Category: Transport

  • MIL-OSI Economics: Rosneft Builds a New Educational Centre in Bashkiria

    Source: Rosneft

    Headline: Rosneft Builds a New Educational Centre in Bashkiria

    With the support of Bashneft (a subsidiary of Rosneft), a new multifunctional educational centre was opened in the village of Elan-Chishma in the Ermekeyevsky District of the Republic of Bashkortostan. The 2,000 square metre school was built under the cooperation agreement between Rosneft and the region.

    Rosneft implements social projects aimed at creating favourable living conditions in the regions where it operates. This includes supporting initiatives in the field of education and upbringing of the younger generation.

    The multifunctional educational centre was built on the site of an old rural school that was constructed 70 years ago. It was housed in five wooden rooms, which significantly complicated the learning process and created everyday difficulties for schoolchildren.

    The building accommodates three institutions at once: a kindergarten, a comprehensive school and an art school. The centre has spacious classrooms, a workshop, a large library, a canteen, and a multifunctional gym that can be easily transformed into an assembly hall.

    The new educational centre has become a real attraction spot for people of all ages of Yelan-Chishma village and other nearby settlements, where about 2 thousand people live. The centre is fully autonomous: it has its own modular boiler house and substation transformer. In addition, the surrounding territory has been landscaped – children’s and sports grounds have been equipped, gazebos have been installed, shrubs and large trees have been planted.

    In total, more than 40 projects on construction and reconstruction of educational institutions have been implemented over the last 5 years within the framework of the Cooperation Agreement between Bashkortostan and Rosneft. These include the construction of a 300-seat polylingual boarding school in Neftekamsk, kindergartens in the village of Kushnarenkovo, Kushnarenkovsky district, and in the village of Stary Kurdym, Tatyshlinsky district, an educational building in the children’s health camp ‘Orlyonok’ in Ilishevsky district, a school in the village of Raevsky, Alsheyevsky district, and a major overhaul of the Ufa forestry school, the oldest secondary specialised educational institution in the capital of Bashkortostan.

    Reference:

    Bashneft is one of the oldest oil and gas enterprises in the country engaged in oil extraction and processing. Bashneft’s main production facilities are located in the Republic of Bashkortostan. Oil and gas exploration and production are also carried out in Khanty-Mansi Autonomous Area–Yugra, Nenets Autonomous Area, Orenburg Region and the Republic of Tatarstan.

    Rosneft
    Information Division
    September 2, 2024

    Keywords: Social News 2024

    MIL OSI Economics

  • MIL-OSI Global: As more Americans go ‘no contact’ with their parents, they live out a dilemma at the heart of Shakespeare’s ‘King Lear’

    Source: The Conversation – USA – By Jeanette Tran, Associate Professor of English, Drake University

    Losing a connection to your family, intentionally or not, is tragic. catscandotcom/E+ via Getty Images

    Is blood thicker than water? Should family always come first?

    These clichés about the importance of family abound, despite the recognition that familial relations are oftentimes hard, if not downright dysfunctional.

    But over the past few years, a discussion has emerged about a somewhat taboo move: cutting ties altogether with family members deemed “toxic.”

    Called going “no contact,” this form of estrangement usually involves adult children cutting ties with their parents. It might happen after years of abuse or when a parent disapproves of a child who has come out as LGBTQ+. Or it might be spurred by political or religious differences. Even Vice President Kamala Harris has been mostly estranged from her father since her parents’ divorce.

    The “no contact” movement has its proponents and detractors.

    Those in favor say people should disentangle from unhealthy relationships without shame, and that family should be held to the same standards as friends and romantic partners.

    Those against say the bar for what constitutes familial trauma has become too low, and that some kids who cut off all contact are being selfish.

    At the heart of the debate over the ethics of estrangement is a cultural attachment to the idea of family. The field of family estrangement is still in its early stages, but discussions of the collapsed parent-child relationship – its sources, its ethics, its consequences – can be found in literature across history. As I’ve encountered more articles, forums and social media posts devoted to family estrangement, I can’t help but see connections to Shakespeare’s “King Lear,” which I teach to my students as a tragedy about dysfunctional families.

    The tragedy features characters who are cast out by their families, and while the work is over 400 years old, it offers uncanny insight into the logic of modern family estrangement.

    Early modern family

    In Shakespeare’s time – the English early modern era, which spanned from the beginning of the 16th century to the start of the 18th century – Protestantism reinforced the idea that people had special obligations to their kin.

    As the English Puritan preacher John Foxe wrote in “The Book of Martyrs,” “Among all the affections of nature, there is none that is so deeply graved in a father’s mind, as the love and tender affection towards his children.”

    In Foxe’s teaching, children were blessings from God who required nurturing, spiritual guidance and material support from their parents. Children, in turn, were obliged to honor and obey their parents who cared for them.

    While this sounds simple enough, the early modern family was no less prone to dysfunction than the modern family.

    Just like today, parent-child relationships were dynamic and evolved across the life span of the parents. As historian Ilana Krausman Ben-Amos argues, the family bond was not sustained by adhering to God’s commands, but through giving and reciprocation that was asymmetrical.

    Parents could invest a lot into their children and get very little in return, and vice versa. Due to shorter life expectancy, many parents did not live to see their children come of age, and if they did, children rarely earned enough to pay their parents back for the cost of raising them. Thus, children might reciprocate in less material forms, such as through offering affection.

    When a parent died, the children might receive some form of inheritance, but this was largely determined by class status, gender and the order of birth.

    Shakespeare’s characters go ‘no contact’

    “King Lear” features two storylines. Each relates to the disintegration of the family.

    In ‘King Lear,’ Edgar cuts his family off after his father, Gloucester, disavows him.
    Heritage Images/Hulton Archive via Getty Images

    The first plot involves Gloucester and his two sons, Edgar and Edmund. Edmund is a bastard, which means when Gloucester dies, his legitimate brother, Edgar, will inherit everything. To get his revenge, Edmund forges a letter in which Edgar reveals plans to murder Gloucester to expedite his inheritance. Once Gloucester sees the letter, he writes Edgar off as a villain. Feeling betrayed, Edgar assumes a new identity as a beggar and goes no-contact with his family.

    In the second plot, King Lear attempts to divide his kingdom among his daughters. Because it is impossible to equally divvy up cities, towns and villages, he invents a contest: Each daughter will give a speech articulating their love for their father. He’ll award the best parts of the kingdom to the daughter who does the finest job stroking his ego.

    Lear expects Cordelia, his favorite, to outshine her sisters. But she refuses to play along and instead calls him out for his vanity. Feeling disrespected, Lear disinherits Cordelia. With no money, she’s forced to marry the first man who will take her and moves to France.

    In these family dramas, the parents are unfair, even vindictive, toward their children. But the conflict is still compelling and relatable to readers today because so many families are characterized by inequality.

    The favorite child, the preferred parent and the inheritance dispute are as timeless to families as birthday parties and funerals.

    Right and wrong get muddied

    Deception inspires Gloucester’s disavowal and disinheritance of Edgar. And, yes, Edmund’s scheme to destroy Edgar and Gloucester’s relationship is diabolical. But at the same time, Gloucester’s decision to throw away his decades-long relationship with his son over a letter – phony or not – seems rash.

    Was Edgar right to flee from his father? Or could something have been done to save the relationship?

    Cordelia is correct that Lear is vain for expecting his daughters to compete for their inheritance. At the same time, complimenting her father seems like a small price to pay for an entire kingdom.

    Is Cordelia acting like a spoiled brat by refusing to honor and obey her father? Or is she doing him a favor by calling out his unbecoming behavior?

    Shakespeare doesn’t offer us any clear answers to these questions; he just asks readers to wade in the complexity of them and experience the unique grief that comes from watching a family fall apart over something that maybe could have been avoided.

    No envy for the estranged

    No one gets a happy ending in “King Lear” – not the children who reject their parents, and most certainly not the parents, who need their children to protect them and care for them in old age.

    Edmund’s grief over his bastard status begets the grief he brings to Gloucester and Edgar. For failing to see the truth of Edgar’s innocence, Gloucester is physically blinded by one of Edmund’s unwitting co-conspirators, a punishment he accepts. When Edgar reunites with Gloucester, his eyes fill with tears as he witnesses his father’s physical suffering. Before Gloucester dies, Edgar asks his father for a blessing.

    Even though Lear cut off contact with Cordelia, she still returns to England once she learns her sisters have thrown Lear out onto the streets with nothing but the clothes on his back. The sisters come off as villains, but one could also see their abandoning Lear as karmic retribution. When Lear reunites with Cordelia, he begs for her forgiveness, suggesting he recognizes his failures, and she begs for his, recognizing her enduring love for him despite his faults.

    Cordelia comforts her father, King Lear, after he’s been betrayed by his other daughters.
    Universal History Archive/Getty Images

    Then and now, family estrangement often leads to loneliness, along with social stigma.

    Parents can be ashamed to say their children no longer speak to them. People who are estranged from their parents speak of the impulse to share milestones with family, but fear eroding the boundaries they’ve worked so hard to maintain.

    Just like in “King Lear,” not having a family also means being economically vulnerable: It remains difficult to get a loan or lease as a young adult without a co-signer.

    The advantages of belonging to a family are so obvious that losing that affiliation, intentionally or not, is tragic. “King Lear” ends with almost all the characters dying, but because this is a play – a fiction, a fantasy – they get to ask for and receive forgiveness before the curtain closes.

    Real life doesn’t usually work like that, nor should it be expected to. If “King Lear” and Kamala Harris’ estrangement from her father make anything clear, it is that no amount of money, power or threat of bad publicity can fully protect a family from dysfunction and disintegration.

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

    ref. As more Americans go ‘no contact’ with their parents, they live out a dilemma at the heart of Shakespeare’s ‘King Lear’ – https://theconversation.com/as-more-americans-go-no-contact-with-their-parents-they-live-out-a-dilemma-at-the-heart-of-shakespeares-king-lear-239916

    MIL OSI – Global Reports

  • MIL-OSI Security: Defense News: From the Streets to the Fleet: How Navy Training Transformed a Philadelphia Native’s Life

    Source: United States Navy

    “Growing up, I knew I wanted more,” Segarra recalled. “Where I come from, people don’t usually make it out. The Navy was my way out and my way forward, and joining was a decision that truly saved my life.”

    As he approaches 10 years of Navy service, Segarra is the Systems Administration Course supervisor and leading petty officer at Information Warfare Training Command (IWTC) San Diego, a position that allows him to mentor young Sailors who might come from similar backgrounds. He also dedicates his free time to being an active father to his daughter and providing her with a caring childhood.

    Turning a New Page with NETC

    Segarra’s story is a testament to how Naval Education and Training Command (NETC) has the power to set Sailors on a new course. Through NETC’s robust training programs, Sailors like Segarra receive not only technical skills but also the discipline and support they need to change their lives. For Segarra, his first encounter with NETC came during boot camp at Recruit Training Command (RTC), an experience that he describes as transformative.

    “Boot camp was the first time in my life that I experienced real silence,” he said. “Coming from a neighborhood where sirens and gunshots were constant, it was powerful to be in a place where I could focus and grow. That’s when I realized I was becoming part of something bigger than myself.”

    From RTC, Segarra moved on to Information Technician “A” School, where he faced the challenge of intense coursework. He credits his instructor, Chief Information Systems Technician Kelley Torranto, for believing in him and pushing him to succeed.

    “Chief Torranto was the first person outside of my uncle who truly believed in me,” he reflected. “She kept pushing me, even when I felt like giving up. I still have the challenge coin she gave me after I graduated—it reminds me every day of what I’ve overcome.”

    A Career Defined by Service and Mentorship

    Since those early days, Segarra’s career has been marked by rapid advancement and recognition. He served at the Naval Communications Security Material System in Washington, D.C., where he quickly advanced in rank, and earned titles like Bluejacket of the Year and Junior Sailor of the Year. Later, while serving aboard littoral combat ships, Segarra deployed on pioneering missions, including counter-drug operations in the U.S. 4th Fleet area of responsibility.

    Now, as an instructor at IWTC San Diego, Segarra focuses on preparing the next generation of Navy information warriors. He shares his background with new Sailors, especially those from difficult upbringings, offering hope and encouragement as someone who understands their challenges.

    “I’ve been where they are, and I know what it’s like to think there’s no way out,” he said. “My goal is to help them see what’s possible with hard work and commitment.”

    The Impact of NETC Training

    Segarra’s story highlights the strengths of NETC’s training programs, which combine technical instruction with personal mentorship to create well-rounded, fleet-ready Sailors. He emphasizes that NETC’s focus on real-world skills and fleet-relevant training helps Sailors gain confidence and expertise.

    “NETC isn’t just about teaching us the basics,” he explained. “It’s about setting us up for success, both on and off the ship. The Navy has given me stability, purpose and the ability to give my daughter a life I never had. For me, that’s worth everything.”

    Looking Ahead

    As he continues his Navy career, Segarra remains deeply grateful for the opportunities and experiences that have shaped his journey. He looks forward to furthering his career in the Navy and using the skills and values he has gained to inspire others.

    “My peers sometimes joke about how motivated I am, but they don’t realize how much I feel indebted to the Navy for giving me this second chance,” Segarra said. “Thanks to the Navy, I can be the dad I always wanted to be, and I can provide a better future for my family. That’s something I never take for granted.”

    Conclusion

    Segarra’s story is a powerful reminder of how the Navy and NETC’s training programs can transform lives. From the streets of Philadelphia to his current role at IWTC San Diego, Segarra’s journey is a testament to resilience, dedication and the life-changing impact of military service. Through his continued work, he helps shape the next generation of Sailors, showing them that, with hard work and determination, they too can achieve their dreams.

    For more information on how NETC prepares Sailors for success in the fleet, visit https://www.netc.navy.mil/.

    MIL Security OSI

  • MIL-OSI United Kingdom: Child Poverty Taskforce aims to ‘give all children the best start in life’

    Source: United Kingdom – Executive Government & Departments

    Voices of struggling families, anti-poverty organisations and local leaders will be put at the centre of the Child Poverty Taskforce’s work to build an ambitious strategy to give all children the best start in life, ministers have pledged in a new framework published today [Wednesday 23 October].

    • Child Poverty Taskforce co-chairs Liz Kendall and Bridget Phillipson speak to parents and Barnardo’s CEO at a charity centre in Brent  

    • Comes as new framework sets out how Child Poverty Taskforce will build a bold strategy to break down barriers to opportunity and give all children the best start in life  

    • Ministers to host events and travel across the United Kingdom to hear views and experiences of local leaders, charities and those living in poverty

    The Taskforce today publishes a framework for the strategy that will come out in the Spring. 

    Over the coming months the Taskforce will focus on reducing the number of children in relative poverty after housing costs, reducing the number of children who are going without essentials, and giving all children the best start in life.

    The publication outlines how the Taskforce will work with key anti-poverty organisations around targets such as reducing costs, increasing incomes and improving access to early year’s support for struggling families.

    Work and Pensions Secretary Liz Kendall MP and Education Secretary Bridget Phillipson MP kicked off this engagement by visiting a Barnardo’s Family Centre in Brent alongside Barnardo’s CEO Lynn Perry MBE. They joined a children’s session focused on healthy eating and heard how parents – including single parents – are struggling with the cost of essentials.

    Later today, ministers will meet with the likes of Ofgem, The Food Foundation, Water UK and other leading organisations on the theme of reducing household costs.

    The new document sets out how ministers will take part in events across the nations and regions of the United Kingdom, bringing together a diverse range of voices and expertise to address the systemic drivers of poverty – ranging from employment to housing – as it creates an ambitious strategy to be set out in the Spring.

    Taskforce co-chair and Work and Pensions Secretary Liz Kendall MP will visit Scotland next month to bring together local leaders, key charities and organisations as well as parents, children and frontline workers.

    Work and Pensions Secretary Liz Kendall MP said:  

    Children can’t fulfil their potential without food in their bellies or a roof over their head. And Britain cannot fulfil its potential when the talents of so many children are being denied.

    It is unacceptable that more than 4m children are now growing up in poverty. Under our new government, this will change.

    We will work with campaigners and experts – and struggling families across the country to deliver a bold and ambitious strategy that drives down poverty and drives up opportunity in every corner of the land.

    Education Secretary Bridget Phillipson MP said:  

    The stain of poverty of child poverty in this country has jeopardised the life chances of too many children for too long.

    Ending child poverty is a complex and difficult task, but our defining mission is to break down the unfair link between background and success – so every child believes that opportunity can belong to them.

    Today’s framework sets the clear direction on this mission, ensuring we are united across government and with stakeholders to drive down household costs.

    A new forum of parents and carers living across the UK will be set up to ensure the experiences of children in poverty, including those with special educational needs and disabilities, feed into the final strategy.

    Leading organisations such as Barnardo’s, Citizens Advice, the National Children’s Bureau and Save the Children will share their knowledge with Ministers, and a new board of leading academics and experts on tackling poverty will inform, test and scrutinise the work being done on the Strategy.

    Barnardo’s Chief Executive, Lynn Perry MBE, said:    

    We are seeing epidemic levels of poverty amongst children in the UK. Across the country, families are facing a desperate struggle to put food on the table, keep the lights on and heat their homes this winter. More than 4.3 million children are growing up in poverty, with one in four families saying they’ve struggled to afford food in the last 12 months alone.   

    Growing up in poverty can have a devastating impact on a child’s life, affecting their learning, mental and physical health long into adulthood, while limiting their life chances.  

    We’re grateful to the Secretaries of State for Work and Pensions and Education for their visit to meet children and families at our Brent service which supports those struggling with the cost-of-living. We look forward to working with ministers to find long-term solutions to these issues whilst recognising families also need immediate help this winter.

    Dame Clare Moriarty, Chief Executive at Citizens Advice, said:  

    The cost-of-living crisis has squeezed household finances and tipped many into significant hardship. Our frontline advisors are still seeing families doing all they can but unable to afford essentials for their children.

    A clear strategy to combat child poverty is urgently needed. It must be ambitious and ensure that people facing acute pressures get the help they need soon, while also delivering change that will last.

    Anna Feuchtwang, Chief Executive of the National Children’s Bureau, said:  

    4.3 million children living in poverty in the UK is an unacceptable blight on our society and children deserve better.

    NCB welcomes the Government’s commitment to consulting with a broad range of stakeholders to understand how to make this happen. It is crucial that the voices of children and families with lived experience of poverty are central not just to the development of the strategy, but to implementing it as well.

    We desperately need to see progress for children in this area – asking the right questions is a good start.

    Dan Paskins, Executive Director of Policy, Advocacy and Campaigns at Save the Children UK, said:  

    For too long child poverty has been shamefully high, so we welcome the recognition from the UK Government today that tackling it is a moral imperative.

    The root causes of poverty are complex and can only be solved by listening to and working with those most affected. We are therefore really pleased to be working with the UK Government to facilitate the Child Poverty Taskforce hearing directly from children, their families, and our partners in communities across the UK.

    We look forward to working with UK Government, with organisations across the sector, and across the regions and nations of the UK, to develop a Child Poverty Strategy that ensures all children have the guaranteed support that they desperately need and deserve.

    The development of this ambitious strategy will be guided by the internationally recognised measure ‘Relative Poverty After Housing Costs’. 

    To support struggling families, we have already boosted the Household Support Fund by a further £421 million in England while the Warm Home Discount remains in place for low-income households as the Government stands firms on its commitment to protect those most at risk this winter.  

    This comes alongside Government plans to deliver quality work and better pay through the Employment Rights Bill, create 3,000 new nurseries, and lower energy bills through Great British Energy.  

    Additional Information   

    • There are currently 4.3m children in relative poverty after housing costs in the United Kingdom as of 2022/23.  

    • Relative Poverty After Housing Costs takes into account the proportion of families with below 60% of the median income after housing costs are deducted.  

    • The Barnardo’s Family Centre in Brent offers a wide range of free advice to families while providing crisis funding through vouchers, hosts cooking sessions and holds activity days for children to give them the best start in life and ease the burden on those living in poverty.  

    • The ’Tackling Child Poverty: Developing our Strategy’ document is available here: Tackling Child Poverty: Developing Our Strategy – GOV.UK (www.gov.uk) 

    • Following the Household Support Fund extension, an estimated £79million will be made available to the Devolved Governments to support their citizens as they see fit.

    Updates to this page

    Published 23 October 2024

    MIL OSI United Kingdom

  • MIL-OSI Russia: Moscow Metro Celebrates 3 Years of Biometric Payments, Sets New Cashless Payment Record

    Translation. Region: Russian Federation –

    Source: Moscow Metro

    Moscow Metro celebrates milestone: three years of successful biometric payment

    Maxim Liksutov, Deputy Mayor of Moscow for Transport and Industry, noted the convenience of this payment method, which is now available at turnstiles throughout the city:

    – the metro and the Moscow Central Circle (MCC)

    – Aeroexpress

    – regular river transport

    – several stations of the Moscow Central Diameter (MCD).

    Here are some impressive numbers:

    – More than 1,100 turnstiles equipped with a biometric payment system

    – More than 160,000 daily travel tickets issued using biometrics

    – About 375,000 users have registered with the service

    In 2021, we launched biometric payment in the metro. Passengers no longer need cards, phones or wallets to pass through the turnstiles. They just look into the camera, and the passage opens. Users have already made more than 125 million passes. Nowhere in the world is this service as convenient as in the Russian capital. Over these 3 years, it has proven its maximum security and reliability, – Liksutov noted.

    The Moscow Metro also set a new record:

    The Moscow Metro system has reached a new milestone: a record 91.2% of passengers now use non-cash payment methods. This is the highest figure since the launch of these services, and it is a clear sign of the transition to more convenient and efficient transport for our citizens. By introducing digital solutions, we have made convenient, fast and environmentally friendly payment instruments easily accessible, – added Maxim Liksutov.

    The most popular methods of cashless payment include:

    – Biometric payment

    – Virtual card “Troika”

    – Fast Payment System (FPS)

    – Bank cards and payment stickers

    Moscow is becoming a world leader in the number of available payment methods for public transport. Following the instructions of Moscow Mayor Sergei Sobyanin, we will continue to develop modern, domestic services in our city’s transport system, Liksutov concluded.

    This achievement highlights Moscow’s commitment to modernising its infrastructure and introducing innovative technologies to improve the lives of its citizens.”

    MIL OSI Russia News

  • MIL-OSI USA: A Congress.gov Interview with Christy Amatos, Assistant Parliamentarian for the US Senate

    Source: US Global Legal Monitor

    Today’s Congress.gov interview is with Christy Amatos, an Assistant Parliamentarian at the United States Senate. 

    Describe your background.

    I am a native Ohioan who attended The Ohio State University and later Boston University for law school. I have been working in non-partisan legislative work for about a decade – I started my career in the Ohio General Assembly as a bill drafter. After about a year of that, I was offered the chance to move to another legislative agency that was in the process of rolling out software to fully digitize the lawmaking process. I had no background in tech but they promised me if I knew the legislative process, they would teach me everything I needed to know about being a business analyst.

    I had no idea what I was getting into but I loved it! I served as the liaison between the clerks in the Ohio Senate and House of Representatives and the team designing and developing the software. I learned so much about communication – both the unique language used in software development but also how to confront and address problems in a productive and congenial way, particularly in high stress situations. At the time, I had no idea how much those skills were going to help me in the future.

    A few years later, I joined the Office of the Senate Parliamentarian in Congress, another non-partisan role but one that was more traditionally connected to my legal training. I have been here for about six years and love it. The people who work on Capitol Hill are what make this job so great – from the Secretary of the Senate staff I work with every day to the folks at the Library of Congress who engage with us on Congress.gov.

    How would you describe your job to other people?

    The Senate Parliamentarian is kind of like the referee of the Senate. We interpret and apply the rules of the Senate on a daily basis.

    What is your role in the development of Congress.gov?

    It just so happened that when I started working in the Senate, there was an opportunity to join the Secretary of the Senate’s Congress.gov team and because of my past experience, my boss suggested I join. I was definitely excited to be able to dip my toes back into some of the type of work I had been doing in Ohio. At that time, Congress.gov was live but so was the previous resource, LIS, which was a website only accessible to Congress with some additional features that the public-facing site THOMAS did not have. There were a lot of growing pains getting Congress.gov to the point where it could provide the same level of service to users that LIS had . . . and a lot of staff who were always going to like LIS better no matter what. So we had a big challenge working to gain the trust of the internal users while also continuing to work on bettering Congress.gov.

    Fortunately, we were able to gather a great group of staff, both on the Secretary of the Senate side of things and on the Library of Congress side, and were able to get buy-in from some important, but previously uninvolved, stakeholders and then things really started to improve.

    All of that to say that I think of my role in two parts – provide important feedback on how data is used and presented from the perspective of my office, but also to help facilitate the good conversations and working relationships that are critical to the success of Congress.gov.

    One thing I do take great satisfaction in is fixing errors in really old data – we recently fixed one from five years before I was born – you know the errors have been out there for decades and maybe no one has looked at that particular piece of legislation or maybe they did not notice the misspelled word but fixing it is one more tiny step to getting Congress.gov to be as perfect as we can make it and I find that so satisfying.

    What is your favorite feature of Congress.gov?

    I think someone described the folks in my office as “power users” of Congress.gov, which sounds much more impressive than I ever actually feel on a daily basis. But I do use the search functions on Congress.gov every single day, so my favorite feature is absolutely one of the advanced searches. The command line search lets the user input search terms and connectors to tailor the results to be very specific without having to click a lot of boxes or choose from dropdown menus. There is nothing more satisfying than getting good search results on the first try!

    What is the most interesting fact you’ve learned about the legislative process while working for Congress?

    I have been working in the legislative branch for about a decade at this point, so I am not entirely sure I can pin down one in particular. Something I have started to spend time learning, however, is the history of the legislative process, and by extension, the history of the people working in the legislature.

    One of my favorite anecdotes is that before the Russell Senate Office Building was named for Richard Russell, it was just called the Senate Office Building and Senator Harry Truman would joke that his constituents could address his mail to “Harry Truman S.O.B.” and the Post Office would know where to deliver it.

    One of the important things I have learned about the legislative process is that it is made up of all of the people who have worked and served here, not just the elected members. For example, last year I read the obituary of former Senate Committee on Foreign Relations staffer Bertie Bowman and immediately went in search of his autobiography. He started working at the Capitol in the 1940s when he was 13 years old and did not fully retire until 2021. His story of service to his country is just one example of why so many people have done this work over more than two centuries and serves as an inspiration for those of us currently doing it.

    What’s something most of your co-workers do not know about you?

    This is the opposite of something people do not know about me, I am telling everyone because it makes me laugh! I just got a kitten and I named him John Quincy Catams.

    John Quincy Catams, picture courtesy of Christy Amatos.

    Subscribe to In Custodia Legis – it’s free! – to receive interesting posts drawn from the Law Library of Congress’s vast collections and our staff’s expertise in U.S., foreign, and international law.

    MIL OSI USA News

  • MIL-OSI: Global Cloud Storage Market Expected to Reach $234 Billion By 2028 as Tech Stocks Chase Big Opportunities in Big Data

    Source: GlobeNewswire (MIL-OSI)

    PALM BEACH, Fla., Oct. 23, 2024 (GLOBE NEWSWIRE) — FN Media Group News Commentary – The cloud storage market is witnessing significant growth due to the expanding realms of IoT and big data. Cloud storage services offer an agile, flexible, and scalable model for data storage on the Internet, managed and operated by service providers. This model provides enterprises with advantages such as rapid deployment, scalability, reduced CAPEX, and uninterrupted business continuity. A report from MarketsAndMarkets projected that the global Cloud Storage Market size is expected to grow to USD $234.9 Billion by 2028 at a Compound Annual Growth Rate (CAGR) of 18.8% during the forecast period. The report said: “The rising investments by governments and investors in tailored Cloud Storage solutions offerings along with the increasing need for flexible, scalable, efficient storage and disaster recovery, backup solutions and services, are expected to drive the market growth. The demand across enterprises worldwide for Cloud Storage solutions in a shift to cloud-based technologies from on premises is expected to drive the market growth. Surge in demand to provide remote work force with omnipresent access to data and files has been a key driving factor to foster market adoption largely.” Active tech companies in the markets this week include: Scope Carbon Corp. (OTCQB: SCPCF) (CSE: SCPE), Oracle Corporation (NYSE: ORCL), Snowflake (NYSE: SNOW), NVIDIA Corporation (NASDAQ: NVDA), Advanced Micro Devices, Inc. (NASDAQ: AMD).

    MarketsAndMarkets continued: “Based on use cases, Backup & Recovery will hold the highest market share in the Cloud Storage market during the forecast period. Backup & Recovery is crucial in safeguarding data and ensuring business continuity. These applications are purpose-built to address the unique challenges of modern, dynamic, and often distributed IT environments. By seamlessly integrating with cloud technologies and containerized workloads, they provide a layer of resilience that protects data against loss, corruption, or disasters. These solutions enable organizations to efficiently create backups, perform granular recoveries, and maintain data integrity, thereby supporting cloud applications and services reliable and uninterrupted operation. In an era where data is a paramount asset, Backup & Recovery applications in cloud storage are indispensable for mitigating risks and ensuring the availability and integrity of critical information.”

    Scope Carbon Corp. (CSE: SCPE) (OTCQB: SCPCF) Launches Subscription Model for Round-Trip Encrypted, Quantum-Resilient Cloud Storage for Individuals and Small Businesses Scope Carbon Corp. (“Scope” or the “Company”) is pleased to announce the official launch of its subscription model, now offering individuals and small businesses full access to its industry-leading round-trip encrypted and quantum-resilient decentralized cloud storage solutions.

    This launch builds on Scope Technologies’ commitment to providing top-tier, next-generation data security. With the QSE (Quantum Security Entropy) platform, individuals and small businesses can now leverage the same advanced encryption and decentralized storage infrastructure that Scope delivers to mid-sized and enterprise clients, ensuring their data remains safe from current and future cyber threats. The platform is designed for seamless scalability, allowing users to expand their storage and security needs as they grow, without compromising performance or protection. Additionally, QSE’s efficiency-driven model ensures competitive pricing, reflecting our ability to deliver premium security solutions with exceptional value. Readers are encouraged to visit Scope Technologies’ QSE platform at: https://www.qse.group/#services

    A New Era of Data Security for Individuals and Small Businesses

    Following the successful completion of platform updates and closed-group testing, individuals and small business users now have access to QSE’s cloud storage services, featuring:

    • Quantum-Proof Encryption: Utilizing quantum entropy to generate encryption keys that remain unbreakable, even by future quantum computing power.
    • Immutable, Decentralized Storage: A decentralized infrastructure ensures data is protected from ransomware, over-encryption, or tampering, offering a significant advantage over traditional cloud backups.
    • Seamless Integration: Easy-to-use APIs allow for quick setup and smooth integration with existing data systems, providing flexibility and scalability.
    • Accessible Pricing Plans: Tiered subscription options make enterprise-grade security affordable and accessible for both individuals and small businesses.

    “Data protection should not be a luxury,” said Sean Prescott, Founder and CTO of Scope Technologies Corp. “With this launch, we’re making the same round-trip, quantum-resistant encryption and decentralized storage vaults available to individuals and small businesses that we already provide to mid-sized and enterprise corporations. Now everyone can protect their data from today’s risks and the future challenges posed by quantum computing.” CONTINUED… Read this full release and more for Scope Technology at: https://www.financialnewsmedia.com/news-scpe/

    In other tech industry news of interest:

    Oracle Corporation (NASDAQ: ORCL) – To ease patient settlement and payment reconciliation, Oracle recently announced Oracle Health Payments. With the end-to-end payment solution, including gateway routing, processing, and acquiring under a single agreement, healthcare facilities can help reduce costly, unexpected service fees. It also makes it easier for patients to cover a copay, elective surgery, or an existing bill using a variety of payment options including, traditional chip and pin pay methods, or simply tapping to pay with the latest digital options including Apple Pay, Google Pay, and Samsung Pay.

    Payment processing costs can vary widely between payment providers, card brands, or payment types. Compliance and service fees can also make it difficult for healthcare facilities to estimate and factor these costs into their financial planning. Built on Oracle Cloud Infrastructure (OCI), Oracle Health Payments offers a payment card industry (PCI)-compliant, fixed-rate pricing model with no additional service or convenience fees. Integrated with Oracle’s point-of-sale hardware and Oracle Health Patient Accounting, Oracle Health Payments uses end-to-end encryption and tokenization, empowering health systems to securely capture payments and automate revenue posting, which helps reduce fraud and collection costs.

    Snowflake (NYSE: SNOW), the AI Data Cloud company, recently announced the launch of the AI Data Cloud for Travel and Hospitality, uniting Snowflake’s data platform, AI capabilities, and industry-specific solutions to deliver best-in-class data insights for the travel and hospitality industry. Snowflake empowers airlines, hotels, cruise lines, and travel technology providers to harness data and artificial intelligence to improve operations and power five-star customer experiences across the sector.

    As the travel and hospitality industry transitions from recovery to stable growth, businesses face new challenges and opportunities. Snowflake is uniquely positioned to support this growth, offering a unified platform that streamlines AI and ML development, providing top-tier security and governance capabilities, and democratizing data access. With robust data collaboration capabilities and effortless scalability, Snowflake enables organizations to harness their data’s full potential.

    NVIDIA Corporation (NASDAQ: NVDA) recently announced that it has contributed foundational elements of its NVIDIA Blackwell accelerated computing platform design to the Open Compute Project (OCP) and broadened NVIDIA Spectrum-X™ support for OCP standards.

    At this year’s OCP Global Summit, NVIDIA will be sharing key portions of the NVIDIA GB200 NVL72 system electro-mechanical design with the OCP community — including the rack architecture, compute and switch tray mechanicals, liquid-cooling and thermal environment specifications, and NVIDIA NVLink™ cable cartridge volumetrics — to support higher compute density and networking bandwidth.

    NVIDIA has already made several official contributions to OCP across multiple hardware generations, including its NVIDIA HGX™ H100 baseboard design specification, to help provide the ecosystem with a wider choice of offerings from the world’s computer makers and expand the adoption of AI.

    Advanced Micro Devices, Inc. (NASDAQ: AMD) and Intel Corp. (INTC) recently announced the creation of an x86 ecosystem advisory group bringing together technology leaders to shape the future of the world’s most widely used computing architecture. x86 is uniquely positioned to meet customers’ emerging needs by delivering superior performance and seamless interoperability across hardware and software platforms. The group will focus on identifying new ways to expand the x86 ecosystem by enabling compatibility across platforms, simplifying software development, and providing developers with a platform to identify architectural needs and features to create innovative and scalable solutions for the future.

    For over four decades, x86 has served as the bedrock of modern computing, establishing itself as the preferred architecture in data centers and PCs worldwide. In today’s evolving landscape—characterized by dynamic AI workloads, custom chiplets, and advancements in 3D packaging and system architectures—the importance of a robust and expanding x86 ecosystem is more crucial than ever.

    About FN Media Group:

    At FN Media Group, via our top-rated online news portal at http://www.financialnewsmedia.com, we are one of the very few select firms providing top tier one syndicated news distribution, targeted ticker tag press releases and stock market news coverage for today’s emerging companies. #pressreleases #tickertagpressreleases

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    DISCLAIMER: FN Media Group LLC (FNM), which owns and operates FinancialNewsMedia.com and MarketNewsUpdates.com, is a third party publisher and news dissemination service provider, which disseminates electronic information through multiple online media channels. FNM is NOT affiliated in any manner with any company mentioned herein. FNM and its affiliated companies are a news dissemination solutions provider and are NOT a registered broker/dealer/analyst/adviser, holds no investment licenses and may NOT sell, offer to sell or offer to buy any security. FNM’s market updates, news alerts and corporate profiles are NOT a solicitation or recommendation to buy, sell or hold securities. The material in this release is intended to be strictly informational and is NEVER to be construed or interpreted as research material. All readers are strongly urged to perform research and due diligence on their own and consult a licensed financial professional before considering any level of investing in stocks. All material included herein is republished content and details which were previously disseminated by the companies mentioned in this release. FNM is not liable for any investment decisions by its readers or subscribers. Investors are cautioned that they may lose all or a portion of their investment when investing in stocks. For current services performed FNM has been compensated forty nine hundred dollars for news coverage of the current press releases issued by Scope Technology Corp. by a non-affiliated third party. FNM HOLDS NO SHARES OF ANY COMPANY NAMED IN THIS RELEASE.

    This release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. “Forward-looking statements” describe future expectations, plans, results, or strategies and are generally preceded by words such as “may”, “future”, “plan” or “planned”, “will” or “should”, “expected,” “anticipates”, “draft”, “eventually” or “projected”. You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company’s annual report on Form 10-K or 10-KSB and other filings made by such company with the Securities and Exchange Commission. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements. The forward-looking statements in this release are made as of the date hereof and FNM undertakes no obligation to update such statements.

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    SOURCE: FN Media Group

    The MIL Network

  • MIL-OSI: Amplify ETFs Launches the Amplify Small-Mid Cap Equity ETF (NYSE Arca: SMAP)

    Source: GlobeNewswire (MIL-OSI)

    CHICAGO, Oct. 23, 2024 (GLOBE NEWSWIRE) — Amplify ETFs announces the launch of the actively managed Amplify Small-Mid Cap Equity ETF (NYSE Arca: SMAP), offering investors targeted exposure to high-quality U.S.-listed small- and mid-cap growth and value equity securities.

    SMAP seeks to invest in companies with market capitalizations between $400 million and the largest companies in the Russell 2500 Index, giving successful companies room to run into mid-cap without forced premature selling. Curi RMB Capital actively manages SMAP by using a proprietary economic return framework to identify attractively priced small- to mid-cap companies across all stages of the corporate lifecycle while building a portfolio diversified by corporate lifecycle stage and sector.

    “SMAP offers investors a compelling opportunity to capitalize on the growth potential of professionally selected small and mid-cap companies in a rate-cutting environment,” said Christian Magoon, CEO of Amplify ETFs. “The Curi RMB Capital team prides itself on a rigorous selection process in search of high-quality small- and mid-cap companies. SMAP is a natural complement to our growing suite of ETFs that meet the diverse needs of today’s investors.”

    Curi RMB Capital also runs the RMB SMID Cap Fund (RMBMX), a mutual fund with a 20-year track record. RMBMX is led by Christopher Faber, senior vice president and portfolio manager, who has a history of identifying market inefficiencies and uncovering high-growth potential small and mid-sized companies. Christopher Faber is also the lead portfolio manager for SMAP.

    “We are pleased to enter the ETF market with Amplify ETFs as our partner,” said Faber. “Market conditions are favorable for small- and mid-cap companies driven by lower rates, strong earnings potential and current valuations.”

    For more information about SMAP, visit AmplifyETFs.com/SMAP.

    About Amplify ETFs
    Amplify ETFs, sponsored by Amplify Investments, has over $10 billion in assets across its suite of ETFs (as of 10/11/2024). Amplify ETFs deliver expanded investment opportunities for investors seeking growth, income, and risk-managed strategies across a range of actively managed and index-based ETFs. To learn more visit AmplifyETFs.com.

    Carefully consider the Fund’s investment objectives, risks, charges, and expenses before investing. This and other information can be found in the Fund’s statutory and summary prospectuses, which may be obtained at AmplifyETFs.com. Read the prospectus carefully before investing.

    Investing involves risk, including the possible loss of principal. The fund is new with limited operating history. You could lose money by investing in the Fund. There can be no assurance that the fund’s investment objectives will be achieved. Shares of any ETF are bought and sold at market price (not NAV), may trade at a discount or premium to NAV and are not individually redeemed from the Fund. Brokerage commissions will reduce returns.

    Investments in small and mid-cap companies may have limited liquidity and greater price volatility than large-capitalization companies.

    Amplify Investments LLC serves as the investment adviser to the Fund. Curi RMB LLC and Penserra Capital Management LLC each serve as investment sub-advisers to the Fund.

    Amplify ETFs are distributed by Foreside Fund Services, LLC.

    The MIL Network

  • MIL-OSI Economics: Humans of Samsung: Embracing Mindfulness on a Transformative Journey to Korea

    Source: Samsung

    On July 14, 2024, I stepped off the plane in Seoul, South Korea, and I couldn’t help but feel a mix of excitement, curiosity, and nervousness. I was about to embark on a journey that would touch me both professionally and personally as part of the pilot Samsung Ambassador Program. Little did I know that this trip would not only deepen my understanding of Samsung’s rich history, philosophy, and leadership but also introduce me to some of the kindest, most passionate, and most dedicated individuals from around the world.
    My first day started promptly at 8 a.m. on July 15th. The Ambassador Program participants gathered in front of the hotel, awaiting a shuttle bus that would take us to Samsung University. After about an hour-long ride, we arrived at the campus, which is nestled near Everland in Yongin, Gyeonggi, roughly an hour outside of Seoul. The university grounds were perfectly manicured, with trees that resembled huge bonsais and wild peacocks basking in the sunlight. The natural beauty of the surroundings was stunning, especially since we were just outside one of the largest urban areas in the world. From the moment we arrived, I was struck by the warmth and hospitality of the Samsung University team.

    As we gathered in the “Vision Hall,” one of the main training rooms at the university, we quickly dove into the program following introductions. There was no time like the present! While we learned about Samsung’s commitment to innovation, quality, and customer satisfaction, it was the kindness, generosity, and warmth of my fellow ambassadors that truly left a permanent mark on my heart.
    Throughout the week-long program, we explored Samsung’s fascinating history, its humble beginnings, its visionary leadership, and the guiding principles that have propelled the company to global success. We engaged in thought-provoking discussions, hands-on workshops, and an exclusive tour of the Samsung Guide Dog School, founded by late chairman Lee Kun-hee in June 1993. The school, which supports the visually impaired, as well as therapy and search-and-rescue efforts, proudly celebrated its 30th anniversary in 2023.

    MIL OSI Economics

  • MIL-Evening Report: This Atlanta neighborhood hired a case manager to address rising homelessness − and it’s improving health and safety for everyone

    Source: The Conversation (Au and NZ) – By Ishita Chordia, Ph.D. Candidate in Information Science, University of Washington

    Mural by artist Chris Wright on Metropolitan Avenue in East Atlanta. Art Rudick/Atlanta Street Art Map, CC BY-ND

    Homelessness has surged across the United States in recent years, rising 19% from 2016 though 2023. The main cause is a severe shortage of affordable housing. Rising homelessness has renewed debates about use of public space and how encampments affect public safety.

    The U.S. Supreme Court recently weighed in on these debates with its 2024 decision in Grants Pass v. Johnson. The court’s ruling grants cities the authority to prohibit individuals from sleeping and camping in public spaces, effectively condoning the use of fines and bans to address rising rates of homelessness.

    East Atlanta Village, a historically Black neighborhood in Atlanta with about 3,000 residents, is trying something different. In the fall of 2023, with support from the Atlanta City Council, the mayor’s office and Intown Cares, a local nonprofit that works to alleviate homelessness and hunger, the neighborhood hired a full-time social worker to support people experiencing homelessness.

    Michael Nolan, an Intown Cares social worker, is trained in an approach that emphasizes individual autonomy and dignity, recognizes that being homeless is a traumatic experience, and prioritizes access to housing. His role includes helping individuals get the documentation they need to move off the streets, such as copies of their birth certificates and Social Security cards. He also has a dedicated phone line that community members can use to alert him about dangerous situations that involve homeless people.

    Michael Nolan, East Atlanta Village’s social worker, spends 40-plus hours weekly providing supplies, services and other help to people experiencing homelessness.

    I am a researcher at the University of Washington studying programs and technologies that help urban neighborhoods flourish. I’m also a resident of East Atlanta Village and have helped the neighborhood organize and evaluate this experiment.

    For the past year, my colleagues and I have collected data about the neighborhood social work program to understand how well it can support both people without housing and the broader community. Our preliminary findings suggest that neighborhood social work is a promising way to address challenges common in many neighborhoods with homelessness.

    I believe this approach has the potential to provide long-term solutions to homelessness and improve the health and safety for the entire neighborhood. I also see it as a sharp contrast with the punitive approach condoned by the Supreme Court.

    Resolving conflicts over public space

    One of the people I interviewed while evaluating this initiative was Rebecca, a resident of East Atlanta Village who walks her dog in the local park every day. In the fall of 2023, she noticed that a man had moved into the park and set up a tent. At first, the area was clean, but within a few weeks there was garbage around the tent and throughout the park.

    Rebecca felt that the trash was ruining one of the few green spaces in the neighborhood. She decided to contact Nolan. Nolan told her that he knew the unhoused man, was working with him to secure permanent housing and in the meantime would help him move his tent to a less-frequented space.

    Such negotiations around public spaces are common challenges for neighborhoods with large homeless populations, especially in dense urban areas. Other examples in our data included conflicts when a homeless person began sleeping in his car outside another resident’s home, and when a homeless man wandered into a homeowner’s yard.

    The standard approach in these situations is to fine, ban or imprison the unhoused individual. But those strategies are expensive, can prolong homelessness and do little to actually resolve the issues.

    In contrast, hiring a social worker has enabled East Atlanta Village to resolve conflicts gently, through conversation and negotiation. The solutions address concerns about public health and safety and also offer people without homes an opportunity for long-term change.

    Meeting basic needs

    Over the past year, this program has helped 13 people move into housing. Nolan has facilitated over 180 medical and mental health care visits for people living on the street.

    Eighty-six people have been connected to Medicaid, food assistance or Social Security benefits. Thirty-five people have health care for the first time, and six people have started receiving medication for their addictions.

    Research shows that addressing people’s basic needs by helping them obtain food, medicine, housing and other necessities not only supports those individuals but also produces cascading benefits for the entire community. They include reduced inequality, better health outcomes and lower crime rates.

    Managing mental and behavioral health

    Studies have found that about two-thirds of unhoused individuals struggle with mental health challenges. Unmet mental and behavioral health needs can contribute to unsafe and illegal behavior.

    The United States does not have a comprehensive system in place for supporting people who are living on the street and struggling with chronic mental and behavioral health challenges. While much more infrastructure is needed, in East Atlanta Village, Nolan is able to check in on people experiencing homelessness, work with clinics to deliver medication for addiction and mental health needs and alert community members about dangerous situations.

    As an example, in December 2023 a homeless man was arrested in East Atlanta Village for trespassing, stealing mail and other erratic behavior. When concerned residents posted to the neighborhood Facebook group, Nolan responded that he knew the man well, that this behavior was not typical and that he would look into the situation.

    Nolan later updated his post, commenting that the man had been arrested but that he would “continue to follow up and ensure that his current behaviors do not return upon his release.”

    In other examples, Nolan has helped de-escalate situations when people experienced mental health episodes in local coffee shops and churches.

    A model for other cities

    Cities around the U.S. have decisions to make about addressing homelessness and its associated challenges. Neighborhood social work is not a magic bullet, but my colleagues and I see it as a promising approach to address the most common challenges that neighborhoods with high rates of homelessness face.

    East Atlanta Village is currently working with the Atlanta City Council to renew funding for this program, which cost US$100,000 in its initial year. We hope that other neighborhoods also consider this strategy when deciding how to address homelessness in their own areas.

    Ishita Chordia is affiliated with the East Atlanta Neighborhood Association. She volunteers for the neighborhood association and has helped organize and evaluate the neighborhood social work program.

    ref. This Atlanta neighborhood hired a case manager to address rising homelessness − and it’s improving health and safety for everyone – https://theconversation.com/this-atlanta-neighborhood-hired-a-case-manager-to-address-rising-homelessness-and-its-improving-health-and-safety-for-everyone-236466

    MIL OSI AnalysisEveningReport.nz

  • MIL-OSI USA: FACT SHEET: Biden-⁠ Harris Administration Announces $110 Million in Awards from ARPA-H’s Sprint for Women’s Health to Accelerate New Discoveries and  Innovation

    US Senate News:

    Source: The White House
    President Biden and First Lady Jill Biden created the White House Initiative on Women’s Health Research to fundamentally change how our nation approaches and funds women’s health research. Despite making up more than half the population, women have historically been understudied and underrepresented in health research. Since its launch in November 2023, the Initiative has made significant investments to close gaps in research on women’s health—from menopause-related conditions to endometriosis to auto-immune conditions to cardiovascular disease—so that we can improve prevention, diagnosis, and treatment of diseases and conditions that affect women uniquely, disproportionately, and differently.
    Today in Las Vegas, Nevada, the First Lady will announce $110 million in awards from the Advanced Research Projects Agency for Health (ARPA-H) to accelerate transformative research and development in women’s health. President Biden established ARPA-H, a new research and development funding agency, with bipartisan Congressional support to generate high-impact biomedical and health breakthroughs. In February 2024, the First Lady launched ARPA-H’s Sprint for Women’s Health, the first major deliverable of the White House Initiative on Women’s Health Research. Over the last 10 months, ARPA-H received an unprecedented response to this call for solutions for women’s health, with over 1,700 submissions across 45 states and D.C. as well as 34 countries.
    In less than a year, the White House Initiative on Women’s Health Research has galvanized nearly a billion dollars in funding for women’s health research, including the First Lady’s recent announcement of $500 million from the U.S. Department of Defense and $200 million from the National Institutes of Health. Additionally, in his State of the Union address, President Biden called on Congress to make a bold, transformative investment of $12 billion in new funding for women’s health research. President Biden also signed a first-of-its-kind Executive Order on Advancing Women’s Health Research and Innovation, directing the most comprehensive set of executive actions ever taken to expand and improve research on women’s health. Through the Initiative, federal agencies have committed to taking over 100 actions to prioritize investments in women’s health research and integrate women’s health across the federal research portfolio.
    Accelerating Progress in Women’s Health Research
    Today’s ARPA-H awardees will spur innovation and advance high-impact, novel approaches to diseases and conditions that affect women uniquely, disproportionately, and differently. Today’s awardees are working across a range of women’s health issues—from pursuing new ways to prevent, detect, and treat cardiovascular conditions, ovarian cancer, endometriosis, neurological diseases, and pain in women to developing next-generation approaches to menopause, migraines, obstetrics, and gynecological care.
    One-quarter of today’s awardees are pursuing “launchpad” projects, meaning those projects have the potential for commercialization within two years. The remaining awardees are pursuing “spark” projects that are in the early stage of research. ARPA-H’s support for these projects will help ensure that women and their health care providers can soon benefit from the research investments being made today.
    The $110 million in ARPA-H awards announced today across 23 teams fund bold and transformative women’s health solutions, including:
    Aspira Women’s Health Inc. of Shelton, Connecticut will receive $10 million to create a first-of-its-kind definitive, non-invasive blood test to diagnose endometriosis. Endometriosis is a debilitating condition that affects about 1 in 10 women and often takes years and surgery to be diagnosed. Aspira Women’s Health Inc. aims to reduce the time it takes to diagnose endometriosis from years to days while helping health care providers identify the most appropriate treatment option for each woman’s needs.
    Beth Israel Deaconess Medical Center, Inc. of Boston, Massachusetts will receive $9.1 million to improve our ability to assess brain disorders in women through a novel non-invasive MRI imaging biomarker. Even though conditions such as Alzheimer’s disease, dementia, and multiple sclerosis disproportionately affect women, there are significant gaps in our knowledge about how to prevent, detect, and treat these conditions in women. By developing a novel and non-invasive MRI technology to measure a specific brain protein, Beth Israel Deaconess Medical Center, Inc. will advance our understanding of, and improve treatments for, brain disorders in women.
    Children’s Research Institute of Washington, DC—through its research arm on families—will receive $8.1 million to develop a novel way to assess chronic pain in women. Women experience pain differently than men which can lead health care providers to underestimate and undertreat this pain, resulting in prolonged suffering, delayed diagnosis and treatment, and a reluctance to seek medical care. Despite this need, there is currently no objective, quantitative indicator of chronic pain in women. Children’s Research Institute aims to fill this gap by studying how a woman’s eyes react to external stimulation, which is directly related to how she perceives pain.
    Gravidas Diagnostics, Inc. of Los Angeles, California will receive $3 million to create a first-of-its-kind at-home test to revolutionize our ability to detect early preeclampsia, a leading cause of maternal mortality and morbidity. By making it easier to identify preeclampsia quickly, Gravidas Diagnostics Inc.’s new low-cost fingerstick test would help women and their doctors get the information they need sooner to reduce pregnancy-related complications and improve maternal and child health.
    The University of Iowa will receive $10 million to revolutionize the treatment for late-stage and metastatic ovarian cancer by using personalized nanoparticles to boost a woman’s immune system. More than half of women with ovarian cancer are diagnosed only after the cancer has metastasized, making it harder to treat and reducing survival rates. Leveraging nanotechnology, the University of Iowa will engineer personalized nanoparticles to use a woman’s own immune system to attack multiple cancers and help more women get the treatment they need to live longer.
    The University of North Carolina at Chapel Hill (UNC-Chapel Hill) will receive $3 million to improve our ability to treat migraines in women. Women are more likely than men to suffer from migraines, which can be extremely debilitating. UNC-Chapel Hill will study the lymphatic system to better understand why women are more susceptible to migraines than men—with the goal of treating migraines with new drugs specifically targeting the brain lymphatics and developing personalized treatments to reduce women’s debilitating migraines.
    Additional information and a full list of awardees is available here.

    MIL OSI USA News

  • MIL-OSI United Kingdom: UK commits additional £3 million to bolster aid to Syria

    Source: United Kingdom – Executive Government & Departments

    The UK has announced an additional £3 million to bolster aid to Syria.

    • FCDO will provide emergency healthcare and protection assistance to women and girls fleeing the conflict in Lebanon.
    • £3m package to support those most in need, as 400,000 people are displaced into Syria due to conflict in Lebanon.
    • Minister for Development Anneliese Dodds continues UK call for displaced civilians to be protected and given safe passage away from the violence.

    The most vulnerable civilians fleeing the Lebanon conflict into Syria will be provided with life-saving emergency assistance and healthcare, as the UK boosts its humanitarian support with a £3 million package.

    Taking refuge from the escalating conflict, more than 400,000 people – over half of whom are women and children – are estimated by the UN to have been displaced from Lebanon into Syria since September. The majority of those who have been displaced are Syrians, who initially fled to Lebanon after the Syrian civil war which began in 2014.

    The UK funding will help trusted aid organisations to deliver immediate healthcare at border crossings, including trauma and injury support, as well as targeted protection assistance for women and girls.

    Minister for Development Anneliese Dodds said:

    The humanitarian situation in Lebanon and the wider Middle East is extremely concerning. It is critical that vulnerable civilians fleeing the conflict in Lebanon are given safe passage, and for their lives to be protected.

    Today’s package of emergency assistance will provide support to those most in need as they continue to risk their lives to make this dangerous journey.

    Of the £3 million in funding, £2 million has been allocated to the UN OCHA led Syria Humanitarian Fund, with £500,000 given to both the International Medical Corps UK and UNFPA.

    International Medical Corps UK Country Director Wafaa Sadek said:

    This new contribution builds on the generous support from the FCDO, helping the International Medical Corps to deliver essential healthcare and humanitarian aid to people crossing from Lebanon into Syria.

    Thanks to FCDO funding, International Medical Corps has already deployed three Mobile Medical Teams to address the growing needs—one serving Damascus and Rural Damascus, another covering Latakia and Tartous, and a third focusing on Hama and Homs governorates.

    This announcement follows more than £4 billion of funding that the UK has contributed since 2011 in lifesaving and life-sustaining assistance for the victims of the crisis in Syria – its largest ever response to a single humanitarian crisis.

    In Lebanon, we have already announced £10 million of aid to respond to a widespread lack of shelter, and reduced access to clean water, hygiene and healthcare. This is in addition to £5 million already provided to UNICEF. The government is also supporting the DEC Middle East Humanitarian Appeal, with the government aid matching up to £10 million raised by the public. 

    The UK is clear that a wider regional conflict must be avoided at all costs and is committed to working with partners to secure a ceasefire on all sides.

    Notes to Editors:

    • Today’s allocation of funding comes from the UK’s annual Overseas Development Assistance (ODA) package for Syria, which is totalled at £97m for FY 24-25.
    • In addition, £6m will be released from the Central Emergency Response Fund (CERF) – to which the UK contributes centrally and is a leading donor– for the UN response to new arrivals from Lebanon in Syria.
    • Syria remains an unsafe destination for vulnerable people, including Syrian refugees, who should only return to Syria voluntarily in a safe and dignified manner.
    • UK commits additional £10 million of aid to Lebanon – GOV.UK

    Media enquiries

    Email newsdesk@fcdo.gov.uk

    Telephone 020 7008 3100

    Contact the FCDO Communication Team via email (monitored 24 hours a day) in the first instance, and we will respond as soon as possible.

    Updates to this page

    Published 23 October 2024

    MIL OSI United Kingdom

  • MIL-OSI United Kingdom: Lord Mayor of London’s Dinner for HM Judges 2024: Lord Chancellor’s Speech

    Source: United Kingdom – Executive Government & Departments

    At this annual event for HM Judges the Rt Hon Shabana Mahmood MP spoke about the importance of prisons in maintaining the rule of law.

    Political content has been removed from this transcript

    My Lord Mayor, Lady Mayoress, my Lady Chief Justice, members of His Majesty’s judiciary, ladies and gentlemen.

    I want to thank Michael [Mainelli, Lord Mayor] and Elisabeth [Reuß, Lady Mayoress] for hosting us this evening…

    And express my gratitude for their year of service to the City of London…

    I am looking forward to welcoming the next Lord Mayor, Alastair King, in a ceremony at the House of Lords on Monday.

    As the first Muslim Lord Chancellor, I’m afraid I won’t partake in sipping port from the Loving Cups…

    But I am looking forward to the shortbread.

    Let me say what an honour it is to be here for the first time as Lord Chancellor.

    Unlike most of my 11 predecessors across the last 14 years…

    It will not also be my last.

    I understand that, in the past, my predecessors have peppered these speeches with humour.

    But you may have seen the very serious announcements that I made earlier today…

    And so, sadly, this is not a time for levity.

    Instead, I want to take this opportunity to explain why I had to make them and what they mean.  

    But let me start with something that should never be contentious: the rule of law.

    My parents came to the UK just a few decades ago…

    Leaving a country created by partition. 

    They were so-called ‘Mangla Dam affectees’…

    A people whose land was seized and then flooded by an overbearing and unaccountable state.

    But when they came here, to Britain…

    They found a home where no one is above the law – not even a government… 

    And where no one can fall below it either.

    It was that inheritance…

    And an argumentative disposition…

    That led me to the bar…

    And left me with an enduring belief in the sanctity of the rule of law…

    The most enduring of British values.

    That defines who we are and how our country works.

    Here, the law rules, not the mob…

    And our disagreements are resolved through the careful crafting of arguments.

    This Great British value is also of great value to Britain…

    Underpinning our economy…

    Giving businesses, large and small, the confidence to trade….

    In the knowledge that any disputes that arise will be settled fairly.

    In every instance, those who come before the courts…

    Know that their case will be decided on the facts by learned judges – by you…

    And that those judgments will be done without interference or commentary…

    From politicians like me or my colleagues.

    The oath that I swore when I took this job: to respect the rule of law and defend the independence of the judiciary…

    Is one that I take extremely seriously.

    It was at the forefront of my mind when I was appointed as Lord Chancellor.

    Our prisons were not just in crisis…

    They were on the point of collapse.

    Weeks away from running out of space altogether.

    And had that happened, the consequences are hard to contemplate:

    The police unable to make arrests…

    Your courts forced to cancel trials.

    Justice would have come to a grinding halt.

    As my officials explained the enormity of the situation…

    My oath rang in my ears.

    Would I be the Lord Chancellor who days after swearing to uphold the rule of law…

    Oversaw the breakdown of law and order?

    I had no choice but to take drastic action…

    To make sure the justice system could continue to function…

    Anything else would have been a betrayal of my constitutional duty.

    I simply could not allow that to happen.

    So, I took the decision to bring forward the release point for some prisoners serving standard determinate sentences…

    From the usual 50 percent to 40 percent…

    Spending the remainder on strict licence conditions in the community.

    The first releases happened in September and more took place today.

    Given the disgraceful disorder just a few weeks after we took office, the necessity of that decision was soon apparent.

    At one point, the prison places remaining in the adult male estate…

    Fell into double figures.

    And let me place on record, once again, my deepest thanks for all that you did this summer…

    Handing down justice, swiftly, to those responsible.

    I have no doubt at all that your work brought that disorder to a halt.

    The measures that I was forced to take…

    To bring our prisons back from the brink…

    Were not a long-term solution.

    So today, in parliament, I set out a long-term plan for our prisons…

    To ensure the scenes that we have witnessed today, of the emergency release of prisoners, are never witnessed again.

    And that starts by building more prisons.

    But we must be honest:  

    We cannot build our way out of this crisis.

    This isn’t a matter of ideology.

    It is simple mathematics.

    Every year, our prison population grows by around 4,500 prisoners…

    To keep up with that demand would require us to build the equivalent of HMP Birmingham, in my own constituency, four and a half times over, every single year.  

    We simply cannot build that fast.

    For that reason, I have today launched a landmark review of sentencing.

    It will have one clear goal:

    To ensure we are never again in a position where we have more prisoners than space in our prisons.

    The review will follow 3 principles:

    First, sentences must punish offenders and protect the public.

    For dangerous offenders, prison will always remain the answer.

    Punishment and public protection will be this government’s first priority.

    There will be dangerous offenders who must always receive a custodial sentence…

    And there must always be space in our prisons for them.

    The second principle of the review is that sentences must encourage offenders to turn their backs on lives of crime.

    The system needs both sticks and carrots.

    In this, I will be encouraging the reviewers to learn from those who have succeeded in other jurisdictions.

    The third principle of the review will be to expand punishment that offenders receive outside of prison.

    There are already ways that we severely constrain offenders…

    Limiting their freedom outside of prison.

    Those under Home Detention Curfews are, in practice, under a highly effective form of house arrest.

    And sobriety tags enforce teetotalism almost as strict as my own.

    And we must explore how the next generation of technology can ensure the eyes of the state follow an offender on the outside…

    As closely – or even more so – than a prison officer, on the inside.

    Moving punishment out of prison – for those who can be safely managed there – has huge benefits:

    Outside of prison, offenders can engage in work that pays back the communities and individuals who they have harmed.

    And the evidence is clear that those who serve their sentences outside prison are far less likely to reoffend…

    Making our streets safer…

    And reducing the cost to society of reoffending, which has been most recently valued at over £22bn a year.

    I am pleased to say that the review will be led by a former Lord Chancellor, David Gauke…

    A highly regarded Minister who served in multiple roles across government…

    And who I know earned the trust and respect of many of you in the room this evening.

    I will work with him to assemble a panel of reviewers who will draw together deep expertise and experience in the criminal justice system…

    Including judicial colleagues.

    And the review will take a bipartisan and evidence-based look at an issue that has – for far too long – been a political football, booted around by both sides.

    David Gauke will report back with his recommendations in the Spring…

    And I look forward to discussing them with the senior judiciary then.

    I know that for many in this room, it may seem like this government is preoccupied with what is happening in our prisons…

    Where an acute crisis could easily shroud the great challenges that we face across our justice system.

    I want you to know that I fully recognise all of those challenges…

    I know our courts backlogs are at historic highs…

    That, for far too many victims, justice delayed now means justice denied.

    I know you are working under immense pressure…

    In the delivery of justice…

    And in the defence of the rule of law.

    This government will support you.

    Speaking before a budget, my lips are – by necessity – sealed.

    But let me say this:

    This government will pursue the hard work of restoring and reforming our justice system.

    We will support you in delivering justice more swiftly…

    We will promote this country’s standing as a global beacon of the rule of law…

    And we will back our legal sector, which is so vital to this government’s mission to kickstart economic growth.

    All this, I must acknowledge, will take time.

    I know that you have grown weary of the merry-go-round of Lord Chancellors…

    Holding this ancient office for the blink of an eye…

    With every judges’ dinner yet another introduction…

    More warm words and bromides from the new Lord Chancellor…

    Who promises the world but goes out with a whimper.

    This time, it will be different.

    I am a Lord Chancellor who is here for the long haul.

    I won’t hide the difficulty of the job at hand.

    But nor will I resile from the hard work of pursuing it.

    I will, I must admit, need your support along the way.

    When times are good…

    And when we agree…

    We will support each other.

    And when we disagree, as I am sure we will on occasion…

    We must be frank with each other, albeit in private…

    Always critical friends in the pursuit of a shared endeavour.

    As I mentioned earlier, the rule of law runs strongly through my background.

    My parents did not study Magna Carta, Habeas Corpus and the Bill of Rights, as I would go on to do.  

    But they had a strong sense when they arrived here from rural Kashmir…

    That this country was different…

    Because it has rules to which all people are subject.

    That inheritance from my parents only grew stronger…

    As I went on to practise and was then elected to Parliament.  

    My personal commitment to the rule of law is something you should never doubt.  

    I hope I have shown already that I am willing to take the difficult and even unpopular decisions required to ensure that justice can be done in this country.

    It is a habit I intend to keep…

    As we, together, uphold the rule of law and promote justice…

    Through a period of great challenge, but also of great opportunity.

    It is an honour to be here with you this evening, as we embark upon it.

