Category: Taxation

MIL-OSI Global: Britain’s unearned wealth has ballooned – a modest capital tax could help avoid austerity and boost the economy

Source: The Conversation – UK – By Stewart Lansley, Visiting Fellow, School of Policy Studies, University of Bristol

Canary Wharf in London. I Wei Huang/Shutterstock

Inheriting the worst set of public finances for decades, Labour was always going to face an uphill struggle trying to fund improvements to the UK’s public services.

Inflated debt and recent hikes in the cost of borrowing mean the government is faced with stark choices. For it will be difficult to meet the chancellor’s own tight fiscal rules without further tax rises or cuts in public spending.

But as the former chief economist at the Bank of England, Andy Haldane, has warned, further spending cuts would be “deeply counterproductive”.

One solution for avoiding ongoing austerity lies in raising a higher proportion of taxes from assets. For despite the UK enjoying a long personal wealth boom, little of this boom is the result of new wealth creation or higher productivity.

Much of it is unearned. Some is the product of corporate wealth extraction, where dividend payments and personal fortunes have have been prioritised over the long-term health of a company. Some privatised water firms, for example, have been turned into cash cows for their owners.

Another large part of British unearned wealth is the product of state-induced asset inflation. Since 1999, house prices in England have risen almost three times faster than incomes.

This kind of asset inflation is a classic example of “passive accumulation”. Or, as the 19th-century philosopher John Stuart Mill described it, getting rich in your sleep.

As a result, household wealth currently stands at over six times the UK’s GDP. It was three times in the 1970s.

Yet while Britain is asset rich, its tax system is heavily based on earnings from work. Taxes on income from dividends, capital gains and inheritance make a tiny contribution to the public purse.

This is a fundamental flaw of the tax system which does little to dent the growing concentration of wealth owned by the few. Through political inertia, the tax system has failed to catch up with the growing importance of wealth over income.

Inherit the earth?

The fallout from the low taxation on wealth is well illustrated by the role of inheritance.

Levels of wealth passed on after death in the UK have been rising sharply. Over the next three decades, some millennials are expected to inherit a staggering £5.5 trillion, dwarfing all previous transfers of wealth between generations.

The lion’s share of this transfer will go to the most affluent. The lifetime wealth of those with parents in the richest fifth will see their wealth grow by 29% – compared with 5% for those born to the poorest fifth.

This will only intensify the reproduction of the wealth divide of the past.

Extending the tax base is not just about fairness or revenue raising. Asset holdings are often little more than unused resources, while big inter-generational wealth transfers can play a counterproductive role in the economy.

Over a third of the UK’s wealth is stored in property (with the rest in pensions, savings and possessions). This is mostly only realised when passed on through inheritance , where its benefits accrue to the already privileged. Little of this process contributes to more productive activity, with one of its most malign effects being to fuel higher house prices, because the money is largely reinvested in property.

The unfairness of inherited wealth has long been recognised. The patron saint of economics, Adam Smith called it “manifestly absurd”.

Farmers have protested against Labour’s plans for inheritance tax.
Mark Anthony Ray/Shutterstock

A modest and phased rise in capital taxation would help to reduce the passive role played by wealth holdings. Even small changes would release funds which could be used to improve social infrastructure from schools to hospitals.

One approach would be to build on the existing tax system through higher rates and fewer reliefs and loopholes. The second would be to introduce new taxes.

In her first budget, Rachel Reeves took steps to raise revenue through the first option, from both inheritance and capital gains tax. But these were too modest to alter the overwhelming dominance of tax on earnings.

A more fundamental shift would be to reform the existing system of council tax with a larger number of tax bands at the top. Still based on 1991 property values, this is perhaps the least defensible tax in Britain. The most effective alternative would be to replace council tax and stamp duty with a single proportionate “property tax”.

Another option would be for a modest annual 1% tax on wealth over £2 million, which has the potential to raise around £16 billion a year, or double that on wealth over £1 million.

Such a measure could be sold politically as a “solidarity tax” to help pay for the things the UK needs. And while governments have been wary of the political reaction to higher taxes on wealth, the tide is turning.

Those supporting higher taxes on wealth include the Conservative-aligned think tank Bright Blue and an influential campaign group called the Patriotic Millionaires. There is also growing public support.

Continued public spending austerity would drive more years of stagnation. It would also be politically suicidal for this government, as it was for Labour in 1931 and in the 1970s. But harnessing a little more of the country’s immense private wealth would make the tax system more equitable and by providing the resources to boost social investment, ease the path to economic recovery.

Stewart Lansley 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. Britain’s unearned wealth has ballooned – a modest capital tax could help avoid austerity and boost the economy – https://theconversation.com/britains-unearned-wealth-has-ballooned-a-modest-capital-tax-could-help-avoid-austerity-and-boost-the-economy-247970

MIL OSI – Global Reports –

February 19, 2025

MIL-OSI: Franklin Electric Reports Fourth Quarter 2024 and Full Year 2024 Results

Source: GlobeNewswire (MIL-OSI)

Fourth Quarter 2024 Highlights

Consolidated net sales of $485.7 million, an increase of 3% to the prior year
Energy Systems and Distribution net sales increased 5% and 6%, respectively, while Water Systems net sales were flat
Operating income was $43.0 million with operating margin of 8.9%
GAAP fully diluted earnings per share (EPS) was $0.72

Full Year 2024 Highlights

Consolidated net sales of $2.0 billion, a decrease of 2% to the prior year
Distribution net sales increased 2%, while Water Systems and Energy Systems net sales decreased 2% and 8%, respectively
Operating income was $243.6 million with operating margin of 12.1%
GAAP fully diluted earnings per share (EPS) was $3.86
Cash flows from operating activities were $261.4 million

FORT WAYNE, Ind., Feb. 18, 2025 (GLOBE NEWSWIRE) — Franklin Electric Co., Inc. today announced its fourth quarter and full year financial results for fiscal year 2024.

Fourth quarter 2024 net sales were $485.7 million, compared to fourth quarter 2023 net sales of $473.0 million. Fourth quarter 2024 operating income was $43.0 million, compared to fourth quarter 2023 operating income of $50.8 million. Fourth quarter 2024 EPS was $0.72, versus EPS in the fourth quarter 2023 of $0.82.

Full year 2024 net sales were $2.0 billion, compared to full year 2023 net sales of $2.1 billion. Full year 2024 operating income was $243.6 million, compared to full year 2023 operating income of $262.4 million. Full year 2024 EPS was $3.86, versus EPS in the full year 2023 of $4.11.

“The fourth quarter marked a solid finish to a challenging year. Our results were driven by strong performance in our newly renamed Energy Systems segment. While we have worked through the elevated post-COVID backlogs at this time, underlying demand remains healthy, and we continue to execute on productivity initiatives as we align our businesses with the more normalized environment,” commented Joe Ruzynski, Franklin Electric’s CEO.

“Our resiliency is supported by the breadth of our global portfolio, which has proven to be a strategic asset as we closed out a year shaped by macroeconomic pressures. Order trends have improved, and with the support of a very healthy balance sheet, we are well-positioned to capitalize on opportunities in the year ahead. In 2025, our focus turns to driving revenue growth and margin expansion as we accelerate innovation and growth,” concluded Mr. Ruzynski.

Segment Summaries

Water Systems net sales were $279.6 million in the fourth quarter, flat compared to the fourth quarter 2023. Results were driven by higher sales of groundwater products, water treatment products and all other surface products. These sales increases were offset by lower sales of large dewatering pumps, which had a record fourth quarter last year. Water Systems operating income in the fourth quarter 2024 was $35.6 million. Fourth quarter 2023 Water Systems operating income was $44.1 million.

Distribution net sales were $157.2 million, an increase of $9.2 million or 6 percent compared to the fourth quarter 2023. Sales increases were driven by higher volumes and the incremental impact from a recent acquisition. The Distribution segment operating income in the fourth quarter 2024 was $0.5 million. Fourth quarter 2023 Distribution operating income was $1.0 million.

Energy Systems net sales were $68.8 million in the fourth quarter 2024, an increase of $3.1 million or 5 percent compared to the fourth quarter 2023. Sales increases were driven by higher volumes and price realization. Energy Systems operating income in the fourth quarter 2024 was a record for any fourth quarter at $24.7 million. Fourth quarter 2023 Energy Systems operating income was $19.4 million. The Company has changed the name of the Fueling Systems segment to Energy Systems to reflect its diverse portfolio and growth strategy, as well as to better reflect the markets and customers served by the segment.

Cash Flow

The Company ended 2024 with a cash balance of $220.5 million, an increase of $135.5 million compared to the end of 2023. Net cash flows from operating activities for 2024 were $261.4 million versus $315.7 million in the same period in 2023. Cash flow in 2023 benefitted from actions the Company took to improve working capital including inventory reductions as its supply chain resiliency and lead times improved during the year.

2024 Guidance

The Company expects its full year 2025 sales including the impact of its recently announced acquisitions to be in the range of $2.09 billion to $2.15 billion and full year 2025 EPS to be in the range of $4.05 to $4.25.

Earnings Conference Call

A conference call to review earnings and other developments in the business will commence at 9:00 am ET. The fourth quarter 2024 earnings call will be available via a live webcast. The webcast will be available in a listen only mode by going to:

https://edge.media-server.com/mmc/p/9jnstij5

For those interested in participating in the question-and-answer portion of the call, please register for the call at the link below.

https://register.vevent.com/register/BI4b232e4ceea6435ba8f046e92e18e563

All registrants will receive dial-in information and a PIN allowing them to access the live call. It is recommended that you join 10 minutes prior to the event start (although you may register and dial in at any time during the call).

A replay of the conference call will be available from Tuesday, February 18, 2025, through 9:00 am ET on Tuesday, February 25, 2025, by visiting the listen-only webcast link above.

Forward Looking Statements

“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained herein, including those relating to market conditions or the Company’s financial results, costs, expenses or expense reductions, profit margins, inventory levels, foreign currency translation rates, liquidity expectations, business goals and sales growth, involve risks and uncertainties, including but not limited to, risks and uncertainties with respect to general economic and currency conditions, various conditions specific to the Company’s business and industry, weather conditions, new housing starts, market demand, competitive factors, changes in distribution channels, supply constraints, effect of price increases, raw material costs, technology factors, integration of acquisitions, litigation, government and regulatory actions, the Company’s accounting policies, future trends, epidemics and pandemics, and other risks which are detailed in the Company’s Securities and Exchange Commission filings, included in Item 1A of Part I of the Company’s Annual Report on Form 10-K for the fiscal year ending December 31, 2023, Exhibit 99.1 attached thereto and in Item 1A of Part II of the Company’s Quarterly Reports on Form 10-Q. These risks and uncertainties may cause actual results to differ materially from those indicated by the forward-looking statements. All forward-looking statements made herein are based on information currently available, and the Company assumes no obligation to update any forward-looking statements.

About Franklin Electric

Franklin Electric is a global leader in the production and marketing of systems and components for the movement of water and energy. Recognized as a technical leader in its products and services, Franklin Electric serves customers around the world in residential, commercial, agricultural, industrial, municipal, and fueling applications. Franklin Electric is proud to be named in Newsweek’s lists of America’s Most Responsible Companies and Most Trustworthy Companies for 2024 and America’s Climate Leaders 2024 by USA Today.

Franklin Electric Contact:

Jeffery L. Taylor
Franklin Electric Co., Inc.
InvestorRelations@fele.com


FRANKLIN ELECTRIC CO., INC. AND CONSOLIDATED SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)

(In thousands, except per share amounts)

	Fourth Quarter Ended						Fiscal Year End
	December 31,			December 31,			December 31,			December 31,
	2024			2023			2024			2023

Net sales	$	485,745		$	472,970		$	2,021,341		$	2,065,133

Cost of sales		321,505			312,961			1,304,061			1,368,125

Gross profit		164,240			160,009			717,280			697,008

Selling, general, and administrative expenses		117,846			108,825			470,136			433,476

Restructuring expense		3,360			356			3,499			1,091

Operating income		43,034			50,828			243,645			262,441

Interest expense		(1,339	)		(1,481	)		(6,319	)		(11,790	)
Other income, net		630			1,831			1,339			3,696
Foreign exchange expense, net		(1,590	)		(4,026	)		(6,818	)		(12,124	)

Income before income taxes		40,735			47,152			231,847			242,223

Income tax expense		6,443			8,322			50,238			47,489

Net income	$	34,292		$	38,830		$	181,609		$	194,734

Less: Net income attributable to noncontrolling interests		(637	)		(281	)		(1,300	)		(1,462	)

Net income attributable to Franklin Electric Co., Inc.	$	33,655		$	38,549		$	180,309		$	193,272

Income per share:
Basic	$	0.73		$	0.83		$	3.92		$	4.17
Diluted	$	0.72		$	0.82		$	3.86		$	4.11

FRANKLIN ELECTRIC CO., INC. AND CONSOLIDATED SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)

(In thousands)

	December 31,		December 31,
	2024		2023
ASSETS

Cash and cash equivalents	$	220,540	$	84,963
Receivables (net)		226,826		222,418
Inventories		483,875		508,696
Other current assets		32,950		37,718
Total current assets		964,191		853,795

Property, plant, and equipment, net		223,566		229,739
Lease right-of-use Assets, net		62,637		57,014
Goodwill and other assets		570,212		587,574
Total assets	$	1,820,606	$	1,728,122


LIABILITIES AND EQUITY

Accounts payable	$	157,046	$	152,419
Accrued expenses and other current liabilities		139,989		104,949
Current lease liability		18,878		17,316
Current maturities of long-term debt and short-term borrowings		117,814		12,355
Total current liabilities		433,727		287,039

Long-term debt		11,622		88,056
Long-term lease liability		43,304		38,549
Income taxes payable non-current		–		4,837
Deferred income taxes		10,193		29,461
Employee benefit plans		29,808		35,973
Other long-term liabilities		22,118		33,914

Redeemable noncontrolling interest		1,224		1,145

Total equity		1,268,610		1,209,148
Total liabilities and equity	$	1,820,606	$	1,728,122

FRANKLIN ELECTRIC CO., INC. AND CONSOLIDATED SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(In thousands)

	2024			2023
Cash flows from operating activities:
Net income	$	181,609		$	194,734
Adjustments to reconcile net income to net cash flows from operating activities:
Depreciation and amortization		56,073			52,260
Non-cash lease expense		21,438			18,852
Share-based compensation		12,061			10,133
Other		(13,327	)		10,259
Changes in assets and liabilities:
Receivables		(17,045	)		19,150
Inventory		10,889			48,176
Accounts payable and accrued expenses		15,285			(23,085	)
Operating leases		(21,129	)		(18,874	)
Income taxes-U.S. Tax Cuts and Jobs Act		(3,870	)		(2,902	)
Other		19,369			7,007

Net cash flows from operating activities		261,353			315,710

Cash flows from investing activities:
Additions to property, plant, and equipment		(41,682	)		(41,415	)
Proceeds from sale of property, plant, and equipment		1,182			1,494
Acquisitions and investments		(5,201	)		(34,831	)
Other investing activities		73			463

Net cash flows from investing activities		(45,628	)		(74,289	)

Cash flows from financing activities:
Net change in debt		29,235			(115,529	)
Proceeds from issuance of common stock		7,204			9,193
Purchases of common stock		(61,041	)		(43,332	)
Dividends paid		(46,876	)		(41,723	)
Deferred payments for acquisitions		(2,591	)		(802	)

Net cash flows from financing activities		(74,069	)		(192,193	)

Effect of exchange rate changes on cash		(6,079	)		(10,055	)
Net change in cash and cash equivalents		135,577			39,173
Cash and cash equivalents at beginning of period		84,963			45,790
Cash and cash equivalents at end of period	$	220,540		$	84,963

Key Performance Indicators: Net Sales Summary

	Net Sales For the Fourth Quarter
	United States			Latin			Europe, Middle			Asia			Total
(in millions)	& Canada			America			East & Africa			Pacific			Water			Energy**			Distribution			Other/Elims			Consolidated

Q4 2023	$161.2			$46.6			$45.5			$26.3			$279.6			$65.7			$148.0			($20.3		)	$473.0
Q4 2024	$158.5			$44.3			$49.7			$27.1			$279.6			$68.8			$157.2			($19.9		)	$485.7
Change	($2.7		)	($2.3		)	$4.2			$0.8			$0.0			$3.1			$9.2			$0.4			$12.7
% Change		-2	%		-5	%		9	%		3	%		0	%		5	%		6	%					3	%

Foreign currency translation, net*	($0.4		)	($5.5		)	($0.8		)	($0.8		)	($7.5		)	$0.0			$0.0						($7.5		)
% Change		0	%		-12	%		-2	%		-3	%		-3	%		0	%		0	%					2	%

Acquisitions	$3.1			$0.0			$0.0			$0.0			$3.1			$0.0			$4.0						$7.1
% Change		2	%		0	%		0	%		0	%		1	%		0	%		3	%					2	%

Volume/Price	($5.4		)	$3.2			$5.0			$1.6			$4.4			$3.1			$5.2			$0.4			$13.1
% Change		-3	%		7	%		11	%		6	%		2	%		5	%		4	%		-2	%		3	%

	Net Sales For the Full Year
	United States			Latin			Europe, Middle			Asia			Total
(in millions)	& Canada			America			East & Africa			Pacific			Water			Energy**			Distribution			Other/Elims			Consolidated

FY 2023	$744.4			$174.2			$198.3			$86.8			$1,203.7			$296.5			$673.3			($108.4		)	$2,065.1
FY 2024	$708.5			$170.9			$211.4			$93.2			$1,184.0			$273.7			$685.5			($121.9		)	$2,021.3
Change	($35.9		)	($3.3		)	$13.1			$6.4			($19.7		)	($22.8		)	$12.2			($13.5		)	($43.8		)
% Change		-5	%		-2	%		7	%		7	%		-2	%		-8	%		2	%					-2	%

Foreign currency translation, net*	($0.9		)	($9.7		)	($6.3		)	($2.4		)	($19.3		)	$0.0			$0.0						($19.3		)
% Change		0	%		-6	%		-3	%		-3	%		-2	%		0	%		0	%					-1	%

Acquisitions	$17.6			$0.0			$0.0			$0.0			$17.6			$0.0			$17.1						$34.7
% Change		2	%		0	%		0	%		0	%		1	%		0	%		3	%					2	%

Volume/Price	($52.6		)	$6.4			$19.4			$8.8			($18.0		)	($22.8		)	($4.9		)	($13.5		)	($59.2		)
% Change		-7	%		4	%		10	%		10	%		-1	%		-8	%		-1	%		12	%		-3	%

*The Company has presented local currency price increases used to offset currency devaluation in the Argentina and Turkey hyperinflationary economies within the foreign currency translation, net row above.
** Recognizing the Company’s diverse portfolio and growth strategy, it renamed its Fueling Systems segment to Energy Systems to better reflect the markets and customers served by this business.

Key Performance Indicators: Operating Income and Margin Summary

Operating Income and Margins
(in millions)	For the Fourth Quarter 2024
	Water			Energy			Distribution			Other/Elims			Consolidated
Operating Income / (Loss)	$	35.6		$	24.7		$	0.5		$	(17.8	)	$	43.0
% Operating Income To Net Sales		12.7	%		35.9	%		0.3	%					8.9	%

Operating Income and Margins
(in millions)	For the Fourth Quarter 2023
	Water			Energy			Distribution			Other/Elims			Consolidated
Operating Income / (Loss)	$	44.1		$	19.4		$	1.0		$	(13.7	)	$	50.8
% Operating Income To Net Sales		15.8	%		29.5	%		0.7	%					10.7	%

Operating Income and Margins
(in millions)	For the Full Year of 2024
	Water			Energy			Distribution			Other/Elims			Consolidated
Operating Income / (Loss)	$	197.9		$	93.6		$	24.3		$	(72.2	)	$	243.6
% Operating Income To Net Sales		16.7	%		34.2	%		3.5	%					12.1	%

Operating Income and Margins
(in millions)	For the Full Year of 2023
	Water			Energy			Distribution			Other/Elims			Consolidated
Operating Income / (Loss)	$	196.6		$	92.7		$	34.3		$	(61.2	)	$	262.4
% Operating Income To Net Sales		16.3	%		31.3	%		5.1	%					12.7	%

The MIL Network –

February 19, 2025

MIL-OSI: Vetty Names Industry Expert Jason Putnam as CEO

Source: GlobeNewswire (MIL-OSI)

NEW YORK, Feb. 18, 2025 (GLOBE NEWSWIRE) — Vetty, the one-stop shop hiring acceleration platform, today announced that Jason Putnam has joined the company as CEO, effective immediately. The appointment marks a new phase in Vetty’s continued expansion, with the company accelerating growth at 78 percent year over year while maintaining high customer satisfaction ratings. Putnam succeeds Reddy Karri, who will remain with the organization as an advisor.

Krishna Kunapuli, CEO & General Partner at 3Lines Venture Capital, commented, “Jason is the ideal leader for where Vetty is in its journey, combining a knowledge of the industry and the technology with an understanding of this customers’ unique needs. This will allow Jason to assess new areas of opportunity quickly.”

Bringing more than 25 years of experience to the role, Putnam will set the strategic vision and direction for the next chapter of Vetty. Renowned for his ability to scale businesses, Putnam most recently served as Chief Revenue Officer at Plum, the revolutionary talent assessment platform and before that, as Senior Vice President and General Manager for the Enterprise Business Unit of PandoLogic, where he increased its business pipeline 6X and helped manage the company’s acquisition by Veritone. Throughout Putnam’s career, he has repeatedly grown businesses to successful exits, holding strategic positions at BountyJobs (since acquired by Recruiter.com), Noesis Financing (acquired by LeaseQ), Oodle (acquired by QVC), Jobfox (acquired by Doostang) and KnowledgeStorm (acquired by TechTarget).

“Jason’s career speaks for itself, and he brings a wealth of experience in our category and a proven track record of success to Vetty,” said Subrat Nayak, company Founder, Chief Product Officer & Executive Chairman. “He knows what it will take for Vetty to continue delivering an exceptional product as we expand our customer base – and will ensure we do.”

“Joining the Vetty team is an incredible opportunity, given what the company offers and where the industry is right now,” said Putnam. “Having spent most of my career in HR and recruiting technology, I have watched its evolution firsthand. What Vetty offers is unlike other platforms I’ve seen, from the product sophistication to the depth of partnerships and integrations, making this the perfect moment to join the team and bring Vetty to a wider audience.”

ABOUT VETTY
Vetty is a one-stop shop hiring acceleration platform where companies can expeditiously complete their screening, credentialing, hiring and onboarding of prospective candidates. Companies count on Vetty to accelerate the time from offer to active and deliver hard ROI. Learn more at https://vetty.co.

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/fb634b74-eabe-4b8a-9470-2f95843b2d89

The MIL Network –

February 19, 2025
MIL-OSI Asia-Pac: Enhance Strengths and Thrive through Innovation and Connectivity (with photos)

Source: Hong Kong Government special administrative region

The Commissioner of Customs and Excise, Mr Chan Tsz-tat, chaired Customs’ 2024 year-end press conference held at the Customs Headquarters Building today (February 18) to review the department’s law enforcement results and sustainability in the provision of trade and clearance facilitation during the year. Mr Chan also outlined that, while carrying on its fine tradition of providing simple and efficient customs clearance that makes Hong Kong a trading and logistic hub for different sectors, the department will actively adopt new technology, adjust enforcement strategies and reinforce collaboration with other customs administrations to enhance enforcement efficiency. Hong Kong Customs will continue its efforts to strengthen and uphold its leading role in customs affairs and combat cross-boundary crimes in the Asia-Pacific region.

Overall enforcement situation
———————————

     In 2024, a total of 31 242 cases were detected, an increase of 63 per cent from the 2023 figure. About 68 per cent of the cases are related to illicit cigarettes, followed by cases related to dangerous drugs and intellectual property rights infringement.

Illicit cigarettes
——————

     On the anti-illicit cigarette operation front, the number of detected cases in 2024 increased by 80 per cent to 21 284 cases from 2023, with 614 million cigarettes seized, representing a 6 per cent drop as compared to the figure for 2023.

     The significant increase in the number of illicit cigarette cases stemmed from a huge surge in cases involving inbound persons bringing in cigarettes exceeding the duty-free concessions by imposing a penalty on offences compoundable. Such cases rocketed by 94 per cent to 19 072 cases from 2023. Moreover, 40 large-scale illicit cigarette smuggling cases were detected last year, which was the same as 2023.

     In addition, 2 451 cases involving alternative smoking products, with seizures of over 12 million pieces of relevant products, including electronic cigarettes and heat-not burn products, and 2 255 arrestees in total, were detected last year.

Dangerous drugs
——————-

     In 2024, 1 363 drug cases were detected, which was about the same as the 2023 figure. A total seizure of about 6.3 tonnes of drugs was made, representing a drop of 33 per cent from 2023.

     The five major drug seizures in order of quantity were cannabis (2 874.8 kilograms, a 22 per cent increase), ketamine (1 202.8kg, a 34 per cent decrease), methamphetamine (“Ice”) (1 111.7kg, a 50 per cent decrease), cocaine (711.4kg, a 64 per cent decrease) and MDMA (Ecstasy) (149.6kg, a 3 per cent decrease) compared to the figure for 2023.

     Customs noticed that drug syndicates resume to traffic drugs by exploiting inbound air passengers, and the number of such cases and seizure quantity showed a noticeable upward trend, with 113 relevant cases detected and 988kg drugs seized last year, representing an increase of 38 per cent and a 1.9-fold increase as compared to figures for 2023. Moreover, etomidate (the main ingredient of “space oil drug”) was put under control of the Dangerous Drugs Ordinance on February 14, and Customs has stepped up enforcement efforts to combat the dangerous drug on various fronts.

Smuggling
————

     A total of 233 smuggling cases with a seizure value of $4.340 billion in total were detected last year, representing an increase of 5 per cent and 37 per cent from 2023 respectively.

     Smuggling syndicates still mainly conduct smuggling activities by sea. Apart from making use of barges, speedboats and fishing vessels, Hong Kong Customs also found criminals using river trade vessels to smuggle large amounts of goods to nearby Mainland cities and Macao, or even adopting more circuitous routes by shipping goods overseas and then re-exporting them to the Mainland to evade the department’s detection.

Money laundering
——————–

     Customs last year detected eight money laundering cases with $19 billion involved.

Intellectual property rights
——————————

     Customs detected 783 intellectual property rights infringement cases last year, representing an annual increase of 11 per cent. The seizure value of infringing items increased 7 per cent to around $309 million (4 million items) as compared to the figure for 2023.

     As for Internet infringement, 130 cases were detected, representing an increase of 29 per cent from 2023.

     Customs last year applied the “communication right” under the Copyright Ordinance for the first time to detect a case of unauthorised communication of live football matches to the public by a restaurant in the course of business.

Consumer protection
————————

     Customs last year received 12 436 complaints regarding suspected cases of violating the Trade Descriptions Ordinance (TDO), a drop of 34 per cent from 2023. Among them, 11 601 complaints were handled:

(i) Detailed investigations have been made on 7 492 complaints;

(ii) The remaining 4 109 complaints have been closed since they were not in contravention of the TDO, or have been referred to other relevant departments or institutions for follow-up actions.

     There were 3 003 complaints involving fitness services last year, accounting for 47 per cent of the total number of complaints regarding services and an increase of 14-fold from 2023. This was mainly due to the announcement of business temporary closure of a chain fitness and beauty centre.

     Complaints on medicine shops involving quantities of unclear pricing units in selling ginseng and dried seafood, or Chinese medicine (also known as cases concerning catty, tael and mace) or sale of proprietary medicines slightly decreased to 497 cases in total, among which 86 percent were made by Mainland tourists. The department’s Quick Action Team has been deployed to handle and follow up with complaints by short-term visitors to Hong Kong, and 208 such complaints were handled last year, with 11 shop owners and staff arrested. Customs is also committed to conducting promotion and education through multiple channels, informing Mainland visitors about common unfair trade practices by medicine shops, deploying mobile promotion vehicles at popular tourist hotspots during festivals, conducting patrols with the Travel Industry Authority, and promoting compliance among traders.

Clearance and trade facilitation
———————————–

     Customs has continued to facilitate clearance and trade and implement various related measures.

(i) Since the full resumption of normal travel with the Mainland, the number of inbound and outbound passengers and vehicle trips at each control point was about 300 million and about 14.9 million. The number of inbound and outbound passengers has recovered to the number before the 2019 epidemic, while the number of vehicle trips has recovered to about 95 per cent. To further enhance clearance mode, Customs is actively participating in the redevelopment project of the boundary control point in Huanggang taken forward by the HKSAR Government and the Shenzhen Municipal Government, and will provide suggestions on the design and clearance mode of the boundary control point. Details are still under discussion.

(ii) Based on the Smart Customs Blueprint, Customs has given full play to the advantages of innovative technologies, such as artificial intelligence, cloud computing and blockchain, and has introduced nine CT scanners that provide high-resolution three-dimensional scanning images and the function of automatically detecting contrabands, improving customs clearance efficiency and law enforcement capabilities. Also, the department is researching on the Customs Big Data Application System that could strengthen the capabilities to detect and crack down on smuggling and other crimes related to Customs through an integrated database.

(iii) Customs actively expands the global network of the Hong Kong Authorized Economic Operator (AEO) Mutual Recognition Arrangement (MRA). Last year, Customs signed the AEO MRAs with the Bahrain and the South African Customs. The MRAs with Saudi Arabia and the Philippines Customs are expected to be signed in early 2025. As of now, there are a total of 16 MRAs ratified between Hong Kong Customs and other economies. AEO MRA Action Plans with the United Arab Emirates, Lao, Chilean and Peruvian Customs were also concluded last year, while the discussion about MRA with other countries along the Belt and Road Initiative is ongoing.

(iv) Hong Kong Customs and the General Administration of Customs of the People’s Republic of China (GACC) actively enhanced the “Single Submission for Dual Declaration” Scheme. The Scheme was expanded to southbound cargo at all Shenzhen highway ports in November last year, and is planned to cover northbound cargo by the second quarter of 2025 or earlier. Under the Scheme, companies can synchronise cargo information declared with the system on the Mainland through the Hong Kong system, significantly reducing customs clearance time and possible declaration input errors. The Scheme is conducive to the design of system functions of the third phase of Hong Kong Trade Single Window.

(v) Last year, Hong Kong and Mainland Customs actively extended the Single E-lock Scheme. As of December last year, the number of clearance points under the scheme has reached 93, including 66 in Guangdong, four in Hunan, six in Fujian, four in Macao and 13 in Hong Kong, providing the industries with more than 1 000 cross-boundary route options. Hong Kong Customs and the Nanning Customs are looking into extending the scheme to Guangxi.

(vi) To cope with the rapid development of the global electronic commerce industry, Customs launched the Cross-boundary Express Cargo Clearance Facilitation Arrangement (CEFA), providing an innovative customs clearance model of “free flow through the first line and efficient control at the second line” to qualified logistics providers. A Memorandum of Understanding with an express courier company was signed at the end of last year, marking the official commencement of the CEFA. As of December last year, over 2 000 cargo vehicle trips and 470 000 declared goods were facilitated under the CEFA.

Strengthen Mainland and international co-operation
———————————————————-

     Hong Kong Customs last year continued to reinforce connection with both the Mainland and the world, promoting two-way or multi-way communication and collaboration with different regions. These included meeting with the GACC on customs affairs and signing a co-operative arrangement about drug detector dogs; cohosting a conference on combating illicit cigarettes with the Australian authority; organising forums and workshops on combating money laundering and transnational organised crimes, and risk management and intelligence analysis with overseas law enforcement agencies.

