Category: Politics

MIL-Evening Report: 5 years after COVID began, outstanding fines mean marginalised Australians are still paying the highest price

Source: The Conversation (Au and NZ) – By Shelley J. Walker, Postdoctoral Research Fellow in Justice Health, National Drug Research Institute, Curtin University

Rob1037/Shutterstock

January 25 marked five years since the first COVID case was recorded in Australia.

Many of us have tried to move on quickly from the pandemic, putting lockdowns and restrictions far behind us.

But for some Australians, this hasn’t been possible. Among the pandemic’s lingering impacts is the burden of outstanding fines, issued for breaking COVID restrictions.

These often hit disadvantaged groups the hardest, who were more likely to be fined and less able to pay. Five years down the track, marginalised communities are still feeling the impact of these penalties.

Our new research involved surveys and in-depth interviews with people who used drugs during the pandemic. They reported feeling targeted by police and even harassed while trying to access drug treatments – and years later, many still have fines they’re unable to pay.

Thousands of unpaid fines

During the pandemic, police issued millions of dollars’ worth of fines to people who broke restrictions. More than 50,000 fines were issued in Victoria and around 62,000 in New South Wales .

Fines ranged from A$200 for not wearing a face mask to nearly $5,000 for breaking rules about gatherings.

Fines were a public health measure aimed at stopping the virus spreading.

But for some people already struggling with financial and social problems, including those who use drugs, it compounded their difficulties.

Studies have found some groups were fined much more often than others, including people from Sudanese and South Sudanese backgrounds, Aboriginal people and children experiencing disadvantage.

While they were intended as public health measures, the fines reveal deeper patterns about targeted policing.

Following calls by community legal services and human rights groups and updated legal advice, the NSW government withdrew all outstanding COVID fines at the end of 2024.

This is not the case in Victoria. In June 2023, around 30,000 fines were outstanding in Victoria, and to our knowledge the situation hasn’t changed since then.

Feeling targeted

We know that people who use drugs already face increased police scrutiny in general, due to the criminalisation of drug use.

We conduct two long-term studies with people who use drugs in Victoria, which involves participating in an annual survey.

During the pandemic we asked additional questions about people’s interactions with police. Between March 2020 and May 2022, 1,130 participants responded to our survey.

Our new research found one in ten reported being stopped by police.

A third of these received at least one COVID-related fine – mostly for breaking curfews, failing to wear a face mask or breaching travel restrictions – a rate we calculated as nearly three times higher than the general population.

However, this is a crude estimate, as accurate data on the numbers of fines in the general population is not publicly available.

Of those who received fines, most were unemployed, more than a quarter were in unstable housing or homeless, and more than half had been to prison.

We also did in-depth interviews with 76 participants. Many told us they felt the pandemic gave police an “excuse” to target them, leading to serious and lasting effects on their lives.

Fined while accessing services

Interactions with police were described as fraught with discrimination and harassment. Participants reported being stopped, searched and fined while trying to go about their daily lives. This may be partly because their circumstances meant they were more likely to be using public spaces – and therefore were more visible to police.

Daniel, aged 41, was fined $1,652 for breaching COVID rules he told us he didn’t understand. He said:

it was so obvious they were looking for drugs – it felt like they were doing everything they could to find a reason to fine us.

For people who use drugs, accessing harm-reduction services and drug treatment programs (such as methadone to replace opioids) is vital to their health. Some participants told us they were fined while doing so, despite carrying medical exemptions.

Natasha, aged 39, was homeless. She said she was fined while travelling to a needle and syringe program, despite being within the permitted travel zone.

Police issued her a fine for leaving the home for non-essential purposes. Natasha found the situation absurd, asking “how can you be (fined for being) outside if you sleep outside?”

Ryan, aged 45, was fined $1,800 while collecting methadone. He described the encounter as “humiliating” and unnecessary, saying police appeared more interested in finding drugs than enforcing public health measures.

The financial and emotional toll

In our study, the financial burden of COVID fines was devastating.

Most could not afford to pay fines or lacked the confidence to navigate appeals processes to contest them, leading to further entanglement with the criminal legal system.

For example, Sally, who received multiple fines while collecting her methadone during the pandemic, said:

at the end of the day, they’re government authority and I’m a nobody – the chances of me winning would be slim to none.

As a result, unpaid fines for some reportedly led to court orders, some were arrested, and a few even reported serving prison time.

The emotional toll was equally severe, with feelings of being targeted and harassed by police further eroding their trust in public institutions.

The Conversation contacted Victoria Police about our study, noting participants thought police were using the pandemic as an excuse to target them.

In response, a police spokesperson said: “At the time officers were performing duties on behalf of the Chief Health Officer’s direction.”

The burden can be lifted

Public health responses should be designed to protect people, not punish them. As we move forward, it is crucial to address the lasting impacts of COVID fines.

All Australian governments should follow the lead of NSW and waive all remaining fines to alleviate the financial and emotional burden on vulnerable populations.

*Names have been changed.

Shelley Walker is the recipient of an ARC Discovery Early Career Award (project number DE240101056) funded by the Australian Government. The study presented in this article was funded by the National Health and Medical Research Council NHMRC (#2003255). The SuperMIX and VMAX studies are funded by the NHMRC; #545891, #1126090, #1148170)

Paul Dietze receives funding from the NHMRC and government and non-government organisations for the conduct of research into the impacts of alcohol and other drug use.

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

– ref. 5 years after COVID began, outstanding fines mean marginalised Australians are still paying the highest price – https://theconversation.com/5-years-after-covid-began-outstanding-fines-mean-marginalised-australians-are-still-paying-the-highest-price-247912

MIL OSI Analysis – EveningReport.nz –

MIL-OSI USA: Attorney General Bonta Combats Medi-Cal Fraud, Announces a $47 Million Settlement Against QOL Medical

Source: US State of California

Thursday, January 30, 2025

Contact: (916) 210-6000, agpressoffice@doj.ca.gov

OAKLAND — California Attorney General Rob Bonta today announced a settlement against pharmaceutical manufacturer QOL Medical (“QOL”) and Frederick E. Cooper, the company’s Chief Executive Officer for submitting false claims to the Medicaid program and other government healthcare programs. The settlement resolves allegations that QOL engaged in a kickback scheme between 2018 and 2022, by providing free Carbon-13 (“C13”) test kits to providers then using the test results to sell their drug, Sucraid. This resulted in some patients taking Sucraid even though it wasn’t medically necessary. As a part of the settlement, QOL and Cooper, will pay a total of $47 million to resolve federal and state violations of various fraud and kickback statutes, with the State of California receiving $384,406.

“Decisions impacting patients’ health must be guided exclusively by what is best for the patient,” said Attorney General Bonta. “Kickback schemes putting profit before patients are not only immoral, they are also illegal. My office is dedicated to holding accountable those who would defraud California’s critically important Medi-Cal program. I am grateful for the collaboration of our local, state, and federal partners in this important mission.”

The settlement resolves allegations that QOL paid remuneration to induce the purchase of Sucraid, a drug that treats the symptoms associated with sucrose ingestion in patients with a rare gastrointestinal genetic disease called congenital sucrase-isomaltase deficiency (CSID). This is a violation of the Anti-Kickback Statute, the federal False Claims Act and state law False Claims Act corollary statutes. QOL admitted that beginning in 2018, it distributed free C13 test kits to health care providers and asked them to give these kits to their patients with common gastrointestinal symptoms. They claimed that the C13 test could “rule in or rule out” CSID, for which Sucraid is the only FDA-approved therapy. QOL paid a clinical laboratory to analyze patients’ C13 tests and received aggregate weekly results, which its commercial team used to find potential Sucraid patients. Between 2018 and 2022, QOL paid the laboratory for over 75,000 C13 tests and disseminated the results to the QOL sales force, so that the sales force would make Sucraid sales calls to health care providers whose patients had positive C13 test results. This conduct allegedly caused the submission of false claims to both Medicare and Medicaid, including California’s Medicaid program, Medi-Cal.

The California Department of Justice’s DMFEA protects Californians by investigating and prosecuting those who defraud the Medi-Cal program as well as those who commit elder abuse. These settlements are made possible only through the coordination and collaboration of governmental agencies, as well as the critical help from whistleblowers who report incidences of abuse or Medi-Cal fraud at oag.ca.gov/dmfea/reporting.

The Division of Medi-Cal Fraud and Elder Abuse receives 75 percent of its funding from the U.S. Department of Health and Human Services under a grant award totaling $69,244,976 for Federal fiscal year (FY) 2025. The remaining 25 percent is funded by the State of California. FY 2025 is from October 1, 2024 through September 30, 2025.

A copy of the settlement can be found here.

# # #

MIL-OSI USA: At Hearing, Army Secretary Nominee Agrees with Warren’s Right to Repair Cost-Cutting Recommendations

US Senate News:

Source: United States Senator for Massachusetts – Elizabeth Warren
January 30, 2025
Nominee to lead the Army agrees to work with her on tackling costly repair restrictions for the military, a cost cutting recommendation Warren shared with Elon Musk
Warren: “[W]hen right-to-repair restrictions are in place, it’s bigger profits for giant defense contractors, but also higher prices for DoD, and longer wait times for service members who need to get equipment repaired so they’re ready to go.”
Video of Exchange (YouTube)
Washington, D.C. – U.S. Senator Elizabeth Warren (D-Mass.), Ranking Member of the Senate Armed Services Subcommittee on Personnel, questioned Mr. Dan Driscoll, nominee for Secretary of the Army, about his views on enhancing the Army’s right to repair its own equipment and his commitments to address the revolving door between the Pentagon and contractors.
Earlier this month, Senator Warren wrote to the Department of Government Efficiency (DOGE) recommending $2 trillion in proposals to save taxpayers money, including tackling repair restrictions that the Government Accountability Office found “could save billions of dollars.” At the hearing, Mr. Driscoll agreed with this recommendation.
The Department of Defense pays contractors hundreds of billions of dollars annually to purchase weapons systems and other equipment. However, the equipment is often subject to contractor-imposed restrictions on how servicemembers can diagnose, repair, and maintain their own equipment, leaving servicemembers unable to conduct necessary fixes and beholden to contractors no matter how harsh the environment. Mr. Driscoll “unequivocally” agreed with Senator Warren that right-to-repair restrictions impact national security and military readiness, and said these delays mean equipment deployment is “not scalable in an actual conflict.”
A root cause of defense contractor profiteering is the revolving door between senior Pentagon officials and large defense contractors. Senator Warren’s investigation found nearly 700 instances of former high-ranking officials working at the top 20 defense contractors. Mr. Driscoll agreed to work with Senator Warren to address the revolving door issues.
Senator Warren secured a provision, with bipartisan support, in the Senate version of the National Defense Authorization Act (NDAA) that would prohibit the Department of Defense from contracting with companies that do not provide fair and reasonable access to repair materials. In December 2024, Senator Warren introduced the Servicemember Right-to-Repair Act, which included that provision, and would also require cost-saving proposals to cut sustainment costs without reducing performance requirements, mandate a report on cost-saving strategies to enhance transparency, and require DoD to assess the cost-effectiveness of access to intellectual property throughout a program’s life cycle.
Transcript: Hearing to Consider the Nomination of Mr. Daniel P. Driscoll to be Secretary of the ArmySenate Armed Services CommitteeJanuary 30, 2025
Senator Elizabeth Warren: Thank you, Mr. Chairman. Congratulations on your nomination, Mr. Driscoll. So what I’d like to do is continue the conversation we started in my office. The Army buys a lot of stuff, from tanks to helicopters. They buy a lot of stuff from big defense contractors. Those giant companies often sneak restrictions into the contracts. They hog up the software rights or the technical data, all to prevent service members from being able to repair their own equipment. So today I would like to talk through an example so we can see the difference in banks with the Army is not hamstrung by right-to-repair restrictions.
Last year, the Army needed a new cover for a safety clip, but the contractor told the Army they couldn’t have it for months and these safety clips would cost $20 a pop. Now, thankfully, the Army had managed to keep right-to-repair restrictions out of this contract and was able to 3D-print the part in less than an hour for a total cost of 16 cents.
Now, Mr. Driscoll, does being able to get the parts we need in hours – maybe minutes – instead of months, and for nickels instead of dollars help U.S. readiness and national security?
Mr. Dan Driscoll, nominee for Secretary of the Army: Unequivocally, Senator.
Senator Warren: Good. You know, when right-to-repair restrictions are in place, it’s bigger profits for giant defense contractors, but also higher prices for DoD, and longer wait times for service members who need to get equipment repaired so they’re ready to go.
Chairman Wicker has an acquisition reform agenda which calls for a complete review of data rights across the Department of Defense. I think that is exactly right because it would help put the Army fully in command of the equipment that it has paid so much for.
So Mr. Driscoll, let me ask you, if confirmed, will you work with this committee to identify more opportunities where the Army can save money and time by making their own parts and fixing their own equipment?
Mr. Driscoll: If confirmed, unequivocally, Senator.
Senator Warren: Would you like to expand on that at all?
Mr. Driscoll: This type of innovation happening in the private sector at scale in a lot of ways seems to have not trickled into the Army as much. If we think about engagement with a peer like China, being able to repair our parts in areas around the world will be crucial to that. And, if we are having six-month delays in CONUS and paying 100x the rate, that is not scalable in an actual conflict, and so I’m totally supportive, Senator.
Chair Wicker: That was a very good answer, Mr. Driscoll.
Senator Warren: It was an excellent answer. Thank you Mr. Chairman. You know, right-to-repair restrictions have truly gotten out of control. And they threaten our national security. In some cases, the Army cannot even write its own training manual without a signoff off from a contractor. My Servicemember Right to Repair Act would help fix this problem.
But a root cause of this defense contractor profiteering is the revolving door between senior Pentagon officials and big defense contractors. Last year, I released a report that found 700 instances of top 20 DoD contractors hiring former high-ranking officials.
Do you think this is a problem, Mr. Driscoll?
Mr. Driscoll: I do, Senator.
Senator Warren: When government officials cash in on their public service by lobbying, advising, or serving as board members and executives for the companies that they used to regulate, it undermines public officials’ integrity and it casts doubt on the fairness of government contracting and it costs DoD a lot of money. We owe it to our taxpayers and we owe it to our men and women in uniform to fix this broken system. I look forward to working with you on this, Mr. Driscoll.
Mr. Driscoll: Thank you, Senator.
Senator Warren: Thank you. I yield back.

MIL-OSI USA: Durbin Questions FBI Director Nominee, Kash Patel, About Trump Pardoning The Dangerous January 6 Rioters, Connections To Radical Extremist

US Senate News:

Source: United States Senator for Illinois Dick Durbin

January 30, 2025

In his remarks, Patel could not remember who Stew Peters, a far-right internet personality, is despite going on his podcast eight times; breaks with President Trump on pardoning those who harm law enforcement

WASHINGTON – U.S. Senate Democratic Whip Dick Durbin (D-IL), Ranking Member of the Senate Judiciary Committee, today questioned Kash Patel, President Trump’s nominee to lead the Federal Bureau of Investigation (FBI), during his nomination hearing. Durbin first asked Mr. Patel about President Trump’s decision to pardon the violent January 6 insurrections—several of whom have already been rearrested or are wanted for vile crimes committed prior to January 6, 2021, including soliciting a sexual relationship with a minor.

“[Matthew Huddle] is a man found guilty of numerous crimes… he beat his three-year-old child to a point where the poor kid could not sit down for a week. Mr. Huddle was one of the demonstrators who came to the Capitol on January 6. He was incarcerated and charged and pled guilty to crimes that he had committed—violence against police officers. After he was released by President Trump, he returned to Indiana. A few days later, he was stopped on the road, pulled a gun on a policeman, and the policeman and the sheriff’s deputy shot and killed him. This is not the only instance of a person who received President Trump’s clemency committing another crime. Peter Schwartz was mentioned this morning on the radio—38 criminal convictions. He had been sentenced to 14 years in prison. He was released because of the President’s unconditional clemency as well. My question is this: was President Donald Trump wrong to [grant] blanket clemency for January 6 defendants?” Durbin asked.

In his response, Mr. Patel broke with President Trump and stated, “I do not agree with the commutation of any sentence of any individual who committed violence against law enforcement.”

“Do you think that America is safer because these [1,500] people have come out of serving their sentences and live in our communities again?” Durbin asked.

Mr. Patel responded that he has “always advocated for imprisoning those who cause harm to our law enforcement and civilian communities,” again, breaking away from President Trump’s views.

Durbin continued, “You will not answer the question. I do not think we are safer that Matthew Huddle was sent back to Indiana. I do not think we are safer with Peter Schwartz, and I can go through a long list of individuals.”

Durbin then asked Mr. Patel about his involvement with the “J6 prison choir.” He co-produced, promoted, and sold a record recorded by the so-called “J6 prison choir”—a group of January 6 insurrectionists who were incarcerated in the D.C. jail in February 2023. Mr. Patel has described the choir’s members as “political prisoners.” Notably, he has declined to identify the members of the choir.

Durbin said, “My understanding is that the performers of this ‘J6 choir’ were the rioters who were imprisoned.”

Mr. Patel responded that “he had nothing to do with the recording.”

Durbin followed up, “You are not aware of who made the recording?”

To which Mr. Patel responded “no.”

Durbin then asked about Mr. Patel’s affiliations with problematic individuals. He has frequently associated with—and sometimes praised—extremist figures with well-documented histories of racist, antisemitic, conspiratorial, or violent statements or beliefs.

“In September of 2023 you appeared with Laura Loomer [at] an event promoting your book, [Government Gangsters]. You shared a photo of yourself where you held her book and she held hers. Just a few months before this event, Ms. Loomer posted on ‘X’ that the September 11 terrorists attacks were ‘an inside job’ and accused Florida’s First Lady, Casey DeSantis, of exaggerating her cancer diagnosis to gain voter sympathy. A number of my Republican colleagues have criticized Ms. Loomer’s extremism. One of my colleagues described her as ‘a crazy conspiracy theorist who regularly utters disgusting garbage.’ Given all of this, why did you associate with Ms. Loomer?” Durbin asked.

Mr. Patel dismissed the question.

Durbin then asked about his relationship with Stew Peters—an alt-right internet personality. Between October 2021 and June 2022, Mr. Patel made eight separate appearances on a podcast hosted by Stew Peters. Before and during that stint, Mr. Peters promoted outrageous conspiracy theories and worked with a prominent neo-Nazi. In mid-2021, Mr. Peters promoted a baseless assertion that Chief Justice John Roberts and former Vice President Mike Pence were pedophiles.

“Are you familiar with Mr. Stew Peters? Does that ring a bell?” Durbin asked.

“I’m sorry, what?” Patel said.

“Are you familiar with Mr. Stew Peters?” Durbin asked.

“Not off of the top of my head,” said Patel.

“You made eight separate appearances on his podcast, and he promoted outrageous conspiracy theories and worked with a prominent neo-Nazi. The list goes on. I am just asking when it comes to your association with individuals, why are so many of them in this category?” Durbin asked.

Mr. Patel responded that he went on these seriously problematic podcasts “to take on” people who are putting out conspiracy theories and “de-vow them of their false impressions and to talk to them about the truth.”

Video of Durbin’s first round of questions in Committee is available here.

Audio of Durbin’s first round of questions in Committee is available here.

Footage of Durbin’s first round of questions in Committee is available here for TV Stations.

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MIL-OSI USA: Durbin Shares Constituent Concerns About Trump’s Federal Funding Freeze

US Senate News:

Source: United States Senator for Illinois Dick Durbin

January 30, 2025

In a speech on the Senate floor, Durbin shared the stories of Illinois constituents who would be dramatically impacted by the Trump Administration’s federal funding freeze

WASHINGTON – In a speech on the Senate floor last night, U.S. Senate Democratic Whip Dick Durbin (D-IL) shared stories of constituent calls his office received over the last two days in reaction to the Trump Administration’s decision to issue an Office of Management and Budget (OMB) memo to “temporarily pause all activities related to obligation or disbursement” of trillions of dollars of Federal financial assistance, which caused mass confusion about the funding and operations of hundreds of government-funded programs ranging from Medicaid, to Head Start, to Violence Against Women Act grants. Shortly before the federal funding freeze was set to begin, U.S. District Court Judge Loren L. Alikhan, who was confirmed under Durbin’s tenure as Chair of the Senate Judiciary Committee, temporarily blocked the move by the Trump Administration. The Trump Administration rescinded the memo yesterday but claimed that the federal funding freeze would still take place.

“On Monday night, President Trump threw America into chaos when he abruptly announced a freeze on trillions of dollars in federal grants and loans that so many communities, states, and Americans depend on. The reaction across the nation has been uniform. We had our phone ringing off the hook, computers busy and buzzing, everybody wants to know what does this mean, what has happened,” Durbin said. “Even members of the press were confused, members of Congress were confused, members of the American public were confused. Even members of the President’s own Administration were confused about the intent and scope of the freeze.”

In his remarks, Durbin spoke about the impact of the announcement on Illinoisans, who rely on federal funding to support critical programs and medical research. One woman told Durbin’s office that a halt on federal funding would prevent her brother, who has Down Syndrome, from receiving the care he needs. Another constituent shared that her work on biomedical research would be jeopardized if the Trump Administration’s funding freeze moves forward.

“Toni is a woman from Woodstock, Illinois. She shared with my office that her brother has Down Syndrome, and the care he receives is funded by a federal grant. His health and safety would be at risk if this freeze is allowed to be implemented,” Durbin said.

“Or take Dr. Kay, a professor and scientist at the University of Chicago. Her work depends on funding from the National Institutes of Health and other federal grants. She shared the freeze would ‘interrupt crucial biomedical research, stopping progress, sometimes destroying years’ worth of research that cannot be undone.’ And it would hurt the retention of our nation’s future scientists,” Durbin said.

“Or [take] Sarah, a supporter of community-based organizations that serve youth experiencing homelessness in the city of Chicago. If this freeze, in fact, takes place, the organization will not be able to access the federal funding it needs to provide services for youth, help them escape violence, or help to reunify their families,” Durbin continued.

The OMB memo caused immediate panic across the country as red and blue states’ Medicaid portals shut down and Head Start programs worried that they would not be open the following day to provide critical child care. The Trump Administration failed, when asked repeatedly, to provide clear guidance about what programs would be safe from being defunded.

“Americans across the country faced disruptions in accessing critical funds and services in popular programs like Head Start, Medicaid, and so many more. These are just a few of the many messages my office and others have received from Americans confused, outraged, and impacted by this freeze,” Durbin said.

After Judge Alikhan’s ruling on Monday temporarily blocked the freeze from starting, the Trump Administration claimed to rescind the memo while purporting that the funding freeze would still move forward.

“In response to the backlash from the American public, the organized efforts of many Democratic lawmakers, and the court ruling, President Trump’s Office of Management and Budget today rescinded the memo outlining the funding freeze. But that isn’t the end of the story. The President’s Press Secretary now claims that while the memo ordering the freeze has been rescinded, the freeze itself still stands… How does this make sense, you’re asking? The honest answer is, it doesn’t,” Durbin continued.

“In true Trump fashion, his Administration has made clear that it doesn’t intend to abide by the will of the American people, the letter of the law, or the Constitution. It will do whatever it takes to push through this policy, even if it means hurting Americans across the country,” Durbin said.

Durbin concluded his remarks by reiterating that he will push back against any unconstitutional or harmful policies enacted by the Trump Administration.

“We’re going to continue to fight this unconstitutional, devastating, and grossly unpopular freeze in federal spending. I want every American to know that your voice and participation in our democracy means more now than ever,” Durbin said.

“The President is betting that you won’t notice when he abuses power or breaks the law, that amidst the chaos that surrounds him you will be too confused, jaded, or just too tired to fight back. But I urge Americans to continue monitoring the actions of this new Administration, particularly when they touch you and your family personally,” Durbin said.

Video of Durbin’s remarks on the Senate floor is available here.

Audio of Durbin’s remarks on the Senate floor is available here.

Footage of Durbin’s remarks on the Senate floor is available here for TV Stations.

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MIL-OSI New Zealand: Greens stand with Coromandel locals against Luxon’s destructive mining policy

Source: Green Party

Green Party MP Steve Abel this morning joined Coromandel locals in Waihi to condemn new mining plans announced by Shane Jones in the pit of the town’s Australian-owned Gold mine.

“These communities have successfully opposed mining for the best part of 50 years – Jones’ latest announcement is a mere blip in history that will be undone when there’s a new Green Government,” says Green Party Spokesperson for Resources, Steve Abel.

“They know first-hand that long after the jobs have dried up and the mine bosses have taken the profits overseas the locals are left with a toxic legacy of cyanide tailings dams and acid mine drainage.

“Our public conservation lands exist to protect our rich natural landscapes, and the unique native plants and animals that they sustain.

“When John Key’s National government proposed a similar policy in 2010, 40,000 people marched up Queen Street in vehement opposition. Now, Christopher Luxon is resurrecting the same terrible idea.

“Mining more conservation land was a terrible idea 15 years ago and it’s a worse idea now. The message back in 2010 was clear: conservation land is for all of us, not for the profits of a wealthy few. Nothing’s changed.

“We can’t mine our way to a liveable planet. The resources we need for energy transition need to come from better waste recovery. Coal and gold are not critical minerals.

“We can’t rip, strip and bust our way to real prosperity – our well-being relies on a thriving natural world and a stable climate–and that’s why the extractive mindset is unfit for the 21st century,” says Steve Abel.

MIL-OSI Security: Marshall County Woman Sentenced to 52 Months in Prison for COVID IRS Fraud

Source: Office of United States Attorneys

Oxford, MS – Today U.S. District Court Judge Michael P. Mills sentenced Lakisha Pearson, age 48, of Holly Springs, Mississippi, to a 52-month jail sentence for mail fraud in connection with falsely claimed IRS Employee Retention Tax Credit for others. Judge Mills also ordered Pearson to repay $15,942,586.77 in restitution.

Pearson, who owns Unity Tax Express, pled guilty to using the internet to file false tax credit claims for numerous persons totaling nearly $47 million and taking kickbacks from those persons. The IRS mailed Treasury checks totaling $15,942,586.77 in ERC credits to the claimants who thought they were given a government grant and were not aware that Pearson had filed tax returns on their behalf.

The Coronavirus Aid, Relief, and Economic Security Act (“CARES” Act), enacted on March 27, 2020, provided for an IRS Employee Retention Credit (“ERC”) designed to encourage businesses to keep employees on their payroll during the pandemic. Subsequent legislation (the Taxpayer Certainty and Disaster Tax Relief Act of 2020, the American Rescue Plan Act, and the Infrastructure Investment and Jobs Act) modified and extended the ERC.

“Employee Retention Credits were tax credits designed to provide critical assistance to business owners struggling during the COVID-19 pandemic, but fraudsters and thieves infuriatingly decided to use the credits to line their own pockets during this emergency,” said U.S. Attorney Clay Joyner. “This office plans to pursue charges against all of those who decided to steal from American taxpayers, and we thank the IRS for the investigation of this case.”

“Unscrupulous tax preparers are put on notice that there is a price to pay for using their trusted position to defraud the federal government,” said Assistant Special Agent in Charge, Lisa Fontanette, IRS Criminal Investigation, Atlanta Field Office. “While IRS Criminal Investigation special agents will find and investigate these tax crimes, this case is an important reminder to filers during this tax season to do their research when choosing a tax preparer.”

The scheme in the instant case was initially uncovered during a separate criminal investigation which resulted in Pearson’s conviction for Payroll Protection loans. Pearson awaits sentencing in that case. Assistant U.S. Attorney Paul Roberts prosecuted the case on behalf of U.S. Attorney’s Office for the Northern District of Mississippi. The case was investigated by the IRS Criminal Investigation Division Special Agent T.J. Mitchell.

MIL-OSI Security: Stevensville timber frame home builder convicted of defrauding customers sentenced to more than five years in prison, ordered to pay $1.8 million restitution

Source: Office of United States Attorneys

MISSOULA — A Stevensville timber frame home builder who was convicted at trial of defrauding customers by using their payments for his own personal expenses instead of building them homes was sentenced today to five years and three months in prison and ordered to pay $1,855,025.25 restitution, U.S. Attorney Jesse Laslovich said.

A federal jury in September 2024 convicted the defendant, Brett Mauri, 61, of four counts of wire fraud and two counts of money laundering.

U.S. District Judge Dana L. Christensen presided. The court also ordered the prison term to be followed by three years of supervised release. The court remanded Mauri to the custody of U.S. Marshals Service.

In court documents and at trial, the government alleged that Mauri owned and operated Bitterroot Timber Frames (BTF) and Three Mile Creek Post & Beam, LLC. According to Mauri and the company’s website, BTF built custom timber frame homes across the United States. The government alleged that between 2018 and 2022, Mauri defrauded nine individuals who hired him to build their timber frame homes. Mauri obtained payments from these customers and lied to them about his operations and what he was doing with their money. Mauri ultimately provided little to nothing in return. Mauri’s actions affected nine families and hourly employees he failed to pay.

The scheme involved Mauri inducing customers to send him funds, which were ultimately deposited into his or his wife’s bank accounts. Mauri and his wife primarily used the money for personal expenses, shopping sprees and travel instead of building the homes as he promised. What work Mauri did perform on victims’ projects gave his operation the hallmarks of a Ponzi scheme. He frequently solicited new money from a victim and used the funds, in part, to cover past expenses that were often incurred on earlier projects. In exchange, Mauri provided very little materials or services, and some victims received nothing at all. Those who received some construction work were forced to incur significant expenses to correct Mauri’s substandard product and finish their builds or to sell their land when they realized Mauri’s promises would never come to fruition. Victims had hired Mauri to build homes in the Montana communities of Whitehall, Victor, Corvallis and Missoula, and in New York, Utah, and Louisiana.

The U.S. Attorney’s Office prosecuted the case. The FBI conducted the investigation.