    Which leaves me only to thank our gracious hosts, who have brought us here together…

    So let’s raise our glasses and toast:

    The Lord Mayor and Lady Mayoress!  

    Thank you.

    Updates to this page

    Published 23 October 2024

    MIL OSI United Kingdom

  • MIL-OSI USA: NASA Quiet Space Fan Research to Benefit Commercial Space Stations

    Source: NASA

    NASA researchers developed a Quiet Space Fan to reduce the noise inside crewed spacecraft, sharing the results with industry for potential use on future commercial space stations.
    Controlling noise inside spacecraft helps humans talk to each other, hear alarms clearer, get restful sleep, and minimizes the risk of hearing loss. It is best to control the noise at the source, and in spacecraft the noise often comes from cabin ventilation and equipment cooling fans.
    Since the earliest days of human spaceflight, there has been noise from the Environmental Control and Life Support System ventilation. NASA is working to design highly efficient and quiet fans by building on technology initially developed at the agency’s Glenn Research Center in Cleveland and sharing it with companies that are developing new spacecraft and space stations.

    “As NASA continues to support the design and development of multiple commercial space stations, we have intentional and focused efforts to share technical expertise, technologies, and data with industry,” said Angela Hart, manager of NASA’s Commercial Low Earth Orbit Development Program at the agency’s Johnson Space Center in Houston. “The Quiet Space Fan research is one more example of how we are actively working with private companies to foster the development of future destinations.”
    The initial fan prototype was designed at Glenn in 2009 using tools developed for aircraft turbofan engines. The fan design size, flow rate – how much air the fan moves – and pressure rise – the increase in pressure across the fan – were designed similarly to the original Orion cabin fan design point (150 cubic feet per minute, 3.64 inches of water column). Acoustic measurements showed that the new design was approximately 10 decibels quieter than a similar-sized commercial off-the-shelf fan.
    To take the research a step further, a larger fan was recently designed with almost twice the flow rate and pressure rise capability (250 cubic feet per minute, 7 inches of water column) compared to the initial prototype. For example, the original fan could provide enough airflow for a large car or van, and the larger fan could provide enough airflow for a house.
    NASA’s quiet fan design aims to maintain high performance standards while significantly reducing everyday noise levels and can potentially be used on the International Space Station and future commercial destinations.

    “This work will lead to significant benefits including volume and mass savings from noise controls that are no longer as large or needed at all, reduced system pressure loss from mufflers and silencers that don’t need to be as restrictive, reduced power draw because of the reduced system pressure loss and the highly efficient fan design, and satisfying spaceflight vehicle acoustic requirements to provide a safe and habitable acoustic environment for astronauts,” said Chris Allen, Acoustics Office manager at NASA Johnson.
    Developing quieter fans is one of many efforts NASA is making to improve human spaceflight and make space exploration more innovative and comfortable for future missions to low Earth orbit. Helping private companies provide reliable and safe services at a lower cost will allow the agency to focus on Artemis missions to the Moon while continuing to use low Earth orbit as a training and proving ground for deep space missions.
    Learn more about NASA’s commercial space strategy at:
    https://www.nasa.gov/humans-in-space/commercial-space

    MIL OSI USA News

  • MIL-OSI Global: How beef became a marker of American identity

    Source: The Conversation – USA – By Hannah Cutting-Jones, Assistant Professor, Department of Global Studies; Director of Food Studies, University of Oregon

    Beef dominates American diets. In 2022, Americans consumed almost 30 billion pounds of beef. Johnrob/E+ via Getty Images

    Beef is one of America’s most beloved foods. In fact, today’s average American eats three hamburgers per week.

    American diets have long revolved around beef. On an 1861 trip to the United States, the English novelist Anthony Trollope marveled that Americans consumed twice as much beef as Englishmen. Through war, industry, development and settlement, America’s love of beef continued. In 2022, the U.S. as a whole consumed almost 30 billion pounds (13.6 billion kilograms) of it, or 21% of the world’s beef supply.

    Beef has also reached iconic status in American culture. As “Slaughterhouse-Five” author Kurt Vonnegut once penned, “Being American is to eat a lot of beef, and boy, we’ve got a lot more beef steak than any other country, and that’s why you ought to be glad you’re an American.”

    In part, the dominance of beef in American cuisine can be traced to settler colonialism, a form of colonization in which settlers claim – and then transform – lands inhabited by Indigenous people. In America, this process centered on the systemic and often violent displacement of Native Americans. Settlers brought with them new cultural norms, including beef-heavy diets that required massive swaths of land for grazing cattle.

    As a food historian, I am interested in how, in the 19th century, the beef industry both propelled and benefited from colonialism, and how these intertwined forces continue to affect our diets, culture and environment today.

    Cattle and cowboys

    Beginning in the 16th century, the first Europeans to settle across the Americas – and later, Australia and New Zealand – brought their livestock with them. A global economy built on appropriated Indigenous territories allowed these nations to become among the highest consumers and producers of meat in the world.

    The United States in particular tied its burgeoning national identity and westward expansion to the settlement and acquisition of cattle-ranching lands. Until 1848, Arizona, California, Texas, Nevada, Utah, western Colorado and New Mexico were part of Mexico and inhabited by numerous tribes, Indigenous cowboys and Mexican ranchers.

    The Mexican-American War, which lasted from 1846-48, led to 525,000 square miles being ceded to the United States – land that became central to American beef production. Gold, discovered in the northern Sierra by 1849, drew hundreds of thousands more settlers to the region.

    The desire for cattle-supporting land played an integral role in the systematic decimation of bison populations, as well. For thousands of years, Native Americans relied on bison for physical and cultural survival. At least 30 million roamed the western United States in 1800; by 1890, 60 million head of cattle had taken their place.

    Beef replaces bison

    It is no coincidence that the rise of an extensive and powerful American beef industry coincided with the near-elimination of bison across the United States.

    Bison populations were already in steep decline by the mid-1800s, but after the Civil War, as industrialization transformed transportation, communication and mass production, the U.S. Army actively encouraged the wholesale slaughter of bison herds.

    In 1875, Philip Sheridan, a general in the U.S. Army, applauded the impact bison hunters could have on the beef industry. Hunters “have done more in the last two years, and will do more in the next year, to settle the vexed Indian question, than the entire regular army has done in the last forty years,” Sheridan said. “They are destroying the Indians’ commissary … (and so) for a lasting peace, let them kill, skin and sell until the buffaloes are exterminated. Then your prairies can be covered with speckled cattle.”

    In 1884, with no hint of irony, the U.S. Department of Indian Affairs constructed a slaughterhouse on the Blackfeet Reservation in Montana and required tribal members to provide the factory’s labor in exchange for its beef.

    By 1888, New York politician and sometimes rancher Theodore Roosevelt described Western stockmen as “the pioneers of civilization,” who with “their daring and adventurousness make the after settlement of the region possible.” Later, during Roosevelt’s presidency – from 1900 to 1908 – the U.S. claimed another 230 million acres of Indigenous lands for public use, further opening the West to ranching and settlement.

    The Union Stock Yards in Chicago, the most modern slaughterhouse of the era, opened on Christmas Day in 1865 and marked a turning point for industrial beef production. No longer delivered “on the hoof” to cities, cattle were now slaughtered in Chicago and sent East as tinned meat or, after the 1870s, in refrigerated railcars.

    Processing over 1 million head of cattle annually at its height, the Union Stock Yards, a global technological marvel and international tourist attraction, symbolized industrial progress and inspired national pride.

    Beef consumption has become part of the American origin myth of rugged individualism.
    pastorscott via Getty Images.

    Where’s the beef?

    By the turn of the 20th century, beef was solidly linked to American identity both at home and globally. In 1900, the average American consumed over 100 pounds of beef per year, almost twice the amount eaten by Americans today.

    Canadian food writer Marta Zaraska argues in her 2021 book “Meathooked” that beef became a key part of the American origin myth of rugged individualism that was emerging at this time. And cowboys, working the grueling cattle drives, came to embody values linked to the frontier: self-reliance, strength and independence.

    Popular for decades as a street food, America’s proudest culinary invention – the hamburger – debuted at the St. Louis World’s Fair in 1904 alongside other novelties such as Dr. Pepper and ice cream.

    After World War II, suburban markets and fast-food chains dominated the American foodscape, where beef burgers reigned supreme. By the end of the century, more people around the globe recognized the golden arches of McDonald’s than the Christian cross.

    At the same time, national programs reinforced food insecurity for Native Americans. In efforts to eventually dissolve reservations and open these lands to private development, for example, in 1952 the U.S. government launched the Voluntary Relocation Program, in which the Bureau of Indian Affairs persuaded many living on reservations to move to cities. The promised well-paying jobs did not materialize, and most of those who relocated traded rural for urban poverty.

    The true cost of a burger

    Plant- and lab-based meat companies are making headway into restaurants and food markets.
    coldsnowstorm/iStock via Getty Images Plus

    Policies encouraging settler colonialism ultimately led to more sedentary lifestyles and a dependence on fast, convenient and processed foods – such as hamburgers – regardless of the individual or environmental costs.

    In recent decades, scientists have warned that industrial meat production, and beef in particular, fuels climate change and leads to deforestation, soil erosion, species extinction, ocean dead zones and high levels of methane emissions. It is also a threat to biodiversity. Nutritionist Diego Rose believes the best way “to reduce your carbon footprint (is to) eat less beef,” a view shared by other sustainability experts.

    As of January 2022, about 10% of Americans over the age of 18 considered themselves vegetarian or vegan. Another recent study found that 47% of American adults are “flexitarians” who eat primarily, but not wholly, plant-based diets.

    At the same time, small-scale farmers and cooperatives are working to restore soil health by reintegrating cows and other grazing animals into sustainable farming practices to produce more high-quality, environmentally friendly meat.

    More encouraging still, tribes in Montana – Blackfeet Nation, Fort Belknap Indian Community, Fort Peck Assiniboine and Sioux Tribes, and South Dakota’s Rosebud Sioux – have reintroduced bison to the northern Great Plains to revive the prairie ecosystem, tackle food insecurity and lessen the impacts of climate change.

    Even so, in the summer of 2024, Americans consumed 375 million hamburgers in celebration of Independence Day – more than any other food.

    Hannah Cutting-Jones does not work for, consult, own shares in or receive funding from any company or organization that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

    ref. How beef became a marker of American identity – https://theconversation.com/how-beef-became-a-marker-of-american-identity-214824

    MIL OSI – Global Reports

  • MIL-OSI Global: Americans use the Book of Revelation to talk about immigration – and always have

    Source: The Conversation – USA – By Yii-Jan Lin, Associate Professor of New Testament and Public Voices Fellow, Yale University

    A French tapestry depicts Saint John the Evangelist gazing at the New Jerusalem. Octave 444 via Wikimedia Commons

    During a campaign speech in Latrobe, Pennsylvania, on Oct. 19, 2024, Donald Trump promised to save the country from immigrants: “I will rescue every town across America that has been invaded and conquered, and we will put these vicious and bloodthirsty criminals in a jail or kick them out of our country.”

    Depicting immigrants as a threat has been a pillar of Trump’s message since 2015. And the types of terms he uses aren’t just disparaging. It might not seem like it, but Trump is continuing a long tradition in American politics: using language shaped by the Bible.

    When the former president says those at the border are “poisoning the blood of our country,” “animals” and “rapists,” his vocabulary mirrors verses from the New Testament. The Book of Revelation, the last book of the Bible, says those kept out of the city of God are “filthy”; they are “dogs and sorcerers and sexually immoral and murderers and idolaters and everyone who loves and practices falsehood.”

    In fact, Americans have been using the Bible for centuries to talk about immigrants, especially those they want to keep out. As a scholar of the Bible and politics, I’ve studied how language from Revelation shaped American ideas about who belongs in the United States – the focus of my book, “Immigration and Apocalypse.”

    The shining city

    The Book of Revelation describes a vision of the end of the world, when the wicked are punished and the good rewarded. It tells the story of God’s enemies, who worship the evil Beast of the Sea, bear his mark on their body and threaten God’s people. Because of their wickedness, they suffer diseases, catastrophes and war until they are finally destroyed in the lake of fire.

    God’s followers, however, enter through the gates of the walls surrounding the New Jerusalem, a holy city that comes down from heaven. God’s chosen people enter through the gates and live in the shining city for eternity.

    18th century evangelists like the English preacher John Wesley urged sinners to take the path of righteousness, toward the New Jerusalem.
    Photo 12/Universal Images Group via Getty Images

    Throughout American history, many of its Christian citizens have imagined themselves as God’s saints in the New Jerusalem. Puritan colonists believed they were establishing God’s kingdom, both metaphorically and literally. Ronald Reagan likened the nation to the New Jerusalem by describing America as a “shining city … built on rocks stronger than oceans, wind-swept, God-blessed, and teeming with people of all kinds living in harmony and peace,” but with city walls and doors.

    Reagan was specifically quoting Puritan John Winthrop, one of the founders of Massachusetts Bay Colony, whose use of the “city on a hill” phrase quotes Jesus’ Sermon on the Mount. But Reagan’s detailed description closely matches that of the New Jerusalem in Revelation 21. Like God’s heavenly city, Reagan’s picture of America also has strong foundations, walls and gates, and people from every nation bringing in tribute.

    Barring the gates

    If people imagine the U.S. as God’s city, then it’s easy also to imagine enemies who want to invade that city. And this is how unwanted immigrants have been depicted through American history: as enemies of God.

    In the 19th century, when virtually all politicians were Protestant, anti-Catholic politicians accused Irish immigrants of bearing the “mark of the Beast” and being loyal to the “Antichrist”: the pope. They claimed that Irish immigrants could form an unholy army against the nation.

    At the turn of the century, “yellow peril” novels against Chinese immigration imagined a heathen horde taking over the U.S. At the end of one such book, China itself is depicted as a satanic “Black Dragon,” forcing its way through “the Golden Gate” of America.

    ‘Uncle Sam’s Farm in Danger’: an 1878 cartoon by G. F. Keller depicts Chinese emigrants fleeing famine.
    The Wasp via Wikimedia Commons

    And all immigrant groups who were unwanted at one time or another have been accused of being “filthy” and diseased, like the enemies of God in Revelation. Italians, Jews, Irish, Chinese and Mexicans were all, at some point, targeted as unhealthy and carrying illness.

    In political cartoons from the turn of the 20th century, Eastern European and Jewish immigrants were depicted as rats, while Chinese immigrants were portrayed as a horde of grasshoppers – echoing imagery from Revelation, where locusts with human faces swarm the Earth. During COVID-19, an event itself considered apocalyptic, xenophobic fear has focused on Asian Americans and migrants at the U.S.-Mexico border.

    This constellation of labels from Revelation – plague-bearing, bestial, invading, sexually corrupt, murderous – has been reused and recycled throughout American history.

    A 1909 political cartoon by S.D. Ehrhart.
    Library of Congress

    ‘Heaven has a wall’

    Trump himself has described immigrants as diseased, “not human,” sexual assaulters, violent and those “who don’t like our religion.”

    Others have more explicitly used images from Revelation to talk about immigration. Pastor Robert Jeffress, who preached at Trump’s 2017 inauguration church service, told viewers on Fox News’ “Fox & Friends,” “God is not against walls, walls are not ‘un-Christian,’ the Bible says even heaven is going to have a wall around it.” The Conservative Political Action Conference held a panel in 2017 titled “If Heaven Has a Gate, A Wall, and Extreme Vetting, Why Can’t America?” There are even bumper stickers that say, “Heaven Has A Wall and Strict Immigration Policy / Hell Has Open Borders.”

    Revelation 21 indeed describes the heavenly New Jerusalem with a massive shining wall, “clear as crystal,” with pearls for gates. Trump, similarly, talks about his “big, beautiful door,” set in a “beautiful,” massive wall that also has to be “see-through.”

    The city of God metaphor has long been a tool for American leaders – both to idealize the nation and to warn against immigration. But the concept of a walled-in city seems increasingly outdated in a digitally connected, global world.

    As migration continues to rise around the world due to climate change and conflict, I’d argue that these metaphors and the attitudes they drive are not just obsolete, but exacerbating crisis.

    Yii-Jan Lin does not work for, consult, own shares in or receive funding from any company or organization that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

    ref. Americans use the Book of Revelation to talk about immigration – and always have – https://theconversation.com/americans-use-the-book-of-revelation-to-talk-about-immigration-and-always-have-240969

    MIL OSI – Global Reports

  • MIL-OSI Global: Halloween candy binges can overload your gut microbiome – a gut doctor explains how to minimize spooking your helpful bacteria

    Source: The Conversation – USA – By Christopher Damman, Associate Professor of Gastroenterology, School of Medicine, University of Washington

    It’s probably best to enjoy your Halloween spoils in moderation. Jupiterimages/The Image Bank via Getty Images

    Each October, as the days shorten and the air grows crisp, millions of Americans prepare for the beloved – and often sugar-fueled – tradition of Halloween. From jack-o’-lanterns glowing on porches to costumes ranging from the whimsical to the gory, Halloween is a time of playful scares, childhood memories and, of course, candy.

    But as the wrappers pile up and the sugar rush hits, there’s something far more sinister brewing beneath the surface: the negative effects of candy on your gut health.

    Sugar and other ingredients in Halloween treats can cast a sickly spell on the trillions of microorganisms that reside in your gut, collectively known as the gut microbiome. As a gastroenterologist and gut microbiome researcher at the University of Washington School of Medicine, I have dedicated my career to decoding the cipher of how food affects this microbial community within your gut.

    While no candy is truly healthy, some options are better for your gut than others. And there are ways you can help wake your gut from its sugar “spell” after holiday indulgence.

    Gut-busting treats

    What does all this candy do to your gut?

    In a healthy state, your gut microbiome acts like a microbial factory. It digests nutrients your body can’t – such as fiber and colorful, health-conferring plant compounds called polyphenols – and produces important molecules called metabolites that protect against infection and support brain health. It also regulates metabolism, or the transformation of food into useful components that power and grow cells.

    A balanced diet keeps your gut’s microbial cauldron churning smoothly. But the concentrated sugar, saturated fat and additives in candy can throw things into disarray by feeding inflammatory microbes that weaken your gut barrier – the protective lining that separates your microbiome from the rest of the body.

    Once the gut barrier is breached, even friendly microbes can stir up inflammation, causing health issues ranging from overweight to obesity, infections to autoimmune disease, and mild cognitive impairment to Alzheimer’s.

    The food you eat shapes your gut microbes, which in turn shape your overall health.

    Sugar and inflammation impair your microbiome’s ability to digest food and regulate metabolism. Instead of producing healthy byproducts – such as butyrate from fiber and urolithin A from polyphenols – candy lacking these nutrients may trick your system into storing more fat, providing less energy for your muscles and brain.

    Too much candy can also affect your immune system. A healthy gut microbiome helps your immune system distinguish between friend and foe, reducing the risk of infections and autoimmune disorders. Sugar and inflammation undermine the microbiome’s role in training the immune system to distinguish between harmful invaders and harmless substances. Without a carefully calibrated immune system, your body may not effectively clear infections or may strongly react to its own cells.

    Neurologically, excess sweets can also affect the gut-brain axis, the two-way communication between the gut and brain. A healthy microbiome normally produces neurotransmitters and metabolites, such as serotonin and butyrate, that influence mood and cognitive performance. Sugar and inflammation adversely affects the microbiome’s role in mental health and cognitive function, contributing to depression, anxiety and memory troubles.

    The candy conundrum

    Not all Halloween treats are created equal, especially when it comes to their nutritional value and effects on gut health. Sugar-coated nuts and fruit such as honey-roasted almonds and candy apples rank among the top, offering whole food benefits just beneath the sugary coating. Packed with fiber and polyphenols, they help support gut health and healthy metabolism.

    On the opposite end of the spectrum are chewy treats such as candy corn, Skittles, Starbursts and Twizzlers. These sugar-laden confections are mostly made of high fructose corn syrup, saturated fat and additives. They can increase the unsavory bacterial species in your gut and lead to inflammation, making them one of the least healthy Halloween choices.

    Chocolate-based candies, however, stand out as a more microbiome-friendly option. While varieties such as Twix, Three Musketeers and Milky Way contain only a small amount of chocolate, pure chocolate bars – especially dark chocolate – are rich in fiber and polyphenols. In moderation, dark chocolate with at least 80% to 85% cacao may even benefit your gut microbiome and mood by encouraging beneficial bacterial species to grow.

    Candy apples usually provide a serving of fruit and nuts.
    Ryan Benyi Photography/Connect Images via Getty Images

    Chocolates with whole nuts, such as almonds or peanuts, offer a boost of fiber, protein and omega-3 fats, making them a healthier choice. Dark chocolate with nuts is best. But when sorting through Halloween treats, Peanut M&Ms, 100 Grands and Almond Joys may be better options over Rolos, Krackels and Crunches. Even candies with processed nuts, such as Reese’s Peanut Butter Cups and Butterfingers, retain small amounts of fiber and protein, making them preferable to nut-free options.

    At the bottom of the list, along with chewy sugar candies, are pure sugar candies such as lollipops, Jolly Ranchers, gummies and Smarties. These sweets lack nutritional value, and their high sugar content can contribute to the growth of unhealthy bacteria in your gut microbiome.

    In the end, all candies are high in sugar, which can be harmful when consumed in large quantities. Moderation and an otherwise balanced diet is key to enjoying Halloween treats.

    Rebalancing after indulgence

    If the microbiome is critical for health, and candy can disrupt its balance, how can you restore gut health after Halloween?

    One simple strategy is focusing on the four F’s of food: fiber, phytochemicals, unsaturated fats and fermented foods. These food components can help support gut health.

    Fiber-rich foods such as whole grains, nuts, seeds, beans, fruits and vegetables regulate digestion and nourish beneficial gut bacteria.

    Dark chocolate is a treat that may offer some health benefits.
    Wachiwit/iStock via Getty Images Plus

    Polyphenol-rich foods such as dark chocolate, berries, red grapes, green tea and extra virgin olive oil help reduce inflammation and encourage the growth of healthy gut bacteria.

    Unsaturated fats such as omega-3 fats, walnuts, chia seeds, flaxseed, avocados and fatty fish such as salmon can also support a healthy microbiome.

    Fermented foods such as sauerkraut, kimchi, yogurt, kefir and miso help replenish beneficial bacteria and restore gut balance.

    To make tracking your diet easier, consider using a food calculator to measure how well your meals align with the four F’s and microbiome friendly options. Like a virtual “spellbook,” an online tool can help ensure your food choices support your gut health and ward off the effects of sugar overload.

    As my daughters often remind me, it’s perfectly fine to indulge every now and then in a few tricks and treats. But remember, moderation is key. With a balanced diet, you’ll keep your gut healthy and strong long after the Halloween season ends.

    Christopher Damman is on the scientific advisory board at Oobli, Supergut, and One BIO.

    ref. Halloween candy binges can overload your gut microbiome – a gut doctor explains how to minimize spooking your helpful bacteria – https://theconversation.com/halloween-candy-binges-can-overload-your-gut-microbiome-a-gut-doctor-explains-how-to-minimize-spooking-your-helpful-bacteria-240504

    MIL OSI – Global Reports

  • MIL-OSI Global: Both Harris and Trump have records on space policy − an international affairs expert examines where they differ when it comes to the final frontier

    Source: The Conversation – USA – By Thomas G. Roberts, Postdoctoral Fellow in International Affiars, Georgia Institute of Technology

    Neither candidate has talked much about space policy on the campaign trail, but both have records to consider. Anton Petrus/Moment via Getty Images

    The next president of the United States could be the first in that office to accept a phone call from the Moon and hear a woman’s voice on the line. To do so, they’ll first need to make a series of strategic space policy decisions. They’ll also need a little luck.

    Enormous government investment supports outer space activities, so the U.S. president has an outsize role in shaping space policy during their time in office.

    Past presidents have leveraged this power to accelerate U.S. leadership in space and boost their presidential brand along the way. Presidential advocacy has helped the U.S. land astronauts on the surface of the Moon, establish lasting international partnerships with civil space agencies abroad and led to many other important space milestones.

    But most presidential candidates refrain from discussing space policy on the campaign trail in meaningful detail, leaving voters in the dark on their visions for the final frontier.

    For many candidates, getting into the weeds of their space policy plans may be more trouble than it’s worth. For one, not every president even gets the opportunity for meaningful and memorable space policy decision-making, since space missions can operate on decades-long timelines. And in past elections, those who do show support for space initiatives often face criticism from their opponents for their high price tags.

    But the 2024 election is different. Both candidates have executive records in space policy, a rare treat for space enthusiasts casting their votes this November.

    As a researcher who studies international affairs in outer space, I am interested in how those records interface with the strategic and sustainable use of that domain. A closer look shows that former President Donald Trump and Vice President Kamala Harris have used their positions to consistently prioritize U.S. leadership in space, but they have done so with noticeably different styles and results.

    Trump’s space policy record

    As president, Trump established a record of meaningful and lasting space policy decisions, but did so while attracting more attention to his administration’s space activities than his predecessors. He regularly took personal credit for ideas and accomplishments that predated his time in office.

    The former president oversaw the establishment of the U.S. Space Force and the reestablishment of the U.S. Space Command, as well as the National Space Council. These organizations support the development and operation of military space technologies, defend national security satellites in future conflicts and coordinate between federal agencies working in the space domain.

    While president, Donald Trump oversaw the creation of the U.S. Space Force.
    AP Photo/Alex Brandon

    He also had the most productive record of space policy directives in recent history. These policy directives clarify the U.S. government’s goals in space, including how it should both support and rely on the commercial space sector, track objects in Earth’s orbit and protect satellites from cyber threats.

    He has called his advocacy for the creation of the Space Force one of his proudest achievements of his term. However, this advocacy contributed to polarized support for the new branch. This polarization broke the more common pattern of bipartisan public support for space programming.

    Like many presidents, not all of Trump’s visions for space were realized. He successfully redirected NASA’s key human spaceflight destination from Mars back to the Moon. But his explicit goal of astronauts reaching the lunar surface by 2024 was not realistic, given his budget proposal for the agency.

    Should he be elected again, the former president may wish to accelerate NASA’s Moon plans by furthering investment in the agency’s Artemis program, which houses its lunar initiatives.

    He may frame the initiative as a new space race against China.

    Harris’ space policy record

    The Biden administration has continued to support Trump-era initiatives, resisting the temptation to undo or cancel past proposals. Its legacy in space is noticeably smaller.

    As the chair of the National Space Council, Harris has set U.S. space policy priorities and represented the United States on the global stage.

    As vice president, Harris has chaired the National Space Council.
    NASA/Joel Kowsky, CC BY-NC-ND

    Notably, the Trump administration kept this position that the president can alter at will assigned to the vice president, a precedent the Biden administration upheld.

    In this role, Harris led the United States’ commitment to refrain from testing weapons in space that produce dangerous, long-lasting space debris. This decision marks an achievement for the U.S. in keeping space operations sustainable and setting an example for others in the international space community.

    Like some Trump administration space policy priorities, not all of Harris’ proposals found footing in Washington.

    The council’s plan to establish a framework for comprehensively regulating commercial space activities in the U.S., for example, stalled in Congress.

    If enacted, these new regulations would have ensured that future space activities, such as private companies operating on the Moon or transporting tourists to orbit and back, pass critical safety checks.

    Should she be elected, Harris may choose to continue her efforts to shape responsible norms of behavior in space and organize oversight over the space industry.

    Alternatively, she could cede the portfolio to her own vice president, Minnesota Gov. Tim Walz, who has virtually no track record on space policy issues.

    Stability in major space policy decisions

    Despite the two candidates’ vastly different platforms, voters can expect stability in U.S. space policy as a result of this year’s election.

    Given their past leadership, it is unlikely that either candidate will seek to dramatically alter the long-term missions the largest government space organizations have underway during the upcoming presidential term. And neither is likely to undercut their predecessors’ accomplishments.

    Thomas G. Roberts is affiliated with the Center for Strategic and International Studies.

    ref. Both Harris and Trump have records on space policy − an international affairs expert examines where they differ when it comes to the final frontier – https://theconversation.com/both-harris-and-trump-have-records-on-space-policy-an-international-affairs-expert-examines-where-they-differ-when-it-comes-to-the-final-frontier-238289

    MIL OSI – Global Reports

  • MIL-OSI Global: Why the margin of error matters more than ever in reading 2024 election polls – a pollster with 30 years of experience explains

    Source: The Conversation – USA – By Doug Schwartz, Director of the Quinnipiac Poll, Quinnipiac University

    A political opinion poll aims to get a representative sample of the wider public. borzaya/iStock / Getty Images Plus

    In just about any discussion of a poll about the very close presidential race between Vice President Kamala Harris and former President Donald Trump, you’ll hear the phrase “within the poll’s margin of error.” Those words signal that it is a tight race with no clear leader, even if one of them has a slightly larger percentage of support, like 48% to 47%.

    As the director of the Quinnipiac University Poll, which has been taking the pulse of the public on policy issues and elections for the past 30 years, I’ve noted that people have been paying more attention to this technical term since at least 2016.

    In that year, some polls in Florida, for example, indicated that Hillary Clinton was just a couple of percentage points ahead of Trump. Journalists and the public largely – and incorrectly – understood that apparent popular-vote lead to mean Clinton was likely to win.

    But those 1 or 2 percentage points were within their polls’ margins of error. And Clinton lost Florida. In a poll about a political race, the margin of error tells readers the likely range of results of an election.

    What is a margin of error?

    A poll is one or more questions asked of a small group of people and used to gauge the views of a larger group of people. The margin of error is a mathematical calculation of how accurate the poll results are – of how closely the answers given by the small group match the views held by the larger group.

    If everyone in the larger group were polled, there would be no margin of error. But it’s complicated, difficult and expensive to contact that many people. The U.S. Census Bureau spent US$13.7 billion over several years in its most recent effort to count every person in the United States every 10 years, and it still wasn’t able to include exactly everyone.

    Pollsters don’t have that kind of time – or money – so they use smaller samples of the population. They seek to identify representative samples in which all members of the larger group have a chance to be included in the poll.

    The group size is important

    The calculation of how close the poll is to the views of the larger population is based on the size of the group that is polled.

    For example, a sample of 600 voters will have a larger margin of error – about 4 percentage points – than a sample of 1,000 voters, which has a margin of error of just over 3 percentage points.

    The way the sample is chosen also matters: In 1936, the Literary Digest magazine polled people on the presidential election by mailing surveys to telephone owners, car owners and country club members. Everyone in this group was relatively affluent, so they were not representative of the whole U.S. voting population. Calculating a margin of error would have been meaningless because the sample did not capture all segments of the population.

    The larger the sample size, the smaller the margin of error.
    Zieben007 via Wikimedia Commons, CC BY-SA

    A concrete example

    Let’s use an example of how to understand the margin of error. If a poll shows that 47% of the polled group support Candidate A, and the margin of error is plus or minus 3 percentage points, that means that the percentage in the population supporting Candidate A is likely to be between 44% (47 minus 3) and 50% (47 plus 3).

    One quick note: Most polls report margins of error alongside another technical term, “confidence interval.” In the most rigorous reporting of polls, you might see a sentence near the end that says something like “The margin of error is plus or minus 3 percentage points, at a 95% confidence interval.” What all that means is this: Imagine if 100 different random samples of the same size were selected from the larger group, and then asked the same questions in the poll. The 95% confidence interval means that 95% of the time, those other polls’ responses would be within 3 percentage points of the answers reported in this one poll.

    Comparing support between candidates

    The concept of margin of error gets more complex when looking at the differences in support between two candidates. If a margin of error is plus or minus 3 percentage points, the margin of error on the difference between them is about double – or 6 percentage points, in this example.

    That’s because the margin of error here is a combined one, and refers to not just the percentage voting for Candidate A but also to the percentage voting for the other candidate.

    To look back at 2016 again, the final Quinnipiac University Poll in Florida before Election Day showed Clinton with 46% support and Trump with 45% support. The margin of error was 3.9 percentage points, which meant Clinton was likely to get between 42.1% and 49.9% of the vote, and Trump was likely to get between 41.1% and 48.9% of the vote.

    The actual result was that Trump won Florida with 48.6%, as compared with Clinton’s 47.4%. Those results were within our poll’s margin of error, meaning we were correct to declare it “too close to call” – and we would have been wrong to say Clinton was ahead.

    2024 will be a close election

    In the current election cycle, many media reports about polls are not including information about the margin of error.

    Leaving out that information, or downplaying its significance, may help media outlets provide a quick, simple picture about the state of the race. Technology can seem precise in the modern age of the internet and artificial intelligence.

    But polling is not as precise. It is an inexact science. It’s a pollster’s job to capture snapshots of the complexities of human nature at a particular time. People’s minds can change, and new information can arise as the campaigns unfold.

    With the presidential election in its final weeks, our polls have been finding a fairly tight and steady race, with most voters telling us their minds are made up. Because the difference between the presidential candidates is within the margin of error in swing states, the election polling in autumn 2024 is telling Americans to hold their breath and make sure they vote, because it is likely to be a squeaker.

    Doug Schwartz is affiliated with the American Association of Public Opinion Research (AAPOR).

    ref. Why the margin of error matters more than ever in reading 2024 election polls – a pollster with 30 years of experience explains – https://theconversation.com/why-the-margin-of-error-matters-more-than-ever-in-reading-2024-election-polls-a-pollster-with-30-years-of-experience-explains-240633

    MIL OSI – Global Reports

  • MIL-OSI Global: This Atlanta neighborhood hired a case manager to address rising homelessness − and it’s improving health and safety for everyone

    Source: The Conversation – USA – By Ishita Chordia, Ph.D. Candidate in Information Science, University of Washington

    Mural by artist Chris Wright on Metropolitan Avenue in East Atlanta. Art Rudick/Atlanta Street Art Map, CC BY-ND

    Homelessness has surged across the United States in recent years, rising 19% from 2016 though 2023. The main cause is a severe shortage of affordable housing. Rising homelessness has renewed debates about use of public space and how encampments affect public safety.

    The U.S. Supreme Court recently weighed in on these debates with its 2024 decision in Grants Pass v. Johnson. The court’s ruling grants cities the authority to prohibit individuals from sleeping and camping in public spaces, effectively condoning the use of fines and bans to address rising rates of homelessness.

    East Atlanta Village, a historically Black neighborhood in Atlanta with about 3,000 residents, is trying something different. In the fall of 2023, with support from the Atlanta City Council, the mayor’s office and Intown Cares, a local nonprofit that works to alleviate homelessness and hunger, the neighborhood hired a full-time social worker to support people experiencing homelessness.

    Michael Nolan, an Intown Cares social worker, is trained in an approach that emphasizes individual autonomy and dignity, recognizes that being homeless is a traumatic experience, and prioritizes access to housing. His role includes helping individuals get the documentation they need to move off the streets, such as copies of their birth certificates and Social Security cards. He also has a dedicated phone line that community members can use to alert him about dangerous situations that involve homeless people.

    Michael Nolan, East Atlanta Village’s social worker, spends 40-plus hours weekly providing supplies, services and other help to people experiencing homelessness.

    I am a researcher at the University of Washington studying programs and technologies that help urban neighborhoods flourish. I’m also a resident of East Atlanta Village and have helped the neighborhood organize and evaluate this experiment.

    For the past year, my colleagues and I have collected data about the neighborhood social work program to understand how well it can support both people without housing and the broader community. Our preliminary findings suggest that neighborhood social work is a promising way to address challenges common in many neighborhoods with homelessness.

    I believe this approach has the potential to provide long-term solutions to homelessness and improve the health and safety for the entire neighborhood. I also see it as a sharp contrast with the punitive approach condoned by the Supreme Court.

    Resolving conflicts over public space

    One of the people I interviewed while evaluating this initiative was Rebecca, a resident of East Atlanta Village who walks her dog in the local park every day. In the fall of 2023, she noticed that a man had moved into the park and set up a tent. At first, the area was clean, but within a few weeks there was garbage around the tent and throughout the park.

    Rebecca felt that the trash was ruining one of the few green spaces in the neighborhood. She decided to contact Nolan. Nolan told her that he knew the unhoused man, was working with him to secure permanent housing and in the meantime would help him move his tent to a less-frequented space.

    Such negotiations around public spaces are common challenges for neighborhoods with large homeless populations, especially in dense urban areas. Other examples in our data included conflicts when a homeless person began sleeping in his car outside another resident’s home, and when a homeless man wandered into a homeowner’s yard.

    The standard approach in these situations is to fine, ban or imprison the unhoused individual. But those strategies are expensive, can prolong homelessness and do little to actually resolve the issues.

    In contrast, hiring a social worker has enabled East Atlanta Village to resolve conflicts gently, through conversation and negotiation. The solutions address concerns about public health and safety and also offer people without homes an opportunity for long-term change.

    Meeting basic needs

    Over the past year, this program has helped 13 people move into housing. Nolan has facilitated over 180 medical and mental health care visits for people living on the street.

    Eighty-six people have been connected to Medicaid, food assistance or Social Security benefits. Thirty-five people have health care for the first time, and six people have started receiving medication for their addictions.

    Research shows that addressing people’s basic needs by helping them obtain food, medicine, housing and other necessities not only supports those individuals but also produces cascading benefits for the entire community. They include reduced inequality, better health outcomes and lower crime rates.

    Managing mental and behavioral health

    Studies have found that about two-thirds of unhoused individuals struggle with mental health challenges. Unmet mental and behavioral health needs can contribute to unsafe and illegal behavior.

    The United States does not have a comprehensive system in place for supporting people who are living on the street and struggling with chronic mental and behavioral health challenges. While much more infrastructure is needed, in East Atlanta Village, Nolan is able to check in on people experiencing homelessness, work with clinics to deliver medication for addiction and mental health needs and alert community members about dangerous situations.

    As an example, in December 2023 a homeless man was arrested in East Atlanta Village for trespassing, stealing mail and other erratic behavior. When concerned residents posted to the neighborhood Facebook group, Nolan responded that he knew the man well, that this behavior was not typical and that he would look into the situation.

    Nolan later updated his post, commenting that the man had been arrested but that he would “continue to follow up and ensure that his current behaviors do not return upon his release.”

    In other examples, Nolan has helped de-escalate situations when people experienced mental health episodes in local coffee shops and churches.

    A model for other cities

    Cities around the U.S. have decisions to make about addressing homelessness and its associated challenges. Neighborhood social work is not a magic bullet, but my colleagues and I see it as a promising approach to address the most common challenges that neighborhoods with high rates of homelessness face.

    East Atlanta Village is currently working with the Atlanta City Council to renew funding for this program, which cost US$100,000 in its initial year. We hope that other neighborhoods also consider this strategy when deciding how to address homelessness in their own areas.

    Ishita Chordia is affiliated with the East Atlanta Neighborhood Association. She volunteers for the neighborhood association and has helped organize and evaluate the neighborhood social work program.

    ref. This Atlanta neighborhood hired a case manager to address rising homelessness − and it’s improving health and safety for everyone – https://theconversation.com/this-atlanta-neighborhood-hired-a-case-manager-to-address-rising-homelessness-and-its-improving-health-and-safety-for-everyone-236466

    MIL OSI – Global Reports

  • MIL-OSI Global: North Carolina is not really a red or blue state − and that makes political predictions much more difficult

    Source: The Conversation – USA – By Christopher A. Cooper, Professor of Political Science & Public Affairs, Western Carolina University

    Lt. Gov. Mark Robinson shares the stage with former U.S. President Donald Trump during a 2022 rally in Selma, N.C. Allison Joyce/Getty Images

    For all its prominence as a key battleground state, North Carolina hasn’t done much swinging in U.S. presidential elections.

    The last time a majority of North Carolinians voted for a Democratic candidate was 2008 for Barack Obama. The time before that was 1976 for Jimmy Carter. In the past 12 presidential elections, Republicans have won 10. Those Republicans include Donald Trump in 2016 and 2020.

    But as I demonstrate in my 2024 book, “Anatomy of a Purple State: A North Carolina Politics Primer,” simply looking at the outcome of presidential voting gives a skewed understanding of voting behavior in other elections across the state.

    Consider 2020 again. While it is true that Trump won North Carolina’s 15 electoral college votes – it now has 16, based on 2020 U.S Census Bureau data — his margin of victory was only about 74,000 votes out of some 5.4 million votes cast. It was the smallest margin of any state that Trump won.

    Part of the reason is the nearly even split among voters in the two major parties and the emergence of registered voters who claim they are unaffiliated.

    As of September 2024, North Carolina had 7.6 million registered voters. Of these, the largest group at 38% were registered as unaffiliated, followed by registered Democrats at 32% and registered Republicans at 30%.

    Despite being considered a red state, North Carolina’s congressional delegation is split evenly between Democrats and Republicans with seven each. In addition, four of the state’s 10 statewide, elected Council of State officeholders, including Gov. Roy Cooper, are Democrats.

    In no other Southern state does a single elected Democrat hold a similar statewide seat.

    Though both of North Carolina’s U.S. senators are Republicans and the GOP holds supermajorities in both houses of the state Legislature, North Carolina is not entirely red or blue. It is undeniably purple – and that gives rise to further uncertainty over how the state will vote in the 2024 presidential election.

    The Kamala Harris factor

    Before U.S. President Joe Biden dropped out of the race in July 2024, polls showed that he lagged behind Trump by 5 percentage points in North Carolina.

    As in many other battleground states, it appeared that Trump had a small but fairly durable lead over Biden.

    Vice President Kamala Harris campaigns in Greenville, N.C., on Oct. 13, 2024.
    Alex Wong/Getty Images

    But soon after Vice President Kamala Harris became the Democratic nominee, several national polls showed Harris had an immediate bump and closed the gap – in some polls actually taking a lead. Trump has since regained a slight lead – less than a percentage point – in one October 2024 poll.

    But Harris’ impact wasn’t just on national polls.

    For the first time in years, Democratic Party registration began to exceed Republican Party registration in the state.

    From July 20-26, 2,351 people registered as Democrats in North Carolina – a 44% increase compared with the previous week. During the same period, Republican and unaffiliated voter registrations were down 23% and 14%, respectively, from the previous week.

    The rise and fall of Mark Robinson

    In spring 2024, during the height of primary season, Trump stepped into the North Carolina gubernatorial race by endorsing Lt. Gov. Mark Robinson, a Black Republican with a history of derogatory comments about Muslims and members of the LGBTQ community.

    “This is a Martin Luther King on steroids,” Trump said of Robinson during a rally in Greensboro, North Carolina, on March 2, 2024.

    Given Trump’s two wins in the state, his endorsement was expected to help Robinson beat Democrat Josh Stein in one of the nation’s most competitive state elections.

    But Trump’s enthusiasm all but vanished after a series of negative stories about Robinson. They included a Sept. 19, 2024, CNN report alleging that Robinson frequented a porn web site called “Nude Africa” years ago where he described himself as a “Black Nazi.” Robinson also allegedly made a number of misogynistic and racist statements such as “slavery is not bad.”

    Robinson denied the allegations and called the CNN report “salacious tabloid lies.”

    Trump made another campaign stop in Wilmington on Sept. 21, 2024. Robinson, who had frequently appeared with Trump at previous North Carolina rallies, was not on the stage.

    Polling conducted after CNN’s bombshell report showed an election that had shifted from competitive to one where the Democrat Stein is favored by a large margin to become North Carolina’s governor.

    It is unclear whether Robinson’s apparent demise will affect the top of the ticket – or other state GOP candidates.

    Natural disasters

    Hurricane Helene hit western North Carolina on Sept. 28 and brought high winds, flooding, an estimated US$47 billion in property damages and 250 deaths.

    It also caused questions about access to voting in areas devastated by Helene and then, two weeks later, Hurricane Milton.

    A woman in North Carolina places an American flag near a mobile home that was destroyed in October 2024 by Hurricane Helene.
    Mario Tama/Getty Images

    Twenty-nine counties in North Carolina were affected by the storm, although 13 counties received the brunt of the damage. Analysis of data from the North Carolina Board of Elections reveals that Trump led Biden by about a 10 percentage-point margin among voters in those affected counties.

    Given this, lower turnout in this region might hurt Trump more than Harris. It’s little surprise then that the Trump campaign has called for expanding voting access in those areas.

    But there’s no way to know who will receive North Carolina’s 16 Electoral College votes. Such is the unpredictable politics of a purple state.

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

    ref. North Carolina is not really a red or blue state − and that makes political predictions much more difficult – https://theconversation.com/north-carolina-is-not-really-a-red-or-blue-state-and-that-makes-political-predictions-much-more-difficult-240844

    MIL OSI – Global Reports

  • MIL-OSI Global: Many wealthy members of Congress are descendants of rich slaveholders − new study demonstrates the enduring legacy of slavery

    Source: The Conversation – USA – By Neil K R Sehgal, PhD Student in Computer & Information Science, University of Pennsylvania

    A statue of Jefferson Davis, second from left, is on display in Statuary Hall on Capitol Hill in Washington. A slaveholder, Davis represented Mississippi in the Senate and House before the American Civil War. AP Photo/Susan Walsh, File

    The legacy of slavery in America remains a divisive issue, with sharp political divides.

    Some argue that slavery still contributes to modern economic inequalities. Others believe its effects have largely faded.

    One way to measure the legacy of slavery is to determine whether the disproportionate riches of slaveholders have been passed down to their present-day descendants.

    Connecting the wealth of a slaveholder in the 1860s to today’s economic conditions is not easy. Doing so requires unearthing data for a large number of people on slaveholder ancestry, current wealth and other factors such as age and education.

    But in a new study, we tackled this challenge by focusing on one of the few groups of Americans for whom such information exists: members of Congress. We found that legislators who are descendants of slaveholders are significantly wealthier than members of Congress without slaveholder ancestry.

    How slavery made the South rich

    In 1860, one year before the Civil War, the market value of U.S. slaves was larger than that of all American railroads and factories.

    At the time of emancipation in 1863, the estimated value of all enslaved people was roughly US$13 trillion in today’s dollars. The lower Mississippi Valley had more millionaires, all of them slaveholders, than anywhere else in the country.

    Some post-Civil War historians have argued that emancipation permanently devastated slave-owning families.

    More recently, however, historians discovered that, while the South fell behind the North economically immediately following emancipation, many elite slaveholders recovered financially within one or two generations.

    They accomplished this by replacing slavery with sharecropping – a kind of indentured servitude that trapped Black farm workers in debt to white landowners – and enacting discriminatory Jim Crow laws that enforced racial segregation.

    100 descendants of slaveholders

    Using genealogist-verified historical data and financial data from annual congressional disclosures, we examined members of the 117th Congress, which was in session from January 2021 to January 2023.

    Of its 535 members, 100 were descendants of slaveholders, including Democratic Sen. Elizabeth Warren and Republican Sen. Mitch McConnell.

    Legislators whose ancestors were large slaveholders – defined in our study as owning 16 or more slaves– have a current median net worth five times larger than their peers whose ancestors were not slaveholders: $5.6 million vs. $1.1 million. These results remained largely the same after accounting for age, race and education.

    Wealth creates many privileges – the means to start a business or pursue higher education. And intergenerational wealth transfers can allow these advantages to persist across generations.

    Because members of Congress are a highly select group, our results may not apply to all Americans. However, the findings align with other studies on the transfers of wealth and privilege across generations in the U.S. and Europe.

    Wealth, these studies find, often stays within rich families across multiple generations. Mechanisms for holding onto wealth include low estate taxes and access to elite social networks and schools. Easy entry into powerful jobs and political influence also play a part.

    Privilege with power

    But members of Congress do not just inherit wealth and advantages.

    They shape the lives of all Americans. They decide how to allocate federal funds, set tax rates and create regulations.

    This power is significant. And for those whose families benefited from slavery, it can perpetuate economic policies that maintain wealth inequality.

    Beyond inherited wealth, the legacy of slavery endures in policies enacted by those in power – by legislators who may be less likely to prioritize reforms that challenge the status quo.

    COVID-19 relief legislation, for example, helped reduce child poverty by more than 70% while bringing racial inequalities in child poverty to historic lows. Congress failed to renew the program in 2022, plunging 5 million more children into poverty, most of them Black and Latino.

    The economic deprivation still experienced by Black Americans is the flip side of the privilege enjoyed by slaveowners’ descendants. The median household wealth of white Americans today is six times higher than that of Black Americans – $285,000 versus $45,000.

    Meanwhile, federal agencies that enforce antidiscrimination laws remain underfunded. This limits their ability to address racial disparities.

    Legislators in the House of Representatives debate the abolition of the 1836 gag rule, which prevented discussion of any laws concerning slavery.
    MPI/Getty Images

    The path forward

    As the enduring economic disparities rooted in slavery become clearer, a growing number of states and municipalities are weighing some form of practical and financial compensation for the descendants of enslaved people.

    Yet surveys show that most Americans oppose such reparations for slavery. Similarly, Congress has debated slavery reparations many times but never passed a bill.

    There are, however, other ways to improve opportunities for historically disadvantaged populations that could gain bipartisan backing.

    A majority of Americans, both conservatives and liberal, support increased funding for environmental hazard screening, which assesses the potential impact of a proposed project. They also favor limits on rent increases, better public school funding and raising taxes on the wealthy.

    These measures would help dismantle the structural barriers that perpetuate economic disparities. And the role of Congress here is central.

    Members of Congress do not bear personal responsibility for their ancestors’ actions. But they have an opportunity to address both the legacies of past injustices and today’s inequalities.

    By doing so, they can help create a future where ancestral history does not determine economic destiny.

    The authors do not work for, consult, own shares in or receive funding from any company or organization that would benefit from this article, and have disclosed no relevant affiliations beyond their academic appointment.

    ref. Many wealthy members of Congress are descendants of rich slaveholders − new study demonstrates the enduring legacy of slavery – https://theconversation.com/many-wealthy-members-of-congress-are-descendants-of-rich-slaveholders-new-study-demonstrates-the-enduring-legacy-of-slavery-239077

    MIL OSI – Global Reports

  • MIL-OSI United Kingdom: Additional Translink services for Derry Halloween announced

    Source: Northern Ireland – City of Derry

    Additional Translink services for Derry Halloween announced

    23 October 2024

    Translink has announced additional and enhanced services for bus and rail in Derry~Londonderry for the upcoming Halloween festival, ensuring thousands of locals and visitors are better-connected to the celebrations.

    As Europe’s biggest Halloween festival prepares to descend upon the Northwest, public transport provides people with a safe, convenient, and sustainable way of travelling to, from and around the city.

     

    On Halloween night (Thursday 31st October), Translink will be running a number of additional Foyle Metro, Ulsterbus and Goldliner services from Foyle Street Bus Station:

    • 21:00 – additional 1a service to Culmore
    • 21:10 – additional 3n service covering Kilfennan, Currynierin and Drumahoe
    • 21:10 – additional 98 service to Strabane via Newbuildings
    • 22:00 – additional 212 service to Castledawson

     

    The public are also advised to note some service adjustments:

    • 4c – 20:25 from Foyle Street and 20:45 from Currynierin not running due to road closures for the fireworks display. Passengers can instead avail of the 3n service from Foyle Street at 21:10.
    • 6a – 20:20 to Newbuildings and 20:35 return not running due to road closures for the fireworks display. Passengers can avail of the 98 service to Newbuildings at 21:10.
    • 8b – 20:50 from Foyle Street to Creggan moved to 21:00, with return moving from 21:05 to 21:15.
    • 10a – 20:40 Ballymagroarty service moved to 21:00, with return moved from 21:00 to 21:20
    • 11a – 20:40 to Woodbrook moved to 21:00

     

    At the North West Transport Hub, additional capacity has been added to the 21:38 train departure to Belfast Grand Central Station, followed by an additional rail service at 22:38 to Coleraine Station.

     

    A special coach service will also operate from Belfast Grand Central Station on Halloween at 3pm, making its return journey from Foyle Street Bus Centre at 9pm. Tickets for this service are available to book online by visiting: translink.co.uk/events.

     

    Mayor of Derry City & Strabane District Council, Cllr Lilian Seenoi Barr, said: “I am delighted that Translink is once again supporting our world-famous Halloween celebrations by providing additional services that will allow families and individuals to use public transport to access and enjoy our events.

     

    “Halloween continues to be our biggest event of the year and it’s fantastic that we have additional services to encourage the public to attend our events and help ease traffic congestion and parking in our city centre. A huge thanks to Translink and our partners for their continued support in helping us promote sustainability and accessibility at our festival.”

     

    Sarah Simpson, Northern Area Manager at Translink, added: “Our commitment to sustainability and providing greener travel options aligns perfectly with the city’s own aspirations, so we are delighted to be running these additional and enhanced services for Derry~Londonderry, ensuring better connectivity to Europe’s biggest Halloween festival.

     

    “With these services, we aim to encourage even more people to make the switch away from private motoring, enjoy the many benefits of public transport and help create a cleaner, greener region for everyone.”

     

    Contactless ticketing is now available on all Translink buses and coaches, providing even more convenience and flexibility, reducing cash payments and ensuring faster boarding. Those planning on travelling to the city from further afield during the Halloween period can also avail of Translink’s Family and Friends ticket for just £24, including unlimited day travel on all services – both bus and rail – within Northern Ireland. This ticket permits up to two adults and four children.

     

    Full timetable and fare information is available at http://www.translink.co.uk, Translink’s Journey Planner, or by calling into Foyle Street Bus Station. 

    MIL OSI United Kingdom

  • MIL-OSI Europe: Debates – Monday, 21 October 2024 – Strasbourg – Provisional edition

    Source: European Parliament

    Verbatim report of proceedings
     413k  815k
    Monday, 21 October 2024 – Strasbourg Provisional edition

       

    IN THE CHAIR: ROBERTA METSOLA
    President

     
    1. Resumption of the session

     

      President. – I declare resumed the session of the European Parliament adjourned on Thursday, 10 October 2024.

     

    2. Opening of the sitting

       

    (The sitting opened at 17:03)

     

    3. Statements by the President

     

      President. – Dear colleagues, on the results of the presidential election and referendum in Moldova, the people in Moldova have chosen their future: they chose hope, stability, opportunity. They chose Europe.

    (Applause)

    The European Parliament strongly condemns any activities and interferences in Moldova’s presidential election and constitutional referendum on EU integration.

    We are proud to be one of Moldova’s strongest allies and supporters. We understand that Moldova’s future lies within the European Union and we fully support its EU accession path.

    President Maia Sandu and her government have already made remarkable progress in implementing reforms. And while the road ahead may not always be easy, I want to assure our European Moldovan friends that the European Parliament will continue to be with them every step of the way.

    Also, dear colleagues, on 16 October we marked 7 years since the brutal assassination of Daphne Caruana Galizia, a Maltese investigative journalist who exposed corruption and organised crime. Those who thought they could silence her were wrong. In fact, her work sparked a movement that echoes in every corner where we pursue a Europe that protects journalists, that respects the rule of law.

    I am grateful to have known Daphne beyond her writing: as a woman battling the odds; as a mother who was so proud of the men her boys grew into; as a daughter, wife and sister who wanted more from her country. And she raised the bar for all of us in politics. But most of all, today I think about how we must keep Daphne’s memory alive; how the European Parliament will keep pushing for the truth, for justice and for accountability.

    It is for this reason that the European Parliament is proud to be hosting the fourth edition of the Daphne Caruana Galizia Prize for outstanding journalism. And I take this moment to encourage you to attend the award ceremony this Wednesday in the Daphne Caruana Galizia Press Room, to honour the bravery of all those who continue to carry her legacy forward.

    This House remembers her and we honour her legacy.

    (Applause)

     

    4. Approval of the minutes of the previous sitting

     

      President. – The minutes and the texts adopted of the sitting of 10 October 2024 are available. Are there any comments? No? The minutes are therefore approved.

     

    5. Composition of Parliament

     

      President. – The competent authorities of Poland have notified me of the election of Hanna Gronkiewicz-Waltz to the European Parliament, replacing Marcin Kierwiński with effect from 10 October 2024.

    I wish to welcome our new colleague and recall that she takes her seat in Parliament and its bodies in full enjoyment of her rights, pending the verification of her credentials.

     

    6. Composition of committees and delegations

     

      President. – The PfE Group has notified me of decisions relating to changes to appointments within the committees and delegations. These decisions will be set out in the minutes of today’s sitting and take effect on the date of this announcement.

     

    7. Negotiations ahead of Council’s first reading (Rule 73)

     

      President. – The TRAN Committee has decided to enter into interinstitutional negotiations ahead of Council’s first reading, pursuant to Rule 73 of the Rules of Procedure.

    The positions adopted by Parliament at first reading, which constitute the mandates for those negotiations, are available on the plenary webpage, and their titles will be published in the minutes of this sitting.

     

    8. Corrigenda (Rule 251)

     

      President. – The competent committees have transmitted nine corrigenda to texts adopted by Parliament.

    Pursuant to Rule 251, these corrigenda will be deemed approved unless, no later than 24 hours after their announcement, a request is made by a political group or Members reaching at least the low threshold that they be put to the vote.

    The corrigenda are available on the plenary webpage. Their titles will be published in the minutes of this sitting.

     

    9. Signing of acts adopted in accordance with the ordinary legislative procedure (Rule 81)




     

      Marc Botenga (The Left). – Madame la Présidente, vous savez que, sur la base de l’article 188, les députés européens gagnent facilement 14 000 euros par mois. Pourtant, chaque année, notre groupe demande de baisser ces salaires pour que les députés soient un tout petit peu plus en phase avec la réalité des travailleurs, qui, eux, peinent à boucler les fins de mois. Chaque année, ce vote permet de démasquer les députés qui, d’une part, prêchent l’austérité et la misère pour les travailleurs, mais, d’autre part, s’octroient, eux, un salaire généreux de 14 000 euros par mois.

    Mais aujourd’hui, en coulisses, vous nous dites que ce n’est plus acceptable et vous voulez empêcher ce vote – je sais bien, chers collègues, que vous ne voulez pas que l’on touche à vos privilèges. Vous nous dites que ces revenus sont garantis par d’autres textes. Mais justement, en refusant aujourd’hui de voter le budget nécessaire, nous pouvons ouvrir cette porte pour faire le premier pas et revoir tout cela.

    L’année dernière, vous aviez permis ces amendements. Qu’est-ce qui a changé, qui ne serait plus vrai aujourd’hui? Serait-ce parce que la campagne électorale est terminée? Madame la Présidente, je vous prie, revoyez cette décision. La politique sert à servir et non à se servir.

     
       

     

      President. – Thank you very much, Mr Botenga. I will give you the explanation.

    You file a point of order under Rule 188, which is actually a point of order, but I will answer you. The amendments tabled by your group on the lines and figures of the general budget 2025 concerning salaries and allowances, etc., have been examined and declared inadmissible, simply because we want to apply the rules.

    And I will tell you why: it is because they are in contradiction with the existing regulations, in other words, the Statute for Members of the European Parliament and the Council Regulation determining the emoluments of EU high-level public office holders, based on Articles 243 TFEU and 223 TFEU. So the right procedure would be to call on the responsible institutions to amend the mentioned regulations.

    However, you will have seen as well, in this spirit, that the corresponding amendment that you tabled to the resolution on the general budget calling for this change has been declared admissible, because that can be declared admissible.

     
       

     

      João Oliveira (The Left). – Senhora Presidente, quero expressar o meu total desacordo com a sua decisão discricionária e sem fundamento de recusar, sem justificação, a proposta de debate sobre o agravamento da situação humanitária em Gaza, na sequência das declarações do coordenador especial da ONU para o processo de paz no Médio Oriente. Na quinta-feira, a ONU declarou que mais de um milhão e oitocentos mil palestinianos enfrentam fome extrema. Ontem mesmo, aquele coordenador especial da ONU emitiu um comunicado falando de pesadelo, cenas horripilantes na zona norte, ataques israelitas implacáveis e uma crise humanitária cada vez pior e, cito, que «nenhum lugar é seguro em Gaza», condenando os contínuos ataques contra civis. Aquele responsável disse: «A guerra tem de parar agora».

    Apesar de tudo isto ter acontecido em condições que permitiam que o debate aqui fosse feito, a senhora presidente recusou aceitar sequer a proposta. Desafio-a a colocar à votação este pedido de debate. Enquanto continuarem a chover bombas em Gaza, a morrer crianças, mulheres e civis, este debate será sempre urgente e imprescindível.

     
       


     

      Virginie Joron (PfE). – Madame la Présidente, chers collègues, chers démocrates, chers légalistes, je souhaite faire un rappel au règlement. Son article 219 prévoit le respect de l’égalité des genres dans la composition des bureaux des commissions. Cette égalité n’est pourtant pas respectée, pas plus que le résultat des urnes, c’est-à-dire de la démocratie.

    En effet, Madame la Présidente, vous avez accepté de ne pas respecter la démocratie en accordant une dérogation au principe de l’égalité des genres pour M. Weber dans plusieurs bureaux de commissions, ignorant par là même plus de 20 millions de nos électeurs.

    Comment pouvez-vous accepter que la commission CONT, qui contrôle le budget de l’Union européenne – et qui doit donner l’exemple –, continue de ne pas respecter nos règles? Vous souhaitez exporter l’égalité des genres jusqu’au Kazakhstan ou encore lui consacrer une semaine en décembre, mais ce principe n’est déjà pas respecté au sein de la commission CONT, au cœur même de notre institution. En ne disposant pas d’une quatrième vice-présidence, la composition du bureau de la commission CONT viole notre règlement.

    Madame la Présidente, je vous remercie de faire le nécessaire pour mettre un terme à cette hypocrisie et respecter notre devise, «Unie dans la diversité».

     
       


     

      Manon Aubry (The Left). – Madame la Présidente, chers collègues, ça tombe bien, j’avais envie de vous parler de démocratie et de faire un rappel au règlement sur la base de l’article 154, qui traite des accords interinstitutionnels, pour évoquer l’état des négociations entre l’Union européenne et le Mercosur. Je vais commencer, chers collègues, par une question assez simple: qui trouve normal que le plus important accord de libre-échange jamais conclu par l’Union européenne soit en train d’être signé en catimini, sans que notre Parlement ait la moindre information, quelle qu’elle soit? Allez-y, dites-moi qui est d’accord avec cela et levez la main.

    Vous le voyez bien – et j’ai fait le compte –, cela fait exactement cinq ans que la Commission européenne n’a pas donné ni publié le moindre compte-rendu officiel sur l’état des négociations. Bien entendu, cet accord de libre-échange aura un impact désastreux sur nos agriculteurs, qui souffrent déjà, sur la santé et sur la planète.

    Mes chers collègues, c’est aussi un scandale démocratique. Comment accepter d’être ainsi tenus à l’écart? C’est pourquoi, Madame la Présidente, je vous prierais de demander des comptes à la Commission européenne afin qu’elle nous tienne enfin informés, parce qu’on ne peut pas se laisser ainsi «bananer». Il est temps!

     
       


     

      President. – As you can see, your colleagues agree with you. This is something that has been an outstanding issue and we can put pressure on the incoming Commission to respect the deadlines that we have set.

     

    10. Order of business


     

      Terry Reintke, on behalf of the Verts/ALE Group. – Madam President, dear colleagues, last Friday, an Italian court invalidated the detention of 16 asylum applicants sent to Albania by the Italian Government. Italy is a democracy, with an independent judiciary and courts that can freely rule on existing cases, also to stop illegal actions by the government. Still, members of the ruling far-right coalition, including members of the government, attacked this independent judiciary and the judges that ruled in this case.

    Colleagues, we cannot stay silent on this: rule of law, including separation of powers, is a key fundament of the European Union. We have waited for far too long regarding Hungary to speak up. We cannot make the same mistake again. That is why my group requests a debate with the following title: ‘Commission statement regarding the ruling of the Italian court related to the agreement between Italy and Albania on migration’.

     
       



     

      Tomas Tobé (PPE). – Madam President, I think it is clear and already stated that this request should not be supported. It’s very clear. It’s not about a protocol about Italy and Albania, as you say in what you’re asking for. Also, it’s not even a final decision in the court, and it’s also a decision based on an EU directive that actually will be replaced once the new migration pact is fully adopted.

    I think it’s also about the general question, because we had a request in plenary before, from the Patriots, about another decision. We could, of course, make this Chamber nothing else than debating different court decisions. I think when it comes to migration policy, we should be serious, we should be balanced, and we should use our time to actually debate real things and not only try to make court decisions that you may like or not like to be in favour of them.

    So that is why the EPP will reject this request.

     
       


     

      Fabienne Keller, au nom du groupe Renew. – Madame la Présidente, nous savons que le nouveau pacte sur la migration et l’asile et la politique migratoire ont occupé l’essentiel du Conseil européen de la fin de la semaine dernière. C’est un sujet de préoccupation pour nos concitoyens.

    Nous sommes fiers, tous ici dans cette Chambre, d’avoir adopté un pacte, d’avoir trouvé un équilibre pour traiter la question de la migration illégale, tout en respectant nos valeurs. Nous savons aussi, chers collègues, qu’il nous faudra encore deux années pour le mettre en œuvre. Nous ne pouvons dès lors pas accepter qu’un État membre utilise une voie détournée pour contourner ce que prévoit le pacte et les règles précises que nous avons définies ensemble.

    C’est pourquoi nous proposons de rebondir sur la proposition des Verts et d’ajouter la dimension «mise en œuvre du pacte» dans son ensemble, c’est-à-dire vis-à-vis de ses devoirs, de l’application de ses règles, mais aussi des garanties des droits de l’homme et du respect des droits fondamentaux que nous y avons intégrés. C’est dans cet esprit que nous proposons ce débat amendé.