     The co-operation between Hong Kong Customs and customs and enforcement agencies around the world has a long history, and the Customs Co-operative Arrangement (CCA) serves as the cornerstone for establishing and maintaining these co-operative relationships. As of last year, Hong Kong Customs signed the CCA with 31 customs authorities worldwide. Hong Kong Customs also signed a CCA with the Zakat, Tax and Customs Authority of Saudi Arabia and is actively seeking co-operation with other Middle East countries.

     Since assuming the office of the Vice-Chairperson for the Asia/Pacific (A/P) region of the World Customs Organization (WCO) in July last year, Hong Kong Customs has hosted a series of global or regional meetings and workshops, covering areas such as combatting illicit cigarettes, canine enforcement and anti-money laundering, and gathered representatives from around the world to communicate and exchange views on relevant issues, hence strengthening co-operation among law enforcement agencies in the region.

Human resources
——————–

On manpower recruitment, the department continued to adopt an active recruitment strategy last year, including participating in large-scale career fairs and organising seminars, promoting recruitment through social media platforms, visiting different tertiary institutions to facilitate on-the-spot applications. Mainland Hong Kong students are one of the target groups for Customs recruitment. The department held recruitment seminars on the Mainland in March last year and received more than 290 applications on the spot. Last year, more than 8 400 applications were received for the recruitment of Customs Inspectors, an increase of 12 per cent compared with 2023. About 9 600 applications were received for the recruitment of Customs Officers, representing an about 13 per cent increase compared with 2023. Last year, 82 Customs Inspectors and 355 Customs Officers were recruited. The department will continue its recruitment exercise to fill vacancies this year.

     To strengthen officers’ training in various professional aspects, co-operative Memoranda of Understanding were also signed with the National Academy of Governance, the Vocational Training Council and the University of Hong Kong last year.

Youth development
———————-

     Customs continues with its commitment to youth development work. By end-2024, Customs YES recruited 7 935 individual members and 58 organisation members, and held over 490 activities. In addition, a 40-person Foot Drill and Flag Party of the Customs Youth Leader Corps, the first youth group under the Security Bureau to perform Chinese-style rifle foot drill, was set up last year.

Future development
———————–

     Hong Kong Customs, as the Vice-Chairperson for the A/P region of the WCO, will continue to foster connection, and promote trade facilitation measures and development in the A/P region by continuing to organise large-scale meetings and workshops on multiple topics this year, including data strategies, e-commerce and Smart Customs.

Furthermore, Hong Kong Customs has suggested introducing a duty stamp system to differentiate and crack down on duty-not-paid illicit cigarettes during a public consultation on tobacco control by the Health Bureau (HHB). A consultancy study on the duty stamp system was launched by Hong Kong Customs, the Financial Services and the Treasury Bureau and the HHB, and the report has been completed by end-2024. Affixing duty-paid labels on the packages of cigarettes is proposed. Based on the report, Hong Kong Customs will invite cigarette manufacturers to participate in a pilot scheme on the duty stamp system to assess the feasibility and technical issues concerning the stamp duty system, which will help with Customs’ improvement work and the implementation of the system in future. The pilot scheme is expected to be rolled out in mid-2025, while the system is expected to be officially launched within 2026. Hong Kong Customs will announce the details to the industry and the public in due course.

Conclusion
————

     Concluding his briefing, Mr Chan pledged that the department will continue to leverage Hong Kong’s distinctive advantages of enjoying strong support of the motherland and being closely connected to the world under “one country, two systems” to consolidate Hong Kong’s status as an international financial, shipping and trade centre.

MIL OSI Asia Pacific News –

February 19, 2025

MIL-OSI: BlackRock® Canada Announces February Cash Distributions for the iShares® ETFs

Source: GlobeNewswire (MIL-OSI)

TORONTO, Feb. 18, 2025 (GLOBE NEWSWIRE) — BlackRock Asset Management Canada Limited (“BlackRock Canada”), an indirect, wholly-owned subsidiary of BlackRock, Inc. (NYSE: BLK), today announced the February 2025 cash distributions for the iShares ETFs listed on the TSX or Cboe Canada which pay on a monthly basis as well as XIU. Unitholders of record of a fund on February 25, 2025 will receive cash distributions payable in respect of that fund on February 28, 2025.

Details regarding the “per unit” distribution amounts are as follows:

Fund Name	Fund Ticker	Cash Distribution Per Unit
iShares 1-10 Year Laddered Corporate Bond Index ETF	CBH	$0.049
iShares 1-5 Year Laddered Corporate Bond Index ETF	CBO	$0.051
iShares S&P/TSX Canadian Dividend Aristocrats Index ETF	CDZ	$0.112
iShares Equal Weight Banc & Lifeco ETF	CEW	$0.059
iShares 1-5 Year Laddered Government Bond Index ETF	CLF	$0.032
iShares 1-10 Year Laddered Government Bond Index ETF	CLG	$0.037
iShares S&P/TSX Canadian Preferred Share Index ETF	CPD	$0.058
iShares US Dividend Growers Index ETF (CAD-Hedged)	CUD	$0.079
iShares Convertible Bond Index ETF	CVD	$0.072
iShares Global Monthly Dividend Index ETF (CAD-Hedged)	CYH	$0.080
iShares Canadian Financial Monthly Income ETF	FIE	$0.040
iShares U.S. Aggregate Bond Index ETF	XAGG	$0.105
iShares U.S. Aggregate Bond Index ETF⁽¹⁾	XAGG.U	$0.061
iShares U.S. Aggregate Bond Index ETF (CAD-Hedged)	XAGH	$0.091
iShares Core Canadian Universe Bond Index ETF	XBB	$0.079
iShares Core Canadian Corporate Bond Index ETF	XCB	$0.069
iShares ESG Advanced Canadian Corporate Bond Index ETF	XCBG	$0.119
iShares U.S. IG Corporate Bond Index ETF	XCBU	$0.121
iShares U.S. IG Corporate Bond Index ETF⁽¹⁾	XCBU.U	$0.076
iShares Core MSCI Global Quality Dividend Index ETF	XDG	$0.061
iShares Core MSCI Global Quality Dividend Index ETF⁽¹⁾	XDG.U	$0.042
iShares Core MSCI Global Quality Dividend Index ETF (CAD-Hedged)	XDGH	$0.060
iShares Core MSCI Canadian Quality Dividend Index ETF	XDIV	$0.115
iShares Core MSCI US Quality Dividend Index ETF	XDU	$0.064
iShares Core MSCI US Quality Dividend Index ETF⁽¹⁾	XDU.U	$0.044
iShares Core MSCI US Quality Dividend Index ETF (CAD-Hedged)	XDUH	$0.059
iShares Canadian Select Dividend Index ETF	XDV	$0.114
iShares J.P. Morgan USD Emerging Markets Bond Index ETF (CAD-Hedged)	XEB	$0.057
iShares S&P/TSX Composite High Dividend Index ETF	XEI	$0.111
iShares Core Canadian 15+ Year Federal Bond Index ETF	XFLB	$0.111
iShares Flexible Monthly Income ETF	XFLI	$0.193
iShares Flexible Monthly Income ETF⁽¹⁾	XFLI.U	$0.145
iShares Flexible Monthly Income ETF (CAD-Hedged)	XFLX	$0.179
iShares S&P/TSX Capped Financials Index ETF	XFN	$0.140
iShares Floating Rate Index ETF	XFR	$0.066
iShares Core Canadian Government Bond Index ETF	XGB	$0.050
iShares Global Government Bond Index ETF (CAD-Hedged)	XGGB	$0.040
iShares Canadian HYBrid Corporate Bond Index ETF	XHB	$0.074
iShares U.S. High Dividend Equity Index ETF (CAD-Hedged)	XHD	$0.083
iShares U.S. High Dividend Equity Index ETF	XHU	$0.080
iShares U.S. High Yield Bond Index ETF (CAD-Hedged)	XHY	$0.084
iShares U.S. IG Corporate Bond Index ETF (CAD-Hedged)	XIG	$0.070
iShares 1-5 Year U.S. IG Corporate Bond Index ETF (CAD-Hedged)	XIGS	$0.122
iShares S&P/TSX 60 Index ETF	XIU	$0.275
iShares Core Canadian Long Term Bond Index ETF	XLB	$0.062
iShares S&P/TSX North American Preferred Stock Index ETF (CAD-Hedged)	XPF	$0.071
iShares High Quality Canadian Bond Index ETF	XQB	$0.053
iShares S&P/TSX Capped REIT Index ETF	XRE	$0.065
iShares ESG Aware Canadian Aggregate Bond Index ETF	XSAB	$0.047
iShares Core Canadian Short Term Bond Index ETF	XSB	$0.072
iShares Conservative Short Term Strategic Fixed Income ETF	XSC	$0.057
iShares Conservative Strategic Fixed Income ETF	XSE	$0.053
iShares Core Canadian Short Term Corporate Bond Index ETF	XSH	$0.060
iShares ESG Advanced 1-5 Year Canadian Corporate Bond Index ETF	XSHG	$0.118
iShares 1-5 Year U.S. IG Corporate Bond Index ETF	XSHU	$0.127
iShares 1-5 Year U.S. IG Corporate Bond Index ETF⁽¹⁾	XSHU.U	$0.080
iShares Short Term Strategic Fixed Income ETF	XSI	$0.060
iShares ESG Aware Canadian Short Term Bond Index ETF	XSTB	$0.047
iShares 0-5 Year TIPS Bond Index ETF (CAD-Hedged)	XSTH	$0.009
iShares 0-5 Year TIPS Bond Index ETF	XSTP	$0.010
iShares 0-5 Year TIPS Bond Index ETF⁽¹⁾	XSTP.U	$0.007
iShares 20+ Year U.S. Treasury Bond Index ETF (CAD-Hedged)	XTLH	$0.117
iShares 20+ Year U.S. Treasury Bond Index ETF	XTLT	$0.125
iShares 20+ Year U.S. Treasury Bond Index ETF⁽¹⁾	XTLT.U	$0.087
iShares Diversified Monthly Income ETF	XTR	$0.040
iShares S&P/TSX Capped Utilities Index ETF	XUT	$0.090

⁽¹⁾ Distribution per unit amounts are in U.S. dollars for XAGG.U, XCBU.U, XDG.U, XDU.U, XFLI.U, XSHU.U, XSTP.U, XTLT.U

Estimated February Cash Distributions for the iShares Premium Money Market ETF

The February cash distributions per unit for the iShares Premium Money Market ETF are estimated to be as follows:

Fund Name	Fund Ticker	Estimated Cash Distribution Per Unit
iShares Premium Money Market ETF	CMR	$0.124

BlackRock Canada expects to issue a press release on or about February 24, 2025, which will provide the final amounts for the iShares Premium Money Market ETF.

Further information on the iShares Funds can be found at http://www.blackrock.com/ca.

About BlackRock

BlackRock’s purpose is to help more and more people experience financial well-being. As a fiduciary to investors and a leading provider of financial technology, we help millions of people build savings that serve them throughout their lives by making investing easier and more affordable. For additional information on BlackRock, please visit www.blackrock.com/corporate | Twitter: @BlackRockCA

About iShares ETFs

iShares unlocks opportunity across markets to meet the evolving needs of investors. With more than twenty years of experience, a global line-up of 1500+ exchange traded funds (ETFs) and US$4.2 trillion in assets under management as of December 31, 2024, iShares continues to drive progress for the financial industry. iShares funds are powered by the expert portfolio and risk management of BlackRock.

iShares^® ETFs are managed by BlackRock Asset Management Canada Limited.

Commissions, trailing commissions, management fees and expenses all may be associated with investing in iShares ETFs. Please read the relevant prospectus before investing. The funds are not guaranteed, their values change frequently and past performance may not be repeated. Tax, investment and all other decisions should be made, as appropriate, only with guidance from a qualified professional.

Standard & Poor’s® and S&P® are registered trademarks of Standard & Poor’s Financial Services LLC (“S&P”). Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC (“Dow Jones”). TSX is a registered trademark of TSX Inc. (“TSX”). All of the foregoing trademarks have been licensed to S&P Dow Jones Indices LLC and sublicensed for certain purposes to BlackRock Fund Advisors (“BFA”), which in turn has sub-licensed these marks to its affiliate, BlackRock Asset Management Canada Limited (“BlackRock Canada”), on behalf of the applicable fund(s). The index is a product of S&P Dow Jones Indices LLC, and has been licensed for use by BFA and by extension, BlackRock Canada and the applicable fund(s). The funds are not sponsored, endorsed, sold or promoted by S&P Dow Jones Indices LLC, Dow Jones, S&P, any of their respective affiliates (collectively known as “S&P Dow Jones Indices”) or TSX, or any of their respective affiliates. Neither S&P Dow Jones Indices nor TSX make any representations regarding the advisability of investing in such funds.

MSCI is a trademark of MSCI, Inc. (“MSCI”). The ETF is permitted to use the MSCI mark pursuant to a license agreement between MSCI and BlackRock Institutional Trust Company, N.A., relating to, among other things, the license granted to BlackRock Institutional Trust Company, N.A. to use the Index. BlackRock Institutional Trust Company, N.A. has sublicensed the use of this trademark to BlackRock. The ETF is not sponsored, endorsed, sold or promoted by MSCI and MSCI makes no representation, condition or warranty regarding the advisability of investing in the ETF.

Contact for Media:
Sydney Punchard
Email: Sydney.Punchard@blackrock.com

The MIL Network –

February 19, 2025

MIL-OSI United Kingdom: Liverpool City Council to use AI and automation to transform the way it deals with customer enquiries

Source: City of Liverpool

Liverpool City Council has announced the implementation of a new system which will vastly improve the way in which it handles enquiries from residents.

It will see the introduction of a new case management platform, seamlessly integrating front-office customer experiences with back-office systems, as well as delivering enhanced self-service capabilities, using AI and automation to free up staff from carrying out time-consuming administrative tasks.

The aim is to provide residents with a platform to access services online, over the phone, or in-person, along with real-time updates and easy access to information.

It forms part of the Council’s ‘Customer Experience Improvement Plan’, designed to address resident feedback that has called for more integrated, responsive and user-friendly services.

The first services to be included in the roll out are Environmental Services.

One benefit of the new customer software is that residents will receive regular notifications on their council inquiry. They will also be able to check the status of their case by logging in to their Council account, which will also have useful information such as their bin collection day or Council Tax account details.

The platform will deliver cost savings of an estimated £1.8 million per year, while increasing operational efficiencies across the Council’s services by reducing pressures caused by residents requesting progress updates.

The Council is partnering with Jadu, which works with around 100 local authorities in the UK, to implement the system.

Councillor Ruth Bennett, Deputy Council Leader and Cabinet Member for Transformation, said: “As part of our improvement journey, we are committed to delivering lower cost, value-for-money services, which are efficient and good quality.

“We know from feedback from our residents that they just want an easy way to contact the Council, and to be kept up-to-date on where their request is up to.

“This is part of our drive to deliver high quality services which reflect the needs of our residents and communities and which are not only efficient, but also truly accessible to everyone in our community.”

MIL OSI United Kingdom –

February 18, 2025
MIL-OSI United Kingdom: HMRC and VOA’s response to the Adjudicator’s Office 2024 annual report
Source: United Kingdom – Executive Government & Departments

HM Revenue and Customs’ and the Valuation Office Agency’s response to the Adjudicator’s Office annual report published in September 2024.
The Adjudicator’s Office Annual Report was published in September 2024. The report highlighted learning based on insight from complaints they investigated in 2023 to 2024. This is the department’s – HMRC’s and its executive agency, the Valuation Office Agency’s (VOA) – published response to the Adjudicator’s Annual Report.

We value the Adjudicator’s feedback and his continued support to help us achieve our vision of being a trusted, modern tax and customs organisation. This is Mike McMahon’s first report as the new Adjudicator, and we welcome Richard Fowler as the new Head of the Adjudicator’s Office.

The Adjudicator’s Annual Report highlighted the high volume of complaints we received during 2023 to 2024. We acknowledge that this was a difficult period as we faced serious challenges in delivering our customer services because of financial pressures and the need to manage a growing number of customers with complex tax affairs. Reducing demand for traditional contact channels like post and telephone, alongside the deployment of additional customer service advisers, has now enabled us to meet our telephony service standard and more effectively support those who need to speak to an adviser.

As noted in our Annual Report and Accounts, our strategy is firmly focused on how we can help more customers get things right first time, rather than fixing problems after they happen, and supporting more customers to self-serve using our online services. As more customers use our digital services, we will ensure that our customer service resource is focused on customers who need additional help.

Working together

We continue to work closely with the Adjudicator’s Office and embrace the two-way approach to feedback ensuring that we maximise learning from complaints to improve our services. The feedback we receive from the Adjudicator helps us to work towards our ambitions and deliver against our Charter and Compliance Professional Standards.

The introduction of the Adjudicator’s three-level reporting has supported even closer working between the organisations, with an open and constructive approach to identifying and engaging on issues. We have drawn insight from the Adjudicator’s Office to strengthen how we gather and share complaints insight on a quarterly basis, which has supported us to identify trends in customer issues.

The Adjudicator has played a valuable role at HMRC’s senior strategic forums, acting as a strong advocate for our customers.

Complaint handling

As noted in the Adjudicator’s Annual Report, we have taken a pro-active approach to addressing the cyclical nature of our complaints handling and seeking new and innovative ways to resolve the underlying causes of complaints. During 2023 to 2024, we conducted a deep dive into our complaints processes and handling to drive forward improvements to customer experience. This included resolving complaints at the earliest opportunity and we have seen an overall improvement in our 2024 to 2025 complaint performance as a result.

HMRC’s complaints strategy is aligned with the Parliamentary and Health Service Ombudsman’s UK Central Government Complaint Standards, which were developed in collaboration with government departments. The standards also align with HMRC’s Charter Standards and will deliver a consistent cross-government approach to complaint handling.

Learning from complaints

We continue to learn from the valuable insight gained through our complaints handling and have a multi-layered approach to gathering and acting on customer feedback, which is complemented by the feedback we receive from the Adjudicator and the Adjudicator’s Office.

Our Complaints Strategy and Insight Board (CSIB) continues to play a key role in providing oversight for the strategic direction of complaints and has supported work to address the Adjudicator’s feedback to improve customer experience.

We acted upon complaints insight to implement the following improvements for our customers during 2023 to 2024:

delivery of a series of insight events on customer impacts for complaints handlers to build capability and improve customer experience

support to complaint handlers to resolve issues at the first point of contact by enhancing our training products

development of a digital complaint route for agents

Customer focus

The Adjudicator’s Annual Report references our readiness to learn from our customers by highlighting the reversal of our decision to close our Self Assessment, VAT and PAYE helplines in March 2024. We stopped our plans in response to feedback and engaged with stakeholders to ensure we met taxpayers’ needs as we continue to encourage more customers to self-serve online.

The HMRC Charter defines the service and standard of behaviour that customers should expect when interacting with us. We continue to embrace the charter as the driver for cultural change and we welcome the Adjudicator’s feedback and case studies to ensure the standards are embedded throughout HMRC, including in our decision making. We have improved our processes to help customers who need extra support and those experiencing financial hardship. For example, we have implemented guidance to support our colleagues in making decisions on suitable reasonable adjustments for our customers.

Performance

The Adjudicator’s Annual Report recognised the challenges faced by HMRC during 2023 to 2024 noting that, despite delay being a key feature in complaints, we made positive improvements to our service levels towards the end of the reporting year.

We saw a slight increase in receipts of new complaints during 2023 to 2024, up by 1% compared to 2022 to 2023. Delay in our operational services continued to be a key driver with complaints relating to difficulty contacting us during peak periods. Average response times for dealing with new complaints also continued to be higher than we would like at 35.7 days.

The Adjudicator’s Annual Report highlighted an increase in complaints received from HMRC customers, up 10% on the previous year and they also fully investigated more complaints than in 2022 to 2023.

We resolved over 98% of complaints internally and during 2023 to 2024 upheld rates at the Adjudicator stage were down by 6% to 41% including partially and fully upheld.

HMRC’s response to the Adjudicator’s Office Insight Report: Applying Customer Circumstances to Decision Making

We value the Adjudicator’s insight report on applying customer circumstances to decision making and welcome publication of the report to improve transparency. We have reviewed the recommendations within the report and have taken the following actions to respond to the feedback in line with our Charter Standards:

launched a quality strategy to identify additional training requirements when applying customer circumstances to decision making

raised awareness of applying customer circumstances to decision making through our internal complaint newsletter and Complaints Community Forum

updated our internal guidance to support complaint handlers to identify customer vulnerabilities and fully consider their circumstances in the resolution of the complaint

reviewed a sample of customer cases to gain insight on how we can effectively apply customer circumstances to decision making

Valuation Office Agency

Over the last year, the VOA has seen increased customer demand for its services. Following the closure of the 2017 non-domestic rating list, the VOA received a significant number of checks and a subsequent increase in the number of challenges. Alongside this, the VOA continued to see high numbers of customers looking to challenge their Council Tax band.

The VOA handled 1,346 complaints in 2023 to 2024 which was a 58% increase from 2022 to 2023. Despite the increase in complaints received, the VOA have not seen a similar rise in escalations to the Adjudicator’s Office, demonstrating the effectiveness of the new resolution-focused approach and commitment to providing excellent customer service. 

The VOA benefit from a constructive working relationship with the Adjudicator’s Office and are pleased the Adjudicator recognises their progress in learning from complaints. This includes the introduction of quarterly complaints insight reports and sharing regular feedback on learning from complaints to support service improvements, resulting in better outcomes for customers.

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Updates to this page

Published 18 February 2025
MIL OSI United Kingdom –
February 18, 2025

MIL-OSI: Full-year 2024 results

Source: GlobeNewswire (MIL-OSI)

Media relations:
Victoire Grux
Tel.: +33 6 04 52 16 55
victoire.grux@capgemini.com

Investor relations:
Vincent Biraud
Tel.: +33 1 47 54 50 87
vincent.biraud@capgemini.com

Full-year 2024 results

Revenues of €22,096 million in 2024, down -1.9%
Revenue growth at constant exchange rates* of -2.0% for the full year, and -1.1% in Q4
Bookings at €23.8 billion with a 1.08 book-to-bill
Stable operating margin*, at 13.3% of revenues
Net profit, Group share, up +0.5% and basic earnings per share up +1.2%
Organic free cash flow0F^*of €1,961 million
Proposed dividend of €3.40 per share

Paris, February 18, 2025 – The Board of Directors of Capgemini SE, chaired by Paul Hermelin, convened on February 17 in Paris to review and adopt the accounts1F¹ of the Capgemini Group for the year-ended December 31, 2024.

Aiman Ezzat, Chief Executive Officer of the Capgemini Group, said: “Our performance in the fourth quarter is in line with expectations. As anticipated, Manufacturing and France experienced strong headwinds, whereas we saw an improvement in Financial Services and Consumer Goods & Retail, as well as a robust Public Sector.

The Group demonstrated strong resilience in 2024, maintaining its operating margin and free cash flow generation, thanks to the growth of its high value-added offerings as well as its ecosystem of leading technology partners.

Client demand continues to be driven by efficiency, operational agility and cost-optimization programs which are driving traction for our Cloud and Data & AI services. The Group is recognized as a global leader in AI by market analysts, reflecting our continued investments. Generative AI supported strong bookings and accounted for around 5% of bookings in Q4. The acquisition of Syniti strengthens the Group’s data-driven digital transformation capabilities.

Our clients keep showing a strong appetite for technology and recognize the value we bring as their trusted business and technology transformation partner. However, we remain cautious in this uncertain environment, notably around Manufacturing and Europe, and expect H1 2025 constant currency revenue growth to remain in the same range as in Q4 2024. We will continue to demonstrate in 2025 the strength of our positioning and the resilience of our operating model, with growth as a priority.”

KEY FIGURES

(in millions of euros)	2023	2024	*Change*
Revenues	22,522	22,096	-1.9%
Operating margin*	2,991	2,934	-1.9%
as a % of revenues	13.3%	13.3%	0pt
Operating profit	2,346	2,356	+0.4%
as a % of revenues	10.4%	10.7%	+0.3pts
Net profit (Group share)	1,663	1,671	+0.5%
Basic earnings per share (€)	9.70	9.82	+1.2%
Normalized earnings per share (€)*	12.44	12.23	-1.7%
Organic free cash flow^*	1,963	1,961	-€ 2m
Net cash / (Net debt)*	(2,047)	(2,107)

In an environment that proved weaker than initially anticipated, Capgemini demonstrated in 2024 the resilience of its operating model and its leadership on AI and Generative AI. Clients focused on driving efficiency, prioritizing operational agility and cost optimization while discretionary spend remained soft. This environment has fueled a strong demand for transformation programs which translated into continued traction for Capgemini’s Cloud, Data & AI services as well as its innovative offerings, most notably in intelligent supply chain, digital core and generative AI projects. This is contributing to the continuous improvement of the portfolio mix toward innovation and enhanced client value creation.

Capgemini reported revenues of €22,096 million in 2024, down -1.9% year-on-year. Constant currency growth* was -2.0%, at the top end of the outlook as revised in October 2024. Organic growth* (i.e., excluding the impact of currency fluctuations and changes in Group scope) was -2.4%. After bottoming out in Q1, revenue trends gradually improved through the year with a revenue decline limited to -1.1% at constant currency and -1.5% organically in Q4.

With bookings of €23,821 million in 2024 and €6,806 million in Q4, the Group maintained a strong commercial momentum despite client decision cycles that remain long, achieving a solid book-to-bill of 1.08 for the year, and 1.22 in Q4. When compared to 2023 bookings, this represents, at constant exchange rates, a decrease of -0.5% for the year and an increase of +1.9% in Q4. Generative AI bookings amounted to close to 4% of Group bookings for the year and around 5% for Q4.

The ongoing shift in Capgemini’s offerings portfolio towards higher value services, coupled with enhanced operational efficiency, generated a 50 basis points increase in gross margin to 27.4% of revenues, reflecting the resilience of its operating model. This enabled the Group to absorb the incremental investment in selling efforts aimed at driving future growth and offset the slight increase in G&A expenses.

Consequently, the operating margin* was stable at 13.3% of revenues, or €2,934 million, in line with the operating margin target set for 2024.

Other operating income and expenses was a net expense of €578 million, down €67 million year-on-year. This decrease is mainly attributable to lower restructuring charges, which decreased by €55 million.

Capgemini’s operating profit was €2,356 million, or 10.7% of revenues, compared with €2,346 million, or 10.4% of revenues in 2023.

Capgemini reported a net financial income of €13 million in 2024, compared to a net expense of €42 million in 2023, reflecting higher interest income.

The income tax expense was €681 million, up from €626 million last year. This represents an increase in the effective tax rate from 27.2% in 2023 to 28.8% this year.

Taking into account the share of profits of associates and non-controlling interests, the Group share in net profit rose by +0.5% year-on-year to €1,671 million. Basic earnings per share increased by +1.2% to €9.82. Normalized earnings per share* was €12.23, compared with €12.44 in 2023.

Organic free cash flow* generation remained strong at €1,961 million, in line with the 2024 target and the previous year despite lower revenues.

CAPITAL ALLOCATION & BALANCE SHEET

In 2024, Capgemini actively redeployed close to €2.0 billion of capital, essentially funded by the organic free cash flow of the year. Capgemini invested €827 million in acquisitions. The Group also paid dividends of €580 million (€3.40 per share) to Capgemini SE shareholders and allocated €972 million to share buybacks: €498 million on its multiyear program and €474 million to neutralize the dilution of the 11^th employee share ownership plan (ESOP). This ESOP plan, which proved highly successful and thus contributed to maintaining employee shareholding at around 8% of the share capital, led to a gross capital increase of €415 million.

In October 2024, the Group also redeemed in full and at maturity its €600 million bond issued in April 2018.

At December 31, 2024, the Group had cash, cash equivalents and cash management assets of €3.1 billion. After accounting for borrowings of €5.1 billion as well as for derivative instruments, Group net debt* is €2.1 billion, slightly up compared with €2.0 billion at December 31, 2023.

The Board of Directors decided to recommend the payment of a dividend of €3.40 per share at the Shareholders’ Meeting of May 7, 2025. The corresponding payout ratio is 35% of net profit (Group share), in line with the Group’s historical distribution policy.

OPERATIONS BY REGION

At constant exchange rates, revenues in North America (28% of Group revenues) decreased by -4.1% with improving trends in H2. The Financial Services, Consumer Goods & Retail and Telco, Media & Technology (TMT) sectors were the main drivers of improvement. In contrast, the Manufacturing and Public sectors slowed down in H2. The operating margin increased to 16.5%, from 15.6% in 2023.

The United Kingdom and Ireland region (12% of Group revenues) remained resilient, posting a -1.0% decline in revenue primarily driven by the contraction of the Consumer Goods & Retail sector. The region’s return to growth in H2 was driven by the recovery in Financial Services and the continued strength in the Energy & Utilities sector. The operating margin reached 19.7% compared with 18.6% in 2023.

France (20% of Group revenues) revenues decreased by -3.5%, in an environment that led to a visible degradation in H2. This evolution was mostly driven by the contraction of the Manufacturing sector. However, as in most regions, Financial Services visibly improved through the year. The operating margin contracted from 12.6% to 10.2%.

In the Rest of Europe region (31% of Group revenues), revenues stood at +0.1% with solid Public and Energy & Utilities sectors and Financial Services returning to growth. The Manufacturing sector also negatively weighed on activity in the region. The operating margin was 12.0%, slightly up from 11.7% a year earlier.

Finally, revenues in the Asia-Pacific and Latin America region (9% of Group revenues) were slightly down
-0.3% driven by a slower Financial Services sector in Asia-Pacific. However, the Public Sector in Asia-Pacific and the Consumer Goods & Retail sector in Latin America, both enjoyed double-digit growth rates. The operating margin slightly improved to 12.4% compared with 12.2% the year before.

OPERATIONS BY BUSINESS

At constant exchange rates, Strategy & Transformation consulting services (9% of Group revenues) reported +3.2% growth in total revenues* in 2024. This continued momentum illustrates the strength of the Group’s positioning as a strategic partner to its clients.

Applications & Technology services (62% of Group revenues and Capgemini’s core business) reported
a -2.1% decrease in total revenues.

Finally, Operations & Engineering services total revenues (29% of Group revenues) decreased -2.1%.

OPERATIONS IN Q4 2024

Q4 was the third consecutive quarter of gradual improvement in growth rate. As expected, the Financial Services and Consumer Goods & Retail sectors saw an acceleration and TMT returned to growth. This was offset by the slowdown in Manufacturing.

Geographically, growth rates improved substantially in North America, but also the United Kingdom and Ireland, Asia-Pacific and Latin America, but slowed down visibly in France.

Group revenues totaled €5,581 million in Q4 2024, a decline of -1.1% year-on-year at constant exchanges rate and -1.5% organically. This decline in revenue can be solely attributable to -6.1% slowdown in Manufacturing.