XXX

MIL-OSI United Nations: Myanmar: UN chief urges return to civilian rule as crisis worsens

Source: United Nations 4

By Vibhu Mishra

30 January 2025 Peace and Security

The UN Secretary-General on Thursday said Myanmar’s military must relinquish power to allow a return to civilian rule through an inclusive democratic transition, as the country marks four years since the junta seized power.

Following the coup, President Win Myint and State Counsellor Aung San Suu Kyi were detained and the country was plunged into a humanitarian and human rights crisis that has only worsened amid an intensifying civil conflict.

“Secretary-General António Guterres condemns all forms of violence and calls on all parties to the conflict to exercise maximum restraint, uphold human rights and international humanitarian law, and prevent further incitement of violence and intercommunal tensions,” UN Spokesperson Stéphane Dujarric said in statement.

The situation in Myanmar is in freefall, with nearly 20 million people – a third of the population – expected to need humanitarian aid this year.

Hunger has reached alarming levels, with 15 million people projected to face acute food insecurity in 2025, up from 13.3 million last year. The cost of basic food staples has risen by 30 percent in the past year due to soaring inflation and supply chain disruptions caused by conflict.

“Even if some food is available in local markets, people simply don’t have the resources to buy the basics, which means they are eating less and going hungry,” said Michael Dunford, UN World Food Programme (WFP) Representative in Myanmar.

Conflict, displacement and economic collapse

Fighting between junta forces and opposition armed groups – marked by indiscriminate aerial bombardments, village burnings, and executions – has displaced over 3.5 million people within the country.

Many others have fled across borders seeking safety, particularly in Thailand and Bangladesh.

Those in conflict-affected areas, including Chin, Kachin, Rakhine and Sagaing regions, are suffering the worst levels of food insecurity. The collapse of Myanmar’s economy, combined with access restrictions and disasters, has left communities on the brink.

Concerns over elections

Secretary-General Guterres also expressed concerns over the military’s plan to hold elections, warning that intensifying conflict and widespread human rights violations do not permit free and peaceful polls.

He said more cooperation was essential on the part of political and military leaders to bring an end to hostilities and help the people of Myanmar forge a path towards an inclusive democratic transition.

“A viable future for Myanmar must ensure safety, accountability, and opportunity for all its communities, including the Rohingya, and address the root causes of conflict, discrimination and disenfranchisement in all its forms,” the statement noted.

End the nightmare

Tom Andrews, the UN’s independent human rights expert on Myanmar, criticized the junta’s election plans as “a fraud,” stressing that it is not possible to hold a legitimate vote while arresting, detaining, and executing opposition leaders and criminalizing media freedom.

“Junta forces have slaughtered thousands of civilians, bombed and burned villages, and displaced millions of people. More than 20,000 political prisoners remain behind bars,” he said.

“The economy and public services have collapsed. Famine and starvation loom over large parts of the population,” he added.

Best days lie ahead

Calling on the international community “to help end the nightmare” in Myanmar, Mr. Andrews praised the resilience of Myanmar’s pro-democracy activists, journalists, and humanitarian workers who continue to document abuses and provide aid.

“The resilience and courage of Myanmar’s people continue to amaze and inspire others around the world…These heroic efforts are compelling indicators that Myanmar’s best days lie ahead,” he said.

The Special Rapporteur urged governments to impose stronger sanctions, restrict the junta’s access to weapons and support international justice mechanisms, including efforts to bring Myanmar’s military leaders to justice in the International Criminal Court (ICC).

“Impunity has enabled a decades-long cycle of violence and oppression in Myanmar. Ultimately, this sad chapter of Myanmar’s history must end with junta leaders being prosecuted for their crimes,” he said.

Mandated and appointed by the Geneva-based Human Rights Council, Mr. Andrews is works independently of the UN Secretariat. He is not a staff member and draws no salary.

MIL OSI United Nations News –

MIL-OSI New Zealand: A new direction for the minerals sector to grow the economy

Source: New Zealand Government

Firstly I want to thank OceanaGold for hosting our event today. Your operation at Waihi is impressive. I want to acknowledge local MP Scott Simpson, local government dignitaries, community stakeholders and all of you who have gathered here today.

It’s a privilege to welcome you to the launch of the Minerals Strategy for New Zealand and our Critical Minerals List.

Of course our joint presence fulfils a deeper presence. It is a validation of an industry that has suffered from excessive regulation and poisonous politics. It is a chance to stand with a skilled workforce that is literally worth its weight in gold.

A year of delivery for the minerals sector under the Coalition Government

In May last year I stood in front of a packed hall in Blackball on the West Coast, people who depend on our mineral resources.

I presented to them a vision for the future – a vision that would see our wealth base grow by utilising our mineral reserves to benefit all New Zealanders, increasing our domestic resilience by reducing reliance on imported minerals.

I said this meant owning up to the fact that we will use our indigenous fossil fuels. Resources integral to our modern industrial civilisation. We do have valuable minerals, oil and gas.

These minerals include coal, a vital ingredient to steel-making, a source of energy and jobs, a stream of export earnings.

I spoke of our focus on cutting barriers to development but not corners, and increasing New Zealand’s contributions to global supply chains, especially for minerals that are needed to support the transition to diverse sources of energy.

Dealing with banks

It is not widely known but some barriers are not imposed by government but come in the form of corporate straitjackets. One should look no further than the directors and executives of our banking sector. Some are in thrall to climate group-think.

They are the new corporate gatekeepers, imposing moral priorities under the cover of saving the planet upon regional communities. Not only are they inflicting their luxury beliefs on our farming industry but they are actively de-banking mineral firms.

Kiwi enterprises legitimately operating in the natural resource sector are being driven to despair by these woke-riddled, corporate undertakers.

This malevolence flows from cult like accords fostered within the UN where banks and their sustainability units foolishly believe they can change the weather. New Zealand banks should abandon such agreements as the Net Zero Banking Alliance. These instruments are alien and represent a foreign threat to regional development.

To this end New Zealand First will be introducing a members bill stopping the banks and related corporate bodies from behaving in this harmful manner. We cannot let them hold our economic development to ransom to suit the privileged cabal employed on environmental, social and inclusion matters.

This will include the ability for regulators to remove a bank’s operating licence if it persist with virtue-signalling destructiveness.

As an Associate Finance Minister, I will be working closely with the Minister for Regulation to identify how elements of our bill can be used in the wider government work programme.

I would like to acknowledge the work of ACT MP Mark Cameron on this issue so far. He is a champion for the farming sector.

I want the mining sector on an enduring pathway to boost regional opportunities and jobs, increase our self-sufficiency, to be a critical part of our export-led focus, especially as we take advantage of the global opportunities for new minerals uses.

How can we achieve such outcomes if key intermediaries such as banks and insurance companies are going to bully our Kiwi businesses and their employees out of the economy? When did citizens authorise corporates to use climate extremism to bankrupt firm and family alike?

It is bad enough that Aussie-owned banks are behaving in this predatory manner but it is especially galling that Kiwibank is treating Kiwis in this vein. Had New Zealand First known this would be their attitude we may very well have formed a different view about their recent recapitalisation initiative.

Our Government has progressed in enabling an environment for a responsible and productive minerals sector to thrive.

Resources-friendly policy

We’ve moved quickly to enact policy and legislative fixes. Our upgrades have included introducing the Crown Minerals Amendment Bill that will not only remove the ban on petroleum exploration beyond onshore Taranaki – it will deliver a new tier of minerals permit to make it easier for people to undertake small-scale non-commercial gold mining activity across the country. We expect to finalise and pass the Bill in the coming months.

We’ve made changes to the Resource Management Act to align consenting for coal mining with other forms of mining to reduce barriers that are holding back economic development.

Timely permit decisions are vital in supporting the sector to get to work. Following direction on my expectations, regulator New Zealand Petroleum and Minerals has made significant progress dealing with the backlog of permit decisions while managing the growing influx of new applications as activity ramps up.

Figures for 2024 show a 74 per cent increase in minerals permitting output – that’s the number of outcomes made on minerals applications – compared to the previous calendar year.

In 2023, NZP&M received 288 new and change minerals permit applications and in 2024 it was 447. That is a 55 per cent increase – and a very good indicator of a sector that is really starting to hum.

We have begun our journey to rebuild international investor awareness in our mining sector through the delivery of investment aids such as the GNS Endowment Study. This is a specialist report bringing together extensive technical research to identify short, medium, and long-term prospects for potential development.

We have returned to the international mining stage to make sure New Zealand is back on the agenda for international investors and challenge responsible operators to explore what we have to offer.

Finally, I can’t understate the impact that our new Fast-track Approvals legislation will have in sending well-planned, investment-ready projects along the path of development.

The Act’s broad and overarching purpose statement is to recognise the contributions significant projects such as mining operations can make to our communities and economy.

At long last the gate-keepers behind the outdated Wildlife Act and cumbersome Conservation Act will be brought to heel. On the former there is more to do. Sadly it is often delivered at an operational level in a way inimical to our productivity.

Previously mining companies were unable to secure permits under these statutes for dubious reasons. That has now disappeared. If there are implementation problems the Government will make additional amendments to the law.

A one-stop shop will streamline the pathway to attaining the approvals required for mining activities, removing the multiple application processes operators currently must navigate to mine in New Zealand.

Land access

One of the key areas I see this process improving is concessions for land access. An array of high-value mining and quarrying projects are already approved to travel this consenting pathway.

Officials estimate the number of jobs across the mining projects listed in Schedule 2 of the Fast-track Approvals Act at over 2,500 direct fulltime jobs at peak production. Many of these roles will be well-paying regional jobs with significant opportunities for training and growing skills.

I don’t need to tell the good folks of Waihi that every direct employee of a mining company generates many more job opportunities. The environmental scientists that provide expert advice, the drilling companies that contract with OceanaGold, and all the other skills needed to run a successful operation spread out over the local, regional, and national economy.

For the seven listed mining projects that will generate export revenue, estimates are a peak of $2.5 billion in 2033, with gold playing a big part. This is what our minerals potential looks like.

Going forward, this is what consenting will look like for significant mining projects in our country.

As our industry expands, we need to ensure that Paamu and statutes such as the Queen Elizabeth the Second National Trust Act are fit for purpose and do not inhibit the growth of critical minerals.

When there is opportunity, we are going to say yes

I will make one further note about this Government’s work to provide the certainty that the sector needs to push forward.

Not all conservation land is equal. We have an inordinately large conservation estate of varying quality.

Stewardship land is managed by the Department of Conservation until it is appropriately assessed for its conservation value and classified. Around 30 per cent of conservation areas are held in stewardship – that’s over 2.7 million hectares or 9 per cent of New Zealand’s total land area.

A lot of that land isn’t considered to have special conservation or scenic values, but we do know that there are areas there likely to contain mineral deposits.

This Government supports sustainable and environmentally approved mining on stewardship land and other categories of DOC land but we are very clear that national parks and other land categories identified under schedule 4 of the Crown Minerals Act are not on the table.

It would be remiss of me not to also mention my favourite amphibian, Freddy the Frog at this point. I raise this not in a flippant way, but as realist wanting to have a genuine conversation about how we focus our efforts and limited resources in protecting the natural assets that New Zealanders value most.

It is correct that our Archey’s frog is endangered – but it is not from mining. The real threat to Freddy is the rats, stoats and pigs that populate significant extents of our stewardship and conservation land.

I put to you that the work we are doing to enable responsible mining in New Zealand is the best news Freddy has had for a long time. As part of its listed Fast-track Approvals project, OceanaGold will be stepping up with an intensive predator control programme in the Coromandel Forest Park.

In fact, it’s because of OceanaGold and its specialist conservationists that we have some of the most insightful research collected on the species to date. Over $600,000 towards ecological outcomes around this mining site.

Actually a much larger sum when one considers the broader commercial footprint including Macraes, Otago, South Island. Such a quantum is not possible without a successful business.

It is time for Kiwis to have an honest and considered debate on mining. On this score I am going to pay more attention to the blue collar community than woke collar spongers.

This engagement will lead us to the complex and deadweight nature of our climate change regulations. They are excessive for our small economy. They run the risk of deindustrialisation, exporting jobs and importing carbon.

Of course this is all intertwined with environmental, social and government reporting requirements. dubious value and should be discretionary at best. Green scrub that has spread too far and needs a severe prune.

We need to acknowledge the criticality of minerals to our daily lives, the importance of maintaining a strong, independent economy with well-paying jobs and opportunities in our regions. Why import materials we can perfectly adequately supply ourselves?

Some people argue against minerals extraction, but gladly rely on the conveniences of modern society and economy built by those resources. As our Prime Minister said, we don’t have the luxury of turning off growth.

A strategy to ensure momentum is enduring

Some of you in the sector may be looking at this progress and feeling like we’ve been here before, only for the hard-won momentum to die with a change in Government.

I hear your concerns. I’ve spoken at length about how a lack of long-term, enduring strategic direction has hindered this country in reaping the economic and security benefits our bounty of natural resources presents.

Today we change that.

The Minerals Strategy for New Zealand adopts a strategic lens out to 2040, focusing our approach to the development of our minerals estate with a delivery roadmap to get us there. This is a holistic picture of minerals production from the earth, from reprocessing waste material, and from potential recycling and recovery.

There are three main changes to the strategy follow consultation with New Zealanders.

We have reframed the strategy to have a clear vision, goal and succinct outcomes.

Our key outcomes for the sector are productive, valued, and resilient, and are guided by overarching principles that respect Treaty settlement obligations and ensure responsible practices.

Minerals developments in New Zealand will happen in a responsible manner where environmental guard rails are appropriate to the risks being managed. The protection, the health and safety of our workers, and impacts on regional communities is important.

This means we are working towards sector growth and innovation that contributes to New Zealand’s prosperity. The sector’s performance and responsible practices need to be emphasised. Advocacy and being forward leaning is important. I recognise the sector has been subject to misinformation but the mute button is not an option.

We have updated the goal of doubling our exports to $3 billion by 2035 from the previous goal of $2 billion. Statistics NZ reports that mineral exports for the financial year ending June 2023 totalled $1.46 billion and our submitters were clear – we needed a more ambitious goal.

Finally, I want to assure you that we are not downing tools when there is still work to do. The addition of a Delivery Roadmap clearly sets out the key actions the Government will take to achieve the strategy’s goal and vision.

In the short term, key actions include creating a network to support minerals research and development, making information about minerals and regulations more accessible to potential investors, and engaging with countries to support supply chain resilience for critical minerals.

Longer term, we will deliver a minerals research strategy and address workforce development needs, skills and training programmes.

Through our Minerals Strategy we have formed the foundations. Soon our government will roll out the refreshed approach to inward foreign direct investment. You have told me that an overseas investment process that is efficient, timely and not too costly is important.

We have a pathway forward. A permitting regime which acknowledges the principle of risk proportionality. A recognition that excessive climate net zero regulations will thwart economic growth. A consideration of ecological, community, tangata whenua issues that is balanced and does not present scope for veto power.

An expanded Critical Minerals List

I don’t have to explain to anyone here today how we rely on a wide range of minerals to enable the comforts of our lives. Every road you drive on, every light switch you turn on, our schools, hospitals and homes. All are enabled in some way by the extraction of our natural resources.

If suddenly we couldn’t access aggregate to construct our roads, phosphate to support the growth of our crops or iron sand to make steel for our buildings, our economy would grind to a halt.

On the matter of iron sands, the recent Taharoa RMA hearing process for consents to continue an activity that has been happening for over 50 years was a circus. It shows that more robustness is needed. Hopefully the treatment this firm receives will be inordinately better under the Fast-track processes.

Equally, there is no low emissions energy transition without minerals – no batteries, no electric cars, no wind turbines and no solar panels.

Unfortunately, we have never sought a comprehensive picture of the minerals needs of New Zealand now and in the future, or how we ensure those supplies are secure and affordable.

I am delighted today to release New Zealand’s Critical Minerals List, a holistic picture of the minerals that are economically important and are vulnerable to supply risk or essential to unlocking other critical minerals.

Following public consultation last September, the Critical Minerals List now features 37 minerals, up from 35.

The Coalition Government agreed to include both gold and metallurgical coal, which is used in steelmaking, on the list in recognition of their importance to our minerals sector and economy, and in unlocking other critical minerals.

Together, they represent 80 per cent of our mineral exports, generating export revenues of around $1.2 billion in the year to June 2023.

Simply put, OceanaGold’s Waihi Operation today shows gold investments needs skills, machinery, resources, and capacity to support our modern industrial system.

The legacy of gold- and coal-mining is that of a catalyst for transformation – for our economy, for our development, for our technical skills and trades, and for our place on the world stage.

Future mining in New Zealand will play to our strengths in terms of existing production while we develop new opportunities. That means gold and metallurgical coal.

We will also offer more bespoke and boutique opportunities for the right investors.

Of our 37 critical minerals, we produce or have the potential to produce 21 here in New Zealand. We are a prospective destination for sought-after minerals like antimony and we have operators working rare earth, vanadium and titanium projects – all exciting opportunities for New Zealand to support the international transition to a clean energy future.

Our list will contribute to New Zealand’s work on critical international supply chains and allow us to investigate specific actions for securing better access to the minerals we’ve deemed critical.

This could include preferential pathways and settings for development and supply of minerals on the list, or building international relationships to ensure secure supply of those we can’t produce. This work programme forms part of the Strategy’s delivery roadmap and will kick off shortly.

Close

When I left Blackball last year, I did so with the promise I would continue to be a dogged champion for the minerals sector and the economic prosperity it can offer New Zealand, if done right.

I hope I have shown you that with the work we have done to get the right direction and settings in place, you can have confidence that we have an enduring pathway forward.

This Government is taking an active, deliberate and co-ordinated approach to harnessing the potential of our natural resources to take us from ‘open for business’ to ‘doing business’.

The sector has been a transformative agent in the past, and I expect it to play a transforming role into the future.

MIL-OSI: The First of Long Island Corporation Reports Earnings for the Year Ended December 31, 2024

Source: GlobeNewswire (MIL-OSI)

MELVILLE, N.Y., Jan. 30, 2025 (GLOBE NEWSWIRE) — The First of Long Island Corporation (Nasdaq: FLIC, the “Company” or the “Corporation”), the parent of The First National Bank of Long Island (the “Bank”), reported earnings for the quarter and year ended December 31, 2024.

President and Chief Executive Officer Chris Becker commented on the Company’s results: “Our team is focused on best positioning our company for the future and its pending merger with ConnectOne Bancorp, Inc. In that regard, our net interest margin bottomed out during the first quarter of 2024 and began its recovery during the remainder of the year. Excluding loss on securities in 2023, noninterest income increased nearly 23% largely related to new and recurring fee income categories. Noninterest expense was well controlled with an increase of 1.6% when compared to the prior year after backing out $3.1 million of merger and branch consolidation expenses in 2024. Finally, asset quality remains strong. We look forward to the changes to come in 2025, which will offer new and exciting opportunities to our stockholders, customers, employees and communities.”

Analysis of Earnings – 2024 Earnings

Net income and diluted earnings per share (“EPS”) for the year ended December 31, 2024, were $17.1 million and $0.75, respectively, as compared to $26.2 million and $1.16, respectively, in 2023. The principal drivers of the change in net income were a decline in net interest income of $13.6 million, or 15.7%, and a provision for credit losses of $359,000 as compared to a provision reversal of $326,000 in 2023, partially offset by a loss on sales of securities of $3.5 million in the first quarter of 2023, an increase in remaining noninterest income of $2.2 million, an increase in noninterest expense of $4.1 million and a decrease in income tax expense of $3.5 million. The year ended December 31, 2024 produced a return on average assets (“ROA”) of 0.40%, a return on average equity (“ROE”) of 4.49%, an efficiency ratio of 79.00%, and a net interest margin of 1.83%.

For the year ended December 31, 2024, net interest income declined due to an increase in interest expense of $25.5 million that was only partially offset by an $11.8 million increase in interest income. Year over year, the cost of interest-bearing liabilities increased 90 basis points while the yield on interest-earning assets increased 31 basis points. The Bank’s balance sheet remains liability sensitive, however the pace of repricing of average interest-earning assets began outpacing the repricing of average interest-bearing liabilities in the second half of the year as the Fed’s easing of interest rates allowed the Bank to reduce nonmatured deposit rates.

The Bank recorded a provision for credit losses of $359,000 during 2024, compared to a provision reversal of $326,000 in 2023. The allowance for credit losses declined when compared to year-end 2023 largely due to declines in historical loss rates and reserves on individually evaluated loans, partially offset by a deterioration in current and forecasted economic conditions, including adjustments for rent stabilization status of multifamily properties. The reserve coverage ratio remained stable at 0.88% of total loans at December 31, 2024 as compared to 0.89% at December 31, 2023. Past due loans and nonaccrual loans were at $270,000 and $3.2 million, respectively, on December 31, 2024. Overall credit quality of the loan and investment portfolios remains strong.

Noninterest income, excluding the loss on sales of securities of $3.5 million in the 2023 period, increased $2.2 million, or 22.8%, year over year. Recurring components of noninterest income including bank-owned life insurance (“BOLI”) and service charges on deposit accounts had increases of 8.1% and 11.3%, respectively. Other noninterest income increased 45.7% and included increases of $655,000 in merchant card services, $465,000 in back-to-back swap fees, $377,000 of BOLI benefit payments, and $242,000 in pension income, which were partially offset by a gain on disposition of premises and fixed assets of $240,000 in 2023.

Noninterest expense increased $4.1 million, or 6.4%, for the year ended December 31, 2024, as compared to the prior year. The change in noninterest expense is mainly attributable to branch consolidation and merger expenses of $1.9 million and $1.2 million, respectively. Noninterest expense excluding merger and branch consolidation expenses increased by $1.0 million or 1.6%. The 6.3% year-over-year increase in salaries and employee benefits included a variety of compensation and benefit categories including the vesting of certain awards during the fourth quarter of 2024. The decrease of $554,000 in occupancy and equipment expense was largely due to the ongoing branch optimization strategy. Lower other expenses included a decrease in telecommunication expenses of $510,000 due to efficiencies with system upgrades and a smaller provision for off-balance sheet commitments of $310,000 due to a decrease in off-balance sheet credit exposure.

Income tax expense decreased $3.5 million, and the effective tax rate declined from 11.0% in 2023 to (1.9%) in 2024. The decline in the effective tax rate is mainly due to an increase in the percentage of pre-tax income derived from the Bank’s real estate investment trust, reducing the state and local income tax due. The decrease in income tax expense reflects the lower effective tax rate and a decline in pre-tax income.

Analysis of Earnings – Fourth Quarter 2024 Versus Fourth Quarter 2023

Net income for the fourth quarter of 2024 decreased $2.8 million as compared to the fourth quarter of 2023. The change in net income is mainly attributable to an increase in salaries and employee benefits expense of $2.4 million for substantially the same reasons discussed above with respect to the year-over-year changes, a $1.9 million decline in net interest income along with a $1.4 million increase in branch consolidation expenses. This was partially offset by a provision reversal for credit losses of $381,000 as compared to a provision of $901,000 in the fourth quarter of 2023, back-to-back swap fees of $233,000 and a BOLI benefit payment of $225,000, both recorded in the current period and an increase in merchant card services income of $186,000. The quarter produced a ROA of 0.31%, a ROE of 3.35%, an efficiency ratio of 86.78%, and a net interest margin of 1.83%.

Analysis of Earnings – Fourth Quarter 2024 Versus Third Quarter 2024

Net income for the fourth quarter of 2024 decreased $1.4 million compared to the third quarter of 2024. The decrease in net income was primarily due to an increase in salaries and employee benefits of $856,000, additional branch consolidation expenses of $840,000 and a decrease in net interest income of $573,000, partially offset by a provision reversal for credit losses of $381,000 in the fourth quarter as compared to a provision of $170,000 in the third quarter and a decrease in merger expenses of $571,000. The decline in net interest income was primarily due to a net interest margin decrease of 6 basis points when compared to the linked quarter, which was largely due to lower income on the fair value derivative.

Liquidity

On December 31, 2024, overnight advances and other borrowings were down by $70.0 million and $37.5 million, respectively, from prior year end. At year-end, the Bank had $583.0 million in collateralized borrowing lines with the Federal Home Loan Bank of New York and the Federal Reserve Bank, $20.0 million unsecured line of credit with a correspondent bank and $265.5 million in unencumbered cash and securities. In total, $868.5 million in liquidity was available on December 31, 2024. Uninsured deposits were 45.8% of total deposits at December 31, 2024.

Capital

The Corporation’s capital position remains strong with a leverage ratio of approximately 10.12% on December 31, 2024. Book value per share was $16.77 on December 31, 2024, versus $16.83 on December 31, 2023. The accumulated other comprehensive loss component of stockholders’ equity is mainly comprised of a net unrealized loss in the available-for-sale securities portfolio due to higher market interest rates. The Company declared its quarterly cash dividend of $0.21 per share during the quarter. There were no share repurchases during the quarter.

Forward Looking Information

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

For more detailed financial information please see the Corporation’s Annual Report on Form 10-K for the year ended December 31, 2024. The Form 10-K will be available through the Bank’s website at www.fnbli.com on or about March 12, 2025, when it is anticipated to be electronically filed with the SEC. Our SEC filings are also available on the SEC’s website at www.sec.gov.


CONSOLIDATED BALANCE SHEETS (Unaudited)

	12/31/2024			12/31/2023
	(dollars in thousands)
Assets:
Cash and cash equivalents	$	38,330		$	60,887
Investment securities available-for-sale, at fair value		624,779			695,877

Loans:
Commercial and industrial		136,732			116,163
Secured by real estate:
Commercial mortgages		1,963,107			1,919,714
Residential mortgages		1,084,090			1,166,887
Home equity lines		36,468			44,070
Consumer and other		1,210			1,230
		3,221,607			3,248,064
Allowance for credit losses		(28,331	)		(28,992	)
		3,193,276			3,219,072

Restricted stock, at cost		27,712			32,659
Bank premises and equipment, net		29,135			31,414
Right-of-use asset – operating leases		18,951			22,588
Bank-owned life insurance		117,075			114,045
Pension plan assets, net		11,806			10,740
Deferred income tax benefit		36,192			28,996
Other assets		22,080			19,622
	$	4,119,336		$	4,235,900
Liabilities:
Deposits:
Checking	$	1,074,671		$	1,133,184
Savings, NOW and money market		1,574,160			1,546,369
Time		616,027			591,433
		3,264,858			3,270,986

Overnight advances		—			70,000
Other borrowings		435,000			472,500
Operating lease liability		21,964			24,940
Accrued expenses and other liabilities		18,648			17,328
		3,740,470			3,855,754
Stockholders’ Equity:
Common stock, par value $0.10 per share:
Authorized, 80,000,000 shares;
Issued and outstanding, 22,595,349 and 22,590,942 shares		2,260			2,259
Surplus		79,731			79,728
Retained earnings		354,051			355,887
		436,042			437,874
Accumulated other comprehensive loss, net of tax		(57,176	)		(57,728	)
		378,866			380,146
	$	4,119,336		$	4,235,900


CONSOLIDATED STATEMENTS OF INCOME (Unaudited)

	Year Ended						Three Months Ended
	12/31/2024			12/31/2023			12/31/2024			12/31/2023
	(dollars in thousands)
Interest and dividend income:
Loans	$	137,092		$	127,866		$	34,413		$	33,160
Investment securities:
Taxable		26,412			22,663			5,711			6,786
Nontaxable		3,826			4,954			954			978
		167,330			155,483			41,078			40,924
Interest expense:
Savings, NOW and money market deposits		45,254			32,164			11,617			9,976
Time deposits		27,509			19,267			6,761			6,181
Overnight advances		401			950			9			354
Other borrowings		20,947			16,237			4,664			4,455
		94,111			68,618			23,051			20,966
Net interest income		73,219			86,865			18,027			19,958
Provision (credit) for credit losses		359			(326	)		(381	)		901
Net interest income after provision (credit) for credit losses		72,860			87,191			18,408			19,057

Noninterest income:
Bank-owned life insurance		3,456			3,197			883			814
Service charges on deposit accounts		3,376			3,034			833			791
Net loss on sales of securities		—			(3,489	)		—			—
Gain on disposition of premises and fixed assets		21			240			—			—
Other		5,215			3,354			1,504			792
		12,068			6,336			3,220			2,397
Noninterest expense:
Salaries and employee benefits		39,720			37,373			10,551			8,105
Occupancy and equipment		12,586			13,140			3,297			3,166
Merger expenses		1,161			—			295			—
Branch consolidation expenses		1,934			—			1,387			—
Other		12,763			13,546			3,128			3,536
		68,164			64,059			18,658			14,807
Income before income taxes		16,764			29,468			2,970			6,647
Income tax (credit) expense		(312	)		3,229			(274	)		588
Net income	$	17,076		$	26,239		$	3,244		$	6,059

Share and Per Share Data:
Weighted Average Common Shares		22,527,300			22,550,562			22,548,966			22,586,296
Dilutive restricted stock units		121,393			82,609			221,692			122,961
Dilutive weighted average common shares		22,648,693			22,633,171			22,770,658			22,709,257

Basic EPS	$	0.76		$	1.16		$	0.14		$	0.27
Diluted EPS		0.75			1.16			0.14			0.27
Cash Dividends Declared per share		0.84			0.84			0.21			0.21

FINANCIAL RATIOS
(Unaudited)
ROA		0.40	%		0.62	%		0.31	%		0.57	%
ROE		4.49			7.14			3.35			6.68
Net Interest Margin		1.83			2.16			1.83			2.00
Efficiency Ratio		79.00			65.52			86.78			65.47


PROBLEM AND POTENTIAL PROBLEM LOANS AND ASSETS (Unaudited)

	12/31/2024			12/31/2023
	(dollars in thousands)
Loans including modifications to borrowers experiencing financial difficulty:
Modified and performing according to their modified terms	$	421		$	431
Past due 30 through 89 days		270			3,086
Past due 90 days or more and still accruing		—			—
Nonaccrual		3,229			1,053
		3,920			4,570
Other real estate owned		—			—
	$	3,920		$	4,570

Allowance for credit losses	$	28,331		$	28,992
Allowance for credit losses as a percentage of total loans		0.88	%		0.89	%
Allowance for credit losses as a multiple of nonaccrual loans		8.8	x		27.5	x


AVERAGE BALANCE SHEET, INTEREST RATES AND INTEREST DIFFERENTIAL (Unaudited)

	Year Ended December 31,
	2024								2023
	Average			Interest/		Average			Average			Interest/		Average
(dollars in thousands)	Balance			Dividends		Rate			Balance			Dividends		Rate
Assets:
Interest-earning bank balances	$	60,259		$	3,221		5.35	%	$	48,879		$	2,508		5.13	%
Investment securities:
Taxable (1)		611,936			23,191		3.79			584,450			20,155		3.45
Nontaxable (1) (2)		152,575			4,843		3.17			196,341			6,271		3.19
Loans (1) (2)		3,237,664			137,092		4.23			3,260,903			127,868		3.92
Total interest-earning assets		4,062,434			168,347		4.14			4,090,573			156,802		3.83
Allowance for credit losses		(28,613	)							(30,291	)
Net interest-earning assets		4,033,821								4,060,282
Cash and due from banks		32,207								30,847
Premises and equipment, net		30,700								32,027
Other assets		124,909								112,833
	$	4,221,637							$	4,235,989
Liabilities and Stockholders’ Equity:
Savings, NOW & money market deposits	$	1,591,320			45,254		2.84		$	1,657,947			32,164		1.94
Time deposits		622,229			27,509		4.42			553,096			19,267		3.48
Total interest-bearing deposits		2,213,549			72,763		3.29			2,211,043			51,431		2.33
Overnight advances		7,156			401		5.60			17,529			950		5.42
Other borrowings		446,837			20,947		4.69			380,399			16,237		4.27
Total interest-bearing liabilities		2,667,542			94,111		3.53			2,608,971			68,618		2.63
Checking deposits		1,135,579								1,220,947
Other liabilities		38,159								38,575
		3,841,280								3,868,493
Stockholders’ equity		380,357								367,496
	$	4,221,637							$	4,235,989

Net interest income (2)				$	74,236							$	88,184
Net interest spread (2)							0.61	%							1.20	%
Net interest margin (2)							1.83	%							2.16	%

(1)		The average balances of loans include nonaccrual loans. The average balances of investment securities exclude unrealized gains and losses on available-for-sale securities.
(2)		Tax-equivalent basis. Interest income on a tax-equivalent basis includes the additional amount of interest income that would have been earned if the Corporation’s investment in tax-exempt loans and investment securities had been made in loans and investment securities subject to federal income taxes yielding the same after-tax income. The tax-equivalent amount of $1.00 of nontaxable income was $1.27 for each period presented using the statutory federal income tax rate of 21%.