     
       

     

      President. – Ms Reintke, do you agree with the alternative proposal? So the Green Group does not. Therefore, I will put the original request by the Green Group to a vote by roll call.

    (Parliament rejected the request)

    I now ask Ms Keller: do you want to keep your request? Yes, Ms Keller wants to keep the request, so the proposal from the Renew Group is now put to a vote by roll call.

    (Parliament rejected the request)

    So the agenda remains unchanged.

    The agenda is now adopted and the order of business is thus established.

     

    11. International Day for the Eradication of Poverty (debate)

     

      President. – The first item is the debate on Parliament’s statement on the International Day for the Eradication of Poverty (2024/2881(RSP)).

    Dear colleagues, last week, on 17 October, we marked the International Day of the Eradication of Poverty. Poverty is not inevitable. It is a challenge that we can – and we must – overcome. Across the world, far too many people still struggle. Far too many people do not have access to clean water, to clothing, shelter, health care or education. And far too many people are excluded from society, denied the possibility of a dignified job, not given the opportunities to achieve their potential. Given that 1 in 5 Europeans and 1 in 4 children under the age of 18 in the European Union is at risk of poverty or social exclusion, the reality is as serious as it is alarming.

    Here in the European Parliament, we refuse to be bystanders. We are proud of all the work we have done already in making our Europe a front-liner in the fight against poverty, and yet more work remains. Poverty is a symptom of inequality, and we understand the responsibility that we bear to ensure that every person – no matter who they are or where they come from – has a chance to live with dignity, with purpose.

    This is why the European Parliament is looking forward to seeing the European Union’s first anti-poverty strategy that was announced in the 2024-2029 Political Guidelines of the European Commission. This is a positive step forward. By investing in education, affordable housing and job creation, by ensuring our social safety net works, we can lift millions out of poverty.

    This House will continue turning our policies into concrete action, and we will continue to fight for fairness, for dignity and for opportunity for all.

     
       


     

      Gabriele Bischoff, im Namen der S&D-Fraktion. – Frau Präsidentin, werte Kolleginnen und Kollegen! In der Tat: Wir sprechen inzwischen von 100 Millionen Menschen, die in Europa, einem der reichsten Kontinente, von Armut und sozialer Ausgrenzung bedroht sind; Frau Präsidentin hat es gesagt: mehr als jeder fünfte Mensch hier in Europa. Und dieser Internationale Tag zur Abschaffung der Armut, der muss wirklich ein Weckruf hier sein, weil wir mehr brauchen.

    Ja, wir brauchen eine Armutsstrategie, aber wir brauchen auch konkrete Politiken, und eine davon ist in der Tat, dass wir ein festes Budget von 20 Milliarden in einem eigenen ESF+ für die Kindergarantie brauchen, um die 19 Millionen Kinder – 19 Millionen, denen die Zukunft gestohlen wurde – besser vor Armut zu schützen, und wir brauchen Maßnahmen.

    Aber wir dürfen nicht nur national bleiben, sondern nach den Verträgen ist Armutsbekämpfung auch das Hauptziel der europäischen Entwicklungspolitik. Das muss so bleiben und muss unser Kompass sein zur Bekämpfung der Armut auf der ganzen Welt.

     
       

     

      Malika Sorel, au nom du groupe PfE. – Madame la Présidente, chers collègues, 34 % des Européens renoncent à des soins médicaux, et nombre de jeunes, de nos jeunes, sont en grande souffrance. C’est la tiers-mondisation de nos nations. L’Europe d’Hippocrate, de Pasteur et de Marie Curie n’est même plus capable de soigner les siens, tandis qu’elle érige en dogme la préférence extra-européenne.

    Alors que la pauvreté touche chacune de nos nations, la Commission va verser 1,8 milliard d’euros à la Moldavie. De plus, l’immigration issue des couches sociales les plus pauvres bat des records. Pour Enrico Letta, aucune réforme, aucun progrès ne sera possible sans la participation des citoyens. Cette participation, je vous le dis, est impossible, car ces conditions ne sont pas réunies.

    Relisons Jean-Jacques Rousseau: «Voulons-nous que les peuples soient vertueux? Commençons donc par leur faire aimer la patrie: mais comment l’aimeront-ils si la patrie ne leur accorde que ce qu’elle ne peut refuser à personne?». Nous sommes là au cœur du mal qui détruit l’Europe. Chers collègues, j’aimerais comprendre: est-ce l’indifférence – ou pire: le cynisme – qui conduit à nous lamenter sur une pauvreté que nous organisons?

     
       

     

      Chiara Gemma, a nome del gruppo ECR. – Signora Presidente, onorevoli colleghi, la povertà non è soltanto una questione economica: è una piaga sociale che mina la dignità e la speranza delle persone. Combatterla è un dovere morale e una responsabilità politica che deve impegnarci tutti, senza eccezioni.

    C’è un aspetto che merita una particolare attenzione e che troppo spesso viene trascurato: la condizione delle persone con disabilità, che sono tra le più esposte al rischio di povertà. I dati parlano chiaro: il 28,8% delle persone con disabilità in Europa vive in condizioni di povertà e di esclusione sociale.

    Questo dato è inaccettabile, soprattutto se pensiamo che stiamo parlando di una categoria già vulnerabile, che deve affrontare non solo le difficoltà economiche, ma anche le barriere strutturali, culturali e sociali che la società impone.

    Non possiamo tollerare che in un’Europa che si proclama “paladina dei diritti umani e dell’inclusione”, quasi un terzo delle persone con disabilità viva in condizioni di disagio economico. La nostra forza si misura dalla capacità di includere chi è già più debole.

     
       

     

      Charles Goerens, au nom du groupe Renew. – Madame la Présidente, Monsieur le Commissaire, la lutte contre la pauvreté doit se manifester tant à l’intérieur qu’à l’extérieur de l’Union européenne. Cela étant, la pratique semble confirmer ce propos.

    L’Union européenne n’a certes pas réussi à éliminer la pauvreté, comme chacun de nous le souhaiterait. À sa décharge, rappelons que ses compétences sont insuffisantes pour régler ce problème. Les États membres, par contre, disposent de moyens ô combien supérieurs à ceux dont dispose la Commission. À ce propos, l’on constate que les États membres qui ont de meilleurs résultats en matière de lutte contre la misère chez eux sont souvent les mêmes que ceux qui s’impliquent le plus dans la coopération au développement en faveur des pays du Sud.

    Cette corrélation n’est pas anodine. Elle nous fait penser que la solidarité est indivisible. C’est donc une question de cohérence, une question d’équité, qui s’applique dans le même esprit tant à l’intérieur qu’à l’extérieur de l’Union européenne. Pour appuyer mon propos, il suffit de lire les rapports annuels du Programme des Nations unies pour le développement et d’en comparer les résultats à ceux obtenus en matière de lutte contre la misère au sein des États membres.

     
       


     

      Leila Chaibi, au nom du groupe The Left. – Madame la Présidente, Monsieur le Commissaire, chers collègues, en France, 1 jeune sur 4 vit sous le seuil de pauvreté, et 1 étudiant sur 2 est obligé de sauter un repas par jour. Vous vous souvenez de ces files d’attente interminables devant l’aide alimentaire pendant la pandémie de COVID-19? Ces images, elles avaient fait le tour du monde. C’était il y a quatre ans. Et que s’est il passé depuis? Rien.

    Pourquoi l’Union européenne ne demande-t-elle pas aux gouvernements de proposer le repas à 1 euro pour les étudiants? Pourquoi continuons-nous à agir comme si la pauvreté était un phénomène météorologique, une espèce de catastrophe naturelle? Non, la pauvreté ne tombe pas du ciel. Sans inégalités, il n’y a pas de pauvreté. Bernard Arnault, l’homme le plus riche du monde, a vu sa fortune dépasser les 200 milliards d’euros, soit plus que le PIB de la Slovaquie. Imaginez ce qu’on pourrait faire avec cette somme. On pourrait faire 200 000 hôpitaux, 40 000 écoles.

    Vous voulez agir contre la pauvreté? Taxez les plus riches, taxez les multinationales, allez chercher l’argent là où il est.

     
       

     

      Petar Volgin, от името на групата ESN. – Скъпи колеги, дълго време силните на деня обясняваха, че когато глобализацията окончателно победи, когато бъдат премахнати всички държавни граници и всички държавни пречки пред бизнеса, ние ще станем богати и щастливи. Разказваха ни, че когато милионерът стане милиардер, това ще направи и нас, обикновените хора богати. Защото нали според постулатите на така наречената „трикъл даун” икономика („trickle down economy“) или икономика на просмукването, приливът повдигал всички лодки. Само че действителността се оказа много по-различна.

    Да, богатите ставаха още по-богати, милионерите ставаха милиардери, но лодките на обикновенните хора не се повдигаха, даже много от тях потънаха. Колкото повече държавата минаваше на заден план, толкова повече се увеличаваха неравенствата и бедността. Има само един начин, по който може да бъде преодоляно това. Държавата отново трябва да стане активна. Тя трябва да създаде такива правила, които да помагат на работещите хора да живеят по-добре. Наднационалните институции няма да направят това. Те се грижат за интересите на мега корпорациите. Нужна ни е повече държава и по-малко транснационални институции.

     
       


     

     

      Georgiana Teodorescu (ECR), în scris. – Prin acțiunile sale, Uniunea Europeană s-a declarat responsabilă pentru înverzirea Globului, pentru eliminarea surplusului de carbon, pentru tot ce e „eco” și „bio” la nivel mondial, pentru salvarea migranților, precum și pentru încetarea unor războaie din afara granițelor UE.

    Totuși, când vine vorba de sărăcia în care trăiesc unii dintre europeni, mai ales despre construirea unor programe concrete și asigurarea unui buget corespunzător pentru acest lucru, rămânem la stadiul de discuții frumoase. Iată că marcăm o zi oficială pentru eradicarea sărăciei, în loc să o eradicăm efectiv. În România, unul din cinci cetățeni trăiește sub pragul sărăciei, cifrele fiind mult mai ridicate în rândul tinerilor. Pe acești oameni, ziua internațională a eradicării sărăciei nu îi ajută. Este nevoie de bani și de măsuri concrete.

    Sigur, e onorabil să avem o astfel de zi, nu ne opunem, dar haideți să ne concentrăm mai mult pe fapte și mai puțin pe discursuri pompoase, care au zero efect în asigurarea hranei copiilor săraci ai Europei sau în oferirea unor programe care să-i încurajeze să-și continue studiile.

     

    12. Address by Enrico Letta – Presentation of the report ‘Much More Than a Market’

     

      President. – The next item is the debate on the address by Enrico Letta – presentation of the report ‘Much more than a market’.

    We have today with us former Prime Minister of Italy Enrico Letta to present his report ‘Much more than a market’. Caro Enrico, welcome back to the European Parliament. Your report came at an extremely timely moment.

    As we embark on a new legislative term, this House recognises that the future of Europe will be defined by our ability to make ourselves more competitive; how we are able to grow our economies and pay back our debts, to fuel our innovation and turn seemingly impossible challenges into opportunities, to create jobs and futures with dignity. That is what our people are asking from us. It is why Europeans went to the polls last June, and what our voters are expecting us to deliver on.

    To do all this, we do not need to reinvent the wheel. We already have many tools in place. For over 30 years, the single market has been our Union’s unique growth model, a powerful engine of convergence and our most valuable asset. But we are again at a moment where the single market is in need of a boost.

    The time is now for us to renew our engagement to it, to deepen it, especially when it comes to energy, to finance, telecoms, banking, capital markets and services – to bring it back on par with the needs of the current context.

    Boosting it also means doing more to level the playing field, to reduce excessive bureaucracy and to cut red tape. This is how our single market works best. So, Mr Letta, dear Enrico, the European Parliament is eager to hear your findings and recommendations on how we can bolster our single market and make Europe more competitive.

     
       

     

      Enrico Letta, author of the report ‘Much more than a market’. – Madam President, esteemed Members, I would like to express my deepest gratitude to President Roberta Metsola, the Members of the European Parliament and the groups. It is a particularly emotional moment for me to do so in this Chamber once chaired by David Sassoli. The last time I spoke from this very place was to commemorate him some days after his death. His legacy and his commitment to European values continues to guide and inspire all of us.

    I must also express my deep gratitude to those who commissioned this report and entrusted me with the responsibility to undertake it: the Belgian and Spanish presidencies of the Council of the European Union, along with the President of the Commission and the President of the European Council. It is a great honour for me to be here today, especially after a year of engaging with the European Parliament: more than 20 meetings, groups, committees – the IMCO Committee in particular, subcommittees fostering meaningful dialogue and collaboration.

    This is a decisive moment for the life of the report. The pragmatic proposals it contains can only make a real impact if this very Chamber embraces and advances them.

    This report is not mine. I bear full responsibility for it, of course, but above all, it is the result of a collective exercise developed during a journey that spanned almost the entire European Union, reaching out also to candidate countries for accession and non-EU countries that share with us the single market. Throughout this journey across Europe, I visited 65 cities and took part in over 4 400 meetings, I engaged open social dialogue with all stakeholders. This was not an ideological pursuit, but a pragmatic endeavour. I traveled across Europe and engaged with all stakeholders to find common ground for tangible solutions. And there is one thing I want to stress out here: all the proposals contained in the report do not require Treaty changes. They are very concrete and can be implemented immediately.

    Madame la Présidente, par cette méthode j’ai cherché à honorer l’esprit même du projet d’intégration européenne. Un projet qui s’épanouit dans le dialogue entre les grands et les petits pays, entre les grandes villes et les petites communes, entre des modèles divers de relations industrielles, ainsi qu’entre différentes cultures et histoires. C’était la vision de Jacques Delors, à la mémoire duquel ce rapport est dédié.

    Jacques Delors visait à poser une base solide sur laquelle les grands idéaux européens pourraient prospérer. Il reconnaissait que la passion seule ne pouvait bâtir l’Europe. Il fallait des projets pragmatiques, qui améliorent concrètement la vie des citoyens. Jacques Delors croyait fermement que le succès de l’intégration européenne ne se mesurait pas à l’aune des bénéfices pour les États, mais à l’amélioration de la vie des citoyens. C’est cette approche que j’ai poursuivie et qui m’a inspiré en rédigeant ce rapport.

    The single market has been our greatest achievement. It has fuelled prosperity and it embodies our values. But it was born in a very different era, an era in which both the European Union and the world were smaller, simpler and far less interconnected. More than 20 years ago, we succeeded in integrating our currencies. We created the euro. We integrated this critical dimension which carries important emotional and practical significance for our citizens.

    However, we have not achieved the same level of integration in other key strategic sectors that, paradoxically, would have been far less difficult to integrate: sectors that are now vital for the future of the European economy, in particular. At the inception, three sectors were deliberately kept outside the single market, considered too strategic to extend beyond national borders: finance, electronic communications and energy. In reality, when it comes to these issues, Europe is merely a geographical expression. We are 27, not 1, on telecommunication. We have 27 financial markets, not 1 financial market. The exclusion of these sectors from the completion of the single market was motivated by the belief at that time that domestic control would better serve strategic interests.

    In an increasingly interconnected world and a vastly larger global market, the national dimension is no longer sufficient. It is becoming a ceiling in these sectors. We need to address this paradox, which is one of the main drivers of the current gap with other global powers, and we must act now. Inertia or inaction on this front risks reducing our choices to a single question: whether we want to become a colony of the United States or of China in ten years’ time. Telecommunications, energy and financial markets must be integrated, as we did for the euro. The integration of these sectors is a precondition for our competitiveness and security. There can be no security without independence in connectivity, energy and finance.

    In the report, I propose a roadmap for telecommunications to move from 27 separate markets to 1, from the approximately 80 operators of today to 10, 20 operators. I am not suggesting that we mimic the American or Chinese models here in Europe. These models do not adequately protect consumers as we aim to do in the European Union, but with a single telecoms market, 10, 20 operators can compete while ensuring consumer protection. At the same time, they will be larger and stronger on the global stage. That is what is not happening today with the fragmentation in 27 different markets.

    For energy, the key mission is to invest in interconnections. We must reduce the energy prices in Europe, and the only way is to maximise the diversification of energy sources through a highly interconnected European system. We win through cooperation, not through fragmentation. However, the most important sector to integrate is the financial one, which is in reality today the sum of 27 separate financial markets. This fragmentation is a major factor in Europe’s loss of competitiveness, creating the paradox of having a single currency, the euro, without a fully integrated financial market. We are falling behind the US, which has surged ahead in this sector over the last 15 years, and we are paying a steep price for it. Without a unified financial system, we will be unable to create a new paradigm for economic development, unable to innovate and unable to ensure our security.

    Having unified and significantly larger financial markets would allow Europe to invest in innovation and support its real economy. It would also enable Europe to effectively finance the Green Deal.

    During my journey, one topic has emerged as a priority everywhere: how to support and finance the just, green and digital transition. Let’s be very clear: the Green Deal remains the top priority for the coming years. It is no longer a question of whether Europe will pursue it, but rather how it will be achieved. The legislative term began with a debate on how to approach the Green Deal. In the report, I propose solutions for implementing it that reduce the potential social and economic consequences for Europe. We cannot allow the Green Deal to become a luxury that only the wealthy can afford in our societies. The social and economic dimensions of the Green Deal are essential.

    If we are committed to this, we must also clearly outline how we intend to finance it. Otherwise, we risk engaging in an unrealistic declaration of intent. Without a concrete plan on how to finance it, political backlash and delays are inevitable – outcomes that neither the EU nor the planet can afford. That is why all our energy must be focused on financially supporting the transition. We need an innovative set of tools that can leverage both public and private financing, as both are crucial to meet our massive investment needs.

    There are differing views within the European Union on how to address this funding challenge. We have to be honest: there are often opposing views on this matter. It makes no sense to ignore or hide these differences. But I firmly believe that the single market is not only a fundamental tool, but also the common ground where these diverse positions can converge.

    The initial priority should be to mobilise private capital, where the EU lags behind and has enormous untapped potential. Let me offer two clear as significant examples. Each year, EUR 300 billion of European savings cross the Atlantic to fuel the American financial markets and their real economy. This happens because our financial markets, fragmented as they are, are unable to absorb these resources. But the effect is a paradox. This money ultimately strengthens American companies, which then return to Europe to buy our European companies with our European savers’ money.

    We need a change in mindset. The current lack of integration of Europe’s financial markets is unacceptable. Take also the case of international payment systems: every day, each of us makes several credit or debit card transactions, billions of transactions in total. Yet Italians aren’t happy using a French system. The French aren’t happy using a German system. The Germans aren’t happy to use a Spanish one. As a result, we are all end up being happy to rely on an American system. This example alone highlights the inefficiency of our fragmented approach.

    We have to be pragmatic, not ideological. The fragmentation of Europe’s financial markets plays directly into the hands of other global players, keeping Wall Street and China satisfied and very happy. And this is why, in the report, I proposed the creation of the savings and investments union, building on the incomplete capital markets union. By fully integrating financial markets, the savings and investments union aims to close the gap in a sector where we have enormous potential and provide a concrete tool to finance our ambitions.

    What I want to emphasise is the importance of forging a strong link between the fair, green and digital transition and the financial integration of the single market. One of the main reasons the capital markets union failed to succeed is that it was seen as an end in itself. True financial market integration in Europe will only be achieved when both citizens and policymakers recognise that this integration is not just beneficial for the financial sector, but it is essential for achieving broader, more critical goals such as the fair, green and digital transition.

    Ultimately, progress in the area of private investments will enable us to tackle the role, structures and regulations governing public investments. As I have noted, this is a divisive issue, but it is essential that we confront it openly. Closing the current gap in private investments is a critical first step in moving this debate forward. The massive investment needs of the European Union require both private and public sources of funding. We must strike a balance between different sensibilities and pave the way for a more constructive, integrated and efficient funding strategy.

    This also extends to the debate on state aid. In the report, I have presented some ideas to overcome the current impasse. We need new solutions that can swiftly mobilise targeted national public support for industry, while also preventing fragmentation of the single market and ensuring a level playing field.

    Combining private resources and public investments, considering various instruments, is the only way to achieve a compromise in this chamber and within the European Council. Finance, energy and telecommunications are interconnected and serve as critical boost within a broader concept of security. However, the current geopolitical situation compels us to accelerate the strengthening of our common defence capabilities.

    Greater integration within our common market can serve as a pivotal tool to overcome existing duplications and inefficiencies, yet substantial investments are required. We need to act on this front, and we must do swiftly in order to preserve a crucial level of autonomy in our foreign security and defence policy.

    The EU must continue its unwavering support for Ukraine in its fight for freedom, while also striving to play a pivotal role in ending the conflict in the Middle East. Both are essential steps towards securing long-term peace and stability. To address this significant challenge, we must consider innovative financing mechanisms here as well. In the report, I propose several options, but I believe, and I want to underline here, the most pragmatic and impactful approach involves the use of the ESM, the European Stability Mechanism.

    One of the consequences of fragmentation and the lack of unity in key sectors is the difficulty we are facing in terms of innovation. The EU has not yet developed a robust industry capable of harnessing the benefits of the new wave of technological advancements. As a result, we have become increasingly reliant on external technologies that are now critical to European companies. It is essential that we unlock the full potential of the single market, and to do so, we need to leverage our unexploited common strength in research and development.

    The single market, as we know, was built on four fundamental freedoms: the free movement of goods, services, capital and people. However, this structure is outdated and too closely aligned with the 20th century vision. I believe something is missing in today’s complex and dynamic environment, something intangible yet vital. The economy of the future will be driven by innovation, knowledge and tangible assets, a dimension that is vital to our progress.

    In the report, I argue for the addition of a fifth freedom, one that encompasses a range of essential fields: research, data, skills, knowledge, education. This is possible within the framework of the existing Treaties, as demonstrated in the report. This new fifth freedom will not just be about facilitating the movement of research and innovation outputs; it will embed the drivers of research and innovation at the heart of the single market. With this framework, the EU will not only better position itself as a global leader in setting ethical standards for innovation, but also as a creator and pioneer of new technologies.

    The EU’s ability to innovate depends also on creating an ecosystem where businesses can thrive. This is why the simplification of the single market rules is a central theme. It is a topic that I have heard repeatedly during my travels. However, when we speak of simplification, too frequently, these words are not followed by concrete, actionable proposals. In the report, I present two pragmatic proposals to significantly ease businesses’ access to the benefits of the single market. The first proposal is that EU institutions should unequivocally prioritise the use of regulations over directives when setting single market rules. This would reduce uncertainty and eliminate barriers. The second proposal is the idea of the ’28th regime’ to operate within the single market, a virtual 28th state that companies could choose for smoother, more practical operation at the European level. Both these proposals cover regulatory aspects that help to reduce bureaucracy without in an in any way undermining social standards, on which we do not want to see any race to the bottom. I’m very happy to speak on behalf and in front of the Commission on these topics.

    I conclude, Madam President: Jacques Delors always insisted on the crucial point of the importance of a single market with convergence, and the success of the single market is fundamental. If we add to the freedom to move the freedom to stay, the freedom to stay is fundamental for the people who want to stay in their own regions, with the idea to be allowed to grow up there and to have services of general interest across all the EU regions and also in the periphery regions.

    My conclusion: President von der Leyen’s decision to outline an ambitious plan for reform and relaunch of the European project, drawing on some of these ideas from both my report and that of Mario Draghi opens a window of opportunity we cannot afford to miss. In a time when divisions among us – between countries, political parties and populations are growing – I stand before you to affirm that the single market is what keeps us united. We must rally around it and remain firm in our commitment to the relaunch and completion of the single market. The question before us is clear: if not now, when? Now more than ever, we must defend, strengthen and relaunch the single market.

    I hope that with all these arguments, I have convinced you that, as I wrote in the title of my report, the single market is really much more than a market.

     
       

       

    PRZEWODNICTWO: EWA KOPACZ
    Wiceprzewodnicząca

     
       

     

      President. – Thank you very much, Mr Letta.

     

    13. Empowering the Single Market to deliver a sustainable future and prosperity for all EU citizens (debate)


     

      Andreas Schwab, im Namen der PPE-Fraktion. – Frau Präsidentin, lieber Enrico Letta, Herr Kommissar! Zunächst einmal im Namen der EVP-Fraktion einen großen Glückwunsch für diese intensive Arbeit und auch für die Präsentation der Ergebnisse hier.

    Es ist deutlich geworden, dass der Bericht und auch Sie ganz persönlich, Herr Letta, nochmals in Erinnerung rufen, dass der Binnenmarkt der Motor unseres europäischen Wohlstandes ist. Das finde ich beachtlich, weil natürlich ein Stück weit in den vergangenen Jahren in Vergessenheit geraten ist, dass der wirtschaftliche Austausch – egal ob es um Waren oder Dienstleistungen, egal ob es um Autos oder um Tourismus geht – im Zentrum dessen steht, was uns als Europäerinnen und Europäer reich und viele auch zufrieden macht.

    Deswegen, glaube ich, muss man an dieser Stelle noch einmal sagen: Der Binnenmarkt kann eben am besten entscheiden, was die richtige Leistung ist. Deswegen sollten wir den Bürgerinnen und Bürgern auch die Möglichkeit geben, dass sie entscheiden können in einem offenen Markt in Europa, welche Leistung, welchen Tourismusort, welches Auto sie kaufen können. Dafür ist der Titel vielleicht ein bisschen gefährlich, denn mehr als ein Markt bedeutet ja im Umkehrschluss, dass wir einen echten Binnenmarkt vollständig schon haben. Da, glaube ich, müssen wir sagen, gibt es noch einiges zu tun.

    Es gibt noch einiges zu tun, damit Arbeitnehmerinnen und Arbeitnehmer problemlos von einem Land in ein anderes fahren können. Auch wenn sie das Recht, dort zu bleiben, wo sie sein wollen, behalten sollen, müssen sie die Freiheit genießen können – in der Überarbeitung der Verordnung (EG) Nr. 883/2004 –, die Grenze zu überschreiten. Deswegen, liebe Freundinnen und Freunde, meine Damen und Herren, glaube ich, die Anpassung an eine neue geopolitische Bedingung, die rasche Entbürokratisierung und die Kapitalmarktunion sind sicher Kernforderungen des Berichts, die wir alle unterstützen.

    Ich bin froh, dass Enrico Letta in die gleiche Richtung wie Mario Draghi gegangen ist. Deswegen, glaube ich, gilt es jetzt, dass die Europäische Kommission liefert: ein 28. Regime dort, wo es notwendig ist, eine neue Grundfreiheit und einen einheitlichen Telekommunikationsbinnenmarkt. Es gibt viel zu tun.

     
       

     

      Gabriele Bischoff, on behalf of the S&D Group. – Madam President and dear Enrico Letta, I think it is very important that we still keep a vision of what we could do and what is possible, but where we lack the courage so far to do so. Jacques Delors always said that no one falls in love with the common market. That was true in the past, it’s also true today, but you show that it’s not only a single market, but it is what it does for people, how it enables people. And therefore we really have to boost the common market indeed, but also – in the spirit of Jacques Delors – to always have in mind that this always needs a strong social dimension going for it, if we want to also convince the citizens that it’s in their interest to do so.

    But I also have to say I could comment on many things, because your report is very rich. I want to highlight the fifth freedom, a fair mobility, a new push here for innovation, and to deliver for our citizens.

     
       



     

      Svenja Hahn, im Namen der Renew-Fraktion. – Frau Präsidentin! Liebe Kollegen, wenn wir in der Welt über Werte wie Demokratie reden, hat man uns zugehört, weil wir ein attraktiver Markt waren. Der Binnenmarkt ist das Herzstück der EU – er hat uns wirtschaftlich stark werden und zusammenwachsen lassen. Doch der Binnenmarkt kränkelt vor sich hin, auch weil die Kommission zu wenig für seine Zukunft getan hat.

    Herr Letta gibt uns eine lange To-do-Liste mit: allem voran sind es massive Überregulierung, hohe Energiekosten, Steuern und Abgaben und on top noch ein mindset, das Innovation und unternehmerischem Erfolg misstraut. Das ist Gift für unseren Binnenmarkt, das ist Gift für Wirtschaftswachstum.

    Und wer jetzt die Lösung in neuen Steuern, Umverteilung und Subventionen sieht, ist doch aus der Zeit gefallen. Wir machen die EU nicht fit für die Zukunft mit Ideen von gestern, sondern mit strukturellen Reformen. Für mehr Wirtschaftswachstum brauchen wir jetzt einen radikalen Bürokratieabbau und eine Fastenkur für neue EU-Gesetze. Und es muss Schluss sein mit Protektionismus in unserem Binnenmarkt.

    Wachstum muss das Ziel sein, denn eine starke Wirtschaft schafft Arbeitsplätze, finanziert Bildung und unseren Sozialstaat und sorgt auch dafür, dass wir uns verteidigen können. Ein starker Binnenmarkt ist die Grundlage für unsere Gesellschaft, unseren Zusammenhalt und unsere Sicherheit.

     
       

     

      Anna Cavazzini, im Namen der Verts/ALE-Fraktion. – Frau Präsidentin, liebe Kolleginnen und Kollegen! Lieber Enrico Letta, erst einmal vielen Dank für deinen Bericht und die gute Zusammenarbeit mit diesem Haus, insbesondere mit dem Ausschuss für Binnenmarkt und Verbraucherschutz. Einige Leute sind ja fest davon überzeugt – und Gabriele hat es schon gesagt –, dass man sich nicht in einen EU-Binnenmarkt verlieben kann; einer davon hieß Jacques Delors.

    Aber ich muss schon sagen, dass die aktuelle Binnenmarktgesetzgebung ziemlich attraktiv ist, ein Schlüssel gegen die multiplen Krisen unserer Zeit. Mit dem Gesetz über digitale Dienste und dem Gesetz über digitale Märkte legen wir demokratische Regeln für die Onlinewelt fest. Mit der Gesetzgebung für die Kreislaufwirtschaft und dem Recht auf Reparatur machen wir Nachhaltigkeit zur Norm auf dem Binnenmarkt. Und – das ist wirklich ein Projekt zum Verlieben – das gemeinsame Ladekabel macht endlich Schluss mit unserem Kabelsalat in den Schubladen. Diese Beispiele zeigen, dass sich die Aufgabe, einen gemeinsamen europäischen Markt zu schaffen, in den letzten 30 Jahren weiterentwickelt hat.

    Von der Veränderung des Marktes mit seinen vier Freiheiten – Waren, Dienstleistungen, Kapital und Menschen – nutzen wir ihn heute immer mehr, um unsere gemeinsamen politischen Ziele zu erreichen: Souveränität, die Regulierung von großen Tech-Unternehmen, die Stärkung von Rechten von Verbrauchern und vor allem auch der Schutz unseres Planeten und des Klimas.

    Und das ist auch die Geschichte – finde ich –, die wir den Bürgern heute erzählen müssen. Tatsächlich wird sich niemand in die abstrakte Idee der wirtschaftlichen Integration verlieben. Aber die Bürgerinnen und Bürger in der EU wollen hohe Verbraucherschutzstandards, eine gesunde Wirtschaft, Umweltschutz; und der Binnenmarkt und unsere Binnenmarktregeln können all das liefern, wenn wir es richtig machen.

    Ich finde, wenn wir die Unterstützung unserer Bürger erhalten wollen, muss der Binnenmarkt sie schützen. Riesige Proteste in ganz Europa und zwei gescheiterte EU-Verfassungsreferenden waren damals die Folge, als die Kommission bei der Marktintegration mit der Dienstleistungsrichtlinie zu weit gegangen ist. Dieses Parlament hat damals, 2006, den Vorschlag geändert und ausgewogener gestaltet. Wir haben in den vergangenen Jahren erfolgreich für eine stärkere soziale Dimension des Binnenmarktes gekämpft und müssen dies auch weiterhin tun.

    Ja, viele unsinnige Hürden im Binnenmarkt müssen schnellstens abgebaut werden. Aber Marktintegration darf niemals, aber auch niemals zum Abbau von Schutzstandards führen.

     
       

     

      Νικόλας Φαραντούρης, εξ ονόματος της ομάδας The Left. – Κυρία Πρόεδρε, αγαπητέ κύριε Letta, σας καλωσορίζω στο Ευρωπαϊκό Κοινοβούλιο. Καλωσορίζουμε κάποιες από τις προτάσεις σας, όπως αυτές για μια κοινή φορολογική πολιτική ή για μια κοινή ευρωπαϊκή βιομηχανική πολιτική. Δεν με βρίσκει όμως σύμφωνο η περαιτέρω απορρύθμιση των εργασιακών σχέσεων και η αποκλειστική έμφαση μονάχα στην κινητικότητα των επενδύσεων.

    Επίσης, σας καλώ, εσάς και την Ευρωπαϊκή Επιτροπή, να λάβετε υπόψη σας το γεγονός ότι ένας βασικός πυλώνας της εσωτερικής αγοράς από δημιουργίας της Ευρωπαϊκής Ένωσης, η πολιτική ανταγωνισμού, οι κανόνες ανταγωνισμού και η αντιμονοπωλιακή νομοθεσία, σε πολλές χώρες της Ευρωπαϊκής Ένωσης και στην ίδια την Ευρωπαϊκή Ένωση δεν λειτουργεί. Υπάρχουν χώρες, όπως για παράδειγμα η δική μου χώρα, η Ελλάδα, όπου είναι απολύτως καρτελοποιημένοι κάποιοι κρίσιμοι κλάδοι της οικονομίας, όπως επίσης και κλάδοι βασικών κοινωνικών αγαθών. Γι’ αυτό, θα πρέπει να ενταθούν οι προσπάθειες, ξανά από την αρχή, ώστε οι βασικοί πυλώνες της εσωτερικής αγοράς, όπως είναι οι κανόνες ανταγωνισμού, να γίνονται σεβαστοί και εφαρμόζονται αυστηρά.

    Καλώ, λοιπόν, την Ευρωπαϊκή Επιτροπή, στο πλαίσιο του ευρωπαϊκού δικτύου ανταγωνισμού, να δείξει μεγαλύτερη προσοχή σε καρτελοποιημένες αγορές και να δώσει μεγαλύτερη έμφαση στην κοινωνική διάσταση της εσωτερικής αγοράς.

     
       

     

      René Aust, im Namen der ESN-Fraktion. – Frau Präsidentin! Der Binnenmarkt ist eine der größten Errungenschaften der europäischen Zusammenarbeit. Er ist ein lebendiges Beispiel dafür, wie souveräne Nationen gemeinsam ihre Ziele erreichen können, wenn sie ihre Kräfte in einem wichtigen Bereich bündeln. Der Binnenmarkt hat Innovationen angeregt und für zusätzlichen Wohlstand in Europa gesorgt.

    Doch heute sehen wir leider, dass sich die Europäische Union immer weiter von diesen zentralen Aufgaben entfernt. Statt sich auf ihre wenigen, aber entscheidenden Aufgaben zu konzentrieren, wie eben den Binnenmarkt, den Schutz unserer gemeinsamen europäischen Außengrenzen oder auch die Koordination einer gesamteuropäischen Verteidigungsgemeinschaft, mischt sie sich in immer mehr Lebensbereiche ein, in denen sie eigentlich nichts zu suchen hat.

    Anstatt den Schwerpunkt auf grenzüberschreitende Herausforderungen wie Handel, Wettbewerb, Innovation oder gemeinsame Sicherheitsstandards zu legen, wird die EU zunehmend zu einem Gemischtwarenladen, der sich um alles Mögliche kümmert, vom Weltklima bis zur Genderideologie, aber das Wesentliche vernachlässigt. Diese Überdehnung der EU-Aufgaben schreckt private Investoren und Entrepreneure ab und schadet damit ganz Europa. Doch jede Kritik an dieser Entwicklung wird sofort als antieuropäisch verunglimpft und sehr schnell in die Ecke der Europafeinde gesteckt.

    Dabei braucht Europa eine Rückbesinnung auf das, was wirklich wichtig ist, und nationale Souveränität ist eine Voraussetzung für eine funktionierende europäische Zusammenarbeit. Darum kann man uns Patrioten auch die Zukunft Europas anvertrauen, weil wir eben verstanden haben, dass mehr nicht immer besser ist. Wir wollen eine handlungsfähige Gemeinschaft europäischer Nationalstaaten, die den Binnenmarkt fortentwickelt, die Außengrenzen sichert und unseren Kontinent schützt.

     
       

     

      Lídia Pereira (PPE). – Senhora Presidente, a participação da União Europeia na economia global está a cair. As economias asiáticas ultrapassam‑nos a uma velocidade vertiginosa, tal como o relatório de Enrico Letta e o relatório de Mário Draghi o confirmam. As condições de vida dos europeus estão a degradar‑se. O PIB per capita nos Estados Unidos cresceu o dobro do europeu desde que foi criado o Mercado Único, em 1993. Portanto, não podemos continuar a ficar para trás.

    E o mais chocante é a nossa produção de bens essenciais, incluindo em áreas como a saúde, que desceu de 53 % para menos de 25 % em pouco mais de duas décadas. Estamos dependentes de outros, quando nunca precisámos tanto de garantir a nossa autonomia estratégica.

    Enrico Letta disse‑o ainda há pouco, mas continuamos, infelizmente, a ver mais de 300 mil milhões de EUR das poupanças dos europeus serem desviadas para fora da Europa. É trágico, porque estamos a financiar a economia dos outros, em vez de fortalecermos a nossa.

    Queremos ter um mercado mais competitivo, então precisamos de uma união bancária completa. Queremos proteger as poupanças dos nossos cidadãos e relançar a inovação, precisamos de uma união de mercado de capitais. E, acima de tudo, precisamos mesmo de reformar o mercado único europeu, acrescentando‑lhe a livre circulação do conhecimento, porque só com investigação e inovação seremos capazes de ter mais empresas competitivas a nível global.

    Creio que já temos relatórios o quanto basta. Precisamos mesmo é de decisões, e está na hora de as tomarmos.

    (A oradora aceita responder a uma pergunta «cartão azul»)

     
       

     

      João Oliveira (The Left), Pergunta segundo o procedimento «cartão azul». – Senhora Presidente, fazer a defesa do mercado único a partir da apologia da política de concorrência, ignorando a concentração e a centralização a que essa política e esse mercado têm conduzido, não nos serve de muito. Basta olhar para o setor bancário português e perceber que, sem o aprofundamento do mercado único, ficaram os bancos todos nas mãos de capital estrangeiro, com exceção da Caixa Geral de Depósitos, que, por ser pública, continua a ser nacional.

    Trazer aqui a defesa do mercado único a partir da ideia de que é isso que permite reduzir os preços – quando o setor energético mostra exatamente o contrário, com o aumento dos custos da energia – ou agora a partir do setor financeiro, achando que é isso que resolve os problemas, pode servir às multinacionais, mas não serve um país como Portugal, Senhora Deputada.

     
       


     

      Camilla Laureti (S&D). – Signora Presidente, onorevoli colleghi, grazie a Enrico Letta per il rapporto. Alexander Langer diceva che la conversione ecologica potrà affermarsi solo se apparirà socialmente desiderabile: per questo in Europa servono investimenti comuni, perché il Green Deal è una rivoluzione necessaria che impatta sul modello di sviluppo e sulla vita delle persone, e nelle persone può generare paura.

    Se sapremo realizzarlo, avremo i cittadini al nostro fianco, le aziende più competitive e un’Europa più forte. Gli Stati Uniti, la Cina e l’India stanno andando veloci e in questa direzione – l’Europa non può permettersi di restare indietro. La risposta è un sistema comunitario di aiuti di Stato: dobbiamo integrare i principi dell’economia circolare per spingere sostenibilità e competitività.

    La libertà di muoversi, dice anche Letta nel rapporto, deve essere una scelta – oggi non lo è. Un terzo della popolazione europea vive in regioni che da anni sono immobili: le aree interne d’Europa. Qui si vince la sfida della crescita sostenibile, fatta di investimenti comuni, capaci di garantire i servizi di interesse generale per non lasciare indietro nessuno.

     
       

     

      Enikő Győri (PfE). – Tisztelt Elnök Asszony! Az egységes piac az Unió legközérthetőbb értéke. Az olcsóbb repülés, vagy annak előnye, hogy otthoni szeretteinkkel ingyen telefonálhatunk, nem szorul magyarázatra. Persze szereztünk keserű tapasztalatokat is. Szolgáltatási irányelv, kiküldött munkavállalók, mobilitási csomag. Ezek elfogadásakor a Bizottság mindig a nyugat-európaiak érdekét tartotta előbbre valónak.

    Ahol az EU keleti fele versenyképesebb, ott nem akarta lebontani az akadályokat. A feladat tehát csak, hogy olyan területeken mélyítsük az egységes piacot, mely fokozza a versenyképességet, és földrajzi helytől függetlenül megkönnyíti a polgárok és cégek életét. Ne központosítsunk ott, ahol a kisebbek vagy fejletlenebbek rosszul állnak. Több összeköttetés tehát, de például az energia- vagy telekommunikációs szektor centralizáltásával bánjunk csínján, ne tűnjenek el a helyi szereplők, ne dráguljon a szolgáltatás. A pénzügyi piacok közötti átjárhatóság jó irány, de legyünk óvatosak a nemzeti felügyeletek egységesítésével, ne fojtsuk meg a kisebb nemzeti tőkepiacokat, amelyek nélkül nincs helyi ökoszisztéma.

    Elnök úr említette az ötödik szabadságot, a tudás mozgását. Ez nagyon klassz. Csak kérdezem, hogy az Európai Bizottság miért blokkolja a magyar kutatók részvételét a Horizont programban, vagy a magyar diákok mozgását az Erasmus program keretein belül? Regionális különbségek kiegyenlítése nélkül nincs versenyképesség. Az agyelszívás ellen tenni kell. Ösztönözni kell a helyben boldogulást. Tartsuk meg a kohéziós politikát, hiszen ezt az egységes piac ellensúlyozására találták ki, hol nehézségeket okozott. Ezt fenn kell tartani kondicionalitás nélkül, mert az durva politikai eszközzé vált a Bizottság kezében.

     
       

     

      Denis Nesci (ECR). – Signora Presidente, onorevoli colleghi, Presidente Letta, la relazione che discutiamo oggi mette in luce una delle sfide cruciali: il rafforzamento del mercato unico è senza dubbio un obiettivo fondamentale per il futuro dell’Unione europea.

    Tuttavia, non possiamo ignorare le criticità evidenti. Le eccessive regolamentazioni burocratiche rappresentano un ostacolo reale che rischia di soffocare l’innovazione e la crescita delle PMI. Se poi ci troviamo di fronte a perfidie come quella della direttiva ETS, giusto per citarne una, che mette a rischio la competitività delle infrastrutture portuali del Mediterraneo – come il porto di Gioia Tauro – con forti ricadute anche sul livello occupazionale, non parliamo di mercato unico, bensì di un distorto mercato unico.

    Per rilanciare la nostra competitività nell’ambito del mercato unico abbiamo bisogno di una politica economica adeguata e solidale, accompagnata da regole che vadano incontro alle esigenze di tutti gli Stati membri. Per questo è essenziale che il mercato unico non diventi un vantaggio riservato solo ad alcune aree: serve un mercato unico realmente inclusivo, che possa offrire opportunità anche alle regioni meno sviluppate, mettendo al centro l’uomo e non le “eco-follie”, e che sia a favore di famiglie, consumatori e imprese.

     
       

     

      Sandro Gozi (Renew). – Madame la Présidente, chers collègues, caro Enrico, le plus grand succès de l’Union, le marché unique, doit être renouvelé et complété. «Rico» Letta l’affirme avec force, et il a raison.

    Renouvelé, car il est impossible de réussir la transition écologique et numérique sans rendre le marché unique plus durable et plus simplifié pour les producteurs et pour les consommateurs. Complété, car il faut éliminer tous les obstacles qui empêchent les PME d’en profiter pleinement et qui nous empêchent d’avoir une union de l’énergie, des télécoms, des capitaux et des investissements. Le coût de la «non-Europe» est trop grand pour ne pas agir. L’approfondissement du marché européen pourrait générer jusqu’à 1,1 trillion d’euros de production économique supplémentaire par an.

    Il est aussi urgent – le rapport le dit très bien – de dégager les ressources sociales et économiques nécessaires à l’accompagnement du pacte vert et de la transition numérique.

    Enfin, nous devons développer une dimension extérieure du marché unique en lien avec notre politique commerciale. Dans ce cadre, nous devons également réformer les marchés publics, qui doivent aussi nous aider à réduire notre dépendance vis-à-vis des pays tiers. Cela doit être notre grande mission pour l’innovation et la compétitivité.

     
       


     

      Marcin Sypniewski (ESN). – Pani Przewodnicząca, Szanowni Państwo, jestem posłem od kilku miesięcy i jestem szczerze zdumiony, że w tym krótkim czasie po raz kolejny debatujemy nad nowym sprawozdaniem, które ma nam wskazać, jak mamy stać się bardziej konkurencyjni, bogatsi, silniejsi czy piękniejsi. Najwyraźniej oprócz biegunki legislacyjnej mamy również do czynienia z biegunką ekspertyz, analiz i sprawozdań. Zamiast tego polecam poczytać Rothbarda, Misesa czy Hayeka, których dzieła przetrwały próbę czasu we wskazywaniu, co jest dobre dla rozwoju gospodarczego i wolności jednostki.

    Noblista Fryderyk von Hayek wskazuje, że wiedza w swojej naturze jest rozproszona. To rynek za pośrednictwem cen przesyła informacje do przedsiębiorców i konsumentów. Dzięki temu rynek samodzielnie się stabilizuje i dostosowuje się do zmieniających się warunków i potrzeb. Politycy i urzędnicy nie są do tego w ogóle potrzebni. Alternatywą dla takiego spontanicznego i rozproszonego działania jest centralne planowanie, które wielokrotnie wprowadzane zawsze zawodziło, ponieważ politycy nigdy nie posiądą całości rozproszonej wiedzy.

    Rynek nie jest tabelką w Excelu, ale żywym, dynamicznie zmieniającym się organizmem, a prawdziwymi przywódcami na rynku są konsumenci. To ich wymagania starają się spełnić przedsiębiorcy. Rozwiązaniem, które ewentualnie pobudziłoby rynek, jest porzucenie praw własności intelektualnej w postaci chociażby patentów. Informacja może przecież znajdować się w kilku miejscach jednocześnie, bez wzajemnej szkody. Nie jest to dobro rzadkie, dlatego nie powinno być chronione jak własność prywatna. Własność intelektualna to sztuczny twór, a jej ochrona jest fikcją prawną. Chcecie bogactwa i dobrej przyszłości? Postawcie na rynek, a nie na biurokrację i na sprawozdania.

     
       


     

      Mohammed Chahim (S&D). – Voorzitter, de heer Letta is vrij helder in zijn analyse, net zoals de heer Draghi kort daarna. Het gaat echt ergens over, namelijk hoe kunnen we onze interne markt versterken? Hoe kunnen we de eenheid van Europa versterken? Hoe zorgen we ervoor dat we een sterke concurrentie krijgen binnen Europa, maar vooral ook met de rest van de wereld? En dit gebaseerd op een gelijk speelveld, op innovatie en op vergroening?

    Simpel gezegd zijn er twee stromingen in Europa: enerzijds conservatief rechts, dat de ontwikkelingen buiten de EU negeert, blind is voor de massale groene investeringen in de VS en wegkijkt van de modernisering van de Chinese economie; anderzijds een stroming die deze ontwikkelingen wil inhalen door meer – en niet minder – op Europese schaal samen te werken, te investeren in groene technologieën en ons niet te blijven blindstaren, zoals Draghi zei, op onze deels verouderde industrie.

    De keuze is simpel. Kiezen we voor modernisering en vergroening en dus voor vooruitgang? Of kiezen we voor nostalgie en stilstand?

    (De spreker stemt ermee in om te antwoorden op een “blauwe kaart”-vraag)

     
       



     

      Roman Haider (PfE). – Frau Präsidentin! Der Letta-Bericht benennt viele Probleme des Binnenmarkts richtig: steigende Energiepreise, mangelhafte Infrastruktur, vor allem bei den Hochleistungsbahnstrecken, Rückstand bei den Zukunftstechnologien, Überbürokratisierung vor allem. Das ist alles richtig; es ist nicht neu, aber es stimmt. So richtig aber die Analyse und die Diagnose im Letta-Bericht ist, so falsch sind leider die Vorschläge zur Verbesserung. Das war beim Draghi-Bericht so, und das ist auch beim Letta-Bericht so.

    Den beiden fällt zur Lösung der Probleme der EU nur eines ein: noch mehr EU, noch mehr Kompetenzen für Brüssel, noch mehr EU-Institutionen, eine neue Fiskalkapazität, die Kapitalunion, und dabei ist aber genau das das Problem. Noch mehr Kompetenzen für Brüssel bedeuten noch mehr Bürokratie, noch mehr unnütze Vorschriften, noch weniger Flexibilität für die Mitgliedstaaten.

    Es ist höchst an der Zeit für neue Wege, für weniger Zentralismus, für weniger EU, für mehr Flexibilität für die Mitgliedstaaten, mehr Subsidiarität und mehr Freiheit.

     
       

     

      Kosma Złotowski (ECR). – Pani Przewodnicząca! Panie Premierze! Od sukcesu jednolitego rynku zależy przyszłość Unii Europejskiej. Ten bardzo dobry projekt gospodarczy wciąż jest jednak daleki od ideału, gdyż ogranicza potencjał rozwojowy wszystkich państw członkowskich. Wreszcie możemy o tym głośno mówić.

    Istnieje wiele barier dla firm, zwłaszcza małych i średnich, które chcą prowadzić działalność ponad granicami w sektorze usług, transporcie, budownictwie czy handlu internetowym. Już zidentyfikowane problemy, takie jak geoblocking, gold-plating czy nadmierne i uciążliwe kontrole, skutecznie należy zwalczać. Europejski Zielony Ład jest wyłącznie kolejną taką barierą dla wzrostu gospodarczego.

    Nierealistyczne cele klimatyczne w takich obszarach jak rolnictwo, motoryzacja, transport czy budownictwo muszą zostać w tej kadencji Parlamentu zmienione. Zacznijmy w końcu deregulować, umożliwiać małym i średnim przedsiębiorstwom dostęp do rynków zagranicznych, wspierać innowacje i cyfryzację. To przełoży się na wzrost zatrudnienia oraz niższe ceny towarów i usług dla Europejczyków.

     
       

     

      Billy Kelleher (Renew). – Madam President, the Letta report and the Draghi report are a wake-up call for the European Union in terms of digitisation, the Green Deal, our knowledge economy, investing in innovation, research and development, ensuring that we have growth and competitiveness. The single market, the internal market, is a cornerstone on which all of this is built, and we have to protect it and ensure that it prospers and flourishes.

    The fact of the matter is, at the moment we are very short on capital in the European Union to invest in all of the above. So we have to advance the Capital Markets Union and the Banking Union to ensure that we have the capital to invest in the knowledge economy, in the Green Deal and other areas of research and development.

    The free movement of people, goods and services and capital is the cornerstone. Of course, we do have some in this Chamber who are even trying to undermine the basic principle of free movement of people. We have to be very conscious that we can’t cherry‑pick the Single Market – free movement of capital, goods, services and people is the cornerstone and we must all defend it to the last.

    More broadly, over the next number of months, we have to ensure that we respond to the Letta report and the Draghi report in what they observe are the challenges ahead for our competitiveness.

     
       


     

      Fulvio Martusciello (PPE). – Signora Presidente, onorevoli colleghi, come sottolineato nella sua relazione e in quella di Mario Draghi, un solido mercato unico europeo è essenziale per la competitività delle imprese, perché può stimolare la crescita economica e l’innovazione, garantendo accesso al mercato ed eliminando la burocrazia inutile.

    L’Europa però ha bisogno di una forte strategia industriale per le tecnologie e le catene del valore, che promuova competitività, sostenibilità e innovazione. Questa strategia deve sviluppare una visione coerente, che dia priorità ad un quadro normativo, con politiche basate su dati scientifici e valutazioni di impatto approfondite, fornendo alle imprese la stabilità di cui hanno bisogno. Da questo punto di vista riteniamo molto positive le lettere di missione sulla creazione di una vera e propria economia circolare competitiva.

    Negli ultimi decenni le aziende europee hanno infatti investito miliardi di euro in tecnologie all’avanguardia, hanno generato enormi progressi nell’eco-design di prodotti, nella sicurezza dei consumatori e nell’industria del riciclo, dove l’Italia e l’Europa detengono posizioni di leadership mondiale, sia in termini di innovazione industriale che di sostenibilità ambientale.

    Purtroppo, l’eccesso di regolamentazione degli ultimi anni ha generato un’enorme incertezza, spingendo interi settori industriali a posticipare i propri investimenti, compromettendo gli obiettivi di crescita complessivi, con spreco di tempo e di risorse.

    In questo mandato sarà dunque necessario evitare a tutti i costi di produrre ulteriori iniziative legislative motivate da logiche falsamente ambientaliste e non basate su evidenze scientifiche, che rischiano di penalizzare le imprese europee. Sarà imperativo garantire la conformità con le norme europee da parte dei Paesi terzi, garantendo standard che riducano la dipendenza dai fornitori esteri e rafforzino la competitività dell’industria e delle economie europee per affrontare le sfide delle concorrenze globali di Cina e Stati Uniti.

     
       

     

      Laura Ballarín Cereza (S&D). – Señora presidenta, señor Letta, señorías, treinta años después de su creación, el informe Letta nos brinda una oportunidad única para avanzar hacia el futuro del mercado único en tres aspectos clave:

    En primer lugar, inspirados por Jacques Delors, apoyamos su idea de añadir una nueva libertad a la libertad de movimiento, que es la libertad de permanecer en el rincón de la Unión Europea que queramos. No queremos solo una Unión donde podamos movernos libremente en busca de una vida mejor: también queremos cohesión, oportunidades y desarrollo en todas las regiones de la Unión Europea, y acceso a la vivienda para proteger las zonas rurales y las más pobladas.

    En segundo lugar, necesitamos profundizar en la integración del mercado de capitales y el de las telecomunicaciones porque, como bien dice el señor Letta, no es coherente que compartamos una moneda única, pero tengamos aún fronteras digitales y prefijos nacionales.

    Y, en tercer lugar, la quinta libertad, la del conocimiento y la innovación. Nos quedan cinco años para profundizar en el mercado único y hacer que más europeos se enamoren de esta idea, tal como quería Jacques Delors, en contra de la extrema derecha que está aquí en esta Cámara sentada.

     
       

     

      Roberts Zīle (ECR). – Priekšsēdētājas kundze! Godātais Lettes kungs, es pilnīgi piekrītu jūsu ziņojumam, ka vienotais tirgus ir kaut kas vairāk kā tirgus, un arī jūsu norādītām nepilnībām gan sektoru ziņā: finanses, enerģētika, telekomunikācijas un it īpaši privātā kapitāla izvietošana.

    Ja kopumā Eiropā ir 33 triljonu eiro uzkrātā kapitāla un katru gadu 300 miljardi eiro tiek investēti ārpus Eiropas Savienības, Amerikā un citās vietās, tad kaut kas nav kārtībā ar šo. Un ar publisko naudu vien mēs nespēsim izdarīt tos uzdevumus, kas ir nepieciešami Eiropas Savienībai gan militārās industrijas jomā, gan zaļā kursa, gan paplašināšanās, gan citās jomās.

    Jūsu ieteiktās zāles arī ļoti vērā ņemamas par piekto pamatbrīvību, par Uzkrājumu un investīciju savienību. Bet dažas zāles, kā, teiksim, radīt siltumnīcas apstākļos Eiropas čempionus, kas var kļūt par globāliem čempioniem, es ļoti baidos, ka tas to nesasniegs. Vēl jo vairāk tas var noplicināt no perifērijas gan naudas resursus, gan arī cilvēku – gudrāko cilvēku – resursus uz dažiem centriem Eiropā, kas varbūt nebūs Eiropas Savienības veiksmes stāsts.

     
       


     

      Regina Doherty (PPE). – Madam President, Mr Letta, you’re absolutely right when you say that the single market is the best tool that we have to increase opportunities, improve our well-being and the living standards for all of the citizens across the European Union. And we absolutely can’t take it for granted, because if we do, it’s going to fail. Your report, which is really welcome, helps to illuminate many of the current problems that we are seeing and that the single market is facing.

    Europe’s economy is not growing strongly enough. Our small businesses are not given the opportunity to grow and to scale up. Approximately 30 % of the high-value companies founded in the EU between 2008 and 2021 relocated their headquarters out of the EU, and mostly to the US. Some 60 % of the issues that we identified by businesses in 2002 still exist in the European market today, because progress on removing the barriers has been so slow, and it’s particularly true in the case of our service industry.

    We see the distorting effects of current rules around the EU state aid rules, which allow larger countries to subsidise businesses at the expense of smaller ones, like my own, Ireland. In 2023, almost 80 % of EU state aid came from just two Member States, and 85 % from three Member States.

    Europe will not be able to spend its way out to growth. Instead, we must reduce the unnecessary red tape and bureaucracy that everybody has been speaking about daily since I arrived here in June. But it’s also vital to avoid EU protectionism in the form of high external tariffs, a hostility towards investment from third countries and an over-reliance on those subsidies.

     
       

     

      Estelle Ceulemans (S&D). – Madame la Présidente, Monsieur Letta, Mesdames et Messieurs les Commissaires, chers collègues, il est aussi bon de rappeler que le rapport de M. Letta sera – Mme von der Leyen l’a elle-même dit – l’un des fils rouges de la prochaine Commission. Il était donc vraiment important que vous veniez nous le présenter et que nous puissions en débattre aujourd’hui.

    Merci, Monsieur Letta, de reprendre les mots de Jacques Delors, artisan du marché unique, qui nous dit que le marché n’est pas une fin en soi: il est là pour améliorer la vie des citoyens, qui ne sont pas que des consommateurs. Le marché unique a en effet permis de développer la prospérité et la compétitivité, mais il a aussi creusé les disparités et la pauvreté – comme cela a été dit dans le débat précédent, qui nous rappelle que, malheureusement, 1 Européen sur 5 fait face à un risque de pauvreté.

    Merci, donc, Monsieur Letta, de rappeler que le marché ne peut fonctionner que sur la base de politiques sociales fortes, et de rappeler aussi qu’il faut, sous cette législature, investir dans les deux transitions, pour qu’elles soient justes. Je voudrais rappeler aussi que nous attendons de la prochaine Commission qu’elle s’engage, tout comme l’a fait M. Nicolas Schmit, sur des matières sociales importantes.

     
       

     

      Adrian-George Axinia (ECR). – Doamnă președintă, piața unică europeană este o idee foarte bună, care, din păcate, în anumite domenii de activitate nu funcționează așa cum trebuie. Vă dau trei exemple: piața de energie, acolo unde România, care produce mai multă electricitate decât consumă, plătește cele mai mari facturi din Uniunea Europeană. A doua disfuncționalitate, care este încă nerezolvată, ține de agricultură. În continuare, cerealele și anumite produse alimentare exportate din Ucraina ajung pe piața românească, bulgărească sau poloneză și creează o concurență neloială producătorilor agricoli autohtoni.

    Merită subliniat și refuzul implementării procesului de convergență externă, care ar trebui să ducă la egalizarea subvențiilor pentru fermieri în toate țările Uniunii Europene. Nu în ultimul rând, recent, Curtea de Justiție a Uniunii Europene a declarat nelegale mai multe prevederi din pachetul de mobilitate orientate împotriva transportatorilor din România, ceea ce confirmă raportul Draghi. Există în continuare o suprareglementare a pieței unice și aceasta afectează competiția liberă. Aș mai puncta și faptul că uciderea spațiului Schengen de către țările care introduc controale generale la frontieră și statele care țin încă România și Bulgaria pe margine afectează în continuare buna funcționare a pieței unice.

     
       

     

      Ľudovít Ódor (Renew). – Vážená pani predsedajúca, tak ako vidíme aj z tejto diskusie, skutočný jednotný trh je niečo, na čom vieme stavať aj v tomto Parlamente, a musíme v najbližších rokoch urobiť maximum pre to, aby sme tento koncept rozšírili aj na ďalšie sektory. Rád by som upozornil na tri veci, ktoré sú pre mňa prioritné. Po prvé, svet sa zmenšil a trhy sa trošku zmenili. V digitálnom svete dominujú tí najlepší. Víťaz berie takmer všetko, dosť dobre už nestačí. Potrebujeme naozaj silných európskych globálnych hráčov, a nie desiatky trpaslíkov. Po druhé, svet inovácií je aj o riziku. Bohužiaľ, náš bankami dominovaný finančný systém, a ako aj občania preferujú menej rizika, a preto bez Únie, úspor a investícií, ako aj lepšej finančnej gramotnosti to tak aj zostane. Peniaze máme, no nevieme ich dostať k inovatívnym firmám. A po tretie, pri dobrých nápadoch a podnikaní nemôžeme tolerovať bariéry pri prechode každej vnútornej hranice.

     
       


     

      Marc Angel (S&D). – Madam President, the single market is the crown jewel of the European construction, and in my eyes gives the EU a competitive advantage. A stronger single market means a more competitive Europe.

    Mr Letta, as your excellent report shows, we can improve a lot and we must perfect it. We need better implementation of the existing rules. We need to ensure that it contributes to a more sustainable and a more social Europe, and we need to consider strengthening integration in crucial sectors, as a stronger single energy market, for example, driven notably by better interconnectivity, can lead to more secure and affordable energy and cheaper electricity bills for companies and our citizens.

    Furthermore, for the S&D Group, more integration means more competitiveness for our companies, better consumer protection and more prosperity for Europeans – while adopting national solutions will lead to more fragmentation and ultimately a weaker Europe.

    Further harmonisation of rules also means less bureaucracy and a reduced administrative burden for our companies, especially for SMEs, which will no longer have to navigate through a jungle of 27 different sets of national rules.

    So let us leverage the power of integration to tap into the full potential of the single market.

     
       

     

      Ivars Ijabs (Renew). – Madam President, thank you, Mr Letta, for your excellent report. Well, of course, the single market is a strength of the EU: it’s the main instrument. This is how we achieve our goals. But what are actually our goals today? Let me remind you that the Russian aggression in Ukraine is still going on. And the Russian attack on an EU country is possibly, still, a question of the nearest future.

    And that’s why I really like the part in your report which deals with a common market for security and defence industries. This is a real necessity for the EU right now. Some 80 % of the military help to Ukraine is right now spent on non-European materials.

    But how to achieve that common market? European investment in defence is lagging. It is very seriously hindered by red tape, by excessive regulatory requirements, by fragmentation. There is an immense potential of a single market in defence industry, but one must have a political will to implement it – and quickly. Time is running out.

     
       

     

      Salvatore De Meo (PPE). – Signora Presidente, onorevoli colleghi, la relazione Letta, unitamente a quella del Presidente Draghi, arrivano all’inizio di questa legislatura, che io vorrei diventasse riformatrice, ambiziosa, coraggiosa ma responsabile, perché l’Unione europea non sia più spettatrice in una scena globale ma diventi protagonista.

    E abbiamo gli strumenti per farlo: un mercato unico che in questi anni non solo è stato strumento di integrazione ma ha consentito la nostra crescita economica e la prosperità, uno strumento che va semplificato da un punto di vista burocratico, ma soprattutto rafforzato, per esprimere ulteriormente le sue potenzialità e affrontare le nuove opportunità.

    Così come è necessario arrivare a un mercato unico dell’energia, un mercato finanziario che permetta ovviamente di garantire condizioni di competitività. E allora noi abbiamo davanti a noi sfide importanti, per le quali solo un mercato unico forte potrà garantirci un futuro all’altezza delle nostre ambizioni climatiche, sociali e produttive.

     
       

     

      Jonás Fernández (S&D). – Señora presidenta, señor comisario, señor Letta, es un placer tenerle aquí en un momento en el que estamos empezando a definir las prioridades de este mandato y, sin duda, acelerar la integración del mercado único —especialmente en el ámbito de los servicios, donde aún tenemos relevantes problemas, como ha expuesto en su informe— es absolutamente necesario.

    Pero me va a permitir decirle que lo que más me ha llamado la atención del informe es la exigencia de evitar la huida de ahorro europeo a otras jurisdicciones. Porque algunos llevamos años en esta Cámara pidiendo reducir los superávits por cuenta corriente de algunos países —superávits por cuenta corriente que, en algunos casos, llegan a dos dígitos en relación con el PIB de esos países— y, ciertamente, en los debates que teníamos aquí en estos años, nadie o muy pocos me seguían.

    Y yo creo que es importante que, ahora que pedimos que el ahorro se invierta en Europa, seamos capaces de explicar a la Cámara que lo que estamos pidiendo es más demanda interna y reducir los superávits por cuenta corriente que ahogan el crecimiento de la Unión Europea.

     
       

     

      Biljana Borzan (S&D). – Poštovana predsjedavajuća, zajedničko tržište jedno je od najvećih europskih postignuća.

