCO peacekeeper from Uruguay, also killed in recent clashes, was flown home on Tuesday.

    Humanitarian crisis deepens

    Meanwhile, ongoing violence in South Kivu has led to further displacement. Earlier on Wednesday, local time, fighting in Ihusi, about 70 kilometres north of Bukavu, forced residents to flee to nearby towns and islands in Lake Kivu, Mr. Haq said.

    In North Kivu, UN and humanitarian workers continue to assess needs and provide emergency aid where security allows. However, transportation remains a major challenge, complicating efforts to deliver food and supplies.

    In Ituri province, attacks since 8 February have killed at least 59 civilians in Djugu, with many others wounded or missing. 

    “The UN Office for the Coordination of Humanitarian Affairs (OCHA) reiterates that all parties must protect civilians and allow access to the essential services they need to survive,” Mr. Haq said. 

    Greater inclusion and cooperation critical to prevent violent extremism

    For the third consecutive year, the UN commemorated the International Day for the Prevention of Violent Extremism as and when Conducive to Terrorism, observed on 12 February. 

    In a social media post on Wednesday, UN Deputy Secretary-General Amina Mohammed said that preventing violent extremism requires addressing its root causes, which are inequality and injustice. 

    “On this International Day, let’s commit to fostering inclusion, development, and human rights to build a future free from extremism and terrorism,” she said.

    Dialogue, trust and respect

    In a video message, the head of the UN Office of Counter-Terrorism (UNOCT), Vladimir Voronkov, said that prevention of violent extremism requires long-term multifaceted solutions that are rooted in cooperation across all sectors.

    He listed governments, international and regional organizations, civil society, educators, religious leaders, and the private sector, in this regard.

    “This involves strengthening communities, addressing grievances, empowering women, and youth, investing in education, and ensuring inclusive development for all,” he said.

    “It demands that we challenge hatred, misinformation, and the forces that seek to divide us, and instead foster dialogue, trust, and respect for human dignity.”

    Later at a commemorative event, Mr. Voronkov outlined some of his Office’s work to counter terrorism, such as providing capacity building assistance to beneficiaries to enhance their knowledge and skills in prevention.

    Future initiatives include partnering with the UN Interregional Crime and Justice Research Institute (UNICRI) to examine the emerging risks and opportunities of video gaming in Africa, as part of efforts to invest in new frontier issues. 

    MIL OSI United Nations News –

  • MIL-OSI United Nations: Commitment to Inclusive Political Transition Vital for Syria’s Success, Special Envoy Says, Warning Further Conflict Could Hinder Fight against Da’esh

    Source: United Nations MIL OSI b

    Concerns Raised over Discrimination against Women, Minorities

    Acknowledging the Syrian caretaker authorities pledges to achieve an inclusive Syrian-owned and -led political transition in line with the key principles of Council resolution 2254 (2015), the United Nations senior mediator in the country warned the Security Council today that further conflict could have a drastic impact on the fight against Da’esh and international peace and security.

    The current transition in Syria is unfolding amid territorial division in the north-east and a complex security environment in the rest of the country, said Geir O. Pedersen, Special Envoy of the Secretary-General for Syria.

    “The leadership of the caretaker authorities have repeatedly committed publicly and to me that the new Syria will be for all Syrians and built on inclusive and credible foundations,” he said.

    On 29 January, a broad range of military factions assembled in Damascus and issued a declaration dissolving the 2012 Constitution, exceptional laws, the former Parliament, the former army, former regime-allied militias and the Ba’ath Party, he said.  Ahmad al-Sharaa — declared “interim President and head of State for a transitional period” — pledged to “work to form a comprehensive transitional Government that expresses the diversity of Syria” towards “free and fair elections”.

    The Special Envoy said that, while in Syria, he was “deeply struck” by the shared conviction among Syrians that the success of the country’s political transition is essential, and that “it cannot afford to fail”.

    However, many are concerned that there has been no rule of law, no constitutional or legal framework for appointments and policy decisions and no systematic communication or transparency.  Some expressed concerns that the caretaker authorities — staffed mostly with affiliates of the Idlib Salvation Government — are taking decisions that go “beyond a caretaker mode”, including in terms of restructuring State institutions, with potential impact on specific communities.

    Additionally, many Syrians expressed concern at reports of discriminatory practices targeting women, and of increasing social pressure towards certain norms, he said, stressing that Syrian women want “more than protection”; they want meaningful participation in decision-making and transitional institutions.

    He further observed that the situation in north-east Syria complicates the political transition, pointing to daily front-line hostilities impacting civilians and civilian infrastructure.  Many Syrians expressed fears about security fragmentation and that external actors could exploit it — particularly “if the transition goes awry”.  And many expressed parallel concerns that ongoing efforts for public sector restructuring may push hundreds of thousands into need – including former security elements — potentially jeopardizing future stability.  Equally concerning is the inclusion of foreign fighters in the senior ranks of the new armed forces, as well as individuals associated with violations.

    Relatedly, he spotlighted concerning reports of incidents still taking place against the backdrop of the authorities’ security operations, including men killed in the exchange of fire and reported serious ill-treatment in detention.  In addition, residents are reportedly facing incidents of kidnapping, looting, expropriation of property and forced evictions of families from public housing.

    Against this backdrop, he called on the caretaker authorities to ensure all armed actors cease these actions, amplify their assurances into concrete procedures and work on a comprehensive transitional justice framework.  He also underscored that Israel must withdraw from Syria, noting the UN’s engagement with that country and the caretaker authorities to that end.  Further, he urged sanctioning States to ease sanctions in the critical sectors of energy, investments and finance — including the Central Bank.

    Syria ‘at Top of Priority List’ for UN, Humanitarian Aid Partners

    Joyce Msuya, Assistant Secretary-General for Humanitarian Affairs and Deputy Emergency Relief Coordinator, highlighted the impact of continued hostilities, especially in the north of Syria, on the country’s immense humanitarian crisis. Fighting in and around Mennbij in eastern Aleppo has displaced over 25,000 people, while hostilities have continued in Ar-Raqqa and Al-Hasakeh Governorates, affecting civilian infrastructure. “Since late November [2024], the United Nations and humanitarian partners have provided more than 3.3 million people with bread assistance, as well as other food aid,” she said, highlighting the work of mobile health and nutrition teams.  The cross-border operation from Turkiye remains essential, she noted, adding that, in January, 94 trucks carrying essential supplies crossed through the Bab al-Hawa and Bab al-Salam crossings.

    “Syria remains at the top of our priority list,” she said, adding that senior representatives of humanitarian agencies have visited the country to engage with partners and caretaker authorities.  Outlining efforts to move towards a streamlined coordination architecture, which should be in place by June, she said it will be led by the UN Humanitarian Coordinator in Damascus.  Turning to engagement with the caretaker authorities, she highlighted their assurances “to facilitate access, ease bureaucratic procedures and engage in practical dialogue with the humanitarian community”.  Last week, cash-withdrawal limits for aid organizations were lifted, and transactions were authorized in Syrian pounds or United States dollars.

    “Now is the time to invest in Syria’s future,” she emphasized, adding that many of the 6 million Syrian refugees in neighbouring countries are “weighing the momentous decision of whether to return”.  Alongside life-saving support, it is essential to restore critical health water and other services, she added, expressing concern about funding shortfalls and calling for “generous financial pledges”.  “The UN and partners are appealing for $1.2 billion to reach 6.7 million people through March of this year,” she said.  Further clarity is needed on the implications of the freeze on US-funded activities and associated humanitarian waivers, she said, noting that, in 2024, funding from that country accounted for more than a quarter of support for the humanitarian response plan in Syria.  She underscored that delays or suspension of funding will affect whether vulnerable people can access essential services.

    …

    MIL OSI United Nations News –

  • MIL-OSI USA News: Memo to Press: Hundreds of Billions of Dollars are Fraudulently Spent Every Year

    Source: The White House

    The New York Times erroneously wrote that there is no “proof” for “sweeping claims” of “fraud” in federal government spending.
     
    Apparently, the Times and other like-minded outlets lack access to a newfangled research tool called Google.
     
    The Government Accountability Office released a report just last year finding “No area of the federal government is immune to fraud. We estimated that the federal government could lose between $233 billion and $521 billion annually to fraud.”
     
    President Donald J. Trump is determined to be a good steward of taxpayer dollars and put an end to fraudulent and wasteful spending.

    MIL OSI USA News –

  • MIL-OSI Canada: New Lions Gate Hospital tower opens next month

    Source: Government of Canada regional news

    People on the North Shore and in neighbouring communities will soon have enhanced access to health care services in the new, modern acute care tower at Lions Gate Hospital, opening March 9, 2025.

    “I’m thrilled this new hospital tower is now complete, and families in North Vancouver and beyond will have better access to high-quality health-care services, closer to home,” said Bowinn Ma, Minister of Infrastructure. “Our government is making record investments to support growing communities, and we’re committed to delivering more hospitals, health-care centres, and other important infrastructure.”

    The new six-storey tower is named after local philanthropist and businessperson Paul Myers. It has eight state-of-the-art operating rooms with a new medical device reprocessing department, as well as a pre-operative and post-operative care area, including anesthesia intervention and isolation rooms. There will be 108 beds in private patient rooms, all with ensuite washrooms.

    Vancouver Coastal Health worked in collaboration with Sḵwx̱wú7mesh Úxwumixw (Squamish Nation) and səlilwətaɬ (Tsleil-Waututh Nation) advisers on key aspects of the project to honour the host Nations and help create safer, welcoming and culturally appropriate spaces for Indigenous patients and families.

    “It’s terrific news for people living on the North Shore and area that the new patient care tower at Lions Gate Hospital is opening to meet the needs, comfort and well-being of people receiving care,” said Josie Osborne, Minister of Health. “By investing in state-of-the-art facilities around B.C., including the new Paul Myers Tower, we are truly investing in better health outcomes for British Columbians. This is part of our commitment to strengthen B.C.’s public health-care system.”

    The acute tower was designed to provide patient- and family- centred care. It features a variety of spaces to support patients, family and staff well-being, including lounges, a House of Elders office, a sacred space, additional bike storage and a rooftop garden with a walking path. Further, innovative technologies and an upgraded nurse call system, improve patient experiences and enhance safety for patients and staff.

    Construction began on the project in fall 2021. The total capital cost of the project is approximately $325 million. Funding is shared between the Province, Vancouver Coastal Health and the Lions Gate Hospital Foundation. Myers donated $25 million to the foundation’s $100-million campaign.

    “We’re excited to care for patients in this new space,” said Jillian Morland, clinical nurse educator, Lions Gate Hospital at Vancouver Coastal Health. “The clinical spaces are larger and designed for flexibility and efficiency to better accommodate our teams. The technology upgrades, such as access to Vocera and Masimo, will enable us to deliver the highest quality care possible.”

    Lions Gate Hospital provides a full range of acute-care services and many specialized services. With the 108 beds and eight operating rooms in this new tower, the Lions Gate Hospital will have a total of 329 beds, 10 operating rooms, and a variety of diagnostic services and equipment. The hospital also offers emergency and critical care, maternity, pediatrics, psychiatric, chemotherapy, cardiac care, palliative care and rehabilitative services.

    This hospital will continue to serve patients from the Sea-to-Sky corridor, Sunshine Coast, Bella Bella and Bella Coola on the Central Coast, including the Heiltsuk, Kitasoo-Xai’xais, Lil’wat, N’Quatqua, Nuxalk, Samahquam, shíshálh, Skatin, Squamish, Tla’amin, Tsleil-Waututh, Wuikinuxv, and Xa’xtsa communities.

    Quotes:

    Chief Jen Thomas, səlilwətaɬ (Tsleil-Waututh Nation) –

    “It is heartening to know the Paul Myers Tower in North Vancouver will soon open its doors as it will provide improved culturally informed health care for our Tsleil-Waututh Nation members and all Indigenous patients. VCH has demonstrated they are walking the path of reconciliation by engaging with us as partners to advise on how our traditional lands and waters could be reflected in the tower’s design. I’m proud to know the building will tell the story of our culture, incorporate our hən̓q̓əmin̓əm̓ language, and hold space for Elders as they access important health services.”

    Sxwixwtn, Wilson Williams, spokesperson and council member, Sḵwx̱wú7mesh Úxwumixw –

    “Through close collaboration with both the Sḵwx̱wú7mesh (Squamish) and səlilwətaɬ (Tsleil-Waututh) Nations, Vancouver Coastal Health was able to create a modern space that still reflects our values, traditions and cultures. From the façade resembling our Long Houses, to our stories and languages reflected throughout the interior and healing spaces, Paul Myers Tower is a thoughtful example of what can be accomplished when working meaningfully with First Nations to create a state-of-the-art medical facility that will benefit everyone across the North Shore community.”

    Susie Chant, MLA for North Vancouver-Seymour –

    “The completion of the Paul Myers Tower in North Vancouver will significantly improve health-care services for people on the North Shore. This new acute care tower will modernize community health services enabling faster, more accessible services closer to home.”   

    Dr. Penny Ballem, chair of the board, Vancouver Coastal Health –

    “The Paul Myers Tower’s patient-centred design will improve the care experience for patients and their families and will help both present and future needs of a growing and aging population. We are grateful for the collaboration with host Nations, patients and community organizations as well as our dedicated staff and medical staff in co-creating a site that will transform the future of health care in our region and beyond.”