At constant exchange rates, the decline in revenues in the North America region was limited to -1.6%, with the growth in Financial Services, Consumer Good & Retail and TMT, more than offset by the weakness in the Manufacturing and Energy & Utilities sectors. Revenues in the United Kingdom and Ireland region grew +1.5%, supported by the good performance of the Energy & Utilities and Manufacturing sectors and to a lesser extent the growth in Financial Services. In France, the weakness in the Manufacturing, Consumer Goods & Retail and Energy & Utilities sectors led the revenue to decline -5.8%. Revenues in the Rest of Europe region were stable (+0.1%), driven by robust activity in the Public, Energy & Utilities and Financial Services sectors that offset the decline in the Manufacturing sector. Finally, revenues in the Asia-Pacific and Latin America region grew by +4.6% supported by the visible recovery in the Financial Services and Consumer Goods & Retail sectors, more than offsetting the weak Manufacturing and Energy & Utilities sectors.

HEADCOUNT

At December 31, 2024, the Group’s total headcount stood at 341,100, slightly up by +0.2% year-on-year and +0.7% compared to the end of September 2024.

The onshore workforce decreased by -1.1% at 144,200 employees, while the offshore workforce was up by +1.2% to 196,900 employees, i.e., 58% of the total headcount.

ESG PERFORMANCE

In 2024, Capgemini demonstrated continued leadership in corporate responsibility by making significant advancements aligned with its ESG (Environment, Social and Governance) policy and commitments.

From an environmental standpoint, Capgemini set ambitious near-term (2030) and long-term (2040) carbon reduction targets in 2022, including a 90% reduction in all emissions (Scope 1, 2 and 3) by 2040 to reach its “net zero emissions” targets as validated by the SBTi (Science-Based Targets initiative). At the end of 2024, the Group had reduced its absolute emissions (Scope 1, 2 and 3) by 35% compared to 2019. Reflecting the commitment to 100% renewable electricity (RE100) by 2025, Capgemini’s scope 1 and 2 emissions have decreased by 93% since 2019. The share of renewable energy in the Group’s electricity consumption reached 98% last year up from 96% in 2023.

In human capital development, Capgemini continued to invest in its talent in 2024. The average number of learning hours per employee trained reached 77 hours last year, significantly up notably with the expansion of the generative AI training program.

The Group also made notable progress in gender balance, nearing its global objective of 40% by 2025. By the end of 2024, women comprised 39.7% of the total workforce, up by almost 1 point year-on-year and almost 7 points since 2019. The proportion of women among executive leadership positions globally reached 29.0%, up by almost 3 points year-on-year and more than 12 points since 2019.

The scale of impact through digital inclusion initiatives also extended greatly in 2024. Overall, the Group’s various programs and partnerships with leading non-profit organizations benefited almost 3.2 million individuals in 2024.

In recognition of this continued progress, the Group was confirmed as a constituent of the Dow Jones Sustainability Index (DJSI) Europe and maintained its position on the “A list” in the 2024 CDP (Carbon Disclosure Project) assessment.

OUTLOOK

The Group’s financial targets for 2025 are:

Revenue growth of -2.0% to +2.0% at constant currency;
Operating margin of 13.3% to 13.5%;
Organic free cash flow of around €1.9 billion.

CONFERENCE CALL

Aiman Ezzat, Chief Executive Officer, accompanied by Nive Bhagat, Chief Financial Officer, will comment on this publication during a conference call in English to be held today at 8.00 a.m. Paris time (CET). You can follow this conference call live via webcast at the following link. A replay will also be available for a period of one year.

All documents relating to this publication will be posted on the Capgemini investor website at https://investors.capgemini.com/en/.

PROVISIONAL CALENDAR

April 29, 2025        Q1 2025 revenues
May 7, 2025        Shareholders’ meeting
July 30, 2025        H1 2025 results
October 28, 2025        Q3 2025 revenues

The dividend payment schedule to be submitted to the Shareholders’ Meeting for approval would be:

May 20, 2025 Ex-dividend date on Euronext Paris
May 22, 2025 Payment of the dividend

DISCLAIMER

This press release may contain forward-looking statements. Such statements may include projections, estimates, assumptions, statements regarding plans, objectives, intentions and/or expectations with respect to future financial results, events, operations and services and product development, as well as statements, regarding future performance or events. Forward-looking statements are generally identified by the words “expects”, “anticipates”, “believes”, “intends”, “estimates”, “plans”, “projects”, “may”, “would”, “should” or the negatives of these terms and similar expressions. Although Capgemini’s management currently believes that the expectations reflected in such forward-looking statements are reasonable, investors are cautioned that forward-looking statements are subject to various risks and uncertainties (including, without limitation, risks identified in Capgemini’s Universal Registration Document available on Capgemini’s website), because they relate to future events and depend on future circumstances that may or may not occur and may be different from those anticipated, many of which are difficult to predict and generally beyond the control of Capgemini. Actual results and developments may differ materially from those expressed in, implied by or projected by forward-looking statements. Forward-looking statements are not intended to and do not give any assurances or comfort as to future events or results. Other than as required by applicable law, Capgemini does not undertake any obligation to update or revise any forward-looking statement.

This press release does not contain or constitute an offer of securities for sale or an invitation or inducement to invest in securities in France, the United States or any other jurisdiction.

ABOUT CAPGEMINI

Capgemini is a global business and technology transformation partner, helping organizations to accelerate their dual transition to a digital and sustainable world, while creating tangible impact for enterprises and society. It is a responsible and diverse group of 340,000 team members in more than 50 countries. With its strong over 55-year heritage, Capgemini is trusted by its clients to unlock the value of technology to address the entire breadth of their business needs. It delivers end-to-end services and solutions leveraging strengths from strategy and design to engineering, all fueled by its market leading capabilities in AI, generative AI, cloud and data, combined with its deep industry expertise and partner ecosystem. The Group reported 2024 global revenues of €22.1 billion.

Get the Future You Want | www.capgemini.com

* *

APPENDIX3F²

BUSINESS CLASSIFICATION

Strategy & Transformation includes all strategy, innovation and transformation consulting services.
Applications & Technology brings together “Application Services” and related activities and notably local technology services.
- Operations & Engineering encompasses all other Group businesses. These comprise Business Services (including Business Process Outsourcing and transaction services), all Infrastructure and Cloud services, and R&D and Engineering services.

DEFINITIONS

Organic growth or like-for-like growth in revenues is the growth rate calculated at constant Group scope and exchange rates. The Group scope and exchange rates used are those for the reported period. Exchange rates for the reported period are also used to calculate growth at constant exchange rates.

Reconciliation of growth rates	Q1 2024	Q2 2024	Q3 2024	Q4 2024	FY 2024
Organic growth	-3.6%	-2.3%	-2.1%	-1.5%	-2.4%
Changes in Group scope	+0.3 pts	+0.4 pts	+0.5 pts	+0.4 pts	+0.4 pts
Growth at constant exchange rates	-3.3%	-1.9%	-1.6%	-1.1%	-2.0%
Exchange rate fluctuations	-0.2 pts	+0.4 pts	-0.3 pts	+0.5 pts	+0.1 pts
Reported growth	-3.5%	-1.5%	-1.9%	-0.6%	-1.9%

When determining activity trends by business and in accordance with internal operating performance measures, growth at constant exchange rates is calculated based on total revenues, i.e., before elimination of inter-business billing. The Group considers this to be more representative of activity levels by business. As its businesses change, an increasing number of contracts require a range of business expertise for delivery, leading to a rise in inter-business flows.

Operating margin is one of the Group’s key performance indicators. It is defined as the difference between revenues and operating costs. It is calculated before “Other operating income and expenses” which include amortization of intangible assets recognized in business combinations, expenses relative to share-based compensation (including social security contributions and employer contributions) and employee share ownership plan, and non-recurring revenues and expenses, notably impairment of goodwill, negative goodwill, capital gains or losses on disposals of consolidated companies or businesses, restructuring costs incurred under a detailed formal plan approved by the Group’s management, the cost of acquiring and integrating companies acquired by the Group, including earn-outs comprising conditions of presence, and the effects of curtailments, settlements and transfers of defined benefit pension plans.

Normalized net profit is equal to profit for the year (Group share) adjusted for the impact of items recognized in “Other operating income and expense”, net of tax calculated using the effective tax rate. Normalized earnings per share is computed like basic earnings per share, i.e., excluding dilution.

Organic free cash flow is equal to cash flow from operations less acquisitions of property, plant, equipment and intangible assets (net of disposals) and repayments of lease liabilities, adjusted for cash out relating to the net interest cost.

Net debt (or net cash) comprises (i) cash and cash equivalents, as presented in the Consolidated Statement of Cash Flows (consisting of short-term investments and cash at bank) less bank overdrafts, and also including (ii) cash management assets (assets presented separately in the Consolidated Statement of Financial Position due to their characteristics), less (iii) short- and long-term borrowings. Account is also taken of (iv) the impact of hedging instruments when these relate to borrowings, intercompany loans, and own shares.

RESULTS BY REGION

	Revenues	Year-on-year growth		Operating margin rate
	2024 (in millions of euros)	reported	at constant exchange rates	2023	2024
North America	6,188	-4.2%	-4.1%	15.6%	16.5%
United Kingdom and Ireland	2,753	+1.6%	-1.0%	18.6%	19.7%
France	4,380	-3.5%	-3.5%	12.6%	10.2%
Rest of Europe	6,851	+0.2%	+0.1%	11.7%	12.0%
Asia-Pacific and Latin America	1,924	-2.6%	-0.3%	12.2%	12.4%
TOTAL	22,096	-1.9%	-2.0%	13.3%	13.3%

RESULTS BY BUSINESS

	Total revenues*	Year-on-year growth
	2024 (% of Group revenues)	At constant exchange rates in Total revenues* of the business
Strategy & Transformation	9%	+3.2%
Applications & Technology	62%	-2.1%
Operations & Engineering	29%	-2.1%

SUMMARY INCOME STATEMENT AND OPERATING MARGIN

(in millions of euros)	2023	2024	*Change*
Revenues	22,522	22,096	-1.9%
Operating expenses	(19,531)	(19,162)
Operating margin	2,991	2,934	-1.9%
as a % of revenues	13.3%	13.3%	0bp
Other operating income and expenses	(645)	(578)
Operating profit	2,346	2,356	+0.4%
as a % of revenues	10.4%	10.7%	+30bp
Net financial expenses	(42)	13
Income tax income/(expense)	(626)	(681)
Share of profit of associates and joint-ventures	(10)	(11)
(-) Non-controlling interests	(5)	(6)
Profit for the period, Group share	1,663	1,671	+0.5%

NORMALIZED AND DILUTED EARNINGS PER SHARE

(in millions of euros)	2023	2024	*Change*
Average number of shares outstanding	171,350,138	170,201,409	-0.7%
BASIC EARNINGS PER SHARE (in euros)	9.70	9.82	+1.2%
Diluted average number of shares outstanding	177,396,346	176,375,256
DILUTED EARNINGS PER SHARE (in euros)	9.37	9.47	+1.1%

(in millions of euros)	2023	2024	*Change*
Profit for the period, Group share	1,663	1,671	+0.5%
Effective tax rate	27.2%	28.8%
(-) Other operating income and expenses, net of tax	469	412
Normalized profit for the period	2,132	2,083	-2.3%
Average number of shares outstanding	171,350,138	170,201,409	-0.7%
NORMALIZED EARNINGS PER SHARE (in euros)	12.44	12.23	-1.7%

CHANGE IN CASH AND CASH EQUIVALENTS AND ORGANIC FREE CASH FLOW

(in millions of euros)	2023	2024
Net cash from operating activities	2,525	2,526
Acquisitions of property, plant and equipment and intangible assets, net of disposals	(254)	(310)
Net interest cost	(11)	37
Repayments of lease liabilities	(297)	(292)
ORGANIC FREE CASH FLOW	1,963	1,961
Other cash flows from (used in) investing and financing activities	(2,126)	(2,788)
Increase (decrease) in cash and cash equivalents	(163)	(827)
Effect of exchange rate fluctuations	(115)	97
Opening cash and cash equivalents	3,795	3,517
Closing cash and cash equivalents	3,517	2,787

NET DEBT

(in millions of euros)	December 31, 2023	December 31, 2024
Cash and cash equivalents	3,536	2,789
Bank overdrafts	(19)	(2)
Cash and cash equivalents	3,517	2,787
Cash management assets	161	268
Long-term borrowings	(5,071)	(4,281)
Short-term borrowings and bank overdrafts	(675)	(863)
(-) Bank overdrafts	19	2
Borrowings, excluding bank overdrafts	(5,727)	(5,142)
Derivative instruments	2	(20)
NET CASH / (NET DEBT)	(2,047)	(2,107)

ESG PERFORMANCE

	Objectives	Key Performance Indicators	2019 (baseline)	2023	2024	Change vs. 2019	2025 Objective	2030 Objective (vs 2019)
Environment	Be carbon neutral for our own operations no later than 2025 and across our supply chain by 2030, and committed to becoming a net zero business by 2040	Scope 1 & 2 – Absolute emissions (ktCO₂e)	154.1	13.6	11.2	-93%		-80%
		Scope 3 – Employee commuting emissions per headcount (tCO₂e/head)	1.08	0.50	0.55	-49%		-55%
		Scope 3 – Business travel emissions per headcount (tCO₂e/head)	1.26	0.50	0.48	-62%		-55%
		Scope 3 – Purchased goods and services (ktCO₂e)	305.7	352.1	301.5	-1%		-50%
	Transition to 100% renewable electricity by 2025, and electric vehicles by 2030	% of electricity from renewables	28%	96%	98%	+70pts	100%
Social	Increase average learning hours per employee by 5% every year to ensure regular lifelong learning	Average Completed Learning Hours per headcount trained during the reporting period	41.9	53.8	77.4	+85%
	40% of women in our teams by 2025	% of women in the workforce	33.0%	38.8%	39.7%	+6.7pts	40%
	5m beneficiaries supported by our digital inclusion programs by 2030	Cumulated number of beneficiaries since 2018	29,012	4.4m	7.5m			5m
Governance	30% of women in Group executive leadership positions in 2025	% of women in Group executive leadership positions	16.8%	26.2%	29.0%	+12.2pts	30%
	Maintain over 80% of the workforce with an Ethics score of 7-10	% of the headcount with an Ethics score of 7-10		86%	85%		>80%	>80%
	Be recognized as a front leader in data protection and cybersecurity	Cyber Rating agencies – CyberVadis score		958	977		940-950 out of 1,000
		DPO certification		72%	76%		95%

Note: in the table above, 2024 data may include some estimates and some historical data points have been restated to ensure comparability.

¹ Audit procedures on the consolidated financial statements have been completed. The auditors are in the process of issuing their report.
² Note that in the appendix, certain totals may not equal the sum of amounts due to rounding adjustments.

Attachments

The MIL Network –

February 18, 2025

MIL-OSI Asia-Pac: Govt to regulate car hailing platforms

Source: Hong Kong Information Services

(To watch the full media session with sign language interpretation, click here.)

Chief Executive John Lee today said the Government is working to improve taxi services, regulate car hailing platforms and combat unlawful hire car services, and urged stakeholders to join efforts to attain these goals.

Mr Lee’s comments came in response to media questions about taxi drivers’ plans to strike against illegal ride-hailing. He cautioned against resorting to such drastic action.

“The Government’s position in respect of the (improvement) of taxi services, and also to have a lawful system to govern online hailing platforms, is clear,” he said. “Taxi services need to be improved. The car hailing platforms need to be regulated, and enforcement actions need to be taken against unlawful hire car services.

“Any drastic action is not going to solve the problem. Drastic action may also hurt the interests of normal citizens in the course of their daily going about of their lives. It is not going to receive public support.

“Also, there is a potential that the issue may change its nature, and the issue may be hijacked by some people with ulterior motives that will be not in the interests of society and the citizens.”

Mr Lee said a large number of representatives from the taxi trade have indicated that they will not support or take part in any drastic action.

He highlighted that the Transport & Logistics Bureau has already made proposals to address the problem. These include introducing a “taxi fleet regime” to enhance the management of taxi services, and a legal framework to regulate online hailing platforms.

He also mentioned that the Transport Advisory Committee has invited representatives from the taxi trade and online hailing platforms to a meeting tomorrow. Government representatives will also attend.

“It is a good opportunity for everybody to talk through the whole thing rationally with a common will to move forward, to find out a solution.”

MIL OSI Asia Pacific News –

February 18, 2025
MIL-OSI China: New consumption frontiers energize China’s market vitality

Source: China State Council Information Office

Global financial institutions are increasingly bullish on China’s economic development, with multiple 2025 outlook reports highlighting the nation’s accelerating transition to high-quality growth driven by a stronger consumer sector and service industry.

During the recent Spring Festival, China witnessed a burgeoning consumption market, marked by record-setting sales revenues in “Guochao” — or trendy merchandise inspired by traditional Chinese culture — along with new records in intangible cultural heritage experiences, the ice and snow economy, and consumer goods trade-in programs. Driven by digital transition and technological development, new consumption models have continued to emerge.

Analysts noted that emerging consumption trends — from product launches to winter sports and silver-haired consumer markets — demonstrate China’s evolving consumer landscape and its potential for sustained growth.

Trendsetters Trade up

Shanghai’s debut economy is transforming the city’s retail landscape, increasingly led by homegrown brands launching global flagship stores. A notable example is SHUSHU/TONG, a local designer label that chose Shanghai’s Jing’an District for its first global store. The store has since become a magnet for international visitors, especially from the Republic of Korea (ROK).

The store has evolved into a social media hotspot, where Korean visitors frequently create content for platforms like rednote, sharing their shopping experiences and fashion discoveries. This organic promotion has significantly boosted the store’s international profile.

“New customers now make up half of our foot traffic, with ROK visitors accounting for 80 percent of first-time shoppers,” says Yu Yaqi, head of SHUSHU/TONG’s offline operations. “To better serve our international clientele, we’re streamlining membership registration for foreign customers and optimizing our product display and inventory to match visitor preferences.”

China’s policymakers have identified the debut economy as a key driver of growth, making it a 2025 priority at December’s Central Economic Work Conference. This strategic focus aims to upgrade consumption quality and accelerate industrial transformation, with regional governments already implementing supportive measures.

Positioned as a global hub for product debuts, flagship store launches and exclusive exhibitions, Shanghai is leveraging this innovative model. The policy blueprint includes an annual “FIRST in Shanghai” flagship event from March to May, designed to attract global attention as a premier platform for product launches.

Looking ahead to 2025, the city’s government work report prioritizes scaling up the debut economy, along with emerging consumption sectors such as automobiles and green consumption.

Frost to Fortune

“Endless snow slopes stretch before my eyes, with the howling wind echoing in my ears: That feeling of free flight delivers a unique thrill,” said 28-year-old Sun Hong, an avid skier who travels to different resorts each winter to seek fresh experiences.

Winter tourism has become a major driver of China’s economy, sparking nationwide interest in cold-weather activities.

Different regions have developed distinctive winter tourism offerings: Southwest China’s Chongqing Municipality focuses on themed events and travel routes, southern Guangdong Province provides year-round indoor snow activities, while Xinjiang’s Altay region features unique ethnic winter experiences.

Dai Bin, president of the China Tourism Academy, highlighted the role of technology and investment in promoting winter sports, with artificial snow and ice facilities making winter sports accessible even in the warmest regions.

A survey from the academy showed more than 70 percent of the respondents are willing to engage in winter leisure activities, with over 60 percent planning to maintain or increase their spending on winter tourism. The 2024-2025 winter season is expected to attract some 520 million trips, generating over 630 billion yuan (about 87.86 billion U.S. dollars) in tourism revenue.

Winter has evolved from a season of dormancy to one of vibrant activities, Dai noted. “In the past, winter meant freezing temperatures and a pause in daily life. Now, people embrace the cold and explore northern regions.”

Silver is the New Gold

Local governments have prioritized expanding elderly care products and services in their 2025 agendas. Guangdong plans to enhance research and development (R&D) and promotion of senior-friendly products while accelerating the rehabilitation assistive devices industry.

Heilongjiang aims to boost service-oriented consumption in digital, elderly care and childcare sectors, with a focus on developing traditional Chinese medicine-based wellness and smart elderly care. Shanghai will deepen the application of technologies like smart nursing homes in elderly care scenarios.

The economic potential is substantial. According to a recent blue paper on China’s silver economy, the sector is currently valued at 7 trillion yuan, with tourism being a key growth area.

Elderly adults in China had amassed wealth totaling 78.4 trillion yuan by 2023, according to the China National Committee on Ageing. The silver economy is projected to reach 30 trillion yuan by 2035.

The silver economy is creating new growth opportunities across multiple industries. “A growing number of seniors are demanding higher quality of life, prioritizing health and fashion, making the anti-aging industry particularly promising,” said Chen Juanling, a Shanghai municipal lawmaker and public affairs general manager of cosmetics brand Chando Group.

MIL OSI China News –

February 18, 2025
MIL-OSI USA: ALLEGHENY COUNTY – Governor Shapiro and Lt. Governor Davis Host Roundtable Highlighting Proposed Investments in Child Care

Source: US State of Pennsylvania

February 18, 2025 – Pittsburgh, PA

ADVISORY – ALLEGHENY COUNTY – Governor Shapiro and Lt. Governor Davis Host Roundtable Highlighting Proposed Investments in Child Care

Governor Josh Shapiro and Lt. Governor Austin Davis will host a roundtable at the YMCA Child Development Center at Duquesne University to talk about the Governor’s emphasis in his 2025-26 Budget Proposal on the child care workforce and his work to make child care more affordable.

During his first two years in office, Governor Shapiro signed into law a historic expansion of the Child and Dependent Care Enhancement Tax Credit and created a new tax credit for businesses who want to contribute to their employees’ child care costs. Those two initiatives helped make child care more affordable – and the Governor’s proposal this year would make child care more available through an investment of $55 million to support child care workforce recruitment and retention grants.

WHO:
Governor Josh Shapiro
Lt. Governor Austin Davis
Second Lady Blayre Holmes Davis
Amy Kienle, President/CEO of YMCA of Greater Pittsburgh
Robert Cherry, CEO of Partner4Work
Child care workers

WHEN:
Tuesday, February 18, 2025 at 1:45PM

WHERE:
YMCA Child Development Center at Duquesne University
112 Washington Place,
Pittsburgh, PA 15219

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

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

MIL OSI USA News –

February 18, 2025
MIL-OSI: Not Just a DEX: How Pineapple’s Mystery Marketing is Changing the Game
Source: GlobeNewswire (MIL-OSI)

DUBAI, United Arab Emirates, Feb. 17, 2025 (GLOBE NEWSWIRE) — The DeFi landscape is often loud, with projects shouting for attention through endless partnerships, airdrops, and hype-fueled marketing. But Pineapple has taken a different route: a world of exclusivity, mystery, and storytelling that has captured the curiosity of top traders, influencers, and industry insiders. More than just a decentralized exchange, Pineapple is an immersive experience, one that blends AI-powered engagement with cutting-edge trading tools to redefine what it means to trade in Web3.

The Secret Club Phenomenon: A Marketing Revolution

Most crypto projects follow a well-trodden path, airdrops, influencer partnerships, and technical jargon-laden whitepapers. Pineapple has rewritten the playbook. Instead of broadcasting its message loud and clear, it has built an air of exclusivity around a mysterious Telegram group, introducing different characters and narratives that intrigue rather than inform.

This unconventional approach has already attracted celebrities, KOLs, and influential figures in the space. The project’s ability to create FOMO through secrecy and invitation-only access has made it one of the most anticipated launches in the DeFi space.

AI-Powered Engagement, Tokenomics & Trading Mechanics

Pineapple doesn’t just rely on traditional marketing techniques, it is pioneering AI-driven engagement. The project plans to integrate AI agents that seamlessly blend with its narrative, interacting autonomously on social platforms like X (formerly Twitter) in character. These AI-driven personalities will enhance community engagement, providing insights, entertainment, and a unique touch that no other project has explored.

Beyond its unique marketing, Pineapple is a powerful, cross-chain trading hub designed to make DeFi more seamless and intuitive. The platform offers:
- Ultimate Cross-Chain Swaps across 20+ chains and 1,000+ liquidity pools.
- EVM to Non-EVM Swaps breaking blockchain barriers.
- Multi-Chain Bridge streamlining asset transfers.
- AI-Powered Token Insights & Trader Profiles for deep market analytics.
- Advanced Trading Tools including real-time charts, sniper bots, and optimized gas fees.
- Fiat On/Off Ramps & a VIP Card for easy access to DeFi.
- Exclusive NFTs with Real Utility offering revenue-sharing benefits and perks.
100% Fair Launch: A True Open Market

Imagine an exclusive club where the doors are wide open for everyone—no backroom deals, no early insider allocations. That’s exactly how Pineapple has structured its token launch. The entire supply of $PAPPLE has been placed directly into the liquidity pool, ensuring fairness and transparency. No presales, no hidden allocations—just an open playing field for all participants.

To maintain sustainability and reward dedicated members, Pineapple has implemented:
- 5% Tax on All Buys & Sells: A small contribution ensuring long-term ecosystem growth.
- Early Unstaking Penalty: Those who stake and withdraw early face a penalty that decreases over time, rewarding patient participants.
Such mechanisms ensure that Pineapple remains robust, rewarding those who commit long-term rather than short-term speculators.

The Team Behind Pineapple

Pineapple isn’t just a product of innovation, it’s the creation of some of the most brilliant minds. Pineapple is built by a team of seasoned professionals from blockchain, finance, art, and marketing, with experience at leading global brands like Coinbase, VeChain, Polygon,Amazon, Disney, Sony, Under Armour, Nike, Bentley, The Royal Mint, UFC Fight Pass, ATARI, Bittrex Global, NEO, Master Ventures, Marvel, MV Global, X Money, Paribus, Orion Protocol,, LTO Network, Dolce & Gabbana, Coca Cola, Goblintown and many more.

With a track record of driving success in both Web2 and Web3, they bring the expertise needed to reshape DeFi trading and engagement.

The Road Ahead

Pineapple is just getting started. With upcoming developments like lightning-fast trading tools, deeper AI integrations, and the expansion of Pineapple Academy, the project is setting the stage for a more immersive DeFi experience. Every feature and every innovation is a deliberate step toward building a truly unique ecosystem where trading meets storytelling, and engagement feels organic rather than forced.

Ali, CEO of Pineapple, shared his vision, “We wanted to break away from the noise of traditional DeFi marketing and build something truly immersive, where trading meets storytelling, and technology enhances engagement like never before.”

About Pineapple

Pineapple is a next-generation decentralized exchange designed to revolutionize DeFi trading and engagement. By combining AI-driven community interaction, cutting-edge trading tools, and a unique narrative-driven marketing approach, Pineapple is setting a new standard in the crypto industry.

For more information, visit https://pineappledex.com or follow Pineapple on Twitter and Telegram.

Contact:
Pete Harrison
pete@pineappledex.com

Disclaimer: This content is provided by Pineapple DEX. The statements, views, and opinions expressed in this content are solely those of the sponsor and do not necessarily reflect the views of this media platform. We do not endorse, verify, or guarantee the accuracy, completeness, or reliability of any information presented. This content is for informational purposes only and should not be considered as financial, investment, or trading advice. Readers are strongly encouraged to conduct their own research and consult with a qualified financial advisor before investing in or trading cryptocurrency and securities .Please conduct your own research and invest at your own risk.

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/02fa7f81-88c3-46c7-b859-1bc039d884f7

The MIL Network –
February 18, 2025

MIL-OSI: Transocean Ltd. Reports Fourth Quarter and Full Year 2024 Results

Source: GlobeNewswire (MIL-OSI)

	Three months ended									Three months ended
	December 31,			September 30,			sequential			December 31,			year-over-year
	2024			2024			change			2023			change
(In millions, except per share amounts, percentages and backlog)
Contract drilling revenues	$	952		$	948		$	4		$	741		$	211
Adjusted contract drilling revenues	$	952		$	948		$	4		$	748		$	204
Revenue efficiency ⁽¹⁾		93.5	%		94.5	%					97.0	%
Operating and maintenance expense	$	579		$	563		$	(16	)	$	569		$	(10	)
Net income (loss) attributable to controlling interest	$	7		$	(494	)	$	501		$	(104	)	$	111
Basic earnings (loss) per share	$	0.01		$	(0.56	)	$	0.57		$	(0.13	)	$	0.14
Diluted loss per share	$	(0.11	)	$	(0.58	)	$	0.47		$	(0.13	)	$	0.02

Adjusted EBITDA	$	323		$	342		$	(19	)	$	122		$	201
Adjusted EBITDA margin		33.9	%		36.0	%					16.3	%
Adjusted net income (loss)	$	27		$	64		$	(37	)	$	(74	)	$	101
Adjusted diluted earnings (loss) per share	$	(0.09	)	$	—		$	(0.09	)	$	(0.09	)	$	—


Backlog as of the February 2025 Fleet Status Report	$	8.3 billion

STEINHAUSEN, Switzerland, Feb. 17, 2025 (GLOBE NEWSWIRE) — Transocean Ltd. (NYSE: RIG) today reported net income attributable to controlling interest of $7 million, or loss of $0.11 per diluted share, for the three months ended December 31, 2024.

Fourth quarter results included $20 million, $0.02 per diluted share, discrete tax items, net. After consideration of these unfavorable items, fourth quarter 2024 adjusted net income was $27 million, or loss of $0.09 per diluted share.

Contract drilling revenues for the three months ended December 31, 2024, increased sequentially by $4 million to $952 million, primarily due to increased utilization for one rig that returned to work after undergoing a special periodic survey in the third quarter and higher reimbursement revenues, partially offset by lower revenue efficiency across the fleet.

Operating and maintenance expense was $579 million, compared with $563 million in the prior quarter. The sequential increase was the result of higher in-service maintenance costs across our fleet, partially offset by a settlement with insurance carriers.

General and administrative expense was $56 million, up from $47 million in the third quarter due primarily to increased legal and professional fees.

Interest expense net of capitalized amounts was $152 million, compared to $154 million in the prior quarter, excluding the favorable adjustment of $61 million and $74 million in the fourth and third quarter, respectively, for the fair value of the bifurcated exchange feature related to the 4.625% exchangeable bonds. Interest income was $10 million, compared to $11 million in the prior quarter.

The Effective Tax Rate⁽²⁾ was 89.0%, up from 6.0% in the prior quarter. The increase was primarily due to higher income and increases in valuation allowance. The Effective Tax Rate excluding discrete items was 56.7% compared to 22.5% in the previous quarter.

Cash provided by operating activities was $206 million during the fourth quarter of 2024, representing an increase of $12 million compared to the prior quarter. The sequential increase was primarily due to timing of interest payments and decreased payments for accounts payable, partially offset by reduced collections from customers.

Fourth quarter 2024 capital expenditures of $29 million, compared to $58 million in the prior quarter, were related to capital upgrades for certain rigs in our fleet.

“In 2024, we continued to advance our position as the technological leader in offshore drilling by, among other things, executing the first two 20K subsea completions in the history of the industry,” said Chief Executive Officer Jeremy Thigpen. “We also introduced and implemented other technologies that enhance our operational performances and further differentiate our fleet. This commitment to innovation, along with our reputation for delivering safe, reliable, and efficient operations, is clearly recognized by our customers, as demonstrated by the $2.4 billion in backlog we secured during the year.”

Thigpen continued, “With industry-leading contract coverage well into 2026, our primary objective will be strong operational execution and an intense focus on cost control to ensure we maximize the conversion of our backlog to cash, enabling us to continue de-leveraging our balance sheet.”

Full Year 2024

For the year ended December 31, 2024, net loss attributable to controlling interest totaled $512 million, $0.76 per diluted share. Full year results included $458 million, $0.50 per diluted share, net unfavorable items as follows:

$755 million, $0.82 per diluted share, loss on impairment of assets; and
$5 million, $0.01 per diluted share, loss on impairment of our investments in unconsolidated affiliates; partially offset by,
$161 million, $0.18 per diluted share, gain on retirement of debt; and
$141 million, $0.15 per diluted share, related to discrete tax items, net.