    Svaka kriza produbljuje nejednakosti na tržištu, bogati se još više bogate, siromašni postaju još siromašniji. Troškovi života najveći su problem u cijeloj Europskoj uniji, a nejednakosti između i unutar država članica u cijenama, plaćama, mirovinama i stopi siromaštva se samo povećavaju.

    Izvješće ističe zaštitu potrošača kao jedan od uvjeta za pošteno tržište, ali geoblocking, teritorijalne barijere, viši rast cijena hrane u istočnoj Europi samo su neki od gorućih problema. Izvješće hvali Zakon o osnaživanju potrošača u zelenoj tranziciji na koju sam i sama ponosna, ali rješenje je provedba naših pravila u svakom dijelu Europske unije. Više od 80 posto građana moje zemlje smatra da su potrošači nezaštićeni protiv tržišnih igrača.

    Moramo ojačati europske alate, potrošačke udruge, inspekcijski nadzor i svijest građana o vlastitim pravima. Ne smijemo biti oni tamo negdje u Bruxellesu. Mi moramo raditi za ljude.

     
       


       

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      Davor Ivo Stier (PPE). – Poštovana predsjedavajuća, gospodin Letta ispravno govori o tome što ubrzanje integracije unutarnjeg tržišta ima jednu geopolitičku važnost u današnjim uvjetima.

    Ja bih to nadopunio time što unutarnje tržište moramo isto tako i povezati s procesom proširenja. Pogledajmo, na primjer, situaciju na zapadnom Balkanu, ima puno političkih problema. Ne smijemo čekati da se oni riješe, da te zemlje postanu punopravne članice, nego bismo ih već prije mogli, doduše možda na jedan postupni način, ali već prije mogli integrirati u naše jedinstveno tržište. Kao što, na primjer, činimo kada je u pitanju roaming. Mislim da je to jedan dobar primjer, ali moramo to proširiti i na druge slobode.

    Na taj način će i ljudi u toj regiji imati svoje pravo na ostanak, a Europska unija će imati veći utjecaj i više će pridonijeti stabilnosti tog dijela europskog kontinenta.

     
       

     

      Maria Grapini (S&D). – Doamnă președintă, domnule comisar, domnule Letta, vă salut și în această săptămână. Aș spune multe. În primul rând vă felicit: este o radiografie corectă, dar nu numai o radiografie, sunt și măsuri concrete. V-aș întreba, estimați dumneavoastră oare cât din acest raport se va aplica? Pentru că, iată, noua comisie nu are un comisar, nu există un portofoliu pentru piața internă. Cine se ocupă atunci de piața internă? Cum să ne ducem la măsurile concrete pe care le-ați spus dumneavoastră? Ați spus că piața unică ne unește; este oare o piață unică acum?

    Sunt de acord să avem cea de a cincea libertate de mișcare, dar cel puțin o libertate de mișcare ne lipsește acum, domnule Letta. Știți oare cât a pierdut o țară care de 17 ani nu este în spațiul Schengen și are costuri la transport? Cât a pierdut economia țării mele? Apoi, avem acum, când vorbim, îngrădirea în interiorul spațiului Schengen a granițelor. Deci trebuie – toată piața unică, e adevărat, ați spus că ne unește – dar trebuie să luăm cu pragmatism măsuri care să ducă la rezultate și la o viață mai bună a oamenilor.

     
       

     

      Silvia Sardone (PfE). – Signora Presidente, onorevoli colleghi, le istituzioni europee hanno deciso di affidare ad Enrico Letta l’incarico di scrivere una relazione sul futuro dell’Europa. Eh, niente, fa già ridere così.

    Letta è l’ex leader del Partito democratico, ex premier della sinistra in Italia, volto di punta dei socialisti europei: rappresenta praticamente tutti i responsabili del disastro dell’Unione europea degli ultimi anni, tra l’altro sonoramente sconfitti in Italia.

    Per Letta la transizione verde è indispensabile e bisogna accompagnare agricoltori, imprese, industria dell’auto: esattamente ciò che però la sua maggioranza non ha fatto. Anzi, grazie a voi questi settori sono in crisi. Letta ci ricorda che l’Europa non deve cedere sul ruolo di leader nel settore manifatturiero: ma è proprio grazie ai vincoli, tasse e burocrazia volute dall’Europa che ci troviamo in questa condizione.

    Enrico Letta: uno che ha uno strano concetto di democrazia e ci ha tenuto a dire che i cordoni sanitari sono fondamentali per fermare le destre. Lui, proprio lui, che ha ribadito che servono più migranti regolari per lo sviluppo, andando contro diversi Paesi, anche socialisti, che finalmente dicono che bisogna fermare l’immigrazione.

    Insomma, veramente vogliamo farci dare lezioni da Letta, colui che dice che l’ex ministro Fornero è stato un ministro ottimo quando invece ha solo distrutto il nostro Paese?

     
       


     

      João Oliveira (The Left). – Senhora Presidente, visto a partir do conselho de administração de uma multinacional, o aprofundamento do mercado único pode parecer um filão; visto a partir da realidade dos trabalhadores e dos povos, das micro, pequenas e médias empresas, das possibilidades de desenvolvimento de um país como Portugal, o aprofundamento do mercado único é um pesado fardo que nos arrasta para o fundo.

    Há algumas décadas atrás, o militante do PCP e ex‑deputado deste Parlamento, Sérgio Ribeiro, antecipava que a transferência de instrumentos de política para a esfera supranacional, nomeadamente através da transferência da política monetária e financeira para o BCE, conduziria a uma política tendencialmente única. Por meio do mercado único e das políticas que lhe estão associadas, que o senhor Letta hoje adjetiva de motor de mudança da União Europeia, retirou‑se capacidade de decisão aos governos nacionais, abriu‑se mais espaço à concentração e centralização do capital, colocaram‑se sob ataque os direitos sociais e laborais.

    O aprofundamento do mercado único serve às multinacionais, mas não serve ao desenvolvimento económico nem à justiça social.

     
       

     

      Lukas Sieper (NI). – Madam President, dear honourable House, dear people of Europe, Mr Letta, before I came here to this Parliament, I finished my law studies at the University of Cologne. During this time, I put a lot of effort into learning the four European freedoms: the freedom to move people, services, goods and capital. And I can tell you, learning all the law-related details – especially the court rulings – that was a pain in the ass, indeed. Names like Dassonville or Cassis de Dijon, who will tell you here nothing, send a shiver down the spine of every law student.

    But at the same time, whenever I opened my books, I felt love for Europe. Because what is Europe if not the idea of freedom? And that’s why, Mr Letta, I would like to take the time to give you my deepest support for one of the main ideas of your report: the implementation of a fifth freedom – the freedom of research, innovation, knowledge and education. Because as Europe is an idea, ideas should roam free on this continent.

     
       

       

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      Giuseppe Lupo (S&D), per iscritto. – Penso che il Parlamento europeo debba condividere e sostenere la strategia della relazione Letta per modernizzare il mercato unico dell’UE.

    Condivido in particolare che, se vogliamo che il mercato unico migliori davvero la vita della gente, deve avere un’anima che è il dialogo sociale, che deve fare partecipare e coinvolgere le persone, la società, i corpi sociali intermedi, i sindacati dei lavoratori e delle imprese, rilanciando il dialogo sociale come lo ha voluto e praticato con successo Jacques Delors, anche grazie alla collaborazione dell’allora segretario della CES, Emilio Gabaglio.

    La grande sfida da affrontare, credo, sia adesso la promozione di una politica fiscale comune, per sostenere con condizioni fiscali di vantaggio le aree territoriali più deboli, superando le differenze dei sistemi fiscali nazionali che ostacolano la leale concorrenza.

     

    14. Implementation of the Single European Sky (debate)


     

      Jens Gieseke, Berichterstatter. – Sehr geehrte Frau Präsidentin, sehr geehrter Herr Kommissar Hoekstra, liebe Kolleginnen und Kollegen! 30 000 Flüge täglich, 600 Mio. Passagiere jährlich, über 500 000 Arbeitsplätze bei Fluggesellschaften, weniger als 17 000 Arbeitsplätze in der nationalen Verkehrskontrolle, überlastete Flughäfen, ein Flickenteppich an Strecken aufgrund der Flugsicherung entlang nationaler Grenzen – das ist das Bild des letzten europäischen Monopols: die Flugsicherungsdienste.

    Ich bin heute hier, um Sie zu bitten: Sagen Sie Ja zu kürzeren Strecken, zu mehr Effizienz, zu mehr Leistungen, zu mehr Zusammenarbeit, und Ja zu einem wirklich europäischen einheitlichen Luftraum. Warum gibt es kein Leistungsüberprüfungsgremium? Warum gibt es nicht ein gemeinsames Leistungssystem? Warum gibt es nicht einen europäischen Netzwerkmanager? Das sind alles wichtige Elemente, um die Leistungen der Flugsicherung zu verbessern und den Schaden für die Passagiere zu begrenzen. Fluglotsen behalten ihren Arbeitsplatz, sie werden weniger gestresst arbeiten, sie werden besser arbeiten, weil sie mit ihren Nachbarn zusammenarbeiten. Ich bin hier, um Ihnen zu sagen: Ja, wir können Flüge sicherer, kürzer, umweltfreundlicher und erschwinglicher für den Durchschnittsbürger der Europäischen Union machen.

    Wir haben hier ein riesiges Potenzial. Milliarden Euro wurden sowohl von der Europäischen Union als auch von privaten Interessenträgern im Rahmen des SESAR-Projektes investiert. SESAR liefert den digitalen europäischen Luftraum. Es liegt nun in unserer Hand, aber wir können uns nicht nur auf Investitionen in Technologien verlassen. Während der technologische Fortschritt durch das SESAR-Programm fortgeschritten ist, sind die Strukturreformen, die hier erforderlich sind, um sowohl die Kapazitäts- als auch die Umweltperformance zu erreichen, seit mehr als einem Jahrzehnt ins Stocken geraten und halten uns in der Vergangenheit fest. Hier haben die Mitgliedstaaten auch nicht mitgemacht, die standen auf der Bremse.

    Sehen Sie sich nun allein diesen Sommer an: Von Juni bis August haben die Flugsicherungen in Europa 16,9 Millionen – ich wiederhole: 16,9 Millionen – Minuten an Verspätungen im europäischen Netzwerk angehäuft. Das waren 41 % mehr als im gesamten Sommer 2023. Zum Vergleich: Im Jahr 2017 – im ganzen Jahr – gab es 15,9 Millionen Minuten. Wenn man die wetterbedingten Verspätungen herausnimmt, dann haben sich die Verspätungen im Vergleich zum Sommer 2023 um 82 % erhöht, und nur sieben nationale Flugsicherungen haben 85 % dieser Verspätungen verursacht.

    Das zeigt, dass die Situation von Jahr zu Jahr schlechter wird – leider –, insbesondere jetzt, da der Flugverkehr wieder das Niveau von vor der Pandemie erreicht hat. Diese Reform, die wir nun hier haben, die wird gebraucht, sie wird dringend gebraucht! Die Schaffung eines wirklich einheitlichen europäischen Luftraums wurde viel zu lange von den Mitgliedstaaten blockiert, die nicht bereit waren, sich auf eine Restrukturierung der Flugsicherung zum Wohle der Allgemeinheit, zum Wohle der Passagiere einzulassen.

    Dank der unermüdlichen Arbeit von Herrn Marian-Jean Marinescu, unserem Berichterstatter der EVP, für den einheitlichen europäischen Luftraum und für EASA in den letzten 16 Jahren werden wir nun in der Lage sein, diese neue Luftraumverordnung umzusetzen. Hier möchte ich aber auch an die großartige Arbeit von Herrn David Maria Sassoli, unserem verstorbenen Parlamentspräsidenten, erinnern, mit dem Herr Marinescu zusammen an der EASA-Grundverordnung gearbeitet hat. Ich möchte aber auch meinen sozialistischen Kollegen Bogusław Liberadzki nicht vergessen, der mit Herrn Marinescu stark zusammengearbeitet hat, so wie es jetzt Johan Danielsson mit mir tut.

    Gestatten Sie mir, Frau Präsidentin, die Mitgliedstaaten nun aufzufordern, die Fehler, die wir noch haben, nun zügig bei der Umsetzung umzuarbeiten. Es besteht ein riesiges Potenzial zum Wohle der Bürgerinnen und Bürger und um am Ende auch die Klimaziele einzuhalten. Also, wir müssen weiterarbeiten.

     
       

     

      Johan Danielsson, Föredragande. – Fru talman! Varje år genomförs omkring en miljard resor med flyg inom EU. Över tid har flyget blivit en allt viktigare del av vår vardag och vår ekonomi. För ett land som Sverige är en välfungerande flygtrafik avgörande. Vi har stora avstånd och är glest befolkade. Flyget knyter samman vårt land, vår kontinent och kopplar oss till omvärlden.

    Men sektorn står inför stora utmaningar. Under 2023 var nästan tre av tio flyg mer än 15 minuter försenade. Den genomsnittliga förseningen per flygning i Europa är cirka 18 minuter. Samtidigt står flyget globalt för omkring 2 till 3 % av våra totala koldioxidutsläpp.

    I dag liknar Europas luftrum ett stort pussel där varje land har sin egen bit, och tyvärr passar inte alla bitar ihop. Det leder till omvägar, till väntetider och till onödiga kostnader. Singel European Sky ska lösa delar av detta pussel. Efter mer än ett decennium av förhandlingar har vi äntligen nått fram till en överenskommelse.

    Lagstiftningen handlar om att göra flyget säkrare, punktligare och klimatvänligare. Det gynnar resenärer, det kommer att gynna industrin och det kommer att gynna klimatet. Och det är ett viktigt steg för att modernisera Europas luftrum.

    Jag vill tacka alla som arbetat med det här förslaget. Ett särskilt tack till tidigare föredragande Bogusław Liberadzki och Marian-Jean Marinescu, som jobbade med detta oförtröttligt under den föregående mandatperioden. Och så ett tack till Jens Gieseke, min medföredragande den här gången. Det visar vad vi kan åstadkomma om vi arbetar tillsammans över partigränserna i det här huset.

    Men låt mig vara tydlig: Singel European Sky är ingen revolution – det är en evolution. Det är en kompromiss som tar oss i rätt riktning. Vi kommer att se förbättringar och effektivitet och samordning. Men även om förändringarna kanske inte blev så stora som vi hade tänkt oss, innehåller det viktiga steg framåt.

    Vi stärker till exempel övervakningen på EU-nivå, vilket kommer att vara avgörande för att säkerställa att våra europeiska regler efterföljs. Förändringarna ger oss en god plattform att bygga vidare på mot ett enhetligt, effektivt och hållbart europeiskt luftrum.

    Enligt beräkningarna kan Singel European Sky bidra till att minska koldioxidutsläppen med upp till 10 % per flygning. Det här är ett viktigt steg och en del av lösningen för att också göra flyget mer hållbart.

    Men vi måste fortsätta arbetet på flera fronter. Vi kommer att behöva säkerställa en marknad för hållbara flygbränslen. Vi kommer att behöva fortsätta arbeta med ökad effektivitet i bränsleförbrukningen i flyget. Vi kommer också att se till att de fantastiska innovationer som är på väg fram, inte minst för att elektrifiera regionalflyget, kan få en praktisk omsättning på vår europeiska flygmarknad. Jag ser fram emot en bra debatt i dag och ett bra beslut senare i veckan. Och jag är hoppfull om att resultatet kommer att bli ett bättre europeiskt luftrum.

     
       

     

      Wopke Hoekstra, Member of the Commission. – Madam President, honourable Members, let me start by wholeheartedly thanking Mr Gieseke, Mr Danielsson and the TRAN Committee for all the great work that they have been doing. But let me also thank the former rapporteurs, Mr Marinescu and Mr Liberadzki, who might be with us virtually, for successfully concluding the interinstitutional negotiations with the Council on the regulation on the implementation of the Single European Sky.

    Ladies and gentlemen, our skies – and the two rapporteurs have said that – need fixing for the good of passengers, airlines and the environment. And to illustrate what is really at stake here, let me just recall this summer, when every second flight was delayed. Every second flight was delayed. And we all know how that feels and what it is like.

    Now some of those delays were unavoidable, for example because of bad weather conditions. But if you then go into the details, you will find that many of those delayed and cancelled flights could actually simply have been reduced by improving the way we manage air traffic today. And that is, of course, the ultimate aim. That is the ultimate aim of this new regulation.

    This agreement will update rules which are 15 years old. Let me be clear – and it was said here before – it is not as ambitious as the Commission, and I feel many in this room, would have wanted. And some would consider it far away from our original plan. But what is also true is that it does represent a clear step forward, and it improves the performance of the European airspace and the provision of air navigation services in the years to come.

    The new rules will strengthen the European network, tackling the fragmentation of European airspace, and they will reduce congestion and suboptimal flight routes, which today create delays for our passengers, extra fuel consumption and unnecessary CO2 emissions.

    Ladies and gentlemen, the agreement will also stimulate innovation and facilitate new services for air traffic management. It will create incentives to reduce the environmental footprint of aviation. For example, air navigation service providers will now have to introduce environment and climate performance targets on a wider range of services. The charges that airlines will need to pay for flying over our skies will be more favourable for those carriers emitting fewer CO2 emissions and with less impact on the environment.

    Finally, more know-how will be introduced when we regulate the performance of monopoly air navigation service providers. A new performance review board will be created to support the Commission, bringing independent expertise and improving the temporary solutions that we have today.

    Madam President, honourable Members, please allow me to conclude. More than 10 years have passed since the Commission presented what was then its original proposal. Believe me, it was not an easy task. In order to reap the benefits that the agreement brings, in my view it is now urgent that the Parliament finalises the adoption of the regulation by supporting the Council’s first reading position this week. Implementation work can then start as soon as possible.

    Thank you very much, once again, in particular to the TRAN Committee and the rapporteurs, and I’m very much looking forward to the continuation of our interaction today.

     
       

     

      Sophia Kircher, im Namen der PPE-Fraktion. – Sehr geehrte Frau Präsidentin, Herr Kommissar, liebe Kolleginnen und Kollegen! Wir reisen heute fast grenzenlos durch Europa. Doch über den Wolken, wo die Freiheit wohl grenzenlos scheint, stoßen wir im EU-Luftraum immer noch auf viele unsichtbare Grenzbalken – dadurch wird der europäische Luftverkehr stark eingeschränkt. Flugzeuge fliegen oft unnötige Umwege, weil veraltete nationale Vorschriften das erzwingen. Das führt zu Verspätungen, zu Kosten und 10 % mehr CO2-Ausstoß pro Jahr.

    Der Grund dafür: Der europäische Luftraum gleicht aktuell einem komplizierten Fleckerlteppich aus vielen nationalen Vorschriften. Statt eines gemeinsamen europäischen Systems mit einheitlichen Bestimmungen überwacht derzeit jeder Mitgliedstaat seinen Luftraum eigenständig, ohne eine ausreichende Zusammenarbeit mit anderen EU-Staaten.

    Mit diesem Gesetzespaket schaffen wir nun die Grundlage für mehr Zusammenarbeit mit anderen EU-Staaten, die wir so dringend brauchen, und somit werden wir in Zukunft günstiger, schneller und nachhaltiger fliegen können. Das ist eine Win-win-Situation für uns alle. Trotz dessen bleibt noch viel zu tun. Mit diesem Gesetzespaket gelingt uns ein wichtiger Schritt, aber es liegen noch viele Meilen vor uns.

     
       

     

      Matteo Ricci, a nome del gruppo S&D. – Signora Presidente, onorevoli colleghi, dopo oltre dieci anni di trattative, siamo finalmente giunti a un accordo sul cielo unico europeo, un tema che incide direttamente sulla vita quotidiana di milioni di cittadini.

    Tuttavia, dobbiamo essere chiari: il testo che adotteremo domani non è all’altezza delle aspettative. L’Europa ha bisogno di uno spazio aereo unificato con una gestione integrata e rotte dirette per ridurre ritardi, costi e soprattutto l’impatto ambientale.

    Oggi la frammentazione del nostro spazio aereo genera inefficienze gravi, costando ai passeggeri tempo e denaro. Ogni ritardo si traduce in maggiori emissioni e questo è un prezzo che il nostro pianeta non può più permettersi di pagare.

    Il regolamento che ci apprestiamo a votare promuove una maggiore cooperazione tra le autorità nazionali ma non impone regole vincolanti per una vera integrazione dello spazio aereo europeo. È un compromesso necessario, ma non sufficiente.

    Personalmente lo considero solo un primo passo. Non dobbiamo fermarci: l’Europa ha bisogno di un cielo unico europeo per essere più competitiva.

     
       

     

      Julien Leonardelli, au nom du groupe PfE. – Madame la Présidente, nous nous défions de tout projet qui penche vers le fédéralisme, à plus forte raison lorsqu’il est placé sous l’égide de la Commission européenne. Cela ne nous empêche pas d’être pragmatiques et responsables. Le projet de ciel unique européen vise, nous dit-on, à faciliter les trajets aériens à l’intérieur de l’Union européenne et à faire économiser 5 milliards d’euros par an de kérosène pour les compagnies aériennes.

    La Commission européenne ne pouvait que briller sur ce sujet technique, qui bénéficie d’un véritable consensus européen. Cette initiative, soutenue par une large majorité, ne devait être qu’une formalité. Mais la Commission, trop occupée à outrepasser ses compétences, en oublie ses objectifs premiers. Ce texte ne verra pas l’instauration d’un ciel unique européen, malgré des années de tractations. La montagne a accouché d’une souris. C’est en tout cas ce qui ressort des positions des professionnels du transport aérien, qui ne cachent pas leur déception à l’égard de ce texte.

    Le maintien d’un millefeuille à la fois administratif et technocratique ne plaît à personne. Pendant que l’Europe brasse du vent et se penche sur un texte ridicule, qui ne change rien tant ces changements sont insignifiants, les Etats-Unis, eux, produisent déjà en très grande partie la nouvelle génération de carburants par des subventions massives dans la recherche et l’industrie. En matière d’industrie comme d’énergie, les pays européens restent à la traîne, et la Commission européenne n’y est pas pour rien. Madame von der Leyen, sur la souveraineté faites preuve de plus de retenue, et sur le ciel unique montrez plus d’ambition.

     
       


       

    PREȘEDINȚIA: VICTOR NEGRESCU
    Vicepreședinte

     
       

     

      Jan-Christoph Oetjen, im Namen der Renew-Fraktion. – Herr Präsident, Herr Kommissar, verehrte Kolleginnen und Kollegen! Zehn Jahre hat es gedauert, dass wir dieses Gesetz, diesen einheitlichen europäischen Luftraum, auf den Weg gebracht haben. Nicht etwa, weil wir hier im Parlament lange gebraucht hätten, sondern es hat an den Mitgliedstaaten gelegen, die sich sehr lange hinter nationalen Kompetenzen versteckt haben. Diese nationalen Kompetenzen haben dazu gedient, zu kaschieren, dass es in den Mitgliedstaaten staatliche Monopole in der Flugsicherung gibt, die sie nicht angetastet sehen wollen. Und zur Wahrheit gehört: So richtig antasten tun wir sie jetzt auch nicht. Das, was wir machen, ist keine Reform, sondern ein Reförmchen, aber sie adressiert wichtige Themen.

    Wir kriegen endlich dieses performance review, das heißt endlich ein Benchmark für die Flugsicherung – ob sie gut funktionieren, ob sie genügend Leute haben, wie es klappt mit den Verspätungen, an denen – nicht immer, aber sehr häufig – eben auch die Flugsicherung mit Schuld ist.

    Wir haben eine Kapazitätsfrage, die sich dadurch adressieren lässt, und von daher können wir am Ende dieser Reform zustimmen. Aber sie ist weit von dem entfernt, was wir uns eigentlich erhoffen und was wir bräuchten, damit wir die Verspätungen in Europa endlich in den Griff bekommen.

     
       

     

      Merja Kyllönen, The Left-ryhmän puolesta. – Arvoisa puhemies, yhtenäisellä eurooppalaisella ilmatilalla on pitkä historia. Tavoitteena on vähentää viivytyksiä, lisätä turvallisuutta, lieventää ympäristövaikutuksia ja alentaa palvelujen tarjoamiseen liittyviä kustannuksia ilmailualalla. Euroopan ilmatilan pirstoutumisen vähentäminen tehokkaammalla ilmaliikenteen hallintajärjestelmällä on enemmän kuin tarpeellista. Vaikka politiikka on edennyt, niin SES ei ole onnistunut saavuttamaan täysin siltä odotettua edistystä. Tämän seurauksena Euroopan ilmatila on edelleen valitettavan pirstoutunut, kallis, tehoton ja kapasiteettiongelmat jatkuvat nopeasti kasvavan lentoliikenteen vuoksi. Työn on siis jatkuttava, paikoilleen emme voi jämähtää.

    Nykyinen sääntelykehys on pitkän aikavälin työ. Siinä on ollut mukana monenlaisia toimijoita. Siinä on ollut mukana monenlaista vääntöä sellaisia historian paloja, taisteluita, joita muun muassa Yhdistynyt kuningaskunta ja Espanja kävivät aikanaan, esimerkiksi Gibraltarin osalta. Kun Brexit poisti tämän esteen, komissio on muuttanut alkuperäistä ehdotustaan, ja hyvä niin.

    Jäsenvaltiot tarvitsevat laajaa yhteistyötä ja koordinointia toiminnallisissa ilmatilan lohkoissa, myös yhtenäisen eurooppalaisen ilmatilan sääntelykehyksen luomisen jälkeen. Tässä säädöksessä tunnustetaan olemassa olevien yhteistyöjärjestelyjen arvo ilmatilan hallinnan tehostamisessa ja lentoliikennevirtojen optimoinnissa tietyillä maantieteellisillä alueilla.

    Liikenteessä yleisesti, mutta lentoliikenteessä erityisesti, turvallisuusnäkökulma korostuu ja siksi kaikissa muutoksissa on mentävä ehdottomasti turvallisuusnäkökulma edellä. Safety first! Ja ihan pakko on sanoa rakkaat terveiset aina upealle taisteluparilleni Marinesculle. Ja rakkaat terveiset myös britti Jodie Fosterille, jota ei voi kyllä tämä talo unohtaa. Olisinpa videoinut parhaat palat uusille päättäjille. Piccolino, magnifico, amato David Sassoli.

     
       

     

      Siegbert Frank Droese, im Namen der ESN-Fraktion. – Herr Präsident! Seit 20 Jahren plant die EU einen einheitlichen Luftraum, aber wenig ist passiert. Wir teilen die Kritik der Airlines an dem Vorschlag der Kommission zum einheitlichen europäischen Luftraum. Es wird zu höheren Steuern führen, mehr Bürokratie, mehr Berichtspflichten – all das wollen wir nicht. Europa ist bisher schon ein sehr sicherer Luftraum. Warum also auf Biegen und Brechen die Kompetenzen der nationalen Flugsicherungsdienste beschneiden und alles in den EU-Topf werfen?

    Es muss nicht alles harmonisiert oder einheitlich zertifiziert werden. Wichtig dagegen wäre für uns die Abschaffung von Sanktionen, z. B. gegenüber Russland. Dann könnten Flugzeuge schneller und vor allem umweltschonender nach Asien fliegen und so CO2 reduzieren. Aber immer neue Steuern und Vorschriften vertreiben Fluggesellschaften aus Europa und verteuern das Fliegen unnötig. Wir wollen, dass auch in Zukunft sich der Arbeiter noch seinen wohlverdienten Urlaubsflug leisten kann und nicht nur die Eurokraten.

    Die Kommission könnte sich unserer Meinung nach mal mit wichtigen Dingen beschäftigen, beispielsweise mit der Migration, oder vielleicht gibt es in Zukunft auch Tausende von Abschiebeflügen zu organisieren – da würden wir gern mal einen schönen Vorschlag hören. Diesem Vorschlag, der hier vorliegt, können wir nicht zustimmen.

     
       

     

      Lukas Sieper (NI). – Herr Präsident, verehrte Damen und Herren! Der berühmte deutsche Lyriker Reinhard Mey sang einst „Über den Wolken, da muss die Freiheit wohl grenzenlos sein“, und in diesen Worten steckt aus europapolitischer Sicht endlos viel Wahrheit. Denn über den Wolken gibt es keine Grenzen, da ist man einfach irgendwo über Europa. Deswegen unterstütze ich die Aktualisierung des Einheitlichen Europäischen Luftraums, auch wenn sie halb so lange gedauert hat, wie ich auf dieser Welt bin.

    Gleichzeitig sollten wir aber nicht aufhören, wo wir jetzt angefangen haben, und über weitere Dinge nachdenken. Ich möchte Ihnen da zwei Sachen vorschlagen.

    Zum einen braucht es eine Gebührenanpassung für klimafreundliche Flüge. Wir haben in der Vergangenheit gemerkt, dass wir vor allen Dingen über so etwas die Entwicklung in der Gesellschaft steuern können, und der Klimawandel kennt nun mal keine Grenzen.

    Zum anderen benötigen wir einen einheitlichen europäischen Luft-Datenraum. Wir müssen also den Datenaustausch zwischen den Mitgliedstaaten im Luftverkehr optimieren und damit effizienter machen, denn auch Daten kennen keine Grenzen. Die Arbeit am Einheitlichen Europäischen Luftraum ist wertvoll – sie ist noch nicht vorbei.

     
       

     

      Alvise Pérez (NI). – Señor presidente, ¿de verdad este Parlamento no entiende lo que se pretende hoy aquí, imponiendo el Cielo Único Europeo?

    No se trata de fomentar la competencia, no se trata de mejorar ninguna descentralización ni de ahorrarnos un 10 % más de CO2. Esa es la gran farsa: ¿qué poder en Europa está más centralizado que la propia Comisión Europea? ¿Qué entidad ha centralizado más poder que la Comisión? Ninguna. ¿Y siguen de verdad creyéndose estas iniciativas en pro del supuesto medio ambiente?

    Lo que busca con esto la Comisión es que hasta nuestros cielos dependan de una nueva entidad europea bajo el control férreo de Von der Leyen con la excusa del CO2. El Cielo Único Europeo no es más que un instrumento para expandir la supervisión y la regulación comunitaria imponiendo aún más objetivos ambientales, aún más cargas y aún más tarifas contra los usuarios de este continente. La señora Von der Leyen demuestra un desprecio absoluto por la soberanía de los países, y esta Cámara, también.

    Y aquí, un orgulloso español les responde que el desprecio, evidentemente, es mutuo. Solo que hay una diferencia esencial: quien parasita y esclaviza a nuestro país es ella, mientras que nosotros solo anhelamos libertad.

    Si queremos preocuparnos por el cielo europeo, defendámonos de las intrusiones y las amenazas militares por cielo, mar y aire con las que Marruecos y todas las falsas ONG del sur de Europa están atentando contra nuestro país.

    Esta no era la Europa que nos prometieron. Esta es una Europa mesiánica en la que no nos reconocemos.

     
       

       

    Intervenții la cerere

     
       

     

      Maria Grapini (S&D). – Domnule președinte, domnule comisar, stimați colegi, zece ani am fost în Comisia pentru transport și am tot dezbătut nevoia de îmbunătățire a Cerului unic european. Transportul prin aviație este extrem de important. Vorbeam mai devreme la raportul domnului Letta despre conectivitate, despre libera circulație. Domnule comisar, am patru zboruri pe săptămână – nu numai datorită condițiilor meteorologice sunt întârzieri. Întârzierile, așa cum ați spus și dumneavoastră, sunt frecvente și din alte cauze: lipsa de organizare, să stai pe pistă să aștepți că nu ai culoar de zbor.

    Asta înseamnă că este nevoie să aplicăm acest regulament și îl susțin, pentru că s-a lucrat la el, îmbunătățește Cerul unic european și cred că avem nevoie de un transport reformat și pe aviație pentru, sigur, eficiență economică în piața internă și, de ce nu, pentru protejarea drepturilor pasagerilor. Prețurile nu se schimbă când ai întârziere, dar ajungi foarte târziu la destinație și câteodată îți pierzi practic întâlnirile pe care ți le-ai programat.

     
       

     

      Γεάδης Γεάδη (ECR). – Κύριε Πρόεδρε, η εισήγηση για δημιουργία ενιαίου ευρωπαϊκού ουρανού αποτελεί μια προσπάθεια για βελτίωση της ασφάλειας, της αποδοτικότητας και της περιβαλλοντικής βιωσιμότητας των αεροπορικών υπηρεσιών, όπως έχει αναφερθεί.

    Όμως, πώς μπορούμε να μιλάμε για ασφάλεια όταν κλείνουμε τα μάτια στις παρανομίες; Θα γίνω πιο συγκεκριμένος. Η λειτουργία του παράνομου αεροδρομίου της κατεχόμενης Τύμπου στην Κύπρο θέτει σε κίνδυνο τις πτήσεις και χιλιάδες πολίτες καθημερινώς, αφού ελλοχεύει τεράστιος κίνδυνος για αεροπορικά ατυχήματα.

    Διερωτώμαι: δεν θα αντιδρούσατε αν λίγα μέτρα από το αεροδρόμιο της Φρανκφούρτης, δίπλα από το αεροδρόμιο στο Παρίσι, πλησίον του αεροδρομίου της Ρώμης, των Βρυξελλών, της Μαδρίτης, του Βερολίνου, λειτουργούσε ένα παράνομο αεροδρόμιο με δικούς του κανόνες; Φυσικά.

    Επομένως, ας αφήσουμε τα λόγια και ας περάσουμε στις πράξεις, που δεν είναι ο συντονισμός και η επικοινωνία με κατοχικές αρχές —κάτι που θα οδηγούσε στην κανονικοποίηση της παρανομίας— αλλά η απαγόρευση της λειτουργίας του, που θα συνοδεύεται με αυστηρότατες κυρώσεις σε αεροπορικές εταιρείες που χρησιμοποιούν το παράνομο αεροδρόμιο.

     
       

     

      João Oliveira (The Left). – Senhor Presidente, é certo que esta nova versão do Regulamento Céu Único Europeu não vai tão longe como a posição que o Parlamento Europeu havia aprovado, com tudo o que ela representava de ataque sem equívocos à soberania nacional, numa abordagem abertamente mercantilista e de liberalização ainda maior do setor aéreo, visando a sua concentração e centralização. Mas, esses não deixam de ser traços que persistem no documento final, mesmo que de forma matizada, traços que rejeitamos.

    Em nome do que esta proposta não é, não faltará certamente quem procure ir além dela, nomeadamente em Portugal, dando continuidade e consequência às ameaças que têm recaído sobre a NAV, com vista ao desmembramento da sua atividade, com prejuízo para a soberania nacional e para a economia.

    Pela nossa parte, daqui reafirmamos que continuaremos a intervir, rejeitando o caminho de liberalização do controlo aéreo e em defesa da NAV, empresa pública estratégica para o desenvolvimento nacional.

     
       

       

    (Încheierea intervențiilor la cerere)

     
       


     

      Wopke Hoekstra, Member of the Commission. – Mr President, ladies and gentlemen, dear Members, let me mention two quick points in response. The first one is on sovereignty. For those who are concerned about the impacts on the sovereignty of Member States over their airspace, let me be clear, and let me underline that all the provisions aim to foster better coordination within Europe. Member States will continue to decide whether and which parts of their airspace they open or they close. Full stop. It’s that simple. So I feel sovereignty will continue to be fully in place.

    Secondly, in response to the Members who have been speaking, let me reiterate what I said in the first term, and that is that more is needed. More needs to be done, and more today would have been better. But politics is also quite often the art of the possible. We are where we are today. Let’s seal this now and then let’s move forward from there.

     
       

     

      Jens Gieseke, Berichterstatter. – Herr Präsident, Herr Kommissar Hoekstra, liebe Kolleginnen und Kollegen! Ich danke für diesen konstruktiven Austausch. Obwohl das natürlich ganz rechts und ganz links schwerfällt, bei so einem sachlichen Thema konstruktiv mitzuarbeiten, glaube ich, dass wir insgesamt eine gute Debatte hatten.

    Der einheitliche europäische Luftraum zeigt einmal mehr unser europäisches und auch unser EVP-Engagement für die kontinuierliche Unterstützung der Fluggäste, der Luftfahrtindustrie, der Forschung und Entwicklung, auch im Luftfahrt- und im Raumfahrtsektor, sowie auch die Einhaltung der Umweltversprechen. Wir streben ganz sicher nach effizienteren Flugsicherungsdiensten, weniger Verspätungen, einem geringeren ökologischen Fußabdruck und auch geringeren Kosten für Passagiere und Fluggesellschaften.

    Der einheitliche europäische Luftraum ist ein erster Schritt vorwärts, um die Engpässe im Luftraum zu beseitigen, um endlich einen wirklich einheitlichen EU-Raum zu schaffen, ohne die nationale Souveränität zu beeinträchtigen. Das wird dann auch zu weniger Kosten und zu einer besseren Umweltleistung führen.

    Ich glaube, morgen kann wirklich ein guter Tag werden für Europa. Von daher mein klarer Appell an alle Kolleginnen und Kollegen, morgen pünktlich zur Abstimmung zu kommen und für diese Neufassung zu stimmen. Ich stimme mit dem Kommissarsanwärter, aktuellen Kommissar und demnächst hoffentlich wiedergewählten Kommissar Hoekstra überein: Das ist ein erster Schritt heute, es werden weitere in den nächsten fünf Jahren folgen müssen. Aber für die EVP kann ich sagen: Wir sind bereit, diese Arbeit fortzusetzen. Unsere Bürger werden es sicherlich danken.

     
       

     

      Johan Danielsson, Föredragande. – Herr talman! Jag blir glad över det engagemang som visats under debatten. Avslutningsvis vill jag betona att vårt arbete inom flygsektorn inte slutar här. Vi har, som många konstaterat, fortfarande mycket att göra för att säkerställa en rättvis och hållbar flygsektor i Europa.

    Smidiga gränsöverskridande transporter är viktiga men får aldrig ske på bekostnad av arbetstagares rättigheter. Under denna mandatperiod hoppas jag därför att vi kan ta itu också med andra viktiga frågor som berör sektorn.

    En revidering av EU:s förordning om luftfartstjänster står högt på agendan. För det första måste vi stärka reglerna kring så kallad wet leasing, där flygbolag hyr in plan med besättning. Wet leasing ska naturligtvis kunna användas för att möta oförutsedda händelser, men inte för att konkurrera med löner och arbetsvillkor.

    Utvecklingen – där på ytan seriösa flygbolag skapar dotterbolag med enda syftet att pressa tillbaka personalens arbetsvillkor – är inte värdig och måste få ett slut. För det andra behöver vi tydligare definitioner kring personalens hemmabas. Vi har sett hur bolag i dag utnyttjar skillnader i nationell lagstiftning för att pressa ner lönekostnaderna. Också detta måste få ett slut.

    Med det sagt återstår nu att genomföra Single European Sky. Det kommer att kräva fortsatt hårt arbete från EU-kommissionen i övervakningen av de regler som vi nu ändå får på plats, för att säkerställa att det verkligen blir ett steg framåt och inte ett slag i luften. Jag hoppas att alla är här och röstar för förslaget i morgon.

     
       

     

      President. – The debate is closed.

    The vote will take place tomorrow.

     

    15. A stronger Europe for safer products to better protect consumers and tackle unfair competition: boosting EU oversight in e-commerce and imports (debate)


     

      Didier Reynders, membre de la Commission. – Monsieur le Président, Mesdames et Messieurs les députés, je suis ravi d’être parmi vous aujourd’hui pour débattre des défis que pose le commerce électronique, tant en matière de protection des consommateurs que de concurrence loyale ou de durabilité. Ces dernières années, des milliards de colis individuels ont été expédiés directement aux consommateurs de l’Union, notamment par voie aérienne, et de nouveaux acteurs du commerce électronique, principalement installés en dehors de l’Union, dominent désormais le marché. Quatre milliards de colis devraient être livrés en 2024.

    La Commission est consciente que cet afflux de marchandises achetées en ligne pose des défis en matière de conformité au cadre juridique applicable et de sécurité, de concurrence déloyale et de durabilité. En effet, bon nombre de ces produits s’avèrent dangereux, non conformes ou contrefaits.

    En raison de l’urgence de la situation, nous devons identifier une réponse européenne collective pour garantir la sécurité et la conformité des produits vendus sur ces plateformes de commerce électronique situées dans des pays tiers, pour préserver les consommateurs de pratiques commerciales déloyales et pour assurer des conditions de concurrence justes et équitables aux entreprises européennes.

    The Commission is ready to act in cooperation with the market surveillance authorities, the consumer protection and customs authorities, as well as with the digital services coordinators under the DSA to effectively enforce Union legislation and increase the controls on those platforms and products. We have instruments at our disposal that we are already using.

    First, the Digital Services Act is a powerful tool and it is a priority to enforce this regulation. The Commission is fully committed to ensuring strong and effective enforcement against very large online platforms, notably marketplaces not complying with all rules, which risk fines up to 6% of their global turnover. The DSA gives the Commission unprecedented enforcement powers that are already available. The recent enforcement action by the Commission, which resulted in TikTok’s commitment to withdraw its ‘lite rewards’ system from the EU market, as it raised concerns of addictiveness, is a good example of what the DSA can deliver for the whole European Union.

    More specifically, regarding e-commerce, the Commission has already launched an investigation in relation to AliExpress’ practices, including on suspicions related to the risk of dissemination of illegal products and the possible negative impact to consumer protection. We have also recently designated Temu and Shein as very large online platforms under the DSA, and already launched investigative actions in relation to these two online marketplaces. Consumer protection and compliance by online marketplaces is and will remain one of our enforcement priorities. We take this responsibility seriously and will not refrain to act decisively. The Commission will also coordinate closely with the digital services coordinators, which are responsible for the smaller online marketplaces, to ensure that smaller online marketplaces also follow the rules, and that these rules are consistently applied in the European Union. The European Board for Digital Services is crucial in this respect.

    Second, customs authorities are the first line of defence when it comes to products imported from third countries. They are also key actors in the supply chain to identify and suspend the release of non-compliant and dangerous goods. The customs reform, proposed by the Commission in 2023, is currently being discussed by the European Parliament and the Council. Under this proposed reform, the implementation of an EU customs data hub would enable risk management at EU level, making the enforcement of compliance with product requirements more targeted and effective. Additionally, the proposal includes an abolition of the current threshold that exempts goods valued at less than EUR 150 from customs duties. These measures would be important tools for combating fraud and abuse. However, customs authorities cannot act alone. It is crucial for them to collaborate with market surveillance authorities and digital services coordinators to combine their tools, capacity and expertise.

    Third, the Consumer Protection Cooperation Network, under the coordination of the Commission, has carried out several enforcement actions in recent years against key market players, such as Amazon and AliExpress, to bring them into line with EU consumer protection legislation. In May, the consumer organisation BEUC informed the Commission about practices of the e-commerce platform Temu and its alleged non-compliance with, among others, EU consumer laws. The Commission has immediately informed the CPC Network about this complaint, and discussions under that format are ongoing. Compliance by major e-commerce players, including those targeting European consumers from third countries, is a top priority for the Commission and national authorities. The Commission will continue to fully support and coordinate the enforcement work of the network.

    Looking ahead, it will be essential to further tackle challenges with e-commerce platforms and strengthen measures to prevent non-EU compliant products from entering the EU market. This would include ensuring an optimal articulation between the General Product Safety Regulation, the Market Surveillance Regulation and the Digital Services Act. To further improve online product safety and compliance with relevant rules, it will be our priority to fully use the enforcement toolbox provided for under these regulations, for example, by organising product safety control to check and improve compliance of the e-commerce sector with EU product safety requirements, organising joint product sampling and testing activities involving online mystery shopping, and facilitating further the cooperation between market surveillance and customs authorities to give an unified response to the challenges of e-commerce.

    To ensure that manufacturers outside the EU comply with all rules, the new GPSR also introduces a new obligation to appoint a responsible person for their products. This will guarantee traceability and responsibility for any goods sold on the open market. To address the issue at its source, it is also paramount to continue cooperating with manufacturing third countries. We are, for example, committed to continue the awareness-raising and training activities on EU product safety rules with Chinese companies. Apart from legal obligations, it is also important to explore voluntary cooperation mechanisms, such as the product safety pledge, which has enabled the removal of close to 60 000 unsafe products listings in the past six months.

    It will also be crucial to further improve the current enforcement framework for cross-border infringement of EU consumer law, in order to preserve the level playing field in the Union and the competitiveness of EU businesses. To achieve this aim, we will continue to explore possible approaches to strengthen the Commission’s role in specific circumstances that affect consumers throughout the Union and to further improve the enforcement cooperation among national authorities. Moreover, the Commission encouraged the swift adoption of some proposed legislative initiatives, namely the ‘VAT in the digital age’ package and the customs reform, that aim to structurally improve the transparency and control on the flow of goods entering and leaving the union, starting by e-commerce goods.

    I thank you for your attention. Of course, I am now looking forward to our debate and to try to collect your proposals, remarks, or maybe some criticism.

     
       

     

      Andreas Schwab, im Namen der PPE-Fraktion. – Herr Präsident, Herr Kommissar, liebe Kolleginnen und Kollegen! Onlineplattformen haben die Art und Weise, wie Verbraucher einkaufen, grundlegend geändert. Verbraucherinnen und Verbraucher sind nicht mehr auf lokale Anbieter beschränkt, sondern können Waren bei internationalen Händlern einkaufen, wodurch ihre Auswahl erweitert wird und sie oft bessere Preise finden. Sie haben ja gerade angesprochen, Herr Kommissar: 4 Milliarden Pakete allein in diesem Jahr zeigen, dass die europäischen Verbraucherinnen und Verbraucher an internationalen Produkten interessiert sind und auf den besten Preis achten. Aber viele Drittstaatenplattformen stehen in der Kritik wegen mangelhafter Produktqualität, unzureichender Kontrollen und damit unfairer Wettbewerbsbedingungen.

    Deswegen ist es gut, Herr Kommissar, dass Sie den Dreiklang aus Maßnahmen, die greifen können, dargestellt haben. Zoll: Wir haben nach wie vor 27 unterschiedliche Zollsysteme, obwohl das einheitliche europäische Zollrecht angewendet werden muss, und es wird leider unterschiedlich angewendet. Wir haben zum Zweiten die Marktaufsichtsbehörden, die alle in nationaler Hand sind und unterschiedlich stark ausgestattet sind, und wir haben das Gesetz über digitale Dienste. Und hier, Herr Kommissar, hätte ich mir etwas mehr erwartet, denn das Gesetz über digitale Dienste wird jetzt schon zum zweiten Mal gegenüber Temu in Anwendung gebracht – aber immer mit der Bitte um Auskunftserteilung und nicht mit Entscheidungen.

    Hier müssen wir schneller vorankommen, denn mit dem Gesetz über digitale Dienste und dem Gesetz über digitale Märkte hat das Europäische Parlament hier – dieses Haus – in den vergangenen Jahren wichtige Schritte unternommen, um das Vertrauen der Bürger in die Sicherheit des Internets zu stärken und um europäischen Unternehmen fairen Wettbewerb anzubieten. Daran wollen wir festhalten, und deshalb ist die Europäische Kommission gefordert, hier Schritte folgen zu lassen.

     
       

     

      Laura Ballarín Cereza, en nombre del Grupo S&D. – Señor presidente, señor comisario, un 71 % de la población europea compra bienes y servicios en línea. El comercio en línea es cómodo, es barato, pero tiene muchos riesgos. Por ello, regularlo bien es ya inaplazable.

    Sabemos que plataformas de comercio electrónico, como Amazon, Aliexpress, Temu o Shein, están afectando a nuestro comercio en tres aspectos clave.

    En primer lugar, en la seguridad de productos que consumimos: juguetes, ropa, etc. Todos conocemos esos productos que nos llegan a casa y que no cumplen las condiciones mínimas.

    En segundo lugar, en el enorme impacto que tienen sobre el comercio local de nuestros municipios, que está siendo asfixiado por la competencia desleal de estas plataformas a nuestras pymes europeas.

    Y, en tercer lugar, en el medio ambiente, porque sabemos que estas empresas abandonan a su suerte toneladas de paquetes devueltos por clientes en Europa y en otros continentes, lo que pone en riesgo la salud de todo el planeta.

    Para eso tenemos leyes, apliquémoslas: más controles en las aduanas, y comercio y consumo responsable para proteger nuestro medio ambiente, a nuestros consumidores y nuestro comercio local.

     
       

     

      Virginie Joron, au nom du groupe PfE. – Monsieur le Président, chers collègues, Monsieur le Commissaire, nous voici en marche vers cinq ans de teutonneries supplémentaires. On avait espéré en 2019 que le premier mandat von der Leyen ferait état d’une gestion saine et honnête. Mais on a eu le matraquage des automobilistes, un dérapage budgétaire et les fourberies de Pfizer.

    Ce soir, nous parlons donc de la surveillance européenne des marchés du commerce en ligne, pendant que nos commerces de proximité ferment les uns après les autres. La vente de produits dangereux, illicites, contrefaits ou volés est encore légion sur les grandes plateformes. Cette lutte, c’était pourtant ce que vous aviez promis lors de l’adoption de toutes les législations précédentes sur la question. Votre slogan? «Le règlement sur les services numériques protégera vos enfants.» Aujourd’hui, ce n’est plus un règlement sur les services numériques, mais un règlement sur la surveillance numérique qui a été mis en place, sous l’impulsion du démissionnaire Thierry Breton. Les associations de consommateurs ont signalé en avril dernier le géant chinois Temu, parce qu’il n’assurait pas l’identification des vendeurs. C’est l’article 30 du règlement sur les services numériques. Ces mêmes associations ont fait état de cas où le consommateur est manipulé par des prix qui changent ou qui ne correspondent pas au produit choisi. C’est l’article 25 du règlement sur les services numériques. On a eu la directive de 1998 sur les indications de prix, la directive de 2005 sur les pratiques commerciales prohibées, les nouvelles règles de sécurité des jouets ou encore la réforme du code des douanes.

    Mais la réalité, c’est une jungle de normes qui empêchent nos entreprises françaises ou européennes de se développer, et des pays tiers, comme la Chine, leader mondial du commerce électronique, qui contournent sans problème nos règles – dixit un inspecteur de l’OLAF – ou, pis, qui bénéficient d’exemptions des frais de douane pour les achats dont la valeur ne dépasse pas 150 euros. Une jungle où, finalement, c’est Bruxelles qui tire une balle dans le pied du commerce électronique européen.

     
       

     

      Piotr Müller, w imieniu grupy ECR. – Panie Przewodniczący! Panie Komisarzu! Szanowni Państwo! Regulacje dotyczące bezpieczeństwa produktów w Europie są niezwykle ważne. One powodują, że z jednej strony konsumenci są bezpieczni, a z drugiej strony, że standaryzujemy pewnego rodzaju rozwiązania produkcyjne w Europie, co oczywiście też przynosi wymierne korzyści i bezpieczeństwo dla konsumentów. Jednak widzimy tę rosnącą konkurencję ze strony w szczególności rynków azjatyckich i moją obawą jest to, że te przepisy w praktyce nie będą obowiązywały właśnie wobec tych krajów, które dostają się na rynek europejski w sposób inny niż produkcja na naszym rodzimym rynku.

    W związku z tym mam pytanie do Pana Komisarza, jakie działania tutaj można byłoby podjąć (chociażby być może zapisując w nowej perspektywie budżetowej, nad którą będziemy pracować, dodatkowe środki dla urzędów, dla instytucji krajowych i unijnych, ale przede wszystkim krajowych, bo one najczęściej kontrolują jakość produktów), aby właśnie rzeczywista kontrola tych produktów, które pochodzą w szczególności z Azji, miała miejsce.

     
       

     

      Svenja Hahn, im Namen der Renew-Fraktion. – Herr Präsident! Wenn Spielzeuge für Babys so leicht auseinanderfallen, dass sie daran ersticken können, dann haben Eltern zu Recht Angst. Vor allem, wenn Untersuchungen zeigen, dass mehr als die Hälfte von Spielzeugen aus Drittländern wie China gefährlich ist.

    Wenn Designs von kleinen europäischen Designern kopiert werden und die Klamotten aus fragwürdiger Produktion mit giftigen Chemikalien belastet sind und dann auch noch über Plattformen wie Temu und Shein zu Billigpreisen verschleudert werden, dann leiden wir Verbraucher, unsere Umwelt und unsere Unternehmen, die sich an Recht und Gesetz halten.

    Illegale und unsichere Produkte dürfen nicht in unseren Binnenmarkt kommen, am besten, weil sie bereits vor Verkauf gestoppt werden. Die Kommission und die Mitgliedstaaten müssen geltendes Recht rigoros durchsetzen: das Gesetz über digitale Dienste und die neuen Regeln zu Produktsicherheit. Wir müssen gemeinsam unsere Marktüberwachung und unseren Zoll stärken. Vor allem die Digitalisierung des Zolls muss schneller vorangehen, damit wir die digitale Voranmeldung und auch den Wegfall der Freigrenze für illegale Produkte haben können, damit wir illegale Produkte aus unserem Markt fernhalten können.

    Ich baue darauf, dass die Kommission zügig einen Aktionsplan mit den Mitgliedstaaten umsetzen wird, damit unsere Kleinsten sicher sind, damit Shopping weder zur Ausbeutung von Umwelt noch von Menschen führt und Wettbewerb fair ist.

     
       

     

      Saskia Bricmont, au nom du groupe Verts/ALE. – Monsieur le Président, Monsieur le Commissaire, vous l’avez dit: Temu, Shein, AliExpress, Amazon et de plus petites plateformes inondent le marché européen de produits à faible coût. Mais, derrière ces bas prix, il y a des coûts énormes, notamment des techniques de manipulation en ligne incitant à l’hyperconsommation ou des produits de mauvaise qualité pouvant s’avérer dangereux pour la santé et la sécurité.

    Une enquête a même révélé que 80 % des jouets testés ayant été importés par le biais de ces plateformes ne respectaient pas les normes de sécurité européennes. Cela induit aussi une concurrence déloyale pour les entreprises européennes qui respectent les normes sociales, environnementales, de produits, de sécurité. Ces normes existent au niveau européen pour de bonnes raisons: la protection des consommateurs, des travailleurs, de l’environnement. Elles doivent donc être respectées par tout le monde, y compris par les entreprises importatrices et par les plateformes de pays tiers.

    Des centaines de milliers de colis arrivent chez nous tous les jours, en un clic et sans avoir fait l’objet de contrôles. Autant de produits potentiellement dangereux, qui ne respectent pas les normes européennes. Cette concurrence déloyale touche tous les secteurs et constitue souvent un frein au développement de filières locales durables et sociétalement responsables. C’est le cas notamment du secteur textile, où la concurrence déloyale de l’«ultrafast fashion» venant des plateformes chinoises menace l’émergence d’un secteur textile durable en Europe.

    L’Union européenne est bien là pour protéger les consommateurs et nos entrepreneurs: il faut donc assurer effectivement le respect des règles, la transparence et l’information des consommateurs, mais aussi des contrôles douaniers renforcés et les moyens nécessaires à de tels contrôles, des droits de douane même pour les achats de moins de 150 euros, et un renforcement des sanctions à l’égard des plateformes qui ne respectent pas les règles.

     
       

     

      Hanna Gedin, för The Left gruppen. – Herr talman! Jag ska börja med att säga att jag är glad att vi har den här diskussionen, för situationen är ohållbar.

    Från Vänstern har vi länge krävt ett stramare regelverk för e-handelsplattformar. Ett test som nyligen gjordes av leksaksbranschen visar att åtta av tio leksaker som importeras till EU och kan köpas på olika internetsajter riskerar att kväva eller förgifta barn – kväva och förgifta våra barn.

    De uppfyller inte EU:s säkerhetskrav. Vår uppgift som lagstiftare är att se till att minska risken för olyckor, att se till att medborgarna är trygga och säkra. Det gör vi genom att premiera miljövänliga och säkra produkter, samtidigt som vi ser till att arbetsvillkoren för dem som producerar de här sakerna är bra.

    Det är inte bara barn och andra konsumenter i Europa som riskerar att skadas. Det finns återkommande indikationer på att många av de här produkterna, förutom att de är skadliga, dessutom är tillverkade genom tvångsarbete.

    Kommissionen måste agera – inte bara för att den här slapphäntheten mot utländska internetsajter konkurrerar med lägre standarder och sämre arbetsvillkor än varor som produceras i enlighet med EU-lagstiftning. Dagens regelverk leder faktiskt till stora risker för alla medborgare – inte minst för våra barn. Lösningen måste vara att även utländska sajter får samma skyldigheter som inhemska aktörer, att tullen får större resurser och att varor som importeras, till exempel från Kina, inte längre ska subventioneras när det kommer till exempelvis fraktkostnader.

     
       

     

      Zsuzsanna Borvendég, a ESN képviselőcsoport nevében. – Tisztelt Elnök Úr! A helyi termelők által helyben előállított termékek védik a környezetet és a nemzetgazdaságot is erősítik, vagyis minden szempontból a társadalom jólétét szolgálják. Emiatt kezdett pártom, a Mi Hazánk Mozgalom hazai termelői vásárokat szervezni Magyarországon, ezzel is népszerűsítve a jó minőségű helyi termékek fogyasztását. Az élelmiszeripar különösen veszélyeztetett ezen a területen. Vissza kell szorítani a globális élelmiszerláncok sokszor gyenge minőségű, földrészeken át utaztatott, agyonvegyszerezett termékeinek dömpingjét.

    A multik gazdasági érdekei nem írhatják felül az emberek egészséges élethez való jogát, de meg kell akadályozni azt is, hogy politikai elfogultság alapján olyan mezőgazdasági termékeknek nyissunk szabad utat, amelyek nem felelnek meg az EU-s előírásoknak, ahogy az számos ukrán termék esetében megtörténik. Azonnali hatállyal meg kell tiltani a harmadik országokból érkező hamisított méz importját is. Ennek érdekében egy előterjesztést is készítettem, amelyet az ESN frakció benyújtott, de az AGRI bizottság napirendre sem volt hajlandó ezt tűzni. Kérem, gondolják ezt át újra!

     
       


     

      Christel Schaldemose (S&D). – Hr. Formand, kommissær. Flere og flere handler på nettet. Legetøj, tøj, gaver. Det er nemt, det er bekvemt, og det er praktisk. Men hvis man handler på platforme som Temu, så kan det altså skade både din sundhed, vores miljø og den europæiske konkurrenceevne, og alt for mange af f.eks. Temu’s produkter de lever simpelthen ikke op til de europæiske regler. De er sundhedsskadelige, miljøskadelige, og så er de også ødelæggende for vores konkurrencesituation for vores europæiske virksomheder. Derfor er der brug for, at der sker noget. Vi har fået mange nye regler, men vi har brug for, at de bliver håndhævet. Derfor vil jeg gerne opfordre EU-Kommissionen til at komme i gang med at håndhæve reglerne og gøre det lidt hurtigere, end det, der sker i dag. Vi har fået nogle gode regler i det, jeg sagde. Spørgsmålet er, om de er gode nok, spørgsmålet er, om der skal mere til. Noget af det, som jeg tror, vi skal kigge på, er, om vi egentlig ikke burde give disse handelsplatforme et importøransvar, så de fik et meget konkret og direkte ansvar for at sikre, at de produkter, de sælger, overholder de europæiske regler. Så hurtigere og bedre, og hvis ikke det er nok, så tror jeg, at vi skal se på, om der skal endnu flere strammere regler til.

     
       

     

      Ernő Schaller-Baross (PfE). – Tisztelt Elnök Úr! A termékbiztonság egyre sürgetőbb kérdés Európában, különösen az e-kereskedelem gyors ütemű terjedése révén. Mondjuk ki őszintén, a piacfelügyelet rendszere ma nem elég hatékony, hogy lépést tartson a digitális világ kihívásaival. A fellépés hiánya komoly kockázatot jelent polgáraink biztonságára nézve, és hosszú távon veszélyezteti Európa versenyképességét is. Az e-kereskedelem gyors üteme és a határokon átnyúló eladások miatt a tagállami hatóságoknak nehéz feladatuk van, hogy minden egyes terméket ellenőrizzenek.

    Így a fogyasztók biztonsága gyakran veszélybe kerül, és a szabályozás átláthatóságának fenntartására s kihívásokkal szembesül. Az Európai Parlament nem blokkolhatja tovább a háromoldalú tárgyalásokat, kezdje el a munkát. Kezdje el a termékbiztonságot érintő javaslatok, többek között a játékbiztonságról szóló szabályok tárgyalását is. Ne hagyjuk, hogy a késlekedés ára az európai polgárok vagy gyermekeink biztonsága legyen! Tegyük meg a szükséges lépéseket közösen, hogy Európa továbbra is az innováció és a biztonságos termékek kontinense lehessen. A jelenlévő vagy nem jelenlévő TISZA párti képviselőknek pedig azt üzenem, hogy ne féljenek, ha kérdést tesznek föl ebben a Házban, ebben a teremben válaszolni is lehet.

     
       

     

      Denis Nesci (ECR). – Signor Presidente, onorevoli colleghi, la protezione dei consumatori e la lotta alla concorrenza sleale, soprattutto nel commercio online, sono una questione prioritaria per l’Europa.

    Troppi prodotti non conformi agli standard europei continuano a entrare nel nostro mercato attraverso l’e-commerce, mettendo a rischio la sicurezza dei consumatori e penalizzando le nostre aziende, in particolare le piccole e medie imprese italiane ed europee.

    Non possiamo più accettare che le nostre imprese siano costrette a competere ad armi impari con prodotti di bassa qualità provenienti da paesi che non rispettano le nostre regole. Le aziende che rispettano rigorosamente la normativa europea su sicurezza e qualità sono penalizzate da una concorrenza sleale.

    Dobbiamo rafforzare i controlli alle frontiere, garantire che i prodotti importati rispettino gli stessi standard che le nostre imprese sono tenute a seguire. Chiediamo che l’Unione europea intervenga con decisione: è fondamentale che le piattaforme di e-commerce non diventino un canale privilegiato per la vendita di prodotti non conformi. Questo è un punto essenziale per difendere la sovranità economica italiana e quella europea, proteggendo il nostro tessuto produttivo.

    Come abbiamo spesso sottolineato, la nostra economia non può continuare a subire le conseguenze di politiche commerciali che favoriscono attori esterni a scapito delle nostre eccellenze.

     
       


     

      Majdouline Sbai (Verts/ALE). – Monsieur le Président, chers collègues, en dix ans, le chiffre d’affaires du commerce électronique a été multiplié par trois. Rien qu’en France, le chiffre d’affaires du site Shein se monte à 1,63 milliard d’euros. C’est un tsunami économique.

    Alors oui, oui à la protection des consommateurs, oui à la fin de l’exonération des droits de douane en dessous de 150 euros d’achats, oui à une enquête précise sur les soupçons de subventions chinoises et de concurrence déloyale, oui à la fin de la publicité mensongère, oui, encore oui au contrôle sur la toxicité, la propriété intellectuelle et la sécurité des données personnelles.

    Oui, mais quand? Combien d’enseignes et de marques européennes auront fermé entre-temps? Combien de chaussures pour enfants intoxiquées au plomb aurons-nous achetées? Combien de jeunes auront adopté des comportements de consommation détestables pour notre avenir?

    Alors, oui à tout cela, mais quand? Je vous le dis: agissons maintenant!

     
       

     

      Leila Chaibi (The Left). – Monsieur le Président, chers collègues, des ballons de baudruche à gonfler soi-même bourrés de substances cancérigènes, des jouets comprenant des pièces qui peuvent être avalées, des casques de moto pour enfants qui, en fait ne protègent pas du tout, des détecteurs de fumée qui ne détectent pas la fumée… Ces produits dangereux ne sont pas des exceptions: ils pullulent sur des plateformes de vente en ligne comme Amazon, Temu ou Wish. Les associations de consommateurs les ont testées, et le constat est alarmant.

    Comment est-il possible que ces objets puissent envahir le marché européen? La réponse est simple. Pour les géants du commerce électronique, la priorité c’est: les profits, et le marché européen, c’est le jackpot.

    C’est un triple jackpot, en réalité. D’abord, un jackpot sur les normes de sécurité, car ces plateformes ignorent les normes de sécurité en vigueur chez nous. Elles inondent l’Union européenne de produits qui ne respectent pas les réglementations en matière de sécurité, et mettent donc les Européens en danger.

    C’est un jackpot sur les conditions de travail, car ces produits sont fabriqués dans des conditions inacceptables, en exploitant les travailleurs et en détruisant la planète.

    C’est un jackpot sur les obligations fiscales, car, pour couronner le tout, ces plateformes trouvent le moyen d’échapper à leurs obligations fiscales. Et tout cela permet à ces plateformes de commerce électronique de casser les prix et d’écraser nos entreprises européennes, qui ne peuvent pas rivaliser face à cette concurrence déloyale.

    Chers collègues, il est temps de sonner la fin de la récré pour Amazon, pour Temu, pour Alibaba et compagnie. L’Union européenne passe beaucoup de temps à discuter, à légiférer sur le poids des pommes ou sur la pulpe des poires. Je ne dis pas que ce n’est pas intéressant, que ce n’est pas important, mais je crois qu’il y a plus important et plus urgent en matière de normalisation au sein du marché unique.