AVERAGE BALANCE SHEET, INTEREST RATES AND INTEREST DIFFERENTIAL (Unaudited)

	Three Months Ended December 31,
	2024								2023
	Average			Interest/		Average			Average			Interest/		Average
(dollars in thousands)	Balance			Dividends		Rate			Balance			Dividends		Rate
Assets:
Interest-earning bank balances	$	41,393		$	497		4.78	%	$	39,134		$	539		5.46	%
Investment securities:
Taxable (1)		585,774			5,214		3.56			642,590			6,247		3.89
Nontaxable (1) (2)		152,028			1,207		3.18			157,098			1,238		3.15
Loans (1)		3,240,254			34,413		4.25			3,245,232			33,160		4.09
Total interest-earning assets		4,019,449			41,331		4.11			4,084,054			41,184		4.03
Allowance for credit losses		(28,679	)							(29,577	)
Net interest-earning assets		3,990,770								4,054,477
Cash and due from banks		30,311								29,175
Premises and equipment, net		29,868								31,792
Other assets		131,573								105,902
	$	4,182,522							$	4,221,346
Liabilities and Stockholders’ Equity:
Savings, NOW & money market deposits	$	1,597,769			11,617		2.89			1,626,615			9,976		2.43
Time deposits		612,334			6,761		4.39			602,256			6,181		4.07
Total interest-bearing deposits		2,210,103			18,378		3.31			2,228,871			16,157		2.88
Overnight advances		761			9		4.70			25,055			354		5.61
Other borrowings		416,413			4,664		4.46			390,326			4,455		4.53
Total interest-bearing liabilities		2,627,277			23,051		3.49			2,644,252			20,966		3.15
Checking deposits		1,132,122								1,176,276
Other liabilities		37,578								41,063
		3,796,977								3,861,591
Stockholders’ equity		385,545								359,755
	$	4,182,522							$	4,221,346

Net interest income (2)				$	18,280							$	20,218
Net interest spread (2)							0.62	%							0.88	%
Net interest margin (2)							1.83	%							2.00	%

(1)		The average balances of loans include nonaccrual loans. The average balances of investment securities exclude unrealized gains and losses on available-for-sale securities.
(2)		Tax-equivalent basis. Interest income on a tax-equivalent basis includes the additional amount of interest income that would have been earned if the Corporation’s investment in tax-exempt investment securities had been made in investment securities subject to federal income taxes yielding the same after-tax income. The tax-equivalent amount of $1.00 of nontaxable income was $1.27 for each period presented using the statutory federal income tax rate of 21%.

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

MIL-OSI: Baker Hughes Announces Fourth-Quarter and Full-Year 2024 Results

Source: GlobeNewswire (MIL-OSI)

Fourth-quarter highlights

Orders of $7.5 billion, including $3.8 billion of IET orders.
RPO of $33.1 billion, including IET RPO of $30.1 billion.
Revenue of $7.4 billion, up 8% year-over-year.
GAAP diluted EPS of $1.18 and adjusted diluted EPS* of $0.70.
Adjusted EBITDA* of $1,310 million, up 20% year-over-year.
Cash flows from operating activities of $1,189 million and free cash flow* of $894 million.

Full-year highlights

Orders of $28.2 billion, including $13.0 billion of IET orders.
Revenue of $27.8 billion, up 9% year-over-year.
Attributable net income of $2,979 million.
GAAP diluted EPS of $2.98 and adjusted diluted EPS* of $2.35.
Adjusted EBITDA* of $4,591 million, up 22% year-over-year.
Cash flows from operating activities of $3,332 million and free cash flow* of $2,257 million.
Returns to shareholders of $1,320 million, including $484 million of share repurchases.

HOUSTON and LONDON, Jan. 30, 2025 (GLOBE NEWSWIRE) — Baker Hughes Company (Nasdaq: BKR) (“Baker Hughes” or the “Company”) announced results today for the fourth-quarter and full-year 2024.

“2024 proved to be a momentous year for Baker Hughes. We closed out the year with exceptional fourth-quarter results, setting new quarterly and annual records for revenue, free cash flow and our adjusted measures of EPS, EBITDA, and EBITDA margin. Our strategy to drive profitable growth and continuous margin improvement is working. Looking forward, we will continue our journey to transform the Company, and we expect 2025 to demonstrate another strong year of EBITDA growth, led by our IET segment,” said Lorenzo Simonelli, Baker Hughes Chairman and Chief Executive Officer.

“IET booked $3.8 billion of orders in the fourth quarter, supported by strong LNG orders and another gas infrastructure award. Including this strong end to the year, 2024 orders totaled $13 billion, the second highest order year ever. This order performance highlights the end-market diversity and versatility of our portfolio.”

“Overall, our margin increase across both segments continues to demonstrate strong progress on the journey toward 20% segment EBITDA margins. Transformation actions will continue to be a major driver of our margin improvements as we progress through 2025 and beyond. We remain confident in achieving our 20% EBITDA margin targets for OFSE this year and IET in 2026.”

“As reflected in our strong 2024 results and our exceptional margin improvement, Baker Hughes has evolved into a more profitable energy and industrial technology company. Company results are benefiting from strong execution, sharpened commercial focus and improved productivity gains. Our confidence in the durability and growth of our earnings and free cash flow positions us to continue growing our dividend, highlighted by the announcement to increase our quarterly dividend by 10% to $0.23.”

“I would like to thank the Baker Hughes team for yet again delivering outstanding results. As we continue our journey to move Baker Hughes forward, we remain committed to our customers, shareholders, and employees,” concluded Simonelli.

* Non-GAAP measure. See reconciliations in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

	Three Months Ended						Variance
(in millions except per share amounts)	December 31, 2024		September 30, 2024		December 31, 2023		Sequential		Year-over-year
Orders	$	7,496	$	6,676	$	6,904	12	%	9	%
Revenue		7,364		6,908		6,835	7	%	8	%
Net income attributable to Baker Hughes		1,179		766		439	54	%	168	%
Adjusted net income attributable to Baker Hughes*		694		666		511	4	%	36	%
Operating income		665		930		651	(29	)%	2	%
Adjusted operating income*		1,019		930		816	10	%	25	%
Adjusted EBITDA*		1,310		1,208		1,091	8	%	20	%
Diluted earnings per share (EPS)		1.18		0.77		0.43	54	%	171	%
Adjusted diluted EPS*		0.70		0.67		0.51	4	%	37	%
Cash flow from operating activities		1,189		1,010		932	18	%	28	%
Free cash flow*		894		754		633	19	%	41	%

* Non-GAAP measure. See reconciliations in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

Certain columns and rows in our tables and financial statements may not sum up due to the use of rounded numbers.

Quarter Highlights

Industrial & Energy Technology (“IET”) recorded another strong quarter of gas infrastructure orders, booking an equipment award from Tecnicas Reunidas for the third expansion phase of the Jafurah unconventional gas field in the Kingdom of Saudi Arabia. Gas Technology Equipment (“GTE”) will supply a total of 12 electric motor-driven compression trains and auxiliary treatment equipment for gas processing. This contract builds upon Baker Hughes’ long-standing relationship with Aramco and follows previous contract awards in 2022, bringing the total to 24 electric motor-driven compressors and an additional 14 compressors supplied by Baker Hughes for multiple Jafurah gas processing plants.

In demonstration of its well-established leadership position in liquefied natural gas (“LNG”) technology solutions, Baker Hughes received multiple project awards in the fourth quarter. As part of a master equipment supply agreement, IET received a major contract to provide a modularized LNG system and power island to Venture Global. IET also received, from Bechtel Energy, a GTE award to supply eight LM6000 PF+ driven main refrigeration compressors and eight expander compressors across two LNG trains for a nameplate capacity of approximately 11 million ton per annum for Phase 1 of Woodside Energy’s Louisiana project.

Gas Technology Services (“GTS”) continues to demonstrate leadership in turbomachinery aftermarket service, booking several notable service and upgrade awards to backlog. GTS signed a long-term services agreement to support Phases 1 and 2 of Venture Global’s Plaquemines LNG project, and also signed a 25-year services agreement with a NextDecade affiliate to support its Rio Grande LNG facility. Additionally, GTS received an award from an energy operator to provide planned maintenance activities to assure reliability, availability, and efficiency of turbomachinery at their LNG facility in Asia Pacific. The capabilities of IET’s iCenter™ will also be utilized to drive improved outcomes for the customer. Finally, GTS booked multiple upgrade awards for gas infrastructure projects in the Middle East and Europe.

Climate Technology Solutions (“CTS”) secured multiple awards targeting flare reduction. As announced at COP29 in Baku, Azerbaijan, CTS will provide SOCAR, the state-owned oil company of Azerbaijan, with an integrated gas recovery and hydrogen sulfide removal system to significantly reduce downstream flaring at the Heydar Aliyev Oil Refinery. Separately in the Middle East, CTS will supply electric-driven centrifugal compressors for one of the largest gas processing and flare gas recovery projects globally.

Oilfield Services & Equipment (“OFSE”), through its Mature Assets Solutions (“MAS”) offering, received a multi-year contract from Eni to help unlock bypassed reserves in one of Europe’s largest developments. Baker Hughes will utilize its AutoTrak eXact™ rotary steerable drilling system to reduce risks and execution costs for Eni. OFSE also booked another MAS award in the Middle East to provide artificial lift services in a super-giant oilfield, including advanced permanent magnet motors for improved electric submersible pump efficiency.

Baker Hughes experienced a strong order quarter for flexible pipe systems in Brazil. Following a third-quarter 2024 award, OFSE received another flexible pipe systems award from Petrobras after an open tender, reinforcing this important relationship and Baker Hughes’ leading position in the product line. The capability of Baker Hughes’ flexible pipe systems to address the critical issue of stress-induced corrosion cracking from CO₂ resulted in this significant award for approximately 48 miles of flexible pipe systems to be installed across four different fields. Additionally, OFSE received an order from Brava Energia to supply 9 miles of flexible pipe systems to be deployed in the Campos Basin.

OFSE also advanced its digitalization and artificial intelligence capabilities, signing an agreement with AIQ, ADNOC and CORVA to launch the AI Rate of Penetration (ROP) Optimization initiative. The project aims to enhance drilling efficiency in real-time by providing insights and recommendations for optimizing weight on bit, rotations per minute and other critical parameters.

Consolidated Revenue and Operating Income by Reporting Segment

(in millions)	Three Months Ended									Variance
	December 31, 2024			September 30, 2024			December 31, 2023			Sequential		Year-over-year
Oilfield Services & Equipment	$	3,871		$	3,963		$	3,956		(2	)%	(2	)%
Industrial & Energy Technology		3,492			2,945			2,879		19	%	21	%
Segment revenue		7,364			6,908			6,835		7	%	8	%

Oilfield Services & Equipment		526			547			492		(4	)%	7	%
Industrial & Energy Technology		584			474			412		23	%	42	%
Corporate⁽¹⁾		(91	)		(91	)		(88	)	—	%	(3	)%
Inventory impairment⁽²⁾		(73	)		—			(2	)	NM		NM
Restructuring, impairment and other		(281	)		—			(163	)	NM		(73	)%
Operating income		665			930			651		(29	)%	2	%
Adjusted operating income*		1,019			930			816		10	%	25	%
Depreciation & amortization		291			278			274		5	%	6	%
Adjusted EBITDA*	$	1,310		$	1,208		$	1,091		8	%	20	%

* Non-GAAP measure. See reconciliations in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

“NM” is used when the percentage variance is not meaningful.

⁽¹⁾Corporate costs are primarily reported in “Selling, general and administrative” in the consolidated statements of income (loss).

⁽²⁾Charges for inventory impairments are reported in “Cost of goods sold” in the consolidated statements of income (loss).

Revenue for the fourth quarter of 2024 was $7,364 million, an increase of 7% sequentially and an increase of 8% year-over-year. The increase in revenue year-over-year was driven by IET.

The Company’s total book-to-bill ratio in the fourth quarter of 2024 was 1.0; the IET book-to-bill ratio was 1.1.

Operating income as determined in accordance with accounting principles generally accepted in the United States of America (“GAAP”), for the fourth quarter of 2024 was $665 million. Operating income decreased $265 million sequentially and increased $13 million year-over-year. Restructuring, impairment, and other charges were $281 million in the fourth quarter of 2024, primarily related to streamlining of the OFSE operating model.

Adjusted operating income (a non-GAAP financial measure) for the fourth quarter of 2024 was $1,019 million, which excludes adjustments totaling $354 million. A list of the adjusting items and associated reconciliation from GAAP has been provided in Table 1a in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.” Adjusted operating income for the fourth quarter of 2024 was up 10% sequentially and up 25% year-over-year.

Depreciation and amortization for the fourth quarter of 2024 was $291 million.

Adjusted EBITDA (a non-GAAP financial measure) for the fourth quarter of 2024 was $1,310 million, which excludes adjustments totaling $354 million. See Table 1b in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.” Adjusted EBITDA for the fourth quarter was up 8% sequentially and up 20% year-over-year.

The sequential increase in adjusted operating income and adjusted EBITDA was driven by higher volume in IET and structural cost-out initiatives in both segments, primarily offset by lower volume in OFSE. The year-over-year increase in adjusted operating income and adjusted EBITDA was driven by higher pricing and structural cost-out initiatives in both segments, and increased volume in IET primarily from higher proportionate growth in GTE, partially offset by decreased volume in OFSE and cost inflation in both segments.

Other Financial Items

Remaining Performance Obligations (“RPO”) in the fourth quarter of 2024 ended at $33.1 billion, a decrease of $0.3 billion from the third quarter of 2024. OFSE RPO was $3.0 billion, down 6% sequentially, while IET RPO was $30.1 billion, down $100 million sequentially. Within IET RPO, GTE RPO was $11.8 billion and GTS RPO was $15.0 billion.

Income tax benefit in the fourth quarter of 2024 was $398 million reflecting the impact of a valuation allowance release in the U.S. The valuation allowance has been released primarily as a result of the U.S. moving into a cumulative three-year profit position.

Other non-operating income in the fourth quarter of 2024 was $181 million. Included in other non-operating income were net mark-to-market gains in fair value and gains from sale for certain equity investments of $196 million.

GAAP diluted earnings per share was $1.18. Adjusted diluted earnings per share (a non-GAAP financial measure) was $0.70. Excluded from adjusted diluted earnings per share were all items listed in Table 1c in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

Cash flow from operating activities was $1,189 million for the fourth quarter of 2024. Free cash flow (a non-GAAP financial measure) for the quarter was $894 million. A reconciliation from GAAP has been provided in Table 1d in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

Capital expenditures, net of proceeds from disposal of assets, were $295 million for the fourth quarter of 2024, of which $195 million was for OFSE and $87 million was for IET.

Results by Reporting Segment

The following segment discussions and variance explanations are intended to reflect management’s view of the relevant comparisons of financial results on a sequential or year-over-year basis, depending on the business dynamics of the reporting segments.

Oilfield Services & Equipment

(in millions)	Three Months Ended									Variance
Segment results	December 31, 2024			September 30, 2024			December 31, 2023			Sequential		Year-over-year
Orders	$	3,740		$	3,807		$	3,874		(2	)%	(3	)%
Revenue	$	3,871		$	3,963		$	3,956		(2	)%	(2	)%
Operating income	$	526		$	547		$	492		(4	)%	7	%
Operating margin		13.6	%		13.8	%		12.4	%	-0.2pts		1.1pts
Depreciation & amortization	$	229		$	218		$	217		5	%	6	%
EBITDA*	$	755		$	765		$	709		(1	)%	7	%
EBITDA margin*		19.5	%		19.3	%		17.9	%	0.2pts		1.6pts

(in millions)	Three Months Ended						Variance
Revenue by Product Line	December 31, 2024		September 30, 2024		December 31, 2023		Sequential		Year-over-year
Well Construction	$	943	$	1,050	$	1,122	(10	)%	(16	)%
Completions, Intervention, and Measurements		1,022		1,009		1,086	1	%	(6	)%
Production Solutions		974		983		990	(1	)%	(2	)%
Subsea & Surface Pressure Systems		932		921		758	1	%	23	%
Total Revenue	$	3,871	$	3,963	$	3,956	(2	)%	(2	)%

(in millions)	Three Months Ended						Variance
Revenue by Geographic Region	December 31, 2024		September 30, 2024		December 31, 2023		Sequential		Year-over-year
North America	$	971	$	971	$	1,018	—	%	(5	)%
Latin America		661		648		708	2	%	(7	)%
Europe/CIS/Sub-Saharan Africa		740		933		707	(21	)%	5	%
Middle East/Asia		1,499		1,411		1,522	6	%	(2	)%
Total Revenue	$	3,871	$	3,963	$	3,956	(2	)%	(2	)%

North America	$	971	$	971	$	1,018	—	%	(5	)%
International		2,900		2,992		2,938	(3	)%	(1	)%

* Non-GAAP measure. See reconciliations in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.” EBITDA margin is defined as EBITDA divided by revenue.

OFSE orders of $3,740 million for the fourth quarter of 2024 decreased by $67 million sequentially. Subsea and Surface Pressure Systems orders were $802 million, up 3% sequentially, and up 23% year-over-year.

OFSE revenue of $3,871 million for the fourth quarter of 2024 was down 2% sequentially, and down 2% year-over-year.

North America revenue was $971 million, flat sequentially. International revenue was $2,900 million, down 3% sequentially, driven by declines in Europe/CIS/Sub-Saharan Africa region partially offset by growth in Middle East/Asia and Latin America.

Segment operating income for the fourth quarter was $526 million, a decrease of $22 million, or 4%, sequentially. Segment EBITDA for the fourth quarter of 2024 was $755 million, a decrease of $10 million, or 1% sequentially. The sequential decrease in segment operating income and EBITDA was driven by lower volume, partially mitigated by positive price and productivity from structural cost-out initiatives.

Industrial & Energy Technology

(in millions)	Three Months Ended									Variance
Segment results	December 31, 2024			September 30, 2024			December 31, 2023			Sequential		Year-over-year
Orders	$	3,756		$	2,868		$	3,030		31	%	24	%
Revenue	$	3,492		$	2,945		$	2,879		19	%	21	%
Operating income	$	584		$	474		$	412		23	%	42	%
Operating margin		16.7	%		16.1	%		14.3	%	0.6pts		2.4pts
Depreciation & amortization	$	56		$	54		$	51		4	%	8	%
EBITDA*	$	639		$	528		$	463		21	%	38	%
EBITDA margin*		18.3	%		17.9	%		16.1	%	0.4pts		2.2pts

(in millions)	Three Months Ended						Variance
Orders by Product Line	December 31, 2024		September 30, 2024		December 31, 2023		Sequential		Year-over-year
Gas Technology Equipment	$	1,865	$	1,088	$	1,297	71	%	44	%
Gas Technology Services		902		778		808	16	%	12	%
Total Gas Technology		2,767		1,866		2,105	48	%	31	%
Industrial Products		515		494		514	4	%	—	%
Industrial Solutions		320		293		288	9	%	11	%
Total Industrial Technology		835		787		802	6	%	4	%
Climate Technology Solutions		154		215		123	(28	)%	25	%
Total Orders	$	3,756	$	2,868	$	3,030	31	%	24	%

(in millions)	Three Months Ended						Variance
Revenue by Product Line	December 31, 2024		September 30, 2024		December 31, 2023		Sequential		Year-over-year
Gas Technology Equipment	$	1,663	$	1,281	$	1,206	30	%	38	%
Gas Technology Services		796		697		714	14	%	11	%
Total Gas Technology		2,459		1,978		1,920	24	%	28	%
Industrial Products		548		520		513	5	%	7	%
Industrial Solutions		282		257		276	10	%	2	%
Total Industrial Technology		830		777		789	7	%	5	%
Climate Technology Solutions		204		191		170	7	%	20	%
Total Revenue	$	3,492	$	2,945	$	2,879	19	%	21	%

* Non-GAAP measure. See reconciliations in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.” EBITDA margin is defined as EBITDA divided by revenue.

IET orders of $3,756 million for the fourth quarter of 2024 increased by $726 million, or 24% year-over-year. The increase was driven primarily by GTE orders which were up $568 million, or 44% year-over-year.

IET revenue of $3,492 million for the fourth quarter of 2024 increased $613 million, or 21% year-over-year. The increase was driven primarily by Gas Technology, up 28% year-over-year.

Segment operating income for the quarter was $584 million, an increase of $172 million, or 42% year-over-year. Segment EBITDA for the quarter was $639 million, an increase of $176 million, or 38% year-over-year. The year-over-year increase in segment operating income and segment EBITDA was driven by increased volume primarily from higher proportionate growth in GTE, positive pricing, and productivity, partially offset by cost inflation.

2024 Total Year Results

(in millions)	Twelve Months Ended						Variance
	December 31, 2024			December 31, 2023			Year-over-year
Oilfield Services & Equipment	$	15,240		$	16,344		(7)%
Industrial & Energy Technology		13,000			14,178		(8)%
Orders	$	28,240		$	30,522		(7)%

Oilfield Services & Equipment	$	15,628		$	15,361		2%
Industrial & Energy Technology		12,201			10,145		20%
Segment Revenue	$	27,829		$	25,506		9%

Oilfield Services & Equipment	$	1,988		$	1,746		14%
Industrial & Energy Technology		1,830			1,310		40%
Corporate⁽¹⁾		(363	)		(380	)	5%
Inventory impairment⁽²⁾		(73	)		(35	)	(110)%
Restructuring, impairment & other		(301	)		(323	)	7%
Operating income		3,081			2,317		33%
Adjusted operating income *		3,455			2,676		29%
Depreciation & amortization		1,136			1,087		4%
Adjusted EBITDA *	$	4,591		$	3,763		22%

* Non-GAAP measure. See reconciliations in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

⁽¹⁾Corporate costs are primarily reported in “Selling, general and administrative” in the consolidated statements of income (loss).

⁽²⁾Charges for inventory impairments are reported in “Cost of goods sold” in the consolidated statements of income (loss).

Reconciliation of GAAP to non-GAAP Financial Measures

Management provides non-GAAP financial measures because it believes such measures are widely accepted financial indicators used by investors and analysts to analyze and compare companies on the basis of operating performance (including adjusted operating income; EBITDA; EBITDA margin; adjusted EBITDA; adjusted net income attributable to Baker Hughes; and adjusted diluted earnings per share) and liquidity (free cash flow) and that these measures may be used by investors to make informed investment decisions. Management believes that the exclusion of certain identified items from several key operating performance measures enables us to evaluate our operations more effectively, to identify underlying trends in the business, and to establish operational goals for certain management compensation purposes. Management also believes that free cash flow is an important supplemental measure of our cash performance but should not be considered as a measure of residual cash flow available for discretionary purposes, or as an alternative to cash flow from operating activities presented in accordance with GAAP.

Table 1a. Reconciliation of GAAP and Adjusted Operating Income

	Three Months Ended						Twelve Months Ended
	December 31,		September 30,		December 31,		December 31,
(in millions)		2024		2024		2023		2024		2023
Operating income (GAAP)	$	665	$	930	$	651	$	3,081	$	2,317
Restructuring, impairment & other		281		—		163		301		323
Inventory impairment⁽¹⁾		73		—		2		73		35
Total operating income adjustments		354		—		165		375		358
Adjusted operating income (non-GAAP)	$	1,019	$	930	$	816	$	3,455	$	2,676

⁽¹⁾Charges for inventory impairments are reported in “Cost of goods sold” in the consolidated statements of income (loss).

Table 1a reconciles operating income, which is the directly comparable financial result determined in accordance with GAAP, to adjusted operating income. Adjusted operating income excludes the impact of certain identified items.

Table 1b. Reconciliation of Net Income Attributable to Baker Hughes to EBITDA and Adjusted EBITDA

	Three Months Ended								Twelve Months Ended
	December 31,			September 30,			December 31,		December 31,
(in millions)		2024			2024			2023		2024			2023
Net income attributable to Baker Hughes (GAAP)	$	1,179		$	766		$	439	$	2,979		$	1,943
Net income attributable to noncontrolling interests		11			8			11		29			27
Provision (benefit) for income taxes		(398	)		235			72		257			685
Interest expense, net		54			55			45		198			216
Other non-operating (income) loss, net		(181	)		(134	)		84		(382	)		(554	)
Operating income (GAAP)		665			930			651		3,081			2,317
Depreciation & amortization		291			278			274		1,136			1,087
EBITDA (non-GAAP)		956			1,208			926		4,216			3,405
Total operating income adjustments⁽¹⁾		354			—			165		375			358
Adjusted EBITDA (non-GAAP)	$	1,310		$	1,208		$	1,091	$	4,591		$	3,763

⁽¹⁾See Table 1a for the identified adjustments to operating income.

Table 1b reconciles net income attributable to Baker Hughes, which is the directly comparable financial result determined in accordance with GAAP, to EBITDA. Adjusted EBITDA excludes the impact of certain identified items.

Table 1c. Reconciliation of Net Income Attributable to Baker Hughes to Adjusted Net Income Attributable to Baker Hughes

	Three Months Ended									Twelve Months Ended
	December 31,			September 30,			December 31,			December 31,
(in millions, except per share amounts)		2024			2024			2023			2024			2023
Net income attributable to Baker Hughes (GAAP)	$	1,179		$	766		$	439		$	2,979		$	1,943
Total operating income adjustments⁽¹⁾		354			—			165			375			358
Other adjustments (non-operating)⁽²⁾		(189	)		(99	)		89			(335	)		(554	)
Tax adjustments⁽³⁾		(650	)		(1	)		(181	)		(663	)		(124	)
Total adjustments, net of income tax		(485	)		(100	)		72			(623	)		(320	)
Less: adjustments attributable to noncontrolling interests		—			—			—			—			—
Adjustments attributable to Baker Hughes		(485	)		(100	)		72			(623	)		(320	)
Adjusted net income attributable to Baker Hughes (non-GAAP)	$	694		$	666		$	511		$	2,356		$	1,622


Denominator:
Weighted-average shares of Class A common stock outstanding diluted		999			999			1,010			1,001			1,015
Adjusted earnings per share – diluted (non-GAAP)	$	0.70		$	0.67		$	0.51		$	2.35		$	1.60

⁽¹⁾See Table 1a for the identified adjustments to operating income.

⁽²⁾All periods primarily reflect the net gain or loss on changes in fair value for certain equity investments.

⁽³⁾All periods reflect the tax associated with the other operating and non-operating adjustments. 4Q’24 and fiscal year 2024 include $664 million and 4Q’23 and fiscal year 2023 include $81 million, respectively, related to the release of valuation allowances for certain deferred tax assets.

Table 1c reconciles net income attributable to Baker Hughes, which is the directly comparable financial result determined in accordance with GAAP, to adjusted net income attributable to Baker Hughes. Adjusted net income attributable to Baker Hughes excludes the impact of certain identified items.

Table 1d. Reconciliation of Net Cash Flows From Operating Activities to Free Cash Flow

	Three Months Ended									Twelve Months Ended
	December 31,			September 30,			December 31,			December 31,
(in millions)		2024			2024			2023			2024			2023
Net cash flows from operating activities (GAAP)	$	1,189		$	1,010		$	932		$	3,332		$	3,062
Add: cash used for capital expenditures, net of proceeds from disposal of assets		(295	)		(256	)		(298	)		(1,075	)		(1,016	)
Free cash flow (non-GAAP)	$	894		$	754		$	633		$	2,257		$	2,045

Table 1d reconciles net cash flows from operating activities, which is the directly comparable financial result determined in accordance with GAAP, to free cash flow. Free cash flow is defined as net cash flows from operating activities less expenditures for capital assets plus proceeds from disposal of assets.