After consideration of these net unfavorable items, adjusted net loss for 2024 was $54 million, $0.26 per diluted share.

Non-GAAP Financial Measures

We present our operating results in accordance with accounting principles generally accepted in the U.S. (“U.S. GAAP”). We believe certain financial measures, such as Adjusted Contract Drilling Revenues, EBITDA, Adjusted EBITDA and Adjusted Net Income, which are non-GAAP measures, provide users of our financial statements with supplemental information that may be useful in evaluating our operating performance. We believe that such non-GAAP measures, when read in conjunction with our operating results presented under U.S. GAAP, can be used to better assess our performance from period to period and relative to performance of other companies in our industry, without regard to financing methods, historical cost basis or capital structure. Such non-GAAP measures should be considered as a supplement to, and not as a substitute for, financial measures prepared in accordance with U.S. GAAP.

All non-GAAP measure reconciliations to the most comparative U.S. GAAP measures are displayed in quantitative schedules on the company’s website at: www.deepwater.com.

About Transocean

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

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

For more information about Transocean, please visit: www.deepwater.com.

Conference Call Information

Transocean will conduct a teleconference starting at 9 a.m. EST, 3 p.m. CET, on Tuesday, February 18, 2025, to discuss the results. To participate, dial +1 785-424-1116 and refer to conference code 540196 approximately 15 minutes prior to the scheduled start time.

The teleconference will be simulcast in a listen-only mode at: www.deepwater.com, by selecting Investors, News, and Webcasts. Supplemental materials that may be referenced during the teleconference will be available at: www.deepwater.com, by selecting Investors, Financial Reports.

A replay of the conference call will be available after 12 p.m. EST, 6 p.m. CET, on Tuesday, February 18, 2025. The replay, which will be archived for approximately 30 days, can be accessed at +1 402-220-1152, passcode 540196. The replay will also be available on the company’s website.

Forward-Looking Statements

The statements described herein that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements could contain words such as “possible,” “intend,” “will,” “if,” “expect,” or other similar expressions. Forward-looking statements are based on management’s current expectations and assumptions, and are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. As a result, actual results could differ materially from those indicated in these forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to, estimated duration of customer contracts, contract dayrate amounts, future contract commencement dates and locations, planned shipyard projects and other out-of-service time, sales of drilling units, timing of the company’s newbuild deliveries, operating hazards and delays, risks associated with international operations, actions by customers and other third parties, the fluctuation of current and future prices of oil and gas, the global and regional supply and demand for oil and gas, the intention to scrap certain drilling rigs, the success of our business following prior acquisitions, the effects of the spread of and mitigation efforts by governments, businesses and individuals related to contagious illnesses, and other factors, including those and other risks discussed in the company’s most recent Annual Report on Form 10-K for the year ended December 31, 2023, and in the company’s other filings with the SEC, which are available free of charge on the SEC’s website at: www.sec.gov. Should one or more of these risks or uncertainties materialize (or the other consequences of such a development worsen), or should underlying assumptions prove incorrect, actual results may vary materially from those indicated or expressed or implied by such forward-looking statements. All subsequent written and oral forward-looking statements attributable to the company or to persons acting on our behalf are expressly qualified in their entirety by reference to these risks and uncertainties. You should not place undue reliance on forward-looking statements. Each forward-looking statement speaks only as of the date of the particular statement, and we undertake no obligation to publicly update or revise any forward-looking statements to reflect events or circumstances that occur, or which we become aware of, after the date hereof, except as otherwise may be required by law.

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

Notes

(1)	Revenue efficiency is defined as actual operating revenues, excluding revenues for contract terminations and reimbursements, for the measurement period divided by the maximum revenue calculated for the measurement period, expressed as a percentage. Maximum revenue is defined as the greatest amount of contract drilling revenues the drilling unit could earn for the measurement period, excluding revenues for incentive provisions, reimbursements and contract terminations. See the accompanying schedule entitled “Revenue Efficiency.”
(2)	Effective Tax Rate is defined as income tax expense or benefit divided by income or loss before income taxes. See the accompanying schedule entitled “Supplemental Effective Tax Rate Analysis.”

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

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

TRANSOCEAN LTD. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In millions, except per share data) (Unaudited)

	Years ended December 31,
	2024			2023			2022

Contract drilling revenues	$	3,524		$	2,832		$	2,575

Costs and expenses
Operating and maintenance		2,199			1,986			1,679
Depreciation and amortization		739			744			735
General and administrative		214			187			182
		3,152			2,917			2,596

Loss on impairment of assets		(772	)		(57	)		—
Loss on disposal of assets, net		(17	)		(183	)		(10	)
Operating loss		(417	)		(325	)		(31	)

Other income (expense), net
Interest income		50			52			27
Interest expense, net of amounts capitalized		(362	)		(646	)		(561	)
Gain (loss) on retirement of debt		161			(31	)		8
Other, net		45			9			(5	)
		(106	)		(616	)		(531	)
Loss before income tax expense (benefit)		(523	)		(941	)		(562	)
Income tax expense (benefit)		(11	)		13			59

Net loss		(512	)		(954	)		(621	)
Net income attributable to noncontrolling interest		—			—			—
Net loss attributable to controlling interest	$	(512	)	$	(954	)	$	(621	)

Loss per share
Basic	$	(0.60	)	$	(1.24	)	$	(0.89	)
Diluted	$	(0.76	)	$	(1.24	)	$	(0.89	)

Weighted-average shares outstanding
Basic		850			768			699
Diluted		925			768			699

TRANSOCEAN LTD. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (In millions, except share data) (Unaudited)

	December 31,
	2024			2023
Assets
Cash and cash equivalents	$	560		$	762
Accounts receivable, net		564			512
Materials and supplies, net		439			426
Assets held for sale		343			49
Restricted cash and cash equivalents		381			233
Other current assets		165			144
Total current assets		2,452			2,126

Property and equipment		22,417			23,875
Less accumulated depreciation		(6,586	)		(6,934	)
Property and equipment, net		15,831			16,941
Contract intangible assets		—			4
Deferred tax assets, net		45			44
Other assets		1,043			1,139
Total assets	$	19,371		$	20,254

Liabilities and equity
Accounts payable	$	255		$	323
Accrued income taxes		31			23
Debt due within one year		686			370
Other current liabilities		691			681
Total current liabilities		1,663			1,397

Long-term debt		6,195			7,043
Deferred tax liabilities, net		499			540
Other long-term liabilities		729			858
Total long-term liabilities		7,423			8,441

Commitments and contingencies

Shares, $0.10 par value, 1,057,879,029 authorized, 141,262,093 conditionally authorized, 940,828,901 issued
and 875,830,772 outstanding at December 31, 2024, and CHF 0.10 par value, 1,021,294,549 authorized,
142,362,093 conditionally authorized, 843,715,858 issued and 809,030,846 outstanding at December 31, 2023		87			81
Additional paid-in capital		14,880			14,544
Accumulated deficit		(4,545	)		(4,033	)
Accumulated other comprehensive loss		(138	)		(177	)
Total controlling interest shareholders’ equity		10,284			10,415
Noncontrolling interest		1			1
Total equity		10,285			10,416
Total liabilities and equity	$	19,371		$	20,254

TRANSOCEAN LTD. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (In millions) (Unaudited)

	Years ended December 31,
	2024			2023			2022

Cash flows from operating activities
Net loss	$	(512	)	$	(954	)	$	(621	)
Adjustments to reconcile to net cash provided by operating activities:
Amortization of contract intangible asset		4			52			117
Depreciation and amortization		739			744			735
Share-based compensation expense		47			40			29
Loss on impairment of assets		772			57			—
Loss on disposal of assets, net		17			183			10
Amortization of debt-related balances, net		53			51			33
(Gain) loss on adjustment to bifurcated compound exchange feature		(214	)		127			157
(Gain) loss on retirement of debt		(161	)		31			(8	)
Loss on impairment of investment in unconsolidated affiliates		5			5			—
Deferred income tax expense		(42	)		18			46
Other, net		(7	)		43			44
Changes in deferred revenues, net		45			70			(20	)
Changes in deferred costs, net		(2	)		(190	)		1
Changes in other operating assets and liabilities, net		(297	)		(113	)		(75	)
Net cash provided by operating activities		447			164			448

Cash flows from investing activities
Capital expenditures		(254	)		(427	)		(717	)
Investment in loans to unconsolidated affiliates		(3	)		(3	)		(5	)
Investment in equity of unconsolidated affiliates		—			(10	)		(42	)
Proceeds from disposal of assets, net of costs to sell		101			10			7
Cash acquired in acquisition of unconsolidated affiliates		5			7			—
Net cash used in investing activities		(151	)		(423	)		(757	)

Cash flows from financing activities
Repayments of debt		(2,103	)		(1,717	)		(554	)
Proceeds from issuance of debt, net of issue costs		1,770			1,983			175
Proceeds from issuance of shares, net of issue costs		—			—			263
Proceeds from issuance of warrants, net of issue costs		—			—			12
Other, net		(17	)		(3	)		(8	)
Net cash provided by (used in) financing activities		(350	)		263			(112	)

Net increase (decrease) in unrestricted and restricted cash and cash equivalents		(54	)		4			(421	)
Unrestricted and restricted cash and cash equivalents, beginning of period		995			991			1,412
Unrestricted and restricted cash and cash equivalents, end of period	$	941		$	995		$	991


TRANSOCEAN LTD. AND SUBSIDIARIES FLEET OPERATING STATISTICS

	Three months ended						Years ended
	December 31,		September 30,		December 31,		December 31,		December 31,
Contract Drilling Revenues (in millions)	2024		2024		2023		2024		2023
Ultra-deepwater floaters	$	675	$	668	$	536	$	2,518	$	2,072
Harsh environment floaters		277		280		205		1,006		760
Total contract drilling revenues	$	952	$	948	$	741	$	3,524	$	2,832

	Three months ended						Years ended
	December 31,		September 30,		December 31,		December 31,		December 31,
Average Daily Revenue ⁽¹⁾	2024		2024		2023		2024		2023
Ultra-deepwater floaters	$	428,200	$	426,700	$	432,100	$	428,000	$	393,700
Harsh environment floaters		452,600		464,900		354,700		435,900		354,300
Total fleet average daily revenue	$	434,700	$	436,800	$	407,800	$	430,100	$	382,300

	Three months ended						Years ended
	December 31,		September 30,		December 31,		December 31,		December 31,
Revenue Efficiency ⁽²⁾	2024		2024		2023		2024		2023
Ultra-deepwater floaters	92.0	%	92.5	%	96.8	%	93.4	%	96.5	%
Harsh environment floaters	97.6	%	100.1	%	97.6	%	97.5	%	97.8	%
Total fleet average revenue efficiency	93.5	%	94.5	%	97.0	%	94.5	%	96.8	%

	Three months ended						Years ended
	December 31,		September 30,		December 31,		December 31,		December 31,
Utilization ⁽³⁾	2024		2024		2023		2024		2023
Ultra-deepwater floaters	64.3	%	60.7	%	46.8	%	57.3	%	49.4	%
Harsh environment floaters	75.0	%	75.0	%	66.7	%	71.1	%	59.1	%
Total fleet average rig utilization	66.8	%	63.9	%	51.6	%	60.5	%	51.9	%

⁽¹⁾ Average daily revenue is defined as operating revenues, excluding revenues for contract terminations, reimbursements and contract intangible amortization, earned per operating day. An operating day is defined as a day for which a rig is contracted to earn a dayrate during the firm contract period after operations commence.

⁽²⁾ Revenue efficiency is defined as actual operating revenues, excluding revenues for contract terminations and reimbursements, for the measurement period divided by the maximum revenue calculated for the measurement period, expressed as a percentage. Maximum revenue is defined as the greatest amount of contract drilling revenues the drilling unit could earn for the measurement period, excluding revenues for incentive provisions, reimbursements and contract terminations.

⁽³⁾ Rig utilization is defined as the total number of operating days divided by the total number of rig calendar days in the measurement period, expressed as a percentage.


TRANSOCEAN LTD. AND SUBSIDIARIES
NON-GAAP FINANCIAL MEASURES AND RECONCILIATIONS
ADJUSTED NET INCOME (LOSS) AND ADJUSTED DILUTED EARNINGS (LOSS) PER SHARE
(in millions, except per share data)

	YTD			QTD			YTD			QTD			YTD			QTD			YTD
	12/31/24			12/31/24			09/30/24			09/30/24			06/30/24			06/30/24			03/31/24
Adjusted Net Income (Loss)
Net income (loss) attributable to controlling interest, as reported	$	(512	)	$	7		$	(519	)	$	(494	)	$	(25	)	$	(123	)	$	98
Loss on impairment of assets, net of tax		755			—			755			617			138			138			—
Loss on impairment of investment in unconsolidated affiliates		5			—			5			—			5			4			1
Gain on retirement of debt		(161	)		—			(161	)		(21	)		(140	)		(140	)		—
Discrete tax items		(141	)		20			(161	)		(38	)		(123	)		(2	)		(121	)
Net income (loss), as adjusted	$	(54	)	$	27		$	(81	)	$	64		$	(145	)	$	(123	)	$	(22	)

Adjusted Diluted Earnings (Loss) Per Share:
Diluted earnings (loss) per share, as reported	$	(0.76	)	$	(0.11	)	$	(0.65	)	$	(0.58	)	$	(0.03	)	$	(0.15	)	$	0.11
Loss on impairment of assets, net of tax		0.82			—			0.82			0.64			0.17			0.17			—
Loss on impairment of investment in unconsolidated affiliates		0.01			—			0.01			—			—			—			—
Gain on retirement of debt		(0.18	)		—			(0.18	)		(0.02	)		(0.17	)		(0.17	)		—
Discrete tax items		(0.15	)		0.02			(0.18	)		(0.04	)		(0.15	)		—			(0.14	)
Diluted earnings (loss) per share, as adjusted	$	(0.26	)	$	(0.09	)	$	(0.18	)	$	—		$	(0.18	)	$	(0.15	)	$	(0.03	)


	YTD			QTD			YTD			QTD			YTD			QTD			YTD
	12/31/23			12/31/23			09/30/23			09/30/23			06/30/23			06/30/23			03/31/23
Adjusted Net Loss
Net loss attributable to controlling interest, as reported	$	(954	)	$	(104	)	$	(850	)	$	(220	)	$	(630	)	$	(165	)	$	(465	)
Loss on impairment of assets		57			(1	)		58			5			53			53			—
Loss on disposal of assets, net		169			—			169			—			169			—			169
Loss on impairment of investment in unconsolidated affiliate		5			5			—			—			—			—			—
Loss on conversion of debt to equity		27			24			3			—			3			3			—
(Gain) loss on retirement of debt		31			(1	)		32			—			32			—			32
Discrete tax items		(74	)		3			(77	)		(65	)		(12	)		(1	)		(11	)
Net loss, as adjusted	$	(739	)	$	(74	)	$	(665	)	$	(280	)	$	(385	)	$	(110	)	$	(275	)

Adjusted Diluted Loss Per Share:
Diluted loss per share, as reported	$	(1.24	)	$	(0.13	)	$	(1.13	)	$	(0.28	)	$	(0.85	)	$	(0.22	)	$	(0.64	)
Loss on impairment of assets		0.07			—			0.08			0.01			0.07			0.07			—
Loss on disposal of assets, net		0.22			—			0.23			—			0.23			—			0.23
Loss on impairment of investment in unconsolidated affiliate		0.01			0.01			—			—			—			—			—
Loss on conversion of debt to equity		0.04			0.03			—			—			—			—			—
(Gain) loss on retirement of debt		0.04			—			0.04			—			0.04			—			0.04
Discrete tax items		(0.10	)		—			(0.10	)		(0.09	)		(0.01	)		—			(0.01	)
Diluted loss per share, as adjusted	$	(0.96	)	$	(0.09	)	$	(0.88	)	$	(0.36	)	$	(0.52	)	$	(0.15	)	$	(0.38	)


TRANSOCEAN LTD. AND SUBSIDIARIES
NON-GAAP FINANCIAL MEASURES AND RECONCILIATIONS
ADJUSTED CONTRACT DRILLING REVENUES
EARNINGS BEFORE INTEREST, TAXES, DEPRECIATION AND AMORTIZATION AND RELATED MARGINS
(in millions, except percentages)


	YTD				QTD			YTD				QTD				YTD				QTD				YTD
	12/31/24				12/31/24			09/30/24				09/30/24				06/30/24				06/30/24				03/31/24

Contract drilling revenues	$	3,524			$	952		$	2,572			$	948			$	1,624			$	861			$	763
Contract intangible asset amortization		4				—			4				—				4				—				4
Adjusted Contract Drilling Revenues	$	3,528			$	952		$	2,576			$	948			$	1,628			$	861			$	767

Net income (loss)	$	(512	)		$	7		$	(519	)		$	(494	)		$	(25	)		$	(123	)		$	98
Interest expense, net of interest income		312				81			231				69				162				60				102
Income tax expense (benefit)		(11	)			55			(66	)			(31	)			(35	)			156				(191	)
Depreciation and amortization		739				180			559				190				369				184				185
Contract intangible asset amortization		4				—			4				—				4				—				4
EBITDA		532				323			209				(266	)			475				277				198

Loss on impairment of assets		772				—			772				629				143				143				—
Loss on impairment of investment in unconsolidated affiliates		5				—			5				—				5				4				1
Gain on retirement of debt		(161	)			—			(161	)			(21	)			(140	)			(140	)			—
Adjusted EBITDA	$	1,148			$	323		$	825			$	342			$	483			$	284			$	199


Profit (loss) margin		(14.5	)	%		0.7	%		(20.2	)	%		(52.0	)	%		(1.5	)	%		(14.3	)	%		12.9	%
EBITDA margin		15.1		%		33.9	%		8.1		%		(28.1	)	%		29.2		%		32.2		%		25.8	%
Adjusted EBITDA margin		32.5		%		33.9	%		32.0		%		36.0		%		29.7		%		33.0		%		26.0	%


	YTD				QTD				YTD				QTD				YTD				QTD				YTD
	12/31/23				12/31/23				09/30/23				09/30/23				06/30/23				06/30/23				03/31/23

Contract drilling revenues	$	2,832			$	741			$	2,091			$	713			$	1,378			$	729			$	649
Contract intangible asset amortization		52				7				45				8				37				19				18
Adjusted Contract Drilling Revenues	$	2,884			$	748			$	2,136			$	721			$	1,415			$	748			$	667

Net loss	$	(954	)		$	(104	)		$	(850	)		$	(220	)		$	(630	)		$	(165	)		$	(465	)
Interest expense, net of interest income		594				(13	)			607				220				387				157				230
Income tax expense (benefit)		13				21				(8	)			(43	)			35				(16	)			51
Depreciation and amortization		744				184				560				192				368				186				182
Contract intangible asset amortization		52				7				45				8				37				19				18
EBITDA		449				95				354				157				197				181				16

Loss on impairment of assets		57				(1	)			58				5				53				53				—
Loss on disposal of assets, net		169				—				169				—				169				—				169
Loss on impairment of investment in unconsolidated affiliate		5				5				—				—				—				—				—
Loss on conversion of debt to equity		27				24				3				—				3				3				—
(Gain) loss on retirement of debt		31				(1	)			32				—				32				—				32
Adjusted EBITDA	$	738			$	122			$	616			$	162			$	454			$	237			$	217


Loss margin		(33.7	)	%		(14.0	)	%		(40.7	)	%		(30.9	)	%		(45.7	)	%		(22.6	)	%		(71.6	)%
EBITDA margin		15.6		%		12.7		%		16.6		%		21.8		%		13.9		%		24.2		%		2.4	%
Adjusted EBITDA margin		25.6		%		16.3		%		28.9		%		22.5		%		32.1		%		31.7		%		32.5	%

TRANSOCEAN LTD. AND SUBSIDIARIES
SUPPLEMENTAL EFFECTIVE TAX RATE ANALYSIS
(in millions, except tax rates)

	Three months ended									Years ended
	December 31,			September 30,			December 31,			December 31,			December 31,
	2024			2024			2023			2024			2023

Income (loss) before income taxes	$	62		$	(525	)	$	(83	)	$	(523	)	$	(941	)
Loss on impairment of assets		—			629			(1	)		772			57
Loss on disposal of assets, net		—			—			—			—			169
Loss on impairment of investment in unconsolidated affiliates		—			—			5			5			5
Loss on conversion of debt to equity		—			—			24			—			27
(Gain) loss on retirement of debt		—			(21	)		(1	)		(161	)		31
Adjusted income (loss) before income taxes	$	62		$	83		$	(56	)	$	93		$	(652	)


Income tax expense (benefit)	$	55		$	(31	)	$	21		$	(11	)	$	13
Loss on impairment of assets		—			12			—			17			—
Loss on disposal of assets, net		—			—			—			—			—
Loss on impairment of investment in unconsolidated affiliates		—			—			—			—			—
Loss on conversion of debt to equity		—			—			—			—			—
(Gain) loss on retirement of debt		—			—			—			—			—
Changes in estimates (1)		(20	)		38			(3	)		141			74
Adjusted income tax expense (benefit)	$	35		$	19		$	18		$	147		$	87

Effective Tax Rate (2)		89.0	%		6.0	%		(25.0	)%		2.2	%		(1.4	)%

Effective Tax Rate, excluding discrete items (3)		56.7	%		22.5	%		(30.0	)%		159.1	%		(13.3	)%


(1) Our estimates change as we file tax returns, settle disputes with tax authorities, or become aware of changes in laws, operational changes and rig movements that have an effect on our (a) deferred taxes, (b) valuation allowances on deferred taxes and (c) other tax liabilities.

(2) Our effective tax rate is calculated as income tax expense or benefit divided by income or loss before income taxes.

(3) Our effective tax rate, excluding discrete items, is calculated as income tax expense or benefit, excluding various discrete items (such as changes in estimates and tax on items excluded from income before income taxes), divided by income or loss before income taxes, excluding gains and losses on sales and similar items pursuant to the accounting standards for income taxes related to estimating the annual effective tax rate.


TRANSOCEAN LTD. AND SUBSIDIARIES
NON-GAAP FINANCIAL MEASURES AND RECONCILIATIONS
FREE CASH FLOW AND LEVERED FREE CASH FLOW
(in millions)

	YTD			QTD			YTD			QTD			YTD			QTD			YTD
	12/31/24			12/31/24			09/30/24			09/30/24			06/30/24			06/30/24			03/31/24

Cash provided by (used in) operating activities	$	447		$	206		$	241		$	194		$	47		$	133		$	(86	)
Capital expenditures		(254	)		(29	)		(225	)		(58	)		(167	)		(84	)		(83	)
Free Cash Flow		193			177			16			136			(120	)		49			(169	)
Debt repayments		(2,103	)		(30	)		(2,073	)		(258	)		(1,815	)		(1,664	)		(151	)
Debt repayments, paid from debt proceeds		1,748			–			1,748			99			1,649			1,649			–
Levered Free Cash Flow	$	(162	)	$	147		$	(309	)	$	(23	)	$	(286	)	$	34		$	(320	)



	YTD			QTD			YTD			QTD			YTD			QTD			YTD
	12/31/23			12/31/23			09/30/23			09/30/23			06/30/23			06/30/23			03/31/23

Cash provided by (used in) operating activities	$	164		$	98		$	66		$	(44	)	$	110		$	157		$	(47	)
Capital expenditures		(427	)		(220	)		(207	)		(50	)		(157	)		(76	)		(81	)
Free Cash Flow		(263	)		(122	)		(141	)		(94	)		(47	)		81			(128	)
Debt repayments		(1,717	)		(10	)		(1,707	)		(139	)		(1,568	)		(4	)		(1,564	)
Debt repayments, paid from debt proceeds		1,156			–			1,156			–			1,156			–			1,156
Levered Free Cash Flow	$	(824	)	$	(132	)	$	(692	)	$	(233	)	$	(459	)	$	77		$	(536	)



	YTD			QTD			YTD			QTD			YTD			QTD			YTD
	12/31/22			12/31/22			09/30/22			09/30/22			06/30/22			06/30/22			03/31/22

Cash provided by (used in) operating activities	$	448		$	178		$	270		$	230		$	40		$	41		$	(1	)
Capital expenditures		(717	)		(409	)		(308	)		(87	)		(221	)		(115	)		(106	)
Free Cash Flow		(269	)		(231	)		(38	)		143			(181	)		(74	)		(107	)
Debt repayments		(554	)		(101	)		(453	)		(196	)		(257	)		(92	)		(165	)
Debt repayments, paid from debt proceeds		–			–			–			–			–			–			–
Levered Free Cash Flow	$	(823	)	$	(332	)	$	(491	)	$	(53	)	$	(438	)	$	(166	)	$	(272	)

The MIL Network –

February 18, 2025

MIL-Evening Report: Is Australia’s GST a tax or a tariff? And why has it become a target in the trade wars?

Source: The Conversation (Au and NZ) – By Felicity Deane, Professor, Queensland University of Technology

Australian beef exports to the United States are GST-free and should not be subject to any retaliatory tariff. William Edge/Shutterstock

The latest round of proposed tariffs from US President Donald Trump includes a response to what the White House describes as “unfair” taxes – specifically, value-added taxes such as Australia’s Goods and Services Tax (GST).

Most economically advanced countries have a value-added tax (VAT) or sales tax on consumption. This applies to domestic goods and services as well as to imports. The United States is one of the few countries that does not impose a sales tax, though many of the states impose their own sales tax.

So the argument, according to the White House, is these taxes apply to imported goods, but not to exports.

Is the GST a tax or a tariff?

The GST is a broad-based consumption tax of 10%. It applies to most goods and services that are consumed in Australia, regardless of their origin.

An import tariff – sometimes called an import duty – is imposed exclusively on imported goods as a condition of market access.

Tariffs are not imposed on domestically produced goods at all. This is the main point of difference with a domestic consumption tax. The GST applies equally to imported and domestically produced goods, adhering to long-agreed international trade rules.

It remains unclear how the Trump administration intends to implement a tariff that is equivalent to the 10% GST. In effect, this becomes a tax on US consumers if they buy Australian goods.

Read more:
What’s a trade war?

Such an indirect tax would be regressive, which means it falls more heavily on lower-income consumers. The expansion of tariffs to include other nations’ VAT systems also represents a significant overreach into national sovereignty. It has long been accepted that sovereign nations have the right to tax their citizens and businesses as they see fit.

Indeed, Australia’s GST is among the lowest among economically advanced nations, for which the average is 19%, so the wider impact on US consumers will be even greater.

Goods that are exported to the US face a new round of tariffs.
Shutterstock

Trump is clearly (and unapologetically) seeking to reinvigorate US manufacturing. But the reality is that US labour costs are high. It is also inefficient for any country to produce all the goods and services its population requires. This is particularly the case in such a high-consumption nation as the US.

The US has been described as a consumer of last resort
because strong consumer demand has been filled by ever rising imports from other countries. The mutually beneficial relationship between the US and China has enabled the rise of the middle class in China. Trump’s tariffs may shift this, causing geopolitical tensions and economic instability.

Australia’s response: pausing the digital services tax

While these tariffs primarily harm US consumers, Australian businesses will also feel the effects. However, it is unclear to what extent. Notably, one main export to the US, unprocessed agricultural products such as beef, are GST-free and should not be subject to any retaliatory tariff.

However, many other Australian exports could be disadvantaged. Trump’s policies will raise the cost of Australian imported goods in the US market, potentially making them less appealing to US consumers.

The threat of these tariffs is clearly a problem for a federal government facing an impending election, and Prime Minister Anthony Albanese has so far responded cautiously. While a diplomatic approach may secure a minor concession, it’s in stark contrast to Canada’s firm stance, which included immediate threats of retaliatory measures.

Read more:
Whether we carve out an exemption or not, Trump’s latest tariffs will still hit Australia

Trump’s use of tariff threats as a negotiating tactic does appear to be having the desired effect, with a potential suspension of Australia’s proposed big tech levy. This proposal would have imposed a tax on major tech firms such as Meta and Google if they did not reach a direct agreement with local media companies.

Reports indicate the government has put this proposal on hold due to the risk of retaliatory tariffs from the US. Such a tax would likely have invoked the wrath of the US administration, with the digital services levies of Canada and France specifically referenced in the most recent White House tariff announcement.

It is fair to say the White House statement deliberately misleads any reader into thinking that tariff percentages directly impact on trade volumes.

This statement ignores a fundamental principle that has made international trade so appealing since World War II – and why economists have argued in support of it for hundreds of years. Countries produce and trade the goods and services at which they are efficient. Efficiency leads to lower costs which, all else being equal, means consumers are better off.

The statement from the White House, together with Trump’s past pronouncements, demonstrate that all rules to do with international taxation and fairness have been thrown out.

This does not appear to be the main concern, however, with Australian negotiators potentially willing to put on hold a crucial policy to ensure the long-term viability of local journalism.

This is just the beginning. Anyone who felt some comfort and safety in the strength of our own democracy should carefully consider the overreach that is occurring through these threats.

Felicity Deane 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. Is Australia’s GST a tax or a tariff? And why has it become a target in the trade wars? – https://theconversation.com/is-australias-gst-a-tax-or-a-tariff-and-why-has-it-become-a-target-in-the-trade-wars-250041

MIL OSI Analysis – EveningReport.nz –

February 18, 2025
MIL-OSI United Kingdom: Focus on fighting anti-social behaviour as cabinet approves budget plans | Westminster City Council
Source: City of Westminster

More City Inspectors are being hired to spearhead the fight against anti-social behaviour alongside hundreds of new CCTV cameras being rolled out across the City.

The recruitment of eight new City Inspectors – council staff who work along with police to help manage community safety – is among a number of budget proposals focused on anti social behaviour formally approved by Westminster City Council’s Cabinet. (Monday Feb 17). The new officers being recruited will concentrate only on tackling anti social behaviour across the city.

Councillors agreed to double the number of CCTV cameras on the streets to 200, including 40 new cameras in the West End. The new CCTV network is part of an overall £2m for anti-social and city management measures.

The installation of up to 40 new cameras in the West End – focusing on Soho and Leicester square – is the most significant council security investment in the area in nearly a decade. The roll-out of CCTV – which began last year – has already paid dividends with pictures being used in police evidence.

The Budget measures approved by cabinet will help relieve pressure on Westminster’s housing waiting list by investing an additional £140 million into buying temporary accommodation.

A major new investment of £2.6m will go into cushioning the cost of adult social care – meaning hundreds of adult social care users will now not pay for care while hard working care assistants will earn more.

Despite the scale of new investment, the Council Tax rise equals just 48p a week for a Band D* property, which means Westminster still has one of the lowest Council Tax rates in the country. The Westminster City Council part of the Council Tax rises by 4.99 per cent overall – 2.99 per cent for council services and 2 per cent for the portion set aside for adult social care.

Headline announcements in the proposed budget include:
- An extra £1.2m to tackle rough sleeping and help people off the pavements and into safety
- An additional £1.4m to increase the pay of the personal care assistants (over 400 staff) who provide care for Westminster residents through direct payments. This will help more people who use adult social care to employ the carer they want as they will now be able to pay a competitive salary.
- An additional £1.2m to level up the threshold at which people start to pay for their social care costs so that it is the same for everyone regardless of age. This will help over 460 residents aged under 65 to keep more of their income before paying care bills.
- An extra £1m on cost of living support – for example free school meals during school holidays, supermarket food vouchers, a hardship fund and supporting specialist advice centres.
- Investing in new Community hubs such as Ernest Harris House opening this Spring and the Pimlico Community hub at site of the Old Pimlico Library opening in 2026
The Council will also deliver new savings of nearly £30m by 2028 through measures including greater efficiencies in contracts and the switch to an electric cleaning and waste fleet.