    Les plateformes de commerce électronique doivent assumer leurs responsabilités et se soumettre à nos règles communes. Elles doivent être tenues pour responsables des produits qu’elles vendent, comme n’importe quel commerçant en réalité. Si elles veulent jouer dans notre cour, alors elles doivent se conformer à nos règles. Pas de passe-droit. La santé et la sécurité des Européennes et des Européens passent avant leurs profits.

     
       

     

      Kateřina Konečná (NI). – Pane předsedající, kolegyně a kolegové, hračky pro batolata, které se snadno rozbijí na malé kousky, u nichž hrozí vdechnutí, nefungující plynové alarmy či hračky a kosmetika obsahující nebezpečné chemikálie – zkrátka produkty, které ohrožují spotřebitele a které jsou v Evropské unii zakázány vyrábět i prodávat.

    Jenže e-shopy až do této chvíle dokáží naše pravidla zdatně obcházet a společně s nimi je obchází i výrobci ze zemí mimo Evropskou unii. Tyto zdraví i život ohrožující výrobky, jež často cílí na děti, nadále zaplavují evropský trh díky e-shopům a nízkým nákladům na jejich výrobu. Budu ráda, pokud konečně tuto skulinu, jednou provždy, odstraníme. On-line platformy musí také nést odpovědnost za produkty, které na svých stránkách nabízejí. Jejich stahování musí mít jasná pravidla. Informační systémy musí být lépe připraveny a pokuty za jejich prodávání musí být značně vyšší, než byly dosud. Jsem ráda, že alespoň zde se věci mají s novými pravidly ubírat správným směrem.

     
       

     

      Kamila Gasiuk-Pihowicz (PPE). – Panie Komisarzu! Koledzy, koleżanki! Unia Europejska jest liderem we wprowadzaniu regulacji chroniących konsumentów na rynku cyfrowym, a jednocześnie miliony Europejczyków korzystają z niespełniających standardów Unii Europejskiej produktów. Dlaczego? Po pierwsze dlatego, że europejski rynek jest zalewany przez chińskie subsydiowane towary sprzedawane po bezkonkurencyjnie niskich cenach. 2023 rok 2 miliardy paczek, 2024 rok dwa razy tyle paczek – 4 miliardy.

    Po drugie wjeżdżają niebezpieczne produkty. W liście, który otrzymałam od 100 producentów zabawek z Polski, wskazano na sprawozdanie Toy Industries of Europe, z którego dowiadujemy się, że 18 z 19 zabawek kupionych na platformie Temu stanowi rzeczywiste zagrożenie dla bezpieczeństwa dzieci. Po trzecie chińskie platformy sprzedażowe stosują agresywny marketing i manipulują klientami. Często informacje o tym, kto sprzedaje i za ile sprzedaje wymagają dziesiątki kliknięć, a i tak na koniec są podawane po chińsku.

    Co możemy zrobić, żeby przywrócić uczciwą konkurencję? Po pierwsze wprowadzić poza nielicznymi wyjątkami cła na paczki o wartości do 150 euro. Po drugie Komisja musi skutecznie i szybko egzekwować istniejące prawo. Po trzecie działania organów nadzoru krajowych i unijnych muszą być skoordynowane. Musimy to zatrzymać, zanim będzie za późno, zanim miliony produktów niespełniających standardów bezpieczeństwa trafią do naszych domów, do rąk naszych dzieci, zanim setki tysięcy miejsc w Europie znikną. Musimy to zrobić teraz.

     
       

     

      Maria Grapini (S&D). – Domnule președinte, stimați colegi, discutăm de protecția consumatorului și concurența loială în piață, domnule comisar. Sigur, am dezbătut astăzi și dezbatem comerțul online. Avem foarte multe reglementări, le-ați enumerat și dumneavoastră. Întreb: poate un cetățean, un consumator care a achiziționat online un produs să se apere dacă produsul e defect, dacă se îmbolnăvește, dacă produsul nu este conform? Avem reglementare de la etichetare până la dreptul la repararea produselor.

    Totuși, în piața internă sunt extrem de multe produse neconforme din țări terțe și – sigur nu vă dau, cred, o noutate – și în comerțul online avem produse din țări terțe pentru că acordurile nu sunt bine comercial făcute. Nu este subliniată respectarea standardelor de produs, cele europene, și atunci întrebarea este: cum le aplicăm? Reformarea vămilor – pentru prima dată vom avea o autoritate europeană pentru vămi. Problema este de aplicare, nu de reglementare. Am rămas în urmă cu implementarea și cred că aici trebuie să punem accent împreună cu statele membre, evident, ca să protejăm cu adevărat consumatorii.

     
       

     

      Gilles Pennelle (PfE). – Monsieur le Président, nous ne pouvons bien évidemment, au groupe des Patriotes pour l’Europe, que saluer l’intention de protéger les consommateurs européens. Cependant, le rapport Letta nous démontre que nous assistons à une augmentation des fraudes, à une augmentation de la concurrence déloyale et à ces fameuses importations de produits dangereux.

    Alors certes, on a beaucoup parlé des jouets. Je voudrais aussi parler des médicaments, par exemple, qui sont extrêmement dangereux pour la santé lorsqu’ils sont achetés sur des sites que personne ne contrôle. Dans la réalité, vous récoltez, à la Commission et dans cette Union européenne, les fruits de votre politique. C’est le résultat du dogme suprême du libre-échange qui nous amène là où nous en sommes.

    En effet, comment contrôler cette jungle qu’est devenu aujourd’hui le commerce électronique, où les géants du numérique règnent en maîtres. Je pense que les solutions ne sont, comme d’habitude, pas celles que vous proposez. Les solutions sont nationales. Il faut renforcer les douanes nationales pour contrôler ces importations de produits dangereux.

    Je voudrais, puisqu’il me reste quelques secondes, rappeler que, dans la plus grande opacité, dans le plus grand secret, la Commission européenne négocie actuellement le traité de libre-échange avec le Mercosur. Mais, là aussi, nous allons probablement importer des produits dangereux, des viandes de très mauvaise qualité, nourries par des produits interdits dans l’Union européenne.

    Finalement, vous êtes face à vos contradictions. Il est temps de changer de politique.

     
       

     

      Francesco Torselli (ECR). – Signor Presidente, onorevoli colleghi, oggi l’Unione europea sta subendo un vero e proprio attacco da parte di certe nazioni straniere a colpi di prodotti non conformi, di bassissima qualità, spesso anche pericolosi per il consumatore finale.

    Un attacco che sfrutta due falle esistenti nel nostro sistema di difesa: la prima, la possibilità di aggirare facilmente le regole da parte di certe piattaforme online; e la seconda, il fatto che l’Europa negli ultimi anni ha promulgato una serie di regolamenti autolesionisti, che spesso sembravano più favorire chi stava fuori dall’Europa piuttosto che le nostre imprese.

    È essenziale che oggi l’Unione europea intensifichi i controlli alle frontiere, protegga i consumatori, contrasti la concorrenza sleale. Dobbiamo migliorare la cooperazione, responsabilizzare le piattaforme online. Cooperazione e responsabilità: queste sono le ricette per un’Europa più forte che contrasti il commercio illegale.

     
       

     

      Nikola Minchev (Renew). – Mr President, the European Union is a global leader in setting high standards with the aim of ensuring quality and protecting our consumers. ‘Made in the EU’ is not just a label; it’s an unmatched guarantee of quality and safety. Yet we allow unreasonably cheap, low-quality, sometimes even dangerous, products to flood our markets, undercutting our industries. This must change.

    We need stronger enforcement of anti-dumping measures to defend the integrity of our single market. The European Commission has made recent strides, improving trade defence instruments by over 40 % to allow faster investigations and duties on unfair imports. But more action and especially enforcement of the existing rules is needed.

    Take my own country, Bulgaria. As the EU’s sixth largest exporter of electric bikes, our manufacturers face competition from cheap, lower quality imports from non-EU countries. These imports threaten to destabilise the growing sector. Robust enforcement, like recent EU actions against Chinese e-bikes, is essential to protect jobs, innovation and fair competition across Europe.

     
       

     

      Anna Cavazzini (Verts/ALE). – Herr Präsident, liebe Kolleginnen und Kollegen! Der Teddybär auf der Onlineplattform Temu, der sieht süß und flauschig aus und kostet auch nur zwölf Euro. Aber wenn die Verbraucherinnen und Verbraucher diesen Teddy bestellen, besteht die 95-prozentige Wahrscheinlichkeit, dass er den europäischen Vorgaben für Produktsicherheit nicht entspricht. In anderen Worten: Das Kuscheltier ist gefährlich: Seine Augen können verschluckt werden, oder das Fell ist vielleicht giftig.

    Dem immer schneller wachsenden Anteil des Onlinehandels, besonders mit Billigprodukten aus China, stehen Zoll und Marktüberwachung hier in Europa hilflos gegenüber. Dieses Jahr gehen Schätzungen zufolge vier Milliarden Pakete in die Europäische Union ein, die unter der Zollgrenze von 150 Euro liegen, und sie landen direkt bei den Verbraucherinnen und Verbrauchern.

    Es ist allerhöchste Zeit, unseren hohen europäischen Verbraucherschutz auch im Onlinehandel durchzusetzen. Die Kommission muss das Gesetz über digitale Dienste konsequent umsetzen und Online-Marktplätze mehr in die Verantwortung nehmen. Die EU-Zollreform ist der Schlüssel, um Kontrollen an unseren Grenzen zu verbessern. Das Parlament hat seine Hausaufgaben gemacht; der Rat schleicht und blockiert, und wir verlieren kostbare Zeit.

    Wir brauchen endlich mehr rechtliche und finanzielle Verantwortung für die Onlineplattformen. Den großen Wurf hat leider die konservative Seite dieses Parlaments in der letzten Legislatur blockiert; jetzt erkennen alle, glaube ich, dass es ein Fehler war.

     
       

     

      Christian Doleschal (PPE). – Herr Präsident, Herr Kommissar, liebe Kolleginnen und Kollegen! Ein T-Shirt für drei Euro, eine Jacke für sieben oder ein Kinder-Plüschtier für wenige Cents: E-Commerce-Händler wie Temu oder Shein überfluten mit aggressiven Vermarktungsstrategien und Dumpingpreisen unsere Märkte. Allein 2023 exportierten Shein und Temu zusammen täglich 9000 Tonnen Fracht nach Europa. Mit ihren unlauteren Praktiken setzen sie unsere Onlinehändler, aber auch unsere Geschäfte in unseren schönen Innenstädten unter enormen Druck. Während diese sich an strenge europäische Vorschriften halten, verstoßen Temu und Shein gegen Vorgaben zur Produktsicherheit, Arbeitsbedingungen, Nachhaltigkeit, Urheberrecht und Datenschutz – ohne spürbare Konsequenzen.

    Doch eigentlich mangelt es nicht an Regeln, sondern an deren konsequenter Durchsetzung. E-Commerce-Plattformen wie Temu oder Shein nutzen geschickt Lücken in der Marktüberwachung und bei der Wareneinfuhr zu ihrem Vorteil. Fehlende innereuropäische Vernetzung beim Datenaustausch, unzureichende Zollkontrollen und die aktuell noch gültigen Zollbestimmungen begünstigen die oftmals ungeprüfte Einfuhr von Waren aus dem Ausland in massenhaften Paketen mit geringem Warenwert.

    Ja, es ist wichtig, die Aufhebung der Zollbefreiung von Waren unter 150 Euro im Rahmen der EU-Zollreform anzuregen, und dafür danke ich der Kommission. Wir müssen sehen, dass diese neuen Regeln so schnell wie möglich in Kraft treten und durchgesetzt werden. Es geht nicht darum, Protektionismus zu fördern, vielmehr geht es um fairen Wettbewerb – wenn unsere Innenstädte leer gefegt und unsere europäischen Onlinehändler zerstört sind, ist es zu spät.

     
       

     

      Bernd Lange (S&D). – Herr Präsident, Herr Kommissar, liebe Kolleginnen und Kollegen! Die Temu-Schlagzeile „Shoppen wie ein Millionär“ müsste man wahrscheinlich umdichten in „Verkaufen wie ein Milliardär“. Wir haben gehört, vier Milliarden Päckchen kommen dieses Jahr von den Onlineplattformen Temu, Shein und AliExpress, und da frage ich mich schon, Herr Kommissar: Warum haben wir da nicht eine Gleichbehandlung mit Verkäufen innerhalb der Europäischen Union?

    Ich möchte ja nicht den Markt zumachen, überhaupt nicht. Aber es kann doch nicht sein, wenn wir innerhalb der Europäischen Union RAPEX haben, andere Möglichkeiten haben und wenn da ein Laden Produkte verkauft, die nicht akzeptabel sind, wird der Laden zugemacht, und hier fragen wir immer nur nach Informationen und machen im Grunde nicht klar, wenn ein Produkt auf der Plattform ist, und das ist mehrmals passiert, dass diese Plattform eben nicht mehr liefern kann.

    Oder auch – Sie sagen, die 150 Euro müssen fallen. Fallen die 2028, wie die Kommission vorschlägt, oder eben früher? Und was ist mit dem Rat und der Zollreform? Auch hier passiert zu wenig. Nicht nur klagen, sondern auch handeln für einen fairen Wettbewerb.

     
       

     

      Valérie Deloge (PfE). – Monsieur le Président, quand on entend parler de contrefaçons, on ne pense pas tout de suite à la nourriture. Pourtant, rien qu’en 2023, ce sont 1 150 000 produits alimentaires contrefaits qui ont été saisis en France. Yaourts, pâtes, fromages, mais aussi vin, cognac, huîtres et petits pots pour bébé: tout y passe. Ces produits sont faits pour ressembler à s’y méprendre aux originaux, mais ils ne répondent pas à nos normes et peuvent causer des risques pour notre santé. Pis: ces contrefaçons sont souvent 20 % à 70 % moins chères que les originaux. Nombreux sont les consommateurs qui les achètent, pensant profiter d’offres attrayantes sur des lots de déstockage.

    Cette situation est aussi dangereuse qu’intolérable. Elle signifie que nos agriculteurs et nos transformateurs ne sont pas seulement en concurrence avec les pays étrangers qui inondent notre marché à cause d’accords de libre-échange irresponsables, ils sont aussi en concurrence avec ces fraudes, qui ternissent l’image des filières et véhiculent une image négative des produits.

    Après les manifestations de l’an dernier, vous avez dit entendre la colère du monde agricole. Vous prétendez vouloir rétablir la réputation des agriculteurs et défendre les filières européennes: voici une bonne occasion de le faire. Traquez ces produits, contrôlez l’entrée des marchandises de mauvaise qualité ou qui ne répondent pas à nos normes et rendez au consommateur l’assurance qu’en achetant des produits européens ils achèteront de la qualité. La colère des agriculteurs, elle, est toujours là. À vous maintenant de prouver que vous pouvez vraiment agir.

     
       

     

      Nicolas Bay (ECR). – Monsieur le Président, à quoi bon avoir les normes les plus strictes et les plus exigeantes du monde si c’est pour laisser notre marché être inondé par des importations qui ne les respectent pas? À quoi bon étouffer nos producteurs par la paperasse, les taxes, les règles, si c’est pour laisser leurs concurrents tricher?

    Face à la concurrence déloyale, l’Union doit autant protéger ses consommateurs que défendre ses entreprises et ses producteurs. La réciprocité et des conditions équitables de concurrence sont nécessaires pour que le commerce soit bénéfique à tous. Il est impératif de multiplier les contrôles sur les importations et il est surtout impératif de ne pas nouer des accords commerciaux déséquilibrés. Le traité avec le Mercosur, en particulier, que la Commission cherche à conclure dans la précipitation, sacrifiera comme toujours nos agriculteurs. C’est une telle certitude, d’ailleurs, qu’un fonds est déjà prévu pour les indemniser.

    Nos producteurs sont les plus respectueux à la fois des consommateurs, de leurs animaux et de l’environnement. Leurs produits sont les meilleurs au monde. Ils ne veulent pas vivre de la charité. Ils veulent vivre du plus vieux et du plus noble des métiers: le travail de la terre, le travail de nos pères. Libérons-les et laissons-les se battre à armes égales en cessant d’organiser la concurrence déloyale, qui les condamne à la disparition.

     
       

     

      Anna Stürgkh (Renew). – Herr Präsident! Ja, bei fast jeder Diskussion zur EU fällt ein Wort wie das Amen im Gebet: Regulierung. Die EU als Regulierungsweltmeister und die Regulierung als quasi Endgegner der Innovation, ganz nach dem Motto „Du, glückliches Europa, reguliere“. Dabei steckt ja hinter den Regulierungen eigentlich ein wichtiges Ziel: nämlich Menschen und Unternehmen zu schützen und sie zu unterstützen, sicherzugehen, dass sie nicht Produzentinnen und Produzenten ausgeliefert werden, die Gesetze mit Füßen treten und Profit am Ende sogar noch mit dem Leben ihrer Konsumentinnen und Konsumenten machen.

    Dafür müssen wir aber die richtige Regulierung machen, und dafür müssen wir uns auch trauen, manchmal hinderliche Regulierungen wegzulassen. Wir müssen Menschen die Sicherheit geben, dass die Produkte, die sie in Europa auch online kaufen, nicht ihre Gesundheit oder ihr Leben gefährden. Wir müssen dafür sorgen, dass die Regeln, die für europäische Produzentinnen und Produzenten gelten, auch für Produkte gelten, die in unserem Land aus Drittstaaten in unsere Haushalte kommen. Wir müssen sichergehen, dass europäische Regeln auch europäisch gelten und nicht 27-mal unterschiedlich ausgelegt werden.

    Die Ziele sind richtig, der Weg noch holprig. Aber ja, „Du glückliches Europa – reguliere“.

     
       


     

      Δημήτρης Τσιόδρας (PPE). – Κύριε Πρόεδρε, αγαπητοί συνάδελφοι, οι Ευρωπαίοι πολίτες σε πολλές περιπτώσεις νιώθουν απροστάτευτοι από αθέμιτες πρακτικές, αλλά και από τον τρόπο με τον οποίο γίνονται πολλές συναλλαγές, ιδιαίτερα στο νέο ψηφιακό περιβάλλον.

    Στο ηλεκτρονικό εμπόριο πολλές φορές οι καταναλωτές δεν αισθάνονται ότι έχουν τον πλήρη έλεγχο των συναλλαγών τους λόγω των πολύπλοκων κανόνων και των ρητρών που περιλαμβάνονται στα περιβόητα ψιλά γράμματα. Σε πολλές περιπτώσεις υπάρχουν συγκαλυμμένες χρεώσεις, ενώ ο σχεδιασμός πολλών ψηφιακών υπηρεσιών δημιουργεί εθισμό στα παιδιά και οδηγεί σε πρόσθετες χρεώσεις μέσω βιντεοπαιχνιδιών. Παράλληλα, κάθε χρόνο, καταναλωτές στην Ευρωπαϊκή Ένωση αγοράζουν, χωρίς να το γνωρίζουν, προϊόντα τα οποία δεν πληρούν τα ευρωπαϊκά πρότυπα ποιότητας και ασφάλειας.

    Ένα άλλο σημαντικό θέμα είναι ότι μεγάλες πολυεθνικές εταιρείες εκμεταλλεύονται τη δεσπόζουσα θέση τους στην αγορά για να επιβάλουν γεωγραφικούς εφοδιαστικούς περιορισμούς, επιβάλλοντας αδικαιολόγητα υψηλές τιμές. Ο πρωθυπουργός Κυριάκος Μητσοτάκης έχει στείλει στην Επιτροπή μια σχετική επιστολή και πιστεύω ότι θα πρέπει να επιληφθεί του θέματος. Είναι αναγκαία η αυστηρή τήρηση των κανόνων και, όπου χρειάζεται, περαιτέρω αυστηροποίηση της νομοθεσίας και συνεργασία των αρχών, προκειμένου οι Ευρωπαίοι καταναλωτές να αισθάνονται ότι προστατεύονται.

     
       

     

      Biljana Borzan (S&D). – Gospodine predsjedavajući, potrošačke organizacije čak 17 država prijavile se Europskoj komisiji najnoviji kineski div Temu. Propituje se sigurnost proizvoda, štetnost za zdravlje, pa čak i prodajni lanac u smislu prodaje ilegalnih proizvoda. Temu i dalje prodaje, ljudi i dalje kupuju.

    Prije nekoliko godina 18 potrošačkih organizacija prijavilo je Tik Tok europskim tijelima radi štetnog utjecaja na maloljetnike, koji čine 30 posto njihovih korisnika. Narušavanje mentalnog zdravlja, izazivanje ovisnosti, poticanje nezdravih navika i ponašanja kod djece gorući su problemi koji traže hitnu reakciju. Unatoč tome, promjene na platformi su minimalne.

    Kako prisiliti internetske divove da poštuju europska pravila? Treba dati veće ovlasti Europskoj komisiji u slučaju povrede potrošačkih prava. Pokažimo građanima da nisu sami, da je udar na naše ljude, udar i na naše institucije i da će one brzo i efikasno odgovoriti ondje gdje ih najviše boli. One koji rade greške – udarimo ih po džepu.

     
       

     

      Philippe Olivier (PfE). – Monsieur le Président, la question de la sécurité des produits n’est pas toujours affaire de développement juridique ou de normes, mais de contrôles. Elle pose la question des portes d’entrée de l’Europe, et les portes d’entrée de l’Europe, ce sont les ports. Sur Le Havre, sur 6 000 conteneurs, seuls 5 sont contrôlés. D’une manière générale, tous les ports européens tendent à être pris en main par les mafias, soit par la peur et par la menace, soit par la corruption. Personne ne s’en préoccupe.

    Comment croire que le libre-échange puisse être vertueux quand même les règles les plus élémentaires de surveillance sont en pratique bafouées aux endroits où les contrôles devraient être implacables? Que dire des matières premières qui sont vendues en Europe par des pays qui ne les possèdent pas, mais qui les volent? La République démocratique du Congo est ainsi pillée par son voisin, le Rwanda, et l’Europe commet des actes de recel en achetant à Kigali de telles matières premières.

    Si vous souhaitez ramener un peu d’éthique dans le commerce sans limites et sans règles, rétablissez les contrôles nécessaires.

     
       


     

      Henrik Dahl (PPE). – Hr. Formand. Tak for ordet. Kinesiske online platforme som Temu og Sheen presser det europæiske marked med produkter, der for det første er lodret ulovlige og for det andet er farlige. Disse produkter er for det første en risiko for forbrugerne, men de er også en direkte trussel imod det indre marked. Temu undergraver systematisk de regler, vi har bygget op for at beskytte de europæiske borgere. De regler overholder de europæiske virksomheder i modsætning til Temu. Når Temu udnytter huller i lovgivningen, så får de en unfair konkurrencefordel, som de bruger til at udkonkurrere europæiske virksomheder. EU har skabt et robust regelsæt for forbrugersikkerhed, men uden en effektiv håndhævelse er de regler ikke noget værd. Vi skal ikke tolerere, at kinesiske platforme systematisk bryder reglerne og underminerer europæiske virksomheder. Derfor er det på tide at tage kampen op mod de aktører, der misbruger systemet, skader forbrugerne og fører en form for økonomisk krig imod Europa. Europa skal være stærkt, og derfor skal Europa sanktionere de kinesiske virksomheder, som bevidst bryder reglerne.

     
       

     

      Pierre Jouvet (S&D). – Monsieur le Président, chers collègues, pour éviter un anniversaire ou un Noël sans cadeaux, des parents achètent à bas prix des jouets sur des sites chinois. Comment leur en vouloir, quand les fins de mois sont devenues si difficiles? C’est pourtant un cadeau empoisonné, parce que ces jouets sont certes peu chers, mais très probablement toxiques. D’après des tests menés en laboratoire, près de 80 % d’entre eux sont dangereux.

    En plus de ces jouets toxiques, combien de parfums irritants, de lunettes de soleil inefficaces, de jeans de contrefaçon seront vendus par ces plateformes chinoises qui inondent le marché? Temu, Shein, AliExpress importeront près de 4 milliards d’articles en Europe cette année. Ce chiffre a triplé en trois ans. Ces plateformes profitent du seuil douanier de 150 euros sur les colis internationaux pour échapper à tout contrôle. Ces entreprises violent les droits des consommateurs et nuisent aux fabricants européens, qui, eux, respectent les normes sociales et environnementales.

    L’Europe doit se réveiller et faire respecter un principe simple: «Notre marché, nos règles.»

     
       

     

      Zala Tomašič (PPE). – Gospod predsednik. V skladu s Temujevo politiko zasebnosti se osebni podatki, kot so ime, priimek, naslov, zgodovina nakupov in lokacija, lahko delijo s tretjimi oglaševalci, ponudniki storitev in poslovnimi partnerji. Temu včasih ponuja storitve, Temu včasih ponuja izdelke celo brezplačno. Ampak potrebno se je zavedati, da nič ni brezplačno.

    V zameno platforma pridobiva osebne podatke in spremlja obnašanje potrošnikov na spletu. Obstajajo pa tudi skrbi, da se ti podatki potem prodajajo tudi naprej. Le malokateri potrošnik pa se tega tudi zaveda.

    Poleg tega je kvaliteta teh izdelkov vprašljiva. Slišali smo že, kako otroške igrače takoj razpadejo na majhne dele, kako detektorji dima dima ne zaznajo. Ampak problem so tudi kozmetični izdelki, ki lahko pustijo nepopravljive poškodbe sluznice in kože.

    Močno podpiram prosti trg in konkurenčnost na trgu, vendar pa moramo zaščititi tako potrošnike pred zlorabo osebnih podatkov in škodljivimi izdelki kot tudi naše podjetnike pred nelojalno konkurenco.

     
       

     

      Maria Guzenina (S&D). – Arvoisa puhemies, komission edustajat, EU:n pitäisi olla maailman turvallisin alue ostaa tavaraa. Meillä on tiukat standardit sille, millaisia tuotteita täällä saa myydä, joten miten ihmeessä on mahdollista, että tuoreissa testeissä jopa 80 prosenttia leluista, joita myydään muun muassa kiinalaisissa verkkokaupoissa, eivät täyttäneet lelujen turvallisuusvaatimuksia. Kyse on kuluttajien, erityisesti lasten terveydestä. Kyse on ympäristömme suojelemisesta. Kyse on turvallisuudesta ja kyse on eurooppalaisten yritysten mahdollisuudesta pärjätä.

    Kiinalaiset säännöistä piittaamattomat jättimäiset verkkokaupat toimittavat kiihtyvällä vauhdilla tavaroita Eurooppaan. Suomen tullin mukaan kiinalaisten pakettien valtava määrä vaarantaa jo tullinkin toimintakyvyn.

    Tuoteturvallisuusdirektiivi, se on hyvä alku, mutta on tärkeää, että me emme lisää vastuullisten eurooppalaisten yritysten sääntelyä, vaan meidän pitää varmistaa, että kiinalaiset kaupat noudattavat eurooppalaisia sääntöjä.

    Tämän asian ratkaisemisella on kiire. Komission on tehtävä tässä tehtävänsä. Euroopan on oltava yhtenäinen tässä asiassa. Kyse on eurooppalaisten terveydestä.

     
       

     

      Niels Flemming Hansen (PPE). – Mr President, dear Commissioner, honourable colleagues, e-commerce has rapidly expanded, offering consumers access to products from around the globe. A recent study found that 30 out of 38 products from the Temu platform failed to meet European safety standards, posing a serious risk to consumers. Some 30 out of 38, my dear friends: that’s 78 %.

    This is not about protectionism. It’s about ensuring fairness and safety. Non-compliance puts the consumers at risk and creates an uneven playing field, especially for European SMEs that follow EU rules. SMEs, which are the backbone of our economy, will suffer the most.

    The scale of e-commerce makes it impossible for national customs to manage alone. In Germany, it’s estimated that there are around 400 000 packages a day from China; 78 % of that is 320 000 packages.

    Finally, this is a test of the EU’s ability to address the challenges of a globalised marketplace. We must be decisive, not only to protect our consumers, but to prove that Europe can enforce its own rules and uphold fairness in the single market.

     
       

     

      Pierfrancesco Maran (S&D). – Signor Presidente, onorevoli colleghi, caro Commissario, come ha ben sottolineato, è necessario sistemare alcuni aspetti del mercato online e questo va fatto rapidamente.

    Oggi il 70% dei cittadini europei compra beni e servizi online. Eppure esistono due mercati: uno per chi rispetta le regole e uno per chi non le rispetta e le aggira. In molti abbiamo sottolineato come alcuni soggetti sono certamente protagonisti delle violazioni.

    Operatori come Temu, Shein, AliExpress – che insieme contano 300 milioni di utenti in Europa – immettono sul mercato migliaia di prodotti non sicuri a prezzi stracciati. Loro lo sanno bene e sanno che possono farlo, perché non mettiamo ancora in campo azioni strutturali che li rendano corresponsabili.

    Questo è il punto di lavoro principale, perché non possiamo pensare di andare ad inseguire ogni consegna alle dogane. È necessario agire alla fonte nei loro confronti, perché si adoperino per una svolta nei loro comportamenti commerciali.

    Lo dobbiamo ai cittadini europei, che devono sapere che i prodotti che comprano sono sempre sicuri e non essere tentati dalla convenienza del low cost senza regole. E lo dobbiamo alle aziende che invece rispettano le regole e che meritano di non avere questa concorrenza.

     
       


     

      Elisabeth Grossmann (S&D). – Herr Präsident, Herr Kommissar, meine sehr geehrten Damen und Herren! Die Digitalisierung und der wachsende E-Commerce haben unsere Märkte grundlegend verändert, und es ist unerlässlich, dass wir als EU entschlossen handeln, um Sicherheit und Fairness zu gewährleisten. Der europäische Handel gerät durch das Onlineangebot aus dem EU-Ausland zunehmend unter Druck, und große Plattformen, vorwiegend aus China, überschwemmen gerade den europäischen Markt mit Billigangeboten und nutzen die bestehenden Schlupflöcher aus, was den Wettbewerb verzerrt und europäische Unternehmen stark benachteiligt und auch europäische Arbeitsplätze kostet und natürlich auch europäische Wertschöpfung.

    Und ich sage Ihnen: Es ist nicht fünf vor zwölf, es ist fünf nach zwölf, weil es hat sich bereits das Kaufverhalten der Menschen erheblich verändert, und es sind bereits zahlreiche Unternehmen im Produktionsbereich und auch im Handelsbereich insolvent. Und hier haben wir in Zukunft mitunter auch ein Problem mit der Versorgungssicherheit.

    Deshalb ist dringendes Handeln, rasches Handeln geboten. Es ist mit dem Gesetz über digitale Dienste und dem Gesetz über digitale Märkte einiges gelungen – aber diese Gesetze gehören auch konsequent umgesetzt, und zwar sofort.

     
       

       

    IN THE CHAIR: ESTEBAN GONZÁLEZ PONS
    Vice-President

     
       

     

      Regina Doherty (PPE). – Mr President, Commissioner, EU consumer rights are worth absolutely nothing unless they are effectively enforced. We have made some progress with the General Product Safety Regulation, which is going to come into effect later on this year, and we are working on ambitious reforms, but it’s not just about laws.

    The EU’s many market surveillance authorities have to work together in order to take risk-based market surveillance seriously, because when it comes to illegal products coming into EU countries, we should be really, really vigilant. According to the Commission, last year, 2.3 billion items worth less than EUR 150 entered the EU last year. And we’re facing what could only be described as a flood of cheap products. Member State authorities are frequently overwhelmed and sometimes just to verify whether something meets a product safety standard is next to impossible. So we need to support these authorities and make sure that they have the resources they need to do their work online markets such as China’s Temu must meet the standards that we uphold every single European company to in order to have the right to operate in the EU market.

    We don’t want protectionism, we don’t want to reduce global trade. We just want to make sure that the level playing field is level and that the people who are consuming the goods are safe from them.

     
       

     

      Salvatore De Meo (PPE). – Signor Presidente, onorevoli colleghi, in questi mesi ricorre insistentemente il tema della competitività, soprattutto in quest’Aula. Però leggiamo dalla recente relazione Letta che il 75% dei prodotti pericolosi in circolazione in Europa deriva da Paesi terzi ed è un dato in crescita preoccupante.

    Potete ben capire che questo non solo mette a rischio la competitività delle nostre imprese ma anche la salute dei nostri consumatori, ai quali invece dobbiamo garantire prodotti sicuri con controlli rigorosi, in particolare quelli acquistati sull’e-commerce, piattaforme esplose durante il periodo del COVID.

    Dobbiamo intervenire con urgenza per contrastare l’eccessiva presenza di prodotti dei Paesi terzi, che attraverso le piattaforme riescono a raggiungere con comodità milioni di utenti in tempi rapidissimi. Questa situazione crea una concorrenza sleale che penalizza le nostre imprese, che invece sono obbligate a rispettare norme sempre più stringenti, mentre molti prodotti sono importati senza i dovuti controlli.

    E allora particolare attenzione va rivolta soprattutto ai giocattoli, oppure ai farmaci, perché rivolti ai bambini e alle persone che hanno bisogno di cure. Dobbiamo garantire standard di sicurezza.

    In questo contesto, l’unione doganale può fare ovviamente molto di più e auspichiamo che, ovviamente, la riforma che è stata avviata possa essere portata a termine per garantire una vigilanza più stringente sulle importazioni, proteggendo il nostro mercato e soprattutto i nostri cittadini.

    Solo così potremo assicurare una concorrenza equa e un futuro di crescita e sicurezza per tutti.

     
       

       

    Catch-the-eye procedure

     
       



     

      Lukas Sieper (NI). – Herr Präsident, sehr geehrte Menschen Europas, Hohes Haus! Wir haben heute bereits über die Wichtigkeit des europäischen Binnenmarkts gesprochen. Umso glücklicher bin ich über diese Debatte, denn wir müssen unseren Binnenmarkt auch schützen. Wir können es nicht akzeptieren, wenn Produkte den Markt fluten, die unter Missachtung der Menschenrechte, teilweise sogar von uigurischen Zwangsarbeitern in Konzentrationslagern hergestellt werden. Wir können es nicht hinnehmen, wenn Produkte den Markt fluten, die unseren Sicherheitsstandards nicht gerecht werden. Wir können es nicht tatenlos geschehen lassen, wenn diese Produkte von autoritären Staaten gezielt subventioniert werden.

    Wir können es uns nicht leisten, wenn diese Produkte von internationalen Großkonzernen unter bewusstem Ausnutzen verschiedener Steuersysteme innerhalb der EU vertrieben werden. Schließlich: Wir können es uns nicht leisten, wenn der Binnenmarkt zerstört wird, indem er von ausländischer Konkurrenz ausgespielt wird.

    Die Menschen wollen einen starken Binnenmarkt, nicht einen auf Wish bestellt; und das fängt, wie viele meiner Kollegen zu Recht betont haben, beim Zollsystem an.

     
       


       

    (End of catch-the-eye procedure)

     
       

     

      Didier Reynders, membre de la Commission. – Monsieur le Président, Mesdames et Messieurs les députés, je voudrais d’abord vous remercier pour ce débat sur le marché intérieur et la manière dont des produits arrivent sur ce marché intérieur. Les plateformes jouent un rôle de plus en plus important en la matière. J’entends bien l’ensemble des remarques sur les règles – qui, pour une grande part, existent, même s’il y a encore du travail à faire – et sur le besoin d’un contrôle renforcé.

    Je dirais tout d’abord que nous devons mieux utiliser les outils qui arrivent et qui sont parfois déjà à notre disposition. Je voudrais féliciter les autorités chargées de la protection des consommateurs dans les États membres, que nous avons organisées en réseau. Ce réseau d’acteurs, le réseau CPC, fait déjà aujourd’hui, en relation avec les associations de consommateurs, un travail sur le terrain remarquable pour détecter et retirer des produits régulièrement, non seulement des magasins, mais aussi des plateformes en ligne. Nous avons d’ailleurs développé au sein de la Commission un outil numérique qui permet de vérifier que ces produits ne reviennent pas sur les plateformes.

    Je ne dis pas que nous détectons l’ensemble des produits ou que nous retirons l’ensemble des produits dangereux, que ce soit pour la sécurité proprement dite ou pour la santé des consommateurs, mais je voudrais saluer ce travail, sur lequel il faudra d’ailleurs à nouveau se pencher. Beaucoup ont évoqué le rôle particulier des douanes. Je voudrais confirmer que la Commission souhaite avancer en la matière. Le dossier est entre les mains des colégislateurs pour l’instant. Plusieurs ont évoqué la limite des 150 euros: nous souhaitons l’abolir. J’espère que nous pourrons aboutir prochainement à un accord entre les colégislateurs sur ce sujet. Le travail des douanes est un travail important dans le cadre de la protection des consommateurs.

    Le règlement sur les services numériques est en vigueur. Des pouvoirs ont été octroyés à la Commission, des pouvoirs que nous avons commencé à utiliser, y compris dans les domaines que vous avez évoqués et en particulier dans le cadre de plateformes qui inondent l’Union européenne de produits à bas prix. Le règlement général sur la sécurité des produits, que j’ai évoqué tout à l’heure, entrera en vigueur le 13 décembre. À travers ce règlement, comme plusieurs d’entre vous l’ont évoqué, la responsabilité personnelle des plateformes pourra être mise en cause, non seulement celle des grandes plateformes, mais aussi celle des plus petites, puisque nous avons prévu qu’une personne responsable devait être désignée dans l’Union européenne lorsque des produits sont effectivement importés sur le marché. Mais, je le répète, ce règlement général, que nous avons souhaité mettre en place pour remplacer une directive, entre en vigueur le 13 décembre prochain. Je vous invite donc à utiliser, pour le moment, les outils à disposition ou dont disposeront bientôt les différents acteurs chargés de la protection des consommateurs.

    Pour ce qui est de la poursuite du dialogue avec nos partenaires, j’ai mis en place au cours de la législature écoulée un dialogue avec les autorités américaines, notamment en matière de protection des produits. En ce qui concerne la politique des consommateurs, il y a aux États-Unis trois agences différentes, et la commission américaine chargée de la sécurité des produits est en dialogue constant avec la Commission européenne. Nous développons un dialogue similaire avec le Royaume-Uni, le Canada, le Japon, ou la Corée du Sud.

    Pour la première fois, nous avons tenu, à Paris, au sein de l’OCDE, une réunion ministérielle concernant la politique des consommateurs. Et l’OCDE, pour une fois, s’est penchée non plus seulement sur la production, mais aussi sur la consommation, et donc, réellement, sur la sécurité des produits pour les consommateurs. On voit que ce thème progresse. Nous avons d’ailleurs tenu à Bruxelles, très récemment, une semaine consacrée à la sécurité des produits, avec l’ensemble des acteurs internationaux.

    Il est vrai que nous devons aussi poursuivre le travail entamé avec la Chine. Nous le faisons par un dialogue direct, nous le faisons aussi, parfois, en collaboration avec des partenaires internationaux – nous avons mené une action trilatérale avec nos collègues américains. Je ne suis pas naïf, mais on doit continuer à tenter de convaincre nos partenaires chinois qu’il s’agit aussi d’un enjeu de réputation pour leurs produits et pour leurs entreprises, et probablement pour un nombre croissant de consommateurs chinois, qui souhaitent eux-mêmes une plus grande sécurité de leurs produits. C’est un travail qui a aussi été entamé au cours de ces dernières années.

    Enfin, vous avez évoqué des cas concrets de sécurité des produits sur des plateformes, mais aussi de produits à bas prix – je pense à Temu ou à Shein. Je l’ai dit, des actions sont en cours. Nous avons saisi le réseau des agences chargées de la protection des consommateurs sur ce sujet. Le réseau CPC y travaille. Le règlement sur les services numériques est lui aussi à l’œuvre dans le cadre de procédures visant ces plateformes, lesquelles ne posent pas seulement un problème de sécurité de produits ou de santé des consommateurs, mais aussi, vous l’avez rappelé, de concurrence déloyale, en raison de prix très faibles, de prix particulièrement bas. Elles ne sont pas seulement en concurrence avec la production de nouveaux produits en Europe, elles le sont aussi avec le marché de seconde main.

    Nous avons, avec certains d’entre vous, beaucoup travaillé au développement du droit à la réparation, qui concerne chaque consommateur et qui permet par ailleurs de renforcer le marché de seconde main. Il est clair que nous devons la protéger contre l’évolution de la concurrence déloyale, tout en demandant bien entendu au secteur de la seconde main de garantir la sécurité de ses produits au même titre que le respect d’un certain nombre de règles européennes.

    Alors, bien entendu, je ne voudrais pas conclure sans évoquer un ou deux aspects, notamment une remarque plus personnelle. La Commission a vu ses compétences directes renforcées: aussi bien celles qu’elle détient, depuis longtemps, dans le domaine de la concurrence que celles acquises plus récemment dans celui des plateformes – à travers le règlement sur les services numériques.

    Pour ce qui est des consommateurs, il est peut-être temps aussi de se poser la question, au-delà du réseau des acteurs nationaux, d’une action possible et plus directe de la Commission pour des cas qui le méritent – des cas manifestement transfrontaliers et qui concernent l’ensemble des consommateurs européens. Cela nécessite des moyens, bien entendu. C’est donc un débat qui reviendra, je l’espère, dans les prochaines années: le travail en la matière ne doit plus se limiter aux agences nationales, il doit aussi advenir à l’échelon de la Commission.

    Je terminerai en vous disant que plusieurs ont évoqué la nécessité d’agir vite. J’ai notamment entendu des remarques sur la manière dont on produit un certain nombre de biens vendus sur le marché européen, parfois en violation des règles environnementales ou des droits de l’homme. Nous avons mis cinq ans à faire adopter une directive sur le devoir de vigilance. Maintenant, il faut en entamer la mise en œuvre.

    J’espère donc que la détermination de l’ensemble des acteurs – des colégislateurs comme des États membres – sera très grande pour agir: pas uniquement quand un produit arrive sur le marché européen, mais aussi sur les chaînes d’approvisionnement, en réfléchissant à la manière de faire respecter les règles environnementales aussi bien que celles en matière de droits de l’homme, tant par les entreprises européennes que par les entreprises de pays tiers qui viennent sur le marché intérieur – y compris à travers des plateformes.

    Beaucoup reste à faire, mais je crois que des règles sont en place. Il faut maintenant les rendre effectives et, surtout, renforcer le contrôle, pour une part à l’échelon européen – lorsque c’est nécessaire.

     
       

     

      President. – The debate is closed.

     

    16. One-minute speeches on matters of political importance


     

      Φρέντης Μπελέρης (PPE). – Κύριε Πρόεδρε, αγαπητοί συνάδελφοι, θα ήθελα να μοιραστώ μαζί σας μια όμορφη πρωτοβουλία στην Ελλάδα και συγκεκριμένα στη Φουρνά Ευρυτανίας, ένα ελληνικό χωριό όπου Δήμος, Περιφέρεια και Εκκλησία συνεργάζονται αρμονικά, προσφέροντας μια καλύτερη ζωή σε μέλη νέων οικογενειών με στόχο να τους πείσουν να εγκατασταθούν στον τόπο τους. Θέλω να σας πω ότι αυτές ακριβώς τις μικρές νίκες πρέπει να αναζητούμε απέναντι στη δημογραφική κρίση· τις μάχες, δηλαδή, που δίνονται μεμονωμένα, ώστε η ευρωπαϊκή ύπαιθρος να μη «σβήσει».

    Ας δούμε όμως και τη μεγάλη εικόνα. Είναι αναγκαία η άμεση επανεκκίνηση της ευρωπαϊκής περιφέρειας. Αυτό θα το πετύχουμε με την αξιοποίηση επιτυχημένων πολιτικών και σωστή αναδιάρθρωση του ευρωπαϊκού προϋπολογισμού. Η Ευρώπη δεν πρέπει να επανέλθει στις διαφορετικές ταχύτητες με τις οποίες εξαπλώνεται το δημογραφικό πρόβλημα στα 27 κράτη μέλη, αλλά να χρηματοδοτήσει δράσεις με την ίδια ένταση και να δώσει ουσιαστικά κίνητρα.

    Κλείνοντας, κύριοι συνάδελφοι, οφείλουμε να φροντίσουμε ώστε να μη νιώθουν οι περιφέρειες και τα νησιά μας απομονωμένα. Κάθε κουκκίδα στον ευρωπαϊκό χάρτη που διασυνδέουμε με μια άλλη, είναι αυτομάτως μια μεγάλη κατάκτηση προς τον κοινό μας στόχο: να δώσουμε ξανά πνοή στην ήπειρό μας.

     
       

     

      Gabriela Firea (S&D). – Domnule președinte, vinerea trecută, tocmai a trecut, a marcat Ziua Europeană de Luptă împotriva Traficului de Persoane, o zi care ne amintește cât de fragilă este siguranța pentru multe femei și mulți copii din Europa. Din păcate, traficul de persoane, care este strâns legat de violența domestică, continuă să fie o problemă gravă. Observăm la nivelul Uniunii Europene că se fac pași importanți. A fost adoptată o versiune revizuită a directivei antitrafic, cu măsuri mai stricte pentru combaterea noilor forme de exploatare, inclusiv a celor din mediul online. Programe precum Fondul pentru azil, migrație și integrare și Programul „Cetățeni, egalitate, drepturi și valori” sprijină victimele și încearcă să prevină traficul de persoane.

    Totuși, nu este suficient și este clar că avem nevoie de o mai bună coordonare între statele membre și de o utilizare mai eficientă a fondurilor, inclusiv prin Mecanismul de redresare și reziliență. Este vital să investim mai mult în educație, în prevenție și mai ales în protecția reală a victimelor, iar cei care comit aceste crime să fie aduși în fața justiției, pentru că asta înseamnă să facem dreptate: să-i protejăm pe cei vulnerabili și să nu lăsăm nicio victimă fără voce.

     
       

     

      Julien Sanchez (PfE). – Monsieur le Président, mes chers collègues, le récent rapport de la Cour des comptes européenne sur le fonds fiduciaire d’urgence en faveur de la stabilité et de la lutte contre les causes profondes de la migration irrégulière et du phénomène des personnes déplacées en Afrique, fonds doté rappelons-le de 5 milliards d’euros d’argent public de nos concitoyens, est édifiant et accablant.

    Si les besoins sont réels et la situation préoccupante, les exemples de gaspillage sans aucun contrôle sont hélas innombrables et choquants. Oui, la Commission européenne gère notre argent avec amateurisme et légèreté. Ainsi, en Gambie, des bénéficiaires ont reçu deux fois la même aide pour des projets agricoles qui, en plus, sont des projets fictifs. En Afrique subsaharienne, des mixeurs ont été distribués dans des écoles qui n’ont même pas accès à l’électricité. Il y a des dizaines d’exemples dans ce rapport, que j’invite chacun à lire.

    J’ai trois questions. Ce programme existe-t-il juste pour se donner bonne conscience? Comment peut-on balancer des milliards et se désintéresser à ce point de l’utilisation réelle et concrète de ces fonds? Enfin: n’avez-vous pas honte de voir l’argent des contribuables ainsi dilapidé? Comment tout cela est-il possible, et pourquoi les gens qui laissent faire cela ne sont-ils pas limogés?

     
       






     

      Barry Andrews (Renew). – Mr President, Commissioner and colleagues, we are broadly agreed across this House that nothing we do or say would reward Russia for its aggression and its contempt for human rights. Equally, we are broadly agreed that we would not do or say anything that would reward Iran for its aggression. Yet we are now slowly embarking on a policy to do just that, under the banner of so-called normalisation of relations with Assad’s Syria. This will send a clear message to Russia and Iran.

    Having stood by those who sought freedom, having passed countless resolutions condemning Assad’s prisons and gulags and executions, and his use of chemical warfare, and looking for an end to impunity, now we quietly return to restore normal relations at a time that can only send one clear message: the EU will stand by those who seek freedom, but if autocrats have the patience and seek the protection of Iran and Russia, they might just succeed.

     
       

     

      Vicent Marzà Ibáñez (Verts/ALE). – Señor presidente, mientras en este Parlamento, hace unos años, y en el Consejo, justo este mes, se ha aprobado una normativa, la nueva Directiva de calidad del aire ambiente, mucho más restrictiva de acuerdo con los criterios científicos, en la ciudad de Elx, en nuestra tercera ciudad valenciana, el Gobierno da rienda suelta a la contaminación y lo que hace es destruir carriles bici, pervertir la zona de bajas emisiones promoviendo el uso del coche y, además, poner en peligro doce millones de euros de fondos europeos que no va a ejecutar con el fin para el que fueron asignados.

    Por eso, desde aquí queremos lanzar esta denuncia, en relación con todas las denuncias ciudadanas que están luchando contra esta situación en Elx, en la tercera ciudad valenciana, y pedimos a la Comisión Europea que tome cartas en el asunto. Le queremos preguntar si va a seguir permitiendo que se destinen fondos europeos contra la salud de los ilicitanos y las ilicitanas.

     
       



     

      Katarína Roth Neveďalová (NI). – Vážený pán predsedajúci, v týchto dňoch si pripomíname osemdesiate výročie Slovenského národného povstania, ktoré vypuklo 29. augusta 1944, a osemdesiate výročie karpatsko-duklianskej operácie, ktorá bola najväčšou horskou bitkou druhej svetovej vojny a najväčšou bitkou v Československu. Bohužiaľ, dnes nás opustil jeden z posledných žijúcich partizánov na Slovensku, pán Karol Kuna, ktorý sa dožil 96 rokov, a tých pamätníkov Slovenského národného povstania máme stále menej a menej. Rada by som citovala pána Kunu, ktorý povedal: Keby nebolo toľkých, ktorí pretrhli putá zotročenia, dnes by sme nežili v slobodnej krajine. Slovenskí partizáni bojovali za hodnoty odboja proti fašizmu, ako bola sloboda, spravodlivosť a rovnosť, a len vďaka nim bolo nakoniec Československo a Slovenská republika slobodnou krajinou, ktorá stála na strane víťazov. Rada by som dnes vzdala česť týmto ľuďom, ktorí padli za našu slobodu. V Slovenskom národnom povstaní padlo približne desaťtisíc ľudí, ktorí boli nielen vojaci, nielen partizáni, ale takisto civilisti, ktorí pomáhali týmto ľuďom prežiť v horách. A takisto pri duklianskej operácii padlo asi 150 tisíc ľudí. Buď stratili svoj život, svoje zdravie, alebo boli zajatí. Česť ich pamiatke.

     
       



     

      Michele Picaro (ECR). – Signor Presidente, onorevoli colleghi, il turismo dentale nei paesi extra-UE è un fenomeno in crescita che solleva importanti preoccupazioni per la salute pubblica.

    Negli ultimi anni molti pazienti europei, in particolare italiani, si sono rivolti a destinazioni come Albania e Turchia per trattamenti odontoiatrici a prezzi competitivi. Tuttavia, un’indagine della British Dental Association ha evidenziato che il 70% dei pazienti che hanno cercato cure all’estero ha sperimentato eventi avversi gravi, come infezioni e ascessi o difficoltà masticatoria, condizioni che hanno compromesso non solo la loro salute, ma anche la durata di protesi e impianti, vanificando così il vantaggio economico iniziale.

    Le norme sanitarie in questi Paesi spesso mancano di una regolamentazione rigorosa. Per questo è necessario promuovere campagne informative che forniscano ai cittadini dati chiari e affidabili sui rischi e i benefici delle cure odontoiatriche all’estero. Informare i pazienti riguardo alle normative sanitarie dei Paesi di destinazione, alla formazione del personale medico, agli standard di qualità delle strutture è cruciale per consentire scelte consapevoli.

    Per tale ragione è imperativo che il Parlamento europeo consideri queste problematiche e promuova iniziative per garantire la sicurezza e la qualità delle cure odontoiatriche. Al contrario, si tratta di garantire ad ogni paziente scelte informate, sicure e supportate da normative adeguate. Solo così potremo garantire e proteggere la salute dei cittadini e mantenere la fiducia nel sistema sanitario.

     
       

     

      Ciaran Mullooly (Renew). – Mr President, reports along the corridors of this building say a trade deal with the Mercosur countries has all but been agreed by our Commission, and talk of compensation for Irish farmers and others is widespread. But I come here this evening to give you one message, and a message back to those who send those briefs. No way! No way will we accept this.

    A study by the Irish Government Department of Enterprise in 2021 indicated that Ireland’s beef sector would lose between EUR 44 million and EUR 55 million if the EU-Mercosur deal goes ahead.

    We are the fifth largest beef exporter in the world and the biggest EU exporter, with more than 90 % traded internationally on an annual basis.

    It is not acceptable that Ireland and key other European Member States incur high environmental food-safety traceability charges, while third countries just sail in here and are simply allowed to avoid such costs and undercut our beef in prime EU markets.

    This Parliament has and must insist on one rule for everyone equally applied to the Mercosur countries, and until this equality rule applies, Ireland says no deal and no sell-out!

     
       




     

      Christophe Clergeau (S&D). – Monsieur le Président, chers collègues, jeudi matin, j’étais dans ma ville de Nantes, aux côtés des salariés de General Electric, qui s’apprête à supprimer près de 400 emplois dans son usine et son centre de recherche-développement consacrés à la production d’éoliennes maritimes.

    Il y a plus de dix ans, alors que j’étais vice-président de ma région, j’avais œuvré à la naissance de cette filière et montré aux citoyens que l’écologie pouvait créer des centaines d’emplois: d’ouvriers, de techniciens et d’ingénieurs. Aujourd’hui, je vois ces emplois disparaître parce que l’Europe et la France sont incapables de développer des projets éoliens en mer à un tarif qui permettrait de rémunérer une chaîne de valeur et des emplois européens, incapables d’imposer un contenu européen là où il y a pourtant un soutien public important.

    Nos usines risquent de fermer alors que nous en aurons besoin pour équiper les nouveaux parcs éoliens en mer. Pendant ce temps, les Chinois construisent des usines en Écosse et en Italie pour assembler des éoliennes essentiellement fabriquées en Chine. Nous parlons de politique industrielle et de compétitivité, mais, dans la vie réelle, nous laissons s’effondrer les filières des industries vertes et nous sacrifions les emplois.

    L’Europe va-t-elle enfin se réveiller, ou va-t-elle s’enferrer dans ce lent suicide collectif? Il est temps de réagir et de lutter.

     
       

     

      Mélanie Disdier (PfE). – Monsieur le Président, mes chers collègues, si je m’adresse à vous aujourd’hui, c’est pour vous parler d’une filière en danger: celle du bois.

    En 2020, toutes les grandes centrales syndicales et patronales du secteur de l’industrie de transformation du bois ont pris l’initiative d’une déclaration commune pour dire stop à l’exportation massive de grumes en Asie, et particulièrement en Chine. L’exportation du bois non transformé prend des proportions inquiétantes, et pas uniquement pour le chêne – comme c’est le cas dans la forêt de Mormal, qui m’est chère. Toutes les essences sont concernées ou le seront à court terme. Les menuisiers, artisans, constructeurs, fabricants de parquets sont très nombreux à s’alarmer, car ils sont inquiets pour leur avenir. Si les scieries sont privées d’approvisionnement, c’est toute la filière qui va être touchée à court terme.

    Dans un contexte de pénurie de matériaux, il est donc suicidaire de laisser perdurer la situation sans réagir. Le bois est devenu une ressource stratégique, qui fait partie intégrante de notre souveraineté, et une clé de la neutralité carbone. Il est grand temps que l’Union européenne s’empare de ce dossier. Des milliers d’emplois sont en jeu en France et en Europe.

     
       

     

      Dick Erixon (ECR). – Herr talman! Efter polisrazzior i Öst- och Sydeuropa tidigare i år beslagtogs Rolexklockor, guld, diamanter, smycken, lägenheter, villor, kryptovaluta, Lamborghini, Porsche och en Audi Q8.

    Ett enda kriminellt gäng misstänks ha stulit över sex miljarder kronor från coronafonden Next Generation, med hjälp av experter på bidragsansökningar, AI-verktyg och bluffbolag. När socialdemokrater och moderater släppte igenom coronafonden lovades rigorösa kontroller. Så blev det inte. Den överdimensionerade EU-budgeten göder korruption och slöseri, men hjälper även kriminella som hittat en ny kassako att mjölka genom ekobrottslighet.

    Bidragen är så stora och mottagarna så många att rigorösa kontroller inte är möjliga. Detta måste få ett slut.

     
       

     

      João Oliveira (The Left). – Senhor Presidente, o inquérito pós‑eleitoral feito pelo Parlamento Europeu mostrou que a principal preocupação dos povos é o custo de vida. Este Parlamento deveria estar a discutir as soluções para esse problema, mas nenhum outro grupo político aceitou fazer esse debate. Nenhum outro grupo político quis discutir as opções para combater o aumento do custo de vida, as medidas de controlo e fixação dos preços dos bens essenciais, medidas de combate aos preços especulativos que garantem lucros milionários dos grupos da distribuição da energia e dos combustíveis, das telecomunicações ou da banca.

    Deveríamos também estar a discutir as consequências das novas regras da governação económica. Em Portugal, o Governo acabou de apresentar uma proposta de Orçamento do Estado que mostra bem os impactos dessas novas regras, que mostra os condicionamentos e restrições orçamentais, as limitações nos serviços públicos e nas funções sociais do Estado, as restrições ao investimento; tudo isso em contraste com as políticas de privilégio aos grupos económicos e às multinacionais. Também este debate foi travado, porque, para grande parte deste Parlamento, verdadeiramente as condições de vida dos povos pouco interessam.

     
       

     

      Juan Fernando López Aguilar (S&D). – Señor presidente, señor comisario, la solidaridad y la cohesión son el modelo social europeo y si hay una amenaza que pende sobre ese modelo es la dificultad de acceso a la vivienda que recorre toda Europa.

    Este último fin de semana en Canarias, de nuevo, miles de personas han vuelto a salir a la calle para protestar contra lo que consideran que es un exceso de presión turística, porque en Canarias se ha producido un incremento de población de un 30 % en los últimos veinte años y porque, además, se han declarado en los últimos años 60 000 ofertas alojativas extrahoteleras, lo que equivale a doce hoteles con 250 camas cada uno. Pero no se han realizado las inversiones correspondientes ni en hospitales, ni en residencias, ni en redes eléctricas, ni en aeropuertos, ni en conexiones marítimas, ni tampoco en el ciclo del agua y en relación con los vertidos al mar.

    Y tenemos puestas nuestras esperanzas en la próxima Comisión Von der Leyen, en la que va a haber por fin un comisario encargado de vivienda, el danés Dan Jørgensen, que podrá movilizar fondos europeos contra los fondos de inversión, contra los fondos buitre, para generar, por fin, oferta de vivienda en alquiler o en venta que permita la emancipación de la gente joven y el acceso a la vivienda de la clase trabajadora. Eso significará una oportunidad de restaurar el modelo social europeo con una política de vivienda europea.

     
       

     

      Csaba Dömötör (PfE). – Tisztelt Elnök Úr! A legutóbbi uniós csúcson a felek arra jutottak, hogy fokozni kell az erőfeszítéseket az uniós versenyképesség növelésére. Ezzel egyet is értünk, de azt is szomorúan állapíthatjuk meg, hogy hiányzik a szókimondó párbeszéd arról, hogy mi is okozza Európa egyre nagyobb leszakadását a versenyképességi versenyben. Sok okot azonosíthatunk, de a legfontosabb mégiscsak az, hogy elszálltak az energiaárak.

    Azért szálltak el, mert Európa a brüsszeli intézmények nyomására ideológiai okokból hátat fordított a vezetékes gáznak. A helyette beszerzett cseppfolyós gáz jóval drágább. A zöld energia a legtöbb esetben sajnos szintén drágább, és ez drasztikus terhet ró az európai vállalatokra, kicsikre és nagyokra is. Nem véletlen, hogy egyre több vállalat helyezi át a termelését máshová. A Draghi-jelentés szerint Európában ma kétszer-háromszor magasabbak az áramárak az Egyesült Államokhoz képest, a gázárak pedig négyszer-ötször. Ha ez tartósan így marad, akkor Európa maradék versenyképessége is megy a levesbe. Nem kell beletörődnünk, hogy ez így legyen, újratervezésre van szükség.

     
       

     

      Thierry Mariani (PfE). – Monsieur le Président, le Liban est en danger de mort. Ni l’Union européenne ni la France ne sont à la hauteur du drame humain qui s’y joue. Face à cette guerre impitoyable, l’Union européenne s’entête dans ses certitudes et refuse de venir en aide à Damas, qui est pourtant en première ligne pour gérer l’accueil des réfugiés dans cette crise.

    Chaque jour, des milliers de personnes traversent la frontière pour chercher refuge et protection en Syrie. Aujourd’hui, ce sont déjà près de 240 000 personnes qui ont fait le choix de passer en Syrie, considérant que ce pays est un territoire sûr. Mais l’Europe et la France restent immobiles, tandis que l’Italie, elle, plaide pour renouer le dialogue avec la République arabe syrienne. La situation au Liban ne fait qu’empirer, et avec elle, si rien n’est fait, plane la menace d’une nouvelle vague migratoire de réfugiés vers l’Europe.

    Les Syriens, derrière Bachar el-Assad, ont résisté vaillamment aux islamistes qu’une partie d’entre vous, dans cet hémicycle, avait soutenus. Il est urgent de renouer les liens avec la Syrie. C’est l’intérêt des réfugiés qu’elle accueille, mais également des pays de la région, et c’est aussi l’intérêt de l’Europe.

     
       



     

      Marko Vešligaj (S&D). – Poštovani predsjedavajući, uvažene kolege, ruralna područja čine 83 posto teritorija Europske unije, a u njima živi 137 milijuna ljudi.

    Ova područja su ključna za proizvodnju temeljnih resursa poput hrane i energije. Ipak, unatoč njihovoj važnosti, ruralne zajednice sustavno se marginaliziraju konkretnim politikama i programima financiranja. Da, postoje dokumenti poput Ruralnog pakta i dugoročne vizije za ruralna područja, koje su dobre smjernice, ali njihova implementacija je spora, a problemi se gomilaju.

    Iseljavanje, manjak javnih usluga, neadekvatna infrastruktura svakodnevica su lokalnih zajednica u ruralnim prostorima, a nedostatak podrške viših razina vlasti stvara neodrživu situaciju. Danas je dodatno ruralna Europa uslijed klimatskih promjena suočena i s prirodnim katastrofama, od klizanja tla, suša, poplava do potresa i požara.

    I za takve situacije trebamo brže i jednostavnije financijske mehanizme. Zato je nužno osigurati izravna i lako dostupna europska sredstva kao garanciju razvoja i održivosti ruralnih područja i ostanka ljudi u njima.

     
       



     

      Angéline Furet (PfE). – Monsieur le Président, sous couvert d’un humanisme totalement dévoyé et de faux bons sentiments, des politiciens traîtres aux peuples européens promeuvent une idéologie fanatique qu’ils ont érigée en dogme: l’immigrationnisme.

    Malheureusement, cette volonté de suicide altruiste imposée aux Européens a des conséquences concrètes au quotidien. La ville du Mans, en France, en est un triste exemple. L’immigration y a plus que doublé en quinze ans et, avec elle, les délits et les crimes. Augmentation des vols de plus de 300 %, augmentation des viols de plus de 500 % et augmentation des attaques au couteau, elle, de 1 000 %, carrément. Oui, dix fois plus qu’avant l’arrivée sur notre sol de ces étrangers délinquants, de ces criminels importés aux frais des Européens que vous appelez les «migrants».

    Le sang des victimes de cette abomination est sur les mains des membres de la Commission européenne qui ont ordonné cette submersion et sur les mains des députés qui l’ont votée.

     
       


     

      President. – That concludes this item.

     

    17. Agenda of the next sitting

     

      President. – The next sitting is tomorrow, Tuesday, 22 October 2024 at 09:00. The agenda has been published and is available on the European Parliament website.

     

    18. Approval of the minutes of the sitting

     

      President. – The minutes of the sitting will be submitted to Parliament for its approval tomorrow, at the beginning of the afternoon.

     

    19. Closure of the sitting

       

    (The sitting closed at 22:02)

     

    MIL OSI Europe News

  • MIL-OSI: Enphase Energy Reports Financial Results for the Third Quarter of 2024

    Source: GlobeNewswire (MIL-OSI)

    FREMONT, Calif., Oct. 22, 2024 (GLOBE NEWSWIRE) — Enphase Energy, Inc. (NASDAQ: ENPH), a global energy technology company and the world’s leading supplier of microinverter-based solar and battery systems, announced today financial results for the third quarter of 2024, which included the summary below from its President and CEO, Badri Kothandaraman.

    We reported quarterly revenue of $380.9 million in the third quarter of 2024, along with 48.1% for non-GAAP gross margin. We shipped 1,731,768 microinverters, or approximately 730.0 megawatts DC, and 172.9 megawatt hours of IQ® Batteries.