    Judy Savage, president and CEO, Lions Gate Hospital Foundation –

    “The remarkable lead gift of $25 million from North Shore Philanthropist Paul Myers inspired people to give what they could to help bring this much-needed facility to the North Shore. From official foundation events, and multi-million-dollar contributions, to community fundraisers and the proceeds from lemonade stands, every donation was essential in helping us raise $100 million toward the cost of a new medical and surgical centre and an additional $20 million to support technology transformation for the Lions Gate Hospital campus.”

    Learn More:

    For a Vancouver Coastal Health backgrounder on the new Paul Myers Tower, visit:
    https://www.vch.ca/en/background-information-paul-myers-tower-lions-gate-hospital

    For more information about Lions Gate Hospital, visit: https://www.vch.ca/en/location/lions-gate-hospital

    For more information about health capital projects in B.C., visit: https://www2.gov.bc.ca/gov/content/health/accessing-health-care/capital-projects

    MIL OSI Canada News –

  • MIL-OSI New Zealand: Speech to New Zealand Economics Forum

    Source: New Zealand Government

    Tēna koutou katoa. Greetings everyone.
    Thank you Matt for the introduction and can I acknowledge the presence of former Australian Prime Minister Scott Morrison. It’s a pleasure to have you back in the country.
    It’s also a pleasure to be here to speak at this event for the third year in a row. 
    The world is changing. Fast. Orthodoxies are being challenged. De-globalisation, tariffs, counter tariffs, artificial intelligence, conflict, cynicism about national institutions, extreme climatic events, increasing competition for food, energy, minerals and other resources.  
    Leaders around the world are being compelled to act more boldly than they have for several decades.
    Where once countries could take for granted their position in the world, it is now unquestionable that we need to place ourselves in the driver’s seat for our national interests.
    These issues are not just the concern of diplomats, leaders and elites.  
    People the world over are increasingly feeling the effects of declining living standards, soaring prices, unaffordable housing and incomes that are not  keeping up. 
    Is it any wonder that there is a growing sense that the benefits of progress are not being evenly shared or that citizens are questioning the institutions and conventions they were raised to rely on?  
    It’s hard not to look back on the past few decades and see complacency. 
    Where once there was an assumption about the inevitability of economic growth – a given to be traded off against a host of other values – that stance now seems blissfully naïve.  
    From the United Kingdom, to the European Union, to China, to the United States, there is a growing realisation that growth must be fought for and that, even once achieved, can easily slide away.
    We in New Zealand are not immune to these trends. In fact, we are at a moment of inflection.  
    After three years of struggle, many Kiwis feel poorer, less financially secure and less hopeful about their futures. The cost of living is a daily concern.
    New Zealanders have been through the wringer. Where once there was triumphalism about our response to, and recovery, from the COVID-19 pandemic, there is now a realisation that we are still paying the economic price for the disruption it wreaked.  
    The aftershocks of extended lock-downs included a generational spike in inflation and the cost of living, extraordinary interest rate hikes, ongoing disruption to migration flows, massive increases in Government debt and a structural deficit in the government books.  
    These blows landed on an economy that had being showing cracks for decades. 
    New Zealand already faced longstanding issues of low productivity growth, low capital intensity in our firms, low levels of competition in many sectors, challenges in attracting and retaining skills and talent, low uptake of innovation, declining housing affordability and a growing tail of New Zealanders leaving school without basic skills. Today, as Kiwis suffer the real-life effects of economic problems, it’s become even more urgent that we address these complex challenges. 
    For the economists in this room these observations about our economic problems can be understood as data points.
    For many Kiwis, it is more personal, more visceral and far harder to stomach. The cost of living is too high and they need to see a path out.
    Despite falling inflation and interest rates and rising business and consumer confidence, many New Zealanders tell me they still can’t get on top of their bills – even though they’re working harder than ever, that they are worried about whether they’ve saved enough for their retirement, and are concerned about their kids’ prospects should they stay in New Zealand.
    My message to those New Zealanders is this: it’s tough right now, but our country has far better years ahead of it.  
    It’s easy to lose sight of the reasons to be optimistic, but let’s be confident about how great New Zealand’s potential is.
    In a world facing multiple challenges, we have some extraordinary advantages. We’re a safe, secure country with established trading relationships and a reputation as a good place to do business. We are blessed with abundant natural resources – everything from ocean to freshwater, fertile land to minerals and temperate weather. 
    In a world worried about food security, we have the world’s best farmers, feeding more than 40 million people with levels of efficiency and sustainability that are the envy of the world. We have a long history of stable democracy, strong institutions and rule of law. We’ve produced world-leading scientific breakthroughs from splitting the atom to the Hamilton Jet Boat. Our entrepreneurs and innovators have converted their ideas into world-beating successes – from  Oscar-winning digital effects to rockets in space.
    New Zealand has what it takes to succeed, but for too long we’ve put up stop signs and road cones when we should have been putting our pedal to the metal. 
    Our Government’s mission is to make the most of New Zealand’s potential so we can grow the economy and ease the cost of living for New Zealanders. 
    Our plan is simple: remove the barriers that have held back growth and create the conditions that will allow businesses to create better paying jobs, more financial security for our families, and more income to pay for world-class education and health services.
    Today I am releasing a document that shows how our Government is putting that plan into action. “Going for Growth” is a snapshot of the Government’s activity in five key areas, all designed to ease the cost of living and grow our economy.
    The document identifies more than 80 separate initiatives that have been completed or are underway.  Don’t worry, I’m not about to list them all. 
    But I do encourage you to give it a read.  Going for Growth will be updated on a regular basis and we are actively seeking your feedback on its content and any actions you think should be added or prioritized. 
    The document focusses on five areas which are essential to improving the performance of the New Zealand economy.

    Developing talent by lifting education and skills:  Too many of our kids have been leaving school without the basics they need to succeed in an increasingly demanding world. This is a moral failure.  It’s also a fiscal and economic timebomb. Our Government is improving our education system to deliver a better deal for Kiwi kids.
    Competitive business settings: Excessive and badly-designed regulations have slowed New Zealand down, added costs and prevented too many good ideas from become reality. Several of our major sectors lack competition and consumers are paying the price. Our Government is removing red tape, reducing compliance costs and promoting competition to deliver a better deal for Kiwi consumers.
    Promoting global trade and investment: New Zealand is a small country, geographically distant from many of the world’s large economies. We need to keep pursuing trade relationships and international connections not only to get good prices for our exports, but also to keep up with emerging technologies and to access the world’s talent and capital. Our Government is growing our trade relationships and rolling out the welcome mat for international investment so we can deliver better paying jobs for Kiwis.
    Innovation, technology and science:  New Zealand’s science system is not geared up for the future economy. Our businesses have often been slow to invest in the technology needed to make them more productive. We’re modernizing our science and innovation system so we can deliver a better deal for Kiwi businesses who want to use science and tech to grow.
    Infrastructure for growth:  New Zealand’s Resource Management system has been weaponised against development, adding cost, slowing things down and stopping too many projects. Despite abundant land, housing remains unaffordable for too many. Major infrastructure projects are too slow, too expensive and too few. Our Government is removing roadblocks to delivery of housing and infrastructure and fast-tracking major developments so we can deliver better living standards for New Zealanders.

    Some of you will be familiar with the work we already have underway in each of these areas. Today I want to share some thoughts about a few areas where I think more reform is needed.
    Number One. Driving greater competition in sectors that are vital to our national interests, including banking, grocery and electricity.  
    The economic impetus for this is clear. Strong competition protects consumer interests, it puts downward pressure on costs, it incentivises innovation and investment, it supports efficient allocation of resources and it drives productivity.
    When I look around the business landscape today I see too many sectors where market power has been entrenched to the detriment of everyday people.
    New Zealand has seen significant mergers and consolidation across major industries. Big fish have been swallowing the little fish and regulatory barriers have stopped new fish from entering the pond. 
    While many super-sized businesses have flourished, in too many cases the Kiwis they sell to have experienced higher prices, fewer choices and a worse deal all round.
    In my view, law-makers and regulators have been far too complacent about diminishing levels of competition in vital areas. Large-scale mergers have been repeatedly allowed in major industries, with so-called efficiency prioritised over the interests of consumers.
    Well-intended regulations have become a moat, stopping challengers from disrupting the status quo. 
    The result?  A raw deal for Kiwi consumers. 
    The dominance of big fish has also made it difficult for many small businesses to grow into larger businesses. 
    We see it in the banking industry which the Commerce Commission has described as a highly profitable, two-tier oligopoly. The Government is taking action to address this.
    And we see it in the supermarket sector in which three large entities, two of whom don’t compete in the same island, effectively control 82 per cent of the market. 
    The result, as the Commerce Commission reported in 2022, is that competition between grocery retailers is muted, profits are high, product ranges are limited and shoppers pay higher prices than people in many other countries. 
    In this environment it is almost impossible for a new entrant to establish a foothold in the New Zealand market.
    Even if they are able to battle their way through the thicket of resource management and overseas investment regulation, they are confronted in many cases by an absence of suitable land for new supermarket developments. It has been land-banked by the established players.
    Some of our best food producers also tell me they are struggling because of the duopolistic practices of the major players. 
    If Kiwi food producers can’t afford to keep their products on New Zealand supermarket shelves, how are they ever going to grow to the point where they can export overseas?
    The supermarket lobby will find 1000 different ways to say this is not the case, but it is. 
    The OECD has this to say about the New Zealand supermarket sector:
    “Two major players dominate the market through their portfolio of different brands.  As a result, they can extract higher prices from consumers (oligopoly power) but also exert ‘oligopsony power’ on their suppliers, passing on costs and uncertainty to them, with the threat of removing products from shelves if suppliers disagree”
    Studies have shown that New Zealand supermarkets were the most expensive for kitchen staples compared with the UK, Ireland and Australia.
    If you doubt the findings of the OECD, research papers, or the Commerce Commission, just ask the everyday Mums and Dads at the checkout:
    Kiwi shoppers feel ripped-off.  
    I think of PK, the Kiwi man who went viral on Tik Tok, sharing how he cried when he discovered how much cheaper the food was when he moved to Australia. I think of the parents in the supermarket aisle, putting back the chocolate biscuits as the weekly shop blows their budget – again.  And I think of all those people who endure gut-wrenching anxiety as they watch their items being scanned and the numbers tallying up on the till.
    The weekly supermarket shop makes up a significant proportion of most people’s weekly budget and contributes massively to their cost of living.
    They deserve to know they are getting a fair deal.
    Right now, I don’t think they are.  I’m ready to pull out all the stops to get them a fairer deal.
    The supermarkets will fight back I’m sure. It’s a fight worth having.
    So what can the Government do?
    Let me reassure you, we are not going to open our own grocery chain. There will be no KiwiShop. 
    Instead I’d like to see another competitor enter the supermarket scene to  disrupt the major players, drive down prices and increase options for Kiwi shoppers.
    Over the past 12 months, international supermarket chains and local investors have expressed interest in entering the New Zealand grocery market. 
    I want to help them succeed.
    We owe it to Kiwi shoppers to help remove the barriers that could get in the way of a new entrant.
    That could include removing unnecessary regulatory hurdles in the Overseas Investment Act, Resource Management Act and the entire regulatory maze; helping them to access suitable land and properties for development; helping them to attract capital; cracking down on predatory pricing and ensuring they have fair access to products. 
    If a new grocery chain opened up here it would deliver massive gains for Kiwi shoppers.  So I’m up for actions needed to help make it happen.
    At the same time, the Government must continue our efforts to hold the existing supermarket chains accountable to their customers and suppliers. 
    That means enhancing consumer protections and correcting power imbalances between suppliers and supermarkets. It means strengthening the Grocery Supply Code, enforcing action against non-compliance and illegal conduct, introducing a Wholesale Code to enhance access for smaller retailers, introducing disclosure standards for consumer complaints and responding to further recommendations the Commerce Commission makes.
    Commerce Minister Andrew Bayly has already been pushing hard in this space. This year we’re dialling up the pressure.
    The major supermarket chains should listen up: our Government is on the side of Kiwi shoppers and we will act to defend their interests.
    Number two:  The Government’s approach to procurement.
    The Government is a huge player in the New Zealand economy. Every year it procures billions of dollars worth of goods and services.
    Those doing the procuring understandably play close attention to prices.  That is as it should be. We want value for money. 
    But getting value is not just about cost. Getting value is also about assessing the contribution particular contracts can make to New Zealand as a whole.
    The Government wants the Government agencies doing the procuring to assess the value as well as the cost of contracts. 
    Small and medium-sized businesses say that too often they can’t effectively bid for Government contracts because of the complexity of official procurement processes. 
    I am reviewing the Government procurement rules that cause this and will soon be recommending changes to Cabinet. I want to ensure value to New Zealand is properly considered when government agencies are picking suppliers, ensuring a more level playing field, improving the ability of smaller businesses to bid and giving more small and medium sized Kiwi businesses the opportunity to grow and become global players.
    Third, tax settings.
    New Zealand must ensure our tax settings are competitive with other countries who seek to lure our talent, ideas and jobs.
    We need to ensure the New Zealand tax system does not discourage businesspeople from investing in their businesses and does not deter foreign investment. 
    I am considering a range of proposals to make our tax settings more competitive over time.
    Fourth, affordable energy.
    Alongside the supermarket bill, electricity prices are a major pain point for Kiwi households.  Spiking prices and uncertain supply are also a major barrier to industry and the jobs it supports.
    As we look out to the world, it’s clear that those choosing to invest in manufacturing, data centers and technological parks will increasingly ask themselves: does the country that we want to invest in have secure, affordable and renewable energy? 
    New Zealand is pretty well-positioned for that. We already have abundant levels of renewable energy. 
    The question is, are we well positioned to bring on new generation at the pace needed to keep both security of supply and affordability? 
    That’s a question the Government is very much engaged in. 
    The Energy Competition Task Force has published proposals to give consumers more control over energy costs. In addition, independent reviewers will report to Ministers in the middle of the year on the performance of the energy market.  
    My view is that the world’s surging demand for renewable energy has changed the game. It’s time to think much more boldly about the actions the Government may need to take to incentivise new generation, security of supply and affordable electricity.
    Fifth, savings.
    Finally, I want to see KiwiSaver working as well as possible for New Zealanders. Commerce Minister Andrew Bayly already has work underway to enable Kiwisaver providers to make greater investments in private assets, to generate good returns for savers and ensure more Kiwi savings can be deployed for investment here at home.  
    I want to see KiwiSaver balances grow, both to make Kiwis better off in retirement and to grow our collective national savings. I am taking advice on options for achieving that with a view to taking recommendations to Cabinet.
    Let me finish by providing you with some perspective. 
    Our domestic context is challenging. Internationally we are arguably operating in a more complex, faster changing world than at any time in history. 
    But, when I look around the world, there is nowhere I would rather build a business or raise a family than here in New Zealand.
    But the world doesn’t owe us a living. We have to compete hard to deliver for our national interests and the interests of New Zealanders. 
    Our Government’s plan to grow the economy is about making the most of New Zealand’s many advantages, removing barriers that are holding Kiwis back and competing for our share of the world’s wealth.
    This is not an abstract mission.  It goes to the heart of what matters to New Zealanders. 
    To create better paying jobs and make Kiwis more financially secure, we must grow our economy.
    To deliver better health services and schools, we must grow our economy.
    To make New Zealand more resilient to global challenges, we must grow our economy.
    This Government backs New Zealanders to succeed. I know you do too. I wish you a successful conference and look forward to hearing your ideas.  Let’s go for growth.