The proposed budget – which will be voted on at full Council on March 5^th – sets out detailed spending plans for managing more than 20,000 local authority properties under what is called the Housing Revenue Account. The business plan includes total capital investment of £916m over the next 5 years and a total of £2.5bn over the full 30 years. The budget also sets out the business plan for funding the council’s fairer Westminster programme under its capital strategy. The Council is proposing a gross capital programme up to 2038/39 of £2.5bn, partially offset by nearly £1.2bn of income, giving a net budget of £1.3bn.

Cllr Adam Hug, leader of Westminster City Council, said:

Safety and assurance for our residents – whether on the streets, keeping a roof over their heads or with help for the less well-off – is at the very heart of this Budget.

“Like all London councils, we are facing unprecedented demands on our services with spiralling costs for housing and care. I am proud that we have been able through careful management and savings to target money to those who need it most while keeping a rise in Council tax to the bare minimum.

“We all know everything is more expensive these days – food, rent, and looking after elderly family members. We are keeping bills down for those who can least afford it, but I am also pleased we can increase the hourly pay of those care assistants who do such a vital job but are often on the lower end of the pay scale.

“Wherever you live in Westminster, you should be able to enjoy your surroundings without fear of those dealing drugs or committing other crimes and anti-social behaviour that can sometimes blight our neighbourhoods. Our new, redeployable cameras are already helping in court prosecutions and we will deploy them wherever residents need them most.”

Full details of the proposed budget are available here: Agenda for Cabinet on Monday 17th February, 2025, 6.30 pm | Westminster City Council
MIL OSI United Kingdom –
February 18, 2025
MIL-OSI Asia-Pac: Text of Vice-President’s Address at Indian Institutes of Science Education and Research (IISER), Mohali (Excerpts)

Source: Government of India

Posted On: 17 FEB 2025 6:48PM by PIB Delhi

Good afternoon all of you. If there has been some disruption in your normal activity, because as Vice-President of the country, I take it as my prime obligation to connect with young minds and important institutions. It is from that perspective I solicited this invitation.

I am grateful that it was accepted. Professor Anil Kumar Tripathi, Director IISER, a man who brings on the table huge experience, commitment, and in his brief address he has revealed the object, the performance and the potential. Professor Renu Vig, Vice-Chancellor, Punjab University, has two distinctions.

One, she is the first ever woman Vice-Chancellor of the Punjab University, a very prestigious university. I am sure we can applaud her, and, she is the 14th Vice-Chancellor, appointed by a Chancellor, who happens to be the 14th Vice-President of the country, that’s myself. Both of us missed number 13 very narrowly. Professor R.P. Tiwari, Vice-Chancellor, Central University of Punjab. Have you noticed something unique here? There are three Vices. So, Professor Anil Kumar Tripathi can be happy and delighted. Unless he says that prefix of Vice does not mean vice as it is defined in the dictionary, I would not reflect upon myself. But I can assure you, Vice-Chancellor Renu Vig and Vice-Chancellor R.P. Tiwari have no Vices.

This is a unique Institution and 7 being in number. Having been Governor in the State of West Bengal for three years, I am aware of these Institutions and the seminal role they play in the evolution of the heart. Every institution is defined by the faculty, and I greet members of the faculty who are very distinguished and are futuristic in their outlook, whatever little I have gathered. We as a nation can take pride that we have an unparalleled legacy unknown to other nations. That long, and if we traverse our civilisational journey of 5000 years, we will find Bharat had been glory of the world,epicenter of knowledge and culture. People from all over the world flocked in pursuit of knowledge. That is your motto. What a motto you have picked up. Nalanda, Taxila, people came from all over the world in search of knowledge, shared knowledge and wisdom.

We at the moment are at a very critical juncture, and I say so with some amount of nostalgia. I got into the seat of governance 35 years ago when I was elected to Parliament (Lok Sabha) and had the good fortune to be a Minister. I know the situation there. The mood of the nation. Our worrisome foreign exchange disturbed Jammu and Kashmir. I saw it all around, and our government didn’t last long, not because of me. And what I see now, 180 degree difference. The nation has an environment of hope and possibility. Our global image is very high.

Leadership of the Prime Minister is globally acknowledged. And we have traversed against heavy winds. Difficult terrain. From fragile five economies to the world’s largest five economies at the moment. Ahead of those who ruled us for centuries, the Great Britain. It is a matter of time. That we will be marching ahead of Japan and Germany also to be the third largest in about a year or so. Such a jump. When I was elected first in parliament I had no courage to dream. Then that was the time, young boys and girls, where a Member of Parliament felt really an authority because he or she could give 50 gas connections or 50 telephone connections in a year. Imagine where we have come. In the shortest possible time, 550 million people of the country benefited from banking inclusions. They never had that account.

Over 100 million households have toilets. Cooking gas in every house, electricity in every house, internet in every remote corner, health centres and education centres around, road connectivity, everything is happening. World class infrastructure we are seeing of global benchmark, and therefore, as I said this morning also, no nation in the world has grown as fast in the last 10 years as Bharat. This has created a challenge. A challenge of aspirational youth. They want more. They are entitled to more because they have tasted development. They see it on the ground. They know that per capita internet consumption of India is more than that of US and China taken together, that speaks of our access to technology and adaptability of technology.

When it comes to direct transfers, a service delivery driven by technology, our direct digital transactions are four times the combined transactions of USA, UK, France and Germany. We are a nation where global entities, International Monetary Fund, World Bank are appreciating us. I recall my days in 1990 as a minister.

Our gold had to be shipped in an aeroplane to be placed to two banks in Switzerland because our foreign exchange was around 1 billion US dollars. Now it is 700 times. And not a cause of concern, and therefore, the challenge is how do we meet aspirations of our young minds and my message to young minds. Seriously, look around, the opportunity basket which for you is getting larger and larger by the day. Come out of these silos and groove that are defined jobs only with the government or working in a corporate.

Startups, unicorns are doing wonders. Let me tell you, IITs and IIMs have given these unicorns. But about 50% are from other institutes. I know the potential this country has because I have been to ISRO. Seen for myself. I have seen emerging space economy, there I came to learn for the first time when our rocket had to be put in space. It was not from Indian soil, and now we put rockets of other countries, USA also, developed countries also, Singapore also, from our and make money. Good value for money. Chandrayaan, Gaganyaan – They are defining us.

I had the good occasion to have discussion with S. Somnathan, ISRO chairman, he was till recently, now V. Narayanan. Their fire, their zeal, their commitment, very different. In Bangalore, Govindan Rangarajan, Indian Institute of Science, and Dr. Clyde Shelby. I had the occasion to see personally what kind of innovations are being done for larger public welfare by scientific and industrial research. I say so because a country’s reputation, image, power is to be defined by research.

Research is the bedrock of economic supremacy and global distinction. There was a time when we did not bestow attention on research and we thought somebody will give it to us with a price. And that someone will decide how much to give, on what terms to give but now, we have changed that. Nations that lead in research have global respect in economy, in strategy. And countries depend on them. Just imagine how far we have gone when it comes to meteorological predictions. We are one of the best in the world. As Governor-General of West Bengal, and the state is prone to cyclones, super cyclones, there was no mortality on high seas. The prediction was very accurate. Scientific prowess defines strategic prowess. Conventional wars are gone.

And we have an ancient legacy of having been researchers, discoverers, giving to the world right from zero in arithmetic or mathematics. Aryabhatta, Brahmagupta laid foundations of global mathematics. Our scientific pantheon, Raman known by Raman effect, Bose, Sarabhai, Chandrasekhar, Shah, Bhatnagar, and our former president, they define India’s research mind, orientation. They exemplify commitment to research. And look at those days, we were in colonial shackles. Raman effect discovered against colonial scepticism.

It stands as a testament to our Indian scientific beliefs. Cutting edge research is demand of the times. And the research has to correlate to fulfil the needs of the society. A research that is to be put on the shelf, a research that is for the self, a research that embellishes the profile, a research that contributes only to credentials is not the research. A research that only scratches the surface is not the research. The research has to be authentic.

The research must create a wave. It must have positive, cascading impact on the lives of the people. Industries, business, trade and commerce are driven by research. At the moment, boys and girls, we are living in times we never imagined. You are facing those times as much as I am doing. We call them Artificial Intelligence, Internet of Things, Blockchain, Machine Learning and the kind. Blockchain for some may be Blockchain. Machine Learning may be Machine Learning only. But look at the power these technologies have.

And these technologies are known as disruptive technologies. But these technologies come with enormous challenges that can uproot us. But they come also with a basket of opportunities. And we must focus on unleashing opportunity out of these disruptive technologies. Our research has to come up to that mark. It is our good fortune that the government is alive to the situation.

And we as a nation, home to one sixth of humanity, are at the moment focussing on these technologies. Our quantum computing. There is a reflection by the director. About 6 lakh or 8 lakh jobs will be created out of investment of 6 lakh crores. Quantum computing, there is allocation of 6,000 crores and 18,000 crores for green hydrogen mission. These are the opportunities for you people. Space economy, blue economy. These are the opportunities for you.

And therefore research has to facilitate life of the ordinary person. To improve our industry, our administration. A nation of 1.4 billion and a rich human resource unrivalled in the world. If it is catalysed and activated by temperament of research, the results will be exponential, geometric and revolutionary. Because now Bharat is no longer a nation with a potential. Our rise is unstoppable for last few years.

It is incremental. And therefore, there has to be a greater commitment that research in the country is in the big league, in the Platinum category. And for that, the faculty has to brainstorm. We cannot have satisfying moments. As reflected by a Greek philosopher much before Socrates’ era, Heraclitus, Boys and Girls, now we are having change every moment. Paradigm shift.

We are virtually at an industrial revolution. Unknown to the humanity before. And if nations have to go ahead of others, we have to focus on research. There was a time in Silicon Valley otherwise we could hardly see an Indian. And there is now hardly a global corporate that doesn’t have an Indian man or woman at the peak. Our demographic dividend now requires universalist engineering, mathematics. And that is why, after more than three decades, a game-changing education policy was introduced. And that was to give you enough room so that you can go after your aptitude and distance from the package of just degrees.

I will take the occasion to appeal to corporates that they must come forward to drive the engines of research. Liberally contribute because ultimately they are the beneficiaries. Alongside the government they should be making liberal contributions beyond their CSR funds. If you look at the global corporates, how much they invest you will be surprised. We take pride in the last five years. We have increased our research fiscal commitment in the corporates to 50% above.

From 0.89% of their revenue to 1.32% of their revenue. I find it deficient. Investment has to be many times more. We take pride also because earlier things were not moving. Now things are moving. When things are moving, we notice a change. Patents have nearly more than doubled in the last ten years. But our patents must be in consonance with our demographic participation in the world. One-sixth we must have. Because we are one-sixth of humanity. And this one-sixth of humanity qualitatively is very different than one-sixth. And therefore, taking note of technology access and adaptability, we need to be in optimal performance mindset.

Imagine a country where 100 million farmers, three times a year, get direct banking transfers. Young boys and girls were not aware, there was a time when corruption was the password for opportunity, recruitment or business licence. Power corridors were leveraged by lies and agents. All this neutralised. And neutralised also through technological applications. Because middlemen have been shown the door. So when I look at your institute, Director, science, education and research, the triangle, this defines your role. Pursuit of knowledge. It starts with education. Because education as a transformative vehicle is very powerful. It brings about equality. Any one of you can have unicorn and be in the big league of industry. You don’t have to look to the situation. That yes, my father was in the industry, that’s true. We need to fight by technology. That’s the sin we are facing. So education. In education, science is important.

Because science unfolds your mind to generate creativity, innovation. And then the next step is research. A combination of these will unlock the enormous potential of Indian mind. Will make available avenues and vistas to our population. Every nation hopes to be self-reliant. But we as a nation are very large. Complex on occasions. When the nation is growing so fast, some of us, the number is very small. The traction is large. Put personal interest, commercial interest, political interest, above national interest. This can’t be allowed. This is unfair to boys and girls.

This is unfair to everyone, because if in our democracy there is someone as a class more serious, significant stakeholder in democracy and growth, than any one of us sitting here, is the youth of the country. Because as we march for Viksit Bharat after 2047, you are the driving force behind engines of growth. And therefore we have to give new dimension now. Make in India, start up India. And look at technology. It has to get into healthcare.

Technology has to get into education. Technology can catalyse that quality health and quality education is available to one and all. And if that happens, Bharat will be what it has been for centuries.Our lean period started in 12th century. Then marauders came, invaders came, recklessly destroyed our culture. They sacrileged our religious places to an extent that they put their own at the same place. Then came the Britishers who did not give us the education to rule ourselves. They gave us education and taught us history as suited to them. Now things have changed. We are much ahead of UK in economy. We have a bunch of institutions now all over the country. IITs, IIMs, Institutions like yours, and therefore we must have this ecosystem with ears and eyes on the ground. The litmus test is changing the life of the ordinary man. We all stand committed to that because that is our preamble.

We the people of India want these things. I conclude for time constraint. What Vivekananda said, “Arise, awake, stop not till the goal is achieved”. A motto which you must have. From my side I can give it to you. Have no tension, Have no stress, Never fear failure. Failure is natural. Sometimes you will be surprised, Oh he has succeeded, he should not have succeeded, take it in stride. System is transparent, there will be aberrations. Sometimes you will find, Oh! my own success is unjustified. These are situations natural to us, and then Dr. Kalam whose heart was always in education. I recollect when he met his maker. He was with the students in the North East, and what he said I quote,

“Dreams transform into thoughts, and thoughts result in action” and therefore my ultimate plea with you, If an idea occurs to you don’t allow your mind to be a parking ground for that idea because you fear you may fail. Get rid of it. Failure is a myth because there is no one who has not failed but they never took failure as failure. Chandrayaan 2 was failure for some who are critics, who are recipe for negativity. Chandrayaan II did not fail, It went that far, and Chandrayaan III did the rest. Let your innovations catalyse India’s scientific renaissance, and advance human progress because we are a country that believes in ‘Vasudhaiva Kutumbakam’ – One Earth, One Family, One Future, that was our motto to the entire world.

Once again, I am grateful to the Director for making available this opportunity to me at a very short notice. I understand that there has been some inconvenience, I would urge that you overlook it.
Thank you so much.

*****

JK/RC/SM

(Release ID: 2104169) Visitor Counter : 15

MIL OSI Asia Pacific News –

February 18, 2025
MIL-OSI Asia-Pac: Union Finance and Corporate Affairs Minister launches Mutual Credit Guarantee Scheme for MSMEs in Mumbai today

Source: Government of India

Union Finance and Corporate Affairs Minister launches Mutual Credit Guarantee Scheme for MSMEs in Mumbai today

Smt. Nirmala Sitharaman also inaugurates first ‘Sachal Aaykar Seva Kendra’ virtually

FM Smt. Nirmala Sitharaman addresses and interacts with stakeholders in a post-budget meeting in Mumbai

Increased capex, focus on reducing fiscal deficit and boosting consumption, saving and investment by the citizens: Union Finance Minister

Posted On: 17 FEB 2025 5:56PM by PIB Mumbai

: Mumbai, February 17, 2025

Union Finance and Corporate Affairs Minister Smt. Nirmala Sitharaman launched the Mutual Credit Guarantee Scheme for MSMEs (MCGS – MSME) for facilitating loans upto Rs. 100 crore to MSMEs for purchase of machinery or equipment without collateral, in pursuance of the Union Budget 2024-25 announcement, at the post-budget stakeholders’ interaction in Mumbai, today.

The Union Minister also virtually inaugurated the first ‘Sachal Aaykar Seva Kendra’ at Mumbai, to be operational in Navy Nagar Colaba from 18^th and 19^th February, 2025, and is designed to facilitate access to digital services, provide assistance for grievance redressal and to promote tax awareness.

At the same function, Smt. Sitharaman also handed over ceremonial keys to the home owners benefitted by the SWAMIH Investment Fund of SBI Ventures Ltd. Union MoS (Finance) Shri Pankaj Chaudhary, Secretary (Finance) Shri Tuhin Kanta Pandey, Secretary (DEA) Shri Ajay Seth, Secretary (Dept. of Expenditure) Dr. Manoj Govil, Secretary (Dept. of Financial Services) Shri M. Nagaraju, Secretary (DIPAM) Shri Arunish Chawla, CBDT Chairman Shri Ravi Agrawal and CBIC Chairman Shri Sanjay Kr. Agarwal were also present on the occasion.

In her keynote address, Smt. Sitharaman stated that Government continues its post-COVID capital and asset-building strategy, with increased allocations for capital expenditure to drive infrastructure development. The Finance Minister outlined the major takeaways from the Budget 2025-26, emphasizing economic growth, responsible fiscal management, and key structural reforms aimed at realising the vision of Viksit Bharat.

Increased Capital Expenditure

Government’s emphasis post Covid for public expenditure in asset building continues and hence, capex is 10.2 percent more in Budget 2025-26 than last budget (Vote-on-account 2024-25). The capex budget has been significantly increased and stands at around Rs. 16 lakh crore, stated the Finance Minister.

Boost to R& D and STEM

Highlighting the importance of research and development, the Finance Minister noted that significant steps have been taken to support R&D, especially in STEM fields, with private sector participation being encouraged. She also reaffirmed the Government’s commitment to ongoing reforms in manufacturing, Ease of Doing Business (EODB), and social infrastructure to strengthen economic foundations.

Focus on Fiscal Consolidation, Reduction of Fiscal Deficit

The Government remains steadfast in its commitment to fiscal consolidation, with a clear roadmap to bring the fiscal deficit below 4.5%. Borrowings are focused on capital asset creation, ensuring sustainable economic growth. She assured, “We are on track to bring the Debt-to-GDP ratio down to 50% by FY 2030-31. This reflects our disciplined approach towards financial stability without compromising on education, healthcare, or infrastructure investments.”

Boosting Consumption, Saving and Investment by the citizens

“This Budget focuses on boosting consumption while ensuring economic momentum. By providing tax concessions, we are enabling taxpayers to spend, save and invest, giving them the freedom to make financial decisions that best suit their needs.”

New I-T Act

The Income Tax Act, 1961, is set to be replaced by the new law which is currently under review by the Select Committee. With 60,000 inputs received, it is one of the most comprehensive tax reform exercises undertaken and reflects the spirit of Jan-bhagidaari. The new law will reduce complexity by consolidating provisions, reducing the number of sections from 800 to 500, and simplifying language for better interpretation. “FAQs The Finance Minister praised the CBDT for completing this monumental task within six months, stating, “This is a landmark effort towards simplification and transparency in taxation. Our aim is to make compliance easier and more efficient for every taxpayer.”

Opening up newer sectors for investments – Space, Energy, Nuclear Energy, Critical Minerals

Newer sectors such as space and nuclear energy have been opened up for investments, ensuring global competitiveness and technological advancement. Stressing the importance of energy security, she remarked, “With the rise in data centers and industrial expansion, our energy sector must scale accordingly”, stated the Finance Minister. The MSME Loan Guarantee scheme now extends to critical minerals, with the Government signing MoUs with multiple countries for import of important critical minerals. Additionally, full exemption of Customs Duties on 25 Critical Minerals have been announced in the union budget. This will benefit sectors like space, defence, telecommunications, high-tech electronics, nuclear energy and renewable energy, where these rare earth minerals are critical.

Education and Health

Education and health remain key priorities, with more universities being considered for student loan support to enhance accessibility to higher education. The insurance sector has been opened up with necessary safeguards, ensuring broader participation while maintaining financial security. Union Budget 2025 increased the sectoral cap of insurance sector to 100% from 74%.

PM Dhan Dhaanya Krishi Yojana for better agricultural productivity

Addressing food security, the Finance Minister highlighted the introduction of PM Dhan Dhaanya Krishi Yojana, which aims to improve agricultural productivity across 100 districts known for low agricultural output. This programme will help 1.7 crore farmers to enhance agricultural productivity, improve irrigation facilities and facilitate long-term and short-term credit “Strengthening food security in rural India is paramount, and this initiative will uplift our farmers and boost productivity where it is needed most,” she said.

The interaction with stakeholders was followed by a press conference, the proceedings of which may be accessed here.

Rabee/ Sriyanka /Dhanalaxmi/PM

Follow us on social media: @PIBMumbai /PIBMumbai /pibmumbai pibmumbai[at]gmail[dot]com

(Release ID: 2104140) Visitor Counter : 81

MIL OSI Asia Pacific News –

February 18, 2025

MIL-OSI Asia-Pac: TRAI releases ‘Recommendations on the Terms and Conditions of Network Authorisations to be Granted Under the Telecommunications Act, 2023’.

Source: Government of India

Ministry of Communications

TRAI releases ‘Recommendations on the Terms and Conditions of Network Authorisations to be Granted Under the Telecommunications Act, 2023’.

Posted On: 17 FEB 2025 6:20PM by PIB Delhi

The Telecom Regulatory Authority of India (TRAI) has today released ‘Recommendations on the Terms and Conditions of Network Authorisations to be Granted Under the Telecommunications Act, 2023’.

The Department of Telecommunications (DoT) through a letter dated 26.07.2024 informed TRAI that the Telecommunications Act, 2023 has been published in the Official Gazette of India in December 2023. Section 3(1)(b) of the Act provides for obtaining an authorisation by any person intending to establish, operate, maintain or expand telecommunication network, subject to such terms and conditions, including fees or charges, as may be prescribed. DoT, through the letter dated 26.07.2024, requested TRAI to provide its recommendations under Section 11(1)(a) of the TRAI Act, 1997 (as amended), on the terms and conditions, including fees or charges, for authorisation to establish, operate, maintain or expand telecommunication networks under section 3(1)(b) of the Telecommunications Act, 2024. Further, through its addendum letter dated 17.10.2024, DoT requested TRAI to consider an authorisation for satellite communication network under section 3(1)(b) of the Telecommunications Act, 2024.

In this regard, TRAI issued a consultation paper on ‘The Terms and Conditions of Network Authorisation to be Granted Under the Telecommunications Act, 2023′ on 22.10.2024 for seeking comments and counter comments from stakeholders on the issues raised in the consultation paper. The last dates for furnishing comments and counter comments were 12.11.2024 and 19.11.2024 respectively. However, on the request of a few stakeholders, the last dates for furnishing written comments and counter comments were extended to 19.11.2024 and 26.11.2024 respectively.

In response to the issues raised in the consultation paper, 32 stakeholders furnished their comments, and 11 stakeholders furnished their counter comments. As part of the consultation process, TRAI conducted an open house discussion (OHD) through virtual mode on 17.12.2024.

Based on the comments received from stakeholders in the consultation process and on its own analysis, TRAI has finalized Recommendations on the Terms and Conditions of Network Authorisation to be Granted Under the Telecommunications Act, 2023. These recommendations are aimed at fostering growth and enhancing ease of doing business in the telecom sector. Through these recommendations, the Authority has recommended a network authorisation framework, apart from detailed terms and conditions for various network authorisations to be granted under the Telecommunications Act, 2023. Salient points of these recommendations are as given below:

The Central Government should grant network authorisations under section 3(1)(b) of the Telecommunications Act, 2023 instead of entering into an agreement with the entity.
The detailed terms and conditions of each network authorisation should be prescribed through the rules notified under Section 3(1)(b) of the Telecommunications Act, 2023.
For any change(s) in the terms and conditions of the network authorisations emanating from these recommendations, except for the reason of the interest of the security of the State, the Central Government should seek TRAI’s recommendations.
The Rules under Section 3(1)(b) of the Telecommunications Act, 2023 should be organized in the manner given below:

Telecommunications (Grant of Network Authorisations) Rules; and
Separate rules for each network authorisation.

Each network authorisation to be granted by the Central Government under Section 3(1)(b) of the Telecommunications Act, 2023 should be in the form of an authorisation document, containing the essential elements of the network authorisation.
Infrastructure Provider (IP) Authorisation:

The Central Government should introduce Infrastructure Provider (IP) Authorisation under Section 3(1)(b) of the Telecommunications Act, 2023.
Any entity intending to establish, operate, maintain, or expand dark fibers, right of way, duct space and towers should obtain IP Authorisation from the Central Government.
Main scope of IP Authorisation: To provide dark fibres, right of way (RoW), duct space, towers, and in-building solution (IBS) to the entities authorised under Section 3(1)(a) of Telecommunications Act, 2023

Digital Connectivity Infrastructure Provider (DCIP) Authorisation:

The Central Government should introduce Digital Connectivity Infrastructure Provider (DCIP) Authorisation under Section 3(1)(b) of the Telecommunications Act, 2023.
Any entity intending to establish, operate, maintain, or expand wireline access network, radio access network (RAN), transmission links, and Wi-Fi systems should obtain DCIP Authorisation from the Central Government.
Main scope of DCIP Authorisation: DCIP authorised entities may provide wireline access network, radio access network (RAN), transmission links, Wi-Fi systems, and In-Building Solution (IBS) to the entities authorised under Section 3(1)(a) of the Telecommunications Act, 2023. DCIP authorised entities may also provide dark fibers, right of way (RoW), duct space, and towers to the entities authorised under Section 3(1)(a) of the Telecommunications Act, 2023.

In-Building Solution (IBS):

The property manager should be permitted to establish, operate, maintain, and expand in-building solution (IBS) within the limits of a single building, compound, or estate, managed by it. For this purpose, there should be no requirement of obtaining any authorisation from the Central Government under Section 3(1)(b) of the Telecommunications Act, 2023. Here, the term “property manager” means the person who is either the owner of the property or has any legal right to control or manage the property.

Content Delivery Networks (CDN):

The establishment, operation, maintenance, and expansion of Content Delivery Networks (CDNs) should be authorisation-exempt under Section 3(3) of the Telecommunications Act, 2023.

Internet Exchange Point (IXP) Authorisation:

The Central Government should introduce Internet Exchange Point (IXP) Authorisation under Section 3(1)(b) of the Telecommunications Act, 2023.
Any entity intending to establish, operate, maintain, or expand Internet Exchange Points (IXPs) in India should obtain IXP Authorisation from the Central Government.
Main scope of IXP Authorisation: To provide peering and exchange of internet traffic, originated and destined within India, amongst the entities authorised to provide internet service under the Telecommunications Act, 2023, and Content Delivery Network (CDN) providers located in India

Satellite Earth Station Gateway (SESG) Provider Authorisation:

The Central Government should introduce Satellite Earth Station Gateway (SESG) Provider Authorisation under Section 3(1)(b) of the Telecommunications Act, 2023.
Any entity intending to establish, operate, maintain, or expand satellite earth station gateway (SESG) in India should be required to obtain SESG Provider Authorisation from the Central Government.
Main scope of SESG Provider Authorisation: To provide its SESG infrastructure to the entities which are authorised under Section 3(1)(a) of the Telecommunications Act, 2023 and which are permitted to use satellite media under their scope of service

Ground Station as a Service (GSaaS):

The establishment, operation, maintenance, and expansion of the following categories of ground stations (as envisaged in the Norms, Guidelines and Procedures for Implementation of Indian Space Policy-2023 in respect of Authorization of Space Activities (NGP) issued by IN-SPACe in May 2024) should be authorisation-exempt in terms of Section 3(3) of the Telecommunications Act, 2023:

1. Satellite Control Centre (SCC)
2. Telemetry, Tracking and Command (TT&C)
3. Mission Control Centre (MCC)
4. Remote Sensing Data Reception Station
5. Ground Station for supporting operation of space-based services such as Space Situational Awareness (SSA), Astronomical, space science or navigation missions etc.
Cloud-hosted Telecom Network (CTN) Authorisation:
1. The Central Government should introduce Cloud-hosted Telecom Network (CTN) Provider Authorisation under Section 3(1)(b) of the Telecommunications Act, 2023.
2. Any entity intending to establish, operate, maintain, or expand cloud-hosted telecommunication network should obtain CTN Provider Authorisation from the Central Government.
3. Main scope of CTN Authorisation: To provide cloud-hosted telecommunication network-as-a-service (CTNaaS) to the eligible entities authorised under Section 3(1)(a) of the Telecommunications Act, 2023
Mobile Number Portability (MNP) Provider Authorisation:
1. The Central Government should introduce Mobile Number Portability (MNP) Provider Authorisation under Section 3(1)(b) of the Telecommunications Act, 2023.
2. Main scope of MNP Provider Authorisation: Establishment, operation, maintenance, and expansion of a telecommunication network for providing MNP to the entities authorised to provide Access Service under the Telecommunications Act, 2023; and provision of location routing number (LRN) update to all entities authorised to provide Access Service, NLD Service and ILD Service under the Telecommunications Act, 2023
3. The present policy regime of two MNP zones, each comprising of 11 authorised service areas (telecom circles/ Metro areas), and only one MNP Provider authorised entity in each MNP zone should be continued at present. However, in future, the Central Government may, if deemed fit, change the number of MNP zones in the country, amend the composition of authorised services areas within each MNP zone, and introduce more MNP Provider authorised entities in each MNP zone through a competitive bidding process.
TRAI has also recommended a comprehensive framework for permitting smooth migration of existing entities holding Infrastructure Provider Category-I (IP-I) Registration and Mobile Number Portability Service Provider (MNPSP) License to the new network authorisation regime under the Telecommunications Act, 2023 on voluntary basis.
Besides, TRAI, through the recommendations, has expressed the following views:
1. There is a need for introducing Captive Non-Public Network (CNPN) Provider Authorisation under Section 3(1)(b) of the Telecommunications Act, 2023 with the scope of establishing, maintaining, operating and expanding CNPN networks for enterprises. In case the Central Government accepts this recommendation, it may seek the recommendations of TRAI on the detailed terms and conditions for such an authorisation.
2. Prima facie, there is a need for introducing a cable landing station (CLS) Provider Authorisation with a broad scope of providing access facilitation to the essential facilities at cable landing station, and co-location to facilitate access to the cable landing station to the eligible service authorised entities. In case the Central Government deems it fit, it may send a reference to the Authority for exploring the need for CLS Provider Authorisation under Section 3(1)(b) of the Telecommunications Act, 2023 and the terms and conditions thereof.

The following fees have been recommended for various network authorisations:

Sl. No.	Network Authorisation	Application Processing Fee (in Rs.)	Entry Fee (in Rs.)	Bank Guarantee (in Rs.)	Authorisation Fee
	Infrastructure Provider (IP)	10,000	Nil	Nil	Nil
	Digital Connectivity Infrastructure Provider (DCIP)	10,000	10,00,000	Nil	Nil
	Internet Exchange Provider (IXP)	10,000	Nil	Nil	Nil
	Satellite Earth Station Gateway (SESG) Provider	10,000	10,00,000	Nil	Nil
	Cloud hosted Telecom Network (CTN) Provider	10,000	10,00,000	Nil	Nil
	Mobile Number Portability (MNP) Provider	10,000	50,00,000	40,00,000	1% of Adjusted Gross Revenue (AGR)

The recommendations have been placed on the TRAI’s website (www.trai.gov.in). For any clarification or information, Shri Akhilesh Kumar Trivedi, Advisor (Networks, Spectrum and Licensing), TRAI may be contacted at Telephone Number +91-11-20907758.