    Financial highlights for the third quarter of 2024 are listed below:

    • Quarterly revenue of $380.9 million
    • GAAP gross margin of 46.8%; non-GAAP gross margin of 48.1% with net IRA benefit
    • Non-GAAP gross margin of 38.9%, excluding net IRA benefit of 9.2%
    • GAAP operating income of $49.8 million; non-GAAP operating income of $101.4 million
    • GAAP net income of $45.8 million; non-GAAP net income of $88.4 million
    • GAAP diluted earnings per share of $0.33, non-GAAP diluted earnings per share of $0.65
    • Free cash flow of $161.6 million; ending cash, cash equivalents, and marketable securities of $1.77 billion

    Our revenue and earnings for the third quarter of 2024 are provided below, compared with the prior quarter:

    (In thousands, except per share and percentage data)

      GAAP   Non-GAAP
      Q3 2024   Q2 2024   Q3 2023   Q3 2024   Q2 2024   Q3 2023
    Revenue $ 380,873     $ 303,458     $ 551,082     $ 380,873     $ 303,458     $ 551,082  
    Gross margin   46.8 %     45.2 %     47.5 %     48.1 %     47.1 %     48.4 %
    Operating expenses $ 128,383     $ 135,367     $ 144,024     $ 81,612     $ 81,706     $ 99,027  
    Operating income $ 49,788     $ 1,799     $ 117,989     $ 101,411     $ 61,080     $ 167,593  
    Net income $ 45,762     $ 10,833     $ 113,953     $ 88,402     $ 58,824     $ 141,849  
    Basic EPS $ 0.34     $ 0.08     $ 0.84     $ 0.65     $ 0.43     $ 1.04  
    Diluted EPS $ 0.33     $ 0.08     $ 0.80     $ 0.65     $ 0.43     $ 1.02  
                                                   

    Total revenue for the third quarter of 2024 was $380.9 million, compared to $303.5 million in the second quarter of 2024. Our revenue in the United States for the third quarter of 2024 increased approximately 43%, compared to the second quarter of 2024. The increase was due to higher shipments to distributors as inventory returned to normal levels. Our revenue in Europe decreased approximately 15% for the third quarter of 2024, compared to the second quarter of 2024. The decline in revenue was the result of a further softening in European demand.

    Our non-GAAP gross margin was 48.1% in the third quarter of 2024, compared to 47.1% in the second quarter of 2024. Our non-GAAP gross margin, excluding net IRA benefit, was 38.9% in the third quarter of 2024, compared to 41.0% in the second quarter of 2024.

    Our non-GAAP operating expenses were $81.6 million in the third quarter of 2024, compared to $81.7 million in the second quarter of 2024. Our non-GAAP operating income was $101.4 million in the third quarter of 2024, compared to $61.1 million in the second quarter of 2024.

    We exited the third quarter of 2024 with $1.77 billion in cash, cash equivalents, and marketable securities and generated $170.1 million in cash flow from operations in the third quarter of 2024. Our capital expenditures were $8.5 million in the third quarter of 2024, compared to $9.6 million in the second quarter of 2024.

    In the third quarter of 2024, we repurchased 434,947 shares of our common stock at an average price of $114.48 per share for a total of approximately $49.8 million. We also spent approximately $6.3 million dollars by withholding shares to cover taxes for employee stock vesting that reduced the diluted shares by 59,607 shares.

    We shipped 172.9 megawatt hours of IQ Batteries in the third quarter of 2024, compared to 120.2 megawatt hours in the second quarter of 2024. We are now shipping our third generation of IQ Batteries, the IQ® Battery 5P™, to the United States, Puerto Rico, Mexico, Canada, Australia, the United Kingdom, Italy, France, the Netherlands, Luxembourg, and Belgium. More than 9,000 installers worldwide are certified to install our IQ Batteries, compared to more than 7,400 installers worldwide in the second quarter of 2024.

    During the third quarter of 2024, we shipped approximately 1,176,000 microinverters from our contract manufacturing facilities in the United States that we booked for 45X production tax credits. We began shipping IQ8HC™ Microinverters with higher domestic content, produced at our contract manufacturing facilities in the United States. We expect to begin shipping our commercial microinverters, and batteries with higher domestic content, produced at our United States contract manufacturing facilities in the fourth quarter of 2024.

    During the third quarter of 2024, we launched AI-based software that is designed to optimize energy use by integrating solar and consumption forecasting with electricity tariff. This is intended to help consumers maximize savings as energy markets become increasingly complex, such as with dynamic electricity rates in parts of Europe and NEM 3.0 in California. We are gearing up to launch our second-generation IQ® EV charger, the 3-Phase IQ Battery with backup, and the IQ® Balcony Solar Kit all for the European market – pushing the boundaries of innovation. Finally, our fourth-generation energy system, featuring the IQ® Meter Collar, 10 kWh IQ Battery, and enhanced IQ® Combiner, is expected to debut in the United States in early 2025, targeting a substantial reduction in installation costs.

    BUSINESS HIGHLIGHTS

    On Oct. 16, 2024, Enphase Energy announced that it started shipping IQ8™ Microinverters to support newer, high-powered solar panels in select countries and territories, including the Netherlands, Austria, New Caledonia, and Malta.

    On Oct. 9, 2024, Enphase Energy announced that it is expanding its support for grid services programs – or virtual power plants (VPPs) – in New Hampshire, North Carolina, and California, powered by the new IQ Battery 5P.

    On Oct. 3, 2024, Enphase Energy announced the launch of its IQ8X™ Microinverters in Australia, and that all IQ8 Microinverters activated starting Oct. 1, 2024 in Australia come with an industry-leading 25-year limited warranty, currently the longest standard residential warranty in the Australian market.

    On Sept. 24, 2024, Enphase Energy announced the launch of its most powerful Enphase® Energy System™ to-date, featuring the new IQ Battery 5P and IQ8 Microinverters, for customers in India.

    On Sept. 16, 2024, Enphase Energy announced that it started shipping the IQ Battery 5P in Belgium. Enphase also introduced IQ® Energy Management, its new AI-based energy management software to enable support for dynamic electricity rates and the integration of third-party EV chargers and heat pumps in Belgium.

    On Sept. 10, 2024, Enphase Energy announced initial shipments of IQ8HC Microinverters supplied from contract manufacturing facilities in the United States with higher domestic content than previous models. The microinverters have SKUs with a “DOM” suffix, indicating the increased amount of domestic content.

    On Sept. 4, 2024, Enphase Energy announced a solution for expanding legacy net energy metering (NEM) solar energy systems in California without penalty using new Enphase Energy Systems configurations with IQ® Microinverters, IQ Batteries, and Enphase Power Control.

    On Aug. 27, 2024, Enphase Energy announced the availability of pre-orders for IQ Battery 5Ps produced in the United States. Pre-orders are also available for IQ8HC Microinverters, IQ8P-3P™ Microinverters, and IQ8X Microinverters produced in the United States with higher domestic content.

    On Aug. 19, 2024, Enphase Energy announced that it started shipping the IQ Battery 5P in the Netherlands. Enphase also introduced IQ Energy Management, its new energy management software to enable support for dynamic electricity rates and the integration of third-party EV chargers and heat pumps in the Netherlands.

    On Aug. 8, 2024, Enphase Energy announced the launch of its new North American Charging Standard (NACS) connectors for its entire line of IQ EV Chargers. NACS connectors and charger ports have recently become the industry standard embraced by several major automakers for electric vehicles (EVs).

    On Aug. 5, 2024, Enphase Energy announced that it started shipping IQ8P™ and IQ8HC Microinverters to support newer, high-powered solar panels in select countries throughout the Caribbean.

    On Aug. 1, 2024, Enphase Energy announced that it started shipping IQ8 Microinverters to support newer, high-powered solar modules in select countries throughout Europe, including France, Germany, Spain, Bulgaria, Estonia, Slovakia, and Croatia.

    FOURTH QUARTER 2024 FINANCIAL OUTLOOK

    For the fourth quarter of 2024, Enphase Energy estimates both GAAP and non-GAAP financial results as follows:

    • Revenue to be within a range of $360.0 million to $400.0 million, which includes shipments of 140 to 160 megawatt hours of IQ Batteries
    • GAAP gross margin to be within a range of 47.0% to 50.0% with net IRA benefit
    • Non-GAAP gross margin to be within a range of 49.0% to 52.0% with net IRA benefit and 39.0% to 42.0% excluding net IRA benefit. Non-GAAP gross margin excludes stock-based compensation expense and acquisition related amortization
    • Net IRA benefit to be within a range of $38.0 million to $41.0 million based on estimated shipments of 1,300,000 units of U.S. manufactured microinverters
    • GAAP operating expenses to be within a range of $135.0 million to $139.0 million
    • Non-GAAP operating expenses to be within a range of $81.0 million to $85.0 million, excluding $54.0 million estimated for stock-based compensation expense, acquisition related expenses and amortization

    For 2024, GAAP and non-GAAP annualized effective tax rate with IRA benefit, excluding discrete items, is expected to be within a range of 17.0% to 19.0%.

    Follow Enphase Online

    Use of non-GAAP Financial Measures

    Enphase Energy has presented certain non-GAAP financial measures in this press release. Generally, a non-GAAP financial measure is a numerical measure of a company’s performance, financial position, or cash flows that either exclude or include amounts that are not normally excluded or included in the most directly comparable measure calculated and presented in accordance with generally accepted accounting principles in the United States (GAAP). Reconciliation of each non-GAAP financial measure to the most directly comparable GAAP financial measure can be found in the accompanying tables to this press release. Non-GAAP financial measures presented by Enphase Energy include non-GAAP gross profit, gross margin, operating expenses, income from operations, net income, net income per share (basic and diluted), net IRA benefit, and free cash flow.

    These non-GAAP financial measures do not reflect a comprehensive system of accounting, differ from GAAP measures with the same captions and may differ from non-GAAP financial measures with the same or similar captions that are used by other companies. In addition, these non-GAAP measures have limitations in that they do not reflect all of the amounts associated with Enphase Energy’s results of operations as determined in accordance with GAAP. As such, these non-GAAP measures should be considered as a supplement to, and not as a substitute for, or superior to, financial measures calculated in accordance with GAAP. Enphase Energy uses these non-GAAP financial measures to analyze its operating performance and future prospects, develop internal budgets and financial goals, and to facilitate period-to-period comparisons. Enphase Energy believes that these non-GAAP financial measures reflect an additional way of viewing aspects of its operations that, when viewed with its GAAP results, provide a more complete understanding of factors and trends affecting its business.

    As presented in the “Reconciliation of Non-GAAP Financial Measures” tables below, each of the non-GAAP financial measures excludes one or more of the following items for purposes of calculating non-GAAP financial measures to facilitate an evaluation of Enphase Energy’s current operating performance and a comparison to its past operating performance:

    Stock-based compensation expense. Enphase Energy excludes stock-based compensation expense from its non-GAAP measures primarily because they are non-cash in nature. Moreover, the impact of this expense is significantly affected by Enphase Energy’s stock price at the time of an award over which management has limited to no control.

    Acquisition related expenses and amortization. This item represents expenses incurred related to Enphase Energy’s business acquisitions, which are non-recurring in nature, and amortization of acquired intangible assets, which is a non-cash expense. Acquisition related expenses and amortization of acquired intangible assets are not reflective of Enphase Energy’s ongoing financial performance.

    Restructuring and asset impairment charges. Enphase Energy excludes restructuring and asset impairment charges due to the nature of the expenses being unusual and arising outside the ordinary course of continuing operations. These costs primarily consist of fees paid for cash-based severance costs and asset write-downs of property and equipment and acquired intangible assets, and other contract termination costs resulting from restructuring initiatives.

    Non-cash interest expense. This item consists primarily of amortization of debt issuance costs and accretion of debt discount because these expenses do not represent a cash outflow for Enphase Energy except in the period the financing was secured and such amortization expense is not reflective of Enphase Energy’s ongoing financial performance.

    Non-GAAP income tax adjustment. This item represents the amount adjusted to Enphase Energy’s GAAP tax provision or benefit to exclude the income tax effects of GAAP adjustments such as stock-based compensation, amortization of purchased intangibles, and other non-recurring items that are not reflective of Enphase Energy ongoing financial performance.

    Non-GAAP net income per share, diluted. Enphase Energy excludes the dilutive effect of in-the-money portion of convertible senior notes as they are covered by convertible note hedge transactions that reduce potential dilution to our common stock upon conversion of the Notes due 2025, Notes due 2026, and Notes due 2028, and includes the dilutive effect of employee’s stock-based awards and the dilutive effect of warrants. Enphase Energy believes these adjustments provide useful supplemental information to the ongoing financial performance.

    Net IRA benefit. This item represents the advanced manufacturing production tax credit (AMPTC) from the IRA for manufacturing microinverters in the United States, partially offset by the incremental manufacturing cost incurred in the United States relative to manufacturing in Mexico, India, and China. The AMPTC is accounted for by Enphase Energy as an income-based government grants that reduces cost of revenues in the condensed consolidated statements of operations.

    Free cash flow. This item represents net cash flows from operating activities less purchases of property and equipment.

    Conference Call Information

    Enphase Energy will host a conference call for analysts and investors to discuss its third quarter 2024 results and fourth quarter 2024 business outlook today at 4:30 p.m. Eastern Time (1:30 p.m. Pacific Time). The call is open to the public by dialing (833) 634-5018. A live webcast of the conference call will also be accessible from the “Investor Relations” section of Enphase Energy’s website at https://investor.enphase.com. Following the webcast, an archived version will be available on the website for approximately one year. In addition, an audio replay of the conference call will be available by calling (877) 344-7529; replay access code 2677879, beginning approximately one hour after the call.

    Forward-Looking Statements

    This press release contains forward-looking statements, including statements related to Enphase Energy’s expectations as to its fourth quarter of 2024 financial outlook, including revenue, shipments of IQ Batteries by megawatt hours, gross margin with net IRA benefit and excluding net IRA benefit, estimated shipments of U.S. manufactured microinverters, operating expenses, and annualized effective tax rate with IRA benefit; its expectations regarding the expected net IRA benefit; its expectations on the timing and introduction of new products and updates to existing products; its expectations for global capacity of microinverters; its ability to support grid services in new locations; the ability of its AI-based software to help consumers maximize savings as energy markets become increasingly complex; and the capabilities, advantages, features, and performance of its technology and products. These forward-looking statements are based on Enphase Energy’s current expectations and inherently involve significant risks and uncertainties. Enphase Energy’s actual results and the timing of events could differ materially from those anticipated in such forward-looking statements as a result of certain risks and uncertainties including those risks described in more detail in its most recently filed Annual Report on Form 10-K, Quarterly Report on Form 10-Q, and other documents on file with the SEC from time to time and available on the SEC’s website at http://www.sec.gov. Enphase Energy undertakes no duty or obligation to update any forward-looking statements contained in this release as a result of new information, future events or changes in its expectations, except as required by law.

    A copy of this press release can be found on the investor relations page of Enphase Energy’s website at https://investor.enphase.com.

    About Enphase Energy, Inc.

    Enphase Energy, a global energy technology company based in Fremont, CA, is the world’s leading supplier of microinverter-based solar and battery systems that enable people to harness the sun to make, use, save, and sell their own power—and control it all with a smart mobile app. The company revolutionized the solar industry with its microinverter-based technology and builds all-in-one solar, battery, and software solutions. Enphase has shipped approximately 78.0 million microinverters, and over 4.5 million Enphase-based systems have been deployed in more than 160 countries. For more information, visit https://enphase.com/.

    © 2024 Enphase Energy, Inc. All rights reserved. Enphase Energy, Enphase, the “e” logo, IQ, IQ8, and certain other marks listed at https://enphase.com/trademark-usage-guidelines are trademarks or service marks of Enphase Energy, Inc. Other names are for informational purposes and may be trademarks of their respective owners.

    Contact:

    Zach Freedman
    Enphase Energy, Inc.
    Investor Relations
    ir@enphaseenergy.com

    ENPHASE ENERGY, INC.
    CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
    (In thousands, except per share data)
    (Unaudited)
     
      Three Months Ended Nine Months Ended
      September 30,
    2024
      June 30,
    2024
      September 30,
    2023
      September 30,
    2024
      September 30,
    2023
    Net revenues $ 380,873     $ 303,458     $ 551,082     $ 947,670     $ 1,988,216  
    Cost of revenues   202,702       166,292       289,069       516,825       1,076,490  
    Gross profit   178,171       137,166       262,013       430,845       911,726  
    Operating expenses:                  
    Research and development   47,843       48,871       54,873       150,925       172,045  
    Sales and marketing   49,671       51,775       55,357       154,753       178,383  
    General and administrative   30,192       33,550       33,794       98,924       104,456  
    Restructuring and asset impairment charges   677       1,171             3,755       870  
    Total operating expenses   128,383       135,367       144,024       408,357       455,754  
    Income from operations   49,788       1,799       117,989       22,488       455,972  
    Other income, net                  
    Interest income   19,977       19,203       19,669       58,889       49,235  
    Interest expense   (2,237 )     (2,220 )     (2,196 )     (6,653 )     (6,571 )
    Other income (expense), net   (16,785 )     (7,566 )     1,883       (24,264 )     2,276  
    Total other income, net   955       9,417       19,356       27,972       44,940  
    Income before income taxes   50,743       11,216       137,345       50,460       500,912  
    Income tax provision   (4,981 )     (383 )     (23,392 )     (9,962 )     (82,895 )
    Net income $ 45,762     $ 10,833     $ 113,953     $ 40,498     $ 418,017  
    Net income per share:                  
    Basic $ 0.34     $ 0.08     $ 0.84     $ 0.30     $ 3.06  
    Diluted $ 0.33     $ 0.08     $ 0.80     $ 0.30     $ 2.92  
    Shares used in per share calculation:                  
    Basic   135,329       135,646       136,165       135,621       136,491  
    Diluted   139,914       136,123       143,863       136,236       145,081  
                                           
    ENPHASE ENERGY, INC.
    CONDENSED CONSOLIDATED BALANCE SHEETS
    (In thousands)
    (Unaudited)
     
      September 30, 
    2024
      December 31, 
    2023
    ASSETS      
    Current assets:      
    Cash and cash equivalents $ 256,325   $ 288,748
    Marketable securities   1,510,299     1,406,286
    Accounts receivable, net   232,225     445,959
    Inventory   158,837     213,595
    Prepaid expenses and other assets   203,195     88,930
    Total current assets   2,360,881     2,443,518
    Property and equipment, net   148,444     168,244
    Operating lease, right of use asset, net   28,120     19,887
    Intangible assets, net   51,152     68,536
    Goodwill   214,292     214,562
    Other assets   185,448     215,895
    Deferred tax assets, net   275,854     252,370
    Total assets $ 3,264,191   $ 3,383,012
    LIABILITIES AND STOCKHOLDERS’ EQUITY      
    Current liabilities:      
    Accounts payable $ 112,417   $ 116,164
    Accrued liabilities   189,819     261,919
    Deferred revenues, current   129,556     118,300
    Warranty obligations, current   35,755     36,066
    Debt, current   99,931    
    Total current liabilities   567,478     532,449
    Long-term liabilities:      
    Deferred revenues, non-current   354,210     369,172
    Warranty obligations, non-current   148,477     153,021
    Other liabilities   62,392     51,008
    Debt, non-current   1,200,261     1,293,738
    Total liabilities   2,332,818     2,399,388
    Total stockholders’ equity   931,373     983,624
    Total liabilities and stockholders’ equity $ 3,264,191   $ 3,383,012
               
    ENPHASE ENERGY, INC.
    CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
    (In thousands)
    (Unaudited)
     
      Three Months Ended   Nine Months Ended
      September 30, 
    2024
      June 30, 
    2024
      September 30, 
    2023
      September 30, 
    2024
      September 30, 
    2023
    Cash flows from operating activities:                  
    Net income $ 45,762     $ 10,833     $ 113,953     $ 40,498     $ 418,017  
    Adjustments to reconcile net income to net cash provided by operating activities:                  
    Depreciation and amortization   20,103       20,484       19,448       60,724       53,867  
    Net amortization (accretion) of premium (discount) on marketable securities   (2,904 )     (1,030 )     5,094       (1,109 )     (12,611 )
    Provision for doubtful accounts   2,704       1,897       653       4,471       1,282  
    Asset impairment   17,568       6,241       903       24,141       903  
    Non-cash interest expense   2,173       2,157       2,114       6,462       6,254  
    Net loss (gain) from change in fair value of debt securities   741       1,931       (1,910 )     1,730       (5,408 )
    Stock-based compensation   45,940       52,757       43,814       159,530       157,635  
    Deferred income taxes   (5,276 )     (14,076 )     (11,499 )     (27,644 )     (38,295 )
    Changes in operating assets and liabilities:                  
    Accounts receivable   49,414       82,183       (34,752 )     208,956       (118,249 )
    Inventory   17,231       31,825       (8,003 )     54,758       (24,406 )
    Prepaid expenses and other assets   (64,149 )     (42,810 )     (15,383 )     (117,856 )     (57,376 )
    Accounts payable, accrued and other liabilities   32,088       (23,944 )     9,903       (58,140 )     117,128  
    Warranty obligations   7,053       15       8,151       (4,855 )     57,420  
    Deferred revenues   1,690       (1,401 )     13,369       (5,265 )     105,169  
    Net cash provided by operating activities   170,138       127,062       145,855       346,401       661,330  
    Cash flows from investing activities:                  
    Purchases of property and equipment   (8,533 )     (9,636 )     (23,848 )     (25,540 )     (90,326 )
    Purchases of marketable securities   (319,190 )     (300,053 )     (470,766 )     (1,091,511 )     (1,743,674 )
    Maturities and sale of marketable securities   215,241       282,063       494,804       994,677       1,406,608  
    Investments in private companies               (15,000 )           (15,000 )
    Net cash used in investing activities   (112,482 )     (27,626 )     (14,810 )     (122,374 )     (442,392 )
    Cash flows from financing activities:                  
    Partial settlement of convertible notes   (5 )                 (7 )      
    Repurchase of common stock   (49,794 )     (99,908 )     (110,000 )     (191,698 )     (310,000 )
    Proceeds from issuance of common stock under employee equity plans   14       6,769       719       7,969       1,315  
    Payment of withholding taxes related to net share settlement of equity awards   (6,286 )     (7,473 )     (8,465 )     (73,801 )     (93,100 )
    Net cash used in financing activities   (56,071 )     (100,612 )     (117,746 )     (257,537 )     (401,785 )
    Effect of exchange rate changes on cash and cash equivalents   2,638       (374 )     (1,900 )     1,087       (322 )
    Net increase (decrease) in cash and cash equivalents   4,223       (1,550 )     11,399       (32,423 )     (183,169 )
    Cash and cash equivalents—Beginning of period   252,102       253,652       278,676       288,748       473,244  
    Cash and cash equivalents —End of period $ 256,325     $ 252,102     $ 290,075     $ 256,325     $ 290,075  
                                           
    ENPHASE ENERGY, INC.
    RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
    (In thousands, except per share data and percentages)
    (Unaudited)
     
      Three Months Ended   Nine Months Ended
      September 30, 
    2024
      June 30, 
    2024
      September 30, 
    2023
      September 30, 
    2024
      September 30, 
    2023
    Gross profit (GAAP) $ 178,171     $ 137,166     $ 262,013     $ 430,845     $ 911,726  
    Stock-based compensation   2,948       3,730       2,708       10,860       9,775  
    Acquisition related amortization   1,904       1,890       1,899       5,685       5,686  
    Gross profit (Non-GAAP) $ 183,023     $ 142,786     $ 266,620     $ 447,390     $ 927,187  
                       
    Gross margin (GAAP)   46.8 %     45.2 %     47.5 %     45.5 %     45.9 %
    Stock-based compensation   0.8       1.3       0.6       1.1       0.5  
    Acquisition related amortization   0.5       0.6       0.3       0.6       0.2  
    Gross margin (Non-GAAP)   48.1 %     47.1 %     48.4 %     47.2 %     46.6 %
                       
    Operating expenses (GAAP) $ 128,383     $ 135,367     $ 144,024     $ 408,357     $ 455,754  
    Stock-based compensation(1)   (42,992 )     (49,027 )     (41,106 )     (148,670 )     (147,860 )
    Acquisition related expenses and amortization   (3,102 )     (3,463 )     (3,891 )     (10,027 )     (11,429 )
    Restructuring and asset impairment charges   (677 )     (1,171 )           (3,755 )     (901 )
    Operating expenses (Non-GAAP) $ 81,612     $ 81,706     $ 99,027     $ 245,905     $ 295,564  
                       
    (1)Includes stock-based compensation as follows:                  
    Research and development $ 19,790     $ 20,210     $ 19,285     $ 64,550     $ 64,528  
    Sales and marketing   14,237       16,784       13,297       49,199       49,231  
    General and administrative   8,965       12,033       8,524       34,921       34,101  
    Total $ 42,992     $ 49,027     $ 41,106     $ 148,670     $ 147,860  
                       
    Income from operations (GAAP) $ 49,788     $ 1,799     $ 117,989     $ 22,488     $ 455,972  
    Stock-based compensation   45,940       52,757       43,814       159,530       157,635  
    Acquisition related expenses and amortization   5,006       5,353       5,790       15,712       17,115  
    Restructuring and asset impairment charges   677       1,171             3,755       901  
    Income from operations (Non-GAAP) $ 101,411     $ 61,080     $ 167,593     $ 201,485     $ 631,623  
                       
    Net income (GAAP) $ 45,762     $ 10,833     $ 113,953     $ 40,498     $ 418,017  
    Stock-based compensation   45,940       52,757       43,814       159,530       157,635  
    Acquisition related expenses and amortization   5,006       5,353       5,790       15,712       17,115  
    Restructuring and asset impairment charges   677       1,171             3,755       901  
    Non-cash interest expense   2,173       2,157       2,114       6,462       6,254  
    Non-GAAP income tax adjustment   (11,156 )     (13,447 )     (23,822 )     (30,775 )     (61,413 )
    Net income (Non-GAAP) $ 88,402     $ 58,824     $ 141,849     $ 195,182     $ 538,509  
                       
    Net income per share, basic (GAAP) $ 0.34     $ 0.08     $ 0.84     $ 0.30     $ 3.06  
    Stock-based compensation   0.34       0.39       0.32       1.17       1.15  
    Acquisition related expenses and amortization   0.04       0.04       0.04       0.12       0.13  
    Restructuring and asset impairment charges   0.01       0.01             0.03       0.01  
    Non-cash interest expense   0.02       0.02       0.02       0.05       0.04  
    Non-GAAP income tax adjustment   (0.10 )     (0.11 )     (0.18 )     (0.23 )     (0.44 )
    Net income per share, basic (Non-GAAP) $ 0.65     $ 0.43     $ 1.04     $ 1.44     $ 3.95  
                       
    Shares used in basic per share calculation GAAP and Non-GAAP   135,329       135,646       136,165       135,621       136,491  
                       
    Net income per share, diluted (GAAP) $ 0.33     $ 0.08     $ 0.80     $ 0.30     $ 2.92  
    Stock-based compensation   0.33       0.38       0.32       1.17       1.17  
    Acquisition related expenses and amortization   0.04       0.04       0.04       0.12       0.12  
    Restructuring and asset impairment charges   0.01       0.01             0.03       0.01  
    Non-cash interest expense   0.02       0.02       0.02       0.05       0.04  
    Non-GAAP income tax adjustment   (0.08 )     (0.10 )     (0.16 )     (0.24 )     (0.40 )
    Net income per share, diluted (Non-GAAP)(2) $ 0.65     $ 0.43     $ 1.02     $ 1.43     $ 3.86  
                       
    Shares used in diluted per share calculation GAAP   139,914       136,123       143,863       136,236       145,081  
    Shares used in diluted per share calculation Non-GAAP   135,839       136,123       138,535       136,236       139,753  
                       
    Income-based government grants (GAAP) $ 46,552     $ 24,329     $ 18,532     $ 89,498     $ 20,583  
    Incremental cost for manufacturing in U.S.   (11,396 )     (5,950 )     (4,085 )     (22,228 )     (4,491 )
    Net IRA benefit (Non-GAAP) $ 35,156     $ 18,379     $ 14,447     $ 67,270     $ 16,092  
                       
    Net cash provided by operating activities (GAAP) $ 170,138     $ 127,062     $ 145,855     $ 346,401     $ 661,330  
    Purchases of property and equipment   (8,533 )     (9,636 )     (23,848 )     (25,540 )     (90,326 )
    Free cash flow (Non-GAAP) $ 161,605     $ 117,426     $ 122,007     $ 320,861     $ 571,004  
                                           

    (2) Calculation of non-GAAP diluted net income per share for the three and nine months ended September 30, 2023 excludes convertible Notes due 2023 interest expense, net of tax of less than $0.1 million from non-GAAP net income.

    This press release was published by a CLEAR® Verified individual.

    The MIL Network

  • MIL-OSI: Hanmi Reports 2024 Third Quarter Results

    Source: GlobeNewswire (MIL-OSI)

    LOS ANGELES, Oct. 22, 2024 (GLOBE NEWSWIRE) — Hanmi Financial Corporation (NASDAQ: HAFC, or “Hanmi”), the parent company of Hanmi Bank (the “Bank”), today reported financial results for the third quarter of 2024.

    Net income for the third quarter of 2024 was $14.9 million, or $0.49 per diluted share, compared with $14.5 million, or $0.48 per diluted share, for the second quarter of 2024. The return on average assets for the third quarter of 2024 was 0.79% and the return on average equity was 7.55%, compared with a return on average assets of 0.77% and the return on average equity of 7.50% for the second quarter of 2024.

    CEO Commentary
    “Our third quarter results were strong, with solid performance across all key operating metrics in the third quarter,” said Bonnie Lee, President and Chief Executive Officer of Hanmi.  “Net interest margin increased five basis points to 2.74% driven by higher yields on interest-earning assets and lower funding costs. Loans grew by 2% driven by a 27% increase in loan production and total deposits were up led by 5% growth in noninterest-bearing demand deposits. These results reflect the continued success of our relationship banking model and our portfolio diversification strategy.”

    “During the quarter, we remained focused on our disciplined credit administration practices and are pleased to report that we resolved several criticized and nonaccrual loans and recognized a recovery on a previously charged-off loan. We also proactively moved three loans to the special mention category to monitor them more closely. These loans are current, and we are confident they are well protected.”

    “Hanmi is well-positioned for a strong close to 2024 with a robust balance sheet, ample liquidity, healthy capital ratios, and a solid loan pipeline. Our team remains committed to delivering the solutions our customers need and results our shareholders expect,” concluded Lee.

    Third Quarter 2024 Highlights: 

    • Third quarter net income was $14.9 million, or $0.49 per diluted share, compared with $14.5 million, or $0.48 per diluted share for the second quarter of 2024. The increase reflects a $2.0 million, or 9.4%, increase in pretax, preprovision income, propelled by a 2.9% increase in net interest income.
    • Loans receivable were $6.26 billion at September 30, 2024, up 1.3% from the end of the second quarter of 2024, driven by a 27% increase in loan production to $347.8 million with a weighted average interest rate of 7.92%.
    • Deposits were $6.40 billion at September 30, 2024, up 1.2% from the end of the second quarter of 2024; noninterest-bearing demand deposits were 32.0% of total deposits. During the quarter, noninterest bearing demand deposits grew 4.7%, while time deposits declined 3.2% from the prior quarter.
    • Net interest income for the third quarter was $50.1 million, up 2.9% from the second quarter of 2024, driven by strong operational performance. Net interest margin (taxable equivalent) expanded five basis points to 2.74%, as the average yield on loans increased to 6.00%, while the cost of interest-bearing deposits remained unchanged at 4.27%.
    • Noninterest expense was $35.1 million for the third quarter, down 0.6% from the second quarter of 2024, primarily reflecting the absence of the second quarter $0.3 million branch consolidation charge.
    • Credit loss expense for the third quarter was $2.3 million, compared with $1.0 million for the prior quarter. The allowance for credit losses increased $1.4 million to $69.2 million at September 30, 2024, or 1.11% of loans. For the third quarter, net loan charge-offs of $0.9 million included a $1.1 million charge-off on a nonaccrual loan transferred to held-for-sale and a $1.7 million recovery of a nonaccrual loan.
    • Asset quality included several notable actions: nonaccrual loans fell 18.8% to $15.2 million and included pay-offs of $6.8 million while criticized assets increased, with downgrades to special mention of three loans totaling $129.8 million, offset by the move to the held-for-sale nonaccrual loan category of the previously identified $28.3 million completed construction loan, upgrades of $6.1 million, and additional loan pay-offs of $1.3 million. Subsequent to the end of the third quarter, the Bank completed the sale of the nonaccrual loan.

    For more information about Hanmi, please see the Q3 2024 Investor Update (and Supplemental Financial Information), which is available on the Bank’s website at http://www.hanmi.com and via a current report on Form 8-K on the website of the Securities and Exchange Commission at http://www.sec.gov. Also, please refer to “Non-GAAP Financial Measures” herein for further details of the presentation of certain non-GAAP financial measures.

    Quarterly Highlights
    (Dollars in thousands, except per share data)

      As of or for the Three Months Ended     Amount Change  
      September 30,     June 30,     March 31,     December 31,     September 30,     Q3-24     Q3-24  
      2024     2024     2024     2023     2023     vs. Q2-24     vs. Q3-23  
                                             
    Net income $ 14,892     $ 14,451     $ 15,164     $ 18,633     $ 18,796     $ 441     $ (3,904 )
    Net income per diluted common share $ 0.49     $ 0.48     $ 0.50     $ 0.61     $ 0.62     $ 0.01     $ (0.13 )
                                             
    Assets $ 7,712,299     $ 7,586,347     $ 7,512,046     $ 7,570,341     $ 7,350,140     $ 125,952     $ 362,159  
    Loans receivable $ 6,257,744     $ 6,176,359     $ 6,177,840     $ 6,182,434     $ 6,020,785     $ 81,385     $ 236,959  
    Deposits $ 6,403,221     $ 6,329,340     $ 6,376,060     $ 6,280,574     $ 6,260,072     $ 73,881     $ 143,149  
                                             
    Return on average assets   0.79 %     0.77 %     0.81 %     0.99 %     1.00 %     0.02       -0.21  
    Return on average stockholders’ equity   7.55 %     7.50 %     7.90 %     9.70 %     9.88 %     0.06       -2.33  
                                             
    Net interest margin   2.74 %     2.69 %     2.78 %     2.92 %     3.03 %     0.05       -0.29  
    Efficiency ratio (1)   59.98 %     62.24 %     62.42 %     58.86 %     51.82 %     -2.26       8.16  
                                             
    Tangible common equity to tangible assets (2)   9.42 %     9.19 %     9.23 %     9.14 %     8.89 %     0.23       0.53  
    Tangible common equity per common share (2) $ 24.03     $ 22.99     $ 22.86     $ 22.75     $ 21.45       1.04       2.58  
                                             
    (1)       Noninterest expense divided by net interest income plus noninterest income.  
    (2)       Refer to “Non-GAAP Financial Measures” for further details.  


    Results of Operations

    Net interest income for the third quarter was $50.1 million, up 2.9% from $48.6 million for the second quarter of 2024. The increase was primarily due to an increase in loan interest income. The increase in loan interest income was a result of increases in loan yields and average balances. The yield on average loans for the third quarter increased slightly to 6.00% from 5.99% for the second quarter of 2024. Average loans were $6.11 billion for the third quarter of 2024, up 0.4% from $6.09 billion for the second quarter. The cost of interest-bearing deposits was 4.27% for the third quarter of 2024, unchanged from the prior quarter. Average interest-bearing deposits were $4.40 billion for the third quarter, up 0.3%, from $4.38 billion for the prior quarter. Net interest margin (taxable equivalent) for the third quarter was 2.74%, compared with 2.69% for the second quarter of 2024.

      For the Three Months Ended (in thousands)     Percentage Change  
      Sep 30,     Jun 30,     Mar 31,     Dec 31,     Sep 30,     Q3-24     Q3-24  
    Net Interest Income 2024     2024     2024     2023     2023     vs. Q2-24     vs. Q3-23  
                                             
    Interest and fees on loans receivable(1) $ 92,182     $ 90,752     $ 91,674     $ 89,922     $ 85,398       1.6 %     7.9 %
    Interest on securities   5,523       5,238       4,955       4,583       4,204       5.4 %     31.4 %
    Dividends on FHLB stock   356       357       361       341       317       -0.3 %     12.3 %
    Interest on deposits in other banks   2,356       2,313       2,604       2,337       4,153       1.9 %     -43.3 %
    Total interest and dividend income $ 100,417     $ 98,660     $ 99,594     $ 97,183     $ 94,072       1.8 %     6.7 %
                                             
    Interest on deposits   47,153       46,495       45,638       40,277       36,818       1.4 %     28.1 %
    Interest on borrowings   1,561       1,896       1,655       2,112       753       -17.7 %     107.3 %
    Interest on subordinated debentures   1,652       1,649       1,646       1,654       1,646       0.2 %     0.4 %
    Total interest expense   50,366       50,040       48,939       44,043       39,217       0.7 %     28.4 %
    Net interest income $ 50,051     $ 48,620     $ 50,655     $ 53,140     $ 54,855       2.9 %     -8.8 %
                                             
    (1)      Includes loans held for sale.  
      For the Three Months Ended (in thousands)     Percentage Change  
    Average Earning Assets and   Sep 30,     Jun 30,     Mar 31,     Dec 31,     Sep 30,     Q3-24     Q3-24  
    Interest-bearing Liabilities 2024     2024     2024     2023     2023     vs. Q2-24     vs. Q3-23  
    Loans receivable (1) $ 6,112,324     $ 6,089,440     $ 6,137,888     $ 6,071,644     $ 5,915,423       0.4 %     3.3 %
    Securities   986,041       979,671       969,520       961,551       955,473       0.7 %     3.2 %
    FHLB stock   16,385       16,385       16,385       16,385       16,385       0.0 %     0.0 %
    Interest-bearing deposits in other banks   183,027       180,177       201,724       181,140       317,498       1.6 %     -42.4 %
    Average interest-earning assets $ 7,297,777     $ 7,265,673     $ 7,325,517     $ 7,230,720     $ 7,204,779       0.4 %     1.3 %
                                             
    Demand: interest-bearing $ 83,647     $ 85,443     $ 86,401     $ 86,679     $ 94,703       -2.1 %     -11.7 %
    Money market and savings   1,885,799       1,845,870       1,815,085       1,669,973       1,601,826       2.2 %     17.7 %
    Time deposits   2,427,737       2,453,154       2,507,830       2,417,803       2,438,112       -1.0 %     -0.4 %
    Average interest-bearing deposits   4,397,183       4,384,467       4,409,316       4,174,455       4,134,641       0.3 %     6.3 %
    Borrowings   143,479       169,525       162,418       205,951       120,381       -15.4 %     19.2 %
    Subordinated debentures   130,403       130,239       130,088       129,933       129,780       0.1 %     0.5 %
    Average interest-bearing liabilities $ 4,671,065     $ 4,684,231     $ 4,701,822     $ 4,510,339     $ 4,384,802       -0.3 %     6.5 %
                                             
    Average Noninterest Bearing Deposits                                        
    Demand deposits – noninterest bearing $ 1,908,833     $ 1,883,765     $ 1,921,189     $ 2,025,212     $ 2,136,156       1.3 %     -10.6 %
                                             
    (1)      Includes loans held for sale.                     
      For the Three Months Ended     Yield/Rate Change  
      Sep 30,     Jun 30,     Mar 31,     Dec 31,     Sep 30,     Q3-24     Q3-24  
    Average Yields and Rates 2024     2024     2024     2023     2023     vs. Q2-24     vs. Q3-23  
    Loans receivable(1)   6.00 %     5.99 %     6.00 %     5.88 %     5.73 %     0.01       0.27  
    Securities (2)   2.27 %     2.17 %     2.07 %     1.93 %     1.79 %     0.10       0.48  
    FHLB stock   8.65 %     8.77 %     8.87 %     8.25 %     7.67 %     -0.12       0.98  
    Interest-bearing deposits in other banks   5.12 %     5.16 %     5.19 %     5.12 %     5.19 %     -0.04       -0.07  
    Interest-earning assets   5.48 %     5.46 %     5.47 %     5.34 %     5.19 %     0.02       0.29  
                                             
    Interest-bearing deposits   4.27 %     4.27 %     4.16 %     3.83 %     3.53 %     0.00       0.74  
    Borrowings   4.33 %     4.50 %     4.10 %     4.07 %     2.48 %     -0.17       1.85  
    Subordinated debentures   5.07 %     5.07 %     5.06 %     5.09 %     5.07 %     0.00       0.00  
    Interest-bearing liabilities   4.29 %     4.30 %     4.19 %     3.88 %     3.55 %     -0.01       0.74  
                                             
    Net interest margin (taxable equivalent basis)   2.74 %     2.69 %     2.78 %     2.92 %     3.03 %     0.05       -0.29  
                                             
    Cost of deposits   2.97 %     2.98 %     2.90 %     2.58 %     2.33 %     -0.01       0.64  
                                             
    (1)      Includes loans held for sale.  
    (2)      Amounts calculated on a fully taxable equivalent basis using the federal tax rate in effect for the periods presented.  

    Credit loss expense for the third quarter was $2.3 million, compared with $1.0 million for the second quarter of 2024. Third quarter credit loss expense included a $2.3 million credit loss expense for loan losses. Third quarter net loan charge-offs were $0.9 million, compared with second quarter net loan charge-offs of $1.8 million. Third quarter net loan charge-offs included a $1.1 million charge-off on a nonaccrual loan transferred to held-for-sale and a $1.7 million recovery on a nonaccrual loan.

    Noninterest income for the third quarter increased $0.3 million to $8.4 million, or 4.7%, from $8.1 million for the second quarter of 2024. Third quarter noninterest income included a $0.9 million gain from the sale and leaseback of a branch property, while second quarter noninterest income included a $0.3 million death benefit on bank-owned life insurance. Gains on sales of SBA loans were $1.5 million for the third quarter of 2024, compared with $1.6 million for the second quarter of 2024. The volume of SBA loans sold in the third quarter decreased to $23.0 million, from $23.5 million for the second quarter of 2024, while trade premiums were 8.54% for the third quarter of 2024, unchanged from the second quarter. Mortgage loans sold in the third quarter were $20.9 million, with a premium of 2.32%, compared with $19.5 million and 2.00% for the second quarter, resulting in income of $0.3 million for the third quarter, compared with $0.4 million for the prior quarter.

      For the Three Months Ended (in thousands)     Percentage Change  
      Sep 30,     Jun 30,     Mar 31,     Dec 31,     Sep 30,     Q3-24     Q3-24  
    Noninterest Income 2024     2024     2024     2023     2023     vs. Q2-24     vs. Q3-23  
    Service charges on deposit accounts $ 2,311     $ 2,429     $ 2,450     $ 2,391     $ 2,605       -4.9 %     -11.3 %
    Trade finance and other service charges and fees   1,254       1,277       1,414       1,245       1,155       -1.8 %     8.6 %
    Servicing income   817       796       712       772       838       2.6 %     -2.5 %
    Bank-owned life insurance income (expense)   320       638       304       (29 )     280       -49.8 %     14.3 %
    All other operating income   1,008       908       928       853       1,178       11.0 %     -14.4 %
    Service charges, fees & other   5,710       6,048       5,808       5,232       6,056       -5.6 %     -5.7 %
                                             
    Gain on sale of SBA loans   1,544       1,644       1,482       1,448       1,172       -6.1 %     31.7 %
    Gain on sale of mortgage loans   324       365       443                   -11.2 %     100.0 %
    Gain on sale of bank premises   860                         4,000       100.0 %     -78.5 %
    Total noninterest income $ 8,438     $ 8,057     $ 7,733     $ 6,680     $ 11,228       4.7 %     -24.8 %

    Noninterest expense for the third quarter decreased by $0.2 million to $35.1 million from $35.3 million for the second quarter of 2024. The decrease reflects primarily the absence of the $0.3 million branch consolidation expense recognized in the second quarter of 2024. The efficiency ratio for the third quarter was 60.0%, compared with 62.2% for the second quarter of 2024.

      For the Three Months Ended (in thousands)     Percentage Change  
      Sep 30,     Jun 30,     Mar 31,     Dec 31,     Sep 30,     Q3-24     Q3-24  
      2024     2024     2024     2023     2023     vs. Q2-24     vs. Q3-23  
    Noninterest Expense                                        
    Salaries and employee benefits $ 20,851     $ 20,434     $ 21,585     $ 20,062     $ 20,361       2.0 %     2.4 %
    Occupancy and equipment   4,499       4,348       4,537       4,604       4,825       3.5 %     -6.8 %
    Data processing   3,839       3,686       3,551       3,487       3,490       4.2 %     10.0 %
    Professional fees   1,492       1,749       1,893       1,977       1,568       -14.7 %     -4.8 %
    Supplies and communication   538       570       601       613       552       -5.6 %     -2.5 %
    Advertising and promotion   631       669       907       990       534       -5.7 %     18.2 %
    All other operating expenses   2,875       3,251       3,160       3,252       2,852       -11.6 %     0.8 %
    Subtotal   34,725       34,707       36,234       34,985       34,182       0.1 %     1.6 %
                                             
    Branch consolidation expense         301                         -100.0 %     0.0 %
    Other real estate owned expense   77       6       22       15       16       1183.3 %     381.3 %
    Repossessed personal property expense   278       262       189       211       47       6.1 %     491.5 %
    Total noninterest expense $ 35,080     $ 35,276     $ 36,445     $ 35,211     $ 34,245       -0.6 %     2.4 %

    Hanmi recorded a provision for income taxes of $6.2 million for the third quarter of 2024, compared with $6.0 million for the second quarter of 2024, representing an effective tax rate of 29.5% and 29.3%, respectively.

    Financial Position
    Total assets at September 30, 2024 increased 1.7%, or $126.0 million, to $7.71 billion from $7.59 billion at June 30, 2024. The sequential quarter increase was due to a $125.3 million increase in loans and loans held-for-sale, and a $31.3 million increase in securities, offset partially by a $25.3 million decrease in cash and due from banks.

    Loans receivable, before allowance for credit losses, were $6.26 billion at September 30, 2024, up from $6.18 billion at June 30, 2024.

    Loans held-for-sale were $54.3 million at September 30, 2024, up from $10.5 million at June 30, 2024. At the end of the third quarter, loans held-for-sale consisted of $8.8 million of the guaranteed portion of SBA 7(a) loans, $18.3 million of residential mortgage loans and the $27.2 million nonaccrual loan. Subsequent to the end of the third quarter, the Bank completed the sale of this nonaccrual loan.

      As of (in thousands)     Percentage Change  
      Sep 30,     Jun 30,     Mar 31,     Dec 31,     Sep 30,     Q3-24     Q3-24  
      2024     2024     2024     2023     2023     vs. Q2-24     vs. Q3-23  
    Loan Portfolio                                        
    Commercial real estate loans $ 3,932,088     $ 3,888,505     $ 3,878,677     $ 3,889,739     $ 3,773,015       1.1 %     4.2 %
    Residential/consumer loans   939,285       954,209       970,362       962,661       926,326       -1.6 %     1.4 %
    Commercial and industrial loans   879,092       802,372       774,851       747,819       728,792       9.6 %     20.6 %
    Equipment finance   507,279       531,273       553,950       582,215       592,652       -4.5 %     -14.4 %
    Loans receivable   6,257,744       6,176,359       6,177,840       6,182,434       6,020,785       1.3 %     3.9 %
    Loans held for sale   54,336       10,467       3,999       12,013       11,767       419.1 %     361.8 %
    Total $ 6,312,080     $ 6,186,826     $ 6,181,839     $ 6,194,447     $ 6,032,552       2.0 %     4.6 %
      As of  
      Sep 30,     Jun 30,     Mar 31,     Dec 31,     Sep 30,  
      2024     2024     2024     2023     2023  
    Composition of Loan Portfolio                            
    Commercial real estate loans   62.3 %     62.9 %     62.7 %     62.8 %     62.5 %
    Residential/consumer loans   14.9 %     15.4 %     15.7 %     15.5 %     15.4 %
    Commercial and industrial loans   13.9 %     13.0 %     12.5 %     12.1 %     12.1 %
    Equipment finance   8.0 %     8.5 %     9.0 %     9.4 %     9.8 %
    Loans receivable   99.1 %     99.8 %     99.9 %     99.8 %     99.8 %
    Loans held for sale   0.9 %     0.2 %     0.1 %     0.2 %     0.2 %
    Total   100.0 %     100.0 %     100.0 %     100.0 %     100.0 %

    New loan production was $347.8 million for the third quarter of 2024 at an average rate of 7.92%, while payoffs were $77.6 million during the quarter at an average rate of 6.63%.

    Commercial real estate loan production for the third quarter of 2024 was $110.2 million. Commercial and industrial loan production was $105.1 million, SBA loan production was $51.6 million, equipment finance production was $40.1 million, and residential mortgage loan production was $40.8 million.

      For the Three Months Ended (in thousands)  
      Sep 30,     Jun 30,     Mar 31,     Dec 31,     Sep 30,  
      2024     2024     2024     2023     2023  
    New Loan Production                            
    Commercial real estate loans $ 110,246     $ 87,632     $ 60,085     $ 178,157     $ 106,151  
    Commercial and industrial loans   105,086       59,007       50,789       52,079       67,907  
    SBA loans   51,616       54,486       30,817       48,432       36,109  
    Equipment finance   40,066       42,594       39,155       57,334       71,075  
    Residential/consumer loans   40,758       30,194       53,115       53,465       55,026  
    Subtotal   347,772       273,913       233,961       389,467       336,268  
                                 
                                 
    Payoffs   (77,603 )     (148,400 )     (86,250 )     (77,961 )     (62,140 )
    Amortization   (151,674 )     (83,640 )     (90,711 )     (106,610 )     (116,411 )
    Loan sales   (43,868 )     (42,945 )     (55,321 )     (29,861 )     (22,496 )
    Net line utilization   9,426       1,929       (4,150 )     (11,609 )     (70,238 )
    Charge-offs & OREO   (2,668 )     (2,338 )     (2,123 )     (1,777 )     (9,369 )
                                 
    Loans receivable-beginning balance   6,176,359       6,177,840       6,182,434       6,020,785       5,965,171  
    Loans receivable-ending balance $ 6,257,744     $ 6,176,359     $ 6,177,840     $ 6,182,434     $ 6,020,785  

    Deposits were $6.40 billion at the end of the third quarter of 2024, up $73.9 million, or 1.2%, from $6.33 billion at the end of the prior quarter. Driving the change was a $91.8 million increase in noninterest-bearing demand deposits and a $64.0 million increase in money market and savings deposits, partially offset by a $78.3 million decrease in time deposits. Noninterest-bearing demand deposits represented 32.0% of total deposits at September 30, 2024 and the loan-to-deposit ratio was 97.7%.

      As of (in thousands)     Percentage Change  
      Sep 30,     Jun 30,     Mar 31,     Dec 31,     Sep 30,     Q3-24     Q3-24  
      2024     2024     2024     2023     2023     vs. Q2-24     vs. Q3-23  
    Deposit Portfolio                                        
    Demand: noninterest-bearing $ 2,051,790     $ 1,959,963     $ 1,933,060     $ 2,003,596     $ 2,161,238       4.7 %     -5.1 %
    Demand: interest-bearing   79,287       82,981       87,374       87,452       88,133       -4.5 %     -10.0 %
    Money market and savings   1,898,834       1,834,797       1,859,865       1,734,658       1,576,006       3.5 %     20.5 %
    Time deposits   2,373,310       2,451,599       2,495,761       2,454,868       2,434,695       -3.2 %     -2.5 %
    Total deposits $ 6,403,221     $ 6,329,340     $ 6,376,060     $ 6,280,574     $ 6,260,072       1.2 %     2.3 %
      As of  
      Sep 30,     Jun 30,     Mar 31,     Dec 31,     Sep 30,  
      2024     2024     2024     2023     2023  
    Composition of Deposit Portfolio                            
    Demand: noninterest-bearing   32.0 %     31.0 %     30.3 %     31.9 %     34.5 %
    Demand: interest-bearing   1.2 %     1.3 %     1.4 %     1.4 %     1.4 %
    Money market and savings   29.7 %     29.0 %     29.2 %     27.6 %     25.2 %
    Time deposits   37.1 %     38.7 %     39.1 %     39.1 %     38.9 %
    Total deposits   100.0 %     100.0 %     100.0 %     100.0 %     100.0 %

    Stockholders’ equity at September 30, 2024 was $736.7 million, up $29.6 million from $707.1 million at June 30, 2024. The increase was due to third quarter net income, net of dividends paid, adding $7.3 million to stockholders’ equity for the period. Additionally, there was a $20.7 million decrease in unrealized after-tax losses on securities available for sale and a $2.2 million decrease in unrealized after-tax losses on cash flow hedges, all due to changes in interest rates during the third quarter of 2024. Hanmi also repurchased 75,000 shares of common stock, or $1.4 million, during the quarter at an average share price of $19.10. At September 30, 2024, 1,255,000 shares remain under Hanmi’s share repurchase program. Tangible common stockholders’ equity was $725.7 million, or 9.42% of tangible assets, at September 30, 2024, compared with $696.0 million, or 9.19% of tangible assets at the end of the prior quarter. Please refer to the Non-GAAP Financial Measures section below for more information.

    Hanmi and the Bank exceeded minimum regulatory capital requirements, and the Bank continues to exceed the minimum for the “well capitalized” category. At September 30, 2024, Hanmi’s preliminary common equity tier 1 capital ratio was 11.95% and its total risk-based capital ratio was 15.04%, compared with 12.11% and 15.24%, respectively, at the end of the prior quarter.

      As of     Ratio Change  
      Sep 30,     Jun 30,     Mar 31,     Dec 31,     Sep 30,     Q3-24     Q3-24  
      2024     2024     2024     2023     2023     vs. Q2-24     vs. Q3-23  
    Regulatory Capital ratios (1)                                        
    Hanmi Financial                                        
    Total risk-based capital   15.04 %     15.24 %     15.20 %     14.95 %     15.07 %     -0.20       -0.03  
    Tier 1 risk-based capital   12.29 %     12.46 %     12.40 %     12.20 %     12.30 %     -0.17       -0.01  
    Common equity tier 1 capital   11.95 %     12.11 %     12.05 %     11.86 %     11.95 %     -0.16       0.00  
    Tier 1 leverage capital ratio   10.56 %     10.51 %     10.36 %     10.37 %     10.27 %     0.05       0.29  
    Hanmi Bank                                        
    Total risk-based capital   14.28 %     14.51 %     14.50 %     14.27 %     14.42 %     -0.23       -0.14  
    Tier 1 risk-based capital   13.24 %     13.47 %     13.44 %     13.26 %     13.42 %     -0.23       -0.18  
    Common equity tier 1 capital   13.24 %     13.47 %     13.44 %     13.26 %     13.42 %     -0.23       -0.18  
    Tier 1 leverage capital ratio   11.43 %     11.41 %     11.29 %     11.32 %     11.25 %     0.02       0.18  
                                             
    (1)      Preliminary ratios for September 30, 2024  


    Asset Quality

    Loans 30 to 89 days past due and still accruing were 0.24% of loans at the end of the third quarter of 2024, compared with 0.22% at the end of the prior quarter.

    Criticized loans totaled $160.0 million at September 30, 2024, up from $70.9 million at the end of the second quarter of 2024.

    During the third quarter, the Bank moved the previously identified $28.3 million completed construction loan for a memory-care and assisted-living facility from the special mention category to the held-for-sale nonaccrual category. In addition, the Bank recognized a $1.1 million charge-off on this loan. Subsequent to the end of the third quarter, the Bank completed the sale of this nonaccrual loan.

    Also, during the third quarter, the Bank downgraded to special mention two commercial real estate loans in the hospitality industry for $109.7 million and a commercial and industrial loan in the health care industry for $20.1 million.  Pay-offs of $8.1 million decreased criticized loans (and classified loans), while upgrades of $6.1 million also decreased criticized loans (and special mention loans). Offsetting the decrease in classified loans were additions of $2.5 million.

    Nonperforming loans were $15.5 million at September 30, 2024, down from $19.2 million at the end of the prior quarter. The decrease primarily reflects pay-offs of $6.8 million, where the pay-off of a previously identified $3.9 million nonperforming loan resulted in a $1.7 million recovery.  Offsetting the decrease were additions of $3.1 million.

    Nonperforming assets were $16.3 million at the end of the third quarter of 2024, down from $20.0 million at the end of the prior quarter. As a percentage of total assets, nonperforming assets were 0.21% at September 30, 2024, and 0.26% at the end of the prior quarter.

    Gross charge-offs for the third quarter of 2024 were $3.8 million, compared with $2.3 million for the preceding quarter. Charge-offs included $1.1 million on the previously identified $28.3 million completed construction loan. Recoveries of previously charged-off loans were $2.9 million in the third quarter of 2024, and included a $1.7 million recovery on a previously identified $3.9 million commercial loan in the health care industry. As a result, net charge-offs were $0.9 million for the third quarter of 2024, compared with net charge-offs of $1.8 million for the prior quarter.

    The allowance for credit losses was $69.2 million at September 30, 2024, compared with $67.7 million at June 30, 2024. Specific allowances for loans decreased $1.6 million, while the allowance for quantitative and qualitative considerations increased $3.1 million. The ratio of the allowance for credit losses to loans was 1.11% at September 30, 2024 and 1.10% at June 30, 2024.

      As of or for the Three Months Ended (in thousands)     Amount Change  
      Sep 30,     Jun 30,     Mar 31,     Dec 31,     Sep 30,     Q3-24     Q3-24  
      2024     2024     2024     2023     2023     vs. Q2-24     vs. Q3-23  
    Asset Quality Data and Ratios                                        
                                             
    Delinquent loans:                                        
    Loans, 30 to 89 days past due and still accruing $ 15,027     $ 13,844     $ 15,839     $ 10,263     $ 9,545     $ 1,183     $ 5,482  
    Delinquent loans to total loans   0.24 %     0.22 %     0.26 %     0.17 %     0.16 %     0.02       0.08  
                                             
    Criticized loans:                                        
    Special mention $ 131,575     $ 36,921     $ 62,317     $ 65,314     $ 76,473     $ 94,654     $ 55,102  
    Classified   28,377       33,945       23,670       31,367       33,134       (5,568 )     (4,757 )
    Total criticized loans $ 159,952     $ 70,866     $ 85,987     $ 96,681     $ 109,607     $ 89,086     $ 50,345  
                                             
    Nonperforming assets:                                        
    Nonaccrual loans $ 15,248     $ 19,245     $ 14,025     $ 15,474     $ 15,783     $ (3,997 )   $ (535 )
    Loans 90 days or more past due and still accruing   242                               242       242  
    Nonperforming loans*   15,490       19,245       14,025       15,474       15,783       (3,755 )     (293 )
    Other real estate owned, net   772       772       117       117       117             655  
    Nonperforming assets** $ 16,262     $ 20,017     $ 14,142     $ 15,591     $ 15,900     $ (3,755 )   $ 362  
                                             
    Nonperforming assets to assets*   0.21 %     0.26 %     0.19 %     0.21 %     0.22 %     -0.05       -0.01  
    Nonperforming loans to total loans   0.25 %     0.31 %     0.23 %     0.25 %     0.26 %     -0.06       -0.01  
                                             
    * Excludes a $27.2 million nonperforming loan held-for-sale.                     
    ** Excludes repossessed personal property of $1.2 million, $1.2 million, $1.3 million, $1.3 million, and $1.3 million as of Q3-24, Q2-24, Q1-24, Q4-23, and Q3-23, respectively  
      As of or for the Three Months Ended (in thousands)  
      Sep 30,     Jun 30,     Mar 31,     Dec 31,     Sep 30,  
      2024     2024     2024     2023     2023  
    Allowance for credit losses related to loans:                            
    Balance at beginning of period $ 67,729     $ 68,270     $ 69,462     $ 67,313     $ 71,024  
    Credit loss expense (recovery) on loans   2,312       1,248       404       (2,880 )     5,167  
    Net loan (charge-offs) recoveries   (878 )     (1,789 )     (1,596 )     5,029       (8,878 )
    Balance at end of period $ 69,163     $ 67,729     $ 68,270     $ 69,462     $ 67,313  
                                 
    Net loan charge-offs (recoveries) to average loans (1)   0.06 %     0.12 %     0.10 %     -0.33 %     0.60 %
    Allowance for credit losses to loans   1.11 %     1.10 %     1.11 %     1.12 %     1.12 %
                                 
    Allowance for credit losses related to off-balance sheet items:                            
    Balance at beginning of period $ 2,010     $ 2,297     $ 2,474     $ 2,463     $ 2,476  
    Credit loss expense (recovery) on off-balance sheet items   (26 )     (287 )     (177 )     11       (13 )
    Balance at end of period $ 1,984     $ 2,010     $ 2,297     $ 2,474     $ 2,463  
                                 
    Unused commitments to extend credit $ 739,975     $ 795,391     $ 792,769     $ 813,960     $ 848,886  
                                 
    (1)      Annualized               


    Corporate Developments

    On July 25, 2024, Hanmi’s Board of Directors declared a cash dividend on its common stock for the 2024 third quarter of $0.25 per share. Hanmi paid the dividend on August 21, 2024, to stockholders of record as of the close of business on August 5, 2024.

    Earnings Conference Call
    Hanmi Bank will host its third quarter 2024 earnings conference call today, October 22, 2024, at 2:00 p.m. PT (5:00 p.m. ET) to discuss these results. This call will also be webcast. To access the call, please dial 1-877-407-9039 before 2:00 p.m. PT, using access code Hanmi Bank. To listen to the call online, either live or archived, please visit Hanmi’s Investor Relations website at https://investors.hanmi.com/ where it will also be available for replay approximately one hour following the call.

    About Hanmi Financial Corporation
    Headquartered in Los Angeles, California, Hanmi Financial Corporation owns Hanmi Bank, which serves multi-ethnic communities through its network of 32 full-service branches and eight loan production offices in California, Texas, Illinois, Virginia, New Jersey, New York, Colorado, Washington and Georgia. Hanmi Bank specializes in real estate, commercial, SBA and trade finance lending to small and middle market businesses. Additional information is available at http://www.hanmi.com.

    Forward-Looking Statements
    This press release contains forward-looking statements, which are included in accordance with the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact are “forward-looking statements” for purposes of federal and state securities laws, including, but not limited to, statements about our anticipated future operating and financial performance, financial position and liquidity, business strategies, regulatory and competitive outlook, investment and expenditure plans, capital and financing needs and availability, plans and objectives of management for future operations, developments regarding our capital and strategic plans, and other similar forecasts and statements of expectation and statements of assumption underlying any of the foregoing. In some cases, you can identify forward-looking statements by terminology such as “may,” “will,” “should,” “could,” “expects,” “plans,” “intends,” “anticipates,” “believes,” “estimates,” “predicts,” “potential,” or “continue,” or the negative of such terms and other comparable terminology. Although we believe that our forward-looking statements to be reasonable, we cannot guarantee future results, levels of activity, performance or achievements.

    Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to differ from those expressed or implied by the forward-looking statements. These factors include the following:

    • a failure to maintain adequate levels of capital and liquidity to support our operations;
    • general economic and business conditions internationally, nationally and in those areas in which we operate, including any potential recessionary conditions;
    • volatility and deterioration in the credit and equity markets;
    • changes in consumer spending, borrowing and savings habits;
    • availability of capital from private and government sources;
    • demographic changes;
    • competition for loans and deposits and failure to attract or retain loans and deposits;
    • inflation and fluctuations in interest rates that reduce our margins and yields, the fair value of financial instruments, the level of loan originations or prepayments on loans we have made and make, the level of loan sales and the cost we pay to retain and attract deposits and secure other types of funding;
    • our ability to enter new markets successfully and capitalize on growth opportunities;
    • the current or anticipated impact of military conflict, terrorism or other geopolitical events;
    • the effect of potential future supervisory action against us or Hanmi Bank and our ability to address any issues raised in our regulatory exams;
    • risks of natural disasters;
    • legal proceedings and litigation brought against us;
    • a failure in or breach of our operational or security systems or infrastructure, including cyberattacks;
    • the failure to maintain current technologies;
    • risks associated with Small Business Administration loans;
    • failure to attract or retain key employees;
    • our ability to access cost-effective funding;
    • changes in liquidity, including the size and composition of our deposit portfolio and the percentage of uninsured deposits in the portfolio;
    • fluctuations in real estate values;
    • changes in accounting policies and practices;
    • changes in governmental regulation, including, but not limited to, any increase in FDIC insurance premiums and changes in the monetary policies of the U.S. Treasury and the Board of Governors of the Federal Reserve System;
    • the ability of Hanmi Bank to make distributions to Hanmi Financial Corporation, which is restricted by certain factors, including Hanmi Bank’s retained earnings, net income, prior distributions made, and certain other financial tests;
    • strategic transactions we may enter into;
    • the adequacy of and changes in the methodology for computing our allowance for credit losses;
    • our credit quality and the effect of credit quality on our credit losses expense and allowance for credit losses;
    • changes in the financial performance and/or condition of our borrowers and the ability of our borrowers to perform under the terms of their loans and other terms of credit agreements;
    • our ability to control expenses; and
    • cyber security and fraud risks against our information technology and those of our third-party providers and vendors.

    In addition, we set forth certain risks in our reports filed with the U.S. Securities and Exchange Commission, including, Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2023, our Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K that we will file hereafter, which could cause actual results to differ from those projected. We undertake no obligation to update such forward-looking statements except as required by law.