Financial Tables (GAAP)

Condensed Consolidated Statements of Income (Loss) (Unaudited)

	Three Months Ended
(In millions, except per share amounts)	December 31, 2024			September 30, 2024			December 31, 2023
Revenue	$	7,364		$	6,908		$	6,835
Costs and expenses:
Cost of revenue		5,833			5,366			5,386
Selling, general and administrative		585			612			634
Restructuring, impairment and other		281			—			163
Total costs and expenses		6,699			5,978			6,183
Operating income		665			930			651
Other non-operating income (loss), net		181			134			(84	)
Interest expense, net		(54	)		(55	)		(45	)
Income before income taxes		792			1,009			522
Benefit (provision) for income taxes		398			(235	)		(72	)
Net income		1,190			774			450
Less: Net income attributable to noncontrolling interests		11			8			11
Net income attributable to Baker Hughes Company	$	1,179		$	766		$	439

Per share amounts:
Basic income per Class A common share	$	1.19		$	0.77		$	0.44
Diluted income per Class A common share	$	1.18		$	0.77		$	0.43

Weighted average shares:
Class A basic		990			993			1,001
Class A diluted		999			999			1,010

Cash dividend per Class A common share	$	0.21		$	0.21		$	0.20

Condensed Consolidated Statements of Income (Loss) (Unaudited)

	Year Ended December 31,
(In millions, except per share amounts)		2024			2023			2022
Revenue	$	27,829		$	25,506		$	21,156
Costs and expenses:
Cost of revenue		21,989			20,255			16,756
Selling, general and administrative		2,458			2,611			2,510
Restructuring, impairment and other		301			323			705
Total costs and expenses		24,748			23,189			19,971
Operating income		3,081			2,317			1,185
Other non-operating income (loss), net		382			554			(911	)
Interest expense, net		(198	)		(216	)		(252	)
Income before income taxes		3,265			2,655			22
Provision for income taxes		(257	)		(685	)		(600	)
Net income (loss)		3,008			1,970			(578	)
Less: Net income attributable to noncontrolling interests		29			27			23
Net income (loss) attributable to Baker Hughes Company	$	2,979		$	1,943		$	(601	)

Per share amounts:
Basic income (loss) per Class A common share	$	3.00		$	1.93		$	(0.61	)
Diluted income (loss) per Class A common share	$	2.98		$	1.91		$	(0.61	)

Weighted average shares:
Class A basic		994			1,008			987
Class A diluted		1,001			1,015			987

Cash dividend per Class A common share	$	0.84		$	0.78		$	0.73

Condensed Consolidated Statements of Financial Position (Unaudited)

	December 31,
(In millions)		2024		2023
ASSETS
Current Assets:
Cash and cash equivalents	$	3,364	$	2,646
Current receivables, net		7,122		7,075
Inventories, net		4,954		5,094
All other current assets		1,771		1,486
Total current assets		17,211		16,301
Property, plant and equipment, less accumulated depreciation		5,127		4,893
Goodwill		6,078		6,137
Other intangible assets, net		3,951		4,093
Contract and other deferred assets		1,730		1,756
All other assets		4,266		3,765
Total assets	$	38,363	$	36,945
LIABILITIES AND EQUITY
Current Liabilities:
Accounts payable	$	4,542	$	4,471
Short-term and current portion of long-term debt		53		148
Progress collections and deferred income		5,672		5,542
All other current liabilities		2,724		2,830
Total current liabilities		12,991		12,991
Long-term debt		5,970		5,872
Liabilities for pensions and other postretirement benefits		988		978
All other liabilities		1,359		1,585
Equity		17,055		15,519
Total liabilities and equity	$	38,363	$	36,945

Outstanding Baker Hughes Company shares:
Class A common stock		990		998

Condensed Consolidated Statements of Cash Flows (Unaudited)

	Three Months Ended December 31,			Twelve Months Ended December 31,
(In millions)		2024			2024			2023
Cash flows from operating activities:
Net income	$	1,190		$	3,008		$	1,970
Adjustments to reconcile net income to net cash flows from operating activities:
Depreciation and amortization		291			1,136			1,087
Benefit for deferred income taxes		(706	)		(671	)		(59	)
Gain on equity securities		(196	)		(367	)		(555	)
Stock-based compensation cost		49			202			197
Property, plant and equipment impairment, net		77			77			(1	)
Gain on business dispositions		—			—			(40	)
Working capital		63			7			42
Other operating items, net		421			(60	)		421
Net cash flows provided by operating activities		1,189			3,332			3,062
Cash flows from investing activities:
Expenditures for capital assets		(353	)		(1,278	)		(1,224	)
Proceeds from disposal of assets		58			203			208
Proceeds from sale of equity securities		71			92			372
Proceeds from business dispositions		—			—			293
Net cash paid for acquisitions		—			—			(301	)
Other investing items, net		6			(33	)		(165	)
Net cash flows used in investing activities		(218	)		(1,016	)		(817	)
Cash flows from financing activities:
Repayment of long-term debt		(9	)		(143	)		(651	)
Dividends paid		(208	)		(836	)		(786	)
Repurchase of Class A common stock		(9	)		(484	)		(538	)
Other financing items, net		(8	)		(64	)		(53	)
Net cash flows used in financing activities		(234	)		(1,527	)		(2,028	)
Effect of currency exchange rate changes on cash and cash equivalents		(37	)		(71	)		(59	)
Increase in cash and cash equivalents		700			718			158
Cash and cash equivalents, beginning of period		2,664			2,646			2,488
Cash and cash equivalents, end of period	$	3,364		$	3,364		$	2,646
Supplemental cash flows disclosures:
Income taxes paid, net of refunds	$	307		$	1,040		$	595
Interest paid	$	99		$	298		$	309

Supplemental Financial Information

Supplemental financial information can be found on the Company’s website at: investors.bakerhughes.com in the Financial Information section under Quarterly Results.

Conference Call and Webcast

The Company has scheduled an investor conference call to discuss management’s outlook and the results reported in today’s earnings announcement. The call will begin at 9:30 a.m. Eastern time, 8:30 a.m. Central time on Friday, January 31, 2025, the content of which is not part of this earnings release. The conference call will be broadcast live via a webcast and can be accessed by visiting the Events and Presentations page on the Company’s website at: investors.bakerhughes.com. An archived version of the webcast will be available on the website for one month following the webcast.

Forward-Looking Statements

This news release (and oral statements made regarding the subjects of this release) may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, (each a “forward-looking statement”). Forward-looking statements concern future circumstances and results and other statements that are not historical facts and are sometimes identified by the words “may,” “will,” “should,” “potential,” “intend,” “expect,” “would,” “seek,” “anticipate,” “estimate,” “overestimate,” “underestimate,” “believe,” “could,” “project,” “predict,” “continue,” “target”, “goal” or other similar words or expressions. There are many risks and uncertainties that could cause actual results to differ materially from our forward-looking statements. These forward-looking statements are also affected by the risk factors described in the Company’s annual report on Form 10-K for the annual period ended December 31,2024; and those set forth from time to time in other filings with the Securities and Exchange Commission (“SEC”). The documents are available through the Company’s website at: www.investors.bakerhughes.com or through the SEC’s Electronic Data Gathering and Analysis Retrieval system at: www.sec.gov. We undertake no obligation to publicly update or revise any forward-looking statement, except as required by law. Readers are cautioned not to place undue reliance on any of these forward-looking statements.

Our expectations regarding our business outlook and business plans; the business plans of our customers; oil and natural gas market conditions; cost and availability of resources; economic, legal and regulatory conditions, and other matters are only our forecasts regarding these matters.

These forward-looking statements, including forecasts, may be substantially different from actual results, which are affected by many risks, along with the following risk factors and the timing of any of these risk factors:

Economic and political conditions – the impact of worldwide economic conditions and rising inflation; the impact of tariffs and the potential for significant increases thereto; the effect that declines in credit availability may have on worldwide economic growth and demand for hydrocarbons; foreign currency exchange fluctuations and changes in the capital markets in locations where we operate; and the impact of government disruptions and sanctions.
Orders and RPO – our ability to execute on orders and RPO in accordance with agreed specifications, terms and conditions and convert those orders and RPO to revenue and cash.
Oil and gas market conditions – the level of petroleum industry exploration, development and production expenditures; the price of, volatility in pricing of, and the demand for crude oil and natural gas; drilling activity; drilling permits for and regulation of the shelf and the deepwater drilling; excess productive capacity; crude and product inventories; liquefied natural gas supply and demand; seasonal and other adverse weather conditions that affect the demand for energy; severe weather conditions, such as tornadoes and hurricanes, that affect exploration and production activities; Organization of Petroleum Exporting Countries (“OPEC”) policy and the adherence by OPEC nations to their OPEC production quotas.
Terrorism and geopolitical risks – war, military action, terrorist activities or extended periods of international conflict, particularly involving any petroleum-producing or consuming regions, including Russia and Ukraine; and the recent conflict in the Middle East; labor disruptions, civil unrest or security conditions where we operate; potentially burdensome taxation, expropriation of assets by governmental action; cybersecurity risks and cyber incidents or attacks; epidemic outbreaks.

About Baker Hughes:

Baker Hughes (Nasdaq: BKR) is an energy technology company that provides solutions for energy and industrial customers worldwide. Built on a century of experience and conducting business in over 120 countries, our innovative technologies and services are taking energy forward – making it safer, cleaner and more efficient for people and the planet. Visit us at bakerhughes.com

For more information, please contact:

Investor Relations

Chase Mulvehill
+1 346-297-2561
investor.relations@bakerhughes.com

Media Relations

Adrienne Lynch
+1 713-906-8407
adrienne.lynch@bakerhughes.com

MIL-Evening Report: Friday essay: Seize the day – Virginia Woolf’s Mrs Dalloway at 100

Source: The Conversation (Au and NZ) – By Naomi Milthorpe, Senior Lecturer in English, University of Tasmania

I’m at the park with my daughter, who is jumping in and out of puddles, splashing, shrieking at me (Mum! Look what I can do!), as I read frantically, taking one-handed notes on my phone (Mum! Look at this!). Part of me wishes I could enjoy with her this moment of pleasure in movement. The other, more insistent part is thinking about this essay: where to start, what to say, how to sum up the extraordinary legacy of the book I’m re-reading, Virginia Woolf’s Mrs Dalloway, which this year marks 100 years since its first publication in 1925. How am I supposed to write about this book?

If you were to read a synopsis, it might seem like a book purely for an academic specialist (which, admittedly, I am). One day in London in June 1923, an ageing rich woman, Clarissa Dalloway, prepares to give a party. Across town, a shell-shocked Great War veteran, Septimus Warren Smith, loses his grip on sanity. Between them oscillate other characters: Clarissa’s former lover Peter Walsh, Clarissa’s husband Richard and daughter Elizabeth, Elizabeth’s tutor Doris Kilman, Septimus’s wife Rezia, and his doctors Holmes and Bradshaw.

Like that other modernist monument, James Joyce’s Ulysses (1922), Mrs Dalloway is explicitly quotidian. It follows ordinary people through ordinary activities on an ordinary day – shopping, walking in the park, riding the bus, going to appointments, mending a dress. As Woolf’s characters go about their day, scenes and impressions are filtered through their individual consciousnesses, threaded together with language, images and memories.

The novel opens with the famous line “Mrs Dalloway said she would buy the flowers herself”, a sentence remarkable for its banality, as well as for its commitment to the in medias res plunge into life that Woolf was so keen on. The iconic status of the line is demonstrated by the number of online parodies it inspires, perhaps only surpassed by William Carlos Williams’s poem This Is Just To Say, which has become a verified meme.

A new seam

On Good Friday 1924, Woolf wrote on a page of the manuscript she was drafting – then called “The Hours” – that “I will write whatever I want to write.” She could write whatever she wanted to write because she owned her own publishing house, The Hogarth Press. The actual press was in the basement of her suburban Richmond home.

Mrs Dalloway, first edition dust jacket, with cover art by Vanessa Bell. The Hogarth Press, 1925.
Public domain, via Wikimedia Commons

Mrs Dalloway was the second of Woolf’s novels to be self-published in this way. Being a small-press publisher allowed her to experiment formally in ways that would have been impossible if she was working with a mainstream publisher. In A Writer’s Diary, she describes her process as both exploratory and technical. On August 30, 1923, she wrote: “I dig out beautiful caves behind my characters”. Later, in October 1924: “I practise writing; do my scales”.

I recently co-hosted a conference here in Hobart, which included a panel on contemporary Tasmanian experimental writing. The writers who spoke that day talked of the struggle to place work that pushed the boundaries of form and genre. A hundred years after Woolf’s efforts to unearth what she called a new “seam”, commercial imperatives continue to constrain writers and their work.

Despite Woolf’s refusal to compromise with mainstream tastes, Mrs Dalloway was well received. Her contemporaries recognised the novel’s importance immediately. “An intellectual triumph”, proclaimed P.C. Kennedy in the New Statesman; “a cathedral”, pronounced E.M. Forster in the New Criterion.

It sold moderately well: 1,500 copies within about a month of its publication on May 14 – more than her prior novel, Jacob’s Room, had sold in a year. Her biographer Hermione Lee records that in 1926 income from writing allowed Woolf and her husband Leonard to install a hot water range and toilet at their country home.

Woolf’s novel was revolutionary for its depiction of same-sex attraction and mental illness, as well as for its challenge to the novel form and representation of time. Clarissa remembers the jolt of desire she felt as an 18-year-old for her friend Sally Seton, who kisses her on the terrace of her house at Bourton:

the most exquisite moment of her whole life passing a stone urn with flowers in it. Sally stopped; picked a flower; kissed her on the lips. The whole world might have turned upside down! The others disappeared; there she was alone with Sally. And she felt that she had been given a present, wrapped up, and told just to keep it, not to look at it – a diamond, something infinitely precious, wrapped up, which, as they walked (up and down, up and down), she uncovered, or the radiance burnt through, the revelation, the religious feeling!

Clarissa, made “virginal” in middle age by illness and marital boredom, is surprised by this irrupting memory. She connects it to her sense of joy in life itself: “the moment of this June morning on which was the pressure of all the other mornings […] collecting the whole of her at one point”.

Clarissa and Septimus Smith – though they never meet – are shadow versions of each other. Both have beaky noses, thin pale birdlike bodies, and histories of illness.

Septimus, so capable as a soldier in the Great War, buries the trauma of seeing his commanding officer Evans killed, only to have it resurface in visual and aural hallucinations, of Evans behind the trees, and birds singing in Greek. He perceives, as Clarissa does, the burden of the past upon the present, and he suffers as a result of the coercion of the social system – what Woolf’s narrator ironises as the sister goddesses Conversion and Proportion.

“Worshipping proportion […] made England prosper”, because proportion forbids despair, illness, and emotional extremes. Conversion, the strong arm of Empire, “offers help, but desires power; smites out of her way roughly the dissentient, the dissatisfied”. Conversion “loves blood better than brick, and feasts most subtly on the human will”. Together, they suck the life from those who cannot or will not comply with them.

For Septimus, who has witnessed the dreadful disproportion of the war, ordinary social life becomes a torturous pressure cooker, a “gradual drawing together of everything to one centre before his eyes, as if some horror had come almost to the surface and was about to burst into flames”. A reviewer for the Times Literary Supplement emphasised this aspect of its experimentalism:

Watching Mrs Woolf’s experiment, certainly one of the hardest and very subtly planned, one reckons up its cost. To get the whole value of the present you must enhance it, perhaps, with the past.

Watching my daughter lark about is shadowed by the two surgeries she had in early childhood to correct her developmental hip dysplasia. I hear her screech with joy in the park, rocketing about freely; I hear her scream in pain in the hospital, encased in plaster from the midsection down. As Woolf knew, the past and the present are experienced within us simultaneously.

Doubled experience

“In this book I have almost too many ideas,” Woolf wrote in her diary on June 19, 1923. “I want to give life and death, sanity and insanity; I want to criticise the social system, and to show it at work, at its most intense.”

Woolf’s ideas have inspired scores of interpretations, focusing on time, space, reality, psychology, domesticity, history, sexual relations, politics, fashion, the environment, health and illness. She is now probably the most written-about 20th century English author. I can remember vividly first reading this novel as an undergraduate, after which I devoured Woolf’s revolutionary 1929 essay A Room of One’s Own, which criticised the educational, economic and social constraints that prevented women, in many instances, from writing anything at all.

Cover of the first edition of A Room of One’s Own (1929).
Public domain.

Woolf, of course, could and did write. This was a function, as she knew, of her financial and class privilege. Feminist politics has progressed beyond Woolf, but she laid one of the foundation stones. In her fiction, she modelled a method of writing that critiques patriarchal thinking. She focuses our attention on overlooked individuals and their inner lives, and she splendidly undoes the Victorian conception of plot.

The same year Woolf published Mrs Dalloway, she also published her important collection of essays, The Common Reader. The first piece in that book, on the medieval letters of the Paston family, describes the illumination cast by these ordinary, non-literary pieces of writing:

Like all collections of letters, they seem to hint that we need not care overmuch for the fortunes of individuals. The family will go on, whether Sir John lives or dies. It is their method to heap up in mounds of insignificant and often dismal dust the innumerable trivialities of daily life, as it grinds itself out, year after year. And then suddenly they blaze up; the day shines out, complete, alive, before our eyes.

Mrs Dalloway encompasses this doubled experience of insignificance and blazing life. Woolf writes of the past emerging into the present day and the present’s capacity to reshape the past. In her diary, she called this her “tunnelling process, by which I tell the past in instalments, as I have need of it”.

In tunnelling through narrative, digging out caves behind her characters, Woolf flung out a lot of what seems to be dust – buying flowers, ogling girls, table manners and weight gain, advertising, letter writing, doctor’s appointments, eating eclairs in a department store cafe. The novel reminds us of these moments’ triviality, and their significance, through repeated reference to the bells and clocks of London striking the hour.

This is why the opening line – and the novel as a whole – is so remarkable. It catches drops of shimmering reality from moments that can so easily go unremarked. This, Woolf knew, was what writing needed to do: to stop time. As she wrote of the Pastons’ letters: “There is the ancient day, spread out before us, hour by hour.”

Portrait of Virginia Woolf – Roger Fry (1917)
Public domain, via Wikimedia Commons

Her metaphor shows that Woolf’s thinking about time also had a spatial dimension. These two dimensions of space and time structure Mrs Dalloway’s theme and method, As David Daiches explained in his 1939 book The Novel and the Modern World, Woolf first links a series of different perspectives through a single shared moment in time – marked by the sound of the bells – then switches to an individual perspective, anchored in space, and moves through that individual’s memories.

Woolf wrote in her diary that “the caves shall connect and each comes to daylight at the present moment.” Daiches diagrammed these relations in time and space as a series of connected trees, arguing that they illustrated the novel’s concern with “the importance of contact and at the same time the necessity of keeping the self inviolable, of the extremes of isolation and domination”.

A legacy of inspiration

Since its publication, Mrs Dalloway has continued to inspire. For second-wave feminism, Woolf was a touchstone. Since the 1970s, she has enjoyed an unparalleled position in the history of 20th century letters, inspiring the recovery of other contemporaneous women writers connected with the Bloomsbury group.

Michael Cunningham’s The Hours, Robin Lippincott’s Mr Dalloway and John Lanchester’s Mr Phillips all appeared in the three years between 1998 and 2000, all of them reflecting Woolf’s legacy, tacitly or explicitly.

Because of the Oscar-winning film adaptation by Stephen Daldry, Cunningham’s novel is the most recognisable of these three. The Hours revises Mrs Dalloway through the stories of three women: Virginia Woolf herself; Laura Brown, a 1950s housewife who reads Mrs Dalloway; and Clarissa Vaughan, nicknamed Mrs Dalloway by her former lover Richard, for whom she throws a literary party.

Cunningham’s novel counterpoints, as Woolf did, the work of living with the work of art. The homemaker Laura Brown tries to bake a cake to equal a work of art, hoping “to be as satisfied and as filled with anticipation as a writer putting down the first sentence, a builder beginning to draw the plans.” Later, her delirious dying son Richard regrets what he views as the failure of his art to compete with simply living:

I wanted to create something alive and shocking enough that it could stand beside a morning in somebody’s life. The most ordinary morning. Imagine trying to do that. What foolishness.

More recently, Michelle Cahill’s Daisy & Woolf (2023) and Miranda Darling’s Thunderhead (2024) have wrestled with Mrs Dalloway the character, and with Woolf’s legacy. Darling’s novel revives a new “Mrs” Dalloway, Winona, a wealthy Sydney suburban writer, wife and mother, who struggles to break through “to something more real” than the constraint of middle class domestication.

Cahill’s Daisy & Woolf explores a minor character from Mrs Dalloway, whom Woolf failed to make properly live: Daisy Simmons, Peter Walsh’s Anglo-Indian fiancee. In Woolf’s novel, Daisy exists entirely offstage. She is a romantic memory of Peter’s, “dark, adorably pretty”. Daisy, writes Cahill, is

trapped in the past, in a moment, a vignette, but not the kind that would enter a room, open a window, to a life inside, a life in the mind, as it does for Clarissa with a squeak of hinges on the very first page of Mrs Dalloway! Not a real girl, Daisy, too arch perhaps, the air not stirring for her, seeing as she has no present tense.

Cahill’s present-day narrator Mina, writing back to Woolf, sees Daisy as a fully fleshed character: a mixed-race woman living in Calcutta in the twilight of Empire, as the Indian independence movement grows in strength. In recovering Daisy’s rich personal and political history, narrated through letters to Peter, Cahill reclaims interiority for this marginalised character.

In her 1937 essay Craftsmanship, the BBC broadcast of which is the only surviving recording of her voice, Woolf wrote: “Words, English words, are full of echoes, of memories, of associations.”

Mrs Dalloway shows us the ways that words can both connect and sever. Characters pass each other on the street, muse on a shared past, or witness the same event from different vantage points and through different filters of personality and psyche. As Hermione Lee explained, for Woolf “the really important life was ‘within’”.

Peter remembers Clarissa’s theory of life, which is expounded on top of a bus going down Shaftesbury Avenue:

She felt herself everywhere; not here here here; […] but everywhere. […] so that to know her, or any one, one must seek out the people who completed them; even the places […] since our apparitions, the part of us which appears, are so momentary compared with the other, the unseen part of us, which spreads wide, the unseen might survive, be recovered somehow attached to this person or that, or even haunting certain places, after death.

Late in the book, Septimus’s suicide is reported to Clarissa at the party. “Oh,” she thinks, “in the middle of my party, here’s death”. And in the middle of her party, Clarissa feels not only the disaster of death – “her disaster, her disgrace […] and she forced to stand here in her evening dress” – but the deep pulsing joy of life. “Nothing could be slow enough; nothing last too long.”

In certain lights – to paraphrase Michael Cunningham – Mrs Dalloway might look like the book of one’s own life, a book that will locate you, parent you, arm you for life’s changes. As an undergraduate, I was mesmerised by Woolf’s language and her grasp on the inner life.

Though Clarissa Dalloway is 52, Woolf turned 43 the year her novel was published. I’m turning 43 this year, too. Woolf, ravaged by long periods of illness and partially toothless, thought of herself as elderly. I do not, though I am no longer young. But to re-read this novel at this age reminds me to relish these long hours and short years: to sniff flowers, feel the lift of the gusting wind, jump and splash with my children, read the patterns made by the clouds. To seize the day.

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

– ref. Friday essay: Seize the day – Virginia Woolf’s Mrs Dalloway at 100 – https://theconversation.com/friday-essay-seize-the-day-virginia-woolfs-mrs-dalloway-at-100-246331

MIL OSI Analysis – EveningReport.nz –

MIL-OSI Canada: Amplifying Alberta’s call for U.S. partnership

Source: Government of Canada regional news

Shane Getson, MLA for Lac. Ste. Anne-Parkland and Justin Wright, MLA for Cypress-Medicine Hat will spearhead this mission to the U.S. as they rejoin U.S. legislators and officials for the Pacific NorthWest Economic Region (PNWER) 2025 capital visits. Their time in Salem will build on conversations that MLAs had with key decision makers and delegates during the first round of PNWER Capital Visits held throughout the month of January.

MLAs Getson and Wright will help to reinforce conversations that Premier Smith had with lawmakers and officials in the U.S. capital during the week of President Trump’s inauguration, further solidifying Alberta as the answer to North American energy, food and data security.

“Alberta’s membership in PNWER has offered us a valuable platform for forging partnerships and having important conversations that have helped form the foundations of our long-standing, mutually beneficial relationship with the U.S. – a relationship that is more important than ever. The economies of Alberta and the U.S. are highly integrated, which is why Alberta has found, and will continue to find allies at the state level on issues of importance to our province – particularly energy security.”

Shane Getson, MLA for Lac. Ste. Anne-Parkland

“I look forward to this opportunity to lend my voice to the important conversation we are having with our U.S. friends and allies as Alberta’s government continues its efforts to enhance this important trade relationship and promote the common interests that bring Albertans and Americans together.”

Justin Wright, MLA for Cypress-Medicine Hat

While in Salem, MLAs Getson and Wright will participate in meetings with state leadership, Pacific Northwest legislators, academia and corporate leaders to promote the valuable role Alberta can play in supporting North American energy dominance. Other priority topics will include addressing border issues, securing supply chains and economic corridors, and enhancing mutually beneficial trade and investment that will ensure our economies churn out the jobs and goods Americans and Canadians rely on.

PNWER is a non-partisan, public/private partnership that was established in 1991 to advance the economic well-being, quality of life and common interests of its 10 member jurisdictions, which include the states of Alaska, Idaho, Oregon, Montana and Washington, the provinces of British Columbia, Alberta and Saskatchewan, and the Yukon and Northwest Territories.

Mission expenses will be posted on the travel and expense disclosure page.

Quick facts

The U.S. is Alberta’s largest trading partner and Alberta is the second-largest provincial exporter to the U.S.
In 2023, Alberta’s exports to the U.S. totalled C$156 billion, accounting for about 90 per cent of total provincial exports in 2023.
- Energy products accounted for about C$127.5 billion, or 82 per cent, of the province’s exports to the U.S.
- Other important export sectors included plastics, forestry, meat and machinery.
In 2023, Alberta imported about C$25.8 billion in products from the U.S., including energy, machinery, aircrafts, vehicles and plastics.
The Pacific Northwest is an important trade region for Alberta. In 2023, bilateral trade between Alberta and the PNWER U.S. member states totalled C$25.7 billion.
Alberta’s government takes comments made by President Donald Trump about imposing a 25 per cent tariff on all Canadian exports to the U.S. very seriously.
Alberta’s government does not support tariffs on Canadian exports or U.S. imports. Tariffs on Canadian and U.S. goods make life more expensive for everyday Canadians and everyday Americans.

Itinerary for MLAs Getson and Wright*

Feb. 3	Travel to Salem, OR.
Feb. 4-5	Meet with U.S. legislators and officials as part of the PNWER 2025 Capital Visits.
Feb. 6	Travel to Alberta.

*Subject to change.

Related information

Pacific NorthWest Economic Region (PNWER)

Related news

Championing unity with our partners in the U.S. (Jan. 10, 2025)
Promoting an era of parnership with the U.S. (Jan. 17, 2025)

MIL OSI Canada News –

MIL-OSI Canada: Expanding Connect Care access for paramedics

Alberta’s government is committed to making sure front-line health care workers have the tools necessary to deliver the highest quality of care, especially in emergencies where every second counts. By improving access to critical patient information, this initiative will strengthen the efficiency and quality of emergency care for all Albertans.

Starting Jan. 30, paramedics providing front-line care will have view-only access to Connect Care. They will be able to look up the most up-to-date health information, including medication lists, lab results, electrocardiograms and medical imaging. Allowing paramedics to view patient records on site will empower them to make informed clinical decisions and improve patient outcomes during critical moments.

“The introduction of Connect Care view-only access is a crucial advancement for our emergency medical services. This initiative reflects our commitment to equipping our paramedics with the necessary tools to deliver timely and informed care, ensuring the safety and well-being of Albertans in their most vulnerable moments.”

Adriana LaGrange, Minister of Health

From June to August 2024, Alberta Health Services (AHS) piloted Connect Care view-only access with fixed-wing air ambulance paramedics stationed in Calgary and Medicine Hat. The pilot assessed the training, access and use of Connect Care, with paramedics providing positive feedback. The trial demonstrated improvements in clinical decision-making and patient safety, leading to the decision for a provincewide rollout.

“Paramedics have a multitude of abilities that make them a valuable part of the health care system. Having swift access to additional tools/data will notably assist them in providing enhanced care to all Albertans.”

Len Stelmaschuk, president, Alberta Paramedic Association

Connect Care operates with rigorous oversight, including a 24-hour Smart Audit system, which flags any unusual activities for immediate review by the AHS privacy breach team. Comprehensive training and support will be provided to ensure a smooth transition, including user guides and other resources to help paramedics access the system.

“Paramedics are highly skilled health professionals who deliver exceptional care, relying both on their clinical expertise and information gathered from patients and bystanders. The expansion of Connect Care view-only access represents a transformative advancement in emergency medical services, enhancing their ability to deliver even higher levels of care.”

Anne MacDonald, acting senior program officer, EMS, Alberta Health Services

Alberta’s government recognizes the essential role a fully integrated clinical documentation system plays in promoting collaboration among health care providers. This expansion of Connect Care access is a significant step forward in ensuring paramedics have timely access to patient health information when it’s most crucial for Albertans.

Quick facts

Connect Care view-only access will be provided to both AHS emergency medical services paramedics as well as contract service providers delivering front-line care.