    MIL OSI New Zealand News –

  • MIL-OSI USA: Duckworth Votes Against Confirming Tulsi Gabbard to Serve as Director of National Intelligence

    US Senate News:

    Source: United States Senator for Illinois Tammy Duckworth
    February 12, 2025
    [WASHINGTON, D.C.] – Today, combat Veteran and U.S. Senator Tammy Duckworth (D-IL)—a member of the U.S. Senate Foreign Relations Committee (SFRC) and Senate Armed Services Committee (SASC)—released the following statement after the Senate confirmed Tulsi Gabbard by a vote of 52-48 to serve as Director of National Intelligence:
    “Tulsi Gabbard is not only wholly unqualified for this position, but she has an extremely concerning history of cozying up to our adversaries that makes her unfit for the job—whether it’s her close relationship with a Syrian dictator who gassed his own people, her pattern of spreading Putin’s propaganda or supporting and spreading conspiracy theories. She is not the kind of person who should be protecting our nation’s secrets—but unfortunately, my Republican colleagues would rather appease Donald Trump’s worst instincts than ensure our most sensitive intelligence is in safe, trustworthy hands. With this vote today, they’re once again proving they’re willing to put our national security and the safety of all Americans at risk out of concern for their political future.”
    -30-

    MIL OSI USA News –

  • MIL-OSI United Nations: Experts of the Committee on the Elimination of Discrimination against Women Commend the Republic of the Congo on the Mouébara Act, Raise Questions on Women’s Access to Justice and Clandestine Abortions

    Source: United Nations – Geneva

    The Committee on the Elimination of Discrimination against Women today considered the eighth periodic report of the Republic of the Congo, with Committee Experts commending the State on the Mouébara Act which combatted violence against women, while raising questions on women’s access to justice and on clandestine abortions in the country. 

    Esther Eghobamien, Committee Expert and Country Rapporteur for the Congo, said extensive constitutional, legal and public policy reforms, and strategic approaches adopted by the Congo were commendable, including the celebrated Mouébara Act no. 19 of 2022 to combat violence against women, which specifically defined discrimination against women as in article 11 for the first time.  Many unique provisions of the law aligned with international human rights law and if effectively implemented, should guarantee protection for women on many fronts, including against sexual harassment. 

    A Committee Expert asked how the State was working with customary courts and informal justice actors to form a path for the protection of the rights of women and girls under customary law?  What concrete steps were being taken to improve and enhance access to quality justice, including through the provision of legal aid and addressing awareness in the justice sector?  How was the State party ensuring that the Mouébara Act was implemented, so that gaps could be closed? 

    Another Committee Expert said complications from clandestine abortions were responsible for up to 30 per cent of maternal deaths.  Use of contraceptives in the country was very low.  What specific measures were being taken to ensure people knew about the risks of early pregnancies?  What measures were being taken to ensure that women facing complications relating to insecure abortions received full medical support?  How was access to health services without criminalisation ensured, particularly for women involved in clandestine abortion? What measures would be taken to legalise abortion? 

    The delegation said work was being carried out at the grassroots level with community leaders on the rights of women.  Access to justice was guaranteed under the law and bolstered via the Mouébara Act. The national action plan for tackling gender-based violence had a staff, who were also active in ensuring women had access to justice.  There had been training sessions for judges and judicial staff so they understood the new laws and how their provisions needed to be applied in the courts.  More than 1,000 judicial staff had undergone training so far.  The Mouébara Act contained specific actions for judges, and judges received specific training on it. 

     

    The delegation said the Republic of the Congo banned the voluntary interruption of pregnancy, due to terrible past situations relating to abusive abortions in inappropriate locations.  The State monitored specific cases.  There had been a case involving incest where a girl was pregnant with twins and her father was responsible.  In this case, to have access to an abortion, she would need to go through the courts and the judge should accept the procedure for termination of pregnancy, taking into consideration the health of the mother.  These were exceptional cases, and the State was following this policy to limit any potential health problems. 

    Introducing the report, Inès Bertille Nefer Ingani Voumbo Yalo, Minister for the Promotion of Women, Integration of Women in Development and Informal Economy of the Republic of the Congo and head of the delegation, said many steps had been taken to enhance women’s participation in political and public life, including the national programme for the promotion of women’s leadership in political life, which strengthened the capacities of more than 3,000 women in politics, leadership, and communication.  The representation of women in institutions and decision-making spheres in the Republic of the Congo was experiencing a real improvement.  The Republic of the Congo aimed to be a model in the implementation of the Convention.

    In her closing remarks, Nahla Haidar, Committee Chair, said the Committee was impressed by the number of legal initiatives and texts being developed by the State party and the work being undertaken on the ground to translate those texts into something real. 

    Ms. Ingani Voumbo Yalo thanked the Committee for the efforts and the constructive dialogue. The Republic of the Congo was committed to moving forwards to improve the wellbeing and rights of women. 

    The delegation of the Congo was comprised of representatives from the Ministry for the Promotion of Women, the Integration of Women in Development and the Informal Economy; the Ministry of Social Affairs, Solidarity and Humanitarian Action; the Ministry of Justice, Human Rights and the Promotion of Indigenous Peoples; the National Action Programme for the Fight against Violence against Women; the Communications and Information Technology Services Department; the Directorate of Cooperation; the Association of Women Lawyers in the Congo; the National Human Rights Commission; and the Permanent Mission of the Republic of the Congo to the United Nations Office at Geneva. 

    The Committee on the Elimination of Discrimination against Women’s ninetieth session is being held from 3 to 21 February.  All documents relating to the Committee’s work, including reports submitted by States parties, can be found on the session’s webpage.  Meeting summary releases can be found here.  The webcast of the Committee’s public meetings can be accessed via the UN Web TV webpage.

    The Committee will next meet at 10 a.m. on Thursday, 13 February to begin its consideration of the ninth periodic report of Sri Lanka (CEDAW/C/LKA/9).

    Report

    The Committee has before it the eighth periodic report of the Congo (CEDAW/C/COG/8).

    Presentation of Report

    INÈS BERTILLE NEFER INGANI VOUMBO YALO, Minister for the Promotion of Women, Integration of Women in Development and Informal Economy of the Republic of the Congo and head of the delegation, said the promotion of equal human and women’s rights was one of the major pillars of the Congolese Government’s action.  Many steps had been taken to enhance women’s participation in political and public life, including the national programme for the promotion of women’s leadership in political life, which strengthened the capacities of more than 3,000 women in politics, leadership, and communication. The representation of women in institutions and decision-making spheres in the Republic of the Congo was experiencing a real improvement.  There were now 100 per cent of women on the Women’s Advisory Council, 47 per cent of women in the judiciary, 25 per cent of women in the high court of justice, and 15 per cent of women credited as ambassadors, among others. 

    Since the last dialogue with the Committee, the Republic of the Congo had strengthened and evolved its normative and institutional framework by adopting several texts, including the law establishing the right of asylum and refugee status; the law on combatting trafficking in persons; the law on sustainable environmental management; the Mouébara Act on combatting violence against women and its implementing texts; and the law establishing the Mouébara Centre for the reception and rehabilitation of women and girls victims of violence, among others.  The draft law on parity was in the process of being adopted. 

    Many activities had been carried out to promote and protect women’s rights, such as the establishment of the National Committee of Women Mediators for Peace; the adoption of the national strategy (2021-2025) to combat gender-based violence; the training of women magistrates in the courts of appeal on domestic violence; and the training of more than 1,000 magistrates and other judicial personnel under the jurisdiction of the five courts of appeal on the application of the Convention, the Mouébara Act on combatting violence against women, and the holistic care of victims of violence against women.  The Mouébara Centre for the rehabilitation of women victims of violence would benefit from a two-hectare plot of land in the centre of Brazzaville and a budget line of two billion FCFA for its construction in 2025.

    With regard to maternal and child health, the national health development plan 2023-2026 covered caesarean section and other complications related to pregnancy and childbirth, free antimalarial drugs for children aged 0 to 15 years old, as well as the care of children with sickle cell anaemia.  Other strategies to combat maternal and child mortality had been developed, including the integrated strategic plans for reproductive, maternal, newborn, child and adolescent health 2022-2026.  These actions made it possible to reduce the maternal mortality ratio from 304 deaths to less than 70 deaths per 100,000 live births over a period of three years. 

    Regarding the fight against HIV/AIDS, there had been a considerable reduction in the prevalence rate of mother-to-child transmission, as well as an increase in antiretroviral coverage among pregnant women, from 10 per cent in 2019 to 43 per cent in 2023. Awareness campaigns were being conducted in schools and in grassroots communities to combat teenage pregnancies in the Congo.

    To improve women’s access to education, the Republic of the Congo adopted the national policy for integrated early childhood development 2022-2030; the national strategy for girls’ schooling; and the education sector strategy 2021-2030. Schooling was compulsory for all until the age of 16, textbooks were free, and wearing a uniform was compulsory to fight against discrimination against the most disadvantaged children. The positive masculinity approach to combat violence against women and girls had raised awareness among nearly 4,000 students from different departments on family life, education, gender stereotypes and awareness against violence in schools. 

    The Congo was continuing efforts to ensure women’s empowerment through support for women’s and mixed groups as part of the programme for the development of protected agricultural areas.  Funding had been granted to women carrying out income-generating activities.  The Congo had also established a public support structure for small and medium-sized enterprises, called the “Impulse, Guarantee and Support Fund”, allowing women entrepreneurs to benefit from training on entrepreneurial leadership.

    Despite the progress made by the Republic of the Congo, significant challenges remained. The State was calling for multifaceted support from the international community for better management of issues related to the fight against all forms of discrimination against women and for the construction of the Mouébara Centre for the holistic care of victims of violence.  The Republic of the Congo aimed to be a model in the implementation of the Convention.

    Questions by Committee Experts

    ESTHER EGHOBAMIEN, Committee Expert and Country Rapporteur for the Congo, said the State possessed vast oil and forest resources but still faced challenges in providing a high quality of life to citizens, particularly women and girls. Extensive constitutional, legal and public policy reforms, and strategic approaches adopted by the Congo were commendable, notably the 2017-2021 national gender policy and action plan; the promotion of women’s leadership in politics and public life (2017-2021); the UNCR 1325 national action plan on women and peace and security (2021–2023); and the celebrated Mouébara Act no. 19 of 2022 to combat violence against women, which, specifically defined discrimination against women as in article 11 for the first time.  Many unique provisions of the law aligned with international human rights law and if effectively implemented, should guarantee protection for women on many fronts, including against sexual harassment. 

    However, key policies had expired, progress was slow, and the rights of women and girls were continually threatened by violence.  It was hoped the outcome of today’s dialogue would highlight thematic areas to build a future where gender equality was tangible and accessible to all women in the Congo.

    How systematic was the training for judges?  Was gender integrated into the curriculum for training?  Did the Congo have legal aid as a service for women?  What kind of capacity building was being given to the legislator? 

    A Committee Expert commended the State party for the Mouébara Act, and for the Constitution, which decreed equality between men and women.  Had the State party conducted an assessment on existing laws to identify legal frameworks which contradicted existing policies on equality?  What efforts was the State party taking to build the capacity of judges, prosecutors and the judiciary to apply the Convention in their work?  How was the State working with customary courts and informal justice actors to form a path for the protection of the rights of women and girls under customary law? 