*********

SB/DP

(Release ID: 2104157)

MIL OSI Asia Pacific News –

February 18, 2025

MIL-OSI: FN1-2025 Kapitalforhøjelse – Udnyttelse af warrants

Source: GlobeNewswire (MIL-OSI)

NASDAQ FIRST NORTH GROWTH MARKET MEDDELELSE NR. 1/2025

København, den 17. februar 2025

FN1/2025 Kapitalforhøjelse – Udnyttelse af warrants

Bestyrelsen i FastPass har i dag besluttet at udnytte bemyndigelsen til konvertering af warrants til aktier i henhold til vedtægternes §7. Selskabets aktiekapital udvides med i alt 49257 aktier med pålydende værdi 5DKK og dermed forøgelse af aktiekapitalen med 246.285DKK.

Selskabets aktiekapital forøges dermed til 4.604.125 DKK fordelt på 920.825 aktier á 5 kr. per styk. Udvidelsen vil ske snarest muligt.

De som konsekvens heraf reviderede vedtægter er tilgængelige på hjemmesiden pr. 18/2-2025.

Yderligere oplysninger

FastPassCorp A/S, administrerende direktør Anders Meyer, am@fastpasscorp.com

Certified Adviser

Baker Tilly Corporate Finance P/S, Poul Bundgaards Vej 1, DK-2500 Valby, Tlf.: +45 33 45 10 00,

www.bakertilly.dk

The MIL Network –

February 18, 2025
MIL-OSI: Correction: Interim Management Statement Q1 2025

Source: GlobeNewswire (MIL-OSI)

Correction to the announcement made at 07:00 on 17/02/2025 (Interim Management Statement Q1 2025): The RNS was dated incorrectly. All other information was correct:

17 February 2025

HARGREAVE HALE AIM VCT PLC
(the “Company”)

Interim Management Statement

Q1 2025

Introduction

This interim management statement covers the first quarter of the 2024/25 financial year, 1 October 2024 to 31 December 2024. Investment performance measures contained in this report are calculated on a pence per share basis and include realised and unrealised gains and losses.

Overview

Once again, we have endured a difficult start to the financial year, albeit for very different reasons. The 2024 Autumn budget, preceded by some unhelpfully stark messaging, has weighed on economic activity. GDP, employment reports and PMI surveys all highlight a notable softening in the UK economy through the second half of (cal.) 2024.

Measures of UK consumer and business confidence dipped, suggesting that households and companies were becoming increasingly cautious. Although a very significant increase in public spending is expected to support economic activity pickup in 2025, there is clear evidence that The Office for Budget Responsibility forecast for GDP to increase from 1.1% in 2024 to 2.0% in 2025 is likely to be revised lower when next updated.

UK fiscal policy is seen as being negative to growth and positive for inflation. In the round, this adds up to fewer rate cuts in 2025. With higher inflation and lower growth undermining the case for lending to the UK Government, UK Gilt yields broke out to the upside and Sterling to the downside. The move higher in borrowing costs was exacerbated by higher yields in the US Treasuries market. The Government is on the back foot and will need to respond before the 2025 Autumn budget.

None of this has been helpful for investor interest in UK equities with outflows increasing again after a period of improving sentiment through the early Summer. This was particularly acute for AIM and, more broadly, the IA UK Small Cap sector.

Reflecting this, the FTSE AIM All-Share Index was noticeably weak ahead of and subsequent to the budget, with the index steadily declining for 7 months through to 31 December 2024. Within the period, the AIM All-Share index returned -2.32% in the three months to 31 December 2024, lagging the FTSE All Share Index (-0.35%). We continue to believe that many small companies trading on AIM offer exceptional value.

Performance

In the three months to 31 December 2024, the unaudited NAV per share decreased by 0.40 pence from 40.55 pence (cum-dividend) to 40.15 pence, giving a total return of -0.99%.

The qualifying investments fell by 0.09 pence per share whilst the non-qualifying investments made a loss of 0.25 pence per share. The adjusting balance was the net of running costs and investment income.

Qualifying Investments

Aquis Exchange (+93.1%, +£1.66m) received a takeover offer from its larger Swiss peer SIX Exchange at 727p. This was a 120% premium to the previous closing price, a 45% premium to the average share price over the prior 12 months and slightly above the 2021 share price high of 720p. This equates to an exit multiple of 4.7x for the VCT. The transaction was approved on 18 December 2024 and is expected to complete in Q2 2025.

PCI-PAL (+30.3%, +£1.09m) reported good FY24 results with revenues +20% to £18.0m and positive EBITDA of £0.9m. The company also reported strong SAAS metrics with ARR growing by 23%, Net Retention Rate at 102% and low churn. Following a £3.3m fundraise in March 2024, the balance sheet is strong with £4.3m cash. Positive news flow continued subsequently with a key contract renewal and in-line AGM trading update. Post period end, the company reported strong trading for the 6m to 31 December 2025 and re-iterated guidance for FY25.

Cohort (+15.0%, +£0.65m) announced strong interim results for the 6m to 31 October 2024 with revenues increasing by 25% and a record order book of £541m. The company confirmed it remains on track to achieve market forecasts for FY25. Separately, Cohort announced the £74m acquisition of Australian-based satellite communications company EM Solutions. The acquisition was partly funded through existing cash & debt facilities, combined with a £40m fundraise at 875p.

Following weak financial performance in FY24, Equipmake (-40.0%, -£0.93m) raised £3m in October 2024. The additional capital, when combined with cost action, has extended the company’s cash runway to March 2025. This was followed by the subsequent launch of a strategic review and a formal sale process.

Fadel (-42.9%, -£0.72m) saw customer implementation delays and an unsuccessful new business tender. Revenue forecasts for FY24 were reduced by 12% from $14.8m to $13m. The high drop through of revenues to profits meant that projected FY24 EBITDA losses increased from $2.3m to $4m. The company has adopted a more disciplined approach to cost that has yielded an improved outlook for losses and cash performance in 2025.

Team Internet (-27.7%, -£0.43m) shares fell sharply in Q4 2024 as the company announced that revenues at a recently acquired online marketing business Shinez would fall short of expectations. More recently the shares have begun to recover as the company announced it had received a preliminary takeover proposal.

Non-Qualifying Investments

The IFSL Marlborough UK Micro-Cap Growth Fund (+0.6%, +£0.06m) and IFSL Marlborough Special Situations Fund (-1.3%, -£0.13m) were broadly flat over the period. Within the non-qualifying portfolio, the weaker outlook for the UK economy following the Autumn budget impacted WH Smith, Wickes and Hollywood Bowl. Chemring also fell as earnings forecasts were impacted by rising national insurance costs and the curtailment of the company’s share buy-back in favour of preserving funds for organic investment.

Portfolio structure

The VCT is comfortably above the HMRC defined investment test and ended the period at 87.5% invested as measured by the HMRC investment test. By market value, the weighting to qualifying investments increased from 56.0% to 56.9%.

The market remains very subdued with just two VCT qualifying IPOs within the last 12 months. There were two new equity investments into companies listed on AIM and one CLN into an existing portfolio company listed on AIM. We remain hopeful that improving market conditions will help drive an increase in deal flow during 2025.

The new qualifying investments included a following on (CLN) investment into Rosslyn Data Technologies and new equity investments into Feedback and Ixico. There were no material disposals in the quarter. We sold two legacy tail investments (Gfinity and Surface Transforms) and trimmed our investment in Cohort following a period of strong share price performance.

There were no substantial changes to the allocation to the two IFSL Marlborough Funds, non-qualifying equities, fixed income, ETFs or cash which respectively represented 13.4%, 6.8%, 12.9%, 0.4% and 9.6% of net assets.

The HMRC investment tests are set out in Chapter 3 of Part 6 Income Tax Act 2007, which should be read in conjunction with this interim management statement. Funds raised by VCTs are first included in the investment tests from the start of the accounting period containing the third anniversary of the date on which the funds were raised. Therefore, the allocation of qualifying investments as defined by the legislation can be different to the portfolio weighting as measured by market value relative to the net assets of the VCT.

Share Buy Backs & Discount

3.9 million shares were acquired in the quarter at an average price of 38.27 pence per share. The share price decreased from 39.00p to 38.40p and on 31 December 2024 traded at a discount of 4.74% to the last published NAV per share (as at 27 December 2024, published on 31 December 2024).

Post Period End

The unaudited NAV per share increased from 40.15 pence to 40.22 pence (cum div) as at 7 February 2025, an increase of 0.17%. The FTSE AIM All-Share index increased by 0.09%.

END

For further information please contact:

Oliver Bedford, Canaccord Genuity Asset Management

Tel: 020 7523 4837

LEI: 213800LRYA19A69SIT31

The MIL Network –

February 18, 2025
MIL-OSI United Kingdom: Birmingham City Council Launches Initiative to Help Pension-Age Residents Claim Benefits

Source: City of Birmingham

Birmingham City Council is launching a targeted outreach campaign to support vulnerable pension-age residents aged 70-79, ensuring they receive the financial assistance they are entitled to.

Many older residents may be missing out on vital support, with Pension Credit not only increasing income to help with living and housing costs but also unlocking additional benefits such as the Winter Fuel Payment, Council Tax Reduction and free TV licences (for those over 75) and discounts on services like NHS dental costs and glasses. The Council aims to identify and contact eligible residents, raise awareness of available benefits, and provide direct support to help them access financial assistance.

The initiative will begin with outreach to 20 residents via letters and SMS, followed by an assessment of engagement levels. A second phase will expand the outreach to an additional 30 pensioners. The Council will also evaluate whether residents require in-person support, such as home visits or assistance with completing benefit applications.

Beyond financial support, this initiative will explore other needs of pension-age residents, ensuring they can access wider council services, community support, and technology assistance if required. A strengths-based approach will be used, empowering residents to make informed decisions about their entitlements.

Birmingham City Council urges all residents aged 70-79 who need support for Pension Credit or any other benefit support to get in touch. The outreach campaign is part of a wider commitment to reducing financial hardship and ensuring older residents can live with dignity and security.

Councillor Nicky Brennan, Cabinet Member for Social Justice, Community Safety and Equalities, said: “Too many older residents are missing out on vital financial support that could significantly improve their quality of life. This initiative is about making sure they receive the help they are entitled to, ensuring no one is left behind.

“By proactively reaching out, we are not only increasing awareness of Pension Credit but also identifying other support needs to help our pension-age citizens live with dignity and security. I encourage anyone who thinks they may be eligible to get in touch—this support is here for you.”

For more information or to check eligibility contact Birmingham City Council’s Contact Centre on 0121 216 3030 or visit the Council’s website.

Housing Benefit, Winter Fuel Payment, Council Tax Reduction, and a free TV licence if you are aged 75 or over.

MIL OSI United Kingdom –

February 18, 2025
MIL-OSI Asia-Pac: Light Public Housing to open for Phase 2 application from February 24 (with photos)

Source: Hong Kong Government special administrative region

The Housing Bureau (HB) today (February 17) announced that the Light Public Housing (LPH) will be open for the Phase 2 application from February 24. The Phase 2 application will cover four projects, including Olympic Avenue, Kai Tak (Phase 1); Tsing Fuk Lane, Tuen Mun (i.e. Tuen Mun Area 3A); Shun On Road, Kwun Tong (renovated from school premises), and Choi Yuen Road, Sheung Shui (renovated from school premises), which will provide a total of about 5 060 units for gradual intake anticipated from the fourth quarter of this year onwards.

Eligible applicants will receive the application forms by post on or before February 24 sent by the HB in batches. Application forms submitted between February 24 and March 17 will be handled with priority. Those who have submitted an application form during the Phase 1 application do not need to submit another application.

A spokesman for the HB said, “The LPH Phase 1 application has received an overwhelming response, with about 14 200 applications received as of mid-February. Under the leadership of the HB, the operating organisations responsible for the operation and management of the LPH projects at Yau Pok Road, Yuen Long and Choi Hing Road, Ngau Tau Kok have been taking forward the pre-management works, including publicity, conducting eligibility verification and preparing intake arrangements. We anticipate that the LPH project at Yau Pok Road will be the first to start intake by batches within March, and applicants who successfully pass the eligibility verification will gradually receive their offer letters.”

The spokesman added, “The Phase 2 LPH projects are located in various districts with different scales and merits. We believe that they can cater for the needs of different applicants. More importantly, the living environment, ancillary facilities and services of all LPH projects are far better than any inadequate housing, such as substandard sub-divided units. Additionally, the LPH projects offer a highly affordable rent, which is only about 90 per cent of that of traditional public rental housing (PRH) in the same district. There will also be a removal allowance on top of various services and supports offered to residents by the operating organisations.”

Details of the LPH Phase 2 application are as follows:

(1) Eligibility for priority application: General applicants who have been on the waiting list for traditional PRH for three years or more are eligible, with priority given to family applicants. Those meeting the eligibility criteria will receive by post the application forms sent by the HB in batches.

(2) Application period: Applicants who submit duly completed application forms between February 24 and March 17 will be handled with priority. From March 18 onwards, the HB will continue to accept applications.

(3) Submission methods: Interested applicants may submit their duly completed application forms by post to P.O. Box of the Dedicated Team on Light Public Housing of the Housing Bureau (P.O. Box 28222, Gloucester Road Post Office, Wan Chai, Hong Kong); or by depositing them into drop-in boxes during office hours (from 9am to 6pm, Mondays to Fridays, except Saturdays, Sundays and public holidays) at the following locations:

Light Public Housing Information Counter at Podium Level 2, Hong Kong Housing Authority Customer Service Centre, 3 Wang Tau Hom South Road, Kowloon
Office of the Dedicated Team on Light Public Housing at Room 801, 8/F, Revenue Tower, 5 Gloucester Road, Wan Chai, Hong Kong

In addition, if the applicant and all family members have registered for “iAM Smart+”, they may opt to complete, sign and submit the e-Form by scanning the exclusive QR code pre-printed on the application form.

The HB will process the application forms received as soon as possible and make arrangements for the allocation. To give priority to those families in need to move into LPH, if the applicants are currently living in inadequate housing; having special medical conditions; or having minor children, newborn babies, elderly persons, etc, in the family, they will be given a higher priority for LPH allocation.

Information of the projects in the Phase 2 application is as follows:

(1) Olympic Avenue, Kai Tak (Phase 1): Providing about 2 970 units (including units for one to two persons, three to four persons and four to five persons), adjacent to Kai Tak MTR Station, and with a number of franchised bus and minibus routes in the vicinity travelling to/from various places in Hong Kong, Kowloon and the New Territories. The estimated monthly rent ranges from about $1,310 to $2,990 (Note 1).

(2) Tsing Fuk Lane, Tuen Mun (i.e. Tuen Mun Area 3A): Providing about 1 850 units (including units for one to two persons, three to four persons and four to five persons), adjacent to the Light Rail Ching Chung Stop, with a number of franchised bus, MTR bus and minibus routes in the vicinity to/from various places in Hong Kong, Kowloon and the New Territories. The estimated monthly rent ranges from about $860 to $1,990 (Note 1).

(3) Shun On Road, Kwun Tong (renovated from school premises) (Note 2): Providing about 130 units (including units for one to two persons, three to four persons and four to five persons), about a five-minute walk to the Shun Tin Bus Terminus, which provides a number of franchised bus and minibus routes to/from Choi Hung MTR Station and various places in Hong Kong and Kowloon. The estimated monthly rent ranges from about $1,360 to $3,270 (Note 1).

(4) Choi Yuen Road, Sheung Shui (renovated from school premises) (Note 2): Providing about 110 units (including units for one to two persons, three to four persons and four to five persons), adjacent to Sheung Shui MTR Station, about a 10 to 12-minute walk to different bus/minibus terminuses and San Wan Road Sheung Shui Bus-Bus Interchange, which provide a number of franchised bus and minibus routes to/from Fanling and various places in Hong Kong and Kowloon. The estimated monthly rent ranges from about $1,020 to $2,320 (Note 1).

For more information about the LPH Phase 2 application, please refer to the enclosed LPH Promotional Pamphlet, or browse the LPH website of the HB (www.hb.gov.hk/eng/lph). For enquiries, please call 3464 0700, or send email to lphapp@hb.gov.hk.

Note 1: Rents vary depending on the unit size and the district. The rental level is set at around 90 per cent of the rent of newly completed traditional PRH in the same district. Having regard to the biennial rent review of the traditional PRH, the rent of LPH will be adjusted accordingly.

Note 2: For the LPH converted from school premises, the internal floor area of some of the units may vary due to limitations posed by the existing structural partitioning.

MIL OSI Asia Pacific News –

February 18, 2025
MIL-OSI Asia-Pac: LegCo to consider Road Tunnels (Government) (Amendment) Bill 2024

Source: Hong Kong Government special administrative region

LegCo to consider Road Tunnels (Government) (Amendment) Bill 2024
LegCo to consider Road Tunnels (Government) (Amendment) Bill 2024
*****************************************************************

The following is issued on behalf of the Legislative Council Secretariat: The Legislative Council (LegCo) will hold a meeting on Wednesday (February 19) at 11am in the Chamber of the LegCo Complex. During the meeting, the Second Reading debate on the Road Tunnels (Government) (Amendment) Bill 2024 will resume. If the Bill is supported by Members and receives its Second Reading, it will stand committed to the committee of the whole Council. After the committee of the whole Council has completed consideration of the Bill and its report is adopted by the Council, the Bill will be set down for the Third Reading. The Second Reading debate on the Inland Revenue (Amendment) (Tax Deductions for Assisted Reproductive Service Expenses) Bill 2024 will also resume. If the Bill is supported by Members and receives its Second Reading, it will stand committed to the committee of the whole Council. After the committee of the whole Council has completed consideration of the Bill and its report is adopted by the Council, the Bill will be set down for the Third Reading. In addition, The Chinese Medicine Hospital of Hong Kong Bill will be introduced into the Council for the First Reading and the Second Reading. The Second Reading debate on the Bill will be adjourned. On Members’ motions, Mr Stanley Ng will move a motion on protecting the mental health of employees. The motion is set out in Appendix 1. Mr Kwok Wai-keung will move separate amendment to Mr Ng’s motion. Mr Edward Leung will move a motion on comprehensively regulating unsolicited calls. The motion is set out in Appendix 2. Dr Johnny Ng and Mr Shiu Ka-fai will move separate amendments to Mr Leung’s motion. During the meeting, the Chairman of the Public Accounts Committee, Mr Shiu Ka-fai, will present the “Report of the Public Accounts Committee on Report No. 83 of the Director of Audit on the Results of Value for Money Audits” and address the Council. Members will also ask the Government 22 questions on various policy areas, six of which require oral replies. The agenda of the above meeting can be obtained via the LegCo Website (www.legco.gov.hk). Members of the public can watch or listen to the meeting via the “Webcast” system on the LegCo Website. To observe the proceedings of the meeting at the LegCo Complex, members of the public may call 3919 3399 during office hours to reserve seats.

Ends/Monday, February 17, 2025Issued at HKT 18:57

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MIL OSI Asia Pacific News –

February 18, 2025
MIL-OSI Asia-Pac: A Son of the Farmer Will Always Commit Himself to Truth, Says Vice-President

Source: Government of India

A Son of the Farmer Will Always Commit Himself to Truth, Says Vice-President

Marauders and Invaders Came, Recklessly Destroying Our Institutions, but We’re Springing Back, Says VP

Research That Is To Be Kept On the Shelf Is Not the Research the Nation Needs; Research Can’t Be Abstract Academics, says VP

No Short-Change For the Farm Sector, No Short-Change For the Farmer, That Has To Be Our Motto, Says VP

The Path to a Developed India Passes through Its Villages, Says VP

The Century Belongs To Bharat. This Is Being Doubted by Some in Our Country, Stresses VP

Startups Must Trickle To Villages, Says VP

Posted On: 17 FEB 2025 2:46PM by PIB Delhi

VP Inaugurates Advanced Entrepreneurship and Skill Development Programme (A-ESDP) Campus at National Agri-Food and Biomanufacturing Institute (NABI)

The Vice-President of India, Shri Jagdeep Dhankhar today said, “I am the son of a farmer. A son of the farmer will always commit himself to truth……He further added, “India’s soul resides in its villages, with the rural system serving as the backbone of the nation. The path to a developed India passes through its villages. A developed India is no longer just a dream; it is our goal,” emphasising his deep-rooted connection to agriculture.

There was time in ancient India when a village was self-sufficient. Now, the cooperatives are embedded in the Constitution as an institution.

There must be evolution of a mechanism in a village or in a cluster of villages where we have micro industries at the farm that add value… pic.twitter.com/6JyvY1WG2Y

— Vice-President of India (@VPIndia) February 17, 2025

Addressing the gathering at the inauguration of Advanced Entrepreneurship And Skill Development Programme (A-ESDP) Campus at National Agri-Food and Biomanufacturing Institute (NABI), Mohali, Shri Dhankhar further said, “If we look into our historical past, India was known to be a land of knowledge and wisdom, particularly in science, astronomy and what not. Every aspect of human life finds reflection in our Vedas, Upanishads, Puranas. And we are a nation that takes pride in having ancient institutions like Nalanda, Takshashila and the kind. Something happened around 11th or 12th century, and there was a digression. Marauders came, invaders came, and they were reckless in destroying our institutions, Nalanda being one of them. Our cultural centres, going to the extent of being so retributive, perversion of a very different kind over our religious centres they built their own. The nation faced it. Then came the British rule. Systematically, we got laws that were meant to subserve them. We got education that destroyed ours and created not an ecosystem of full exploitation of our talent. The best part is, we are springing back,” he noted.

Speaking on the significance of research, the Vice-President laid out a clear vision: “All institutions in the country will have to pass the litmus test. And the litmus test is—what impact is being created? In a positive sense, it should be like an earthquake, with the impact being felt. A research for the sake of research, a research that is for the self, a research that is to be kept on the shelf, the research that comes out as a personal embellishment is not the research which the nation needs. Research is not giving a paper by scratching the surface. Research is not to impress the one who is ignorant of the subject. Research is to impress those who know the subject as much as you know or more than you know at a global benchmark. And that research can’t be just abstract academics. The research has to have impact on what we are doing. And I’m sure this is an area where you have enough scope.” he noted.

Technology transfer to the farm is essential.

A farmer is by and large clinging to his tractor. He wants to use the tractor for as long as it can last, ignorant that the technology of the tractor is undergoing big changes- it is becoming environment friendly, fuel-efficient,… pic.twitter.com/cS0hp0IhQ7

— Vice-President of India (@VPIndia) February 17, 2025

Reiterating India’s civilizational strength, he stated, “The century belongs to Bharat. This is being doubted by no one except some in our country. My appeal to them, as an Indian, as a Bhartiya: our commitment to our nation, belief in the principle of the nation being first, and subscribing to the ideology that no interest—personal, political, or otherwise—is higher than national interest.”

Shri Dhankhar highlighted, “I see farm produce is sold when it is not farmers market, it is buyers market. The government provides facilities to hold on to the stock by massive warehousing and cooperative movement. I can tell you the farm policies of the government are so helping the farmer. The farmer has to know about it. You can play a great role. Because we cannot allow that our farmers get anything but the very best. No short change for the farm sector. No short change for the farmer. That has to be our motto. Institutes like yours must have live connect with Krishi Vigyan Kendras, with Institutes of Indian Council of Agriculture Research, he stated.

Shri Dhankhar called for the revitalization of rural economies through micro-industries that add value to agricultural and dairy products. “There must be evolution of a mechanism in a village or in a cluster of villages where you have micro industries at the farm that add value to the agro produce, that add value to the livestock produced, milk produced. This will help evolve a sustainable society and the nutritional food value will certainly go up. What stops us from having entrepreneurial skills to produce ice creams, paneer, sweets, and the like in village clusters? This is very important because it will generate employment and satisfy rural youth.”

He further emphasized that technology must be integrated into farming practices to improve efficiency and productivity saying, “Startups are there in Tier-2 and Tier-3 cities. They have to trickle to villages now because agriculture produce is lifeline of economy, raw material for industry. And when this takes place, close to the farmland in the rural firmament, evolving as a cluster, economy will take a jump, and people will believe in the farmland.

All institutions in the country will have to pass the litmus test, which is this: is there some impact of your activities?

In a positive sense, it should be like an earthquake: its impact should be felt.

Research for the sake of it, research that is for the self, to be kept on… pic.twitter.com/SJk7yGTW59

— Vice-President of India (@VPIndia) February 17, 2025

Shri Dhankhar urged farmers to stay informed about advancements in technology and its potential benefits. “A farmer is by and large clinging to his tractor. He wants to use the tractor for as long as it can last, ignorant of the fact that new technology is becoming environment-friendly, fuel-efficient, multifunctional, and highly subsidized. There has to be an awareness campaign,” he emphasized.

He encouraged collective efforts, stating, “Form small groups, market your product at a price of your choice. You don’t need anybody’s help. You only have to know your inner strength to change your economy to a very high level.”

Shri Priyank Bharti, IAS, Administrative Secretary, Technology & Environment, Govt. of Punjab, Prof. Ashwani Pareek, Executive Director, BRIC-NABI, Ms. Ekta Vishnoi, IRS, Joint Secretary, Ministry of Science and Technology, Govt. of India and other dignitaries were also present on the occasion.

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JK/RC/SM

(Release ID: 2104057) Visitor Counter : 25

MIL OSI Asia Pacific News –

February 18, 2025
MIL-OSI Asia-Pac: Pilot project “National Geospatial Knowledge-based Land Survey of Urban Habitations” (NAKSHA) will come up in 152 Urban Local Bodies (ULBs) across 26 States and 3 Union Territories (UTs) in India

Source: Government of India (2)

Pilot project “National Geospatial Knowledge-based Land Survey of Urban Habitations” (NAKSHA) will come up in 152 Urban Local Bodies (ULBs) across 26 States and 3 Union Territories (UTs) in India

Union Minister Shri Shivraj Singh Chouhan to launch the National Geospatial Knowledge-based Land Survey of Urban Habitations at Raisen, Madhya Pradesh tomorrow

Posted On: 17 FEB 2025 1:07PM by PIB Delhi

Union Minister of Rural Development and Agriculture & Farmers’ Welfare Shri Shivraj Singh Chouhan will inaugurate the National Geospatial Knowledge-based Land Survey of Urban Habitations (NAKSHA) in 152 Urban Local Bodies (ULBs) across 26 States and 3 Union Territories (UTs) at Raisen, Madhya Pradesh tomorrow. The Department of Land Resources, Ministry of Rural Development, Government of India, has initiated this pilot program. Union Minister of State for Rural Development & Communications, Dr. Chandra Sekhar Pemmasani, Chief Minister of Madhya Pradesh, Dr Mohan Yadav, Revenue Minister, Madhya Pradesh, Shri Karan Singh Verma, Minister for Panchayati Raj and Rural Development, Shri Prahlad Singh Patel, Shri Narayan Singh Pawar, State Minister (Independent Charge) for Fisheries and Fishermen welfare and Minister In-charge, District Raisen, Madhya Pradesh, MLA, Sanchi, Shri Prabhu Ram Chaudhary, Secretary, Department of Land Resources, Government of India, Shri Manoj Joshi and other officers from Government of India and Madhya Pradesh State Government will present in the occasion.

The occasion will be marked by flying of drones, launch of Standard Operating Procedure (SoP) booklet, Video and flyer on NAKSHA Programme, flagging of WDC Yatra, screening of WDC video and playing of Watershed Anthem.

The NAKSHA program aims to create and update land records in urban areas to ensure accurate and reliable documentation of land ownership. This initiative will empower citizens, improve ease of living, enhance urban planning, and reduce land-related disputes. The IT-based system for property record administration will foster transparency, efficiency and support sustainable development.

The Survey of India is the technical partner for NAKSHA programme which is responsible for conducting aerial surveys and providing orthorectified imagery, through third party vendors, to state and Union Territory governments. The end-to-end web-GIS platform will be developed by the Madhya Pradesh State Electronic Development Corporation (MPSEDC) and storage facilities will be provided by the National Informatics Centre Services Inc. (NICSI). States and Union Territory governments are scheduled to conduct field surveys and ground truthing using the orthorectified imagery, ultimately leading to the final publication of urban and semi-urban land records.

The NAKSHA pilot program is expected to cost approximately ₹194 crore, fully funded by the Government of India.

*****

MG/RN

(Release ID: 2104028) Visitor Counter : 110

Read this release in: Hindi

MIL OSI Asia Pacific News –

February 18, 2025
MIL-OSI Asia-Pac: President Lai meets former United States Deputy National Security Advisor Matthew Pottinger

Source: Republic of China Taiwan

Details
2025-02-11
President Lai meets Deputy Prime Minister Thulisile Dladla of the Kingdom of Eswatini
On the afternoon of February 11, President Lai Ching-te met with a delegation led by Deputy Prime Minister Thulisile Dladla of the Kingdom of Eswatini. In remarks, President Lai thanked Eswatini for continuing to support Taiwan’s international participation at international venues. The president stated that Taiwan and Eswatini work closely in such areas as agriculture, the economy and trade, education, and healthcare, and expressed hope that the two countries will continue to support each other on the international stage and strive together for the well-being of both peoples. A translation of President Lai’s remarks follows: I warmly welcome our distinguished guests to the Presidential Office. Deputy Prime Minister Dladla previously visited Taiwan while serving as minister of foreign affairs. This is her first time leading a delegation here as deputy prime minister. I want to extend my sincerest welcome. Deputy Prime Minister Dladla has earned a high degree of recognition and trust from His Majesty King Mswati III. She was not only Eswatini’s first woman foreign minister, but is also the second woman to have held her current key position. She shows an active interest in people’s welfare, and has a reputation for being deeply devoted to her compatriots. I have great admiration for this. I am truly delighted to meet with Deputy Prime Minister Dladla today. I would like to take this opportunity to once again express my gratitude to His Majesty the King for leading a delegation to attend the inauguration ceremony for myself and Vice President Bi-khim Hsiao last year. This demonstrated the close diplomatic ties between our countries. I also want to thank Eswatini for continuing to support Taiwan’s international participation at international venues. I would ask that when Deputy Prime Minister Dladla returns to Eswatini, she conveys Taiwan’s greetings and gratitude to His Majesty the King and Her Majesty the Queen Mother Ntombi Tfwala. Diplomatic ties between Taiwan and Eswatini have endured for over half a century. Our two nations have continued to work closely in such areas as agriculture, the economy and trade, education, and healthcare. Our largest collaboration to date has been assisting Eswatini in the construction of a strategic oil reserve facility. We will continue to push forward with this project, and look forward to achieving even greater results in all areas. I understand that Deputy Prime Minister Dladla is very concerned about issues regarding gender equality and women’s empowerment. During her term as foreign minister, she facilitated bilateral cooperation in those areas. Now, as deputy prime minister, she is actively attending to the disadvantaged and advancing social welfare. These policies are very much in line with the priorities of my administration. I look forward to strengthening cooperation with Deputy Prime Minister Dladla for the benefit of both our societies. Taiwan and Eswatini are peace-loving nations. Faced with a constantly changing international landscape and the growing threat posed by authoritarianism, we hope that our two countries will continue to support each other on the international stage and strive together for the well-being of both our peoples. In closing, I wish Deputy Prime Minister Dladla and our distinguished guests a pleasant and successful visit. Deputy Prime Minister Dladla then delivered remarks, first greeting President Lai on behalf of the King, the Queen Mother, and the people of Eswatini, and extending gratitude for the warm reception afforded to her and her delegation, which underscores the strong bonds of friendship between our two nations. The deputy prime minister stated that, in reflecting on the fruits of our partnership, the evidence of Taiwan’s commitment to Eswatini is all around us. The strategic oil reserve project launching in April, she indicated, will redefine Eswatini’s energy security, and the Central Bank complex and electrification project stand as monuments of Taiwan’s vision for Eswatini’s progress and indicate that our partnerships are very strong. Deputy Prime Minister Dladla pointed out that education is the foundation of any nation’s progress, and that Taiwan’s contribution to Eswatini’s education sector cannot be overstated. Through Ministry of Foreign Affairs scholarship programs, she said, Eswatini has sent numerous students to Taiwan, where they’ve received world-class education in various disciplines, including engineering, business, and medicine. In turn, she said, these graduates are now contributing to the development of Eswatini. The deputy prime minister stated that Taiwan has also strengthened Eswatini’s industrial and technological sectors, with collaborations and partnerships that create new opportunities for employment and innovation, and that Taiwan’s technical and medical assistance has strengthened Eswatini’s healthcare systems and uplifted the expertise of its professionals. Deputy Prime Minister Dladla also congratulated President Lai once again on his presidency, which she stated will lead Taiwan to new heights, adding that His Majesty coming to Taiwan personally for the inauguration was a resounding declaration of Eswatini’s enduring support for Taiwan’s sovereignty, stability, and rightful place on the world stage. She emphasized that Eswatini stands with Taiwan always and unwaveringly. In conclusion, the deputy prime minister stated that Eswatini fully agrees with Taiwan that we must all safeguard our national sovereignty and protect the lives and property of our people. She said that our common enemy will always be poverty and natural disasters, but against all odds, we will stand united, and we shall remain united and be one. The delegation was accompanied to the Presidential Office by Eswatini Ambassador Promise Sithembiso Msibi.