Related information

Connect Care

MIL OSI Canada News –

MIL-OSI New Zealand: Major milestone reached with launch of Minerals Strategy and Critical Minerals List

Source: New Zealand Government

Resources Minister Shane Jones has launched New Zealand’s national Minerals Strategy and Critical Minerals List, documents that lay a strategic and enduring path for the mineral sector, with the aim of doubling exports to $3 billion by 2035.
Mr Jones released the documents, which present the Coalition Government’s transformative vision for the sector and identify minerals essential to our economy, at OceanaGold’s Waihi Operation in Hauraki today.
“I’ve spoken at length about how a lack of long-term strategic direction has hindered this country in reaping the economic and security benefits our natural resources present. I am delighted to say that that ends now,” Mr Jones says.
The creation of the strategy and list have come about through coalition agreement between New Zealand First and National to investigate the country’s mineral resources, including vanadium, and devise a plan to develop opportunities.
“Through the Minerals Strategy this Government has formed the foundations of a considered, enduring approach to minerals development that prioritises delivering for New Zealanders, now and into the future, by supporting a productive and resilient economy through responsible and sustainable practices. This is a holistic picture of minerals production from the land and sea, from reprocessing waste material, and from potential recycling and recovery.
“The final strategy addresses the feedback received during consultation with our three key outcomes refocused around productivity, value, and resilience, guided by overarching principles to honour Te Tiriti o Waitangi obligations and responsible practices. With revised export statistics from Statistics NZ, we are now targeting a goal of doubling our exports to $3b by 2035, up from the previous target of $2b, with a roadmap for how we will get there,” Mr Jones says.
Following public consultation, the Critical Minerals List now features 37 minerals, up from 35 in the draft list.
“The key change to the Critical Minerals List is the addition of gold and metallurgical coal in recognition of their importance to our minerals sector. Together, they represent 80 per cent of our mineral exports, generating export revenues of around $1.2b in the year to June 2023.
“Simply put, New Zealand wouldn’t have the skills, machinery, resources, and capability to support a modern and responsible mining sector without them,” Mr Jones says.
“With the increasing demand and volatility in international markets, I want New Zealand to contribute to the growing critical minerals market as a trusted and reliable partner, particularly where we can support global mineral supply chains of minerals necessary for clean energy technologies.
“Of the 37 minerals included on the list, we produce or have the potential to produce 21 here in New Zealand. We are a prospective destination for sought-after minerals like antimony and we have operators working rare earth, vanadium and titanium projects, which I note are all ways for New Zealand to support a transition to a clean energy future.”
The Minerals Strategy and Critical Minerals List are the latest government initiatives led by Mr Jones to unleash the potential of New Zealand’s natural resources to boost regional opportunities and jobs, increase self-sufficiency, and support an export-led recovery for the economy.
“This Government sees increasing the scale and pace of mineral resources development as a key pillar of a strong economy, as well as international trade, co-operation and investment,” Mr Jones says.
“Our minerals sector will increase national and regional prosperity, strengthen critical supply chains, and leverage our relationships and international partnerships to drive economic benefits for New Zealanders. As I have said before, our minerals sector has been a transformative agent for our country in the past, and it will play a transforming role into the future.”

MIL-OSI: Home Federal Bancorp, Inc. of Louisiana Reports Results of Operations for the Three and Six Months Ended December 31, 2024

Source: GlobeNewswire (MIL-OSI)

Shreveport, La, Jan. 30, 2025 (GLOBE NEWSWIRE) — Home Federal Bancorp, Inc. of Louisiana (the “Company”) (Nasdaq: HFBL), the holding company of Home Federal Bank, reported net income for the three months ended December 31, 2024, of $1.02 million compared to net income of $1.00 million reported for the three months ended December 31, 2023. The Company’s basic and diluted earnings per share were $0.33 for the three months ended December 31, 2024 and December 31, 2023. The Company reported net income of $2.0 million for the six months ended December 31, 2024, compared to $2.2 million for the six months ended December 31, 2023. The Company’s basic and diluted earnings per share were $0.64 for the six months ended December 31, 2024 compared to $0.73 and $0.72, respectively, for the six months ended December 31, 2023.

The Company reported the following highlights during the six months ended December 31, 2024:

Nonperforming assets totaled $1.8 million, or 0.30% of total assets at December 31, 2024 compared to $1.9 million, or 0.30% of total assets, at June 30, 2024.
There were no advances from the FHLB at December 31, 2024 or June 30, 2024.
Other borrowings totaled $4.0 million at December 31, 2024 compared to $7.0 million at June 30, 2024.

The increase in net income for the three months ended December 31, 2024, as compared to the same period in 2023 resulted primarily from a decrease of $413,000, or 9.7%, in non-interest expense and an increase of $351,000, or 256.2%, in non-interest income, partially offset by an increase of $383,000, or 195.4%, in provision for income taxes, a decrease of $303,000, or 6.2%, in net interest income, and an increase of $61,000, or 381.3%, in the provision for credit losses. The decrease in net interest income for the three months ended December 31, 2024, as compared to the same period in 2023, was primarily due to a decrease of $422,000, or 5.2%, in total interest income, partially offset by a decrease of $119,000, or 3.7%, in total interest expense. The Company’s average interest rate spread was 2.40% for the three months ended December 31, 2024, compared to 2.45% for the three months ended December 31, 2023. The Company’s net interest margin was 3.12% for the three months ended December 31, 2024, compared to 3.14% for the three months ended December 31, 2023.

The decrease in net income for the six months ended December 31, 2024, as compared to the same period in 2023 resulted primarily from a decrease of $1.2 million, or 11.4%, in net interest income and an increase of $71,000, or 62.3%, in provision for income taxes, partially offset by a decrease of $591,000, or 7.0%, in non-interest expense, an increase of $216,000, or 37.8%, in non-interest income, and an increase of $162,000 in the recovery of credit losses. The decrease in net interest income for the six months ended December 31, 2024, as compared to the same period in 2023, was primarily due to a decrease of $755,000, or 4.7%, in total interest income and an increase of $405,000, or 6.8%, in total interest expense. The Company’s average interest rate spread was 2.32% for the six months ended December 31, 2024 compared to 2.60% for the six months ended December 31, 2023. The Company’s net interest margin was 3.06% for the six months ended December 31, 2024 compared to 3.26% for the six months ended December 31, 2023.

The following tables set forth the Company’s average balances and average yields earned and rates paid on its interest-earning assets and interest-bearing liabilities for the periods indicated.

	For the Three Months Ended December 31,
	2024					2023
	Average Balance		Average Yield/Rate			Average Balance		Average Yield/Rate
	(Dollars in thousands)
Interest-earning assets:
Loans receivable	$	457,553		5.89	%	$	507,844		5.78	%
Investment securities		96,715		2.19			109,485		2.43
Interest-earning deposits		29,653		4.47			1,751		2.95
Total interest-earning assets	$	583,921		5.20	%	$	619,080		5.18	%

Interest-bearing liabilities:
Savings accounts	$	90,696		1.71	%	$	73,228		0.40	%
NOW accounts		70,685		1.26			65,252		0.43
Money market accounts		79,365		2.21			95,763		2.49
Certificates of deposit		188,929		4.03			212,792		4.01
Total interest-bearing deposits		429,675		2.75			447,035		2.57
Other bank borrowings		4,489		7.16			9,202		8.58
FHLB advances		–		–			5,379		5.75
Total interest-bearing liabilities	$	434,164		2.80	%	$	461,616		2.73	%

	For the Six Months Ended December 31,
	2024					2023
	Average Balance		Average Yield/Rate			Average Balance		Average Yield/Rate
	(Dollars in thousands)
Interest-earning assets:
Loans receivable	$	461,531		5.88	%	$	503,043		5.79	%
Investment securities		96,732		2.14			111,535		2.46
Interest-earning deposits		27,635		4.81			5,843		3.43
Total interest-earning assets	$	585,898		5.21	%	$	620,421		5.16	%

Interest-bearing liabilities:
Savings accounts	$	86,626		1.66	%	$	75,900		0.39	%
NOW accounts		71,736		1.18			66,639		0.41
Money market accounts		77,290		2.29			102,327		2.37
Certificates of deposit		196,443		4.17			203,779		3.88
Total interest-bearing deposits		432,095		2.83			448,645		2.43
Other bank borrowings		5,239		7.50			8,928		8.47
FHLB advances		–		–			3,259		5.66
Total interest-bearing liabilities	$	437,334		2.89	%	$	460,832		2.57	%

The $351,000 increase in non-interest income for the three months ended December 31, 2024, compared to the prior year quarterly period, was primarily due to a decrease of $369,000 in loss on sale of real estate, an increase of $62,000 in other non-interest income, and an increase of $2,000 in income on bank owned life insurance, partially offset by a decrease of $71,000 in gain on sale of loans, an increase of $6,000 in loss on sale of securities, and a decrease of $5,000 in service charges on deposit accounts. The $216,000 increase in non-interest income for the six months ended December 31, 2024 compared to the prior year six-month period was primarily due to a decrease of $149,000 in loss on sale of real estate, an increase of $88,000 in other non-interest income, and an increase of $4,000 in income from bank owned life insurance, partially offset by a decrease of $14,000 in gain on sale of loans, an increase of $6,000 in loss on sale of securities, and a decrease of $5,000 in service charges on deposit accounts.

The $413,000 decrease in non-interest expense for the three months ended December 31, 2024, compared to the same period in 2023, is primarily attributable to decreases of $163,000 in franchise and bank shares tax expense, $132,000 in other non-interest expense, $99,000 in compensation and benefits expense, $80,000 in audit and examination fees, $53,000 in professional fees, $38,000 in advertising expense, $33,000 in deposit insurance premium expense, $13,000 in amortization of core deposit intangible expense, $7,000 in occupancy and equipment expense, and $2,000 in loan and collection expense. The decreases were partially offset by an increase of $207,000 in data processing expense. The $591,000 decrease in non-interest expense for the six months ended December 31, 2024, compared to the same six-month period in 2023, is primarily attributable to decreases of $153,000 in compensation and benefits expense, $151,000 in franchise and bank shares tax expense, $124,000 in advertising expense, $105,000 in other non-interest expense, $96,000 in professional fees, $50,000 in audit and examination fees, $34,000 in loan and collection expense, $34,000 in deposit insurance premium expense, and $33,000 in amortization of core deposit intangible expense. The decreases were partially offset by increases of $180,000 in data processing expense and $9,000 in occupancy and equipment expense.

Total assets decreased $29.7 million, or 4.7%, from $637.5 million at June 30, 2024 to $607.8 million at December 31, 2024. The decrease in assets was comprised of decreases in cash and cash equivalents of $15.4 million, or 44.1%, from $34.9 million at June 30, 2024 to $19.5 million at December 31, 2024, net loans receivable of $12.2 million, or 2.6%, from $470.9 million at June 30, 2024 to $458.7 million at December 31, 2024, loans-held-for-sale of $1.5 million, or 87.5%, from $1.7 million at June 30, 2024 to $216,000 at December 31, 2024, premises and equipment of $459,000, or 2.5%, from $18.3 million at June 30, 2024 to $17.8 million at December 31, 2024, real estate owned of $418,000, or 100.0% from $418,000 at June 30, 2024 to none at December 31, 2024, investment securities of $264,000, or 0.3%, from $96.0 million at June 30, 2024 to $95.7 million at December 31, 2024, and core deposit intangible of $146,000, or 12.2%, from $1.2 million at June 30, 2024 to $1.1 million at December 31, 2024, partially offset by increases in deferred tax asset of $357,000, or 30.2%, from $1.2 million at June 30, 2024 to $1.5 million at December 31, 2024, other assets of $195,000, or 14.4%, from $1.3 million at June 30, 2024 to $1.5 million at December 31, 2024, bank owned life insurance of $58,000, or 0.9%, from $6.81 million at June 30, 2024 to $6.87 million at December 31, 2024, and accrued interest receivable of $12,000, or 0.7%, from $1.78 million at June 30, 2024 to $1.79 million at December 31, 2024.

Total liabilities decreased $30.9 million, or 5.3%, from $584.7 million at June 30, 2024 to $553.8 million at December 31, 2024. The decrease in liabilities was comprised of decreases in total deposits of $27.5 million, or 4.8%, from $574.0 million at June 30, 2024 to $546.5 million at December 31, 2024, other borrowings of $3.0 million, or 42.9%, from $7.0 million at June 30, 2024 to $4.0 million at December 31, 2024, advances from borrowers for taxes and insurance of $252,000, or 48.4%, from $521,000 at June 30, 2024 to $269,000 at December 31, 2024, and other accrued expenses and liabilities of $164,000, or 5.2%, from $3.2 million at June 30, 2024 to $3.0 million at December 31, 2024. The decrease in deposits resulted from decreases in certificates of deposit of $30.8 million, or 14.3%, from $214.9 million at June 30, 2024 to $184.1 million at December 31, 2024, money market deposits of $12.2 million, or 14.3%, from $85.5 million at June 30, 2024 to $73.3 million at December 31, 2024, and non-interest deposits of $1.9 million, or 1.5%, from $130.3 million at June 30, 2024 to $128.4 million at December 31, 2024, partially offset by increases in savings deposits of $16.7 million, or 21.7%, from $76.6 million at June 30, 2024 to $93.3 million at December 31, 2024, and NOW accounts of $796,000, or 1.2%, from $66.6 million at June 30, 2024 to $67.4 million at December 31, 2024. The Company had no balances in brokered deposits at December 31, 2024 or June 30, 2024.

At December 31, 2024, the Company had $1.8 million of non-performing assets (defined as non-accruing loans, accruing loans 90 days or more past due, and other real estate owned) compared to $1.9 million on non-performing assets at June 30, 2024, consisting of five one-to-four family residential loans, five home equity loans, two commercial non-real estate loans, and one commercial real-estate loan at December 31, 2024, compared to five one-to-four family residential loans, four home equity loans, three commercial non-real estate loans, and three single-family residences in other real estate owned at June 30, 2024. At December 31, 2024 the Company had eight one-to-four family residential loans, five home equity loans, five commercial non-real-estate loans, two commercial real-estate loans, and one consumer loan classified as substandard, compared to six one-to-four family residential loans, five commercial non-real-estate loans, four home equity loans and one consumer loan classified as substandard at June 30, 2024. There were no loans classified as doubtful at December 31, 2024 or June 30, 2024.

Shareholders’ equity increased $1.1 million, or 2.1%, from $52.8 million at June 30, 2024 to $53.9 million at December 31, 2024. The increase in shareholders’ equity was comprised of net income for the six-month period of $2.0 million, the vesting of restricted stock awards, stock options, and the release of employee stock ownership plan shares totaling $311,000, and proceeds from the issuance of common stock from the exercise of stock options of $19,000, partially offset by an increase in the Company’s accumulated other comprehensive loss of $10,000, dividends paid totaling $816,000, and stock repurchases of $335,000.

Home Federal Bancorp, Inc. of Louisiana is the holding company for Home Federal Bank which conducts business from its ten full-service banking offices and home office in northwest Louisiana.

Statements contained in this news release which are not historical facts may be forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words like “believe”, “expect”, “anticipate”, “estimate”, and “intend”, or future or conditional verbs such as “will”, “would”, “should”, “could”, or “may”. We undertake no obligation to update any forward-looking statements.

In addition to factors previously disclosed in the reports filed by the Company with the Securities and Exchange Commission and those identified elsewhere in this press release, the following factors, among others, could cause actual results to differ materially from forward-looking statements or historical performance: the strength of the United States economy in general and the strength of the local economies in which the Company conducts its operations; general economic conditions; legislative and regulatory changes; monetary and fiscal policies of the federal government; changes in tax policies, rates and regulations of federal, state and local tax authorities including the effects of the Tax Reform Act; changes in interest rates, deposit flows, the cost of funds, demand for loan products and the demand for financial services, competition, changes in the quality or composition of the Company’s loans, investment and mortgage-backed securities portfolios; geographic concentration of the Company’s business; fluctuations in real estate values; the adequacy of loan loss reserves; the risk that goodwill and intangibles recorded in the Company’s financial statements will become impaired; changes in accounting principles, policies or guidelines and other economic, competitive, governmental and technological factors affecting the Company’s operations, markets, products, services and fees.

HOME FEDERAL BANCORP, INC. OF LOUISIANA

CONSOLIDATED BALANCE SHEETS
(In thousands except share and per share data)

	December 31, 2024			June 30, 2024
	(Unaudited)
ASSETS

Cash and Cash Equivalents (Includes Interest-Bearing Deposits with Other Banks of $16,389 and $25,505 at December 31, 2024 and June 30, 2024, Respectively)	$	19,540		$	34,948
Securities Available-for-Sale (amortized cost December 31, 2024: $32,930; June 30, 2024: $30,348, Respectively)		29,607			27,037
Securities Held-to-Maturity (fair value December 31, 2024: $52,451; June 30, 2024: $54,450, Respectively)		64,431			67,302
Other Securities		1,651			1,614
Loans Held-for-Sale		216			1,733
Loans Receivable, Net of Allowance for Credit Losses (December 31, 2024: $4,749; June 30, 2024: $4,574, Respectively)		458,693			470,852
Accrued Interest Receivable		1,787			1,775
Premises and Equipment, Net		17,844			18,303
Bank Owned Life Insurance		6,868			6,810
Goodwill		2,990			2,990
Core Deposit Intangible		1,053			1,199
Deferred Tax Asset		1,538			1,181
Real Estate Owned		–			418
Other Assets		1,545			1,350

Total Assets	$	607,763		$	637,512

LIABILITIES AND SHAREHOLDERS’ EQUITY

LIABILITIES

Deposits:
Non-interest bearing	$	128,439		$	130,334
Interest-bearing		418,105			443,673
Total Deposits		546,544			574,007
Advances from Borrowers for Taxes and Insurance		269			521
Other Borrowings		4,000			7,000
Other Accrued Expenses and Liabilities		3,017			3,181

Total Liabilities		553,830			584,709

SHAREHOLDERS’ EQUITY

Preferred Stock – $0.01 Par Value; 10,000,000 Shares Authorized: None Issued and Outstanding		–			–
Common Stock – $0.01 Par Value; 40,000,000 Shares Authorized: 3,132,764 and 3,142,168 Shares Issued and Outstanding at December 31, 2024 and June 30, 2024, Respectively		32			32
Additional Paid-in Capital		42,010			41,739
Unearned ESOP Stock		(350	)		(408	)
Retained Earnings		14,866			14,055
Accumulated Other Comprehensive Loss		(2,625	)		(2,615	)

Total Shareholders’ Equity		53,933			52,803

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$	607,763		$	637,512

HOME FEDERAL BANCORP, INC. OF LOUISIANA
CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share data)

(Unaudited)

	Three Months Ended						Six Months Ended
	December 31,						December 31,
	2024			2023			2024			2023
Interest income
Loans, including fees	$	6,791		$	7,397		$	13,686		$	14,671
Investment securities		63			210			130			449
Mortgage-backed securities		470			460			913			933
Other interest-earning assets		334			13			670			101
Total interest income		7,658			8,080			15,399			16,154
Interest expense
Deposits		2,977			2,901			6,175			5,494
Federal Home Loan Bank borrowings		–			78			–			93
Other bank borrowings		81			198			198			381
Total interest expense		3,058			3,177			6,373			5,968
Net interest income		4,600			4,903			9,026			10,186

Provision for (recovery of) credit losses		45			(16	)		(178	)		(16	)
Net interest income after provision for credit losses		4,555			4,919			9,204			10,202

Non-interest income
Loss on sale of real estate		(12	)		(381	)		(266	)		(415	)
Gain on sale of loans		5			76			101			115
Loss on sale of securities		(6	)		–			(6	)		–
Income on Bank-Owned Life Insurance		30			28			58			54
Service charges on deposit accounts		392			397			783			788
Other income		79			17			118			30

Total non-interest income		488			137			788			572

Non-interest expense
Compensation and benefits		2,229			2,328			4,531			4,684
Occupancy and equipment		537			544			1,101			1,092
Data processing		336			129			554			374
Audit and examination fees		191			271			323			373
Franchise and bank shares tax		1			164			169			320
Advertising		44			82			101			225
Legal fees		134			187			251			347
Loan and collection		30			32			58			92
Amortization Core Deposit Intangible		72			85			146			179
Deposit insurance premium		75			108			165			199
Other expenses	187				319			447			552

Total non-interest expense		3,836			4,249			7,846			8,437

Income before income taxes		1,207			807			2,146			2,337
Provision for income tax expense (benefit)		187			(196	)		185			114

NET INCOME	$	1,020		$	1,003		$	1,961		$	2,223

EARNINGS PER SHARE
Basic	$	0.33		$	0.33		$	0.64		$	0.73
Diluted	$	0.33		$	0.33		$	0.64		$	0.72

	Three Months Ended						Six Months Ended
	December 31,						December 31,
	2024			2023			2024			2023

Selected Operating Ratios⁽¹⁾:
Average interest rate spread		2.40	%		2.45	%		2.32	%		2.60	%
Net interest margin		3.12	%		3.14	%		3.06	%		3.26	%
Return on average assets		0.65	%		0.60	%		0.62	%		0.67	%
Return on average equity		7.76	%		7.81	%		7.50	%		8.64	%

Asset Quality Ratios⁽²⁾:
Non-performing assets as a percent of total assets		0.30	%		0.34	%		0.30	%		0.34	%
Allowance for credit losses as a percent of non-performing loans		260.70	%		226.50	%		260.70	%		226.50	%
Allowance for credit losses as a percent of total loans receivable		1.02	%		1.00	%		1.02	%		1.00	%

Per Share Data:
Shares outstanding at period end		3,132,764			3,143,532			3,132,764			3,143,532
Weighted average shares outstanding:
Basic		3,059,305			3,040,006			3,062,666			3,033,341
Diluted		3,075,221			3,085,271			3,077,371			3,096,546
Book value per share at period end	$	17.22		$	16.73		$	17.22		$	16.73
_____________________
(1) Ratios for the three and six month periods are annualized.
(2) Asset quality ratios are end of period ratios.

MIL-OSI USA: 01.30.2025 Sen. Cruz, Rep. Roy Introduce Legislation to Expand Health Care Availability

US Senate News:

Source: United States Senator for Texas Ted Cruz
WASHINGTON, D.C. – U.S. Sen. Ted Cruz (R-Texas) and Rep. Chip Roy (R-Texas-21) introduced the Personalized Care Act (PCA). The bill makes Americans’ health care more portable, accessible, and tailored to meet their unique needs. It expands Health Savings Accounts (HSAs), enabling millions of Americans to access and utilize these tax advantaged savings tools to manage their health care costs.
Upon introduction, Sen. Cruz said, “I’m fighting to return control to patients and their doctors—not Washington bureaucrats. Democrats are pushing for full government control of America’s health care. The Personalized Care Act expands Health Savings Accounts, increases portability, and makes it easier for families to make health care decisions for themselves. I urge my colleagues to pass this legislation expeditiously.”
Rep. Roy said, “Every year America’s healt hcare system becomes more expensive and less accessible due to the crony capitalist swamp of corporate and government interests that prioritizes power and profits over patients and doctors. The Personalized Care Act would re-empower the American people to break out of this broken system to make their own health care decisions with control over their health care dollars — as outlined in my recent report on America’s health care system. I am proud to introduce this bill with my friend Senator Ted Cruz to take on the Big Health Care racket. If we want to Make America Healthy Again — if we want to make care truly affordable — the answer is health care freedom. The Personalized Care Act is a needed step towards that goal.”
This legislation was cosponsored by Sen. Roger Marshall (R-Kan.).
Rep. Roy (R-Texas-21) introduced the companion legislation in the House.
Read the bill text here.
BACKGROUND
Sen. Cruz has led this effort to provide greater health care freedom since 2019.
The PCA would:
Offer millions of Americans access to Health Savings Accounts. Decouples HSAs from high deductible health insurance plans, expands HSAs for individuals with Medicare, Medicaid, CHIP, direct medical care, health care sharing ministries, short-term limited-duration plans, and medical indemnity plans.
Increase annual contributions. Increases HSA contribution limits from $3,550 (2020 limit) to $10,800 for individuals and from $7,100 (2020 limit) to $29,500 for families.
Expand eligible usage. Extends allowable HSA withdrawals to include direct medical care fees, health care sharing ministry fees, insurance premiums, and over the counter medications.
Eliminate regulatory confusion for patients and doctors. Defines direct medical care and health care sharing ministries as qualified medical expenses and not health plans or insurance plans.
Decrease tax penalty for nonqualified distributions. Reduces the penalty for nonqualified distributions from 20 percent to 10 percent.
This legislation is endorsed by Direct Primary Care Council, Texas Public Policy Foundation, Citizens’ Council for Health Freedom, Heritage Action, Americans for Prosperity, Association of Mature American Citizens, Independent Medical Alliance, Alliance of Health Care Sharing Ministries, and Health Savings Account Council.

MIL-OSI USA: WATCH: Padilla, Budget Democrats Boycott Russell Vought’s OMB Nomination Vote

US Senate News:

Source: United States Senator Alex Padilla (D-Calif.)
After the OMB-directed federal funding freeze causes chaos, Padilla sounds alarm on Trump pick’s record of withholding federal aid

WATCH: Padilla delivers remarks opposing Vought’s reckless nominationWASHINGTON, D.C. — Today, U.S. Senator Alex Padilla (D-Calif.) joined his fellow Democratic members of the Senate Budget Committee and Minority Leader Chuck Schumer (D-N.Y.) to protest the Budget Committee advancing Russell Vought’s nomination to be Director of the Office of Management and Budget (OMB) behind closed doors, despite the Trump Administration’s unprecedented attempt to freeze federal funding.
The Monday night OMB memo paused all congressionally approved federal grants and loans, stoking widespread confusion and chaos while threatening essential services like disaster relief, health care, public safety, education, nutrition, and housing for millions of Californians.
In his previous tenure with OMB, Vought blatantly disregarded spending laws and congressional appropriations, operating as if the President has unchecked, unilateral power to make funding decisions despite the clear language of the Constitution giving that authority to Congress. As one of the primary architects of Project 2025, Vought wrote that the OMB Director should be “aggressive in wielding the tool of apportionments on behalf of the President’s agenda,” and “defend the apportionment power against attacks from Congress.”
His nomination poses a serious threat to Congress’ constitutional authority and to critical disaster aid for Southern California fire victims. Vought tried on numerous occasions in his previous tenure to withhold and slow the distribution of disaster relief, which was agreed to and appropriated by Congress, based on political motives. During his confirmation hearing, Vought continued to hedge on answers that he would not politicize government assistance and refused every opportunity to commit to following the law.
Senator Padilla also spoke on the Senate floor yesterday in strong opposition to the chaotic OMB funding memo and Russell Vought’s nomination. Earlier this week, Budget Committee Democrats and Leader Schumer demanded that Chairman Lindsey Graham (R-S.C.) delay Vought’s nomination until he satisfactorily answers questions regarding his advice to the President relating to the illegal impoundment of congressionally appropriated funds through the Monday OMB directive. Padilla also questioned Vought on disaster relief funding to help Southern California recover and rebuild after the recent fires during a Senate Budget Committee nomination hearing earlier this month.
Video of Padilla’s remarks is available here.
A full transcript of Padilla’s remarks is available here and below:
Thank you, Senator Luján, and I want to begin by also expressing my condolences to the victims of the crashes last night, their families. Over the coming days, we’ll hear the names, and we’ll hear the stories of those that have perished. And yes, Senator Luján, it comes at a time where we’re still grappling with the impacts of these unprecedented and devastating fires, plural, in the Los Angeles region. And I think that couldn’t underscore the stakes here any more.
In a time of crisis, when people turn to not just local leadership, but to their federal government to be there for them, it is unconscionable that in those moments, there’s efforts to promote funding freezes, hiring freezes, and in so many ways, go back on our fundamental obligations to our constituents and to the American people.
The past few days have been anything but business as usual. I agree: this is an attempt at a one-man government shutdown, brought to us by President Trump — an effort to block billions of dollars approved by Congress, directed by Congress, funds that would support families recovering from catastrophic wildfires, funds for law enforcement agencies that we rely on to keep our communities safe, funds to support nutrition programs for children and families that depend on us for their next meal. And you see a much longer list, just a very partial list here on the board.
But it’s because of that real-world impact that Americans from throughout the country, they knew immediately what was at stake, and so many of them jumped into action, speaking out, writing our offices, calling our offices, to share their concerns, their questions, looking for guidance, looking for help.
And it’s in that context that our Republican colleagues have the audacity, the nerve, to move forward with President Trump’s nominee to lead the very agency responsible for the chaos and the heartache, and not even with the courage to agree to Senator Merkley’s request to do this in a committee hearing room where we can have this conversation and vote in public.
They’re literally in a back room, not accessible, not visible. What are they trying to hide? What are they afraid of? And so, yes, we are here in this room today because this kind of behavior cannot be business as usual. This is not the Senate. The stakes are too high. The impacts too real.
Now, as others have said, during his previous tenure at OMB, Russell Vought tried to repeatedly politicize, withhold, and slow the distribution of federal funds, including disaster relief, including foreign aid. Through his conduct, he has demonstrated that he holds himself above the law, above the Constitution, and above the funding decisions made by Congress. Maybe that’s why President Trump likes him so much.
But for any of my colleagues, not just Democrats, but our colleagues on the other side of the aisle too, who have worked so hard to secure funding for their constituents back home, they too should be concerned. They too should be alarmed. Consider Mr. Vought’s work from the first Trump Administration, his role in crafting Project 2025, and his arrogance during the confirmation hearing last week. It’s clear he is coming after Congress’s constitutional authority, and he intends to repeat the events of this week over and over again if he’s confirmed.
And I say it’s “if” because there is still time. To my Republican colleagues: there is still time, you have the power to stop this if you have the courage to do so. Don’t give up that power to President Trump. Use that power for your constituents and for our country. Thank you.

MIL-OSI United Nations: Stressing Peacebuilding Commission’s Critical Role amid Rise in Conflicts Worldwide, Secretary-General Urges Increased, Innovative Funding to Support Its Work

Source: United Nations General Assembly and Security Council

Speakers Highlight Pact for Future’s Prioritization of Conflict Prevention, Mediation and Peacebuilding

Amid escalating conflicts, widening geopolitical divisions and deepening climate crisis, the Peacebuilding Commission is “more critical than ever”, said the UN Chief, stressing that the Pact for the Future charts a course to reforming international cooperation by prioritizing prevention, mediation and peacebuilding.