    What was the situation of women and human rights defenders working on the human rights of women in the country?  What concrete steps were being taken to improve and enhance access to quality justice, including through the provision of legal aid and addressing awareness in the justice sector?  How was the State party ensuring that the Mouébara Act was implemented, so that gaps could be closed? 

    Responses by the Delegation 

    The delegation said the Mouébara Act was a significant legislative step, serving to resolve the different issues when it came to the protection of women.  Previously there were no specific guarantees protecting women from violence.  The Act allowed the State to criminalise various types of behaviour which did not respect the human rights of women.  It was enacted two years ago and was increasingly being referred to and cited. 

    Work was being carried out at the grassroots level with community leaders on the rights of women. Departmental networks had been established in every department in the Congo, and in every department there was a network to eradicate violence against women and girls.  Access to justice was guaranteed under the law and bolstered via the Mouébara Act.  Gender-based violence focal points had been appointed in the courts.  The national action plan for tackling gender-based violence had a staff, who were also active in ensuring women had access to justice. 

    There had been training sessions for judges and judicial staff so they understood the new laws and how their provisions needed to be applied in the courts.  This included training on the Convention and the State’s strategy to eliminate violence against women.  More than 1,000 judicial staff had undergone training so far. Regular criminal court hearings were held which allowed all those found guilty of violence against women to be prosecuted. 

    The Congo had been taking steps to improve prison settings, and women’s prisons were monitored and surveyed.  Visits were conducted every year to ensure female prisoners were being treated appropriately.  The Mouébara Act was the first comprehensive act in all of French-speaking Africa which criminalised violence against women.  Steps had been taken to ensure the suspension of judges who did not fulfil their duties, to reassure all women they would receive a fair hearing.  The Mouébara Act contained specific actions for judges, and judges received specific training on it. 

    Gender parity was provided for in the Constitution.  The Congo had an Electoral Code which provided for parity and things were improving gradually.  With each election, there was an increase in the number of women.  There were dedicated lawyers to provide support to women during legal proceedings. 

    Questions by Committee Experts

    A Committee Expert commended the State party on its updated national action plan on women, peace and security with four specific pillars in line with the United Nations trust facility supporting cooperation on arms regulation 1325.  How would civil society and women’s organizations be engaged in the implementation and monitoring of the plan?  And what about the involvement of the security sector? How did the plan align with national development priorities and the establishment of an inclusive security architecture?  What steps was the State party taking to adopt a legal framework for gender responsive budgeting?  What measures were being taken to enact a legal framework for women human rights defenders and ensure accountability for threats made against them?  What was the timeline for the Gender Observatory? 

    Another Expert asked about the status of the parity law?  Were there any political officials mandated to address the concept of temporary special measures?  Were any studies planned to assess the impact of temporary special measures on social development?  Were there any measures to address the gaps within the digital economy?  What concrete sanctions had been put in place for political parties to work towards parity? 

    Responses by the Delegation 

    The delegation said parity was progressive in the Congo.  It required a change in mentality and encouraging women along that path. Women needed to express their will to participate in politics, and the State was trying to raise awareness to help them not to be afraid that men would cheat and win anyway.  Around 3,000 women had been elected through municipal and local elections and in the Senate.  A Ministry had been established for the promotion of indigenous peoples, which was a huge step forward.  The legal regime which governed the human rights commission had been strengthened. The Government had been developing a national strategy on indigenous peoples, which had led to the adoption of a national action plan to improve their wellbeing. 

    The Republic of the Congo had made major headway when it came to peacekeeping.  As a result of the recent economic crisis, there had been a psychosis creeping in regarding peacekeeping, but women continued to play a full role in peacekeeping for the country.  The current economic crisis weighed heavily on the budget of the country. A national strategy had been rolled out on transitioning the informal sector towards a formal sector.  A fund was in place which would allow female market vendors to benefit from preferential rates to enable them to have access to financing which would allow them to become empowered. 

    Questions by Committee Experts

    A Committee Expert said the Family Code contained provisions reinforcing women’s subordinate role in the household.  The introduction of new laws and policies, particularly the Mouébara Act was commendable. What progress had been made under this law in addressing gender stereotypes?  What efforts had the State party made to combat gender stereotypes? While progress had been made in the eradication of female genital mutilation, the practice still existed. What measures had been adopted towards ensuring the absolute prohibition of child marriage?  What steps was the State party taking to eliminate harmful practices?  Could data be provided on female genital mutilation for the past two years?  What support was provided to victims of female genital mutilation and child marriage? 

    Violence disproportionately affected indigenous women and women with disabilities.  How would the State party ensure regular awareness raising campaigns for women, who were the most vulnerable, to protect them against violence?  What mechanisms would be put in place to facilitate the reporting of gender-based violence?  What progress had been achieved under the Mouébara Act in prosecuting violence against women, particularly for indigenous women and for women with disabilities? 

    Another Expert said the Committee remained concerned about the lack of information available about trafficking.  Information would be welcomed on the number of cases and prosecutions.  Were steps being taken to improve coordination between law enforcement professionals working in the sphere of trafficking? What was being done to ensure victims of trafficking were not treated as criminals? 

    How were victims guaranteed access to services across the entire country?  Were the services accessible for rural and indigenous women? Prostitution was not legalised in the Republic of the Congo, however, States were obliged to scrap laws which discriminated against women, including laws against women who were prostitutes. Were women who were prostitutes able to be charged with a crime?  What steps was the State taking to decriminalise women working as prostitutes? What programmes were in place for women and girls who wished to leave prostitution? 

    Responses by the Delegation 

    The delegation said under the Mouébara Act, the Ministry of Women drafted an annual report which included statistics on the Act.  The Mouébara Act provided for new sets of exacerbating circumstances to ensure perpetrators of violence against women were duly charged.  This included law enforcement officials who tried to prevent victims from reporting the crime. 

    Work was being carried out to change culture and mindsets, including modernising the mindsets of women at the outset, which was no easy task.  However, progress was being made, including that the Minister of Indigenous Affairs was now a woman.  Significant work was being done with indigenous women to work with them to change minds in communities. 

    Female genital mutilation was not part of Congo tradition.  Foreigners sometimes set up residence in the country and conducted this practice, and this was monitored.  There had been cases at the border where young girls who had been brought into the Congo to marry were apprehended.  This had occurred within the Malian community who sought young girls and brought them into the Congo for marriage.  If there was a child who did not speak French, border control officers would make efforts to check the child was related to the person they were travelling with.  Forced marriages were prohibited in the Republic of the Congo; however, this practice was still seen in rural and agricultural areas. 

    There was no specific law prohibiting or condemning prostitution in the Congo.  Prostitution was very far removed from the State’s cultural values.  If there were conversations about prostitution in the public space, the State was concerned they would open a pandora’s box and result in an increase in sexually transmitted diseases, which would overwhelm services.  The State was aware that there may need to be a change in approach. 

    In 2019, the Congo had published a law on trafficking, and training was organised with members of the judiciary on this topic.  Polygamy was permitted and men could have up to four wives.  If couples wanted to be polygamous, this needed to be declared.

    The Mouébara Centre provided services for victims, and also acted as a forum for dialogue and an opportunity to follow-up with perpetrators responsible for such acts. The Republic of the Congo had not yet implemented the law on genocide.

    Questions by a Committee Expert

    A Committee Expert commended the minimum 30 per cent quota for candidate lists set by the State. The number of female members of the national assembly had risen to more than 15 per cent.  However, the current bureau established in 2022 included only one woman.  What were the recent programmatic measures to promote women’s leadership?  What had the State identified as the cause of the noticeable underrepresentation of women in the diplomatic area?  What endeavours had been undertaken to increase women’s awareness on the availability of opportunities as well as the importance of women’s representation in international leadership?  The State party’s efforts to raise awareness to combat gender stereotypes to overcome women’s low representation in decision-making positions were recognised.  What did these campaigns entail?  What were the resources allocated?  Had their impact been assessed?  What were their outcomes?  Were the campaigns targeting the younger generation? 

    Responses by the Delegation 

    The delegation said today women were heads of villages and districts.  The Consultative Committee on Women was the only body which had the right to make suggestions to the President.  Work was being done to ensure that before the next election, the articles related to the percentages of women would be modified.  The Consultative Committee had made several suggestions, including on women governors.  Thanks to these suggestions, two women had become governors. 

    The Committee made it possible to promote women in science as there had been few women scientists before that.  It also made it possible to prepare programmes on the education of young women and to improve the situation of girls in all schools.  Without awareness raising, girls were often mocked during their menstrual cycles, so it was necessary for schools to have social workers to deal specifically with issues for young girls.  This would be made mandatory in 2025 as a direct result of the work of the Consultative Committee.  

    The gender parity observatory had been established to monitor progress.  There needed to be female candidates who were capable of representing their constituents.  Work was also being carried out with political parties to ensure they were willing to put forward female candidates.

    Questions by Committee Experts

    A Committee Expert said the Congo had made headway when it came to issues of nationality. However, women of Congolese nationality faced issues when transmitting nationality to their foreign husbands. Would the State modify the laws in this regard?  Could women transmit their nationality to their children, like men could?   Was there a different level of birth registration between the different sexes?  What were the outcomes of any campaigns to boost the levels of birth registration? What measures would be implemented in rural areas to boost levels of registration?  Would civil status procedures be digitalised to make them more streamlined?

    The State should be commended for ratifying the two conventions on statelessness in 2023, and for establishing a committee to address statelessness.  What were the activities of the committee and what had it achieved? 

    Responses by the Delegation 

    The delegation said a reform was currently being debated, which if adopted would result in a new legal framework which would overhaul certain provisions in the Family Code. The Government was pushing to ensure that this reform was regalvanised and enjoyed some fresh momentum. 

    Failure to uphold the electoral law resulted in sanctions.  Alternating lists for male and female candidates had been drawn up to beef up the success of the parity law.  If parties failed to uphold the 30 per cent quota on the list, the entire list of candidates would be rejected.  This meant that at the most recent elections, parties took this seriously and ensured that more female candidates were put forward, resulting in the training of 3,000 female candidates. 

    In the Congo, there was a Minister for the Digital Economy.  In 2025, the goal had been set to digitalise all services and work was underway to deliver on this. 

    Questions by a Committee Expert

    A Committee Expert said the Committee appreciated the State party’s commitment to advancing equality. Had the national action plan on education and its accompanying strategy been extended?  Could the State party clarify why indigenous children and orphans could not be enrolled in regular schools?  How was it ensured that all children had access to schooling?  What was being done to increase the retention of girls in secondary education, particularly indigenous girls? 

    The Committee commended the strategy to increase girls’ enrolment in maths and sciences, but was concerned at the low numbers mandated for the quotas.  How were girls being encouraged to enrol in maths and science subjects?  What initiatives had been implemented to combat gender stereotyping and increase the number of girls enrolled in industrial subjects?  Did literacy programmes aim only for the functional literacy of women?  Were there remedial programmes for girls who dropped out of school?

    Responses by the Delegation 

    The delegation said education was equal for boys and girls, and significant steps had been taken to reduce the gaps between the genders in education.  There was a plan for early childhood 2022-2030 that focused on ensuring that girls stayed in school, with several initiatives, including free education and textbooks.  The State also provided free school meals.  To ensure girls did not drop out due to menstruation, all school facilities in the country now had toilets separated by sex.  There were also showers built to allow for better menstrual hygiene.  Scholarships and fellowship grants were made available to young girls who wished to pursue a career in science.  Countries such as Cuba provided girls with the opportunity to pursue medical scholarships. There were vocational colleges set up to help girls who had dropped out of school. 

    Data indicated that as of 2020, there were more than 14,000 indigenous children, more than 7,500 of whom were girls, who were educated in the Congo.  A budget was specifically set aside for the celebration of International Women’s Day.  On the day, activities were organised, including for rural women. 

    The literacy programme covered all women in the Congo.  There were four institutions in the country providing specialised education and training for children with disabilities.  Students in indigenous communities benefitted from the Aura education programme, which ran until the end of primary school, or early secondary school.  Once they had attained that level of education, they could then go to the same schools as other children.  Educational awareness programmes were conducted with parents to ensure children were not pulled out of school to participate in the harvest. 

    Questions by Committee Experts

    A Committee Expert said the labour law of the Republic of the Congo guaranteed equal pay for equal work regardless of sex.  There were issues with sexual harassment in the workplace; could the delegation clarify the status of sexual harassment laws in the country?  What strategies were in place to raise awareness about sexual harassment in the workplace?  What measures would be adopted to reduce the pay gap and collect data in this regard? 

    ESTHER EGHOBAMIEN, Committee Expert and Country Rapporteur for the Congo, asked if there were any mechanisms which regulated the private sector? 

    Responses by the Delegation 

    The delegation said women and men earnt the same wages when they had the same responsibilities. A national strategy had been crafted to shift the informal economy to a formal economy.  The Republic of the Congo wanted to boost its gross domestic product, which could be done by formalising work which previously took place in the informal sector or on the black market.  The right to a retirement pension held true to all.  The Mouébara Act punished sexual abuse and sexual violence in the workplace as well as public spaces, including religious institutions. Fines and punishment were doubled if this involved a hierarchical responsible official. 

    A new law made it mandatory for all projects to have a social, economic and environmental impact statement and review. 