    Investor Contacts:
    Romolo (Ron) Santarosa
    Senior Executive Vice President & Chief Financial Officer
    213-427-5636

    Lisa Fortuna
    Investor Relations
    Financial Profiles, Inc.
    lfortuna@finprofiles.com
    310-622-8251

     

    Hanmi Financial Corporation and Subsidiaries
    Consolidated Balance Sheets (Unaudited)
    (Dollars in thousands)

      September 30,     June 30,     Percentage     September 30,     Percentage  
      2024     2024     Change     2023     Change  
    Assets                            
    Cash and due from banks $ 287,767     $ 313,079       -8.1 %   $ 289,006       -0.4 %
    Securities available for sale, at fair value   908,921       877,638       3.6 %     817,242       11.2 %
    Loans held for sale, at the lower of cost or fair value   54,336       10,467       419.1 %     11,767       361.8 %
    Loans receivable, net of allowance for credit losses   6,188,581       6,108,630       1.3 %     5,953,472       3.9 %
    Accrued interest receivable   21,955       23,958       -8.4 %     20,715       6.0 %
    Premises and equipment, net   21,371       21,955       -2.7 %     20,707       3.2 %
    Customers’ liability on acceptances   67       551       -87.8 %     1,386       -95.2 %
    Servicing assets   6,683       6,836       -2.2 %     7,156       -6.6 %
    Goodwill and other intangible assets, net   11,031       11,048       -0.2 %     11,131       -0.9 %
    Federal Home Loan Bank (“FHLB”) stock, at cost   16,385       16,385       0.0 %     16,385       0.0 %
    Bank-owned life insurance   56,851       56,534       0.6 %     56,364       0.9 %
    Prepaid expenses and other assets   138,351       139,266       -0.7 %     144,809       -4.5 %
    Total assets $ 7,712,299     $ 7,586,347       1.7 %   $ 7,350,140       4.9 %
                                 
    Liabilities and Stockholders’ Equity                            
    Liabilities:                            
    Deposits:                            
    Noninterest-bearing $ 2,051,790     $ 1,959,963       4.7 %   $ 2,161,238       -5.1 %
    Interest-bearing   4,351,431       4,369,377       -0.4 %     4,098,834       6.2 %
    Total deposits   6,403,221       6,329,340       1.2 %     6,260,072       2.3 %
    Accrued interest payable   52,613       47,699       10.3 %     50,286       4.6 %
    Bank’s liability on acceptances   67       551       -87.8 %     1,386       -95.2 %
    Borrowings   300,000       292,500       2.6 %     162,500       84.6 %
    Subordinated debentures   130,478       130,318       0.1 %     129,860       0.5 %
    Accrued expenses and other liabilities   89,211       78,880       13.1 %     82,677       7.9 %
    Total liabilities   6,975,590       6,879,288       1.4 %     6,686,781       4.3 %
                                 
    Stockholders’ equity:                            
    Common stock   34       34       0.0 %     34       0.0 %
    Additional paid-in capital   589,567       588,647       0.2 %     586,169       0.6 %
    Accumulated other comprehensive income   (55,140 )     (78,000 )     29.3 %     (99,422 )     44.5 %
    Retained earnings   340,718       333,392       2.2 %     308,007       10.6 %
    Less treasury stock   (138,470 )     (137,014 )     -1.1 %     (131,429 )     -5.4 %
    Total stockholders’ equity   736,709       707,059       4.2 %     663,359       11.1 %
    Total liabilities and stockholders’ equity $ 7,712,299     $ 7,586,347       1.7 %   $ 7,350,140       4.9 %

     


    Hanmi Financial Corporation and Subsidiaries

    Consolidated Statements of Income (Unaudited)
    (Dollars in thousands, except share and per share data)

      Three Months Ended  
      September 30,     June 30,     Percentage     September 30,     Percentage  
      2024     2024     Change     2023     Change  
    Interest and dividend income:                            
    Interest and fees on loans receivable $ 92,182     $ 90,752       1.6 %   $ 85,398       7.9 %
    Interest on securities   5,523       5,238       5.4 %     4,204       31.4 %
    Dividends on FHLB stock   356       357       -0.3 %     317       12.3 %
    Interest on deposits in other banks   2,356       2,313       1.9 %     4,153       -43.3 %
    Total interest and dividend income   100,417       98,660       1.8 %     94,072       6.7 %
    Interest expense:                            
    Interest on deposits   47,153       46,495       1.4 %     36,818       28.1 %
    Interest on borrowings   1,561       1,896       -17.7 %     753       107.3 %
    Interest on subordinated debentures   1,652       1,649       0.2 %     1,646       0.4 %
    Total interest expense   50,366       50,040       0.7 %     39,217       28.4 %
    Net interest income before credit loss expense   50,051       48,620       2.9 %     54,855       -8.8 %
    Credit loss expense   2,286       961       137.9 %     5,154       -55.6 %
    Net interest income after credit loss expense   47,765       47,659       0.2 %     49,701       -3.9 %
    Noninterest income:                            
    Service charges on deposit accounts   2,311       2,429       -4.9 %     2,605       -11.3 %
    Trade finance and other service charges and fees   1,254       1,277       -1.8 %     1,155       8.6 %
    Gain on sale of Small Business Administration (“SBA”) loans   1,544       1,644       -6.1 %     1,172       31.7 %
    Other operating income   3,329       2,707       23.0 %     6,296       -47.1 %
    Total noninterest income   8,438       8,057       4.7 %     11,228       -24.8 %
    Noninterest expense:                            
    Salaries and employee benefits   20,851       20,434       2.0 %     20,361       2.4 %
    Occupancy and equipment   4,499       4,607       -2.3 %     4,825       -6.8 %
    Data processing   3,839       3,686       4.2 %     3,490       10.0 %
    Professional fees   1,492       1,749       -14.7 %     1,568       -4.8 %
    Supplies and communications   538       570       -5.6 %     552       -2.5 %
    Advertising and promotion   631       669       -5.7 %     534       18.2 %
    Other operating expenses   3,230       3,561       -9.3 %     2,915       10.8 %
    Total noninterest expense   35,080       35,276       -0.6 %     34,245       2.4 %
    Income before tax   21,123       20,440       3.3 %     26,684       -20.8 %
    Income tax expense   6,231       5,989       4.0 %     7,888       -21.0 %
    Net income $ 14,892     $ 14,451       3.1 %   $ 18,796       -20.8 %
                                 
    Basic earnings per share: $ 0.49     $ 0.48           $ 0.62        
    Diluted earnings per share: $ 0.49     $ 0.48           $ 0.62        
                                 
    Weighted-average shares outstanding:                            
    Basic   29,968,004       30,055,913             30,251,961        
    Diluted   30,033,679       30,133,646             30,292,872        
    Common shares outstanding   30,196,755       30,272,110             30,410,582        

     


    Hanmi Financial Corporation and Subsidiaries

    Consolidated Statements of Income (Unaudited)
    (Dollars in thousands, except share and per share data)

      Nine Months Ended  
      September 30,     September 30,     Percentage  
      2024     2023     Change  
    Interest and dividend income:                
    Interest and fees on loans receivable $ 274,608     $ 249,888       9.9 %
    Interest on securities   15,717       12,356       27.2 %
    Dividends on FHLB stock   1,075       888       21.1 %
    Interest on deposits in other banks   7,270       9,012       -19.3 %
    Total interest and dividend income   298,670       272,144       9.7 %
    Interest expense:                
    Interest on deposits   139,286       94,431       47.5 %
    Interest on borrowings   5,112       4,755       7.5 %
    Interest on subordinated debentures   4,948       4,828       2.5 %
    Total interest expense   149,346       104,014       43.6 %
    Net interest income before credit loss expense   149,324       168,130       -11.2 %
    Credit loss expense   3,474       7,210       -51.8 %
    Net interest income after credit loss expense   145,850       160,920       -9.4 %
    Noninterest income:                
    Service charges on deposit accounts   7,189       7,756       -7.3 %
    Trade finance and other service charges and fees   3,945       3,586       10.0 %
    Gain on sale of Small Business Administration (“SBA”) loans   4,669       4,253       9.8 %
    Other operating income   8,425       11,904       -29.2 %
    Total noninterest income   24,228       27,499       -11.9 %
    Noninterest expense:                
    Salaries and employee benefits   62,870       61,336       2.5 %
    Occupancy and equipment   13,643       13,737       -0.7 %
    Data processing   11,076       10,208       8.5 %
    Professional fees   5,134       4,278       20.0 %
    Supplies and communications   1,710       1,866       -8.4 %
    Advertising and promotion   2,207       2,114       4.4 %
    Other operating expenses   10,160       7,777       30.6 %
    Total noninterest expense   106,800       101,316       5.4 %
    Income before tax   63,278       87,103       -27.4 %
    Income tax expense   18,772       25,695       -26.9 %
    Net income $ 44,506     $ 61,408       -27.5 %
                     
    Basic earnings per share: $ 1.47     $ 2.01        
    Diluted earnings per share: $ 1.47     $ 2.01        
                     
    Weighted-average shares outstanding:                
    Basic   30,048,748       30,296,991        
    Diluted   30,117,269       30,338,678        
    Common shares outstanding   30,196,755       30,410,582        

     


    Hanmi Financial Corporation and Subsidiaries

    Average Balance, Average Yield Earned, and Average Rate Paid (Unaudited)
    (Dollars in thousands)

      Three Months Ended  
      September 30, 2024     June 30, 2024     September 30, 2023  
            Interest   Average           Interest   Average           Interest   Average  
      Average     Income /   Yield /     Average     Income /   Yield /     Average     Income /   Yield /  
      Balance     Expense   Rate     Balance     Expense   Rate     Balance     Expense   Rate  
    Assets                                              
    Interest-earning assets:                                              
    Loans receivable (1) $ 6,112,324     $ 92,182     6.00 %   $ 6,089,440     $ 90,752     5.99 %   $ 5,915,423     $ 85,398     5.73 %
    Securities (2)   986,041       5,523     2.27 %     979,671       5,238     2.17 %     955,473       4,204     1.79 %
    FHLB stock   16,385       356     8.65 %     16,385       357     8.77 %     16,385       317     7.67 %
    Interest-bearing deposits in other banks   183,027       2,356     5.12 %     180,177       2,313     5.16 %     317,498       4,153     5.19 %
    Total interest-earning assets   7,297,777       100,417     5.48 %     7,265,673       98,660     5.46 %     7,204,779       94,072     5.19 %
                                                   
    Noninterest-earning assets:                                              
    Cash and due from banks   54,843                 55,442                 59,994            
    Allowance for credit losses   (67,906 )               (67,908 )               (70,173 )          
    Other assets   251,421                 252,410                 240,145            
                                                   
    Total assets $ 7,536,135               $ 7,505,617               $ 7,434,745            
                                                   
    Liabilities and Stockholders’ Equity                                              
    Interest-bearing liabilities:                                              
    Deposits:                                              
    Demand: interest-bearing $ 83,647     $ 31     0.15 %   $ 85,443     $ 32     0.15 %   $ 94,703     $ 32     0.13 %
    Money market and savings   1,885,799       17,863     3.77 %     1,845,870       17,324     3.77 %     1,601,826       12,485     3.09 %
    Time deposits   2,427,737       29,259     4.79 %     2,453,154       29,139     4.78 %     2,438,112       24,301     3.95 %
    Total interest-bearing deposits   4,397,183       47,153     4.27 %     4,384,467       46,495     4.27 %     4,134,641       36,818     3.53 %
    Borrowings   143,479       1,561     4.33 %     169,525       1,896     4.50 %     120,381       753     2.48 %
    Subordinated debentures   130,403       1,652     5.07 %     130,239       1,649     5.07 %     129,780       1,646     5.07 %
    Total interest-bearing liabilities   4,671,065       50,366     4.29 %     4,684,231       50,040     4.30 %     4,384,802       39,217     3.55 %
                                                   
    Noninterest-bearing liabilities and equity:                                              
    Demand deposits: noninterest-bearing   1,908,833                 1,883,765                 2,136,156            
    Other liabilities   171,987                 162,543                 159,127            
    Stockholders’ equity   784,250                 775,078                 754,660            
                                                   
    Total liabilities and stockholders’ equity $ 7,536,135               $ 7,505,617               $ 7,434,745            
                                                   
    Net interest income       $ 50,051               $ 48,620               $ 54,855      
                                                   
    Cost of deposits             2.97 %               2.98 %               2.33 %
    Net interest spread (taxable equivalent basis)             1.19 %               1.16 %               1.64 %
    Net interest margin (taxable equivalent basis)             2.74 %               2.69 %               3.03 %
                                                   
    (1)       Includes average loans held for sale        
    (2)       Income calculated on a fully taxable equivalent basis using the federal tax rate in effect for the periods presented.  

     


    Hanmi Financial Corporation and Subsidiaries

    Average Balance, Average Yield Earned, and Average Rate Paid (Unaudited)
    (Dollars in thousands)

      Nine Months Ended  
      September 30, 2024     September 30, 2023  
            Interest   Average           Interest   Average  
      Average     Income /   Yield /     Average     Income /   Yield /  
      Balance     Expense   Rate     Balance     Expense   Rate  
    Assets                              
    Interest-earning assets:                              
    Loans receivable (1) $ 6,113,214     $ 274,608     6.00 %   $ 5,933,525     $ 249,888     5.63 %
    Securities (2)   978,439       15,717     2.17 %     969,146       12,356     1.73 %
    FHLB stock   16,385       1,076     8.77 %     16,385       888     7.25 %
    Interest-bearing deposits in other banks   188,290       7,269     5.16 %     247,581       9,012     4.87 %
    Total interest-earning assets   7,296,328       298,670     5.47 %     7,166,637       272,144     5.08 %
                                   
    Noninterest-earning assets:                              
    Cash and due from banks   56,217                 62,354            
    Allowance for credit losses   (68,305 )               (71,236 )          
    Other assets   249,517                 237,111            
                                   
    Total assets $ 7,533,757               $ 7,394,866            
                                   
    Liabilities and Stockholders’ Equity                              
    Interest-bearing liabilities:                              
    Deposits:                              
    Demand: interest-bearing $ 85,158     $ 92     0.14 %   $ 100,997     $ 88     0.12 %
    Money market and savings   1,849,053       51,740     3.74 %     1,506,776       29,687     2.63 %
    Time deposits   2,462,779       87,454     4.74 %     2,355,923       64,656     3.67 %
    Total interest-bearing deposits   4,396,990       139,286     4.23 %     3,963,696       94,431     3.19 %
    Borrowings   158,419       5,112     4.31 %     194,530       4,755     3.27 %
    Subordinated debentures   130,244       4,948     5.06 %     129,632       4,828     4.97 %
    Total interest-bearing liabilities   4,685,653       149,346     4.26 %     4,287,858       104,014     3.24 %
                                   
    Noninterest-bearing liabilities and equity:                              
    Demand deposits: noninterest-bearing   1,904,611                 2,223,891            
    Other liabilities   166,372                 140,070            
    Stockholders’ equity   777,121                 743,047            
                                   
    Total liabilities and stockholders’ equity $ 7,533,757               $ 7,394,866            
                                   
    Net interest income       $ 149,324               $ 168,130      
                                   
    Cost of deposits             2.95 %               2.04 %
    Net interest spread (taxable equivalent basis)             1.21 %               1.84 %
    Net interest margin (taxable equivalent basis)             2.74 %               3.14 %
                                   
    (1)       Includes average loans held for sale  
    (2)       Amounts calculated on a fully taxable equivalent basis using the federal tax rate in effect for the periods presented.  


    Non-GAAP Financial Measures

    Tangible Common Equity to Tangible Assets Ratio

    Tangible common equity to tangible assets ratio is supplemental financial information determined by a method other than in accordance with U.S. generally accepted accounting principles (“GAAP”). This non-GAAP measure is used by management in the analysis of Hanmi’s capital strength. Tangible common equity is calculated by subtracting goodwill and other intangible assets from stockholders’ equity. Banking and financial institution regulators also exclude goodwill and other intangible assets from stockholders’ equity when assessing the capital adequacy of a financial institution. Management believes the presentation of this financial measure excluding the impact of these items provides useful supplemental information that is essential to a proper understanding of the capital strength of Hanmi. This disclosure should not be viewed as a substitute for results determined in accordance with GAAP, nor is it necessarily comparable to non-GAAP performance measures that may be presented by other companies.

    The following table reconciles this non-GAAP performance measure to the GAAP performance measure for the periods indicated:

    Tangible Common Equity to Tangible Assets Ratio (Unaudited)
    (In thousands, except share, per share data and ratios)

      September 30,     June 30,     March 31,     December 31,     September 30,  
    Hanmi Financial Corporation 2024     2024     2024     2023     2023  
    Assets $ 7,712,299     $ 7,586,347     $ 7,512,046     $ 7,570,341     $ 7,350,140  
    Less goodwill and other intangible assets   (11,031 )     (11,048 )     (11,074 )     (11,099 )     (11,131 )
    Tangible assets $ 7,701,268     $ 7,575,299     $ 7,500,972     $ 7,559,242     $ 7,339,009  
                                 
    Stockholders’ equity (1) $ 736,709     $ 707,059     $ 703,100     $ 701,891     $ 663,359  
    Less goodwill and other intangible assets   (11,031 )     (11,048 )     (11,074 )     (11,099 )     (11,131 )
    Tangible stockholders’ equity (1) $ 725,678     $ 696,011     $ 692,026     $ 690,792     $ 652,228  
                                 
    Stockholders’ equity to assets   9.55 %     9.32 %     9.36 %     9.27 %     9.03 %
    Tangible common equity to tangible assets (1)   9.42 %     9.19 %     9.23 %     9.14 %     8.89 %
                                 
    Common shares outstanding   30,196,755       30,272,110       30,276,358       30,368,655       30,410,582  
    Tangible common equity per common share $ 24.03     $ 22.99     $ 22.86     $ 22.75     $ 21.45  
                                 
    (1)      There were no preferred shares outstanding at the periods indicated.  

    The MIL Network

  • MIL-OSI: National Bank Holdings Corporation Announces Third Quarter 2024 Financial Results and Increase to Quarterly Dividend

    Source: GlobeNewswire (MIL-OSI)

    DENVER, Oct. 22, 2024 (GLOBE NEWSWIRE) — National Bank Holdings Corporation (NYSE: NBHC) reported:

                                   
        For the quarter(1)   For the year(1)
        3Q24   2Q24   3Q23   2024   2023
    Net income ($000’s)   $ 33,105     $ 26,135     $ 36,087     $ 90,631     $ 108,927  
    Earnings per share – diluted   $ 0.86     $ 0.68     $ 0.94     $ 2.36     $ 2.85  
    Return on average assets     1.32 %     1.06 %     1.46 %     1.22 %     1.50 %
    Return on average tangible assets(2)     1.43 %     1.17 %     1.58 %     1.33 %     1.61 %
    Return on average equity     10.33 %     8.46 %     12.26 %     9.70 %     12.71 %
    Return on average tangible common equity(2)     14.84 %     12.44 %     18.38 %     14.14 %     18.81 %

                                                          

    (1 )   Ratios are annualized.
    (2 )   See non-GAAP reconciliations below.
           

    In announcing these results, Chief Executive Officer Tim Laney shared, “We delivered quarterly earnings of $0.86 per diluted share and a return on average tangible common equity of 14.84%. On the strength of our balance sheet, capital position and earnings, we are pleased to announce a 3.6% increase in our quarterly dividend to $0.29 per share. During the quarter, our disciplined approach to loan and deposit pricing drove 11 basis points of net interest margin expansion to 3.87%. Our teams delivered solid quarterly growth in our core banking fees, and we continued to leverage our diverse revenue streams across our franchise resulting in meaningful year-to-date fee income growth.”

    Mr. Laney added, “We continue to remain vigilant in monitoring our loan portfolio, delivering the lowest non-performing loan ratio since early 2023. Our teams adhere to prudent, disciplined approaches that limit concentrations in our loan book and our depositor base, and we regularly perform robust stress testing on our loan portfolio. We enter the fourth quarter from a position of strength and stability and expect to finish the year strong. We believe our Common Equity Tier 1 capital ratio of 12.88%, ample liquidity position, and diversified funding sources provide optionality for future growth.”

    Third Quarter 2024 Results
    (All comparisons refer to the second quarter of 2024, except as noted)

    Net income increased $7.0 million or 26.7% to $33.1 million or $0.86 per diluted share, compared to $26.1 million or $0.68 per diluted share. The quarter’s increase was driven by net interest income and fee income growth. Included in the prior quarter was $3.9 million of impairment related to venture capital investments. Fully taxable equivalent pre-provision net revenue increased $7.5 million or 20.6% to $43.7 million. The return on average tangible assets increased 26 basis points to 1.43%, and the return on average tangible common equity increased 240 basis points to 14.84%.

    Net Interest Income
    Fully taxable equivalent net interest income increased $4.2 million to $89.5 million, driven by a $74.7 million increase in average interest earning assets, a 12 basis point increase in average loan yields and one extra day in the quarter. The fully taxable equivalent net interest margin widened 11 basis points to 3.87%, driven by a 13 basis point increase in earning asset yields which was partially offset by a two basis point increase in the cost of funds.

    Loans
    Loans totaled $7.7 billion at September 30, 2024, consistent with the prior quarter. We generated quarterly loan fundings totaling $359.3 million, led by commercial loan fundings of $219.1 million. The average interest rate on the third quarter’s loan originations was 8.5%.

    Asset Quality and Provision for Credit Losses
    The Company recorded $2.0 million of provision expense for credit losses, compared to $2.8 million in the prior quarter. The current quarter’s provision expense was primarily driven by higher reserve requirements from changes in the CECL model’s underlying economic forecast. Annualized net charge-offs decreased four basis points to 0.18% of average total loans and included the resolution of one previously reserved credit during the quarter. Non-performing loans decreased three basis points to 0.31% of total loans at September 30, 2024, and non-performing assets decreased four basis points to 0.32% of total loans and OREO at September 30, 2024. The allowance for credit losses as a percentage of loans totaled 1.23% at September 30, 2024, compared to 1.25% in the prior quarter.

    Deposits
    Average total deposits increased $21.3 million to $8.4 billion during the third quarter 2024. The loan to deposit ratio totaled 90.8% at September 30, 2024. Average transaction deposits (defined as total deposits less time deposits) totaled $7.4 billion, consistent with the prior quarter. The mix of transaction deposits to total deposits was 88% at September 30, 2024, consistent with June 30, 2024.

    Non-Interest Income
    Non-interest income increased $4.4 million to $18.4 million driven by increases in our diversified sources of fee revenue. Service charges increased $0.6 million, swap fee income increased $0.3 million and trust fee income increased $0.1 million. These increases were partially offset by a $0.3 million decrease in mortgage banking income. Included in the prior quarter was $3.9 million of impairment related to venture capital investments.

    Non-Interest Expense
    Non-interest expense totaled $64.2 million during the third quarter, compared to $63.1 million in the prior quarter. Salaries and benefits increased $0.4 million driven by one additional payroll day in the quarter. Professional fees increased $0.4 million and data processing increased $0.3 million driven by our continued investments in technology. These increases were partially offset by a decrease in occupancy and equipment of $0.4 million. The fully taxable equivalent efficiency ratio, excluding other intangible assets amortization, improved 387 basis points to 57.7% for the third quarter.

    Income tax expense increased $1.2 million to $6.8 million, compared to $5.6 million in the prior quarter, due to the third quarter’s higher pre-tax income. The effective tax rate was 17.0%, compared to 17.7% for the second quarter.

    Capital
    Capital ratios continue to be strong and in excess of federal bank regulatory agency “well capitalized” thresholds. The tier 1 leverage ratio totaled 10.44%, and the common equity tier 1 capital ratio totaled 12.88% at September 30, 2024. Shareholders’ equity totaled $1.3 billion at September 30, 2024, increasing $44.4 million. The third quarter’s net income drove $22.2 million of growth in retained earnings, and changes in the interest rate environment led to a $17.9 million improvement in accumulated other comprehensive loss.

    Common book value per share increased $1.09 to $34.01 at September 30, 2024. Tangible common book value per share increased $1.17 to $24.91 as this quarter’s earnings and a decrease in accumulated other comprehensive loss outpaced the quarterly dividend.

    Dividend Announcement
    The quarterly cash dividend will increase 3.6% from $0.28 per share to $0.29 per share. The dividend will be payable on December 13, 2024 to shareholders of record at the close of business on November 29, 2024. This is the eighth consecutive semiannual increase to the quarterly dividend since early 2021.

    Year-Over-Year Review
    (All comparisons refer to the first nine months of 2023, except as noted)

    Net income totaled $90.6 million, or $2.36 per diluted share, compared to net income of $108.9 million, or $2.85 per diluted share, for the first nine months of 2023. The decrease over the same period prior year was largely driven by lower net interest income, due to an increase in cost of funds outpacing the increase in interest income. Partially offsetting this decrease was a 4.7% increase in non-interest income driven by our diversified sources of fee revenue. Fully taxable equivalent pre-provision net revenue totaled $120.5 million, compared to $144.9 million. The return on average tangible assets totaled 1.33%, compared to 1.61%, and the return on average tangible common equity was 14.14%, compared to 18.81%.

    Fully taxable equivalent net interest income totaled $260.5 million, compared to $276.9 million. Average earning assets increased $165.0 million, including average loan growth of $296.4 million, which was partially offset by a decrease in average investment securities of $70.2 million. The fully taxable equivalent net interest margin narrowed 32 basis points to 3.80%, as the increase in earning asset yields was more than offset by an increase in the cost of funds. Average interest bearing liabilities increased $555.3 million due to higher deposit balances, and the cost of funds totaled 2.31%, compared to 1.40% in the same period prior year.

    Loans outstanding totaled $7.7 billion, increasing $236.1 million or 3.2%. New loan fundings over the trailing twelve months totaled $1.5 billion, led by commercial loan fundings of $1.0 billion.  

    The Company recorded $4.8 million of provision expense for credit losses for the first nine months of 2024, compared to provision expense of $3.7 million in the same period prior year. Annualized net charge-offs totaled 0.13% of average total loans during the first nine months of 2024, compared to 0.02% of average total loans during the first nine months of 2023. Non-performing loans decreased 13 basis points to 0.31% of total loans at September 30, 2024, and non-performing assets decreased 17 basis points to 0.32% of total loans and OREO at September 30, 2024. The allowance for credit losses as a percentage of loans totaled 1.23% at September 30, 2024, compared to 1.25% at September 30, 2023.

    Average total deposits increased $418.6 million or 5.3% to $8.3 billion, and average transaction deposits increased $369.2 million or 5.3%. The mix of transaction deposits to total deposits was 88%, consistent with September 30, 2023.

    Non-interest income totaled $50.1 million, an increase of $2.3 million or 4.7%, driven by increases in our diversified sources of fee revenue. Other non-interest income increased $5.2 million, or 63.6%, and included increases in SBA loan income, trust income, Cambr income and swap fee income. Mortgage banking income decreased $2.7 million as the sustained higher-interest rate environment has lowered mortgage volume.

    Non-interest expense totaled $190.1 million, an increase of $10.2 million or 5.7%, largely due to ongoing investments in technology. Salaries and benefits increased $7.6 million, occupancy and equipment increased $2.4 million and data processing increased $2.3 million. Other intangible assets amortization increased $0.6 million due to our Cambr acquisition in April of 2023. These increases were partially offset by a decrease of $2.5 million in professional fees.

    Income tax expense totaled $19.9 million, a decrease of $7.9 million from the same period prior year, driven by lower pre-tax income. The effective tax rate was 18.0% for the first nine months of 2024, compared to 20.3%.

    Conference Call
    Management will host a conference call to review the results at 11:00 a.m. Eastern Time on Wednesday, October 23, 2024. Interested parties may listen to this call by dialing (888) 204-4368 using the participant passcode of 3279876 and asking for the NBHC Q3 2024 Earnings Call. The earnings release and a link to the replay of the call will be available on the Company’s website at http://www.nationalbankholdings.com by visiting the investor relations area.

    About National Bank Holdings Corporation
    National Bank Holdings Corporation is a bank holding company created to build a leading community bank franchise, delivering high quality client service and committed to stakeholder results. Through its bank subsidiaries, NBH Bank and Bank of Jackson Hole Trust, National Bank Holdings Corporation operates a network of over 90 banking centers, serving individual consumers, small, medium and large businesses, and government and non-profit entities. Its banking centers are located in its core footprint of Colorado, the greater Kansas City region, Utah, Wyoming, Texas, New Mexico and Idaho. Its comprehensive residential mortgage banking group primarily serves the bank’s core footprint. Its trust and wealth management business is operated in its core footprint under the Bank of Jackson Hole Trust charter. NBH Bank operates under a single state charter through the following brand names as divisions of NBH Bank: in Colorado, Community Banks of Colorado and Community Banks Mortgage; in Kansas and Missouri, Bank Midwest and Bank Midwest Mortgage; in Texas, Utah, New Mexico and Idaho, Hillcrest Bank and Hillcrest Bank Mortgage; and in Wyoming, Bank of Jackson Hole and Bank of Jackson Hole Mortgage. Additional information about National Bank Holdings Corporation can be found at http://www.nationalbankholdings.com

    For more information visit: cobnks.com, bankmw.com, hillcrestbank.com, bankofjacksonhole.com, or nbhbank.com, or connect with any of our brands on LinkedIn.

    About Non-GAAP Financial Measures
    Certain of the financial measures and ratios we present, including “tangible assets,” “return on average tangible assets,” “tangible common equity,” “return on average tangible common equity,” “tangible common book value per share,” “tangible common book value, excluding accumulated other comprehensive loss, net of tax,” “tangible common book value per share, excluding accumulated other comprehensive loss, net of tax,” “tangible common equity to tangible assets,” “non-interest expense excluding other intangible assets amortization,” “efficiency ratio excluding other intangible assets amortization,” “net income excluding the impact of other intangible assets amortization expense, after tax,” “pre-provision net revenue,” and “fully taxable equivalent” metrics, are supplemental measures that are not required by, or are not presented in accordance with, U.S. generally accepted accounting principles (GAAP). We refer to these financial measures and ratios as “non-GAAP financial measures.” We consider the use of select non-GAAP financial measures and ratios to be useful for financial and operational decision making and useful in evaluating period-to-period comparisons. We believe that these non-GAAP financial measures provide meaningful supplemental information regarding our performance by excluding certain expenditures or assets that we believe are not indicative of our primary business operating results or by presenting certain metrics on a fully taxable equivalent basis. We believe that management and investors benefit from referring to these non-GAAP financial measures in assessing our performance and when planning, forecasting, analyzing and comparing past, present and future periods.

    These non-GAAP financial measures should not be considered a substitute for financial information presented in accordance with GAAP and you should not rely on non-GAAP financial measures alone as measures of our performance. The non-GAAP financial measures we present may differ from non-GAAP financial measures used by our peers or other companies. We compensate for these limitations by providing the equivalent GAAP measures whenever we present the non-GAAP financial measures and by including a reconciliation of the impact of the components adjusted for in the non-GAAP financial measure so that both measures and the individual components may be considered when analyzing our performance. A reconciliation of non-GAAP financial measures to the comparable GAAP financial measures is included at the end of the financial statement tables.

    Forward-Looking Statements
    This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements contain words such as “anticipate,” “believe,” “can,” “would,” “should,” “could,” “may,” “predict,” “seek,” “potential,” “will,” “estimate,” “target,” “plan,” “project,” “continuing,” “ongoing,” “expect,” “intend” or similar expressions that relate to the Company’s strategy, plans or intentions. Forward-looking statements involve certain important risks, uncertainties and other factors, any of which could cause actual results to differ materially from those in such statements. Such factors include, without limitation, the “Risk Factors” referenced in our most recent Form 10-K filed with the Securities and Exchange Commission (SEC), other risks and uncertainties listed from time to time in our reports and documents filed with the SEC, and the following factors: the impact of potential regulatory changes to capital requirements, treatment of investment securities and FDIC deposit insurance levels and costs; our ability to execute our business strategy, including our digital strategy, as well as changes in our business strategy or development plans; business and economic conditions; effects of any potential government shutdowns; economic, market, operational, liquidity, credit and interest rate risks associated with the Company’s business, including increased competition for deposits due to prevailing market interest rates and banking sector volatility; effects of any changes in trade, monetary and fiscal policies and laws, including the interest rate policies of the Federal Reserve Board; changes imposed by regulatory agencies to increase capital standards; effects of inflation, as well as interest rate, securities market and monetary supply fluctuations; changes in the economy or supply-demand imbalances affecting local real estate values; changes in consumer spending, borrowings and savings habits; changes in the fair value of our investment securities due to market conditions outside of our control; financial or reputational impacts associated with the increased prevalence of fraud or other financial crimes; with respect to our mortgage business, the inability to negotiate fees with investors for the purchase of our loans or our obligation to indemnify purchasers or repurchase related loans if the loans fail to meet certain criteria, or higher rate of delinquencies and defaults as a result of the geographic concentration of our servicing portfolio; the Company’s ability to identify potential candidates for, obtain regulatory approval for, and consummate, integrate and realize operating efficiencies from, acquisitions, consolidations and other expansion opportunities; our ability to integrate acquisitions or consolidations and to achieve synergies, operating efficiencies and/or other expected benefits within expected timeframes, or at all, or within expected cost projections, and to preserve the goodwill of acquired financial institutions; the Company’s ability to realize anticipated benefits from enhancements or updates to its core operating systems from time to time without significant change in client service or risk to the Company’s control environment; the Company’s dependence on information technology and telecommunications systems of third-party service providers and the risk of systems failures, interruptions or breaches of security, including those that could result in disclosure or misuse of confidential or proprietary client or other information; the Company’s ability to achieve organic loan and deposit growth and the competition for, and composition of, such growth; changes in sources and uses of funds; increased competition in the financial services industry; regulatory and financial impacts associated with the Company growing to over $10 billion in consolidated assets; increases in claims and litigation related to our fiduciary responsibilities in connection with our trust and wealth management business; the effect of changes in accounting policies and practices as may be adopted by the regulatory agencies, as well as the Public Company Accounting Oversight Board, the Financial Accounting Standards Board (“FASB”) and other accounting standard setters; the share price of the Company’s stock; the Company’s ability to realize deferred tax assets or the need for a valuation allowance, or the effects of changes in tax laws on our deferred tax assets; the effects of tax legislation, including the potential of future increases to prevailing tax rules, or challenges to our positions; continued consolidation in the financial services industry; ability to maintain or increase market share and control expenses; costs and effects of changes in laws and regulations and of other legal and regulatory developments, including, but not limited to, changes in regulation that affect the fees that we charge, the resolution of legal proceedings or regulatory or other government inquiries, and the results of regulatory examinations, reviews or other inquiries, and changes in regulations that apply to us as a Colorado state-chartered bank and a Wyoming state-chartered bank; technological changes, including with respect to the advancement of artificial intelligence; the timely development and acceptance of new products and services, including in the digital technology space our digital solution 2UniFi; changes in our management personnel and the Company’s continued ability to attract, hire and maintain qualified personnel; ability to implement and/or improve operational management and other internal risk controls and processes and reporting system and procedures; regulatory limitations on dividends from our bank subsidiaries; changes in estimates of future credit reserve requirements based upon the periodic review thereof under relevant regulatory and accounting requirements; financial, reputational, or strategic risks associated with our investments in financial technology companies and initiatives; widespread natural and other disasters, pandemics, dislocations, political instability, acts of war or terrorist activities, cyberattacks or international hostilities through impacts on the economy and financial markets generally or on us or our counterparties specifically; a cybersecurity incident, data breach or a failure of a key information technology system; impact of reputational risk; other risks and uncertainties listed from time to time in the Company’s reports and documents filed with the Securities and Exchange Commission; and success at managing the risks involved in the foregoing items. The Company can give no assurance that any goal or plan or expectation set forth in forward-looking statements can be achieved and readers are cautioned not to place undue reliance on such statements. The forward-looking statements are made as of the date of this press release, and the Company does not intend, and assumes no obligation, to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made or to reflect the occurrence of unanticipated events or circumstances, except as required by applicable law.

    Contacts:
    Analysts/Institutional Investors:
    Emily Gooden, Chief Accounting Officer and Investor Relations Director, (720) 554-6640, ir@nationalbankholdings.com
    Nicole Van Denabeele, Chief Financial Officer, (720) 529-3370, ir@nationalbankholdings.com

    Media:
    Jody Soper, Chief Marketing Officer, (303) 784-5925, Jody.Soper@nbhbank.com 

    NATIONAL BANK HOLDINGS CORPORATION
    FINANCIAL SUMMARY
    Consolidated Statements of Operations (Unaudited)
    (Dollars in thousands, except share and per share data)

                                 
      For the three months ended   For the nine months ended
      September 30,       June 30,       September 30,       September 30,       September 30, 
      2024   2024   2023   2024   2023
    Total interest and dividend income $ 138,003   $ 132,447   $ 126,110   $ 402,182   $ 360,712
    Total interest expense   50,350     48,873     38,333     146,925     88,262
    Net interest income   87,653     83,574     87,777     255,257     272,450
    Taxable equivalent adjustment   1,816     1,711     1,575     5,220     4,432
    Net interest income FTE(1)   89,469     85,285     89,352     260,477     276,882
    Provision expense for credit losses   2,000     2,776     1,125     4,776     3,725
    Net interest income after provision for credit losses FTE(1)   87,469     82,509     88,227     255,701     273,157
    Non-interest income:                            
    Service charges   4,912     4,295     4,849     13,598     13,394
    Bank card fees   4,832     4,882     4,993     14,292     14,721
    Mortgage banking income   2,981     3,296     4,688     8,932     11,614
    Other non-interest income   5,664     1,556     4,835     13,290     8,124
    Total non-interest income   18,389     14,029     19,365     50,112     47,853
    Non-interest expense:                            
    Salaries and benefits   37,331     36,933     35,027     110,784     103,231
    Occupancy and equipment   9,697     10,120     9,167     29,758     27,366
    Professional fees   2,111     1,706     2,215     5,463     7,951
    Data processing   4,398     4,117     3,546     12,581     10,257
    Other non-interest expense   8,648     8,222     8,640     25,523     25,693
    Other intangible assets amortization   1,977     1,977     2,008     5,962     5,378
    Total non-interest expense   64,162     63,075     60,603     190,071     179,876
                                 
    Income before income taxes FTE(1)   41,696     33,463     46,989     115,742     141,134
    Taxable equivalent adjustment   1,816     1,711     1,575     5,220     4,432
    Income before income taxes   39,880     31,752     45,414     110,522     136,702
    Income tax expense   6,775     5,617     9,327     19,891     27,775
    Net income $ 33,105   $ 26,135   $ 36,087   $ 90,631   $ 108,927
    Earnings per share – basic $ 0.86   $ 0.68   $ 0.95   $ 2.37   $ 2.87
    Earnings per share – diluted   0.86     0.68     0.94     2.36     2.85

                                                          

    (1 )      Net interest income is presented on a GAAP basis and fully taxable equivalent (FTE) basis, as the Company believes this non-GAAP measure is the preferred industry measurement for this item. The FTE adjustment is for the tax benefit on certain tax exempt loans using the federal tax rate of 21% for each period presented.
           

    NATIONAL BANK HOLDINGS CORPORATION
    Consolidated Statements of Financial Condition (Unaudited)
    (Dollars in thousands, except share and per share data)

                           
      September 30, 2024   June 30, 2024      December 31, 2023   September 30, 2023
    ASSETS                      
    Cash and cash equivalents $ 180,796     $ 144,993     $ 190,826     $ 291,291  
    Investment securities available-for-sale   708,987       691,076       628,829       620,445  
    Investment securities held-to-maturity   538,157       554,686       585,052       600,501  
    Non-marketable securities   72,353       72,987       90,477       87,817  
    Loans   7,714,495       7,722,153       7,698,758       7,478,438  
    Allowance for credit losses   (95,047 )     (96,457 )     (97,947 )     (93,446 )
    Loans, net   7,619,448       7,625,696       7,600,811       7,384,992  
    Loans held for sale   16,765       18,787       18,854       19,048  
    Other real estate owned   1,432       1,526       4,088       3,416  
    Premises and equipment, net   191,889       177,456       162,733       153,553  
    Goodwill   306,043       306,043       306,043       306,043  
    Intangible assets, net   60,390       62,356       66,025       68,283  
    Other assets   297,023       315,245       297,326       330,894  
    Total assets $ 9,993,283     $ 9,970,851     $ 9,951,064     $ 9,866,283  
    LIABILITIES AND SHAREHOLDERS’ EQUITY                      
    Liabilities:                      
    Non-interest bearing demand deposits $ 2,268,801     $ 2,229,432     $ 2,361,367     $ 2,483,174  
    Interest bearing demand deposits   1,407,667       1,420,942       1,480,042       1,358,445  
    Savings and money market   3,768,211       3,703,810       3,367,012       3,314,895  
    Total transaction deposits   7,444,679       7,354,184       7,208,421       7,156,514  
    Time deposits   1,052,449       1,022,741       981,970       992,494  
    Total deposits   8,497,128       8,376,925       8,190,391       8,149,008  
    Securities sold under agreements to repurchase   19,517       19,465       19,627       20,273  
    Long-term debt   54,433       54,356       54,200       54,123  
    Federal Home Loan Bank advances         35,000       340,000       316,770  
    Other liabilities   130,208       237,461       134,039       162,524  
    Total liabilities   8,701,286       8,723,207       8,738,257       8,702,698  
    Shareholders’ equity:                      
    Common stock   515       515       515       515  
    Additional paid in capital   1,164,395       1,161,804       1,162,269       1,160,706  
    Retained earnings   491,849       469,630       433,126       410,243  
    Treasury stock   (302,277 )     (303,880 )     (306,702 )     (307,026 )
    Accumulated other comprehensive loss, net of tax   (62,485 )     (80,425 )     (76,401 )     (100,853 )
    Total shareholders’ equity   1,291,997       1,247,644       1,212,807       1,163,585  
    Total liabilities and shareholders’ equity $ 9,993,283     $ 9,970,851     $ 9,951,064     $ 9,866,283  
    SHARE DATA                      
    Average basic shares outstanding   38,277,042       38,210,869       38,013,791       37,990,659  
    Average diluted shares outstanding   38,495,091       38,372,777       38,162,538       38,134,338  
    Ending shares outstanding   37,988,364       37,899,453       37,784,851       37,739,776  
    Common book value per share $ 34.01     $ 32.92     $ 32.10     $ 30.83  
    Tangible common book value per share(1) (non-GAAP)   24.91       23.74       22.77       21.43  
    Tangible common book value per share, excluding accumulated other comprehensive loss(1) (non-GAAP)   26.56       25.86       24.79       24.10  
    CAPITAL RATIOS                      
    Average equity to average assets   12.80 %     12.57 %     11.97 %     11.93 %
    Tangible common equity to tangible assets(1)   9.81 %     9.35 %     8.96 %     8.50 %
    Tier 1 leverage ratio   10.44 %     10.20 %     9.74 %     9.56 %
    Common equity tier 1 risk-based capital ratio   12.88 %     12.41 %     11.89 %     11.61 %
    Tier 1 risk-based capital ratio   12.88 %     12.41 %     11.89 %     11.61 %
    Total risk-based capital ratio   14.79 %     14.32 %     13.80 %     13.49 %

                                                          

    (1 )      Represents a non-GAAP financial measure. See non-GAAP reconciliations below.
           

    NATIONAL BANK HOLDINGS CORPORATION
    Loan Portfolio
    (Dollars in thousands)

    Period End Loan Balances by Type

                             
              September 30, 2024       September 30, 2024
              vs. June 30, 2024       vs. September 30, 2023
      September 30, 2024   June 30, 2024   % Change   September 30, 2023   % Change
    Originated:                        
    Commercial:                        
    Commercial and industrial $ 1,894,830   $ 1,906,095   (0.6 )%   $ 1,784,188   6.2 %
    Municipal and non-profit   1,096,843     1,063,706   3.1 %     1,012,967   8.3 %
    Owner-occupied commercial real estate   949,330     921,122   3.1 %     827,679   14.7 %
    Food and agribusiness   257,743     248,401   3.8 %     258,609   (0.3 )%
    Total commercial   4,198,746     4,139,324   1.4 %     3,883,443   8.1 %
    Commercial real estate non-owner occupied   1,113,796     1,116,424   (0.2 )%     1,026,133   8.5 %
    Residential real estate   933,644     923,313   1.1 %     897,804   4.0 %
    Consumer   13,600     14,385   (5.5 )%     16,700   (18.6 )%
    Total originated   6,259,786     6,193,446   1.1 %     5,824,080   7.5 %
                             
    Acquired:                        
    Commercial:                        
    Commercial and industrial   116,683     124,104   (6.0 )%     156,012   (25.2 )%
    Municipal and non-profit   282     288   (2.1 )%     305   (7.5 )%
    Owner-occupied commercial real estate   221,928     232,890   (4.7 )%     247,701   (10.4 )%
    Food and agribusiness   43,733     48,061   (9.0 )%     61,551   (28.9 )%
    Total commercial   382,626     405,343   (5.6 )%     465,569   (17.8 )%
    Commercial real estate non-owner occupied   720,384     752,040   (4.2 )%     787,926   (8.6 )%
    Residential real estate   349,916     369,003   (5.2 )%     398,187   (12.1 )%
    Consumer   1,783     2,321   (23.2 )%     2,676   (33.4 )%
    Total acquired   1,454,709     1,528,707   (4.8 )%     1,654,358   (12.1 )%
    Total loans $ 7,714,495   $ 7,722,153   (0.1 )%   $ 7,478,438   3.2 %
                                 

    Loan Fundings(1)

                                 
      Third quarter   Second quarter   First quarter   Fourth quarter   Third quarter
      2024   2024   2024   2023   2023
    Commercial:                            
    Commercial and industrial $ 93,711   $ 241,910   $ 53,978     $ 135,954   $ 89,297
    Municipal and non-profit   35,677     28,785     14,564       79,650     18,657
    Owner occupied commercial real estate   70,517     102,615     35,128       75,631     67,322
    Food and agribusiness   19,205     11,040     (7,204 )     10,646     16,191
    Total commercial   219,110     384,350     96,466       301,881     191,467
    Commercial real estate non-owner occupied   91,809     83,184     73,789       107,738     88,434
    Residential real estate   47,322     36,124     29,468       48,925     42,514
    Consumer   1,010     1,547     234       1,849     1,689
    Total $ 359,251   $ 505,205   $ 199,957     $ 460,393   $ 324,104

                                                          

    (1 )      Loan fundings are defined as closed end funded loans and net fundings under revolving lines of credit. Net fundings (paydowns) under revolving lines of credit were $16,302, $19,281, ($59,523), $16,954 and ($12,877) for the periods noted in the table above, respectively.
           

    NATIONAL BANK HOLDINGS CORPORATION
    Summary of Net Interest Margin
    (Dollars in thousands)

                                                           
        For the three months ended   For the three months ended   For the three months ended
        September 30, 2024   June 30, 2024   September 30, 2023
        Average               Average      Average               Average      Average               Average
        balance   Interest   rate   balance   Interest   rate   balance   Interest   rate
    Interest earning assets:                                                      
    Originated loans FTE(1)(2)   $ 6,251,827     $ 108,403     6.90 %   $ 6,074,199     $ 101,794     6.74 %   $ 5,803,157     $ 92,813     6.35 %
    Acquired loans     1,487,002       22,660     6.06 %     1,541,576       23,464     6.12 %     1,671,595       26,115     6.20 %
    Loans held for sale     18,078       319     7.02 %     16,862       318     7.59 %     22,154       383     6.86 %
    Investment securities available-for-sale     790,268       5,132     2.60 %     802,830       5,101     2.54 %     761,892       3,783     1.99 %
    Investment securities held-to-maturity     548,120       2,344     1.71 %     564,818       2,419     1.71 %     611,712       2,685     1.76 %
    Other securities     26,213       405     6.18 %     25,093       377     6.01 %     39,115       701     7.17 %
    Interest earning deposits     70,946       556     3.12 %     92,388       685     2.98 %     130,239       1,205     3.67 %
    Total interest earning assets FTE(2)   $ 9,192,454     $ 139,819     6.05 %   $ 9,117,766     $ 134,158     5.92 %   $ 9,039,864     $ 127,685     5.60 %
    Cash and due from banks   $ 86,887                 $ 100,165                 $ 104,308              
    Other assets     777,758                   771,475                   737,568              
    Allowance for credit losses     (96,369 )                 (97,741 )                 (92,831 )            
    Total assets   $ 9,960,730                 $ 9,891,665                 $ 9,788,909              
    Interest bearing liabilities:                                                      
    Interest bearing demand, savings and money market deposits   $ 5,134,650     $ 40,146     3.11 %   $ 5,109,924     $ 39,681     3.12 %   $ 4,535,183     $ 27,211     2.38 %
    Time deposits     1,039,563       9,220     3.53 %     1,015,371       8,536     3.38 %     992,755       6,212     2.48 %
    Securities sold under agreements to repurchase     17,146       5     0.12 %     17,449       5     0.12 %     19,288       6     0.12 %
    Long-term debt     54,383       519     3.80 %     54,307       518     3.84 %     54,074       519     3.81 %
    Federal Home Loan Bank advances     32,641       460     5.61 %     9,505       133     5.63 %     316,723       4,385     5.49 %
    Total interest bearing liabilities   $ 6,278,383     $ 50,350     3.19 %   $ 6,206,556     $ 48,873     3.17 %   $ 5,918,023     $ 38,333     2.57 %
    Demand deposits   $ 2,226,807                 $ 2,254,454                 $ 2,553,619              
    Other liabilities     180,667                   187,499                   149,068              
    Total liabilities     8,685,857                   8,648,509                   8,620,710              
    Shareholders’ equity     1,274,873                   1,243,156                   1,168,199              
    Total liabilities and shareholders’ equity   $ 9,960,730                 $ 9,891,665                 $ 9,788,909              
    Net interest income FTE(2)         $ 89,469               $ 85,285               $ 89,352      
    Interest rate spread FTE(2)                 2.86 %                 2.75 %                 3.03 %
    Net interest earning assets   $ 2,914,071                 $ 2,911,210                 $ 3,121,841              
    Net interest margin FTE(2)                 3.87 %                 3.76 %                 3.92 %
    Average transaction deposits   $ 7,361,457                 $ 7,364,378                 $ 7,088,802              
    Average total deposits     8,401,020                   8,379,749                   8,081,557              
    Ratio of average interest earning assets to average interest bearing liabilities     146.41 %                 146.91 %                 152.75 %            

                                                          

    (1 )      Originated loans are net of deferred loan fees, less costs, which are included in interest income over the life of the loan.
    (2 )      Presented on a fully taxable equivalent basis using the statutory tax rate of 21%. The tax equivalent adjustments included above are $1,816, $1,711 and $1,575 for the three months ended September 30, 2024, June 30, 2024 and September 30, 2023, respectively.
           

    NATIONAL BANK HOLDINGS CORPORATION
    Summary of Net Interest Margin
    (Dollars in thousands)

                                   
      For the nine months ended September 30, 2024   For the nine months ended September 30, 2023
      Average              Average   Average              Average
      balance   Interest   rate   balance   Interest   rate
    Interest earning assets:                              
    Originated loans FTE(1)(2) $ 6,124,757     $ 311,112   6.79 %   $ 5,656,309     $ 258,528   6.11 %
    Acquired loans   1,546,482       70,413   6.08 %     1,718,523       79,526   6.19 %
    Loans held for sale   15,661       862   7.35 %     23,494       1,189   6.77 %
    Investment securities available-for-sale   781,454       14,336   2.45 %     786,087       11,655   1.98 %
    Investment securities held-to-maturity   563,975       7,277   1.72 %     629,507       8,364   1.77 %
    Other securities   28,771       1,398   6.48 %     46,480       2,513   7.21 %
    Interest earning deposits   84,920       2,004   3.15 %     120,633       3,369   3.73 %
    Total interest earning assets FTE(2) $ 9,146,020     $ 407,402   5.95 %   $ 8,981,033     $ 365,144   5.44 %
    Cash and due from banks $ 96,510               $ 110,902            
    Other assets   768,521                 724,305            
    Allowance for credit losses   (97,327 )               (91,110 )          
    Total assets $ 9,913,724               $ 9,725,130            
    Interest bearing liabilities:                              
    Interest bearing demand, savings and money market deposits $ 5,064,386     $ 116,240   3.07 %   $ 4,197,603     $ 55,070   1.75 %
    Time deposits   1,015,081       25,340   3.33 %     965,750       14,545   2.01 %
    Securities sold under agreements to repurchase   17,839       16   0.12 %     19,863       17   0.11 %
    Long-term debt   54,307       1,555   3.82 %     53,997       1,555   3.85 %
    Federal Home Loan Bank advances   89,918       3,774   5.61 %     449,060       17,075   5.08 %
    Total interest bearing liabilities $ 6,241,531     $ 146,925   3.14 %   $ 5,686,273     $ 88,262   2.08 %
    Demand deposits $ 2,253,986               $ 2,751,537            
    Other liabilities   170,005                 141,110            
    Total liabilities   8,665,522                 8,578,920            
    Shareholders’ equity   1,248,202                 1,146,210            
    Total liabilities and shareholders’ equity $ 9,913,724               $ 9,725,130            
    Net interest income FTE(2)       $ 260,477             $ 276,882    
    Interest rate spread FTE(2)             2.81 %               3.36 %
    Net interest earning assets $ 2,904,489               $ 3,294,760            
    Net interest margin FTE(2)             3.80 %               4.12 %
    Average transaction deposits $ 7,318,372               $ 6,949,140            
    Average total deposits   8,333,453                 7,914,890            
    Ratio of average interest earning assets to average interest bearing liabilities   146.53 %               157.94 %          

                                                          

    (1 )      Originated loans are net of deferred loan fees, less costs, which are included in interest income over the life of the loan.
    (2 )      Presented on a fully taxable equivalent basis using the statutory tax rate of 21%. The tax equivalent adjustments included above are $5,220 and $4,432 for the nine months ended September 30, 2024 and September 30, 2023, respectively.
           

    NATIONAL BANK HOLDINGS CORPORATION
    Allowance for Credit Losses and Asset Quality
    (Dollars in thousands)

    Allowance for Credit Losses Analysis

                     
      As of and for the three months ended
      September 30, 2024   June 30, 2024   September 30, 2023
    Beginning allowance for credit losses $ 96,457     $ 97,607     $ 92,581  
    Charge-offs   (3,505 )     (4,605 )     (540 )
    Recoveries   95       499       280  
    Provision expense for credit losses   2,000       2,956       1,125  
    Ending allowance for credit losses (“ACL”) $ 95,047     $ 96,457     $ 93,446  
    Ratio of annualized net charge-offs to average total loans during the period   0.18 %     0.22 %     0.01 %
    Ratio of ACL to total loans outstanding at period end   1.23 %     1.25 %     1.25 %
    Ratio of ACL to total non-performing loans at period end   403.68 %     370.18 %     281.36 %
    Total loans $ 7,714,495     $ 7,722,153     $ 7,478,438  
    Average total loans during the period   7,714,765       7,582,506       7,443,869  
    Total non-performing loans   23,545       26,057       33,212  
                           

    Past Due and Non-accrual Loans

                     
      September 30, 2024   June 30, 2024   September 30, 2023
    Loans 30-89 days past due and still accruing interest $ 31,253     $ 27,159     $ 8,144  
    Loans 90 days past due and still accruing interest   9,509       3,498       154  
    Non-accrual loans   23,545       26,057       33,212  
    Total past due and non-accrual loans $ 64,307     $ 56,714     $ 41,510  
    Total 90 days past due and still accruing interest and non-accrual loans to total loans   0.43 %     0.38 %     0.45 %
                           

    Asset Quality Data

                     
      September 30, 2024   June 30, 2024   September 30, 2023
    Non-performing loans $ 23,545     $ 26,057     $ 33,212  
    OREO   1,432       1,526       3,416  
    Total non-performing assets $ 24,977     $ 27,583     $ 36,628  
    Total non-performing loans to total loans   0.31 %     0.34 %     0.44 %
    Total non-performing assets to total loans and OREO   0.32 %     0.36 %     0.49 %
                           

    NATIONAL BANK HOLDINGS CORPORATION
    Key Metrics(1)

                                 
      As of and for the three months ended   As of and for the nine months ended
      September 30,    June 30,    September 30,    September 30,    September 30, 
      2024   2024   2023   2024   2023
    Return on average assets   1.32 %     1.06 %     1.46 %     1.22 %     1.50 %
    Return on average tangible assets(2)   1.43 %     1.17 %     1.58 %     1.33 %     1.61 %
    Return on average equity   10.33 %     8.46 %     12.26 %     9.70 %     12.71 %
    Return on average tangible common equity(2)   14.84 %     12.44 %     18.38 %     14.14 %     18.81 %
    Loan to deposit ratio (end of period)   90.79 %     92.18 %     91.77 %     90.79 %     91.77 %
    Non-interest bearing deposits to total deposits (end of period)   26.70 %     26.61 %     30.47 %     26.70 %     30.47 %
    Net interest margin(3)   3.79 %     3.69 %     3.85 %     3.73 %     4.06 %
    Net interest margin FTE(2)(3)   3.87 %     3.76 %     3.92 %     3.80 %     4.12 %
    Interest rate spread FTE(4)   2.86 %     2.75 %     3.03 %     2.81 %     3.36 %
    Yield on earning assets(5)   5.97 %     5.84 %     5.53 %     5.87 %     5.37 %
    Yield on earning assets FTE(2)(5)   6.05 %     5.92 %     5.60 %     5.95 %     5.44 %
    Cost of interest bearing liabilities   3.19 %     3.17 %     2.57 %     3.14 %     2.08 %
    Cost of deposits   2.34 %     2.31 %     1.64 %     2.27 %     1.18 %
    Non-interest income to total revenue FTE(9)   17.05 %     14.13 %     17.81 %     16.13 %     14.74 %
    Non-interest expense to average assets   2.56 %     2.56 %     2.46 %     2.56 %     2.47 %
    Efficiency ratio   60.51 %     64.62 %     56.56 %     62.24 %     56.16 %
    Efficiency ratio excluding other intangible assets amortization FTE(2)   57.65 %     61.52 %     53.90 %     59.28 %     53.74 %
    Pre-provision net revenue $ 41,880     $ 34,528     $ 46,539     $ 115,298     $ 140,427  
    Pre-provision net revenue FTE(2)   43,696       36,239       48,114       120,518       144,859  
                                 
    Total Loans Asset Quality Data(6)(7)(8)                            
    Non-performing loans to total loans   0.31 %     0.34 %     0.44 %     0.31 %     0.44 %
    Non-performing assets to total loans and OREO   0.32 %     0.36 %     0.49 %     0.32 %     0.49 %
    Allowance for credit losses to total loans   1.23 %     1.25 %     1.25 %     1.23 %     1.33 %
    Allowance for credit losses to non-performing loans   403.68 %     370.18 %     281.36 %     403.68 %     281.36 %
    Net charge-offs to average loans   0.18 %     0.22 %     0.01 %     0.13 %     0.02 %

                                                          

    (1 )      Ratios are annualized.
    (2 )      Ratio represents non-GAAP financial measure. See non-GAAP reconciliations below.
    (3 )   Net interest margin represents net interest income, including accretion income on interest earning assets, as a percentage of average interest earning assets.
    (4 )      Interest rate spread represents the difference between the weighted average yield on interest earning assets, including FTE income, and the weighted average cost of interest bearing liabilities. Ratio represents a non-GAAP financial measure.
    (5 )   Interest earning assets include assets that earn interest/accretion or dividends. Any market value adjustments on investment securities or loans are excluded from interest earning assets.
    (6 )   Non-performing loans consist of non-accruing loans and modified loans on non-accrual.
    (7 )   Non-performing assets include non-performing loans and other real estate owned.
    (8 )   Total loans are net of unearned discounts and fees.
    (9 )   Non-interest income to total revenue represents non-interest income divided by the sum of net interest income FTE and non-interest income. Ratio represents a non-GAAP financial measure.
           

    NATIONAL BANK HOLDINGS CORPORATION
    NON-GAAP FINANCIAL MEASURES AND RECONCILIATIONS
    (Dollars in thousands, except share and per share data)

    Tangible Common Book Value Ratios

                             
        September 30, 2024   June 30, 2024      December 31, 2023   September 30, 2023
    Total shareholders’ equity   $ 1,291,997     $ 1,247,644     $ 1,212,807     $ 1,163,585  
    Less: goodwill and other intangible assets, net     (358,754 )     (360,732 )     (364,716 )     (366,724 )
    Add: deferred tax liability related to goodwill     13,203       12,871       12,208       11,876  
    Tangible common equity (non-GAAP)   $ 946,446     $ 899,783     $ 860,299     $ 808,737  
                             
    Total assets   $ 9,993,283     $ 9,970,851     $ 9,951,064     $ 9,866,283  
    Less: goodwill and other intangible assets, net     (358,754 )     (360,732 )     (364,716 )     (366,724 )
    Add: deferred tax liability related to goodwill     13,203       12,871       12,208       11,876  
    Tangible assets (non-GAAP)   $ 9,647,732     $ 9,622,990     $ 9,598,556     $ 9,511,435  
                             
    Tangible common equity to tangible assets calculations:                        
    Total shareholders’ equity to total assets     12.93 %     12.51 %     12.19 %     11.79 %
    Less: impact of goodwill and other intangible assets, net     (3.12 )%     (3.16 )%     (3.23 )%     (3.29 )%
    Tangible common equity to tangible assets (non-GAAP)     9.81 %     9.35 %     8.96 %     8.50 %
                             
    Tangible common book value per share calculations:                        
    Tangible common equity (non-GAAP)   $ 946,446     $ 899,783     $ 860,299     $ 808,737  
    Divided by: ending shares outstanding     37,988,364       37,899,453       37,784,851       37,739,776  
    Tangible common book value per share (non-GAAP)   $ 24.91     $ 23.74     $ 22.77     $ 21.43  
                             
    Tangible common book value per share, excluding accumulated other comprehensive loss calculations:                        
    Tangible common equity (non-GAAP)   $ 946,446     $ 899,783     $ 860,299     $ 808,737  
    Accumulated other comprehensive loss, net of tax     62,485       80,425       76,401       100,853  
    Tangible common book value, excluding accumulated other comprehensive loss, net of tax (non-GAAP)     1,008,931       980,208       936,700       909,590  
    Divided by: ending shares outstanding     37,988,364       37,899,453       37,784,851       37,739,776  
    Tangible common book value per share, excluding accumulated other comprehensive loss, net of tax (non-GAAP)   $ 26.56     $ 25.86     $ 24.79     $ 24.10  
                                     

    NATIONAL BANK HOLDINGS CORPORATION
    (Dollars in thousands, except share and per share data)
    Return on Average Tangible Assets and Return on Average Tangible Equity

                                   
        As of and for the three months ended   As of and for the nine months ended
        September 30,       June 30,       September 30,       September 30,       September 30, 
        2024      2024      2023      2024      2023
    Net income   $ 33,105     $ 26,135     $ 36,087     $ 90,631     $ 108,927  
    Add: impact of other intangible assets amortization expense, after tax     1,517       1,516       1,541       4,575       4,128  
    Net income excluding the impact of other intangible assets amortization expense, after tax (non-GAAP)   $ 34,622     $ 27,651     $ 37,628     $ 95,206     $ 113,055  
                                   
    Average assets   $ 9,960,730     $ 9,891,665     $ 9,788,909     $ 9,913,724     $ 9,725,130  
    Less: average goodwill and other intangible assets, net of deferred tax liability related to goodwill     (346,757 )     (349,030 )     (356,083 )     (348,717 )     (342,826 )
    Average tangible assets (non-GAAP)   $ 9,613,973     $ 9,542,635     $ 9,432,826     $ 9,565,007     $ 9,382,304  
                                   
    Average shareholders’ equity   $ 1,274,873     $ 1,243,156     $ 1,168,199     $ 1,248,202     $ 1,146,210  
    Less: average goodwill and other intangible assets, net of deferred tax liability related to goodwill     (346,757 )     (349,030 )     (356,083 )     (348,717 )     (342,826 )
    Average tangible common equity (non-GAAP)   $ 928,116     $ 894,126     $ 812,116     $ 899,485     $ 803,384  
                                   
    Return on average assets     1.32 %     1.06 %     1.46 %     1.22 %     1.50 %
    Return on average tangible assets (non-GAAP)     1.43 %     1.17 %     1.58 %     1.33 %     1.61 %
    Return on average equity     10.33 %     8.46 %     12.26 %     9.70 %     12.71 %
    Return on average tangible common equity (non-GAAP)     14.84 %     12.44 %     18.38 %     14.14 %     18.81 %
                                             

    Fully Taxable Equivalent Yield on Earning Assets and Net Interest Margin

                                   
        As of and for the three months ended   As of and for the nine months ended
        September 30,    June 30,    September 30,    September 30,    September 30, 
        2024   2024   2023   2024   2023
    Interest income   $ 138,003        $ 132,447        $ 126,110        $ 402,182     $ 360,712  
    Add: impact of taxable equivalent adjustment     1,816       1,711       1,575       5,220       4,432  
    Interest income FTE (non-GAAP)   $ 139,819     $ 134,158     $ 127,685     $ 407,402     $ 365,144  
                                   
    Net interest income   $ 87,653     $ 83,574     $ 87,777     $ 255,257     $ 272,450  
    Add: impact of taxable equivalent adjustment     1,816       1,711       1,575       5,220       4,432  
    Net interest income FTE (non-GAAP)   $ 89,469     $ 85,285     $ 89,352     $ 260,477     $ 276,882  
                                   
    Average earning assets   $ 9,192,454     $ 9,117,766     $ 9,039,864     $ 9,146,020     $ 8,981,033  
    Yield on earning assets     5.97 %     5.84 %     5.53 %     5.87 %     5.37 %
    Yield on earning assets FTE (non-GAAP)     6.05 %     5.92 %     5.60 %     5.95 %     5.44 %
    Net interest margin     3.79 %     3.69 %     3.85 %     3.73 %     4.06 %
    Net interest margin FTE (non-GAAP)     3.87 %     3.76 %     3.92 %     3.80 %     4.12 %
                                             

    Efficiency Ratio and Pre-Provision Net Revenue

                                   
        As of and for the three months ended   As of and for the nine months ended
           September 30,       June 30,       September 30,       September 30,       September 30, 
           2024      2024      2023      2024      2023
    Net interest income   $ 87,653     $ 83,574     $ 87,777     $ 255,257     $ 272,450  
    Add: impact of taxable equivalent adjustment     1,816       1,711       1,575       5,220       4,432  
    Net interest income FTE (non-GAAP)   $ 89,469     $ 85,285     $ 89,352     $ 260,477     $ 276,882  
                                   
    Non-interest income   $ 18,389     $ 14,029     $ 19,365     $ 50,112     $ 47,853  
                                   
    Non-interest expense   $ 64,162     $ 63,075     $ 60,603     $ 190,071     $ 179,876  
    Less: other intangible assets amortization     (1,977 )     (1,977 )     (2,008 )     (5,962 )     (5,378 )
    Non-interest expense excluding other intangible assets amortization (non-GAAP)   $ 62,185     $ 61,098     $ 58,595     $ 184,109     $ 174,498  
                                   
    Efficiency ratio     60.51 %     64.62 %     56.56 %     62.24 %     56.16 %
    Efficiency ratio excluding other intangible assets amortization FTE (non-GAAP)     57.65 %     61.52 %     53.90 %     59.28 %     53.74 %
    Pre-provision net revenue (non-GAAP)   $ 41,880     $ 34,528     $ 46,539     $ 115,298     $ 140,427  
    Pre-provision net revenue, FTE (non-GAAP)     43,696       36,239       48,114       120,518       144,859  

    The MIL Network

  • MIL-OSI New Zealand: Funding boost for Hato Hone St John

    Source: New Zealand Government

    Associate Minister of Health Casey Costello and Minister for ACC Matt Doocey have announced today that the Government has invested over $21 million in additional funding into Hato Hone St John.