“Now we have the chance to consolidate and expand [the Commission’s] work,” said António Guterres, Secretary-General of the United Nations, recognizing its vital advisory role to the Security Council — including in the context of UN mission transitions. He also commended its convening role within the UN and beyond, engaging civil society, the private sector, international and regional organizations and financial institutions.

This year’s Review of the United Nations Peacebuilding Architecture offers an opportunity to strengthen the Commission’s role, he said, pointing to his recent report on Peacebuilding and Sustaining Peace, which suggests mobilizing political and financial support for nationally owned peacebuilding and prevention strategies.

On the issue of financing, he said the General Assembly’s approval of assessed contributions to the Peacebuilding Fund marks “an important step”. However, it is still a far cry from the “quantum leap” of $500 million per year that is needed. Emphasizing that “voluntary contributions remain paramount”, he encouraged countries to provide additional support to the Fund. Additionally, given the urgent and expanding needs for peacebuilding support, the Review of the Peacebuilding Architecture shall further examine how to ensure the Fund’s predictability, adequacy and sustainability by exploring innovative financing mechanisms, public-private partnerships and blended funding models.

“We must never waver in our commitment to pursue, achieve and sustain peace,” he stated, noting that the UN’s peacebuilding architecture — in collaboration with UN country teams — is essential to help “translate aspirations into reality”.

Following the Secretary-General’s opening remarks, the Commission adopted the body’s report on its eighteenth session, whose final version will be transmitted to the General Assembly and the Security Council for their respective annual consideration.

Election of Officers for Nineteenth Session

The Commission also elected officers for its nineteenth session by acclamation, including Germany as Chair and Japan, Poland, Brazil and Morocco as Vice-Chairs. Further, it re-elected the following countries to chair the Commission’s country-specific configurations: Morocco, for the Central African Republic; Brazil, for Guinea-Bissau; and Sweden, for Liberia.

Outgoing Commission Chair Highlights 2024 Efforts to Address Peacebuilding Challenges

As outgoing Chair of the Commission’s eighteenth session, the representative of Brazil noted the Commission’s “robust” mandate as a platform for countries seeking assistance for their peacebuilding and conflict-prevention priorities. “Through the [Commission], political, technical and financial support can be mobilized, and real impact on the ground can be achieved,” he said. In that context, he highlighted that the body’s work in 2024 focused on exploring “concrete peacebuilding challenges” and showcasing “what has worked, lessons learned, frustrations and challenges different countries face”.

He added that, during 2024, the Commission also engaged in preparation for the 2025 peacebuilding architecture review. Expressing hope that Member States see such review “as an opportunity that should not be missed”, he urged better synergy between the Commission, the Peacebuilding Support Office and the Peacebuilding Fund. “We should also explore ways to provide adequate institutional support to the [Commission] at all levels,” he said, expressing hope that the Trusteeship Council room may one day be renamed the Peacebuilding Council room.

Pointing out that the Security Council’s permanent members are also permanent Commission members, he expressed hope that those States will participate more in Commission meetings in the future. “With great power comes great responsibility,” he observed.

Incoming Commission Chair Cites Strong Focus in 2025 on National Ownership, Closer Relationship with Peacebuilding Fund and Improving Impact

The representative of Germany, Chair of the Commission’s nineteenth session, noted her intention to continue supporting a strong emphasis on national ownership, the body’s convening power and its “unique bridging role” across the pillars of the United Nations. Also pointing to opportunities to improve the Commission’s coherence and efficacy, she said that she will ensure follow-up with countries after a Commission meeting, work on a closer relationship between the Commission and the Peacebuilding Fund, and make the Fund’s work more visible — “especially with a view to the first-time-ever use of assessed contributions”.

She also detailed her hope to strengthen evidence-based discussion and peer-to-peer learning and consider the question of peacebuilding impact — “to ensure that the work we do here in New York has an impact on people’s lives on the ground”. Work will also be done to build on previous efforts to foster the Commission’s relationship with regional organizations, strengthen coherence within the UN and enhance cooperation with international financial institutions. She added that a close, meaningful exchange with other UN bodies is “key”.

Assistant Secretary-General Says Commission Uniquely Positioned to Offer Platform for Member States

The Assistant Secretary-General of the Peacebuilding Commission said that, in the current context of the proliferation of conflict and violence worldwide, the Commission is “uniquely positioned” to offer a platform for Member States that wish to come to it. She added that 2025 presents new opportunities to strengthen the Commission’s role, including by accompanying countries’ peacebuilding journey.

Incoming Vice Commission Chairs and Chairs of Country-Specific Configurations Share Perspectives

Incoming Vice Chairs for the nineteenth session echoed that sentiment, with the representative of Poland saying 2025 “presents itself as a truly unique and exceptional year”. The Pact for the Future, adopted in 2024, must be made to work “in the best possible way”, he said, particularly in the context of strengthening peacebuilding and conflict prevention.

Morocco’s speaker stressed that the Commission should expand its geographic and thematic scope while upholding the principle of national ownership. Underscoring the need to optimize the Commission’s collaboration with the Council and other UN organs, he called for a comprehensive approach towards sustaining peace by leveraging and utilizing each body’s unique characteristics in a mutually complementary manner.

The representative of Morocco said he will work to promote reconciliation, post-conflict reconstruction, development and inclusive peace processes. As Chair of the Commission’s country-specific configuration for the Central African Republic, he will continue to work to mobilize the necessary resources for organizing upcoming local elections in that country — a “crucial stage for strengthening local governance and legitimacy of the authorities”.

Brazil’s delegate stated: “Our region faces its own peacebuilding and conflict prevention challenges [while] developing solutions.” Noting his country’s readiness to share lessons learned, he said “this exchange is most useful in our common task as peacebuilders”.

The representative of Sweden, Chair of the Commission’s country-specific configuration for Liberia, said that Liberia has made “remarkable gains over the years”. Peaceful elections held in 2023 and the orderly transfer of power in 2024 “were true milestones”, he stressed, noting that the configuration’s focus for 2025 will be consolidating long-term peacebuilding gains in the country. Liberia, he added, “has important experiences and lessons learned” to share with the Commission, including sustaining peace, inclusive development and reconciliation.

Commission Members Stress Need to Invest in Addressing Root Causes of Conflict and Violence

In the ensuing discussion, Commission members underscored the need to invest in addressing the root causes of conflict and violence, adding that the Pact for the Future has gained recognition for conflict prevention as a universally shared responsibility.

“2025 will be a crucial year for peacebuilding,” said the representative of the European Union, in its capacity as observer. The Council has demonstrated overwhelming support for this agenda by holding two open debates on conflict prevention. “We have collectively recognized that elaborating national prevention strategies, anchored in national ownership, should be an aspiration for all countries,” he stressed. The peacebuilding architecture review is “an opportunity to consolidate these gains” and to further strengthen the Commission as “an institution that can act as a bridge at the UN”, he continued. As the Commission’s biggest donors, the bloc and its member States have matched this political commitment with funding support.

Spotlighting the Commission’s “significant achievements”, Australia’s delegate said it expanded its regional engagement, provided input into the review and facilitated the revised terms of reference for peacebuilding funding. Underlining the need to strengthen the Commission’s engagement with his region, he said it should encourage Member States to present their peacebuilding priorities.

“Although, at times, we may have had divergent views on how peacebuilding should be conducted, we continue to agree on the foundational principles of peacebuilding,” said his counterpart from South Africa. Namely, that it should be nationally owned and led, context-specific and adaptable, and that more can be done to support peacebuilding in post-conflict contexts.

“It is high time to match the ambitions with the capacities,” said Egypt’s delegate, underscoring the need to expand resources and guarantee the Commission’s more structured cooperation with the Council.

Colombia’s representative, noting that the Commission regularly invites her delegation to share his country’s “experience of peace”, said that doing so helps States “better elucidate a horizon of peace in other places”. The legitimacy of the UN and the future of multilateralism “depend on our capacity to tackle complex crises, contribute to peace and security and ensure a better life for our peoples”, she asserted.

The speaker for Bangladesh, noting that the Commission has “always” based its work on national ownership, said that the body should continue supporting local needs and national priorities “by bringing all stakeholders into the discussion”. Further, the Commission should strengthen its advisory role to facilitate the smooth transition of peacekeeping operations, leading to long-lasting peace.

For his part, the Russian Federation’s representative said that the upcoming peacebuilding-architecture review “should not reinvent the wheel but, rather, use existing mechanisms”. He also stressed that the Commission must not focus solely on conflict prevention, losing sight of countries affected by conflict and post-conflict countries. “It is them that need the political and financial support so that crises don’t return,” he said. Also emphasizing the need to avoid duplication of work, he observed: “The strong suit of the UN system is the principle of division of labour between its main organs.”

MIL OSI United Nations News –

MIL-OSI New Zealand: Govt Cuts – Workers sound alarm as Govt cuts impact services Kiwis rely on – PSA Survey

Source: PSA

The Government’s austerity measures are taking a toll on public servants’ wellbeing and their ability to deliver effective public services, a new PSA survey has found.

More than 4,000 workers in public services, health, the state sector, local government, and community services responded to the survey.

Key findings:

– Over half of respondents have too much work to do everything well

– More than 90% have been affected by restructuring

– More than 40% regularly work longer hours without pay

– 70% respond to work calls and messages outside of work hours

– Over half are worried about losing their job

Workers say the Government’s sweeping funding cuts are undermining their ability to do a good job. One health professional said it feels “like you are doing a disservice to people in our community as we cannot deliver the health care that they need with our waitlist and restricted service provision.”

A respondent at a community organisation that’s had its funding significantly cut by the Government said they now spend more time chasing funding and less time providing services to the community.

“It’s obvious now that the Government’s claim that ‘no front-line services will be affected’ is a lie,” said Duane Leo, National Secretary for the Public Service Association Te Pūkenga Here Tikanga Mahi. “No amount of spin will stop the public from seeing that the Government is deliberately underfunding their public services and setting the table for private shareholders to enrich themselves from people’s needs.”

The survey also shows that, like most of the country, public sector, health and community workers are struggling with cost-of-living pressures. More than half are worried about becoming unemployed and not being able to find a job, as the Government signals cuts will continue.

Public sector, health and community workers need more certainty and better management support. They want fair treatment, better pay, career progression and to be valued. Most of all, they want the restructuring and disruption to stop, to allow them to get on with the work of delivering for their communities.

“Public, health, and community services – and the workers that provide them – are part of a future that works for everyone in Aotearoa,” said Leo. “To get that, they need certainty, resources, leadership, and a vision for effective, universal services. This survey shows the Government isn’t providing any of this. It’s part of a mountain of evidence that this Government wants a country for the wealthy few, rather than the many.”

About the survey

The PSA conducted the survey in December 2024 and got 4090 responses from members across the country, working in public services, health, the state sector, local government, and community public services.

Read the full report of the survey results attached.

MIL-OSI Security: Hudson County Man Charged With Online Enticement Of A Minor

Source: Office of United States Attorneys

NEWARK, N.J. – A Hudson County man has been charged with enticing a minor to engage in criminal sexual conduct, Acting U.S. Attorney Vikas Khanna announced.

Ryan Niksa, 34, of Jersey City, New Jersey, was charged in a one-count complaint with enticement of a minor to engage in sexual activity. He had an initial appearance before U.S. Magistrate Judge Leda Dunn Wettre in Newark federal court on January 29, 2025, and was ordered detained.

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

Since in or around August 2024, Niksa communicated with a minor victim located in another state through social media applications and text messages. Niksa and the minor victim exchanged sexually explicit photos and videos. Niksa expressed his desire to live with the minor victim, discussed traveling to the minor victim’s home state to be with her, and discussed running away with the minor victim to another country where they could evade law enforcement.

Enticement of a minor carries a mandatory minimum penalty of 10 years in prison and a maximum potential penalty of life in prison, as well as a $250,000 fine.

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, the Jersey City Police Department, under the direction of Director James Shea, and the Hudson County Prosecutor’s Office, under the direction of Prosecutor Esther Suarez, with the investigation leading to the charges.

The government is represented by Assistant U.S. Attorney Alison Thompson of the Organized Crime and Gangs Unit in Newark.

The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.

25-027 ###

Defense counsel: Shaiba Rather, Assistant Federal Public Defender

MIL-OSI Security: Two Men Indicted for COVID Unemployment and Loan Fraud

Source: Office of United States Attorneys

Defendants allegedly received over $43,000 in Pandemic Unemployment Assistance funds

BOSTON – Two men were arrested for allegedly submitting fraudulent information in an effort to obtain loans through the Pandemic Unemployment Assistance (PUA) program.

Dominik Manigo, 25, of Weymouth, and Nelson Roche Diaz, 28, of Brockton, were indicted by a federal grand jury on one count of wire fraud conspiracy, and on one count each of wire fraud. Manigo and Roche appeared in federal court in Boston on Monday.

According to the charging documents, in or about May 2020, Manigo and Roche allegedly submitted fraudulent claims for PUA on the Massachusetts Department of Unemployment Assistance portal. Further, Manigo and Roche allegedly submitted fraudulent letters claiming the pandemic had impacted their employment at a restaurant in Boston. Manigo and Roche each allegedly received over $43,000 in PUA and related funds.

The charges of wire fraud and wire fraud conspiracy provide for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

United States Attorney Leah B. Foley; Jonathan Mellone, Special Agent in Charge of the U.S. Department of Labor, Office of Inspector General, Office of Investigations, Labor Racketeering and Fraud, Northeast Region; Michael J. Krol, Special Agent in Charge of Homeland Security Investigations in New England; Colonel Geoffrey D. Noble, Superintendent of the Massachusetts State Police; Boston Police Commissioner Michael Cox; and Thomas Demeo, Acting Special Agent in Charge of the Internal Revenue Service Criminal Investigation, Boston Field Office made the announcement today. Valuable assistance was provided by the Weymouth Police Department. Assistant U.S. Attorney Samuel R. Feldman of the Narcotics and Money Laundering Unit is prosecuting the case.

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

On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus and https://www.justice.gov/coronavirus/combatingfraud.

Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline via the https://www.justice.gov/disaster-fraud/webform/ncdf-disaster-complaint-form.https://www.justice.gov/disaster-fraud/webform/ncdf-disaster-complaint-form

The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

MIL-OSI: Financial Institutions, Inc. Announces Fourth Quarter and Full Year 2024 Results

Source: GlobeNewswire (MIL-OSI)

WARSAW, N.Y., Jan. 30, 2025 (GLOBE NEWSWIRE) — Financial Institutions, Inc. (NASDAQ: FISI) (the “Company,” “we” or “us”), parent company of Five Star Bank (the “Bank”) and Courier Capital, LLC (“Courier Capital”), today reported financial and operational results for the fourth quarter and year ended December 31, 2024.

These results reflect the Company’s previously disclosed balance sheet restructuring plan, which was executed in December following its successful and oversubscribed underwritten public common stock offering. As part of the restructuring, the Bank sold $653.5 million of available-for-sale (“AFS”) investment securities, which resulted in a pre-tax loss on the sale of securities of $100.2 million in the fourth quarter. The after-tax impact of the loss of approximately $75 million was entirely funded by a portion of the capital raised through the Company’s equity offering that was downstreamed to the Bank. The net proceeds from the pre-tax sale of the securities were reinvested into higher yielding, agency wrapped investment securities.

The Company reported a net loss of $65.7 million in the fourth quarter of 2024, compared to net income of $13.5 million in the third quarter of 2024 and net income of $9.8 million in the fourth quarter of 2023. After preferred dividends, net loss available to common shareholders was $66.1 million, or ($4.02) per diluted share, in the fourth quarter of 2024, compared to net income of $13.1 million, or $0.84 per diluted share, in the third quarter of 2024, and net income of $9.4 million, or $0.61 per diluted share, in the fourth quarter of 2023. The Company recorded a provision for credit losses of $6.5 million in the current quarter, compared to $3.1 million in the linked quarter and $5.3 million in the prior year quarter.

The Company reported a full year 2024 net loss of $24.5 million, compared to net income of $50.3 million in 2023. After preferred dividends, net loss available to common shareholders was $26.0 million, or ($1.66) per diluted share, for 2024 compared to net income available to common shareholders of $48.8 million, or $3.15 per diluted share, in 2023. Provision for credit losses was $6.2 million in 2024 and $13.7 million in 2023.

Fourth Quarter and Full Year 2024 Key Results:

Net interest margin was up to 2.91% for the fourth quarter, up two basis points from the linked quarter and up 13 basis points from the year-ago quarter. Full year net interest margin of 2.86% compares to 2.94% in 2023.
Net interest income of $41.6 million in the fourth quarter of 2024 increased $952 thousand, or 2.3%, and $1.7 million, or 4.4%, from the linked and year-ago quarters, respectively. Full year net interest income of $163.6 million was down $2.1 million, or 1.3%, from 2023.
Total loans were $4.48 billion at December 31, 2024, reflecting an increase of $76.2 million, or 1.7%, during the quarter and an increase of $17.1 million, or 0.4%, during the year. Commercial loans totaled $2.86 billion at December 31, 2024, reflecting an increase of $104.8 million, or 3.8%, during the quarter and an increase of $123.9 million, or 4.5%, during the year.
Total deposits were $5.10 billion at December 31, 2024, down $201.9 million, or 3.8%, from September 30, 2024, primarily due to seasonal public deposit outflows, and down $108.2 million, or 2.1%, from the prior year end, driven by a reduction in brokered deposits.
Provision for credit losses of $6.5 million in the current quarter was driven by a combination of factors, including the impact of loan growth during the period, an increase in net charge-offs relative to the linked quarter, and higher qualitative factors overall.
Allowance for credit losses on loans to total loans was 1.07% at year-end 2024, compared to 1.01% at September 30, 2024 and 1.14% one year prior.
The Company reported stable credit quality metrics, as measured by annual net charge-offs to average loans of 0.20% for both 2024 and 2023.

“Our Company navigated an incredibly dynamic 2024, rising above challenges to execute strategic initiatives that position us well not only heading into 2025, but for years to come. Our successful equity offering in the fourth quarter enabled us to undertake a balance sheet restructuring that is expected to contribute meaningfully to earnings, net interest margin, efficiency ratio, return on average assets and the quality of capital moving forward,” said President and Chief Executive Officer Martin K. Birmingham. “We believe these measures will allow us to accelerate operating performance with minimal downside risk, supporting our plans for continued organic growth.”

“While loan growth was modest in 2024, in part reflecting the intentional reduction of our consumer indirect balances that partially offset commercial growth of 4.5% during the year, we remain enthused about organic growth opportunities in our core markets, as we finished 2024 with a strong fourth quarter from a commercial loan production standpoint, and we remain keenly focused on driving credit-disciplined loan growth to ensure the continued strength and stability of our asset quality metrics.”

Chief Financial Officer and Treasurer W. Jack Plants II added, “As a result of our strategic actions through the course of the year, from the sale of our insurance subsidiary in April, to our successful and oversubscribed equity offering in December, our regulatory and tangible capital positions improved meaningfully and core operations have strong momentum to start 2025. We reported a common equity tier 1 ratio of 10.88%, up 145 basis points, and a tangible common equity ratio of 8.40%, up 240 basis points, both from year-end 2023. The upsizing of our equity offering provides us ample dry powder that we are committed to deploying thoughtfully, in a way that supports our long-term value creation objectives.”

Capital Raise and Subsequent Balance Sheet Restructuring

As previously disclosed, the Company completed an underwritten common stock offering on December 13, 2024. Through the public offering, the Company sold 4,600,000 shares of common stock, 600,000 shares of which were sold pursuant to the exercise of the underwriters’ overallotment option. Net proceeds from the capital raise were approximately $108.5 million.

As expected, a portion of the proceeds was used to fund losses associated with a strategic investment securities restructuring. In late December, the Company completed its previously disclosed balance sheet restructuring plan, through which the Bank sold $653.5 million of AFS securities with a weighted average book yield of 1.74% for a pre-tax loss of $100.2 million. The after-tax impact of the loss was approximately $75 million. The Bank utilized net proceeds from the sale of securities to purchase higher-yielding agency wrapped investment securities with a face value of $566.2 million and a weighted average book yield of 5.16%, coupled with an additional $76.4 million of agency wrapped securities with a weighted average yield of 5.45%. Following the transactions, the AFS portfolio has an average duration of approximately 6.2 years and a tax equivalent yield of 4.25%. The cumulative tangible book value earnback from the restructuring is expected to be approximately 3.75 years.

Net Interest Income and Net Interest Margin

Net interest income was $41.6 million for the fourth quarter of 2024, an increase of $1.0 million from the third quarter of 2024 and an increase of $1.7 million from the fourth quarter of 2023.

Average interest-earning assets for the current quarter were $5.72 billion, an increase of $104.1 million from the third quarter of 2024 due to a $72.1 million increase in the average balance of Federal Reserve interest-earning cash, a $19.2 million increase in average loans and a $12.8 million increase in the average balance of investment securities. Average interest-earning assets for the current quarter were $10.9 million lower than the fourth quarter of 2023 due to a $39.9 million decrease in the average balance of investment securities, partially offset by a $19.0 million increase in the average balance of Federal Reserve interest-earning cash and a $10.0 million increase in average loans.

Average interest-bearing liabilities for the current quarter were $4.48 billion, an increase of $76.0 million from the third quarter of 2024, primarily due to a $65.8 million increase in average interest-bearing demand deposits, a $53.4 million increase in average savings and money market deposits, and a $29.3 million increase in average time deposits, partially offset by a $72.6 million decrease in average short-term borrowings. Average interest-bearing liabilities for the fourth quarter of 2024 were $18.3 million lower than the year-ago quarter, due to a $56.5 million decrease in average savings and money market deposits, a $27.8 million decrease in average borrowings, and a $23.3 million decrease in average interest-bearing demand deposits, partially offset by a $89.2 million increase in average time deposits.

Net interest margin was 2.91% in the current quarter as compared to 2.89% in the third quarter of 2024 and 2.78% in the fourth quarter of 2023. The linked quarter expansion was primarily due to a reduction in funding costs that outpaced a reduction in the average yield on interest-earning assets, reflecting the Federal Reserve interest rate cuts in the latter part of 2024 and the repricing of both loans and deposits, along with a reduction in both the average balance and average rate on short-term borrowings. Expansion from the prior year quarter was due to an increase in the average yield on interest-earning assets, as the overall cost of funds remained flat.

Net interest income was $163.6 million for the full year 2024, down $2.1 million from 2023. Net interest margin was 2.86% for the full year 2024, compared to 2.94% for 2023.

Noninterest (Loss) Income

The Company reported a loss for noninterest income of $91.0 million for the fourth quarter of 2024, compared to noninterest income of $9.4 million in the third quarter of 2024 and $15.4 million in the fourth quarter of 2023.

A net loss on investment securities of $100.1 million was recognized in the fourth quarter of 2024 compared to a net loss of $3.6 million in the fourth quarter of 2023, due to previously disclosed securities portfolio restructurings in both periods.
Investment advisory income of $2.6 million was $242 thousand lower than the third quarter of 2024 and $114 thousand lower than the fourth quarter of 2023.
Given the previously disclosed insurance subsidiary asset sale on April 1, 2024, the Company recorded insurance income of $3 thousand in both the current and linked quarters, and $1.6 million in the year-ago quarter.
Income from company owned life insurance of $1.4 million was flat with the third quarter of 2024 and $7.7 million lower than the fourth quarter of 2023, due to a normalized crediting rate associated with the separate account policies purchased in the fourth quarter of 2023.
Income from investments in limited partnerships of $837 thousand was $437 thousand higher than the third quarter of 2024 and $165 thousand higher than the fourth quarter of 2023. The Company has made several investments in limited partnerships, primarily small business investment companies, and accounts for these investments under the equity method. Income from these investments fluctuates based on the maturity and performance of the underlying investments.

The Company recorded a loss for noninterest income of $46.7 million for the full year 2024, compared to income of $48.2 million in 2023.

A net loss on investment securities of $100.1 million was recognized in 2024, compared to a net loss of $3.6 million in 2023, due to the previously disclosed securities portfolio restructurings in both years.
The Company’s sale of the assets of its insurance subsidiary generated a $13.7 million gain in 2024. The $4.6 million decline in insurance income year-over-year was also attributable to the transaction.
Income from company owned life insurance of $5.5 million was $6.6 million lower than in 2023 due to a normalized crediting rate associated with the separate account policies purchased in the fourth quarter of 2023.

Noninterest Expense

Noninterest expense was $36.4 million in the fourth quarter of 2024, compared to $32.5 million in the third quarter of 2024 and $35.0 million in the fourth quarter of 2023, with the increases over both the linked and prior year periods primarily driven by nonrecurring expenses.

Salaries and employee benefits expense of $17.2 million was $1.3 million higher than the third quarter of 2024 and $683 thousand lower than the fourth quarter of 2023. The increase from the linked quarter was primarily due to a $1.3 million nonrecurring settlement accounting adjustment in the Company’s pension plan. The year-over-year decrease was primarily due to the timing of the insurance subsidiary asset sale and the Company’s previously disclosed fourth quarter 2023 organizational changes.
Computer and data processing expense of $6.6 million was $1.3 million higher than the third quarter of 2024 and $1.0 million higher than the fourth quarter of 2023, due to nonrecurring project related expenses.
FDIC assessments expense of $1.6 million was $459 thousand higher than the linked quarter and $235 thousand higher than the year-ago quarter, primarily due to an increase in the FDIC assessment rate due to the securities loss recognized in the fourth quarter of 2024.
Other expense of $4.2 million was up $837 thousand and $519 thousand from the linked and year-ago quarters, respectively. The increases from both the linked and year-ago periods were due in part to New York State capital base tax, while the timing of charitable contributions also contributed to the linked quarter variance.

Noninterest expense was $155.9 million for the full year 2024, $18.7 million higher than 2023, driven by the Company’s previously disclosed deposit-related fraud event.

Salaries and employee benefits expense of $66.1 million decreased $5.8 million from the prior year, reflective of both the timing of the insurance subsidiary asset sale and previously disclosed fourth quarter 2023 organizational changes.
Computer and data processing expense of $22.7 million was $2.6 million higher than 2023, primarily due to the Company’s investments in data efficiency and marketing technology.
Professional services expense of $7.7 million was $2.4 million higher than 2023, primarily attributable to legal expenses associated with the Company’s previously disclosed fraud event.
Deposit-related charged off items totaled $20.3 million in 2024, up $19.1 million from the prior year, as a result of the previously disclosed fraud matter.
Other expense of $15.3 million was up $1.0 million from 2023, primarily due to the previously mentioned New York State capital base tax.

Income Taxes

Income tax benefit was $26.6 million for the fourth quarter of 2024, reflective of the net loss reported for the period, compared to expense of $1.1 million in the third quarter of 2024, and expense of $5.2 million in the fourth quarter of 2023. During the fourth quarter of 2023, the Company incurred additional taxes of approximately $5.4 million associated with the capital gains of the previously mentioned company owned life insurance surrender coupled with a 10% modified endowment contract penalty that is typical of general account surrenders. The Company also recognized federal and state tax benefits related to tax credit investments placed in service and/or amortized during the fourth quarter of 2024, third quarter of 2024, and fourth quarter of 2023, resulting in income tax expense reductions of $1.2 million, $1.3 million, and $901 thousand, respectively.

The effective tax rate was -28.8% for the fourth quarter of 2024, 7.4% for the third quarter of 2024, and 34.5% for the fourth quarter of 2023. The effective tax rate fluctuates on a quarterly basis primarily due to the level of pre-tax (loss) earnings and may differ from statutory rates because of interest income from tax-exempt securities, earnings on company owned life insurance and the impact of tax credit investments. The effective tax rate for full year 2024 was -45.7%, reflecting the impact of the previously mentioned securities transaction loss, compared to 20.3% in 2023.

Balance Sheet and Capital Management

Total assets were $6.11 billion at December 31, 2024, down $45.1 million from September 30, 2024, and down $49.7 million from December 31, 2023.

Investment securities were $1.03 billion at December 31, 2024, up $19.0 million from September 30, 2024, and down $8.8 million from December 31, 2023.

Total loans were $4.48 billion at December 31, 2024, an increase of $76.2 million, or 1.7%, from September 30, 2024, and an increase of $17.1 million, or 0.4%, from December 31, 2023.

Commercial business loans totaled $665.3 million, up $10.8 million, or 1.7%, from September 30, 2024, and down $70.4 million, or 9.6%, from December 31, 2023.
Commercial mortgage loans totaled $2.20 billion, up $94.0 million, or 4.5%, from September 30, 2024, and up $194.3 million, or 9.7%, from December 31, 2023.
Residential real estate loans totaled $650.2 million, up $2.0 million, or 0.3%, from September 30, 2024, and up $384 thousand, or 0.1%, from December 31, 2023.
Consumer indirect loans totaled $845.8 million, down $28.9 million, or 3.3%, from September 30, 2024, and down $103.1 million, or 10.9%, from December 31, 2023.

Total deposits were $5.10 billion at December 31, 2024, down $201.9 million, or 3.8%, from September 30, 2024, and down $108.2 million, or 2.1%, from December 31, 2023. The decrease from September 30, 2024 was primarily the result of a reduction in brokered deposits between periods as well as seasonal outflows of public and reciprocal deposits. The decrease from December 31, 2023 was driven by a reduction in brokered deposits. Public deposit balances represented 21% of total deposits at December 31, 2024, 22% at September 30, 2024 and 20% at December 31, 2023.

Short-term borrowings were $99.0 million at December 31, 2024, compared to $55.0 million at September 30, 2024 and $185.0 million at December 31, 2023. Short-term borrowings and brokered deposits have historically been utilized to manage the seasonality of public deposits.