    Questions by a Committee Expert

    A Committee Expert said the leading cause of death in the Congo was HIV/AIDS, with the rate of deaths almost 50 per cent higher for women than men.  Complications from clandestine abortions were responsible for up to 30 per cent of maternal deaths.  Use of contraceptives in the country was very low.  What specific measures were being taken to ensure people knew about the risks of early pregnancies?  What measures were being taken to ensure that women facing complications relating to insecure abortions received full medical support?  How was access to health services without criminalisation ensured, particularly for women involved in clandestine abortion?  What measures would be taken to legalise abortion? 

    What was being done to reduce stigmatisation around HIV/AIDS?  What measures were being taken by the State to deal with challenges in terms of infrastructure in rural areas?  What was the overall number of persons benefitting from the universal health insurance fund, and how many were women and girls?  What measures had been put into place by the State to ensure indigenous women had access to safe drinking water? 

    Responses by the Delegation 

    The delegation said there was a programme for sexual and reproductive health which had been reintroduced in schools.  The State ensured the promotion of modern contraceptives and ensured they were free of charge in health centres.  The Republic of the Congo banned the voluntary interruption of pregnancy due to terrible past situations relating to abusive abortions in inappropriate locations. The State monitored specific cases. There had been a case involving incest where a girl was pregnant with twins and her father was responsible.  In this case, to have access to an abortion, she would need to go through the courts and the judge should accept the procedure for termination of pregnancy, taking into consideration the health of the mother.  These were exceptional cases, and the State was following this policy to limit any potential health problems. 

    Questions by Committee Experts

    ESTHER EGHOBAMIEN, Committee Expert and Country Rapporteur for the Congo, said women found it difficult to participate equitably in the socio-economic development of the country.  Unfortunately, poverty remained a leading cause of social exclusion for women. Existing and planned support programmes to help women entrepreneurs access finance and microfinance, develop their businesses, and provide services tailored to meet the needs of rural women were commendable. 

    What measures were being taken to enhance social protection systems for Congolese women, especially those in the informal sector and vulnerable groups?  How did the Government plan to address financial and infrastructural challenges which hindered women’s access to social services? Would the State party consider ratifying key International Labour Organization conventions?  What programmes existed to support women in core economic sectors such as energy, oil and gas, the extractive industry, and the blue economy in the Congo.  What measures were in place to strengthen the private sector’s accountability to the Committee? 

    Another Expert commended the State party for progress registered in advancing the rights of rural women and women in agriculture.  What concrete efforts was the State party taking to mobilise adequate financing to increase equal access to electricity and clean energy and technology for women and girls, especially women and girls in rural areas, women with disabilities, indigenous women, women living in poverty, and refugee, migrant, and asylum-seeking women and girls?  What efforts was the State party taking to increase access to inclusive water hygiene and sanitation programmes and activities in all parts of the country? To what extent were women and girls in rural areas; refugee, migrant and asylum-seeking women and girls; those living in poverty; and women and girls with disabilities involved in the development, implementation, monitoring and evaluation of rural and agricultural developmental programmes that were meant to benefit them?

    Responses by the Delegation 

    The delegation said the President of the Republic of the Congo was a champion of environmental causes.  Steps had been taken to ensure women were playing their full role in climate action. A fund was in place for the artisanal sector, which was also available to female artisans.  The medical insurance fund covered the needs of women in the informal sector.  At the rural level, the programme “water for all” encouraged the use of solar resources to achieve water and electricity goals.   Women benefited from credits and loans and women entrepreneurs had access to a fund which provided cash transfers. 

    A project was currently underway which would be launched in specific zones, focusing on environmental protection.  It aimed to be a grassroots project with ownership by the local communities, including indigenous communities.  There were interschool competitions to encourage all pupils to take an interest in sports.  There were also sporting academies for girls, particularly a handball academy, which was popular in the country.  There was a project involving 300 women who would undergo a self-defence training course, as a way of tackling violence against women.  The gender dimension was included throughout the environmental framework. 

    Questions by a Committee Expert

    A Committee Expert said adultery was illegal for men and women, but sanctions were harsher for women.  In the absence of an agreement between the spouses, the husband would choose the place of residence for the family.  How did the State ensure that customary marriages were recorded in the civil registry and all married women enjoyed the same rights when it came to civil procedures? What was the status of the current review process and the adoption of the code for the family?  What training was provided to those in the administration of justice to intervene in cases of child marriage?  The situation surrounding widows were very precarious, and they were not covered by the law.  What awareness raising activities were being undertaken to eradicate discriminatory practices against widows?  When would the new legal provisions be ready? 

    Responses by the Delegation 

    The delegation said there were several provisions within the Mouébara Act which focused on the rights of widows, ensuring they could not be thrown out of the home. Efforts were also being undertaken to make women more aware of their rights, so they could invoke the Act. The State was reviewing legal instruments, including the Family Code, which would take into account the Committee’s concerns.  There could be no official marriage which was just a customary marriage; however, steps were taken to ensure customary marriage was protected in law.  The Mouébara Act addressed discrimination while the State was waiting for the new codes to be adopted. 

    A review of several codes was being carried out.  Since 2022, the law relating to the Penitentiary Code was published.  The Committee’s concerns would be taken into account as this work continued. 

    Today everyone understood across the country that widows should be left alone, that their succession rights needed to be ensured, and that children should stay with their mothers. 

    Closing Remarks

    NAHLA HAIDAR, Committee Chair, said the Committee was impressed by the number of legal initiatives and texts being developed by the State party and the work being undertaken on the ground to translate those texts into something real. The Committee was grateful for the dialogue which had helped the Experts better understand the situation of women and girls in the Republic of the Congo.

    INÈS BERTILLE NEFER INGANI VOUMBO YALO, Minister for the Promotion of Women, Integration of Women in Development and Informal Economy of the Congo and head of the delegation, thanked the Committee for the efforts and the constructive dialogue. The Republic of the Congo had carried out many efforts to protect the rights of women, particularly the Mouébara Act, which was innovative and binding and was a first in Africa.  The State was proud of this law, which filled the existing legal gaps relating to specific protection and took into account the definition of all forms of violence.  The Republic of the Congo was committed to moving forwards to improve the wellbeing and rights of women. 

     

     

    Produced by the United Nations Information Service in Geneva for use of the media; 
    not an official record. English and French versions of our releases are different as they are the product of two separate coverage teams that work independently.

     

    CEDAW25.008E

    MIL OSI United Nations News –

  • MIL-OSI United Nations: Kazakhstan’s Inclusion Council Examines Persons with Disabilities in Emergency Situations

    Source: UNISDR Disaster Risk Reduction

    Today, a meeting of the Inclusion Council dedicated to the protection and safety of persons with disabilities in emergency situations was held in the Senate, Parliament of Kazakhstan. During the meeting, council members, experts, and representatives of the Ministry of Emergency Situations (MES), Ministry of Labor and Social Protection of Population discussed pressing issues faced by people with limited mobility during emergencies and proposed solutions to address them. 

    One of the key topics of discussion was the inaccessibility of temporary shelters for persons with disabilities, particularly during floods. Many evacuation points do not meet accessibility requirements: high thresholds, slippery surfaces, lack of ramps, narrow doorways, and the absence of tactile indicators and visual cues create significant barriers for people with limited mobility. 

    These issues affect not only persons with disabilities but also elderly citizens, pregnant women, parents with strollers, and other vulnerable groups. Participants emphasized that ensuring accessible infrastructure in emergencies is not just a matter of convenience but a necessity that can save lives.

    Senators and experts proposed a number of measures to improve the situation: 

    1. Enhancing Public Preparedness for Emergencies. 
    2. Improving Early Warning Systems. 
    3. Improving Accessibility of Temporary Shelters. 
    4. Developing Inclusive Digital Solutions. 

    “Ensuring the safety of people with disabilities in emergencies is not just a matter of protection but a fundamental right. We must consider various types of disabilities when developing safety measures so that every person, regardless of their physical abilities, can receive timely assistance. This applies not only to evacuation but also to access to information, training, and infrastructure,” 

    said Chairperson of the Inclusion Council at the Senate, Lyazzat Kaltaeva.

    Representatives of the Ministry of Emergency Situations reported that 459 high-risk social facilities are currently registered with the ministry. State fire inspections regularly monitor these facilities to prevent violations. Additionally, these systems contain data on 263,026 citizens with disabilities, enabling rescue services to act more effectively. 

    UNDRR (United Nations Office for Disaster Risk Reduction) addressed the meeting, sharing the results of an urban resilience assessment conducted in Almaty in 2024. They also discussed the potential for adopting international best practices from cities participating in the Making Cities Resilient 2030 (MCR2030) Initiative. This experience could serve as a valuable resource for improving safety systems and adapting infrastructure in Kazakhstan. 

    In 2023, UNDRR published a Global Survey on Persons with Disabilities and Disasters which found limited progress in disability inclusion over the past 10 years and called for accelerated action.

    Participants emphasized that efforts to ensure the safety of persons with disabilities in emergencies must continue through close collaboration between government agencies, public organizations, and expert communities. Only through joint efforts can a system be created where every person, regardless of their abilities, is protected in the event of an emergency. 

    This meeting marked an important step toward building an inclusive society where safety and protection are guaranteed for all.

    MIL OSI United Nations News –

  • MIL-OSI United Nations: RAR24: Lack of investment in disaster prevention threatens Latin America and the Caribbean’s future

    Source: UNISDR Disaster Risk Reduction

    Latin America and the Caribbean face a critical imbalance in resource allocation for disaster risk reduction (DRR). According to the 2024 Regional Assessment Report on Disaster Risk in Latin America and the Caribbean (RAR24), developed by the United Nations Office for Disaster Risk Reduction (UNDRR) – Regional Office for the Americas and the Caribbean, only 6% of the public budget classified as DRR in the examined cases is allocated to preventing future risks, while 16% is dedicated to mitigating existing risks. The vast majority of funding is concentrated on response and reconstruction after disasters.

    This reactive approach carries a heavy economic toll, with annual disaster losses expected to reach $58 billion across the region. Climate-related hazards now account for 83% of disasters, a trend compounded by rapid, unplanned urbanization. With 81% of the population living in cities—many in high-risk areas exposed to floods, hurricanes, and earthquakes—the urgency to shift from response to prevention has never been clearer.

    RAR24 examines Brazil, Guatemala, and Mexico as case studies, recognizing their efforts in implementing budget classifiers that allow for better tracking and analysis of DRR investments. However, the findings reveal that most resources remain allocated to response and reconstruction. These tools represent a crucial step toward identifying gaps and improving investment strategies.

    In Brazil, 0.06% of the national budget was allocated to DRR, with over 70% directed toward response and reconstruction. In Guatemala, 2.32% of the national budget was allocated to DRR between 2014 and 2023, but more than 98% of those funds went to response and reconstruction. In Mexico, 0.29% of the national budget was allocated to DRR, with 99% of it dedicated to response and reconstruction. Tracking these expenditures is essential for redirecting efforts toward prevention and demonstrating the potential for a more balanced approach.

    The report also highlights missed opportunities due to the imbalance in risk management strategies. Early warning systems, which can reduce economic disaster impacts by 30%, and nature-based solutions, which are up to 50% more cost-effective than traditional interventions, remain underutilized due to insufficient investment in prospective risk management—actions aimed at preventing the creation of new risks rather than merely responding to disasters.

    Furthermore, only 5% of disaster losses in developing countries are covered by insurance, compared to 40% in developed nations. This underscores the need for accessible and sustainable insurance schemes, as well as stronger collaboration between governments and the private sector to anticipate risks rather than merely react to them.

    “Latin America and the Caribbean are facing a critical funding gap in disaster risk reduction, with most resources dedicated to response and reconstruction instead of prevention,” said Nahuel Arenas, Chief of the UNDRR Regional Office for the Americas and the Caribbean. “Investing in prospective risk management is not only more cost-effective but also an urgent necessity to protect communities, economies, and ensure a resilient future.”

    RAR24 outlines a roadmap for correcting this imbalance, emphasizing the need to integrate disaster risk reduction as a fundamental pillar of sustainable development. Key recommendations include prioritizing investment in prospective risk management, strengthening intersectoral governance, adopting nature-based solutions, and expanding early warning systems.

    Incorporating DRR into development policies will not only ensure more equitable and resilient growth but also save lives and significantly reduce disaster-related costs. According to the report, every dollar invested in DRR saves four dollars in future losses, reinforcing its strategic role in long-term sustainability.

    Addressing the challenges posed by unequal investment in disaster risk reduction requires a collective and committed effort. DRR should not be seen as an expense but as a critical investment in the well-being of present and future generations. RAR24 not only exposes existing weaknesses but also highlights the tremendous opportunities to build a safer, more equitable, and resilient future for all. 

    MIL OSI United Nations News –

  • MIL-OSI United Nations: Complex disaster risks call for urgent action in the Arab region

    Source: UNISDR Disaster Risk Reduction

    Leaders call to collectively strengthen resilience at the 6th Arab Regional Platform for Disaster Risk Reduction

    Kuwait City, Kuwait, 12 February 2025 – UNDRR’s Arab States region – covering 22 countries mostly in the Middle East and northern Africa – faces a range of hazards, exacerbated by climate change.

    Over the past 50 years, the region has suffered economic losses nearing $60 billion, with droughts, earthquakes, and floods taking the most severe human and economic toll.

    Recent disasters – such as the 2023 earthquakes in Syria and Morocco, catastrophic floods in Libya, and numerous severe droughts – are grim reminders of the urgent need for stronger risk governance and climate resilience strategies.

    Transboundary risks need transboundary solutions

    The hazards that the region faces move freely across borders, and so efforts to manage and reduce risks likewise need to be transboundary. This means working together as a region.