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2025-02-11
Presidential Office thanks US and Japan for joint leaders’ statement
On February 7 (US EST), President Donald Trump of the United States and Prime Minister Ishiba Shigeru of Japan issued a joint leaders’ statement reiterating “the importance of maintaining peace and stability across the Taiwan Strait as an indispensable element of security and prosperity for the international community.” In the statement, the two leaders also “encouraged the peaceful resolution of cross-strait issues, and opposed any attempts to unilaterally change the status quo by force or coercion” and “expressed support for Taiwan’s meaningful participation in international organizations.” Presidential Office Spokesperson Karen Kuo (郭雅慧) on February 8 expressed sincere gratitude on behalf of the Presidential Office to the leaders of both countries for taking concrete action to demonstrate their firm support for peace and stability across the Taiwan Strait and for Taiwan’s international participation. Spokesperson Kuo pointed out that there is already a strong international consensus on the importance of peace and stability in the Indo-Pacific region. The spokesperson emphasized that Taiwan, as a responsible member of the international community, is capable and willing to work together with the international community and will continue strengthening its self-defense capabilities as it deepens its trilateral security partnership with the US and Japan and works alongside like-minded countries to uphold the rules-based international order. The spokesperson said that Taiwan will work toward ensuring a free and open Taiwan Strait and Indo-Pacific region, as well as global peace, stability, and prosperity, as it continues to act as a force for good in the world.

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2025-02-11
President Lai’s response to Pope Francis’s 2025 World Day of Peace message
President Lai Ching-te recently sent a letter to Pope Francis of the Catholic Church in response to his message marking the 58th World Day of Peace. The following is the full text of the president’s letter to the pope: Your Holiness, In your message for the 2025 World Day of Peace entitled Forgive us our trespasses: grant us your peace, you called for a cultural change that would bring an end to the governance of interpersonal and international relations by a logic of exploitation and oppression and herald true and lasting peace. I wholeheartedly admire and identify with your point of view. Since transitioning from a medical career to politics, I have remained true to my original intentions in the sense that, while a doctor can help only one person at a time, a public servant can simultaneously assist many people in resolving the difficulties affecting their lives. In my inaugural address in May 2024, I pledged that every day of my term, I would strive to act justly, show mercy, and be humble, which accord with the teachings of the Bible. I promised to treat the Taiwanese people as family and prove myself worthy of their trust and expectations. With an unwavering heart, I have accepted the people’s trust and taken on the solemn responsibility of leading the nation forward and building a democratic, peaceful, and prosperous new Taiwan. In this new year, the changing international landscape continues to present many grave challenges to democratic nations around the world. As the Russia-Ukraine war persists, the steady convergence of authoritarian regimes, including China, Russia, North Korea, and Iran, threatens the rules-based international order and severely impacts peace and stability in the Indo-Pacific and the world at large. Your Holiness has stated that war is a defeat for everyone. I, too, firmly believe that peace is priceless and that war has no winners. A high level of consensus has formed in the international community on upholding peace and stability across the Taiwan Strait. The Taiwanese people also maintain an unyielding commitment to safeguarding a way of life that encompasses freedom, equality, democracy, and human rights. Taiwan will continue to spare no effort in preserving regional peace and stability and serving as a pilot for global peace. In your World Day of Peace message, you urged prosperous countries to assist poorer ones. This compassion is truly touching. Taiwan is proactively implementing values-based diplomacy and, under the Diplomatic Allies Prosperity Project, enhancing allies’ development through a range of initiatives. Over many years, Taiwan has accumulated abundant and unique experience of providing foreign assistance. Seeking to foster self-reliance among disadvantaged countries, we have extended genuine support to help alleviate poverty through such avenues as strengthening basic infrastructure, transferring technology, and cultivating talent. In your message, you reminded countries worldwide that assistance should not be merely an isolated act of charity and pointed to the need to devise a new global financial framework so that food crises, climate change, and other challenges could be jointly addressed. I hold this view in high regard. I therefore earnestly hope that international organizations will stop excluding Taiwan for political reasons. Taiwan is willing to shoulder its international responsibilities so that it can contribute and share its valuable experience through many global platforms. On behalf of the government and people of the Republic of China (Taiwan), I again express our interest in collaborating with the Holy See to advance world peace through concrete action. We also aspire to demonstrate Taiwanese values and the Taiwanese spirit and work together with the Holy See to uphold the core values of justice, democracy, freedom, and peace. Please accept, Your Holiness, the renewed assurances of my highest consideration, as well as my best wishes for your good health and the continued growth of the Catholic Church.

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2025-02-11
President Lai meets former US Vice President Mike Pence
On the afternoon of January 17, President Lai Ching-te met with former Vice President of the United States Mike Pence. In remarks, President Lai thanked former Vice President Pence for his contributions to the deepening of Taiwan-US relations, noting that he actively helped to strengthen Taiwan-US cooperation and facilitate the normalization of military sales to Taiwan, and did his utmost to deepen the Taiwan-US economic partnership. The president indicated that former Vice President Pence also spoke up for Taiwan on numerous occasions at international venues, backing Taiwan’s international participation. President Lai expressed hope for a stronger Taiwan-US partnership to maintain peace and stability throughout the world, and that the two sides can advance bilateral exchanges in such areas as the economy, trade, and industry. A translation of President Lai’s remarks follows: I am delighted to welcome former Vice President Pence and Mrs. Karen Pence to the Presidential Office. Former Vice President Pence is not only an outstanding political leader in the US, but also a staunch supporter of Taiwan on the international stage. On behalf of the people of Taiwan, I would like to take this opportunity to extend our deepest gratitude to former Vice President Pence for his contributions to the deepening of Taiwan-US relations. Thanks to former Vice President Pence’s strong backing, ties between Taiwan and the US rose to unprecedented heights during President Donald Trump’s first administration. Former Vice President Pence actively helped to strengthen Taiwan-US security cooperation and facilitate the normalization of military sales to Taiwan, helping Taiwan reinforce its self-defense capabilities. He also did his utmost to deepen the Taiwan-US economic partnership. Former Vice President Pence also paid close attention to the military threats and diplomatic isolation faced by Taiwan. He spoke up for Taiwan on numerous occasions at international venues, taking concrete action to back Taiwan’s international participation. We were truly grateful for this. As we speak, China’s political and military intimidation against Taiwan persist. China and other authoritarian regimes, such as Russia, North Korea, and Iran, are continuing to converge and present serious challenges to democracies around the globe. At this moment, free and democratic nations must come together to bolster cooperation. I believe that a stronger Taiwan-US partnership can be an even more powerful force in maintaining peace and stability throughout the world. Former Vice President Pence has previously supported the signing of a trade agreement between Taiwan and the US. Taiwan looks forward to continuing to work with the new US administration and Congress to advance bilateral exchanges in such areas as the economy, trade, and industry. This is the first time that former Vice President Pence and Mrs. Pence are visiting Taiwan, and their visit is significantly meaningful for Taiwan-US exchanges. On behalf of the people of Taiwan, I want to extend a warm welcome. Moving forward, I hope we will jointly realize even more fruitful achievements through Taiwan-US cooperation. Former Vice President Pence then delivered remarks, thanking President Lai for his hospitality on his and his wife’s first visit to Taiwan, saying that it is an honor to be here to reaffirm the bonds of friendship between the people of America and the people of Taiwan, which are strong and longstanding. The former vice president indicated that the American people admire the people of Taiwan and all that has been accomplished in a few short decades for Taiwan to rise to one of the world’s preeminent economic powers and free societies. He said that he is grateful for President Lai’s courageous and bold leadership of Taiwan, and grateful to be able to express the support of the overwhelming majority of the American people for this alliance. Former Vice President Pence indicated that the values shared by Taiwan and the US, including freedom, the rule of law, and respect for human rights, bind us together in a partnership that transcends geographic boundaries and cultures. He then assured President Lai that China’s increasingly aggressive posture in the Taiwan Strait and across the Indo-Pacific, for the values and interests that both sides share, is deeply concerning to the American people. Former Vice President Pence stated that America is a Pacific nation, and is committed to the status quo, adding that they recognize it is China that wants to change the status quo that America, Taiwan, and other allies in the region want to preserve, which has created an environment of extraordinary growth and prosperity. The former vice president concluded by once again thanking President Lai and his team for their gracious hospitality and conveying best wishes to him and the people of Taiwan. Former Vice President Pence then assured President Lai that just as Taiwan will never surrender its freedom, he will continue to be a voice for a strong US-Taiwan relationship in the defense and the benefit of Taiwan, the US, and the free world. Later that day, Vice President Bi-khim Hsiao hosted a banquet for former Vice President Pence and his delegation at Taipei Guest House to thank him for his longstanding friendship and staunch support for Taiwan-US ties.

Details
2025-02-11
President Lai meets delegation to 60th Inaugural Ceremonies of US president and vice president
On the morning of January 16, President Lai Ching-te met with Taiwan’s delegation to the 60th Inaugural Ceremonies of the President and Vice President of the United States. In remarks, President Lai stated that democratic Taiwan stands united, working hard to deepen Taiwan-US ties together. He then entrusted the delegation with three missions: to convey best wishes from the people of Taiwan, convey our firm commitment to democracy, and help Taiwan-US relations reach a new milestone. A translation of President Lai’s remarks follows: The 60th Inaugural Ceremonies of the President and Vice President of the US will be held on January 20. I want to thank Speaker Han Kuo-yu (韓國瑜), president of the Legislative Yuan, for accepting my invitation to lead our nation’s representative delegation to the event. I also thank Legislative Yuan Members Ko Chih-en (柯志恩), Wang Ting-yu (王定宇), Ko Ju-chun (葛如鈞), Lee Yen-hsiu (李彥秀), Chen Kuan-ting (陳冠廷), Kuo Yu-ching (郭昱晴), and Chen Gau-tzu (陳昭姿) for joining this visit to the US to attend the inauguration of President Donald Trump and Vice President J.D. Vance. We have gathered together today despite differences in party affiliation because in democratic Taiwan, while parties may compete domestically, when it comes to engagement externally, they stand united and share responsibility, working hard to deepen Taiwan-US ties and strive for the best interests of the nation. We share the value of defending freedom and democracy, and we share the goal of advancing peace and prosperity. Today, we engage with the world together as those from the same country – the Republic of China (Taiwan). In this complex and volatile new international landscape, and as the nation faces difficulties and challenges, I want to stress that in Formosa, there is no hostility that cannot be let go, and no hardship that cannot be overcome. Unity is the most important, and I hope that Taiwan can stand united, because there is true strength in unity. Democratic Taiwan must stand united in engaging with the world and initiate exchanges with confidence. On that ground, I am entrusting this delegation with three key missions. First, convey best wishes from the people of Taiwan. Just last year, Taiwan and the US celebrated the 45th anniversary of the passage of the Taiwan Relations Act. And on May 20, the US sent a senior bipartisan delegation to congratulate me and Vice President Bi-khim Hsiao on our inauguration. As the leader of this cross-party delegation, Speaker Han must clearly convey the well-wishes of the people of Taiwan, congratulate President Trump and Vice President Vance on their inauguration, and wish success to the new administration and prosperity to the US. Second, clearly convey the firm commitment of the people of Taiwan to democracy. The theme of these inaugural ceremonies is “Our Enduring Democracy: A Constitutional Promise.” Taiwan and the US share the universal value of democracy and are staunch allies. I hope that the delegation can faithfully convey the firm commitment to democracy that the people of Taiwan have, which will not change even in the face of authoritarian threats. Taiwan is willing to stand side by side with the US and other members of the democratic community to defend the sustainable development of global democracy and prevent the expansion of authoritarianism. Third, help Taiwan-US relations reach a new milestone. In recent years, Taiwan-US relations have continued to grow, with the first agreement under the Taiwan-US Initiative on 21st Century Trade having formally taken effect last month. This morning, the House of Representatives also passed the US-Taiwan Expedited Double-Tax Relief Act. I hope that the delegation can help Taiwan-US relations reach a new milestone through these exchanges so that our relations continue to grow, our cooperation expands even more, and so that we can achieve even greater success after the new administration takes office. Four years ago, Taiwan’s representative to the US inaugural ceremonies was Vice President Hsiao, who was then our representative to the US. Everyone has a lot to learn from her. I have specially invited everyone here to converse so that you can draw from Vice President Hsiao’s experience and ensure an even smoother visit. Washington, DC was also hit by a rare blizzard recently, and the weather has been very cold, so make sure to stay warm. I am sending everyone off with hand warmers and thermoses so that you can bring some warmth from Taiwan with you on your journey. And I ask that Speaker Han exercise his wisdom to help generate some warmth between the ruling and opposition parties through cooperation, which they can then bring back to Taiwan. Let us unite to give our all for diplomacy so that we can unite to give our all for Taiwan. I wish the delegation a smooth and safe trip, and hope your missions can be carried out successfully. Speaker Han then delivered remarks, stating that it was an honor to be invited by President Lai to organize a delegation to represent our nation at the 60th Inaugural Ceremonies of the President and Vice President of the US in Washington, DC, and express the Republic of China’s sincere and cordial best wishes. The Legislative Yuan’s president has assumed this important task numerous times in the past, he said, not only to represent the government of the Republic of China, but also to take on the mission of conveying the voices of 23 million people. He went on to say that he is honored to take up the baton, lead eight legislators to the US to attend this celebration that will attract global attention, and express sincere best wishes to newly elected President Trump, Vice President Vance, and the new administration’s team. As enjoined by President Lai, he hopes the delegation’s trip will help open a new chapter in Taiwan-US exchanges. Speaker Han stated that the US is the most free and democratic country in the world. He noted that in 1776 in the US Declaration of Independence, founding father Thomas Jefferson propounded the concept of “unalienable rights,” and emphasized that the people have a right to freedom and the pursuit of happiness, democratic ideas that have long been rooted in the people’s hearts. Today, he said, democracy is also embedded in the DNA of Taiwan’s 23 million people, and this hard-won democratic achievement is a result of the concerted efforts of our pioneering predecessors, thinkers, and activists over the past 100 years. Speaker Han stated that during this visit, the Legislative Yuan delegation hopes to convey the voice of Taiwan as a democratic country. Taiwan’s security, he said, is like the four legs of a table: The first leg is defending the Republic of China, the second is defending freedom and democracy, the third is maintaining Taiwan-US relations, and the fourth is maintaining cross-strait peace. The delegation will travel to the US amidst severe cold weather to show that we value our relationship with the US, and our citizens have great hopes and expectations. Speaker Han stated that this will be a cross-party delegation of eight legislators, all of whom have a strong sense of mission. He hopes that all democratic nations will acknowledge Taiwan’s importance, and pay attention to Taiwan’s 23 million people. The delegation, he said, will do its utmost to convey the goodwill and warmth that the people of Taiwan give to each and every one of our good friends.

Details
2025-02-14
President Lai holds press conference following high-level national security meeting
On the morning of February 14, President Lai Ching-te convened the first high-level national security meeting of the year, following which he held a press conference. In remarks, President Lai announced that in this new year, the government will prioritize special budget allocations to ensure that Taiwan’s defense budget exceeds 3 percent of GDP. He stated that the government will also continue to reform national defense, reform our legal framework for national security, and advance our economic and trade strategy of being rooted in Taiwan while expanding globally. The president also proposed clear-cut national strategies for Taiwan-US relations, semiconductor industry development, and cross-strait relations. President Lai indicated that he instructed the national security and administrative teams to take swift action and deliver results, working within a stable strategic framework and according to the various policies and approaches outlined. He also instructed them to keep a close watch on changes in the international situation, seize opportunities whenever they arise, and address the concerns and hope of the citizens with concrete actions. He expressed hope that as long as citizens remain steadfast in their convictions, are willing to work hand in hand, stand firm amidst uncertainty, and look for ways to win within changing circumstances, Taiwan is certain to prevail in the test of time yet again. A translation of President Lai’s remarks follows: First, I would like to convey my condolences for the tragic incident which occurred at the Shin Kong Mitsukoshi department store in Taichung, which resulted in numerous casualties. I have instructed Premier Cho Jung-tai (卓榮泰) to lead the relevant central government agencies in assisting Taichung’s municipal government with actively resolving various issues regarding the incident. It is my hope that these issues can be resolved efficiently. Earlier today, I convened this year’s first high-level national security meeting. I will now report on the discussions from the meeting to all citizens. 2025 is a year full of challenges, but also a year full of hope. In today’s global landscape, the democratic world faces common threats posed by the convergence of authoritarian regimes, while dumping and unfair competition from China undermine the global economic order. A new United States administration was formed at the beginning of the year, adopting all-new strategies and policies to address challenges both domestic and from overseas. Every nation worldwide, including ours, is facing a new phase of changes and challenges. In face of such changes, ensuring national security, ensuring Taiwan’s indispensability in global supply chains, and ensuring that our nation continues to make progress amidst challenges are our top priorities this year. They are also why we convened a high-level national security meeting today. At the meeting, the national security team, the administrative team led by Premier Cho, and I held an in-depth discussion based on the overall state of affairs at home and abroad and the strategies the teams had prepared in response. We summed up the following points as an overall strategy for the next stage of advancing national security and development. First, for overall national security, so that we can ensure the freedom, democracy, and human rights of the Taiwanese people, as well as the progress and development of the nation as we face various threats from authoritarian regimes, Taiwan must resolutely safeguard national sovereignty, strengthen self-sufficiency in national defense, and consolidate national defense. Taiwan must enhance economic resilience, maintain economic autonomy, and stand firm with other democracies as we deepen our strategic partnerships with like-minded countries. As I have said, “As authoritarianism consolidates, democratic nations must come closer in solidarity!” And so, in this new year, we will focus on the following three priorities: First, to demonstrate our resolve for national defense, we will continue to reform national defense, implement whole-of-society defense resilience, and prioritize special budget allocations to ensure that our defense budget exceeds 3 percent of GDP. Second, to counter the threats to our national security from China’s united front tactics, attempts at infiltration, and cognitive warfare, we will continue with the reform of our legal framework for national security and expand the national security framework to boost societal resilience and foster unity within. Third, to seize opportunities in the restructuring of global supply chains and realignment of the economic order, we will continue advancing our economic and trade strategy of being rooted in Taiwan while expanding globally, strengthening protections for high-tech, and collaborating with our friends and allies to build supply chains for global democracies. Everyone shares concern regarding Taiwan-US relations, semiconductor industry development, and cross-strait relations. For these issues, I am proposing clear-cut national strategies. First, I will touch on Taiwan-US relations. Taiwan and the US have shared ideals and values, and are staunch partners within the democratic, free community. We are very grateful to President Donald Trump’s administration for their continued support for Taiwan after taking office. We are especially grateful for the US and Japan’s joint leaders’ statement reiterating “the importance of maintaining peace and stability across the Taiwan Strait as an indispensable element of security and prosperity for the international community,” as well as their high level of concern regarding China’s threat to regional security. In fact, the Democratic Progressive Party government has worked very closely with President Trump ever since his first term in office, and has remained an international partner. The procurement of numerous key advanced arms, freedom of navigation critical for security and stability in the Taiwan Strait, and many assisted breakthroughs in international diplomacy were made possible during this time. Positioned in the first island chain and on the democratic world’s frontline countering authoritarianism, Taiwan is willing and will continue to work with the US at all levels as we pursue regional stability and prosperity, helping realize our vision of a free and open Indo-Pacific. Although changes in policy may occur these next few years, the mutual trust and close cooperation between Taiwan and Washington will steadfastly endure. On that, our citizens can rest assured. In accordance with the Taiwan Relations Act and the Six Assurances, the US announced a total of 48 military sales to Taiwan over the past eight years amounting to US$26.265 billion. During President Trump’s first term, 22 sales were announced totaling US$18.763 billion. This greatly supported Taiwan’s defensive capabilities. On the foundation of our close cooperation with the past eight years’ two US administrations, Taiwan will continue to demonstrate our determination for self-defense, accelerate the bolstering of our national defense, and keep enhancing the depth and breadth of Taiwan-US security cooperation, along with all manner of institutional cooperation. In terms of bilateral economic cooperation, Taiwan has always been one of the US’s most reliable trade partners, as well as one of the most important cooperative partners of US companies in the global semiconductor industry. In the past few years, Taiwan has greatly increased both direct and indirect investment in the US. By 2024, investment surpassed US$100 billion, creating nearly 400,000 job opportunities. In 2023 and 2024, investment in the US accounted for over 40 percent of Taiwan’s overall foreign investment, far surpassing our investment in China. In fact, in 2023 and 2024, Taiwanese investment in China fell to 11 percent and 8 percent, respectively. The US is now Taiwan’s biggest investment target. Our government is now launching relevant plans in accordance with national development needs and the need to establish secure supply systems, and the Executive Yuan is taking comprehensive inventory of opportunities for Taiwan-US economic and trade cooperation. Moving forward, close bilateral cooperation will allow us to expand US investment and procurement, facilitating balanced trade. Our government will also strengthen guidance and support for Taiwanese enterprises on increasing US investment, and promote the global expansion and growth of Taiwan’s industries. We will also boost Taiwan-US cooperation in tech development and manufacturing for AI and advanced semiconductors, and work together to maintain order in the semiconductor market, shaping a new era for our strategic economic partnership. Second, the development of our semiconductor industry. I want to emphasize that Taiwan, as one of the world’s most capable semiconductor manufacturing nations, is both willing and able to address new situations. With respect to President Trump’s concerns about our semiconductor industry, the government will act prudently, strengthen communications between Taiwan and the US, and promote greater mutual understanding. We will pay attention to the challenges arising from the situation and assist businesses in navigating them. In addition, we will introduce an initiative on semiconductor supply chain partnerships for global democracies. We are willing to collaborate with the US and our other democratic partners to develop more resilient and diversified semiconductor supply chains. Leveraging our strengths in cutting-edge semiconductors, we will form a global alliance for the AI chip industry and establish democratic supply chains for industries connected to high-end chips. Through international cooperation, we will open up an entirely new era of growth in the semiconductor industry. As we face the various new policies of the Trump administration, we will continue to uphold a spirit of mutual benefit, and we will continue to communicate and negotiate closely with the US government. This will help the new administration’s team to better understand how Taiwan is an indispensable partner in the process of rebuilding American manufacturing and consolidating its leadership in high-tech, and that Taiwan-US cooperation will benefit us both. Third, cross-strait relations. Regarding the regional and cross-strait situation, Taiwan-US relations, US-China relations, and interactions among Taiwan, the US, and China are a focus of global attention. As a member of the international democratic community and a responsible member of the region, Taiwan hopes to see Taiwan-US relations continue to strengthen and, alongside US-China relations, form a virtuous cycle rather than a zero-sum game where one side’s gain is another side’s loss. In facing China, Taiwan will always be a responsible actor. We will neither yield nor provoke. We will remain resilient and composed, maintaining our consistent position on cross-strait relations: Our determination to safeguard our national sovereignty and protect our free and democratic way of life remains unchanged. Our efforts to maintain peace and stability in the Taiwan Strait, as well as our willingness to work alongside China in the pursuit of peace and mutual prosperity across the strait, remain unchanged. Our commitment to promoting healthy and orderly exchanges across the strait, choosing dialogue over confrontation, and advancing well-being for the peoples on both sides of the strait, under the principles of parity and dignity, remains unchanged. Regarding the matters I reported to the public today, I have instructed our national security and administrative teams to take swift action and deliver results, working within a stable strategic framework and according to the various policies and approaches I just outlined. I have also instructed them to keep a close watch on changes in the international situation, seize opportunities whenever they arise, and address the concerns and hope of the citizens with concrete actions. My fellow citizens, over the past several years, Taiwan has weathered a global pandemic and faced global challenges, both political and economic, arising from the US-China trade war and Russia’s invasion of Ukraine. Through it all, Taiwan has persevered; we have continued to develop our economy, bolster our national strength, and raise our international profile while garnering more support – all unprecedented achievements. This is all because Taiwan’s fate has never been decided by the external environment, but by the unity of the Taiwanese people and the resolve to never give up. A one-of-a-kind global situation is creating new strategic opportunities for our one-of-a-kind Taiwanese people, bringing new hope. Taiwan’s foundation is solid; its strength is great. So as long as everyone remains steadfast in their convictions, is willing to work hand in hand, stands firm amidst uncertainty, and looks for ways to win within changing circumstances, Taiwan is certain to prevail in the test of our time yet again, for I am confident that there are no difficulties that Taiwan cannot overcome. Thank you.

MIL OSI Asia Pacific News –

February 17, 2025
MIL-OSI United Kingdom: Coventry budget plans for 2025/26 better than predicted 
Source: City of Coventry

A report on Coventry City Council’s budget plans for April 2025 to March 2026 will recommend that fewer savings are needed than first feared.
Councillors will hear that the Local Authority has received a better than expected funding package from the government and that, coupled with the Council’s rigorous and careful approach to its financial planning, means not all of the cutbacks consulted on will be needed.

There will also be £2.2m of one-off investment to boost services covering highways, street cleansing, community safety and community events.

However, financial challenges are still there as the Council tries to deal with the impact of chronic historical underfunding. 

Cllr Richard Brown, Cabinet Member for Finance and Resources, said: “I have always said that we should hope for the best but prepare for the worst and the settlement from the government is better than expected. 

“We have always been very careful with our financial management, and ongoing work has put us in a better financial position than many other local councils. It means that many of the savings identified won’t be needed, which I’m really pleased about. 

“We’ve listened to the consultation feedback from the public and stakeholders and have identified areas that we are recommending should not now be included in the budget setting process.

“At the same time, looking at the years ahead, the same challenges are still here. A combination of higher demand on services, inflation, and historical underfunding leaves us still well below the national average of government funding compared to other councils.” 

Savings proposals that are no longer needed include:

Voluntary Sector Review in adult social care   

Reductions in funding of street cleaning 

Plans to increase War Memorial Car Park charges  

Changes to The Council Tax Support Scheme  

Reductions in funding to parks and open spaces 

Despite the improved financial position, the Council will still be forced to announce an increase in Council Tax.

Cllr Brown added: “We still have to increase Council Tax to achieve a balanced budget, and this is an expectation that the government places on all local authorities. In future years I hope that reforms to the Council Tax system can be introduced that reduce the burden on local residents.

“The additional money we are receiving is welcome and it is good to know that the new government is listening to what we have been saying and the lobbying we have been doing on a fairer funding deal for local authorities for the last two years is being heard.

“That work will continue because if the city received the national average, then we’d have an additional £17m for our services for the residents in the city and we would be talking about investment in services rather than savings.

“We are not asking for special treatment but just that funding more accurately reflects the levels of need, demand and deprivation the city has overall.”  

The Council is already investing £10m in new, LED streetlights that more efficient than the lights they will replace.  It means that eventually lights will be kept on overnight through the savings made.  

The Council is also proposing setting aside more than £2m in additional one-off funding to improve services. It includes £700,000 extra for road and pavement defects and £500,000 for tackling fly-tipping – two of the issues highlighted by residents during the recent consultation.

The Council report will be considered at its full Council meeting by all Council members on Tuesday 25 February before a final decision is made. 

Financial pressures facing the Council include: 

Approximately 83 per cent of the Council’s net budget is spent on three areas – homelessness, adult social care and children’s social care – up from just over 50 per cent in 2010. It leaves less than 17 per cent to pay for hundreds of other services the Council delivers every year. 

This year the Council is already having to make £30m savings, on top of savings in previous years.  

In the past 14 years there have been significant reductions in staff employed by the Council from 10,000 to 5,000, yet the city’s population has grown by 18 per cent in that time.  

Over the past 14 years, Coventry’s core spending power has fallen in real terms by £1.6bn. That’s more than £100m (one average) every year.   

In real terms, Coventry’s core spending power has fallen on average by over £100m every year or, in other words, we have £653 less to spend on every Coventry household.   

Coventry’s spending power is also one of the lowest funding per head at £46 less per head compared to other councils nationally. The equivalent of £17m of a year.   
MIL OSI United Kingdom –
February 17, 2025
MIL-OSI: Interim Management Statement Q1 2025

Source: GlobeNewswire (MIL-OSI)

17 February 2024

HARGREAVE HALE AIM VCT PLC
(the “Company”)

Interim Management Statement

Q1 2025

Introduction

This interim management statement covers the first quarter of the 2024/25 financial year, 1 October 2024 to 31 December 2024. Investment performance measures contained in this report are calculated on a pence per share basis and include realised and unrealised gains and losses.

Overview

Once again, we have endured a difficult start to the financial year, albeit for very different reasons. The 2024 Autumn budget, preceded by some unhelpfully stark messaging, has weighed on economic activity. GDP, employment reports and PMI surveys all highlight a notable softening in the UK economy through the second half of (cal.) 2024.

Measures of UK consumer and business confidence dipped, suggesting that households and companies were becoming increasingly cautious. Although a very significant increase in public spending is expected to support economic activity pickup in 2025, there is clear evidence that The Office for Budget Responsibility forecast for GDP to increase from 1.1% in 2024 to 2.0% in 2025 is likely to be revised lower when next updated.

UK fiscal policy is seen as being negative to growth and positive for inflation. In the round, this adds up to fewer rate cuts in 2025. With higher inflation and lower growth undermining the case for lending to the UK Government, UK Gilt yields broke out to the upside and Sterling to the downside. The move higher in borrowing costs was exacerbated by higher yields in the US Treasuries market. The Government is on the back foot and will need to respond before the 2025 Autumn budget.

None of this has been helpful for investor interest in UK equities with outflows increasing again after a period of improving sentiment through the early Summer. This was particularly acute for AIM and, more broadly, the IA UK Small Cap sector.

Reflecting this, the FTSE AIM All-Share Index was noticeably weak ahead of and subsequent to the budget, with the index steadily declining for 7 months through to 31 December 2024. Within the period, the AIM All-Share index returned -2.32% in the three months to 31 December 2024, lagging the FTSE All Share Index (-0.35%). We continue to believe that many small companies trading on AIM offer exceptional value.