Shareholders’ equity was $586.1 million at December 31, 2024, compared to $500.3 million at September 30, 2024, and $454.8 million at December 31, 2023. Both the linked quarter and year-over-year increases were primarily driven by additional paid-in-capital resulting from the common stock capital raise executed in the fourth quarter of 2024 and decreases in accumulated other comprehensive loss between periods following the investment securities restructuring.

Common book value per share was $28.33 at December 31, 2024, a decrease of $2.89, or 9.3%, from $31.22 at September 30, 2024, and a decrease of $0.07, or 0.2%, from $28.40 at December 31, 2023. Tangible common book value per share⁽¹⁾ was $25.31 at December 31, 2024, a decrease of $1.97, or 7.2%, from $27.28 at September 30, 2024, and an increase of $1.62, or 6.8%, from $23.69 at December 31, 2023. Per share data variances were attributable to the higher number of shares outstanding at year-end 2024 as a result of the equity offering. The common equity to assets ratio was 9.31% at December 31, 2024, compared to 7.85% at September 30, 2024, and 7.10% at December 31, 2023. Tangible common equity to tangible assets⁽¹⁾, or the TCE ratio, was 8.40%, 6.93% and 6.00% at December 31, 2024, September 30, 2024, and December 31, 2023, respectively. The increases in both ratios from the comparable dates were attributable to the aforementioned additional capital and the decrease in accumulated other comprehensive loss.

During the fourth quarter of 2024, the Company declared a common stock dividend of $0.30 per common share, consistent with the linked and prior year quarters.

The Company’s regulatory capital ratios at December 31, 2024 improved in comparison to the prior quarter and prior year due in part to the fourth quarter capital raise. All ratios continued to exceed all regulatory capital requirements to be considered well capitalized.

Leverage Ratio was 9.43% compared to 8.98% and 8.18% at September 30, 2024, and December 31, 2023, respectively.
Common Equity Tier 1 Capital Ratio was 10.88% compared to 10.28% and 9.43% at September 30, 2024, and December 31, 2023, respectively.
Tier 1 Capital Ratio was 11.21% compared to 10.62% and 9.76% at September 30, 2024, and December 31, 2023, respectively.
Total Risk-Based Capital Ratio was 13.60% compared to 12.95% and 12.13% at September 30, 2024, and December 31, 2023, respectively.

Credit Quality

Non-performing loans were $41.4 million, or 0.92% of total loans, at December 31, 2024, as compared to $40.7 million, or 0.93% of total loans, at September 30, 2024, and $26.7 million, or 0.60% of total loans, at December 31, 2023. The increase in non-performing loans from December 31, 2023 was primarily driven by one commercial loan relationship that was placed on nonaccrual during the third quarter of 2024. Net charge-offs were $2.8 million, representing 0.25% of average loans on an annualized basis, for the current quarter, as compared to net charge-offs of $1.7 million, or an annualized 0.15% of average loans, in the third quarter of 2024 and net charge-offs of $4.2 million, or an annualized 0.38%, in the fourth quarter of 2023.

At December 31, 2024, the allowance for credit losses on loans to total loans ratio was 1.07%, compared to 1.01% at September 30, 2024 and 1.14% at December 31, 2023.

Provision for credit losses was $6.5 million in the current quarter, compared to $3.1 million in the linked quarter and $5.3 million in the prior year quarter. Provision for credit losses on loans was $6.1 million in the current quarter, compared to $2.4 million in the third quarter of 2024 and $5.7 million in the fourth quarter of 2023. The allowance for unfunded commitments, also included in provision for credit losses as required by the current expected credit loss standard (“CECL”), totaled a provision of $321 thousand in the fourth quarter of 2024, a provision of $713 thousand in the third quarter of 2024, and a credit of $403 thousand in the fourth quarter of 2023. The provision for credit losses for the fourth quarter of 2024 was driven by a combination of factors, including the impact of loan growth during the quarter, an increase in net charge-offs as compared to the third quarter, and higher qualitative factors overall.

The Company has remained strategically focused on the importance of credit discipline, allocating resources to credit and risk management functions as the loan portfolio has grown. The ratio of allowance for credit losses on loans to non-performing loans was 116% at December 31, 2024, 110% at September 30, 2024, and 192% at December 31, 2023, with the year-over-year decrease reflective of the higher level of nonperforming loans reported at year-end.

Subsequent Events

The Company is required, under generally accepted accounting principles, to evaluate subsequent events through the filing of its consolidated financial statements for the year ended December 31, 2024, in its Annual Report on Form 10-K. As a result, the Company will continue to evaluate the impact of any subsequent events on critical accounting assumptions and estimates made as of December 31, 2024, and will adjust amounts preliminarily reported, if necessary.

Conference Call

The Company will host an earnings conference call and audio webcast on January 31, 2025 at 8:30 a.m. Eastern Time. The call will be hosted by Martin K. Birmingham, President and Chief Executive Officer, and W. Jack Plants II, Chief Financial Officer and Treasurer. The live webcast will be available in listen-only mode on the Company’s website at www.FISI-investors.com. Within the United States, listeners may also access the call by dialing 1-833-470-1428 and providing the access code 393817. The webcast replay will be available on the Company’s website for at least 30 days.

About Financial Institutions, Inc.

Financial Institutions, Inc. (NASDAQ: FISI) is a financial holding company with approximately $6.1 billion in assets offering banking and wealth management products and services. Its Five Star Bank subsidiary provides consumer and commercial banking and lending services to individuals, municipalities and businesses through banking locations spanning Western and Central New York and a commercial loan production office serving the Mid-Atlantic region. Courier Capital, LLC offers customized investment management, consulting and retirement plan services to individuals, businesses, institutions, foundations and retirement plans. Learn more at Five-StarBank.com and FISI-Investors.com.

Non-GAAP Financial Information

In addition to results presented in accordance with U.S. generally accepted accounting principles (“GAAP”), this press release contains certain non-GAAP financial measures. A reconciliation of these non-GAAP measures to GAAP measures is included in Appendix A to this document.

The Company believes that providing certain non-GAAP financial measures provides investors with information useful in understanding our financial performance, performance trends and financial position. Our management uses these measures for internal planning and forecasting purposes and we believe that our presentation and discussion, together with the accompanying reconciliations, allows investors, security analysts and other interested parties to view our performance and the factors and trends affecting our business in a manner similar to management. These non-GAAP measures should not be considered a substitute for GAAP measures, and we strongly encourage investors to review our consolidated financial statements in their entirety and not to rely on any single financial measure to evaluate the Company. Non-GAAP financial measures have inherent limitations, are not uniformly applied and are not audited. Because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies’ non-GAAP financial measures having the same or similar names.

Safe Harbor Statement

This press release may contain forward-looking statements as defined by Section 21E of the Securities Exchange Act of 1934, as amended, that involve significant risks and uncertainties. In this context, forward-looking statements often address our expected future business and financial performance and financial condition, and often contain words such as “believe,” “anticipate,” “continue,” “estimate,” “expect,” “focus,” “forecast,” “intend,” “may,” “plan,” “preliminary,” “should,” “target” or “will.” Statements herein are based on certain assumptions and analyses by the Company and factors it believes are appropriate in the circumstances. Actual results could differ materially from those contained in or implied by such statements for a variety of reasons including, but not limited to: additional information regarding the deposit fraudulent activity; changes in interest rates; inflation; changes in deposit flows and the cost and availability of funds; the Company’s ability to implement its strategic plan, including by expanding its commercial lending footprint and integrating its acquisitions; whether the Company experiences greater credit losses than expected; whether the Company experiences breaches of its, or third party, information systems; the attitudes and preferences of the Company’s customers; legal and regulatory proceedings and related matters, including any action described in our reports filed with the SEC, could adversely affect us and the banking industry in general; the competitive environment; fluctuations in the fair value of securities in its investment portfolio; changes in the regulatory environment and the Company’s compliance with regulatory requirements; and general economic and credit market conditions nationally and regionally; and the macroeconomic volatility related to global political unrest. Consequently, all forward-looking statements made herein are qualified by these cautionary statements and the cautionary language and risk factors included in the Company’s Annual Report on Form 10-K, its Quarterly Reports on Form 10-Q and other documents filed with the SEC. Except as required by law, the Company undertakes no obligation to revise these statements following the date of this press release.

⁽¹⁾ See Appendix A — Reconciliation to Non-GAAP Financial Measures for the computation of this non-GAAP financial measure.

For additional information contact:
Kate Croft
Director of Investor and External Relations
(716) 817-5159
klcroft@five-starbank.com


FINANCIAL INSTITUTIONS, INC. Selected Financial Information (Unaudited) (Amounts in thousands, except per share amounts)
	2024												2023
SELECTED BALANCE SHEET DATA:	December 31,			September 30,			June 30,			March 31,			December 31,
Cash and cash equivalents	$	87,321		$	249,569		$	146,347		$	237,038		$	124,442
Investment securities:
Available for sale		911,105			886,816			871,635			923,761			887,730
Held-to-maturity, net		116,001			121,279			128,271			143,714			148,156
Total investment securities		1,027,106			1,008,095			999,906			1,067,475			1,035,886
Loans held for sale		2,280			2,495			2,099			504			1,370
Loans:
Commercial business		665,321			654,519			713,947			707,564			735,700
Commercial mortgage–construction		582,619			533,506			518,013			528,694			493,003
Commercial mortgage–multifamily		470,954			467,527			463,171			453,027			452,155
Commercial mortgage–non-owner occupied		857,987			814,392			814,953			798,637			788,515
Commercial mortgage–owner occupied		288,036			290,216			289,733			264,698			271,646
Residential real estate loans		650,206			648,241			647,675			648,160			649,822
Residential real estate lines		75,552			76,203			75,510			75,668			77,367
Consumer indirect		845,772			874,651			894,596			920,428			948,831
Other consumer		42,757			43,734			43,870			45,170			45,100
Total loans		4,479,204			4,402,989			4,461,468			4,442,046			4,462,139
Allowance for credit losses–loans		48,041			44,678			43,952			43,075			51,082
Total loans, net		4,431,163			4,358,311			4,417,516			4,398,971			4,411,057
Total interest-earning assets		5,602,570			5,666,972			5,709,148			5,857,616			5,702,904
Goodwill and other intangible assets, net		60,758			60,867			60,979			72,287			72,504
Total assets		6,111,187			6,156,317			6,131,772			6,298,598			6,160,881
Deposits:
Noninterest-bearing demand		950,351			978,660			939,346			972,801			1,010,614
Interest-bearing demand		705,195			793,996			711,580			798,831			713,158
Savings and money market		1,904,013			2,027,181			2,007,256			2,064,539			2,084,444
Time deposits		1,545,172			1,506,764			1,475,139			1,560,586			1,404,696
Total deposits		5,104,731			5,306,601			5,133,321			5,396,757			5,212,912
Short-term borrowings		99,000			55,000			202,000			133,000			185,000
Long-term borrowings, net		124,842			124,765			124,687			124,610			124,532
Total interest-bearing liabilities		4,405,912			4,507,706			4,520,662			4,681,566			4,511,830
Shareholders’ equity		586,108			500,342			467,667			445,734			454,796
Common shareholders’ equity		568,823			483,050			450,375			428,442			437,504
Tangible common equity ⁽¹⁾		508,065			422,183			389,396			356,155			365,000
Accumulated other comprehensive loss	$	(52,604	)	$	(102,029	)	$	(125,774	)	$	(126,264	)	$	(119,941	)

Common shares outstanding		20,077			15,474			15,472			15,447			15,407
Treasury shares		623			625			627			653			692
CAPITAL RATIOS AND PER SHARE DATA:
Leverage ratio		9.43	%		8.98	%		8.61	%		8.03	%		8.18	%
Common equity Tier 1 capital ratio		10.88	%		10.28	%		10.03	%		9.43	%		9.43	%
Tier 1 capital ratio		11.21	%		10.62	%		10.36	%		9.76	%		9.76	%
Total risk-based capital ratio		13.60	%		12.95	%		12.65	%		12.04	%		12.13	%
Common equity to assets		9.31	%		7.85	%		7.34	%		6.80	%		7.10	%
Tangible common equity to tangible assets ⁽¹⁾		8.40	%		6.93	%		6.41	%		5.72	%		6.00	%

Common book value per share	$	28.33		$	31.22		$	29.11		$	27.74		$	28.40
Tangible common book value per share ⁽¹⁾	$	25.31		$	27.28		$	25.17		$	23.06		$	23.69

^1. See Appendix A — Reconciliation to Non-GAAP Financial Measures for the computation of this non-GAAP financial measure.


FINANCIAL INSTITUTIONS, INC. Selected Financial Information (Unaudited) (Amounts in thousands, except per share amounts)
	Year Ended						2024												2023
	December 31,						Fourth			Third			Second			First			Fourth
SELECTED INCOME STATEMENT DATA:	2024			2023			Quarter			Quarter			Quarter			Quarter			Quarter
Interest income	$	313,231		$	286,133		$	78,119		$	77,911		$	78,788		$	78,413		$	76,547
Interest expense		149,642			120,418			36,486			37,230			37,595			38,331			36,661
Net interest income		163,589			165,715			41,633			40,681			41,193			40,082			39,886
Provision (benefit) for credit losses		6,150			13,681			6,461			3,104			2,041			(5,456	)		5,271
Net interest income after provision (benefit) for credit losses		157,439			152,034			35,172			37,577			39,152			45,538			34,615
Noninterest (loss) income:
Service charges on deposits		4,233			4,625			1,074			1,103			979			1,077			1,168
Insurance income		2,144			6,708			3			3			4			2,134			1,615
Card interchange income		7,855			8,220			2,045			1,900			2,008			1,902			2,080
Investment advisory		10,713			10,955			2,555			2,797			2,779			2,582			2,669
Company owned life insurance		5,487			12,106			1,425			1,404			1,360			1,298			9,132
Investments in limited partnerships		2,382			1,783			837			400			803			342			672
Loan servicing		716			479			295			88			158			175			84
Income (loss) from derivative instruments, net		726			1,350			(37	)		212			377			174			(68	)
Net gain on sale of loans held for sale		618			566			186			220			124			88			217
Net loss on investment securities		(100,055	)		(3,576	)		(100,055	)		–			–			–			(3,576	)
Net gain (loss) on other assets		13,614			(6	)		(19	)		138			13,508			(13	)		(37	)
Net (loss) gain on tax credit investments		(775	)		(252	)		(636	)		(170	)		406			(375	)		(207	)
Other		5,661			5,286			1,291			1,345			1,508			1,517			1,619
Total noninterest (loss) income		(46,681	)		48,244			(91,036	)		9,440			24,014			10,901			15,368
Noninterest expense:
Salaries and employee benefits		66,126			71,889			17,159			15,879			15,748			17,340			17,842
Occupancy and equipment		14,361			14,798			3,791			3,370			3,448			3,752			3,739
Professional services		7,702			5,259			1,571			1,965			1,794			2,372			1,415
Computer and data processing		22,689			20,110			6,608			5,353			5,342			5,386			5,562
Supplies and postage		1,935			1,873			504			519			437			475			455
FDIC assessments		5,284			4,902			1,551			1,092			1,346			1,295			1,316
Advertising and promotions		1,573			1,926			465			371			440			297			370
Amortization of intangibles		552			910			109			112			114			217			221
Deposit-related charged-off items		20,341			1,201			354			410			398			19,179			223
Restructuring charges		35			114			35			–			–			–			188
Other		15,286			14,243			4,235			3,398			3,953			3,700			3,716
Total noninterest expense		155,884			137,225			36,382			32,469			33,020			54,013			35,047
(Loss) income before income taxes		(45,126	)		63,053			(92,246	)		14,548			30,146			2,426			14,936
Income tax (benefit) expense		(20,604	)		12,789			(26,559	)		1,082			4,517			356			5,156
Net (loss) income		(24,522	)		50,264			(65,687	)		13,466			25,629			2,070			9,780
Preferred stock dividends		1,459			1,459			365			365			364			365			365
Net (loss) income available to common shareholders	$	(25,981	)	$	48,805		$	(66,052	)	$	13,101		$	25,265		$	1,705		$	9,415
FINANCIAL RATIOS:
Earnings (loss) per share–basic	$	(1.66	)	$	3.17		$	(4.02	)	$	0.85		$	1.64		$	0.11		$	0.61
Earnings (loss) per share–diluted	$	(1.66	)	$	3.15		$	(4.02	)	$	0.84		$	1.62		$	0.11		$	0.61
Cash dividends declared on common stock	$	1.20		$	1.20		$	0.30		$	0.30		$	0.30		$	0.30		$	0.30
Common dividend payout ratio		-72.29	%		37.85	%		-7.46	%		35.29	%		18.29	%		272.73	%		49.18	%
Dividend yield (annualized)		4.40	%		5.63	%		4.37	%		4.69	%		6.25	%		6.41	%		5.59	%
Return on average assets (annualized)		-0.40	%		0.83	%		-4.27	%		0.89	%		1.68	%		0.13	%		0.63	%
Return on average equity (annualized)		-5.15	%		11.86	%		-50.51	%		11.08	%		22.93	%		1.83	%		9.28	%
Return on average common equity (annualized)		-5.66	%		12.01	%		-52.54	%		11.18	%		23.51	%		1.57	%		9.31	%
Return on average tangible common equity (annualized) ⁽¹⁾		-6.58	%		14.64	%		-59.82	%		12.87	%		27.51	%		1.88	%		11.37	%
Efficiency ratio ⁽²⁾		71.75	%		62.96	%		71.74	%		64.70	%		50.58	%		105.77	%		59.48	%
Effective tax rate		-45.7	%		20.3	%		-28.8	%		7.4	%		15.0	%		18.7	%		34.5	%

^1. See Appendix A – Reconciliation to Non-GAAP Financial Measures for the computation of this non-GAAP financial measure. ^2. The efficiency ratio is calculated by dividing noninterest expense by net revenue, i.e., the sum of net interest income (fully taxable equivalent) and noninterest income before net gains on investment securities. This is a banking industry measure not required by GAAP.


FINANCIAL INSTITUTIONS, INC. Selected Financial Information (Unaudited) (Amounts in thousands)
	Year Ended						2024												2023
	December 31,						Fourth			Third			Second			First			Fourth
SELECTED AVERAGE BALANCES:	2024			2023			Quarter			Quarter			Quarter			Quarter			Quarter
Federal funds sold and interest-earning deposits	$	115,635		$	80,415		$	121,530		$	49,476		$	134,123		$	158,075		$	102,487
Investment securities ⁽¹⁾		1,171,083			1,249,928			1,159,863			1,147,052			1,194,808			1,182,993			1,199,766
Loans:
Commercial business		689,585			698,861			658,038			673,830			704,272			722,720			702,222
Commercial mortgage–construction		509,461			364,967			558,200			513,768			495,177			470,115			438,768
Commercial mortgage–multifamily		465,244			461,954			458,691			467,801			466,501			468,028			467,226
Commercial mortgage–non-owner occupied		837,495			837,860			843,034			826,275			837,209			843,526			840,226
Commercial mortgage–owner occupied		270,646			243,574			288,502			285,061			260,495			248,172			249,013
Residential real estate loans		648,604			612,767			649,549			647,844			648,099			648,921			640,955
Residential real estate lines		75,951			76,350			76,164			75,671			75,575			76,396			76,741
Consumer indirect		894,720			997,538			858,854			881,133			905,056			934,380			965,571
Other consumer		45,790			28,741			43,333			43,789			44,552			51,535			43,664
Total loans		4,437,496			4,322,612			4,434,365			4,415,172			4,436,936			4,463,793			4,424,386
Total interest-earning assets		5,724,214			5,652,955			5,715,758			5,611,700			5,765,867			5,804,861			5,726,639
Goodwill and other intangible assets, net		64,247			72,965			60,824			60,936			62,893			72,409			72,628
Total assets		6,129,414			6,025,383			6,121,385			6,018,390			6,153,429			6,225,760			6,127,190
Interest-bearing liabilities:
Interest-bearing demand		734,731			818,541			757,221			691,412			741,006			749,512			780,546
Savings and money market		2,012,215			1,781,776			1,992,360			1,938,935			2,036,772			2,081,815			2,048,822
Time deposits		1,511,507			1,477,596			1,545,071			1,515,745			1,505,665			1,479,133			1,455,867
Short-term borrowings		126,192			186,910			56,513			129,130			140,110			179,747			84,587
Long-term borrowings, net		124,679			121,903			124,795			124,717			124,640			124,562			124,484
Total interest-bearing liabilities		4,509,324			4,386,726			4,475,960			4,399,939			4,548,193			4,614,769			4,494,306
Noninterest-bearing demand deposits		953,341			1,030,648			947,127			952,970			950,819			962,522			1,006,465
Total deposits		5,211,794			5,108,561			5,241,779			5,099,062			5,234,262			5,272,982			5,291,700
Total liabilities		5,652,983			5,601,697			5,603,999			5,535,112			5,703,929			5,770,725			5,708,861
Shareholders’ equity		476,431			423,686			517,386			483,278			449,500			455,035			418,329
Common equity		459,139			406,394			500,096			465,986			432,208			437,743			401,037
Tangible common equity ⁽²⁾		394,892			333,429			439,272			405,050			369,315			365,334			328,409
Common shares outstanding:
Basic		15,683			15,376			16,415			15,464			15,444			15,403			15,393
Diluted		15,683			15,475			16,415			15,636			15,556			15,543			15,511
SELECTED AVERAGE YIELDS: (Tax equivalent basis)
Investment securities ⁽³⁾		2.20	%		1.92	%		2.38	%		2.14	%		2.17	%		2.09	%		2.03	%
Loans		6.36	%		5.98	%		6.28	%		6.42	%		6.40	%		6.33	%		6.21	%
Total interest-earning assets		5.48	%		5.07	%		5.45	%		5.53	%		5.50	%		5.43	%		5.32	%
Interest-bearing demand		1.18	%		0.87	%		1.34	%		1.05	%		1.18	%		1.11	%		1.26	%
Savings and money market		3.03	%		2.32	%		2.94	%		3.07	%		3.01	%		3.08	%		3.01	%
Time deposits		4.66	%		3.98	%		4.53	%		4.72	%		4.72	%		4.68	%		4.57	%
Short-term borrowings		2.67	%		3.69	%		0.15	%		2.64	%		2.75	%		3.42	%		1.38	%
Long-term borrowings, net		5.03	%		5.06	%		5.03	%		5.03	%		5.02	%		5.02	%		5.05	%
Total interest-bearing liabilities		3.32	%		2.75	%		3.24	%		3.37	%		3.32	%		3.34	%		3.24	%
Net interest rate spread		2.16	%		2.32	%		2.21	%		2.16	%		2.18	%		2.09	%		2.08	%
Net interest margin		2.86	%		2.94	%		2.91	%		2.89	%		2.87	%		2.78	%		2.78	%

^1. Includes investment securities at adjusted amortized cost. ^2. See Appendix A – Reconciliation to Non-GAAP Financial Measures for the computation of this non-GAAP financial measure. ^3. The interest on tax-exempt securities is calculated on a tax-equivalent basis assuming a Federal income tax rate of 21%.


FINANCIAL INSTITUTIONS, INC. Selected Financial Information (Unaudited) (Amounts in thousands)
	Year Ended						2024												2023
	December 31,						Fourth			Third			Second			First			Fourth
ASSET QUALITY DATA:	2024			2023			Quarter			Quarter			Quarter			Quarter			Quarter
Allowance for Credit Losses – Loans
Beginning balance	$	51,082		$	45,413		$	44,678		$	43,952		$	43,075		$	51,082		$	49,630
Net loan charge-offs (recoveries):
Commercial business		98			(109	)		131			(3	)		7			(37	)		(50	)
Commercial mortgage–construction		–			980			–			–			–			–			980
Commercial mortgage–multifamily		12			–			–			13			–			–			–
Commercial mortgage–non-owner occupied		(8	)		(875	)		(5	)		(1	)		(1	)		(1	)		13
Commercial mortgage–owner occupied		(4	)		(70	)		(1	)		(2	)		(2	)		–			–
Residential real estate loans		95			89			(4	)		(1	)		96			4			22
Residential real estate lines		–			41			–			–			–			–			–
Consumer indirect		7,927			7,595			2,557			1,553			844			2,973			3,174
Other consumer		566			893			100			106			178			182			82
Total net charge-offs (recoveries)		8,686			8,544			2,778			1,665			1,122			3,121			4,221
Provision for credit losses – loans		5,645			14,213			6,141			2,391			1,999			(4,886	)		5,673
Ending balance	$	48,041		$	51,082		$	48,041		$	44,678		$	43,952		$	43,075		$	51,082

Net charge-offs (recoveries) to average loans (annualized):
Commercial business		0.01	%		-0.02	%		0.80	%		0.00	%		0.00	%		-0.02	%		-0.03	%
Commercial mortgage–construction		0.00	%		0.00	%		0.00	%		0.00	%		0.00	%		0.00	%		0.20	%
Commercial mortgage–multifamily		0.00	%		0.00	%		0.00	%		0.01	%		0.00	%		0.00	%		0.00	%
Commercial mortgage–non-owner occupied		0.00	%		0.00	%		0.00	%		0.00	%		0.00	%		0.00	%		0.00	%
Commercial mortgage–owner occupied		0.00	%		0.00	%		0.00	%		0.00	%		0.00	%		0.00	%		0.00	%
Residential real estate loans		0.01	%		0.01	%		0.00	%		0.00	%		0.06	%		0.00	%		0.01	%
Residential real estate lines		0.00	%		0.05	%		0.00	%		0.00	%		0.00	%		0.00	%		0.00	%
Consumer indirect		0.89	%		0.76	%		1.18	%		0.70	%		0.38	%		1.28	%		1.30	%
Other consumer		1.23	%		3.11	%		0.91	%		0.95	%		1.62	%		1.41	%		0.75	%
Total loans		0.20	%		0.20	%		0.25	%		0.15	%		0.10	%		0.28	%		0.38	%

Supplemental information ⁽¹⁾
Non-performing loans:
Commercial business	$	5,609		$	5,664		$	5,609		$	5,752		$	5,680		$	5,956		$	5,664
Commercial mortgage–construction		20,280			5,320			20,280			20,280			4,970			5,320			5,320
Commercial mortgage–multifamily		–			189			–			71			183			185			189
Commercial mortgage–non-owner occupied		4,773			4,651			4,773			4,903			4,919			4,929			4,651
Commercial mortgage–owner occupied		354			403			354			366			380			392			403
Residential real estate loans		6,918			6,364			6,918			5,790			5,961			6,797			6,364
Residential real estate lines		253			221			253			232			183			235			221
Consumer indirect		3,157			3,814			3,157			3,291			2,897			2,880			3,814
Other consumer		62			34			62			57			36			36			34
Total non-performing loans		41,406			26,660			41,406			40,742			25,209			26,730			26,660
Foreclosed assets		60			142			60			109			63			140			142
Total non-performing assets	$	41,466		$	26,802		$	41,466		$	40,851		$	25,272		$	26,870		$	26,802

Total non-performing loans to total loans		0.92	%		0.60	%		0.92	%		0.93	%		0.57	%		0.60	%		0.60	%
Total non-performing assets to total assets		0.68	%		0.44	%		0.68	%		0.66	%		0.41	%		0.43	%		0.44	%
Allowance for credit losses–loans to total loans		1.07	%		1.14	%		1.07	%		1.01	%		0.99	%		0.97	%		1.14	%
Allowance for credit losses–loans to non-performing loans		116	%		192	%		116	%		110	%		174	%		161	%		192	%

^1. At period end.


FINANCIAL INSTITUTIONS, INC. Appendix A — Reconciliation to Non-GAAP Financial Measures (Unaudited) (In thousands, except per share amounts)
	Year Ended						2024												2023
	December 31,						Fourth			Third			Second			First			Fourth
	2024			2023			Quarter			Quarter			Quarter			Quarter			Quarter
Ending tangible assets:
Total assets							$	6,111,187		$	6,156,317		$	6,131,772		$	6,298,598		$	6,160,881
Less: Goodwill and other intangible assets, net								60,758			60,867			60,979			72,287			72,504
Tangible assets							$	6,050,429		$	6,095,450		$	6,070,793		$	6,226,311		$	6,088,377

Ending tangible common equity:
Common shareholders’ equity							$	568,823		$	483,050		$	450,375		$	428,442		$	437,504
Less: Goodwill and other intangible assets, net								60,758			60,867			60,979			72,287			72,504
Tangible common equity							$	508,065		$	422,183		$	389,396		$	356,155		$	365,000

Tangible common equity to tangible assets ⁽¹⁾								8.40	%		6.93	%		6.41	%		5.72	%		6.00	%

Common shares outstanding								20,077			15,474			15,472			15,447			15,407
Tangible common book value per share ⁽²⁾							$	25.31		$	27.28		$	25.17		$	23.06		$	23.69

Average tangible assets:
Average assets	$	6,129,414		$	6,025,383		$	6,121,385		$	6,018,390		$	6,153,429		$	6,225,760		$	6,127,190
Less: Average goodwill and other intangible assets, net		64,247			72,965			60,824			60,936			62,893			72,409			72,628
Average tangible assets	$	6,065,167		$	5,952,418		$	6,060,561		$	5,957,454		$	6,090,536		$	6,153,351		$	6,054,562

Average tangible common equity:
Average common equity	$	459,139		$	406,394		$	500,096		$	465,986		$	432,208		$	437,743		$	401,037
Less: Average goodwill and other intangible assets, net		64,247			72,965			60,824			60,936			62,893			72,409			72,628
Average tangible common equity	$	394,892		$	333,429		$	439,272		$	405,050		$	369,315		$	365,334		$	328,409

Net (loss) income available to common shareholders	$	(25,981	)	$	48,805		$	(66,052	)	$	13,101		$	25,265		$	1,705		$	9,415
Return on average tangible common equity ⁽³⁾		-6.58	%		14.64	%		-59.82	%		12.87	%		27.51	%		1.88	%		11.37	%

^1. Tangible common equity divided by tangible assets. ^2. Tangible common equity divided by common shares outstanding. ^3. Net income available to common shareholders (annualized) divided by average tangible common equity.