    This spirit of cooperation was evident in Kuwait this week, where disaster risk reduction experts, government officials, and resilience-building stakeholders from across the region came together for the 6th Arab Regional Platform for Disaster Risk Reduction. The four-day event aimed to strengthen policies and partnerships, in order to reduce disaster risk and enhance resilience collectively. The Platform culminated in the adoption of the Kuwait Declaration for Disaster Risk Reduction, reaffirming the urgency of resilience building across the region.

    Hosted by the Government of Kuwait and co-organized by UNDRR’s Regional Office for Arab States and the League of Arab States, the Platform is a forum to assess progress, exchange best practices, and drive regional commitments to disaster risk reduction (DRR).

    Innovative financing and early warnings

    A preparatory day ahead of the Platform proper tackled two important topics, in parallel: the need for new and innovative financing solutions for disaster risk reduction; and implementing the Early Warnings For All initiative in the region. 

    The Resilient Infrastructure and DRR Financing Conference explored ways to address the challenges of DRR financing, including innovative financial instruments like catastrophe bonds, resilience bonds, and parametric insurance; public-private partnerships; and a comprehensive approach integrating DRR strategies into climate finance.

    Alongside this, the Early Warnings for All Multistakeholder Forum for the Arab States, led by UNDRR and the World Meteorological Organization (WMO), discussed progress in implementing Early Warnings for All in the region, with a focus on early warning technologies and risk communication strategies.

    Speaking to the Forum, WMO President Dr. Abdulla Al Mandous affirmed that the Early Warning for All initiative is a top priority for WMO.

    “We firmly believe that strengthening early warning systems, improving climate services, and enhancing regional and international partnerships are essential pillars for effective disaster risk reduction,” he said.

    An appeal for collective action

    Opening the Platform on 10 February, Special Representative of the UN Secretary-General for Disaster Risk Reduction (SRSG) Kamal Kishore stressed the need for urgent action:

    “The Arab region should be proud of the progress it has made in advancing disaster risk reduction, especially around strengthening risk governance frameworks, which is a prerequisite for achieving sustainable development. That said, there are still many areas for improvement.”

    He outlined three key objectives for the regional platform:

    1. Strengthening risk understanding – Improved knowledge exchange across the region will improve risk assessments, especially in the face of climate change.
    2. Enhancing partnerships and collaboration – More multi-sectoral engagement and regional cooperation is essential for addressing transboundary risks.
    3. Committing to action – Accelerated implementation of the Sendai Framework for Disaster Risk Reduction requires taking concrete steps, in order to meet its targets before 2030.

    Better governance and more investment in risk reduction

    Sheikh Fahad Yusuf Al-Sabah, Kuwait’s Deputy Prime Minister, Minister of Defence, and Minister of Interior, welcomed delegates, reaffirming Kuwait’s commitment to DRR, and noted the special challenges that the region faces:

     “We are in a world that is witnessing an unprecedented acceleration in the pace of natural and human risks, and the challenges facing our societies are increasing in terms of size and complexity,” he said

    “Disasters have become more frequent and diverse, as a result of climate change, rapid and unregulated urban growth, and environmental degradation, which makes it necessary for us to adopt a comprehensive and integrated approach to dealing with these risks.”

    During the Platform’s busy schedule, participants engaged in sessions giving updates and discussion on a variety of topics especially pertinent to the region, including: innovative DRR financing; urban resilience; risk knowledge; extreme heat; disaster preparedness, recovery and “building back better”; and the Santiago network for loss and damage.

    Scroll through the photo gallery of the Regional Platform

    Innovative, actionable strategies

    To inform the dialogue at the Platform, the UNDRR presented the findings of 2024 Regional Assessment Report (RAR) on Disaster Risk Reduction in the Arab Region, updating analysis of the region’s evolving risk landscape. These findings warn of a “perfect storm” of interconnected risks, driven by climate change, water scarcity, governance challenges, and institutional fragility.

    The authors noted:

    • Temperatures in the region are rising at an alarming rate of +0.5°C per decade, intensifying droughts, extreme heat, and food insecurity.
    • Governance and institutional challenges remain major obstacles to effective disaster risk management.
    • The increasing frequency of climate-related disasters threatens human security, economic stability, and public health.
    • Many cities in the Middle East may become uninhabitable before the end of the century if urgent measures are not taken.

    The report aims to guide governments, policymakers, practitioners, and stakeholders in disaster risk reduction and sustainable development,  and calls for collaborative efforts to transform an understanding of risk into actionable strategies that prioritize community wellbeing and environmental sustainability.

    Regional cooperation to implement the Sendai Framework

    The Platform culminated with Member States and stakeholders issuing the Kuwait Declaration for Disaster Risk Reduction, which notes the need for accelerated implementation of the Sendai Framework; enhanced DRR governance; more investment in resilient infrastructure; extended early warning system coverage; better data for evidence-based policymaking; and improved integration of science, technology and artificial intelligence.

    The Kuwait Declaration stresses the need for greater regional cooperation to support crisis-affected countries; call for an inclusive approach that engages governments, civil society and the private sector in reducing disaster risks and protecting communities.

    Announcing the adoption of the Kuwait Declaration, Ambassador Khalil Ebrahim Al-Thawadi, Assistant Secretary-General for Arab Affairs and National Security for the League of Arab States, said the Platform, and its Declaration, signalled a “big leap forward” for resilience in the region.

    “I urge you to take all of the lessons from this Platform, and to transform them into real actions on the ground,” he told the assembled delegates.

    Time is of the essence

    In his closing remarks, SRSG Kamal Kishore thanked the State of Kuwait for hosting the event, and praised the region for its innovation in disaster risk reduction:

    “Take the good practices from this region and share them with the world. With just five years left to achieve the goals of the Sendai Framework – if this region can make it happen, then the world can make it happen,” he said

    With more than 450 participants from governments, UN agencies, civil society, academia, and the private sector, the 6th Arab Regional Platform for DRR will help strengthen the region’s capacity to prevent and mitigate disasters, for a safer and more resilient future for all.

    “You have to change this region, but you also have to change the world,” Mr Kishore said.

    The Platform will feed the region’s challenges, solutions, and commitments into the Global Platform for Disaster Risk Reduction, taking place in Geneva from 2–6 June 2025.

    MIL OSI United Nations News –

  • MIL-OSI United Nations: Sixth Arab Regional Platform for DRR concludes with the adoption of Kuwait Declaration

    Source: UNISDR Disaster Risk Reduction

    Kuwait City, Kuwait, 12 February 2025 – The Sixth Arab Regional Platform for Disaster Risk Reduction concluded today in Kuwait City, marking a pivotal step forward in the region’s efforts to enhance resilience and mitigate disaster risks. Hosted by the Government of Kuwait in collaboration with the United Nations Office for Disaster Risk Reduction (UNDRR) and the League of Arab States, the platform brought together over 600 participants from governments, civil society, academia, the private sector, and international organizations. Convened under the theme, “Building Resilient Arab Communities: From Understanding to Action,” the platform offered an inclusive space to discuss solutions to the complex risk landscape facing the Arab region.

    The highlight of the event was the adoption of the Kuwait Declaration for Disaster Risk Reduction, which reaffirms the urgent need to strengthen resilience across the Arab region in the face of increasing disaster risks. The declaration underscores the importance of accelerating the implementation of the Sendai Framework, enhancing governance for risk reduction, increasing investments in disaster-resilient infrastructure, and leveraging science, technology, artificial intelligence, and early warning systems. It also emphasizes the need to develop and update comprehensive disaster loss databases and risk assessments to support evidence-based policymaking. Additionally, the declaration calls for greater regional cooperation, particularly in supporting countries affected by crises, and highlights the need for inclusive and sustainable approaches that engage governments, civil society, and the private sector in reducing disaster risks and protecting communities.

    The platform saw the adoption of the Voluntary Action Statements of Stakeholder Groups engaged in DRR. Alongside the Kuwait Declaration, these commitments align with the Prioritized Action Plan for DRR (2025-2027) in the Arab region, which outlines concrete priorities and strategies to strengthen disaster risk management at both regional and national levels.

    Key highlights

    Over four days, the platform featured 2 side conferences, 3 plenary sessions, 4 thematic sessions, and 6 special sessions, providing a space for high-level dialogue on strengthening disaster resilience in the Arab region. With 18 side events, a press conference, and a dedicated marketplace, participants explored innovative solutions, shared best practices, and reinforced commitments to advancing disaster risk reduction efforts.

    Two critical pre-conference events took place ahead of the official launch of the platform. Resilient Infrastructure and Disaster Risk Reduction Financing conference addressed one of the most pressing challenges facing the Arab region that is mobilizing sufficient financial resources for disaster resilience. While the Early Warnings for All Multistakeholder Forum for the Arab States underscored the importance of inclusive, people-centered early warning systems across the region. In a world where climate-related disasters are increasing in frequency and intensity, effective early warning systems can mean the difference between life and death.

    Throughout the four days of the platform, participants engaged in dynamic discussions during plenary, thematic, special sessions, and side events. These sessions addressed critical issues such as urban resilience, risk-informed financing, disaster preparedness, and strengthening governance to achieve sustainable development. 

    The platform marked the introduction of the Santiago Network in the Arab region through a dedicated session focused on enhancing efforts to avert, minimize, and address loss and damage associated with the adverse effects of climate change. Bringing together high-level stakeholders and experts from the Arab region and beyond, this session provided a platform to discuss the operationalization of the Santiago Network and its role in delivering technical assistance to countries facing climate-induced challenges, insights on capacity gaps, opportunities for regional collaboration, and ways to strengthen the synergy between disaster risk reduction and climate action.

    A special high-level session for mayors highlighted innovative approaches to urban resilience, drawing on best practices and lessons learned across the Arab region. In the Arab Leaders Dialogue for DRR session, which brought together donors, governments, the private sector, and humanitarian organizations to address funding gaps and advance sustainable financing for disaster risk reduction in the Arab region, participants explored innovative financing models, key funding challenges, and solutions, particularly for conflict-affected and fragile states.

    Another key moment of the platform was the launch of the key findings of the Regional Assessment Report on Disaster Risk Reduction in the Arab States, which presents a comprehensive analysis of disaster risk in the Arab region and actionable recommendations to policymakers, highlighting systemic risks driven by climate change, urbanization, water scarcity, and socio-economic vulnerabilities. It underscores the interconnected nature of these risks and calls for urgent action to strengthen governance, enhance early warning systems, and invest in resilience-building measures.

    The platform underscored the integration of disaster risk reduction with broader development frameworks, including climate change adaptation and the Sustainable Development Goals. Discussions reflected on the progress made in implementing the Sendai Framework, while also addressing persistent challenges such as urbanization, socio-economic disparities, and the effects of climate change.

    Closing session

    The platform closed with a high-level session, featuring Sheikh Fahad Yusuf Al-Sabah, Acting Prime Minister, Minister of Defense, and Minister of Interior, Kuwait; Kamal Kishore, Special Representative of the UN Secretary-General for Disaster Risk Reduction; Ambassador Khalil Ebrahim Al-Thawadi, League of Arab States Assistant Secretary-General for Arab Affairs and National Security; and Major General Talal Mohammed Al-Roumi, Chief of the General Fire Force, Kuwait.

    Reflecting on the Arab region’s progress and its role in advancing global disaster risk reduction efforts, Kamal Kishore emphasized the importance of sharing lessons learned and scaling up action. “Take the good practices from this region and share them with the world. With just five years left to achieve the goals of the Sendai Framework, if this region can make it happen, then the world can make it happen,” he said in his closing remarks.

    The outcomes of the Sixth Arab Regional Platform, including the Kuwait Declaration and the Arab Action Plan, will inform discussions at the Eighth Global Platform for Disaster Risk Reduction, scheduled to take place in Geneva in June 2025. These achievements serve as a foundation for the region’s ongoing efforts to reduce risks, protect lives, and foster sustainable development.

    MIL OSI United Nations News –

  • MIL-OSI USA: Expanding Affordable Broadband Access

    Source: US State of New York

    Governor Kathy Hochul today announced a $26 million ConnectALL grant to Oswego County to construct a fiber-to-the-home network that will expand broadband access to about 10,792 homes, businesses and community institutions across 22 towns and villages. The project will construct 345 miles of fiber infrastructure, significantly expanding high-speed internet access throughout rural areas of the county. This grant is part of New York State’s Municipal Infrastructure Program, which has now awarded over $240 million in funding for broadband expansion projects. Collectively, these investments support the construction of nearly 2,400 miles of broadband infrastructure, reaching about 98,000 locations across New York State.

    “This $26 million investment in Oswego County’s broadband infrastructure represents our commitment to building a more connected New York, where every family and business can access affordable, high-speed internet,” Governor Hochul said. “By partnering with local governments to expand broadband coverage, we’re creating opportunities for economic growth, improving access to health care and education, and ensuring our rural communities are fully equipped to participate in our digital future.”

    Empire State Development President, CEO and Commissioner Hope Knight said, “Expanding reliable broadband connectivity is crucial for New York State’s economic growth. Through ConnectALL’s transformative work in Oswego County, we will help bridge the digital divide and connect thousands of Central New York residents and businesses to the modern digital economy. Through the ConnectALL initiative, we are building the infrastructure needed to provide all New Yorkers with reliable, affordable internet access.”