Performance

In the three months to 31 December 2024, the unaudited NAV per share decreased by 0.40 pence from 40.55 pence (cum-dividend) to 40.15 pence, giving a total return of -0.99%.

The qualifying investments fell by 0.09 pence per share whilst the non-qualifying investments made a loss of 0.25 pence per share. The adjusting balance was the net of running costs and investment income.

Qualifying Investments

Aquis Exchange (+93.1%, +£1.66m) received a takeover offer from its larger Swiss peer SIX Exchange at 727p. This was a 120% premium to the previous closing price, a 45% premium to the average share price over the prior 12 months and slightly above the 2021 share price high of 720p. This equates to an exit multiple of 4.7x for the VCT. The transaction was approved on 18 December 2024 and is expected to complete in Q2 2025.

PCI-PAL (+30.3%, +£1.09m) reported good FY24 results with revenues +20% to £18.0m and positive EBITDA of £0.9m. The company also reported strong SAAS metrics with ARR growing by 23%, Net Retention Rate at 102% and low churn. Following a £3.3m fundraise in March 2024, the balance sheet is strong with £4.3m cash. Positive news flow continued subsequently with a key contract renewal and in-line AGM trading update. Post period end, the company reported strong trading for the 6m to 31 December 2025 and re-iterated guidance for FY25.

Cohort (+15.0%, +£0.65m) announced strong interim results for the 6m to 31 October 2024 with revenues increasing by 25% and a record order book of £541m. The company confirmed it remains on track to achieve market forecasts for FY25. Separately, Cohort announced the £74m acquisition of Australian-based satellite communications company EM Solutions. The acquisition was partly funded through existing cash & debt facilities, combined with a £40m fundraise at 875p.

Following weak financial performance in FY24, Equipmake (-40.0%, -£0.93m) raised £3m in October 2024. The additional capital, when combined with cost action, has extended the company’s cash runway to March 2025. This was followed by the subsequent launch of a strategic review and a formal sale process.

Fadel (-42.9%, -£0.72m) saw customer implementation delays and an unsuccessful new business tender. Revenue forecasts for FY24 were reduced by 12% from $14.8m to $13m. The high drop through of revenues to profits meant that projected FY24 EBITDA losses increased from $2.3m to $4m. The company has adopted a more disciplined approach to cost that has yielded an improved outlook for losses and cash performance in 2025.

Team Internet (-27.7%, -£0.43m) shares fell sharply in Q4 2024 as the company announced that revenues at a recently acquired online marketing business Shinez would fall short of expectations. More recently the shares have begun to recover as the company announced it had received a preliminary takeover proposal.

Non-Qualifying Investments

The IFSL Marlborough UK Micro-Cap Growth Fund (+0.6%, +£0.06m) and IFSL Marlborough Special Situations Fund (-1.3%, -£0.13m) were broadly flat over the period. Within the non-qualifying portfolio, the weaker outlook for the UK economy following the Autumn budget impacted WH Smith, Wickes and Hollywood Bowl. Chemring also fell as earnings forecasts were impacted by rising national insurance costs and the curtailment of the company’s share buy-back in favour of preserving funds for organic investment.

Portfolio structure

The VCT is comfortably above the HMRC defined investment test and ended the period at 87.5% invested as measured by the HMRC investment test. By market value, the weighting to qualifying investments increased from 56.0% to 56.9%.

The market remains very subdued with just two VCT qualifying IPOs within the last 12 months. There were two new equity investments into companies listed on AIM and one CLN into an existing portfolio company listed on AIM. We remain hopeful that improving market conditions will help drive an increase in deal flow during 2025.

The new qualifying investments included a following on (CLN) investment into Rosslyn Data Technologies and new equity investments into Feedback and Ixico. There were no material disposals in the quarter. We sold two legacy tail investments (Gfinity and Surface Transforms) and trimmed our investment in Cohort following a period of strong share price performance.

There were no substantial changes to the allocation to the two IFSL Marlborough Funds, non-qualifying equities, fixed income, ETFs or cash which respectively represented 13.4%, 6.8%, 12.9%, 0.4% and 9.6% of net assets.

The HMRC investment tests are set out in Chapter 3 of Part 6 Income Tax Act 2007, which should be read in conjunction with this interim management statement. Funds raised by VCTs are first included in the investment tests from the start of the accounting period containing the third anniversary of the date on which the funds were raised. Therefore, the allocation of qualifying investments as defined by the legislation can be different to the portfolio weighting as measured by market value relative to the net assets of the VCT.

Share Buy Backs & Discount

3.9 million shares were acquired in the quarter at an average price of 38.27 pence per share. The share price decreased from 39.00p to 38.40p and on 31 December 2024 traded at a discount of 4.74% to the last published NAV per share (as at 27 December 2024, published on 31 December 2024).

Post Period End

The unaudited NAV per share increased from 40.15 pence to 40.22 pence (cum div) as at 7 February 2025, an increase of 0.17%. The FTSE AIM All-Share index increased by 0.09%.

END

For further information please contact:

Oliver Bedford, Canaccord Genuity Asset Management

Tel: 020 7523 4837

LEI: 213800LRYA19A69SIT31

The MIL Network –

February 17, 2025
MIL-OSI Submissions: Appointments – Simon Davies announced as new SAP Regional President, Asia Pacific

Source: SAP

AUCKLAND, 17 February 2025 – SAP Asia Pacific (APAC) announced Simon Davies as President for the newly-created APAC region, effective immediately. Based in Singapore, Davies will oversee strategy, operations, people, sales, services, partners, and profitability across Asia Pacific for SAP SE (NYSE: SAP). After five years in the role, Paul Marriott returns to Europe to be closer to family.

With SAP market units operating in Australia and New Zealand (ANZ), Greater China, India, Japan, Korea, and Southeast Asia, Davies will be responsible for overseeing more than 31,000 employees across 78 offices. Across the APAC region, SAP services leading customers including NEC Corporation, Coles Group, Wipro, Fujitsu Limited, Shiseido, Hyundai Motor Company, Kia Corporation, Himalaya, Cochlear, and Japan Airlines.

Prior to this appointment, Davies has spent 25 years building, selling, and implementing IT solutions in Asia Pacific, working with some of the world’s leading software companies, including Microsoft, Salesforce, and Oracle. Most recently, he was Senior Vice President and General Manager of Asia Pacific and Japan at Splunk, a position he held for over three years. Davies also serves on the board of several pre-IPO technology companies and is a member of the Australian Institute of Company Directors (MAICD).

Manos Raptopoulos, Chief Revenue Officer for APAC, EMEA, and MEE, said “Our next chapter is being fuelled by accelerated cloud and AI innovation, underpinned by our purpose, our people, and our partnerships. Simon combines experience in Asia’s fast-growth, innovation-hungry markets with proven expertise in building high-performance, diverse, and inclusive teams. I’m confident that, under Simon, SAP APAC will build on the tremendous momentum established during Paul’s leadership and continue to be a catalyst for innovation and supporting customer success.”

Simon Davies said, “I’m very excited for this new chapter to begin. Across Asia Pacific and Japan, we see forward-thinking businesses accelerating strategic transformation supported by SAP. Establishing a solid foundation in the cloud and leveraging business data is the gateway to exploring new avenues of growth in areas like artificial intelligence, data analytics, and sustainability.”

About SAP
As a global leader in enterprise applications and business AI, SAP (NYSE:SAP) stands at the nexus of business and technology. For over 50 years, organizations have trusted SAP to bring out their best by uniting business-critical operations spanning finance, procurement, HR, supply chain, and customer experience. For more information, visit www.sap.com.

MIL OSI – Submitted News –

February 17, 2025
MIL-OSI USA: Summary of the 10th DSCOVR EPIC and NISTAR Science Team Meeting

Source: NASA

Introduction
The 10th Deep Space Climate Observatory (DSCOVR) Earth Polychromatic Camera (EPIC) and National Institute of Standards and Technology (NIST) Advanced Radiometer [NISTAR] Science Team Meeting (STM) was held October 16–18, 2024. Over 50 scientists attended, most of whom were from NASA’s Goddard Space Flight Center (GSFC), with several participating from other NASA centers, U.S. universities, and U.S. Department of Energy laboratories. There was one international participant – from Estonia. A full overview of DSCOVR’s Earth-observing instruments was published in a previous article in The Earth Observer and will not be repeated here. This article provides the highlights of the 2024 meeting. The meeting agenda and full presentations can be downloaded from GSFC’s Aura Validation Data Center.
Opening Presentations
The opening session of the 10th DSCOVR STM was special. Former U.S., Vice President Al Gore attended the opening session and gave a presentation at the panel discussion “Remote Sensing and the Future of Earth Observations” – see Photo. Gore was involved in the early days of planning the DSCOVR mission, which at that time was known as Triana. He reminisced about his involvement and praised the team for the work they’ve done over the past decade to launch and maintain the DSCOVR mission. Following the STM Opening Session, Gore spoke at a GSFC Engage session in Building 3 later that afternoon on the same topic, but before a wider audience. [Link forthcoming.]
Following Gore’s remarks, the remainder of the opening session consisted of a series of presentations from DSCOVR mission leaders and representatives from GSFC and National Oceanic and Atmospheric Administration (NOAA). Thomas Neumann [GSFC, Earth Sciences Division (ESD)—Deputy Director] opened the meeting and welcomed Vice President Gore and the STM participants on behalf of the ESD. Adam Szabo [GSFC—DSCOVR Project Scientist] briefly reported that the spacecraft was still in “good health.” The EPIC and NISTAR instruments on DSCOVR continue to return their full science observations. He also gave an update on DSCOVR Space Weather research. Alexander Marshak [GSFC—DSCOVR Deputy Project Scientist] briefly described DSCOVR mission history and the science results based on DSCOVR observations from the first Sun–Earth Lagrange point (hereinafter, the L1 point). He also summarized the major EPIC and NISTAR results to date. At this time, more than 125 papers related to DSCOVR are listed on the EPIC website. Elsayed Talaat [NOAA, Office of Space Weather observations—Director] discussed the future of Earth and space science studies from the L1 point.

Updates on DSCOVR Operations
The DSCOVR mission components continue to function nominally. The meeting was an opportunity to update participants on progress over the past year on several fronts, including data acquisition, processing, and archiving, and release of new versions of several data products. The number of people using DSCOVR data continues to increase, with a new Science Outreach Team having been put in place to aid users in several aspects of data discovery, access, and user friendliness.
Amanda Raab [NOAA, DSCOVR Mission Operations and Systems] reported on the current status of the DSCOVR mission. She also discussed spacecraft risks and issues such as memory fragmentation and data storage task anomalies but indicated that both these issues have been resolved.
Hazem Mahmoud [NASA’s Langley Research Center (LaRC)] discussed the work of the Atmospheric Science Data Center (ASDC), which is based at LaRC. He showed DSCOVR mission metrics since 2015, focusing on data downloads and the global outreach of the mission. He noted that there has been a significant rise in the number of downloads and an increasing diversity of countries accessing ozone (O3), aerosol, and cloud data products. Mahmoud also announced that the ASDC is transitioning to the Amazon Web Services cloud, which will further enhance global access and streamline DSCOVR data processing.
Karin Blank [GSFC] covered the discovery of a new type of mirage that can only be seen in deep space from EPIC. The discussion included the use of a ray tracer in determining the origin of the phenomenon, and under what conditions it can be seen.
Alexander Cede [SciGlob] and Ragi Rajagopalan [LiftBlick OG] gave an overview of the stability of the EPIC Level-1A (L1A) data over the first decade of operation. They explained that the only observable changes in the EPIC calibration are to the dark count and flat field can – and that these changes can be entirely attributed to the temperature change of the system in orbit compared to prelaunch conditions. No additional hot or warm pixels have emerged since launch and no significant sensitivity drifts have been observed. The results that Cede and Rajagopalan showed that EPIC continues to be a remarkably stable instrument, which is attributed to a large extent to its orbit around the L1 point, which is located outside the Earth’s radiation belts and thus an extremely stable temperature environment. Consequently, in terms of stability, the L1 point is far superior to other Earth observation points, e.g., ground-based, low-Earth orbit (LEO), polar orbit, or geostationary Earth orbit (GEO).
Marshall Sutton [GSFC] discussed the state of the DSCOVR Science Operation Center (DSOC). He also talked about processing EPIC Level-1 (L1) data into L2 science products, daily images available on the EPIC website, and special imaging opportunities, e.g., volcanic eruptions.
EPIC Calibration
After 10 years of operation in space, the EPIC instrument on DSCOVR continues to be a remarkably stable instrument. The three presentations describe different ways that are used to verify the EPIC measurements remain reliable.
Conor Haney [LaRC] reported on anomalous outliers during February and March 2023 from the broadband shortwave (SW) flux using EPIC L1B channel radiances. To ensure that these outliers were not a result of fluctuations in the EPIC L1B channel radiances, both the EPIC radiance measurements and coincident, ray-matched radiance measurements from the Visible Infrared Imaging Radiometer Suite (VIIRS), on the Suomi National Polar-orbiting Partnership (Suomi NPP) platform, were processed using the same deep convective cloud invariant target (DCC-IT) algorithm. This analysis confirmed that the anomalous behavior was due to the DCC-IT algorithm – and not because of fluctuations in the EPIC L1B channel radiances. The improved DCC-IT methodology was also applied to the EPIC L1B radiances. The results indicate that the EPIC record is quite stable with a lower uncertainty than when processed using the previous DCC-IT methodology.
Igor Geogdzhaev [NASA’s Goddard Institute for Space Studies (GISS)/Columbia University] reported that EPIC Visible–Near Infrared (VIS-NIR) calibration based on VIIRS (on Suomi NPP) data has showed excellent stability, while VIIRS (on NOAA-20 and -21) derived gains agree to within 1–2%. Preliminary analysis showed continuity in the gains derived from Advanced Baseline Imager (ABI) data. (ABI flies on NOAA’s two operational Geostationary Operational Environmental Satellite–Series R satellites – GOES-17 and GOES-18.
Liang–Kang Huang [Science Systems and Applications, Inc. (SSAI)] reported on updates to the EPIC ultraviolet (UV) channel sensitivity time dependences using Sun-normalized radiance comparisons between EPIC and measurements from the Ozone Mapping and Profiler Suite (OMPS) Nadir Mapper (NM) on Suomi NPP, with coinciding footprints and solar/satellite angles. Huang’s team determined vignetting factors in the sensitivity calibration between 2021–2024, as a function of charge coupled device (CCD) pixel radius and pixel polar angles, using special lunar measurement sequences.
NISTAR Status and Science with Its Observations
The NISTAR instrument remains fully functional and continues its uninterrupted data record. The NISTAR-related presentations during this meeting included more details on specific topics related to NISTAR as well as on efforts to combine information from both EPIC and NISTAR.
Steven Lorentz [L-1 Standards and Technology, Inc.] reported that the NISTAR on DSCOVR has been measuring the irradiance from the sunlit Earth in three bands for more than nine years. The three bands measure the outgoing total and reflected-solar radiation from Earth at a limited range of solar angles. To compare the long-term stability of EPIC and NISTAR responses, researchers developed a narrowband to wideband conversion model to allow the direct comparison of the EPIC multiband imagery and NISTAR SW – see Figure 1 – and silicon photodiode channels. Lorentz presented daily results spanning several years. The comparison employed different detectors from the same spacecraft – but with the same vantage point – thereby avoiding any model dependent orbital artifacts.

Clark Weaver [University of Maryland, College Park (UMD)] used spectral information from the SCanning Imaging Absorption spectroMeter for Atmospheric CartograpHY (SCIAMACHY), which flew on the European Space Agency’s (ESA) Envisat satellite from 2002–2012, to fill EPIC spectral gaps. He reported on construction of a composite height resolution spectrum that was spectrally integrated to produce SW energy. Weaver explained that he compared the EPIC reflected SW with four-hour averages from Band 4 on NISTAR. He used spectral information from SCIAMACHY to fill in gaps. Weaver also discussed results of a comparison of area integrated EPIC SW energy with observations from NISTAR .
Andrew Lacis [GISS] reported on results of analysis of seven years of EPIC-derived planetary albedo for Earth, which reveal global-scale longitudinal variability occurring over a wide range of frequencies – with strong correlation between nearby longitudes and strong anticorrelation between diametrically opposed longitudes. This behavior in the Earth’s global-scale energy budget variability is fully corroborated by seven years of NISTAR silicon photodiode measurements, which view the Earth with 1º longitudinal resolution. This analysis establishes the DSCOVR mission EPIC/NISTAR measurements as a new and unmatched observational data source for evaluating global climate model performance– e.g., see Figure 2.

Wenying Su [LaRC] discussed global daytime mean SW fluxes within the EPIC field of view produced from January 2016–June 2024. These quasi-hourly SW fluxes agree very well with the Synoptic data product from the Clouds and the Earth’s Radiant Energy System (CERES) instruments (currently flying on the Terra and Aqua, Suomi NPP, and NOAA-20 platforms) with the root mean square errors (rmse) less than 3 W/m2. This SW flux processing framework will be used to calculate NISTAR SW flux when Version 4 (V4) of the NISTAR radiance becomes available. Su noted that SW fluxes from EPIC are not suitable to study interannual variability as the magnitude of EPIC flux is sensitive to the percentage of daytime area visible to EPIC.
Update on EPIC Products and Science Results
EPIC has a suite of data products available. The following subsections summarize content during the DSCOVR STM related to these products. The updates focus on several data products and the related algorithm improvements.
Total Column Ozone
Jerry Ziemke [Morgan State University (MSU), Goddard Earth Sciences Technology and Research–II (GESTAR II)] and Natalya Kramarova [GSFC] reported that tropospheric O3 from DSCOVR EPIC shows anomalous reductions of ~10% throughout the Northern Hemisphere (NH) starting in Spring 2020 that continues to the present. The EPIC data, along with other satellite-based (e.g., Ozone Monitoring Instrument (OMI) on NASA’s Aura platform) and ground-based (e.g., Pandora) data, indicate that the observed NH reductions in O3 are due to combined effects from meteorology and reduced pollution, including reduced shipping pollution in early 2020 (during COVID) – see Figure 3. EPIC 1–2 hourly data are also used to evaluate hourly total O3 and derived tropospheric O3 from NASA’s Tropospheric Emissions: Monitoring of Pollution (TEMPO) geostationary instrument. Ziemke explained that comparison of TEMPO data with EPIC data has helped the researchers characterize a persistent latitude-dependent offset in TEMPO total O3 data of ~10–15% from south to north over the North American continent.

Algorithm Improvement for Ozone and Sulfur Dioxide Products
Kai Yang [UMD] presented a comprehensive evaluation of total and tropospheric O3 retrievals, highlighting the long-term stability and high accuracy of EPIC measurements. He also validated EPIC’s volcanic sulfur dioxide (SO2) retrievals by comparing them with ground-based Brewer spectrophotometer measurements and summarized EPIC’s observations of SO2 from recent volcanic eruptions.
Simon Carn [University of Michigan] showed the first comparisons between the EPIC L2 volcanic SO2 product and SO2 retrievals from the Geostationary Environment Monitoring Spectrometer (GEMS) on the Korean GEO-Kompsat-2B satellite. GEMS observes East Asia as part of the new geostationary UV air quality (GEO-AQ) satellite constellation (which also includes TEMPO that observes North America and will include the Ultraviolet–Visible–Near Infrared (UVN) instrument on the European Copernicus Sentinel-4 mission, that will be launched in 2025 to observe Europe and surrounding areas) – but is not optimized for measurements of high SO2 columns during volcanic eruptions. EPIC SO2 data for the 2024 eruption of Ruang volcano in Indonesia are being used to validate a new GEMS volcanic SO2 product. Initial comparisons show good agreement between EPIC and GEMS before volcanic cloud dispersal and confirm the greater sensitivity of the hyperspectral GEMS instrument to low SO2 column amounts.
Aerosols
Alexei Lyapustin [GSFC] reported that the latest EPIC aerosols algorithm (V3) simultaneously retrieves aerosol optical depth, aerosol spectral absorption, and aerosol layer height (ALH) – achieving high accuracy. He showed that global validation of the single scattering albedo in the blue and red shows 66% and 81–95% agreement respectively, with Aerosol Robotic Network (AERONET) observations – which is within the expected error of 0.03 for smoke and dust aerosols. Lyapustin also reported on a comparison of EPIC aerosol data collected from 2015–2023 by the Cloud-Aerosol Lidar with Orthogonal Polarization (CALIOP), which flew on the Cloud-Aerosol Lidar and Infrared Pathfinder Satellite Observations (CALIPSO) mission. The results show that ALH is retrieved with rmse ~1.1 km (0.7 mi). ALH is unbiased over the ocean and is underestimated by 450 m (1470 ft) for the smoke and by 750 m (2460 ft) for the dust aerosols over land.
Myungje Choi and Sujung Go [both from University of Maryland, Baltimore County’s (UMBC), GESTAR II] presented results from a global smoke and dust characterization using Multi-Angle Implementation of Atmospheric Correction (MAIAC) algorithm. This study characterized smoke and dust aerosol properties derived from MAIAC EPIC processing, examining spectral absorption, ALH, and chemical composition (e.g., black and brown carbon). Regions with smoldering wildfires, e.g., North America and Siberia, exhibited high ALH and a significant fraction of brown carbon, while Central Africa showed lower ALH with higher black carbon emissions.
Omar Torres [GSFC] discussed how L1 DSCOVR-EPIC observations are being used to study air quality (i.e., tropospheric O3 and aerosols) globally. Torres noted that this application of EPIC-L1 observations is of particular interest in the Southern Hemisphere (SH) where, unlike over the NH, there are currently no space GEO-based air quality measurements – and no plans for them in the foreseeable future.
Hiren Jethva [MSU, GESTAR II] presented the new results of the aerosol optical centroid height retrieved from the EPIC Oxygen-B band observations. He described the algorithm details, showed retrieval maps, and reviewed the comparative analysis against CALIOP backscatter-weighted measurements. The analysis showed a good level of agreement with more than 70% of matchup data within 1–1.5 km (0.6–0.9 mi) difference.
Jun Wang [University of Iowa] presented his team’s work on advancing the second generation of the aerosol optical centroid height (AOCH) algorithm for EPIC. Key advancements included: constraining surface reflectance in aerosol retrieval using an EPIC-based climatology of surface reflectance ratios between 442–680 nm; incorporating a dynamic aerosol model to characterize aged smoke particles; and employing a spectral slope technique to distinguish thick smoke plumes from clouds. Results show that both atmospheric optical depth (AOD) and AOCH retrievals are improved in the second generation of AOCH algorithm.
Olga Kalashnikova [NASA/Jet Propulsion Laboratory (JPL)] reported on improving brown carbon evolution processes in the Weather Research and Forecasting model coupled with Chemistry (WRF-Chem) model with EPIC products. She indicated that DSCOVR product evaluation, using lidar aerosol height measurements from CALIOP, led to an improved operational brown carbon product. To better resolve the temporal evolution of brown carbon, chemical transport models need to include more information about near-source fires.
Mike Garay [NASA/Jet Propulsion Laboratory (JPL)] discussed constraining near-source brown carbon emissions from 2024 Canadian ‘zombie’ fires with EPIC products. He reported that fires in British Columbia, Canada showed differences in brown carbon emission near the sources. Garay explained that their investigation has revealed that these differences were related to fire intensity and variations in vegetation/soil content.
Yuekui Yang [GSFC] presented work that examined the impact of Earth’s curvature consideration on EPIC cloud height retrievals. Biases under the Plane Parallel (PPL) assumption is studied by comparing results using the improved pseudo-spherical shell approximation. PPL retrievals in general bias high and for a cloud with height of 5 km (3 mi), the bias is about 6%.
Alfonso Delgado Bonal [UMBC] stated that the EPIC vantage point offers a unique opportunity to observe not only the current state of the Earth but also its temporal evolution. By capturing multiple observations of the planet throughout the day, EPIC enables statistical reconstruction of diurnal patterns in clouds and other atmospheric parameters. Bonal’s team focused their research on O3 (primarily tropospheric) over the U.S. to demonstrate the presence of a diurnal cycle in the western regions of the continental U.S. However, ground-based data from PANDORA for specific locations do not support these diurnal variations – underscoring the critical role of space-based O3 retrievals. The proposed methodology is not limited to clouds or O3 but is broadly applicable to other EPIC measurements for the dynamic nature of our planet.
Elizabeth Berry [Atmospheric and Environmental Research (AER)] presented results from a coincident DSCOVR–CloudSat dataset [covering 2015–2020]. Cloud properties (e.g., cloud height and optical depth) from DSCOVR and CloudSat are moderately correlated and show quite good agreement given differences in the instruments sensitivities and footprints. Berry explained that a machine-learning model trained on the coincident data demonstrates high accuracy at predicting the presence of vertical cloud layers. However, precision and recall metrics highlight the challenge of predicting the precise location of cloud boundaries.
Anthony Davis [JPL] presented a pathway toward accurate estimation of the cloud optical thickness (COT) of opaque clouds and cloud systems, e.g., supercells, mesoscale convective complexes, and tropical cyclones (TCs). He described the approach, which uses differential oxygen absorption spectroscopy (DOAS) that has resolving power greater than 104 – which is comparable to that of the high-resolution spectrometers on NASA’s Orbiting Carbon Observatory–2 (OCO-2) – but is based upon the cloud information content of EPIC’s O2 A- and B-band radiances. Unlike the current operational retrieval of COT – which uses data from the Moderate Resolution Imaging Spectroradiometer (MODIS) on Terra and Aqua – the DOAS-based technique does not saturate at COT exceeding ~60. According to a popular TC model with two-moment microphysics, COT in a tropical storm or hurricane can reach well into the hundreds, sometimes exceeding 1000. Davis said that once the new COT estimates become available, they will provide new observational constraints on process and forecast models for TCs.
Ocean
Robert Frouin [Scripps Institution of Oceanography, University of California] discussed ocean surface radiation products derived from EPIC data. He explained that significant advancements have been achieved in processing and evaluating ocean biology and biogeochemistry products derived from EPIC imagery. V1 updates enhanced accuracy by integrating Modern-Era Retrospective analysis for Research and Applications V2 (MERRA-2) ancillary data and refining calculations for atmospheric and surface parameters. Frouin introduced several diurnal products, including hourly photosynthetically active radiation (PAR) fluxes, spectral water reflectance, and chlorophyll-a concentrations. He said that these new MODIS-derived products have been validated through comparisons with data from the Advanced Himawari Imager on the Japanese Himawar–8 and –9 satellites. In order to address the gaps in these diurnal products, Frouin explained that the team developed a convolutional neural network that has been used effectively to reconstruct missing PAR values with high accuracy.
Vegetation
Yuri Knyazikhin [Boston University] reported on the status of the Vegetation Earth System Data Record (VESDR) that provides a variety of parameters including: Leaf Area Index (LAI), diurnal courses of Normalized Difference Vegetation Index (NDVI), Sunlit LAI (SLAI), Fraction of incident Photosynthetically Active Radiation (FPAR) absorbed by the vegetation, Directional Area Scattering Function (DASF), Earth Reflector Type Index (ERTI), and Canopy Scattering Coefficient (CSC). Knyazikhin discussed analysis of the diurnal and seasonal variations of these quantities. EPIC LAI and FPAR are consistent with MODIS-derived measurements of the same parameters.
Jan Pisek [University of Tartu/Tartu Observatory, Estonia] discussed efforts to derive leaf inclination information from EPIC data. The very first evaluation over Tumbarumba site (in New South Wales, Australia) showed that the angular variation in parameters obtained from EPIC reflects the expected variations due to the erectophile vegetation present at the site.
Sun Glint
Tamás Várnai [UMBC, JCET] discussed EPIC observations of Sun glint from ice clouds. The cloud glints come mostly from horizontally oriented ice crystals and have strong impact in EPIC cloud retrievals. Várnai reported that the EPIC glint product is available from the ASDC – see Figure 4. Glint data can help reduce the uncertainties related to horizontally oriented ice crystals and yield additional new insights about the microphysical and radiative properties of ice clouds.

Alexander Kostinski [Michigan Technology University] explained that because they detected climatic signals (i.e., longer-term changes and semi-permanent features, e.g., ocean glitter), they developed a technique to suppress geographic “noise” in EPIC images that involves introducing temporally (monthly) and conditionally (classifying by surface/cover type, e.g., land, ocean, clouds) averaged reflectance images – see Figure 5. The resulting images display seasonal dependence in a striking manner. Additionally, cloud-free, ocean-only images highlight prominent regions of ocean glitter.

Jiani Yang [Caltech] reported that spatially resolving light curves from DSCOVR is crucial for evaluating time-varying surface features and the presence of an atmosphere. Both of these features are essential for sustaining life on Earth – and thus can be used to assess the potential habitability of exoplanets. Using epsilon machine reconstruction, the statistical complexity from the time series data of these light curves can be calculated. The results show that statistical complexity serves as a reliable metric for quantifying the intricacy of planetary features. Higher levels of planetary complexity qualitatively correspond to increased statistical complexity and Shannon entropy, illustrating the effectiveness of this approach in identifying planets with the most dynamic characteristics.
Other EPIC Science Results
Guoyong Wen [MSU, GESTAR II] analyzed the variability of global spectral reflectance from EPIC and the integrated broadband reflectance on different timescales. He reported that on a diurnal timescale, the global reflectance variations in UV and blue bands are statistically similar – and drastically different from those observed in longer wavelength bands (i.e., green to NIR). The researchers also did an analysis of monthly average results and found that temporal averaging of the global reflectance reduces the variability across the wavelength and that the variability of broadband reflectance is similar to that for the red band on both timescales. These results are mainly due to the rotation of the Earth on diurnal timescale and the change of the Earth’s tilt angle.
Nick Gorkavyi [Science Systems and Applications, Inc. (SSAI)] reported that EPIC – located at the L1 point, 1.5 million km (0.9 million mi) away from Earth – can capture images of the far side of the Moon in multiple wavelengths. These images, taken under full solar illumination, can be used to calibrate photographs obtained by lunar artificial satellites. Additionally, he discussed the impact of lunar libration – the changing view of the Moon from Earth, or it’s apparent “wobble” – on Earth observations from the Moon.
Jay Herman [UMBC] discussed a comparison of EPIC O3 with TEMPO satellite and Pandora ground-based measurement. The results show that total column O3 does not have a significant photochemical diurnal variation. Instead, the daily observed diurnal variation is caused by weather changes in atmospheric pressure. This measurement result agrees with model calculations.
Conclusion
Alexander Marshak, Jay Herman, and Adam Szabo led a closing discussion with ST participants on how to make the EPIC and NISTAR instruments more visible in the community. It was noted that the EPIC website now allows visitors to observe daily fluctuations of aerosol index, cloud fraction, cloud height, and the ocean surface – as observed from the L1 point. More daily products, (e.g., aerosol height and sunlit leaf area index) will be added soon, which should attract more users to the website.
Overall, the 2023 DSCOVR EPIC and NISTAR STM was successful. It provided an opportunity for participants to learn the status of DSCOVR’s Earth-observing instruments, EPIC and NISTAR, the status of recently released L2 data products, and the science results being achieved from the L1 point. As more people use DSCOVR data worldwide, the ST hopes to hear from users and team members at its next meeting. The latest updates from the mission can be found on the EPIC website.
Alexander MarshakNASA’s Goddard Space Flight Centeralexander.marshak@nasa.gov
Adam SzaboNASA’s Goddard Space Flight Centeradam.szabo@nasa.gov

MIL OSI USA News –

February 17, 2025

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