MIL-OSI: GSI Technology, Inc. Reports Third Quarter Fiscal 2025 Results

Source: GlobeNewswire (MIL-OSI)

SUNNYVALE, Calif., Jan. 30, 2025 (GLOBE NEWSWIRE) — GSI Technology, Inc. (NASDAQ: GSIT) today reported financial results for its third fiscal quarter ended December 31, 2024.

Summary Financial Results Table (in thousands, except per share amounts)

	Three Months Ended									Nine Months Ended
	Dec. 31, 2024			Sept. 30, 2024			Dec. 31, 2023			Dec. 31, 2024			Dec. 31, 2023
Net revenues	$	5,414		$	4,550		$	5,318		$	14,635		$	16,613
Gross margin (%)		54.0	%		38.6	%		55.9	%		46.7	%		55.2	%
Operating expenses	$	6,978		$	7,341		$	9,660		$	15,400		$	25,082
Operating loss	$	(4,055	)	$	(5,584	)	$	(6,685	)	$	(8,559	)	$	(15,917	)
Net loss	$	(4,029	)	$	(5,458	)	$	(6,601	)	$	(8,409	)	$	(15,766	)
Net loss per share, diluted	$	(0.16	)	$	(0.21	)	$	(0.26	)	$	(0.33	)	$	(0.63	)

Lee-Lean Shu, Chairman and Chief Executive Officer, stated, “In the third quarter, revenue reached $5.4 million, up 2% year-over-year and 19% sequentially. Our core SRAM sales are strengthening as customer orders rebound due to normalized inventory levels and increasing demand from a key customer whose systems are integral to manufacturing leading AI chips. We anticipate this customer to become our largest revenue contributor in fiscal 2025.”

Mr. Shu concluded, “The development of our APU technology is progressing steadily. The Gemini-II chip is on track for a February tape-out with availability in May, aligning with a milestone with the Space Development Agency SBIR. The latest version of Gemini-II takes AI to the next level by combining advanced neural networks with cutting-edge radar imaging technology, like Synthetic Aperture Radar (SAR), designed to tackle important challenges in defense and aerospace. We can leverage Gemini-II’s architecture to accelerate the development of Plato, our next-generation chip, with a cost-effective, faster-to-market strategy. Plato’s ultra-low-power design will target rapidly growing markets for edge AI and large language model solutions. Additionally, increased operational efficiency and SRAM sales improvement position us for stability as we continue to evaluate strategic alternatives.”

Commenting on the outlook for GSI’s fourth quarter of fiscal 2025, Mr. Shu stated, “Our current expectations for the upcoming fourth quarter is for net revenues in a range of $5.4 million to $6.2 million, with gross margin of approximately 55% to 57%.”

Third Quarter Fiscal Year 2025 Summary Financials

The Company reported net revenues of $5.4 million for the third quarter of fiscal 2025, compared to $5.3 million for the third quarter of fiscal 2024 and $4.6 million for the second quarter of fiscal 2025. Gross margin was 54.0% in the third quarter of fiscal 2025 compared to 55.9% in the third quarter of fiscal 2024 and 38.6% in the preceding second quarter of fiscal 2025. The sequential increase in gross margin in the third quarter of fiscal 2025 was primarily due to higher revenue, product mix and severance costs associated with manufacturing workforce reductions in the prior quarter.

In the third quarter of fiscal 2025, sales to Nokia were $239,000, or 4.4% of net revenues, compared to $807,000, or 15.2% of net revenues, in the same period a year ago and $812,000, or 17.8% of net revenues, in the prior quarter. Military/defense sales were 30.0% of third quarter shipments compared to 28.2% of shipments in the comparable period a year ago and 40.2% of shipments in the prior quarter. SigmaQuad sales were 39.1% of third quarter shipments compared to 46.9% in the third quarter of fiscal 2024 and 38.6% in the prior quarter.

Total operating expenses in the third quarter of fiscal 2025 were $7.0 million, compared to $9.7 million in the third quarter of fiscal 2024 and $7.3 million in the prior quarter. Research and development expenses were $4.0 million in the third quarter of fiscal 2025, compared to $7.0 million in the prior-year period and $4.8 million in the prior quarter. Selling, general and administrative expenses were $3.0 million in the quarter ended December 31, 2024, compared to $2.7 million in the prior-year period and $2.6 million in the previous quarter.

Third quarter fiscal 2025 operating loss was $(4.1) million compared to an operating loss of $(6.7) million in the prior-year period and $(5.6) million in the prior quarter. Third quarter fiscal 2025 net loss included interest and other income of $70,000 and a tax provision of $44,000, compared to $155,000 in interest and other income and a tax provision of $71,000 for the same period a year ago. In the preceding second quarter, net loss included interest and other income of $149,000 and a tax provision of $23,000.

Net loss in the third quarter of fiscal 2025 was $(4.0) million, or $(0.16) per diluted share, compared to a net loss of $(6.6) million, or $(0.26) per diluted share, for the third quarter of fiscal 2024 and a net loss of $(5.5) million, or $(0.21) per diluted share, for the second quarter of fiscal 2025.

Total third quarter pre-tax stock-based compensation expense was $429,000 compared to $649,000 in the comparable quarter a year ago and $663,000 in the prior quarter.

At December 31, 2024, the Company had $15.1 million in cash and cash equivalents, compared to $14.4 million at March 31, 2024. Working capital was $17.9 million as of December 31, 2024 versus $19.1 million at March 31, 2024. Stockholders’ equity as of December 31, 2024 was $29.9 million, compared to $36.0 million as of the fiscal year ended March 31, 2024.

Conference Call

Management will conduct a conference call to review the Company’s financial results for the third quarter of fiscal year 2025 and its current outlook for the fourth quarter of fiscal 2025 at 1:30 p.m. Pacific time (4:30 p.m. Eastern Time) today.

To participate in the call, please dial 1-877-407-3982 in the U.S. or 1-201-493-6780 for international approximately 10 minutes prior to the above start time and provide Conference ID 13751185. The call will also be streamed live via the internet at www.gsitechnology.com.

A replay will be available from January 30, 2025, at 7:30 p.m. Eastern Time through February 6, 2025, at 11:59 p.m. Eastern Time by dialing toll-free for the U.S. 1-844-512-2921 or international 1-412-317-6671 and entering pin number 13751185. A webcast of the call will be archived on the Company’s investor relations website under the Events and Presentations tab.

About GSI Technology

Founded in 1995, GSI Technology, Inc. is a leading provider of semiconductor memory solutions. GSI’s resources are focused on bringing new products to market that leverage existing core strengths, including radiation-hardened memory products for extreme environments and Gemini-I, the associative processing unit designed to deliver performance advantages for diverse artificial intelligence applications. GSI Technology is headquartered in Sunnyvale, California, and has sales offices in the Americas, Europe, and Asia. For more information, please visit www.gsitechnology.com.

Forward-Looking Statements

The statements contained in this press release that are not purely historical are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, including statements regarding GSI Technology’s expectations, beliefs, intentions, or strategies regarding the future. All forward-looking statements included in this press release are based upon information available to GSI Technology as of the date hereof, and GSI Technology assumes no obligation to update any such forward-looking statements. Forward-looking statements involve a variety of risks and uncertainties, which could cause actual results to differ materially from those projected. These risks include those associated with the normal quarterly and fiscal year-end closing process. Examples of risks that could affect our current expectations regarding future revenues and gross margins include those associated with fluctuations in GSI Technology’s operating results; GSI Technology’s historical dependence on sales to a limited number of customers and fluctuations in the mix of customers and products in any period; global public health crises that reduce economic activity; the rapidly evolving markets for GSI Technology’s products and uncertainty regarding the development of these markets; the need to develop and introduce new products to offset the historical decline in the average unit selling price of GSI Technology’s products; the challenges of rapid growth followed by periods of contraction; intensive competition; delays or unanticipated costs that may be encountered in the development of new products based on our in-place associative computing technology and the establishment of new markets and customer and partner relationships for the sale of such products; and delays or unexpected challenges related to the establishment of customer relationships and orders for GSI Technology’s radiation-hardened and tolerant SRAM products. Many of these risks are currently amplified by and will continue to be amplified by, or in the future may be amplified by, economic and geopolitical conditions, such as changing interest rates, worldwide inflationary pressures, military conflicts and declines in the global economic environment. Further information regarding these and other risks relating to GSI Technology’s business is contained in the Company’s filings with the Securities and Exchange Commission, including those factors discussed under the caption “Risk Factors” in such filings.

Source: GSI Technology, Inc.

Contacts:

Investor Relations:

Hayden IR
Kim Rogers
385-831-7337
kim@haydenir.com

Media Relations:

Finn Partners for GSI Technology
Ricca Silverio
415-348-2724
gsi@finnpartners.com

Company:

GSI Technology, Inc.
Douglas M. Schirle
Chief Financial Officer
408-331-9802

GSI TECHNOLOGY, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
(Unaudited)

			Three Months Ended									Nine Months Ended
			Dec. 31,			Sept. 30,			Dec. 31,			Dec. 31,			Dec. 31,
				2024			2024			2023			2024			2023

Net revenues			$	5,414		$	4,550		$	5,318		$	14,635		$	16,613
Cost of goods sold				2,491			2,793			2,343			7,794			7,448

Gross profit				2,923			1,757			2,975			6,841			9,165

Operating expenses:

	Research & development			4,037			4,788			6,976			13,039			16,871
	Selling, general and administrative			2,997			2,553			2,684			8,154			8,211
	Gain from sale of assets			(56	)		–			–			(5,793	)		–
		Total operating expenses		6,978			7,341			9,660			15,400			25,082

Operating loss				(4,055	)		(5,584	)		(6,685	)		(8,559	)		(15,917	)

Interest and other income, net				70			149			155			274			306

Loss before income taxes				(3,985	)		(5,435	)		(6,530	)		(8,285	)		(15,611	)
Provision for income taxes				44			23			71			124			155
Net loss			$	(4,029	)	$	(5,458	)	$	(6,601	)	$	(8,409	)	$	(15,766	)


Net loss per share, basic			$	(0.16	)	$	(0.21	)	$	(0.26	)	$	(0.33	)	$	(0.63	)
Net loss per share, diluted			$	(0.16	)	$	(0.21	)	$	(0.26	)	$	(0.33	)	$	(0.63	)

Weighted-average shares used in
computing per share amounts:

Basic				25,546			25,467			25,256			25,463			25,094
Diluted				25,546			25,467			25,256			25,463			25,094


Stock-based compensation included in the Condensed Consolidated Statements of Operations:

			Three Months Ended									Nine Months Ended
			Dec. 31,			Sept. 30,			Dec. 31,			Dec. 31,			Dec. 31,
				2024			2024			2023			2024			2023

Cost of goods sold			$	50		$	51		$	51		$	157		$	175
Research & development				121			336			325			747			1,080
Selling, general and administrative				258			276			273			846			890
			$	429		$	663		$	649		$	1,750		$	2,145

GSI TECHNOLOGY, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
(Unaudited)

	Dec. 31, 2024		March 31, 2024
Cash and cash equivalents	$	15,085	$	14,429
Accounts receivable		3,583		3,118
Inventory		3,885		4,977
Other current assets		1,267		1,954
Assets held for sale		–		5,629
Net property and equipment		883		1,148
Operating lease right-of-use assets		9,858		1,553
Other assets		9,572		9,656
Total assets	$	44,133	$	42,464

Current liabilities	$	5,900	$	5,365
Long-term liabilities		8,300		1,129
Stockholders’ equity		29,933		35,970
Total liabilities and stockholders’ equity	$	44,133	$	42,464

MIL-OSI: Ellomay Capital Announces Results of Extraordinary General Meeting of Shareholders

Source: GlobeNewswire (MIL-OSI)

Tel-Aviv, Israel, Jan. 30, 2025 (GLOBE NEWSWIRE) — Ellomay Capital Ltd. (NYSE American; TASE: ELLO) (“Ellomay” or the “Company”), a renewable energy and power generator and developer of renewable energy and power projects in Europe, Israel and the USA, today announced that at the extraordinary general meeting of the Company’s shareholders, held on January 30, 2025 (the “EGM”), the Company’s shareholders approved the terms of service and compensation of Mr. Ben Sheizaf, the Company’s Chairman of the Board.

For more information, please see the Company’s Notice and Proxy Statement relating to the EGM, submitted on Form 6-K to the Securities and Exchange Commission on December 23, 2024.

About Ellomay Capital Ltd.

Ellomay is an Israeli based company whose shares are registered with the NYSE American and with the Tel Aviv Stock Exchange under the trading symbol “ELLO”. Since 2009, Ellomay Capital focuses its business in the renewable energy and power sectors in Europe, USA and Israel.

To date, Ellomay has evaluated numerous opportunities and invested significant funds in the renewable, clean energy and natural resources industries in Israel, Italy, Spain, the Netherlands and Texas, USA, including:

	●	Approximately 353.9 MW of operating solar power plants in Spain (including a 300 MW solar plant in owned by Talasol, which is 51% owned by the Company) and approximately 38 MW of operating solar power plants in Italy;

	●	9.375% indirect interest in Dorad Energy Ltd., which owns and operates one of Israel’s largest private power plants with production capacity of approximately 850MW, representing about 6%-8% of Israel’s total current electricity consumption;

	●	Groen Gas Goor B.V., Groen Gas Oude-Tonge B.V. and Groen Gas Gelderland B.V., project companies operating anaerobic digestion plants in the Netherlands, with a green gas production capacity of approximately 3 million, 3.8 million and 9.5 million Nm3 per year, respectively;

	●	83.333% of Ellomay Pumped Storage (2014) Ltd., which is involved in a project to construct a 156 MW pumped storage hydro power plant in the Manara Cliff, Israel;

	●	Solar projects in Italy with an aggregate capacity of 195 MW that have reached “ready to build” status; and

	●	Solar projects in the Dallas Metropolitan area, Texas, USA with an aggregate capacity of 49 MW that are under construction.

For more information about Ellomay, visit http://www.ellomay.com.

Information Relating to Forward-Looking Statements

This press release contains forward-looking statements that involve substantial risks and uncertainties, including statements that are based on the current expectations and assumptions of the Company’s management. All statements, other than statements of historical facts, included in this press release regarding the Company’s plans and objectives, expectations and assumptions of management are forward-looking statements. The use of certain words, including the words “estimate,” “project,” “intend,” “expect,” “believe” and similar expressions are intended to identify forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The Company may not actually achieve the plans, intentions or expectations disclosed in the forward-looking statements and you should not place undue reliance on the Company’s forward-looking statements. Various important factors could cause actual results or events to differ materially from those that may be expressed or implied by the Company’s forward-looking statements, including changes in electricity prices and demand, regulatory changes increases in interest rates and inflation, changes in the supply and prices of resources required for the operation of the Company’s facilities (such as waste and natural gas) and in the price of oil, the impact of the war and hostilities in Israel and Gaza, the impact of the continued military conflict between Russia and Ukraine, technical and other disruptions in the operations or construction of the power plants owned by the Company and general market, political and economic conditions in the countries in which the Company operates, including Israel, Spain, Italy and the United States. These and other risks and uncertainties associated with the Company’s business are described in greater detail in the filings the Company makes from time to time with Securities and Exchange Commission, including its Annual Report on Form 20-F. The forward-looking statements are made as of this date and the Company does not undertake any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

Contact:
Kalia Rubenbach (Weintraub)
CFO
Tel: +972 (3) 797-1111
Email: hilai@ellomay.com

MIL-OSI: Arbor Realty Trust Announces Tax Treatment of 2024 Dividends

Source: GlobeNewswire (MIL-OSI)

UNIONDALE, N.Y., Jan. 30, 2025 (GLOBE NEWSWIRE) — Arbor Realty Trust, Inc. (NYSE: ABR), today announced the tax treatment of its 2024 dividend distributions for common and preferred shares of beneficial interest.

For tax reporting purposes, 100% of the distributions paid on our common stock during 2024 will be classified as dividend income. The 2024 taxable distributions with respect to our common stock traded under ticker symbol ABR are summarized as follows:

Common Shares (CUSIP #038923108)
Record Date	Payment Date	Total Distribution Per Share		Non-Qualified Dividend ⁽¹⁾		Qualified Dividend		Capital Gain Distribution
3/4/2024	3/15/2024	$	0.43	$	0.43	$	0.00	$	0.00
5/17/2024	5/31/2024		0.43		0.43		0.00		0.00
8/16/2024	8/30/2024		0.43		0.43		0.00		0.00
11/15/2024	11/27/2024		0.43		0.43		0.00		0.00
		$	1.72	$	1.72	$	0.00	$	0.00

The 2024 taxable distributions with respect to our 6.375% Series D Cumulative Redeemable Preferred Stock traded under ticker symbol ABR-PD are summarized as follows:

6.375% Series D Cumulative Redeemable Preferred Stock (CUSIP #038923876)
Record Date	Payment Date	Total Distribution Per Share		Non-Qualified Dividend ⁽¹⁾		Qualified Dividend		Capital Gain Distribution
1/15/2024	1/30/2024	$	0.3984375	$	0.3984375	$	0.00	$	0.00
4/15/2024	4/30/2024		0.3984375		0.3984375		0.00		0.00
7/15/2024	7/30/2024		0.3984375		0.3984375		0.00		0.00
10/15/2024	10/30/2024		0.3984375		0.3984375		0.00		0.00
		$	1.5937500	$	1.5937500	$	0.00	$	0.00

The 2024 taxable distributions with respect to our 6.25% Series E Cumulative Redeemable Preferred Stock traded under ticker symbol ABR-PE are summarized as follows:

6.25% Series E Cumulative Redeemable Preferred Stock (CUSIP #038923868)
Record Date	Payment Date	Total Distribution Per Share		Non-Qualified Dividend ⁽¹⁾		Qualified Dividend		Capital Gain Distribution
1/15/2024	1/30/2024	$	0.390625	$	0.390625	$	0.00	$	0.00
4/15/2024	4/30/2024		0.390625		0.390625		0.00		0.00
7/15/2024	7/30/2024		0.390625		0.390625		0.00		0.00
10/15/2024	10/30/2024		0.390625		0.390625		0.00		0.00
		$	1.562500	$	1.562500	$	0.00	$	0.00

The 2024 taxable distributions with respect to our 6.25% Series F Fixed to Floating Cumulative Redeemable Preferred Stock traded under ticker symbol ABR-PF are summarized as follows:

6.25% Series F Fixed to Floating Cumulative Redeemable Preferred Stock (CUSIP #038923850)
Record Date	Payment Date	Total Distribution Per Share		Non-Qualified Dividend ⁽¹⁾		Qualified Dividend		Capital Gain Distribution
1/15/2024	1/30/2024	$	0.390625	$	0.390625	$	0.00	$	0.00
4/15/2024	4/30/2024		0.390625		0.390625		0.00		0.00
7/15/2024	7/30/2024		0.390625		0.390625		0.00		0.00
10/15/2024	10/30/2024		0.390625		0.390625		0.00		0.00
		$	1.562500	$	1.562500	$	0.00	$	0.00

(1) May be eligible for the 20% qualified business income deduction applicable to certain REIT dividends under IRC Section 199A(b)(1)(B).

For shareholders that may be required to report excess inclusion income to the Internal Revenue Service, we are pleased to report that in 2024, we will not pass through any excess inclusion income to our shareholders. As a result, no portion of the 2024 dividends should be treated as excess inclusion income for federal income tax purposes.

We do not issue K-1s to holders of our common and preferred stock. Please contact your financial advisor or broker to obtain information on a 1099 form.

Note: Shareholders are encouraged to consult with their tax advisors as to their specific tax treatment of our dividend distributions.

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 and 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.

Safe Harbor Statement

Certain items in this press release may constitute forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These statements are based on management’s current expectations and beliefs and are subject to a number of trends and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Arbor can give no assurance that its expectations will be attained. Factors that could cause actual results to differ materially from Arbor’s expectations include, but are not limited to, changes in economic conditions generally, and the real estate markets specifically, continued ability to source new investments, changes in interest rates and/or credit spreads, and other risks detailed in Arbor’s Annual Report on Form 10-K for the year ended December 31, 2023 and its other reports filed with the SEC. Such forward-looking statements speak only as of the date of this press release. Arbor expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in Arbor’s expectations with regard thereto or change in events, conditions, or circumstances on which any such statement is based.

Contact:
Arbor Realty Trust, Inc.
Paul Elenio, Chief Financial Officer
516-506-4422
pelenio@arbor.com

MIL-OSI USA: Markey, Pressley Bill Renaming Post Office on Dorchester Ave Signed into Law Last Month by President Biden

US Senate News:

Source: United States Senator for Massachusetts Ed Markey
Washington (January, 29, 2025) – Today, Senator Edward J. Markey (D-Mass.) and Congresswoman Ayanna Pressley (MA-07) marked the Lunar New Year by celebrating the enactment of their legislation to name the U.S. Postal Service office on Dorchester Avenue in Boston after the late Caroline Chang (1940-2018), a community leader and lifelong AAPI activist in Boston’s Chinatown community. The bill passed the House in February of last year and was signed into law by President Biden in November.
“I am proud that our legislation to honor community leader, public servant, and activist Caroline Chang is law,” said Senator Markey. “Caroline Chang played an instrumental role in Boston’s Asian American community and her decades of public service to her community will now finally be physically memorialized.”
“Who we honor in our federal buildings and monuments matters, and I am so thrilled that Caroline Chang is getting the recognition she deserves for her lifelong service to Boston, the Massachusetts 7th, and our Commonwealth,” said Congresswoman Pressley. “I was especially honored to celebrate the Lunar New Year with Caroline’s family and celebrate the enactment of this bill, the very first federal building in the Commonwealth to be named in honor of an AAPI individual. This is a living tribute to her life, values, and incredible impact she’s had on Boston’s Chinatown community and beyond. I’m grateful to Caroline’s family, our community partners, our Senate colleagues, and President Biden for working with us to get this bill over the finish line.”
“Caroline dedicated her life to ensure all people were treated equally and fairly. Born to an immigrant family, Caroline spoke for those who couldn’t speak for themselves. She saw firsthand, discrimination towards her community and did something about it. She recognized the deficiencies in health care in minority neighborhoods, and did something about it. She recognized shortages in affordable housing, and did something about it. Her career and achievements will forever be remembered through the dedication of this post office in her name,” said Russell Eng, Caroline Chang’s nephew. “Our family is proud of Caroline’s work, and are very grateful to Congresswoman Pressley, her incredible staff, the Massachusetts delegation to Congress and the Senate, President Biden for signing this law, and especially the Asian Community of Massachusetts for nominating her.
“The Asian American community is forever great full for the work of Caroline Chang in uplifting the needs and rights of the Chinese Immigrant community. She is a pioneer in our community to fight for equal access to government resources for the public good. Many of our non profit community organizations such as South Cove Health Center, Asian American Civil Association, Asian American Community Development Corporation and Chinese Historical Society are the fruit of Caroline’s work,” said Suzanne Lee, Founder of Chinese Progressive Association. “We are excited to have the Post Office named in honor of her. There’s no better representation of public service than Caroline Chang.”
There are currently 617 postal facilities in Massachusetts. Of those facilities renamed, only one honors a woman and five honor a person of color. With the enactment of this bill, the USPS office at 25 Dorchester Avenue is now the first federal building in Massachusetts to be named after an AAPI individual.
Caroline Chang spent her life serving the Boston Chinatown community. Born and raised in Chinatown, Caroline served as an interpreter in her early life for community members seeking medical care. In 1970, Boston Mayor Kevin White appointed Chang as the manager of Chinatown’s Little City Hall, where she advocated on behalf of residents. Chang went on to receive her law degree from Suffolk Law School in 1970 and spent more than 30 years with the United States Department of Health and Human Services as the Regional Manager for the Office for Civil Rights, making her the highest-ranking Asian American in the federal government in New England at the time.
Throughout her years of public service, Caroline Chang played a founding role in several organizations that continue to serve the Boston Chinatown community, including:
The South Cove Community Health Center
The Asian Community Development Corporation (ACDC)
The Chinese Historical Society of New England (CHSNE)
The Harry H. Dow Memorial Legal Assistance Fund
The Asian American Civic Association (AACA)
The Greater Boston Chinese Golden Age Center
A copy of the bill text can be found here, and Caroline’s biography is available here.

MIL-OSI USA: Welch Speaks on the Senate Floor About the Ceasefire in Gaza

US Senate News:

Source: United States Senator Peter Welch (D-Vermont)
WASHINGTON, D.C. – U.S. Senator Peter Welch (D-Vt.) last night took to the Senate floor to express his relief by the announcement of a ceasefire in Gaza and stress the importance of creating a viable, secure, independent, and demilitarized Palestinian state.
Senator Welch emphasized that there is no solution that offers lasting peace, and continued U.S. support, other than two independent states.
Watch Senator Welch’s speech below:
Senator Welch’s remarks, as delivered, can be read here and below:
“Like all of us I was enormously relieved by the announcement of a ceasefire in Gaza, the gradual release of hostages, and a surge in humanitarian aid for the two million desperate Palestinians who are trapped inside Gaza.
“Despite the daunting challenges ahead and the many factors that could derail negotiations to implement Stage Two of the agreement, I’m cautiously hopeful that this could be the beginning of the end of a war that has traumatized millions of Palestinians and Israelis for more than 16 months.
“There will come a time for the accounting of the conduct of the war, which has caused such appalling loss of Palestinian and Israeli lives, including tens of thousands of children, of health workers, aid workers, and journalists, and massive destruction of property, including practically every hospital, every school, and university in Gaza. These things must not be forgotten, and that means investigating and holding people accountable under the laws of war.
“But today, I want to speak briefly on an issue that is key to the lasting peace between Palestinians and Israelis that we seek. And that is the creation of a viable, secure, independent, and demilitarized Palestinian state.
“The war in Gaza was triggered, of course, by the merciless slaughter on October 7, 2023, of 1,200 innocent Israelis, Americans and others, and the abduction of some 250 hostages, many of whom have died. But as we all know, the Middle East conflict began many decades earlier. And some would say centuries ago. Ethnic hatred and religious intolerance passed down from one generation to the next have fueled seemingly endless violence perpetrated by extremists on both sides. And it’s created a chronic state of insecurity for Israelis, and insecurity and humiliation, poverty, and hopelessness for Palestinians.
“In the West Bank, Israel’s ever-expanding settlement construction—in violation of UN resolutions and contrary to U.S. policy—has created a patchwork of separate and unequal enclaves and illegal outposts, provoking frequent acts of deadly violence by Israeli settlers and also by Palestinian extremists.
“Gaza, with the overt support of the Netanyahu government, became an open-air prison for two million impoverished Palestinians dependent on international aid and under the ruthless control of Hamas.
“And throughout this period, the wealthy Arab states have called for a Palestinian state. But they have expended minimal political capital or resources in furtherance of that goal. A lot of talk, very little action.
“Successive Palestinian leaders have squandered opportunities to make necessary political and economic reforms, while Mr. Netanyahu has worked to create conditions on the ground that would actually make a Palestinian state impossible.
“Despite this grim reality—and it is a grim reality—the attention focused on the remarkable life of President Jimmy Carter after his death on December 29th, reminded us that even in the most difficult circumstances peace is possible between long-standing enemies. It happened. But that possibility depends on the quality of leadership.
“If there ever were a time when the leaders of Israel, the Palestinian Authority, their Arab neighbors, and the United States should put the interests of regional peace and economic cooperation and development, including an independent Palestinian state, over personal and political ambition—it is now. It is now.
“Gaza is in ruins. Hamas and Hezbollah—still a threat—pose less of a threat than at any time in recent history. The horrific Assad regime is gone. Iran is also weaker. Most Israelis, Palestinians, Lebanese, Syrians want peace. But given the absence of visionary and courageous leaders in Israel and the Palestinian Authority, the possibility that a path to a Palestinian state will emerge really does depend on the Trump Administration using its diplomatic influence far more forcefully and effectively than previous U.S. administrations—including the first Trump Administration—were willing to do.
“We’ve got to act. And it will require the same of Congress, which in the past has restricted itself to enacting tighter and tighter sanctions on the Palestinians causing increasing desperation and resentment for innocent Palestinians, while at the same time, opposing any incentives on Israel to stop settlement construction and settler violence.
“There are those who believe that because of Israel’s construction of settlements, walls, fences, separate highways, factories, and farms in the West Bank, that the West Bank and Gaza can never be reconfigured into a viable Palestinian state. Having seen a current map of the West Bank, I can certainly understand that.
“But others reject the very idea of a Palestinian state as incompatible with Israel’s security, without proposing any alternative that would preserve Israel as a democracy in which all its citizens, regardless of ethnicity; religion, have equal rights. Given Hamas’ horrific attack on October 7th, I can also easily understand that.
“Then, on January 25th, President Trump called for “cleaning out” of Gaza, suggesting that a million and half Palestinians should be resettled in Jordan and Egypt. And you know, seriously, there’s just so many things wrong and unrealistic with that reprehensible and unworkable idea that it barely deserves a response, beyond the predictable and immediate repudiation by all those who would be impacted. It’s not serious.
“But to me, as elusive as it may seem, there really is no solution that offers lasting peace, and continued U.S. support, other than two independent states—Israel and Palestine, side-by-side. A Palestinian state will only be possible if both sides are pressured to make the difficult compromises both sides they so far refused to make. And only the United States and our heretofore reluctant Arab allies can exert the kind of pressure that’s necessary to bring people to an agreement.
“Mr. President, there have been far too many missed opportunities and disappointments since the Oslo and Camp David Accords, and far too much needless death and destruction resulting from the unchecked ambitions of leaders motivated by their worst instincts. History will judge us whether we seize this moment to finally chart a different course. A course that does enable Israelis and Palestinians to finally accept that there is no turning back the clock, that both are there to stay, and that as many Palestinian and Israeli neighbors have shown throughout years of conflict and loss, they have far more in common than their differences.
“Mr. President, I yield back.”