    Oswego County will own the broadband network and make it available for lease to internet service providers, including Empire Access, on a non-discriminatory and non-exclusive basis. The revenue generated from these leases will support the network’s ongoing maintenance and future expansion. This innovative public infrastructure model ensures sustainable, affordable access while promoting competition among service providers.

    The project specifically targets rural areas with high poverty rates and geographic isolation, addressing critical needs for affordable and reliable broadband service. The expanded connectivity will enhance residents’ access to essential services including:

    • Telehealth resources
    • Remote education opportunities
    • Digital employment platforms
    • Online business services

    Funding for ConnectALL’s Municipal Infrastructure Program has been awarded through the U.S. Department of the Treasury under the American Rescue Plan’s Capital Projects Fund. Broadband infrastructure in the Municipal Infrastructure Program will be owned by a public entity or publicly controlled. Internet Service Providers will use the new broadband infrastructure to provide New Yorkers with affordable, high quality service options.

    Oswego County Legislature Chairman James Weatherup said, “For more than a decade, we have been working to identify a funding source that would enable us to reach the areas in our county that, for various reasons, had been ignored by the major corporate Internet Service Providers. The Municipal Infrastructure Program offered by New York’s ConnectAll broadband office fit our needs nicely, allowing us to reach nearly 100 percent of the addresses that had been identified as unserved, as well as many that lacked service sufficient to carry out the needs of an average household. The project, when complete, will support the existing business community, enhance future economic development opportunities, provide a more robust learning environment for children and elevate the quality of life throughout the County. We are very grateful for this affordable opportunity to enhance our communities with these critical infrastructure assets.”

    Governor Hochul’s ConnectALL Initiative

    Governor Hochul has made expanding broadband access a cornerstone of her administration’s efforts to create a more equitable New York. Through the ConnectALL initiative, New York State is investing $1 billion to transform the State’s digital infrastructure, enhance competition among providers and ensure that every New Yorker has access to reliable, affordable high-speed internet.

    To date, ConnectALL has overseen the successful launch and implementation of several programs to advance broadband access, including:

    • The Digital Equity Program, which will invest $50 million, including a federal allocation of at least $37 million, to implement the New York State Digital Equity Plan to close the digital divide. ConnectALL is accepting responses to the Digital Equity Program Capacity Grant Request for Applications through March 24, 2025. ConnectALL will award about $15.5 Million through this Request for Applications to entities and partnerships working to bridge the digital divide.
      The Affordable Housing Connectivity Program, which will bring new broadband infrastructure to homes in affordable and public housing, leveraging a $100 million federal investment from the U.S. Treasury Department’s Capital Projects Fund. The program is currently accepting applications from internet service providers and expressions of interest from housing owners and public housing authorities.
      The ConnectALL Deployment Program, which will fund internet service providers to reach unserved and underserved locations, drawing on an allocation of $664.6 million in federal funding from the Broadband Equity, Access, and Deployment Program, as described in the ConnectALL Broadband Deployment Initial Proposal.

    MIL OSI USA News –

  • MIL-OSI Economics: r* in the monetary policy universe: navigational star or dark matter? | Lecture at the London School of Economics and Political Science

    Source: Bundesbank

    Check against delivery.

    1 Introduction

    Ladies and gentlemen, It’s a pleasure and an honour for me to speak here before such a distinguished audience.

    Remember to look up at the stars and not down at your feet. This was advice from Stephen Hawking, the famous English physicist and author of numerous books on the cosmos. And who would want to contradict the genius?

    So today I invite you to join me on a stargazing tour. If you don’t have a telescope with you, no worries. However, I should add a disclaimer here: When a couple look up at the stars, things could get romantic. When astronomers observe the stars, impressive images can come into view. When economists talk about stars, it usually gets complicated. Now you know what you’re getting into! 

    I’m sure you’ve already guessed what topic I have in mind: the natural rate of interest – also known as r-star. It is a concept that economists have been grappling with for more than 125 years.[1] And it has perhaps never received more attention than in the current era of monetary policy.

    From a central banker’s perspective, I would like to discuss what role r-star can and should play in the monetary policy universe. I will structure my lecture around four key questions: What is r-star and why is it of interest for monetary policy? How have estimates for r-star evolved over the past decades? What drives uncertainty about current estimates and the future evolution of r-star? What conclusions should monetary policy draw from this?

    2 Definition of r-star and use for monetary policy

    Let’s start with the definition. The natural rate is the real interest rate that would prevail if the economy were operating at its potential and prices were stable. R-star is commonly thought to be driven by real forces that structurally affect the balance between saving and investment. Think of technological progress and demographics, for example. This also means that r-star should, by definition, be independent of monetary policy. The latter follows from the widely held belief that monetary policy can affect real variables only temporarily, but is neutral in the long term.

    At first glance, the natural rate could be a guiding star for the conduct of monetary policy. If a central bank sets its policy rates so that the real interest rate is above r-star, monetary policy is restrictive or “tight”. Consequently, economic activity slows and the inflation rate should decrease. If the real rate is below r-star, monetary policy is expansionary or “loose”. It provides incentives for consumers to purchase more and for enterprises to step up investment and output. Hence, this should result in more economic activity and a higher inflation rate.

    However, the idea of the natural rate serving as a guiding star for monetary policy comes with profound challenges. Perhaps the name r-star evokes associations with astronomy and navigation. But these would be misleading. If r-star were like a star in the sky, it would be relatively easy to locate. Stars emit light and are therefore observable.

    The natural rate is a theoretical concept. It is based on a hypothetical state of the world. That means the natural rate is, by nature, unobservable. It can only be estimated. For example, models use assumptions about the relationship between measurable variables and r-star. In this respect, the natural rate is not so much like a star shining brightly in the sky. It is more a case of dark matter. As it is invisible, astronomers infer dark matter indirectly by observing its gravitational effects.

    If something is hard to find, it only spurs researchers to look even harder – whether they are astronomers or economists. Therefore, we can draw on a variety of estimation methods for the evolution of the natural rate.

    3 Estimates for r-star over time

    Since around the 1980s various estimates of different types have been pointing to a downward trend for r-star over several decades and across many advanced economies.[2] In the wake of the global financial crisis, the estimates slumped to exceptionally low levels.[3] This development was roughly in line with the observed trajectory of actual real interest rates of short- and long-term government bonds during this period. And no wonder: In the long run, both should be driven by the same fundamental forces affecting the balance between saving and investment.

    So the question is this: what has lifted saving and depressed investment? A simple answer would be: in the long term, the most important driver is potential growth. But this finding is not very enlightening. Potential growth is also not observable. It is determined by underlying forces such as demographics and technological progress. This is where we need to look for the causes.

    Indeed, according to a number of recent studies, waning productivity growth and population ageing were the key factors in pushing saving up and investment down.[4] Lower productivity reduces the return on investment, so people are less willing to invest. As they expect to live longer, they are more willing to save.

    In addition, inequality, risk aversion and fiscal policy could be other factors. For example, growing inequality raises saving, as richer households save a larger share of their income. Similarly, higher risk aversion leads to higher saving, especially in safe assets, while lowering investment.[5] 

    Many of the estimates for r-star reached their lowest point in the pandemic years 2020 and 2021. After that, there were signs of a partial reversal. A recent analysis by Eurosystem economists across a suite of models and data up to the end of 2024 suggests that estimates of r-star range from − ½ % to ½ % in real terms. In nominal terms, they find that it ranges between 1¾ % and 2¼ %.[6]

    It is clear that these ranges depend on the estimating approaches considered. Taking into account an even wider array of measures, Bundesbank staff calculations using data up to the end of 2024 reveal a range of 1.8 % to 2.5 %.[7] And the ECB found for the third quarter of 2024: When three estimates derived from versions of the Holston-Laubach-Williams model are factored in, the range of real r-star is − ½ % to 1 % and the nominal range is 1¾ % to 3 %.

    All in all, the results suggest that the range of r-star estimates most likely increased by about one percentage point from their lows. The latest estimates by economists from the Bank for International Settlements come to similar findings.[8]

    The reasons for the increase after the pandemic are not yet fully clear. For example, high fiscal spending with rising public debt levels could play a role. Or higher needs for capital, as companies make their value chains more resilient by duplicating structures and increasing stock levels.

    4 Uncertainties around r-star estimates

    Stargazing tours in economics are a journey into the uncertain. This is also and especially true for r-star. Estimates of the natural rate of interest are subject to major uncertainties, shaped by three M’s: megatrends, methodology and monetary policy.

    First, we are facing a number of megatrends. Think of climate change, ageing societies, digitalisation, and the risks of de-globalisation and increasing geopolitical divisions. The effects of these megatrends on natural rates are difficult to gauge and may change over time.

    On the one hand, they could contribute to a higher natural rate. Here are some examples: The widespread uptake of artificial intelligence could boost productivity growth. The green transition could lead to higher investment. Fiscal deficits could persist at an elevated level due to higher defence spending given geopolitical tensions. The entry of the baby boomer generation into retirement could reduce savings.

    On the other hand, life expectancy is predicted to keep rising; the high hopes for the productivity-enhancing effect of AI could turn out to be too optimistic; and given high public debt levels, fiscal space for additional spending is limited in many countries. Overall, it is virtually impossible to predict which developments will prevail in affecting r-star.

    The second factor of uncertainty is methodology. The methods used to define and estimate r-star differ in important ways, especially in terms of time and risk. 

    Ricardo Reis demonstrates this impressively in a recent paper.[9] He presents four different “r-stars”. They are based on four different conceptual approaches. And they developed quite differently between 1995 and 2019. 

    One major difference is the risk dimension. Knut Wicksell’s original definition of the natural rate was the rate of return on physical capital in equilibrium.[10] The rate of return on physical capital is the return on investment in the real economy. And this rate is very much associated with risks. 

    However, this perspective has been lost in virtually all of the model approaches. Generally, they use rather secure government bond yields as a starting point. Again, with regard to the real economy, a risky return on capital would be a more appropriate yardstick. When we look at measures for the return on private capital, we see a strong contrast with risk-free rates. Returns on private capital have remained broadly stable over the last decades in the US,[11] Germany[12] and the euro area as a whole.[13] 

    From these observations, Ricardo Reis draws the following conclusion: focusing exclusively on the return on government bonds as the measure of r-star, while neglecting the return on private capital, leads to the wrong policy advice.[14]

    Another case in point is the time horizon that is considered. Commonly cited estimates seek to assess the real rate that prevails in the longer run, when all shocks have dissipated. Most of these estimates are highly imprecise. Many methods simply project the current or the historical level of real rates into the future. This may confound permanent trends with cyclical factors, which may not be representative for the future. As a result, such methods could miss important turning points in real rate trends. 

    Other approaches characterise a short-run real rate in a hypothetical world without frictions. While interesting, this concept is of limited value for actual policymaking in the real world. Methods based on a short-term equilibrium tend to produce more volatile estimates of r-star.

    There is a third reason for caution: monetary policy itself may play a role in shaping the natural rate or its estimates. A number of studies challenge the view that money is neutral in the long run.[15] 

    There are different channels through which monetary policy could have lasting effects on real interest rates. Prolonged tight monetary policy, for example, may lower investment, innovation and productivity growth.[16] By contrast, persistent monetary easing could fuel financial imbalances and contribute to zombification.[17] 

    Moreover, recent research suggests that central bank announcements provide guidance about the trend in real rates. For instance, a narrow window around Fed meetings captures most of the trend decline in US real long-term yields since 1980.[18] This could mean: when central banks look for r-star in financial market prices, they might actually be looking in a mirror.[19] Feedback loops between monetary policy and markets could unduly reinforce their perceptions about r-star. And shifts in perceived r-star could affect actual r-star as it influences saving and investment decisions.

    5 Conclusions for monetary policy

    Against the backdrop of these major uncertainties, the final key question of my speech is this: what role can and should r-star play for monetary policy in practice?

    Let’s approach the answer with a thought experiment: Put yourself in the shoes of a monetary policymaker who only looks at r-star. The relevant interest rate with which you steer the monetary policy stance is currently 2.75 %. After a previous series of interest rate cuts, you consider whether a further cut would be appropriate.

    Your staff inform you that various point estimates of r-star range from around 1.8 % to 2.5 % in nominal terms. If r-star were at the upper end of the estimates, the policy rate would become neutral with the next rate cut. Things would be different if r-star were at the lower end of the estimates: Monetary policy would continue to be restrictive, even after several further rate cuts.

    So how would you proceed, given a certain stance you want to achieve? Beware: If you rely on a wrong estimate, your decision may have a different effect on inflation than you intended. Simply choosing the middle of the range might not be a happy medium. Around the point estimates, there are often uncertainty bands of different sizes and with asymmetries.

    As you have probably guessed: It is no coincidence that I have described this particular decision-making situation. It looks similar in the euro area ahead of the next monetary policy meeting of the ECB Governing Council at the beginning of March. After several rate cuts, the neutral rate could already be near – or there may still be some way to go.

    The President of the New York Fed, John Williams, put the problem in a nutshell when he said: as we have gotten closer to the range of estimates of neutral, what appeared to be a bright point of light is really a fuzzy blur.[20]

    The bottom line here is this: The closer we get to the neutral rate, the more appropriate it becomes to take a gradual approach. For this purpose, r-star is a helpful concept: it indicates when we need to be more cautious with policy rate moves so that we don’t take a wrong step. 

    At the same time, the limits of the concept are also clear: it would be risky to base decisions mainly on r-star estimates. Much more is needed to assess the current monetary policy stance and the optimal policy path for the near future.