    “Hato Hone St John provides an essential service by ensuring people receive timely treatment in an emergency. This is a significant uplift in a constrained financial environment,” says Ms Costello.

    Health New Zealand and ACC will now jointly provide nearly $357 million of funding to Hato Hone St John in the financial year 2024/25 for emergency road ambulance and communication services.

    “This investment will ensure the ongoing delivery of the Hato Hone St John’s emergency road ambulance service. We know that adequate funding of our road ambulance services is essential to ensuring New Zealanders have access to emergency health care,” Mr Doocey says.

    “I am also pleased to see that negotiations with Hato Hone St John’s unions have been settled,” says Ms Costello.

    “We know Health NZ and ACC have worked closely with Hato Hone St John to minimise disruption and ensure essential services remain available.”

    Hato Hone St John has confirmed no further industrial action that would disrupt road ambulance services.   

    MIL OSI New Zealand News

  • MIL-OSI New Zealand: SH1 Southern Motorway CLOSED southbound at Penrose Rd overbridge

    Source: New Zealand Transport Agency

    |

    NZ Transport Agency Waka Kotahi (NZTA) advises State Highway 1 Southern Motorway is closed to southbound traffic between the Ellerslie Panmure Highway and the South Eastern Highway due to a serious incident.

    Emergency services are in attendance and the road is likely to be closed for some time. People are encouraged to delay their travel, where possible, or allow extra time for their journeys using alternative routes. Please visit the NZTA Journey Planner website for up-to-date information on the closure.

    journeys.nzta.govt.nz(external link)

    Tags

    MIL OSI New Zealand News

  • MIL-OSI: Chemung Financial Corporation Reports Third Quarter 2024 Net Income of $5.7 million, or $1.19 per share

    Source: GlobeNewswire (MIL-OSI)

    ELMIRA, N.Y., Oct. 22, 2024 (GLOBE NEWSWIRE) — Chemung Financial Corporation (the “Corporation”) (Nasdaq: CHMG), the parent company of Chemung Canal Trust Company (the “Bank”), today reported net income of $5.7 million, or $1.19 per share, for the third quarter of 2024, compared to $5.0 million, or $1.05 per share, for the second quarter of 2024, and $7.6 million, or $1.61 per share, for the third quarter of 2023.

    “Our balance sheet is well positioned as we enter into this rate cutting cycle. We are seeing the benefit of higher yielding loans driving interest income, while funding costs continue to moderate,” said Anders M. Tomson, President and CEO of Chemung Financial Corporation. “Strong non-interest income production and a stable credit environment were a welcome addition to an already strong quarter,” Tomson added.

    “As we begin operations in our new Williamsville, New York location, we are eager to continue fostering an environment committed to our mission of community-oriented banking, both in Western New York and throughout the Bank’s footprint,” concluded Tomson.

    Third Quarter Highlights:

    • The Corporation opened a full-service branch and regional banking center at 5529 Main Street in Williamsville, New York under the Canal Bank, a division of Chemung Canal Trust Company, name on October 11, 2024.
    • Tangible equity to tangible assets improved by 66 basis points to 7.22% as of September 30, 2024, compared to prior quarter-end, and 77 basis points compared to December 31, 2023.1
    • Cost of interest-bearing liabilities increased by three basis points during the third quarter of 2024, compared to a nine basis points increase during the second quarter of 2024.
    • Dividends declared during the third quarter 2024 were $0.31 per share.

    1 See the GAAP to Non-GAAP reconciliations.

    3rd Quarter 2024 vs 2nd Quarter 2024

    Net Interest Income:

    Net interest income for the third quarter of 2024 totaled $18.4 million compared to $17.8 million for the prior quarter, an increase of $0.6 million, or 3.4%, driven primarily by increases of $1.1 million in interest income on loans, including fees and $0.1 million in interest income on interest-earning deposits, offset primarily by increases of $0.3 million in interest expense on deposits and $0.1 million in interest expense on borrowed funds, and a decrease of $0.2 million in interest income on taxable securities.

    Interest income on loans, including fees, increased primarily due to an increase of 11 basis points in the average yield on commercial loans, compared to the prior quarter. The increase in the average yield on commercial loans was primarily attributable to higher yielding commercial real estate originations during 2024, and the recognition of $0.2 million in interest income on the payoff of a nonaccrual commercial real estate loan. Average balances of commercial loans increased $14.3 million, compared to the prior quarter. Average yields on residential mortgages and consumer loans increased 21 and 15 basis points, respectively, compared to the prior quarter, while average balances of residential mortgages and consumer loans decreased by $0.1 million and $3.8 million, respectively. The increase in interest income on interest-earning deposits was due to an increase of $5.7 million in the average balances of interest- earning deposits, compared to the prior quarter.

    Interest expense on deposits increased primarily due to growth in the average balances of customer time deposits of $25.5 million and an increase of five basis points in the average interest rate paid on customer time deposits, compared to the prior quarter. Customer time deposits comprised 23.0% of average total deposits for the three months ended September 30, 2024, compared to 21.9% for the three months ended June 30, 2024. Average balances of brokered deposits decreased $35.3 million, compared to the prior quarter, while the average interest rate paid on brokered deposits was flat quarter over quarter. Average balances of savings and money market deposits increased $10.1 million and average interest rates paid on savings and money market deposits increased nine basis points, compared to the prior quarter. Average balances of total interest-bearing deposits increased $6.1 million and the average interest rate paid on total interest-bearing deposits increased two basis points, compared to the prior quarter. The increase in the average balances and average cost of customer time deposits was primarily due to the continuation of CD campaigns in the current quarter. The increase in the average balances and average cost of savings and money market deposits was primarily due to a shift in the composition of deposits towards higher rate money market accounts and additional seasonal municipal deposits.

    The increase in interest expense on borrowed funds was due primarily to an increase in the average cost of total borrowings of four basis points, and an increase in the average balances of borrowed funds of $3.2 million in the current quarter, compared to the prior quarter. The average cost of total borrowings for the current quarter was 5.08%, compared to 5.04% in the prior quarter. Included in average balances of borrowed funds was $30.0 million in FHLB term advances that matured in September 2024. The decrease in interest income on taxable securities was primarily due to lower average balances of SBA pooled loan securities and additional amortization expense on SBA pooled loan securities, both due to paydown activity.

    Fully taxable equivalent net interest margin was 2.72% in the current quarter, compared to 2.66% in the prior quarter. Expansion of net interest margin in the current quarter was primarily attributable to an increase of nine basis points in the average yield of total interest-earning assets to 4.78%, offset by an increase of three basis points in the average cost of interest-bearing liabilities to 2.97%, compared to the prior quarter.

    Provision for Credit Losses:

    Provision for credit losses decreased $0.3 million in the current quarter, compared to the prior quarter. Provisioning in the current quarter was primarily attributable to unfavorable changes in economic forecasts and lower modeled prepayment speeds used in the Bank’s CECL model, as well as lower growth-related provisioning in the current quarter, compared to the prior quarter. Provisioning in the prior quarter included a $0.2 million specific allocation on a commercial and industrial loan.

    Non-Interest Income:

    Non-interest income for the third quarter of 2024 was $5.9 million, compared to $5.6 million for the prior quarter, an increase of $0.3 million, or 5.4%. The increase was driven primarily by increases of $0.1 million in each of wealth management group fee income, service charges on deposit accounts, change in fair value of equity investments, and gains on sales of loans held for sale.

    The increase in wealth management group fee income was primarily attributable to increases in fee rates effective July 1, 2024. The increase in service charges on deposit accounts was primarily attributable to an increase in overdraft transaction volume, compared to the prior quarter. The increase in the change in fair value of equity investments was primarily attributable to an increase in the market value of assets held for the Corporation’s deferred compensation plan, and the increase in gains on sales of loans held for sale was primarily attributable to an increase in the volume of loans sold to the secondary market during the current period, due to an increase in total residential loan originations in the current period.

    Non-Interest Expense:

    Non-interest expense for the third quarter of 2024 was $16.5 million, compared to $16.2 million for the prior quarter, an increase of $0.3 million, or 1.9%. The increase was driven primarily by increases of $0.3 million each in salaries and wages and data processing expenses, and $0.2 million in other non-interest expense, partially offset by a decrease of $0.5 million in pension and other employee benefits.

    The increase in salaries and wages compared to the prior quarter was primarily attributable to additional staffing for the Corporation’s newly established Western New York regional banking center, and expense related to an increase in the market value of assets held for the Corporation’s deferred compensation plan. The increase in data processing expense was primarily attributable to the timing of various vendor credits and rebates, and an increase in card procurement expense. The increase in other non-interest expense was primarily attributable to an increase supplies and postage expense, and an increase in charitable contributions. The decrease in pension and other employee benefits was primarily attributable to lower healthcare related expenses in the current quarter, compared to the prior quarter.

    Income Tax Expense:

    Income tax expense for the third quarter of 2024 was $1.5 million, compared to $1.3 million for the prior quarter, an increase of $0.2 million. The effective tax rate for the current quarter increased to 20.9% from 20.3% in the prior quarter. The increase in income tax expense was primarily attributable to an increase in pretax income.

    3rd Quarter 2024 vs 3rd Quarter 2023

    Net Interest Income:

    Net interest income for the third quarter of 2024 totaled $18.4 million compared to $18.0 million for the same period in the prior year, an increase of $0.4 million, or 2.2%, driven primarily by increases of $3.6 million in interest income on loans, including fees and $0.3 million in interest income on interest-earning deposits, partially offset by increases of $2.3 million in interest expense on deposits and $0.7 million in interest expense on borrowed funds, and a decrease of $0.5 million in interest income on taxable securities.

    Interest income on loans, including fees, increased primarily due to a $134.3 million increase in the average balances of commercial loans and an increase of 36 basis points in the average yield on commercial loans, compared to the same period in the prior year. The increase in average balances of commercial loans consisted of year over year growth in both commercial and industrial and commercial real estate balances, while the increase in the average yield was primarily due to higher origination yields in 2024. Average balances of residential mortgage loans decreased $9.2 million compared to the same period in the prior year due to an increase in sales of new originations to the secondary market, while the average yield on residential mortgage loans increased 36 basis points compared to the same period in the prior year. Average consumer loan balances decreased $13.9 million compared to the same period in the prior year, primarily due to lower indirect auto loan origination activity during the third quarter of 2024 compared to the prior year period, while the average yield on consumer loans increased 60 basis points, primarily due to runoff of older vintage indirect auto loans, replaced by higher yielding new originations. Interest income on interest-earning deposits increased primarily due to a $21.2 million increase in the average balances of interest-earning deposits, compared to the same period in the prior year.

    Interest expense on deposits increased primarily due to a 44 basis points increase in the average interest rate paid on total interest-bearing deposits, which included brokered deposits, and an increase of $175.6 million in the average balance of customer interest-bearing deposits. Both the increase in the average interest rate paid and the average balances of customer interest-bearing deposits were primarily attributable to CD campaigns throughout 2024, as well as a general shift in the deposit mix towards higher cost accounts. The average balances of brokered deposits decreased $123.7 million, while the average interest rate paid on brokered deposits increased nine basis points, compared to the same period in the prior year. Average balances of brokered deposits decreased primarily due to the utilization of the Bank Term Funding Program (BTFP) and FHLBNY term advances in the current quarter, which were not utilized in the same period in the prior year, as well as lower growth in loan balances during the current quarter, compared to the same period in the prior year.

    The increase in interest expense on borrowed funds was primarily attributable to a $54.8 million increase in the average balances of borrowed funds, partially offset by a decrease of 17 basis points in the average interest rate paid on borrowed funds. Changes in the composition of borrowed funds reflected the Corporation’s shift to the lower cost BTFP, as well as FHLBNY term advances, partially replacing FHLBNY overnight advances in the current quarter, compared to the same period in the prior year. The average balances of FHLBNY overnight advances decreased $17.3 million, while the average interest rate paid on FHLBNY overnight advances decreased 47 basis points, compared to the same period in the prior year. The decrease in interest income on taxable securities was primarily attributable to net paydowns and maturities of available for sale securities between the third quarter of 2023 and the third quarter of 2024 of $54.8 million, and an increase in amortization expense on SBA pooled loan securities, due to paydown activity.

    Fully taxable equivalent net interest margin was 2.72% for the third quarter of 2024, compared to 2.73% for the same period in the prior year. The average cost of interest-bearing liabilities increased 50 basis points to 2.97%, and the average balances of interest-bearing liabilities increased $106.7 million, compared to the same period in the prior year. The average yield on interest-earning assets increased 38 basis points to 4.78%, and the average balances of interest- earning assets increased $73.0 million, compared to the same period in the prior year.

    Provision for Credit Losses:

    Provision for credit losses increased $0.1 million for the third quarter of 2024, compared to the same period in the prior year. The increase was primarily attributable to unfavorable changes in FOMC forecasts in the third quarter of 2024, compared to favorable changes to forecasts in the third quarter of 2023, as well as a decline in modeled prepayment speeds. This increase was partially offset by a decrease of $0.3 million in net charge offs in the third quarter of 2024, compared to the third quarter of 2023.

    Non-Interest Income:

    Non-interest income for the third quarter of 2024 was $5.9 million compared to $7.8 million for the same period in the prior year, a decrease of $1.9 million, or 24.4%. The decrease was primarily driven by a decrease of $2.5 million in other non-interest income, partially offset by increases of $0.5 million in wealth management group fee income and $0.2 million in the change in fair value of equity investments. The decrease in other non-interest income was primarily attributable to the recognition of the employee retention tax credit (ERTC) in the third quarter of 2023. The increase in wealth management group fee income was primarily attributable to an increase in the market value of total assets under management or administration and fee rate increases effective in the third quarter of 2024, while the increase in the change in fair value of equity investments was primarily attributable to an increase in the value of assets held for the Corporation’s deferred compensation plan.

    Non-Interest Expense:

    Non-interest expense for the third quarter of 2024 was $16.5 million compared to $15.7 million for the same period in the prior year, an increase of $0.8 million, or 5.1%. The increase was primarily driven by increases of $0.6 million in salaries and wages and $0.3 million in other non-interest expense, partially offset by a decrease of $0.4 million in pension and other employee benefits.

    The increase in salaries and wages was primarily attributable to an increase in salaries, including additional staffing for the Corporation’s newly opened Western New York regional banking center, as well as an increase in the market value of the assets held for the Corporation’s deferred compensation plan. The increase in other non-interest expense was primarily attributable to increases in supplies and postage expense, and losses recognized on the sale of repossessed vehicles in the current quarter, compared to the same period in the prior year. The decrease in pension and other employee benefits was primarily attributable to a decrease in healthcare related expenses in the current quarter, compared to the same period in the prior year.

    Income Tax Expense:

    Income tax expense for the third quarter of 2024 was $1.5 million compared to $2.1 million for the third quarter of 2023, a decrease of $0.5 million. The effective tax rate for the current quarter was 20.9%, compared to 21.2% for the same period in the prior year. The decrease in income tax expense was primarily attributable to additional income tax expense recognized in the third quarter of 2023 due to filing amended tax returns in relation to the ERTC.

    Asset Quality

    Non-performing loans totaled $10.5 million as of September 30, 2024, or 0.52% of total loans, compared to $10.4 million, or 0.53% of total loans as of December 31, 2023. The slight increase in non-performing loans was primarily attributable to $3.9 million in commercial loan balances added to nonaccrual during the year, offset by $3.8 million in paydowns and payoffs of existing nonaccrual commercial loan balances during the year. Non-performing assets, which are comprised of non-performing loans, other real estate owned, and repossessed vehicles, were $11.1 million, or 0.40% of total assets as of September 30, 2024, compared to $10.7 million, or 0.40% of total assets as of December 31, 2023. Other real estate owned was $0.5 million and repossessed vehicles was $0.1 million as of September 30, 2024.

    Total loan delinquencies as of September 30, 2024 increased compared to December 31, 2023, primarily attributable to increases in residential mortgage and consumer loan delinquency rates during the period. The majority of past due residential mortgage balances were past due between 30-59 days. Commercial loan delinquency rates declined as of September 30, 2024, compared to December 31, 2023. Annualized net charge-offs to total average loans for the third quarter of 2024 were 0.02%, compared to 0.06% for the second quarter of 2024, and 0.04% for the nine months ended September 30, 2024, compared to 0.05% for the nine months ended September 30, 2023. Annualized consumer net charge-offs for the nine months ended September 30, 2024 were 0.31% of average consumer loan balances and 0.18% of average consumer loan balances for the third quarter of 2024, primarily concentrated in indirect auto loans, while commercial loans and residential mortgage loans each had net recovery rates for the nine months ended September 30, 2024 and the third quarter of 2024.

    The allowance for credit losses was $21.4 million as of September 30, 2024 and $22.5 million as of December 31, 2023. The allowance for credit losses on unfunded commitments, a component of other liabilities, was $0.8 million as of September 30, 2024 and $0.9 million as of December 31, 2023. The decrease in the allowance for credit losses was primarily attributable to the annual review and update to the loss drivers which the Bank’s CECL model is based upon. Recalibration of loss drivers resulted in a decline in the baseline loss rates which the model utilizes, and were applied beginning in the first quarter of 2024. Partially offsetting these declines were comparatively weaker FOMC projections for economic variables used in the model as of September 30, 2024 compared to as of December 31, 2023, in addition to declines in prepayment speeds between December 31, 2023 and September 30, 2024, and loan growth during 2024.

    The allowance for credit losses was 203.33% of non-performing loans as of September 30, 2024 and 216.28% as of December 31, 2023. The allowance for credit losses to total loans was 1.06% as of September 30, 2024 and 1.14% as of December 31, 2023. Provision for credit losses as a percentage of period-end loan balances was 0.03% for the third quarter of 2024.

    Balance Sheet Activity

    Total assets were $2.774 billion as of September 30, 2024 compared to $2.711 billion as of December 31, 2023, an increase of $63.7 million, or 2.3%. The increase was primarily attributable to increases of $56.3 million in loans, net of deferred origination fees and costs, and $43.6 million in cash and cash equivalents, partially offset by decreases of $30.9 million in total investment securities and $6.9 million in accrued interest receivable and other assets.

    The increase in loans, net of deferred origination fees and costs, was concentrated in the commercial loan portfolio, which increased by $76.9 million, or 5.5%, compared to prior year-end. Growth in commercial loans during the current period consisted of growth in both commercial and industrial and commercial real estate balances. Consumer loans decreased by $16.7 million, or 5.4%, primarily driven by lower indirect auto loan origination activity during the current period, and a relatively fast turnover rate in the portfolio. Residential mortgages decreased by $3.9 million, or 1.4%, as the Corporation continued to elect to sell a portion of originations into the secondary market.

    The increase in cash and cash equivalents was primarily due to $50.0 million in advances from the Federal Reserve’s BTFP, $41.8 million in paydowns and maturities of available for sale securities, and an increase of $21.7 million in total deposits, primarily offset by an increase of $56.3 million in loans, net of deferred origination fees and costs, and a decrease of $31.9 million in FHLB overnight advances, compared to prior year-end.

    Total investment securities decreased primarily due to a decrease of $29.4 million in securities available for sale, compared to prior year-end. Net paydowns and maturities on securities available for sale for the current period totaled $41.8 million, primarily attributable to paydowns on mortgage-backed securities and SBA pooled-loan securities. The market value of securities available for sale increased by $14.7 million, due to favorable changes in interest rates during the current period. The decrease in accrued interest receivable and other assets was primarily due to decreases in interest rate swap assets of $4.2 million, due to a decrease in the market value of swaps, and $3.9 million in deferred tax assets, due to improvements in the market value of the available for sale securities portfolio.

    Total liabilities were $2.554 billion as of September 30, 2024 compared to $2.515 billion as of December 31, 2023, an increase of $38.3 million, or 1.5%. The increase in total liabilities was primarily attributable to increases of $18.8 million in advances and other debt and of $21.7 million in deposits, partially offset by a decrease of $2.2 million in accrued interest payable and other liabilities.

    Total deposits increased by $21.7 million or 0.9%, compared to prior year-end, primarily driven by increases of $102.8 million in customer time deposits, or 21.9%, and $58.2 million in interest bearing demand deposits, or 20.0%. Partially offsetting these increases were decreases of $103.3 million in brokered deposits, or 72.3%, and $37.0 million in non- interest bearing demand deposits, or 5.7%. Additionally, money market deposits increased by $7.2 million, or 1.1% and savings deposits decreased by $6.2 million, or 2.5%. Non-interest bearing deposits comprised 25.1% and 26.9% of total deposits as of September 30, 2024 and December 31, 2023, respectively.

    The increase in advances and other debt was primarily attributable to a $50.0 million advance from the Federal Reserve’s BTFP, and an increase of $0.7 million in finance lease obligations, offset by a decrease of $31.9 million in FHLBNY overnight advances. The decrease in accrued interest payable and other liabilities was primarily due to a decrease in interest rate swap liabilities of $4.8 million, primarily due to a decrease in the market value of swaps, partially offset by increases in interest payable on borrowed funds of $1.7 million and interest payable on deposits of $1.2 million.

    Total shareholders’ equity was $220.7 million as of September 30, 2024, compared to $195.2 million as of December 31, 2023, an increase of $25.4 million, or 13.0%, primarily driven by an increase of $13.3 million in retained earnings and a decrease of $10.9 million in accumulated other comprehensive loss. The increase in retained earnings was primarily due to net income of $17.8 million, offset by dividends declared of $4.4 million during the nine months ended September 30, 2024. The decrease in accumulated other comprehensive loss was primarily attributable to the favorable impact of interest rates on available for sale securities during the current period.

    The total equity to total assets ratio was 7.95% as of September 30, 2024, compared to 7.20% as of December 31, 2023, and the tangible equity to tangible assets ratio was 7.22% as of September 30, 2024, compared to 6.45% as of December 31, 2023.1 Book value per share increased to $46.22 as of September 30, 2024 from $41.07 as of December 31, 2023. As of September 30, 2024, the Bank’s capital ratios were in excess of those required to be considered well- capitalized under the regulatory framework for prompt corrective action.

    1 See the GAAP to Non-GAAP reconciliations

    Liquidity

    The Corporation uses a variety of resources to manage its liquidity, and management believes it has the necessary liquidity to allow for flexibility in meeting its various operational and strategic needs. These include short-term investments, cash flow from lending and investing activities, core-deposit growth and non-core funding sources, such as time deposits of $250,000 or greater, brokered deposits, FHLBNY advances, and Federal Reserve Bank Term Funding Program (BTFP) advances. No new borrowings could be made under the BTFP after March 11, 2024. Borrowings may be used on a short-term basis for liquidity purposes or on a long-term basis to fund asset growth. As of September 30, 2024, the Corporation’s cash and cash equivalents balance was $80.4 million. The Corporation also maintains an investment portfolio of securities available for sale, comprised primarily of US Government treasury securities, SBA loan pools, mortgage-backed securities, and municipal bonds. Although this portfolio generates interest income for the Corporation, it also serves as an available source of liquidity and capital if the need should arise. As of September 30, 2024, the Corporation’s investment in securities available for sale was $554.6 million, $256.1 million of which was not pledged as collateral. Additionally, the Bank’s total advance line capacity at the Federal Home Loan Bank of New York was $224.2 million as of September 30, 2024, all of which was available as of September 30, 2024. In January 2024, the Corporation utilized the BTFP with an advance of $50.0 million, which the Corporation paid off in October 2024, without prepayment penalty.

    As of September 30, 2024, uninsured deposits totaled $708.9 million, or 28.9% of total deposits, including $216.2 million of municipal deposits that were collateralized by pledged assets, when appropriate. As of December 31, 2023, uninsured deposits totaled $655.7 million, or 27.0% of total deposits, including $153.2 million of municipal deposits that were collateralized by pledged assets. Due to their fluidity, the Corporation closely monitors uninsured deposit levels when considering liquidity management strategies.

    The Corporation considers brokered deposits to be an element of its deposit strategy, and anticipates it may continue utilizing brokered deposits as a secondary source of funding in support of growth. As of September 30, 2024, the Corporation had entered into brokered deposit arrangements with multiple brokers. As of September 30, 2024, brokered deposits carried terms between 2 and 48 months, totaling $39.5 million. Excluding brokered deposits, total deposits increased $125.0 million compared to December 31, 2023, due primarily to ongoing CD campaigns and seasonal inflows associated with municipal deposits.

    Other Items

    The market value of total assets under management or administration in our Wealth Management Group was $2.316 billion as of September 30, 2024, including $367.8 million of assets under management or administration for the Corporation, compared to $2.242 billion as of December 31, 2023, including $381.3 million of assets under management or administration for the Corporation, an increase of $73.2 million, or 3.3%, due primarily to market improvements during 2024.

    As previously announced on January 8, 2021, the Corporation’s Board of Directors approved a stock repurchase program. Under the repurchase program, the Corporation may repurchase up to 250,000 shares of its common stock, or approximately 5% of its then outstanding shares. The repurchase program permits shares to be repurchased in open market or privately negotiated transactions, through block trades, and pursuant to any trading plan that may be adopted in accordance with Rule 10b5-1 of the Securities Exchange Act of 1934. As of September 30, 2024, a total of 49,184 shares of common stock at a total cost of $2.0 million were repurchased by the Corporation under its share repurchase program. No shares were repurchased in the third quarter of 2024. The weighted average cost was $40.42 per share repurchased. Remaining buyback authority under the share repurchase program was 200,816 shares as of September 30, 2024.

    The Bank opened a full-service branch and regional banking center at 5529 Main Street in Williamsville, New York on October 11, 2024 under the Canal Bank, a division of Chemung Canal Trust Company, name. The Bank has received regulatory approval to convert its previous branch location in Clarence, New York into an administrative office in support of the Bank’s Western New York operations.

    About Chemung Financial Corporation

    Chemung Financial Corporation is a $2.8 billion financial services holding company headquartered in Elmira, New York and operates 31 retail offices through its principal subsidiary, Chemung Canal Trust Company, a full service community bank with trust powers. Established in 1833, Chemung Canal Trust Company is the oldest locally-owned and managed community bank in New York State. Chemung Financial Corporation is also the parent of CFS Group, Inc., a financial services subsidiary offering non-traditional services including mutual funds, annuities, brokerage services, tax preparation services, and insurance.

    This press release may be found at: http://www.chemungcanal.com under Investor Relations.

    Forward-Looking Statements

    This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act, and the Private Securities Litigation Reform Act of 1995. The Corporation intends its forward-looking statements to be covered by the safe harbor provisions for forward-looking statements in this press release. All statements regarding the Corporation’s expected financial position and operating results, the Corporation’s business strategy, the Corporation’s financial plans, forecasted demographic and economic trends relating to the Corporation’s industry and similar matters are forward-looking statements. These statements can sometimes be identified by the Corporation’s use of forward-looking words such as “may,” “will,” “anticipate,” “estimate,” “expect,” or “intend.” The Corporation cannot promise that its expectations in such forward-looking statements will turn out to be correct. The Corporation’s actual results could be materially different from expectations because of various factors, including changes in economic conditions or interest rates, credit risk, inflation, cyber security risks, difficulties in managing the Corporation’s growth, competition, changes in law or the regulatory environment, and changes in general business and economic trends.

    Information concerning these and other factors, including Risk Factors, can be found in the Corporation’s periodic filings with the Securities and Exchange Commission (“SEC”), including the 2023 Annual Report on Form 10-K. These filings are available publicly on the SEC’s website at http://www.sec.gov, on the Corporation’s website at http://www.chemungcanal.com or upon request from the Corporate Secretary at (607) 737-3746. Except as otherwise required by law, the Corporation undertakes no obligation to publicly update or revise its forward-looking statements, whether as a result of new information, future events, or otherwise.

                 
    Chemung Financial Corporation            
    Consolidated Balance Sheets (Unaudited)            
        Sept. 30,   June 30,   March 31,   Dec. 31,   Sept. 30,
    (in thousands)   2024   2024   2024   2023   2023
    ASSETS                    
    Cash and due from financial institutions   $ 36,247     $ 23,184     $ 22,984     $ 22,247     $ 52,563  
    Interest-earning deposits in other financial institutions     44,193       47,033       71,878       14,600       23,017  
    Total cash and cash equivalents     80,440       70,217       94,862       36,847       75,580  
                                             
    Equity investments     3,244       3,090       3,093       3,046       2,811  
                                             
    Securities available for sale     554,575       550,927       566,028       583,993       569,004  
    Securities held to maturity     657       657       785       785       1,804  
    FHLB and FRB stock, at cost     4,189       5,506       4,071       5,498       4,053  
    Total investment securities     559,421       557,090       570,884       590,276       574,861  
                                             
    Commercial     1,464,205       1,445,258       1,425,437       1,387,321       1,341,017  
    Mortgage     274,099       271,620       277,246       277,992       281,361  
    Consumer     290,650       294,594       300,927       307,351       308,310  
    Loans, net of deferred loan fees     2,028,954       2,011,472       2,003,610       1,972,664       1,930,688  
    Allowance for credit losses     (21,441 )     (21,031 )     (20,471 )     (22,517 )     (20,252 )
    Loans, net     2,007,513       1,990,441       1,983,139       1,950,147       1,910,436  
                                             
    Loans held for sale           381       96              
    Premises and equipment, net     14,915       14,731       14,183       14,571       15,036  
    Operating lease right-of-use assets     5,637       5,827       6,018       5,648       5,850  
    Goodwill     21,824       21,824       21,824       21,824       21,824  
    Accrued interest receivable and other assets     81,221       92,212       90,791       88,170       101,436  
    Total assets   $ 2,774,215     $ 2,755,813     $ 2,784,890     $ 2,710,529     $ 2,707,834  
                         
    LIABILITIES AND SHAREHOLDERS’ EQUITY                    
    Deposits:                    
    Non-interest-bearing demand deposits   $ 616,126     $ 619,192     $ 656,330     $ 653,166     $ 683,348  
    Interest-bearing demand deposits     349,383       328,370       315,154       291,138       310,885  
    Money market accounts     630,870       613,131       631,350       623,714       626,256  
    Savings deposits     242,911       248,528       248,578       249,144       261,822  
    Time deposits     611,831       606,700       629,360       612,265       591,188  
    Total deposits     2,451,121       2,415,921       2,480,772       2,429,427       2,473,499  
                                             
    Advances and other debt     53,757       83,835       52,979       34,970       3,120  
    Operating lease liabilities     5,820       6,009       6,197       5,827       6,028  
    Accrued interest payable and other liabilities     42,863       48,826       47,814       45,064       55,123  
    Total liabilities     2,553,561       2,554,591       2,587,762       2,515,288       2,537,770  
                       
    Shareholders’ equity                  
    Common stock   53       53       53       53       53  
    Additional paid-in capital   48,457       48,102       47,794       47,773       47,974  
    Retained earnings   243,266       239,021       235,506       229,930       227,596  
    Treasury stock, at cost   (15,987 )     (16,043 )     (16,147 )     (16,502 )     (16,880 )
    Accumulated other comprehensive loss   (55,135 )     (69,911 )     (70,078 )     (66,013 )     (88,679 )
    Total shareholders’ equity   220,654       201,222       197,128       195,241       170,064  
    Total liabilities and shareholders’ equity $ 2,774,215     $ 2,755,813     $ 2,784,890     $ 2,710,529     $ 2,707,834  
                         
    Period-end shares outstanding 4,774   4,772   4,768   4,754   4,738  
                             
    Chemung Financial Corporation        
    Consolidated Statements of Income (Unaudited)        
        Three Months Ended
    September 30,
      Percent      Nine Months Ended
    September 30,
      Percent  
    (in thousands, except per share data)     2024       2023     Change       2024       2023     Change  
    Interest and dividend income:                                            
    Loans, including fees   $ 28,611     $ 25,033     14.3     $ 83,323     $ 71,113     17.2  
    Taxable securities     3,060       3,537     (13.5 )     9,868       10,750     (8.2 )
    Tax exempt securities     250       258     (3.1 )     762       778     (2.1 )
    Interest-earning deposits     441       187     135.8       1,014       400     153.5  
    Total interest and dividend income     32,362       29,015     11.5       94,967       83,041     14.4  
                                                 
    Interest expense:                                            
    Deposits     13,005       10,721     21.3       37,861       24,577     54.1  
    Borrowed funds     969       277     249.8       2,868       1,905     50.6  
    Total interest expense     13,974       10,998     27.1       40,729       26,482     53.8  
                                                 
    Net interest income     18,388       18,017     2.1       54,238       56,559     (4.1 )
    Provision (credit) for credit losses     564       449     25.6       (597 )     962     (162.1 )
    Net interest income after provision for credit losses     17,824       17,568     1.5       54,835       55,597     (1.4 )
                                                 
    Non-interest income:                                            
    Wealth management group fee income     2,991       2,533     18.1       8,554       7,716     10.9  
    Service charges on deposit accounts     1,016       1,018     (0.2 )     2,929       2,918     0.4  
    Interchange revenue from debit card transactions     1,123       1,141     (1.6 )     3,327       3,468     (4.1 )
    Change in fair value of equity investments     118       (68 )   273.5       233       (99 )   335.4  
    Net gains on sales of loans held for sale     91       67     35.8       162       90     80.0  
    Net gains (losses) on sales of other real estate owned     (19 )         N/M       (22 )     14     N/M  
    Income from bank owned life insurance     10       11     (9.1 )     29       32     (9.4 )
    Other     589       3,106     (81.0 )     1,962       4,539     (56.8 )
    Total non-interest income     5,919       7,808     (24.2 )     17,174       18,678     (8.1 )
                                                 
    Non-interest expense:                                            
    Salaries and wages     7,168       6,542     9.6       21,007       20,029     4.9  
    Pension and other employee benefits     1,627       1,979     (17.8 )     5,787       5,467     5.9  
    Other components of net periodic pension and postretirement benefits     (227 )     (174 )   (30.5 )     (691 )     (522 )   (32.4 )
    Net occupancy     1,422       1,337     6.4       4,360       4,242     2.8  
    Furniture and equipment     402       353     13.9       1,197       1,232     (2.8 )
    Data processing     2,567       2,480     3.5       7,437       7,334     1.4  
    Professional services     522       554     (5.8 )     1,639       1,596     2.7  
    Marketing and advertising     210       218     (3.7 )     943       720     31.0  
    Other real estate owned expense     55       10     N/M       116       49     136.7  
    FDIC insurance     524       525     (0.2 )     1,617       1,608     0.6  
    Loan expense     353       249     41.8       808       789     2.4  
    Other     1,887       1,595     18.3       5,207       4,873     6.9  
    Total non-interest expense     16,510       15,668     5.4       49,427       47,417     4.2  
                                                 
    Income before income tax expense     7,233       9,708     (25.5 )     22,582       26,858     (15.9 )
    Income tax expense     1,513       2,060     (26.6 )     4,825       5,660     (14.8 )
    Net income   $ 5,720     $ 7,648     (25.2 )   $ 17,757     $ 21,198     (16.2 )
                                                 
    Basic and diluted earnings per share   $ 1.19     $ 1.61           $ 3.72     $ 4.48        
    Cash dividends declared per share   $ 0.31     $ 0.31           $ 0.93     $ 0.93        
    Average basic and diluted shares outstanding     4,773       4,736             4,769       4,729        
                             
                             
    N/M – Not Meaningful                        
    Chemung Financial Corporation   As of or for the Three Months Ended   As of or for the
    Nine Months Ended
    Consolidated Financial Highlights (Unaudited)   Sept. 30,   June 30,   March 31,   Dec. 31,   Sept. 30,   Sept. 30,   Sept. 30,
    (in thousands, except per share data)     2024       2024       2024       2023       2023       2024       2023  
    RESULTS OF OPERATIONS                            
    Interest income   $ 32,362     $ 31,386     $ 31,219     $ 30,033     $ 29,015     $ 94,967     $ 83,041  
    Interest expense     13,974       13,625       13,130       12,135       10,998       40,729       26,482  
    Net interest income     18,388       17,761       18,089       17,898       18,017       54,238       56,559  
    Provision (credit) for credit losses     564       879       (2,040 )     2,300       449       (597 )     962  
    Net interest income after provision for credit losses     17,824       16,882       20,129       15,598       17,568       54,835       55,597  
    Non-interest income     5,919       5,598       5,657       5,871       7,808       17,174       18,678  
    Non-interest expense     16,510       16,219       16,698       16,826       15,668       49,427       47,417  
    Income before income tax expense     7,233       6,261       9,088       4,643       9,708       22,582       26,858  
    Income tax expense     1,513       1,274       2,038       841       2,060       4,825       5,660  
    Net income   $ 5,720     $ 4,987     $ 7,050     $ 3,802     $ 7,648     $ 17,757     $ 21,198  
                                 
    Basic and diluted earnings per share   $ 1.19     $ 1.05     $ 1.48     $ 0.80     $ 1.61     $ 3.72     $ 4.48  
    Average basic and diluted shares outstanding     4,773       4,770       4,764       4,743       4,736       4,769       4,729  
                                 
    PERFORMANCE RATIOS                            
    Return on average assets     0.83 %     0.73 %     1.04 %     0.56 %     1.14 %     0.87 %     1.07 %
    Return on average equity     10.81 %     10.27 %     14.48 %     8.63 %     16.89 %     11.82 %     15.93 %
    Return on average tangible equity (a)     12.07 %     11.56 %     16.29 %     9.86 %     19.22 %     13.27 %     18.15 %
    Efficiency ratio (unadjusted) (e)     67.92 %     69.43 %     70.32 %     70.79 %     60.67 %     69.21 %     63.02 %
    Efficiency ratio (adjusted) (a)     67.69 %     69.19 %     70.07 %     70.42 %     66.55 %     68.97 %     64.83 %
    Non-interest expense to average assets     2.39 %     2.38 %     2.47 %     2.48 %     2.33 %     2.41 %     2.39 %
    Loans to deposits     82.78 %     83.26 %     80.77 %     81.20 %     78.05 %     82.78 %     78.05 %
                                 
    YIELDS / RATES – Fully Taxable Equivalent                            
    Yield on loans     5.65 %     5.52 %     5.51 %     5.31 %     5.21 %     5.56 %     5.07 %
    Yield on investments     2.21 %     2.27 %     2.35 %     2.24 %     2.22 %     2.28 %     2.21 %
    Yield on interest-earning assets     4.78 %     4.69 %     4.70 %     4.50 %     4.40 %     4.72 %     4.27 %
    Cost of interest-bearing deposits     2.88 %     2.86 %     2.75 %     2.59 %     2.44 %     2.83 %     1.94 %
    Cost of borrowings     5.08 %     5.04 %     5.15 %     5.52 %     5.25 %     5.09 %     5.04 %
    Cost of interest-bearing liabilities     2.97 %     2.94 %     2.85 %     2.68 %     2.47 %     2.92 %     2.03 %
    Interest rate spread     1.81 %     1.75 %     1.85 %     1.82 %     1.93 %     1.80 %     2.24 %
    Net interest margin, fully taxable equivalent     2.72 %     2.66 %     2.73 %     2.69 %     2.73 %     2.70 %     2.91 %
                                 
    CAPITAL                            
    Total equity to total assets at end of period     7.95 %     7.30 %     7.08 %     7.20 %     6.28 %     7.95 %     6.28 %
    Tangible equity to tangible assets at end of period (a)     7.22 %     6.56 %     6.34 %     6.45 %     5.52 %     7.22 %     5.52 %
    Book value per share   $ 46.22     $ 42.17     $ 41.34     $ 41.07     $ 35.90     $ 46.22     $ 35.90  
    Tangible book value per share (a)     41.65       37.59       36.77       36.48       31.29       41.65       31.29  
    Period-end market value per share     48.02       48.00       42.48       49.80       39.61       48.02       39.61  
    Dividends declared per share     0.31       0.31       0.31       0.31       0.31       0.93       0.93  
                                 
    AVERAGE BALANCES                            
    Loans and loans held for sale (b)   $ 2,020,280     $ 2,009,823     $ 1,989,185     $ 1,956,022     $ 1,909,100     $ 2,006,479     $ 1,879,765  
    Interest-earning assets     2,699,968       2,699,402       2,681,059       2,654,638       2,627,012       2,693,499       2,609,999  
    Total assets     2,751,392       2,740,967       2,724,391       2,688,536       2,664,570       2,738,962       2,650,908  
    Deposits     2,410,735       2,419,169       2,402,215       2,397,663       2,410,931       2,410,706       2,371,021  
    Total equity     210,421       195,375       195,860       174,868       179,700       200,588       177,969  
    Tangible equity (a)     188,597       173,551       174,036       153,044       157,876       178,764       156,145  
                                 
    ASSET QUALITY                            
    Net charge-offs   $ 79     $ 306     $ 182     $ 171     $ 356     $ 566     $ 771  
    Non-performing loans (c)     10,545       8,195       7,835       10,411       6,826       10,545       6,826  
    Non-performing assets (d)     11,134       8,872       8,394       10,737       7,055       11,134       7,055  
    Allowance for credit losses     21,441       21,031       20,471       22,517       20,252       21,441       20,252  
    Annualized net charge-offs to average loans     0.02 %     0.06 %     0.04 %     0.03 %     0.07 %     0.04 %     0.05 %
    Non-performing loans to total loans     0.52 %     0.41 %     0.39 %     0.53 %     0.35 %     0.52 %     0.35 %
    Non-performing assets to total assets     0.40 %     0.32 %     0.30 %     0.40 %     0.26 %     0.40 %     0.26 %
    Allowance for credit losses to total loans     1.06 %     1.05 %     1.02 %     1.14 %     1.05 %     1.06 %     1.05 %
    Allowance for credit losses to non-performing loans     203.33 %     256.63 %     261.28 %     216.28 %     296.69 %     203.33 %     296.69 %
                                 
    (a) See the GAAP to Non-GAAP reconciliations.
    (b) Loans and loans held for sale do not reflect the allowance for credit losses.
    (c) Non-performing loans include non-accrual loans only.
    (d) Non-performing assets include non-performing loans plus other real estate owned and repossessed vehicles.
    (e) Efficiency ratio (unadjusted) is non-interest expense divided by the total of net interest income plus non-interest income.
                                 
    Chemung Financial Corporation                                  
    Average Consolidated Balance Sheets & Net Interest Income Analysis and Rate/Volume Analysis of Net Interest Income (Unaudited)
      Three Months Ended
    September 30, 2024
      Three Months Ended
    September 30, 2023
      Three Months Ended
    September 30, 2024 vs. 2023
    (in thousands) Average
    Balance
      Interest   Yield /
    Rate
      Average
    Balance
      Interest   Yield /
    Rate
      Total
    Change
      Due to
    Volume
      Due to
    Rate
                                       
    Interest-earning assets:                                  
    Commercial loans $ 1,453,418     $ 21,854     5.98 %   $ 1,319,110     $ 18,672     5.62 %   $ 3,182     $ 1,953     $ 1,229  
    Mortgage loans   273,374       2,713     3.97 %     282,578       2,572     3.61 %     141       (92 )     233  
    Consumer loans   293,488       4,102     5.56 %     307,412       3,843     4.96 %     259       (183 )     442  
    Taxable securities   605,631       3,063     2.01 %     663,240       3,540     2.12 %     (477 )     (299 )     (178 )
    Tax-exempt securities   38,537       272     2.81 %     40,380       288     2.83 %     (16 )     (14 )     (2 )
    Interest-earning deposits   35,520       441     4.94 %     14,292       187     5.19 %     254       263       (9 )
    Total interest-earning assets   2,699,968       32,445     4.78 %     2,627,012       29,102     4.40 %     3,343       1,628       1,715  
                                       
    Non interest-earning assets:                                  
    Cash and due from banks   25,086               26,272                      
    Other assets   47,571               31,496                      
    Allowance for credit losses (3)   (21,233 )             (20,210 )                    
    Total assets $ 2,751,392             $ 2,664,570                      
                                       
    Interest-bearing liabilities:                                  
    Interest-bearing checking $ 311,406     $ 1,445     1.85 %   $ 281,106     $ 963     1.36 %   $ 482     $ 111     $ 371  
    Savings and money market   864,541       4,607     2.12 %     890,109       3,945     1.76 %     662       (117 )     779  
    Time deposits   554,605       6,056     4.34 %     383,786       3,269     3.38 %     2,787       1,701       1,086  
    Brokered deposits   65,913       897     5.41 %     189,628       2,543     5.32 %     (1,646 )     (1,688 )     42  
    FHLBNY overnight advances   541       7     5.06 %     17,879       249     5.53 %     (242 )     (223 )     (19 )
    FRB advances and other debt   75,305       962     5.08 %     3,144       29     3.66 %     933       918       15  
    Total interest-bearing liabilities   1,872,311       13,974     2.97 %     1,765,652       10,998     2.47 %     2,976       702       2,274  
                                       
    Non interest-bearing liabilities:                                  
    Demand deposits   614,270               666,302                      
    Other liabilities   54,390               52,916                      
    Total liabilities   2,540,971               2,484,870                      
    Shareholders’ equity   210,421               179,700                      
    Total liabilities and shareholders’ equity $ 2,751,392             $ 2,664,570                      
                                       
    Fully taxable equivalent net interest income       18,471               18,104         $ 367     $ 926     $ (559 )
    Net interest rate spread (1)         1.81 %           1.93 %            
    Net interest margin, fully taxable equivalent (2)         2.72 %           2.73 %            
    Taxable equivalent adjustment       (83 )             (87 )                
    Net interest income     $ 18,388             $ 18,017                  
                                       
    (1) Net interest rate spread is the difference in the average yield on interest-earning assets less the average rate on interest-bearing liabilities.
    (2) Net interest margin is the ratio of fully taxable equivalent net interest income divided by average interest-earning assets.
    (3) The Corporation implemented CECL as of January 1, 2023.
                                       
    Chemung Financial Corporation
    Average Consolidated Balance Sheets & Net Interest Income Analysis and Rate/Volume Analysis of Net Interest Income (Unaudited)
      Nine Months Ended
    September 30, 2024
      Nine Months Ended
    September 30, 2023
      Nine Months Ended
    September 30, 2024 vs. 2023
    (in thousands) Average
    Balance
      Interest   Yield/
    Rate
      Average
    Balance
      Interest   Yield /
    Rate
      Total
    Change

      Due to
    Volume
      Due to
    Rate
                                                     
    Interest earning assets:                                                
    Commercial loans $ 1,433,224     $ 63,501     5.92 %   $ 1,289,638     $ 53,047     5.50 %   $ 10,454     $ 6,201     $ 4,253  
    Mortgage loans   274,834       7,879     3.82 %     284,351       7,553     3.55 %     326       (253 )     579  
    Consumer loans   298,421       12,114     5.42 %     305,776       10,673     4.67 %     1,441       (261 )     1,702  
    Taxable securities   619,657       9,877     2.13 %     679,330       10,758     2.12 %     (881 )     (933 )     52  
    Tax-exempt securities   39,453       830     2.81 %     40,562       887     2.92 %     (57 )     (24 )     (33 )
    Interest-earning deposits   27,910       1,014     4.85 %     10,342       400     5.17 %     614       641       (27 )
    Total interest-earning assets   2,693,499       95,215     4.72 %     2,609,999       83,318     4.27 %     11,897       5,371       6,526  
                                                       
    Non interest-earning assets:                                                  
    Cash and due from banks   25,131                 25,512                      
    Other assets   41,807                 35,547                      
    Allowance for credit losses (3)   (21,475 )               (20,150 )                    
    Total assets $ 2,738,962               $ 2,650,908                      
                                         
    Interest-bearing liabilities:                                                                  
    Interest-bearing checking $ 308,318     $ 4,170     1.81 %   $ 286,220     $ 1,959     0.92 %   $ 2,211     $ 164     $ 2,047  
    Savings and money market   861,382       13,190     2.05 %     899,871       8,645     1.28 %     4,545       (389 )     4,934  
    Time deposits   521,997       16,603     4.25 %     350,846       8,041     3.06 %     8,562       4,764       3,798  
    Brokered deposits   96,056       3,898     5.42 %     153,774       5,932     5.16 %     (2,034 )     (2,322 )     288  
    FHLBNY overnight advances   15,359       646     5.53 %     47,321       1,819     5.14 %     (1,173 )     (1,304 )     131  
    FRB advances and other debt   59,584       2,222     4.98 %     3,212       86     3.58 %     2,136       2,089       47  
    Total interest-bearing liabilities   1,862,696       40,729     2.92 %     1,741,244       26,482     2.03 %     14,247       3,002       11,245  
                                         
    Non interest-bearing liabilities:                                            
    Demand deposits   622,953                 680,310                      
    Other liabilities   52,725                 51,385                      
    Total liabilities   2,538,374                 2,472,939                      
    Shareholders’ equity   200,588                 177,969                      
    Total liabilities and shareholders’ equity $ 2,738,962               $ 2,650,908                      
                                                               
    Fully taxable equivalent net interest income       54,486                 56,836           $ (2,350 )   $ 2,369     $ (4,719 )
    Net interest rate spread (1)         1.80 %           2.24 %          
    Net interest margin, fully taxable equivalent (2)             2.70 %               2.91 %          
    Taxable equivalent adjustment       (248 )               (277 )                
    Net interest income     $ 54,238               $ 56,559                  
     
    (1)  Net interest rate spread is the difference in the average yield on interest-earning assets less the average rate on interest-bearing liabilities.
    (2)  Net interest margin is the ratio of fully taxable equivalent net interest income divided by average interest-earning assets.
    (3)  The Corporation implemented CECL as of January 1, 2023.
     

    Chemung Financial Corporation

    GAAP to Non-GAAP Reconciliations (Unaudited)

    The Corporation prepares its Consolidated Financial Statements in accordance with GAAP. See the Corporation’s unaudited consolidated balance sheets and statements of income contained within this press release. That presentation provides the reader with an understanding of the Corporation’s results that can be tracked consistently from period-to-period and enables a comparison of the Corporation’s performance with other companies’ GAAP financial statements.

    In addition to analyzing the Corporation’s results on a reported basis, management uses certain non-GAAP financial measures, because it believes these non-GAAP financial measures provide information to investors about the underlying operational performance and trends of the Corporation and, therefore, facilitate a comparison of the Corporation with the performance of other companies. Non- GAAP financial measures used by the Corporation may not be comparable to similarly named non-GAAP financial measures used by other companies.

    The SEC has adopted Regulation G, which applies to all public disclosures, including earnings releases, made by registered companies that contain “non-GAAP financial measures.” Under Regulation G, companies making public disclosures containing non- GAAP financial measures must also disclose, along with each non-GAAP financial measure, certain additional information, including a reconciliation of the non-GAAP financial measure to the closest comparable GAAP financial measure and a statement of the Corporation’s reasons for utilizing the non-GAAP financial measure as part of its financial disclosures. The SEC has exempted from the definition of “non-GAAP financial measures” certain commonly used financial measures that are not based on GAAP. When these exempted measures are included in public disclosures, supplemental information is not required. The following measures used in this Report, which are commonly utilized by financial institutions, have not been specifically exempted by the SEC and may constitute “non- GAAP financial measures” within the meaning of the SEC’s rules, although we are unable to state with certainty that the SEC would so regard them.

    Fully Taxable Equivalent Net Interest Income and Net Interest Margin

    Net interest income is commonly presented on a tax-equivalent basis. That is, to the extent that some component of the institution’s net interest income, which is presented on a before-tax basis, is exempt from taxation (e.g., is received by the institution as a result of its holdings of state or municipal obligations), an amount equal to the tax benefit derived from that component is added to the actual before-tax net interest income total. This adjustment is considered helpful in comparing one financial institution’s net interest income to that of other institutions or in analyzing any institution’s net interest income trend line over time, to correct any analytical distortion that might otherwise arise from the fact that financial institutions vary widely in the proportions of their portfolios that are invested in tax- exempt securities, and that even a single institution may significantly alter over time the proportion of its own portfolio that is invested in tax-exempt obligations. Moreover, net interest income is itself a component of a second financial measure commonly used by financial institutions, net interest margin, which is the ratio of net interest income to average interest-earning assets. For purposes of this measure as well, fully taxable equivalent net interest income is generally used by financial institutions, as opposed to actual net interest income, again to provide a better basis of comparison from institution to institution and to better demonstrate a single institution’s performance over time. The Corporation follows these practices. 

                                 
                            As of or for the
        As of or for the Three Months Ended   Nine Months Ended
        Sept. 30,   June 30,   March 31,   Dec. 31,   Sept. 30,   Sept. 30,   Sept. 30,
    (in thousands, except ratio data)     2024       2024       2024       2023       2023       2024       2023  
    NET INTEREST MARGIN – FULLY TAXABLE EQUIVALENT                            
    Net interest income (GAAP)   $ 18,388     $ 17,761     $ 18,089     $ 17,898     $ 18,017     $ 54,238     $ 56,559  
    Fully taxable equivalent adjustment     83       81       84       87       87       248       277  
    Fully taxable equivalent net interest income (non-GAAP)   $ 18,471     $ 17,842     $ 18,173     $ 17,985     $ 18,104     $ 54,486     $ 56,836  
                                 
    Average interest-earning assets (GAAP)   $ 2,699,968     $ 2,699,402     $ 2,681,059     $ 2,654,638     $ 2,627,012     $ 2,693,499     $ 2,609,999  
                                 
    Net interest margin – fully taxable equivalent (non-GAAP)     2.72 %     2.66 %     2.73 %     2.69 %     2.73 %     2.70 %     2.91 %
                                 

    Efficiency Ratio

    The unadjusted efficiency ratio is calculated as non-interest expense divided by total revenue (net interest income and non-interest income). The adjusted efficiency ratio is a non-GAAP financial measure which represents the Corporation’s ability to turn resources into revenue and is calculated as non-interest expense divided by total revenue (fully taxable equivalent net interest income and non- interest income), adjusted for one-time occurrences and amortization. This measure is meaningful to the Corporation, as well as investors and analysts, in assessing the Corporation’s productivity measured by the amount of revenue generated for each dollar spent.

                                 
                            As of or for the
        As of or for the Three Months Ended   Nine Months Ended
        Sept. 30,   June 30,   March 31,   Dec. 31,   Sept. 30,   Sept. 30,   Sept. 30,
    (in thousands, except ratio data)     2024       2024       2024       2023       2023       2024       2023  
    EFFICIENCY RATIO                            
    Net interest income (GAAP)   $ 18,388     $ 17,761     $ 18,089     $ 17,898     $ 18,017     $ 54,238     $ 56,559  
    Fully taxable equivalent adjustment     83       81       84       87       87       248       277  
    Fully taxable equivalent net interest income (non-GAAP)   $ 18,471     $ 17,842     $ 18,173     $ 17,985     $ 18,104     $ 54,486     $ 56,836  
                                 
    Non-interest income (GAAP)   $ 5,919     $ 5,598     $ 5,657     $ 5,871     $ 7,808     $ 17,174     $ 18,678  
    Less: net (gains) losses on security transactions                       39                    
    Less: recognition of employee retention tax credit                             (2,370 )           (2,370 )
    Adjusted non-interest income (non-GAAP)   $ 5,919     $ 5,598     $ 5,657     $ 5,910     $ 5,438     $ 17,174     $ 16,308  
                                 
    Non-interest expense (GAAP)   $ 16,510     $ 16,219     $ 16,698     $ 16,826     $ 15,668     $ 49,427     $ 47,417  
                                 
    Efficiency ratio (unadjusted)     67.92 %     69.43 %     70.32 %     70.79 %     60.67 %     69.21 %     63.02 %
    Efficiency ratio (adjusted)     67.69 %     69.19 %     70.07 %     70.42 %     66.55 %     68.97 %     64.83 %
                                 

    Tangible Equity and Tangible Assets (Period-End)

    Tangible equity, tangible assets, and tangible book value per share are each non-GAAP financial measures. Tangible equity represents the Corporation’s stockholders’ equity, less goodwill and intangible assets. Tangible assets represents the Corporation’s total assets, less goodwill and other intangible assets. Tangible book value per share represents the Corporation’s tangible equity divided by common shares at period-end. These measures are meaningful to the Corporation, as well as investors and analysts, in assessing the Corporation’s use of equity.

                                 
                            As of or for the
        As of or for the Three Months Ended   Nine Months Ended
        Sept. 30,   June 30,   March 31,   Dec. 31,   Sept. 30,   Sept. 30,   Sept. 30,
    (in thousands, except per share and ratio data)     2024       2024       2024       2023       2023       2024       2023  
    TANGIBLE EQUITY AND TANGIBLE ASSETS                            
    (PERIOD END)                            
    Total shareholders’ equity (GAAP)   $ 220,654     $ 201,222     $ 197,128     $ 195,241     $ 170,064     $ 220,654     $ 170,064  
    Less: intangible assets     (21,824 )     (21,824 )     (21,824 )     (21,824 )     (21,824 )     (21,824 )     (21,824 )
    Tangible equity (non-GAAP)   $ 198,830     $ 179,398     $ 175,304     $ 173,417     $ 148,240     $ 198,830     $ 148,240  
                                 
    Total assets (GAAP)   $ 2,774,215     $ 2,755,813     $ 2,784,890     $ 2,710,529     $ 2,707,834     $ 2,774,215     $ 2,707,834  
    Less: intangible assets     (21,824 )     (21,824 )     (21,824 )     (21,824 )     (21,824 )     (21,824 )     (21,824 )
    Tangible assets (non-GAAP)   $ 2,752,391     $ 2,733,989     $ 2,763,066     $ 2,688,705     $ 2,686,010     $ 2,752,391     $ 2,686,010  
                                 
    Total equity to total assets at end of period (GAAP)     7.95 %     7.30 %     7.08 %     7.20 %     6.28 %     7.95 %     6.28 %
    Book value per share (GAAP)   $ 46.22     $ 42.17     $ 41.34     $ 41.07     $ 35.90     $ 46.22     $ 35.90  
                                 
    Tangible equity to tangible assets at end of period (non-GAAP)     7.22 %     6.56 %     6.34 %     6.45 %     5.52 %     7.22 %     5.52 %
    Tangible book value per share (non-GAAP)   $ 41.65     $ 37.59     $ 36.77     $ 36.48     $ 31.29     $ 41.65     $ 31.29  
                                 

     Tangible Equity (Average)

    Average tangible equity and return on average tangible equity are each non-GAAP financial measures. Average tangible equity represents the Corporation’s average stockholders’ equity, less average goodwill and intangible assets for the period. Return on average tangible equity measures the Corporation’s earnings as a percentage of average tangible equity. These measures are meaningful to the Corporation, as well as investors and analysts, in assessing the Corporation’s use of equity. 

                                 
                            As of or for the
        As of or for the Three Months Ended   Nine Months Ended
        Sept. 30,   June 30,   March 31,   Dec. 31,   Sept. 30,   Sept. 30,   Sept. 30,
    (in thousands, except ratio data)     2024       2024       2024       2023       2023       2024       2023  
    TANGIBLE EQUITY (AVERAGE)                            
    Total average shareholders’ equity (GAAP)   $ 210,421     $ 195,375     $ 195,860     $ 174,868     $ 179,700     $ 200,588     $ 177,969  
    Less: average intangible assets     (21,824 )     (21,824 )     (21,824 )     (21,824 )     (21,824 )     (21,824 )     (21,824 )
    Average tangible equity (non-GAAP)   $ 188,597     $ 173,551     $ 174,036     $ 153,044     $ 157,876     $ 178,764     $ 156,145  
                                 
    Return on average equity (GAAP)     10.81 %     10.27 %     14.48 %     8.63 %     16.89 %     11.82 %     15.93 %
    Return on average tangible equity (non-GAAP)     12.07 %     11.56 %     16.29 %     9.86 %     19.22 %     13.27 %     18.15 %
                                 

    In addition to disclosures of certain GAAP financial measures, including net income, EPS, ROA, and ROE, we may also provide comparative disclosures that adjust these GAAP financial measures for a particular period by removing from the calculation thereof the impact of certain transactions or other material items of income or expense occurring during the period, including certain nonrecurring items. The Corporation believes that the resulting non-GAAP financial measures may improve an understanding of its results of operations by separating out any such transactions or items that may have had a disproportionate positive or negative impact on the Corporation’s financial results during the particular period in question. In the Corporation’s presentation of any such non-GAAP (adjusted) financial measures not specifically discussed in the preceding paragraphs, the Corporation supplies the supplemental financial information and explanations required under Regulation G.

                                 
                            As of or for the
        As of or for the Three Months Ended   Nine Months Ended
        Sept. 30,   June 30,   March 31,   Dec. 31,   Sept. 30,   Sept. 30,   Sept. 30,
    (in thousands, except per share and ratio data)     2024       2024       2024       2023       2023       2024       2023  
    NON-GAAP NET INCOME                            
    Reported net income (GAAP)   $ 5,720     $ 4,987     $ 7,050     $ 3,802     $ 7,648     $ 17,757     $ 21,198  
    Net (gains) losses on security transactions (net of tax)                       29                    
    Recognition of employee retention tax credit (net of tax)                             (1,873 )           (1,873 )
    Net income (non-GAAP)   $ 5,720     $ 4,987     $ 7,050     $ 3,831     $ 5,775     $ 17,757     $ 19,325  
                                 
    Average basic and diluted shares outstanding     4,773       4,770       4,764       4,743       4,736       4,769       4,729  
                                 
    Reported basic and diluted earnings per share (GAAP)   $ 1.19     $ 1.05     $ 1.48     $ 0.80     $ 1.61     $ 3.72     $ 4.48  
    Reported return on average assets (GAAP)     0.83 %     0.73 %     1.04 %     0.56 %     1.14 %     0.87 %     1.07 %
    Reported return on average equity (GAAP)     10.81 %     10.27 %     14.48 %     8.63 %     16.89 %     11.82 %     15.93 %
                                 
    Basic and diluted earnings per share (non-GAAP)   $ 1.19     $ 1.05     $ 1.48     $ 0.81     $ 1.21     $ 3.72     $ 4.08  
    Return on average assets (non-GAAP)     0.83 %     0.73 %     1.04 %     0.57 %     0.86 %     0.87 %     0.97 %
    Return on average equity (non-GAAP)     10.81 %     10.27 %     14.48 %     8.69 %     12.75 %     11.82 %     14.52 %
                                 

    Category: Financial

    Source: Chemung Financial Corp

    For further information contact:
    Dale M. McKim, III, EVP and CFO
    dmckim@chemungcanal.com
    Phone: 607-737-3714

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