    That is why the Eurosystem uses a variety of financial, real economic and other indicators along the monetary policy transmission mechanism. We want the fullest picture possible. And, of course, r-star also has a place in this picture. For instance, r-star is included in model-based optimal policy projections that we use in the decision-making process.

    In my opinion, proceeding in a data-driven and gradual manner has served the ECB Governing Council well. There is no reason to act hastily in the present uncertain environment. The data will tell us where we need to go.

    Away from day-to-day monetary policymaking, the concept of the natural rate of interest provides a useful framework. This is also exemplified in the policy scenarios that Ricardo Reis presented last week in Brussels.[21]

    He works with the assumption that government bond rates remain around current levels. I would add the assumption that inflation stays on target – actually, that is what I am in office for and committed to. Assuming output is at capacity, policy rates would be persistently higher than in the past. But the recommendations on actual monetary policy depend on the driving forces: is the new setting caused by less demand for safe and liquid assets or by an increase in productivity? And he has two more scenarios in his paper!

    That provides a good example of why we should take a close look at the factors behind r-star estimates. Here it is important to even better understand the forces that are shifting real interest rate trends. We need to find out how these forces and trends affect our work to ensure price stability.

    Reviewing our monetary policy strategy from time to time is therefore vital. That is precisely what we are doing right now in the Eurosystem. And, of course, in this process, we look at all the questions I mentioned about r-star.

    Our stargazing tour is drawing to a close. It turns out we were dealing more with dark matter than with a shining star. Just as dark matter is an exciting field for astronomers, r-star is a rewarding topic for economists.

    Using r-star alone to navigate the monetary policy universe could be like flying almost blind. But having it as one of many instruments in your cockpit is highly useful.

    I would like to end by quoting Stephen Hawking again: Mankind’s greatest achievements have come about by talking, and its greatest failures by not talking.

    Footnotes: 

    1. Wicksell, K. (1898), Geldzins und Güterpreise: eine Studie über die den Tauschwert des Geldes bestimmenden Ursachen, Jena, G. Fischer (English version as ibid. (1936), Interest and prices: a study of the causes regulating the value of money, London, Macmillan).
    2. Obstfeld, M., Natural and Neutral Real Interest Rates: Past and Future, NBER Working Paper, No 31949, December 2023.
    3. Brand, C., M. Bielecki and A. Penalver (2018), The natural rate of interest: estimates, drivers, and challenges to monetary policy, ECB Occasional Paper, No 217.
    4. Cesa-Bianchi, A., R. Harrison and R. Sajedi (2023), Global R*, CEPR Discussion Paper No 18518; Davis, J., C. Fuenzalida, L. Huetsch, B. Mills and A. M. Taylor (2024), Global natural rates in the long run: Postwar macro trends and the market-implied r* in 10 advanced economies, Journal of International Economics, Vol. 149; International Monetary Fund (2023), The natural rate of interest: drivers and implications for policy, World Economic Outlook, April, Chapter 2.
    5. On the development of risk appetite in financial markets, see Deutsche Bundesbank, Risk appetite in financial markets and monetary policy, Monthly Report, January 2025.
    6. Brand, C., N. Lisack and F. Mazelis (2025), Natural rate estimates for the euro area: insights, uncertainties and shortcomings, ECB Economic Bulletin, 1/2025.
    7. Additional models would also provide values outside this range, but are currently not deemed sufficiently robust.
    8. Benigno, G., B. Hofmann, G. Nuño and D. Sandri (2024), Quo vadis, r*? The natural rate of interest after the pandemic, BIS Quarterly Review, March.
    9. Reis, R. (2025), The Four R-stars: From Interest Rates to Inflation and Back, draft working paper. 
    10. Wicksell, K. (1898), op. cit.
    11. Caballero, R., E. Farhi and P.-O. Gourinchas (2017), Rents, Technical Change, and Risk Premia Accounting for Secular Trends in Interest Rates, Returns on Capital, Earning Yields, and Factor Shares, American Economic Review: Papers & Proceedings 107(5), pp. 614‑620.
    12. Deutsche Bundesbank, The natural rate of interest, Monthly Report, October 2017.
    13. Brand, C., M. Bielecki and A. Penalver (2018), The natural rate of interest: estimates, drivers, and challenges to monetary policy, ECB Occasional Paper, No 217.
    14. Reis, R., Which r-star, public bonds or private investment? Measurement and policy implications, Unpublished manuscript, September 2022.
    15. Jordà, Ò., S. Singh and A. Taylor, The long-run effects of monetary policy, NBER Working Papers, No 26666, January 2020, revised September 2024; Benigno, G., B. Hofmann, G. Nuño and D. Sandri (2024), Quo vadis, r*? The natural rate of interest after the pandemic, BIS Quarterly Review, March.
    16. Baqaee, D., E. Farhi and K. Sangani, The supply-side effects of monetary policy, NBER Working Paper, No 28345, January 2021, revised March 2023; Ma, Y. and K. Zimmermann, Monetary Policy and Innovation, NBER Working Paper, No 31698, September 2023.
    17. Borio, C., P. Disyatat, M. Juselius and P. Rungcharoenkitkul (2022), Why so low for so long? A long-term view of real interest rates, International Journal of Central Banking, Vol. 18, No 3.
    18. Hillenbrand, S. (2025), The Fed and the Secular Decline in Interest Rates, The Review of Financial Studies, forthcoming. 
    19. Williams, J. C. (2017), Comment on “Safety, Liquidity, and the Natural Rate of Interest”, by M. Del Negro, M. P. Giannoni, D. Giannone, and A. Tambalotti, Brookings Papers on Economic Activity, Vol. 1, pp. 235‑316; Rungcharoenkitkul, P. and F. Winkler, The natural rate of interest through a hall of mirrors, BIS Working Paper No 974, November 2021.
    20. Williams, J. C., Remarks at the 42nd Annual Central Banking Seminar, Federal Reserve Bank of New York, New York City, 1 October 2018.
    21. Reis, R. (2025), op. cit.

    MIL OSI Economics –

  • MIL-OSI Economics: The European Financial Industry of the Future | 6. Frankfurt Digital Finance Conference & European Fintech Day

    Source: Bundesbank

    Check against delivery.

    Ladies and gentlemen,

    I’m glad to join you today at the “Gesellschaftshaus Palmengarten”. Its history goes back to the 19th century. It was the “Gründerzeit” or “founders’ period” – an era of strong economic expansion in Germany – when this building was constructed. And when Germany was developed as an industrial location. Developed by people, men and women, lead by curiosity, innovation, and a desire to achieve.

    We have to cast our minds back a few years to see times of growth, real innovation and increasing productivity in Europe.

    1 The role of the financial industry

    In the 2010s Germany had a period of solid growth that some called “the golden decade”. 

    Today, however, we see a need for growth and increasing productivity. Hence, our competitiveness is at stake. Not only in Germany, but also in other parts of Europe. And this comes at a time, when we are facing numerous major challenges:

    Consider the significant geopolitical uncertainties of our time – which make a rethink necessary in many respects. Also consider the digitalisation of large parts of our economy, incl. disruptive AI. And think about the climate-related need for an ecological transformation.

    Financing all of this requires a substantial amount of capital.

    This is where the financial industry comes in: The financial industry can act as an enabler of growth in the real economy. Growth that is so much needed right now.

    Looking forward, the financial industry could translate growth potential into real growth in many fields – digitalisation, AI, clean tech, pharma, biotech any many more.

    In sum, there are huge business opportunities for Germany and the EU. And we need the Financial industry to take advantage of the business opportunities. 

    But let us not forget that innovation happens in many places – at start-ups but also at well established companies. We need to make sure that a variety of funding sources are available to support our real economies.

    We need a specific financial ecosystem that enables young, innovative companies to flourish. Be it VC, PE, etc. We need established capital markets. Above all, we need a strong and healthy banking sector that supplies our economy with sufficient credit.

    That means: We need both traditional loans and venture capital. In any case, all the pockets of the financial industry provide the basis for a growing economy. It’s also the basis for the ecological transformation. 

    The German Council of Experts on Climate Change published [a week ago] new figures on the investment needs estimated for the transition towards net-zero economic activity. Those investment needs range between 135 and 255 billion euro – each year for Germany alone.[1] That’s a lot.

    Let’s now have a closer look at the digitalization including AI.

    2 Artificial intelligence: innovation and competitiveness

    The term artificial intelligence (AI) was coined in the middle of the 20th century. But it was the release of ChatGPT in November 2022 that marked a breakthrough. For the first time it became possible to use an AI system without detailed technical knowledge.

    Nowadays almost anyone can use AI. The importance of responsible AI practices on the increase – as highlighted in the latest Declaration by the G20.[2]

    There are important questions – to which, to be honest, there are no simple answers:

    Are the opportunities and risks of AI balanced? 

    Does AI lead to a global fragmentation, to a new barrier between those who use AI and those who don’t? 

    Does AI, as a general-purpose technology, help us better manage economic challenges?[3]

    One example of the latter point: Many societies are lacking skilled labour due to demographic change. Here, the use of AI could provide a solution by increasing efficiency or substituting human services. AI can also help drive innovation. 

    AI enables both incremental and disruptive innovation across all parts of society: 

    • by facilitating faster decision-making
      • optimizing existing processes, 
      • or by collecting, processing and using huge amounts of data.

    It fosters creativity, supports scientific breakthroughs, and unlocks opportunities for entirely new industries and business models – a potential, albeit disruptive, growth engine.

    Nevertheless, human creativity is still a key driver of innovation. In 2023, individuals or SMEs filed almost one in four patent applications in Europe.[4]

    Today, we are at a crucial stage: With international competition on the one side and technical and intellectual skills on the other. AI models from the United States are well-known and often considered state of the art. China in particular has recently come up with new and apparently very efficient language models. However, the discussion about the background is not yet complete.

    In Europe, we have to do our utmost to keep up with the pace. An important initiative recently came from France: In Paris the “EU AI Champions Initiative”, a high-level summit, was held at the beginning of this week.

    President Macron mentioned a funding volume of roundabout € 109 billion for AI in France. This approach is very encouraging for other EU member states. By comparison: US–President Trump has mentioned USD 500 billion for his “Stargate” plan in the US. 

    Despite these substantial investments, there is no guarantee of success. On the other hand, we must not allow ourselves to be deterred by possible failures. One example is the French AI chatbot LUCIE, which has been taken offline after giving some weird answers. I am sure France will take this as a chance to try even harder.

    The narrative with all kind of innovation is: Accept failure to grow. The pioneers of the “Gründerzeit” – which I mentioned earlier – knew this only too well.

    We need this kind of courage to embrace a “culture of trial and error”. It provides an important impetus to do things better. On the other hand, we have to ensure that new technology does not cause severe damage. Especially because AI is a relatively new technology with unknown potential and consequences for the entire society.

    Risks can arise for the financial system, but much further afield as well. Imagine, risk management or investment advice would be provided mainly by AI. Would this mean that investment recommendations are becoming more and more similar? Would we have concentration of risks? And what consequences would this have for financial stability?[5]

    Even more far-reaching questions concern our society.

    The core question is: What does AI mean for our democracies, for our constitutions, for our fundamental rights? Specifically, we need to ask ourselves: Where is AI beneficial and where do we need clear rules.

    In other words: What are the basic rules for using this technology?

    It is therefore necessary to find a compromise between having the courage to innovate – and clear rules.

    3 Strengthening the financial industry

    Regardless of how we deal with AI, we have to return to the issue of financing its development. As indicated earlier, the financial industry, as an enabler, has an important role to play.

    Given the challenges of our time I mentioned earlier, it is vital to strengthen the European financial industry. 

    Let me highlight only two measures:

    First, we need to get started on improving start-up funding. In 2024, more than 2,700 innovative start-ups were founded in Germany, the second-highest count after the record year of 2021. There is no shortage of innovative concepts and entrepreneurship per se, but implementation is lacking. 

    Further completing the European capital markets union (CMU) is essential in this respect – promoting the development of the VC and private equity market as well as exit options for start-ups. The European Commission’s “Competitiveness Compass”, published recently, 29 January 2025, is a good start. 

    Second, we need to leverage digital technologies to create efficient, integrated and resilient European financial markets. The digital CMU could be a game changer in this respect. 

    Let me make it perfectly clear: Europe is a leader in this field. 

    We at the Bundesbank are engaged in several initiatives. And we have a prominent role to play in the development of a central bank digital currency (wholesale CBDC).

    4 Conclusion

    Ladies and gentlemen, let me sum up: And I can be very brief, but still to the point.

    The European Financial industry has to become an enabler of growth. Our Financial industry is key to ensure that the European economy stays competitive. 

    Thank you very much. 

    MIL OSI Economics –

  • MIL-OSI Economics: Trade Policy Review: Madagascar

    Source: WTO

    Headline: Trade Policy Review: Madagascar

    The following documents are available:
    Secretariat report
    A detailed report written independently by the WTO Secretariat.

    Government report
    A policy statement by the government of the member under review.

    From the meeting
    The Secretariat and Government reports are discussed by the WTO’s full membership in the Trade Policy Review Body (TPRB).
    Concluding remarks

    Background
    Trade Policy Reviews are an exercise, mandated in the WTO agreements, in which member countries’ trade and related policies are examined and evaluated at regular intervals. Significant developments that may have an impact on the global trading system are also monitored. All WTO members are subject to review, with the frequency of review depending on the country’s size.

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    MIL OSI Economics –