Environmental Cash – G Net http://gnet.org/ Thu, 24 Nov 2022 00:17:00 +0000 en-US hourly 1 https://wordpress.org/?v=5.9.3 https://gnet.org/wp-content/uploads/2021/05/default-150x150.png Environmental Cash – G Net http://gnet.org/ 32 32 Bankers pour cold water on hot coals https://gnet.org/bankers-pour-cold-water-on-hot-coals/ Thu, 24 Nov 2022 00:17:00 +0000 https://gnet.org/bankers-pour-cold-water-on-hot-coals/ Coal miners struggle to fund expansion plans Thermal coal costs more than coking coal after price spike Most Western bankers pull out of coal industry LONDON, Nov 24 (Reuters) – This is the best of times, this is the worst of times. At least when it comes to coal mining. After years of decline, demand […]]]>
  • Coal miners struggle to fund expansion plans
  • Thermal coal costs more than coking coal after price spike
  • Most Western bankers pull out of coal industry

LONDON, Nov 24 (Reuters) – This is the best of times, this is the worst of times. At least when it comes to coal mining.

After years of decline, demand for polluting fossil fuels has surged this year as Europe scrambles to replace Russian gas and coal miners rake in cash.

With coal prices hitting record highs, companies would normally expand operations, but projects are being left on the table as most Western banks meet climate pledges to restrict lending to the sector, say a dozen executives and investors of mining companies.

“If you’re a company with a bank right now it’s easier. If you want to build a new mine, forget it, it’s become impossible,” said Gerhard Ziems, chief financial officer of Australian coal miner Coronado. Global Resources Inc. (CRN.AX).

Demand for fossil fuel is so high that some miners say they sell coking coal used by steel mills to power companies instead. Lower-value thermal coal used in power plants traded above coking coal for the first time ever in June.

“It’s a crazy situation,” Ziems of Coronado said, comparing it to trading silver at a higher price than gold.

Newcastle’s benchmark Australian thermal coal languished at around $50 a tonne at the start of 2020 before climbing to over $150 a tonne at the start of 2022. It then hit a record high above $400 a tonne in September as countries desperately searched for alternatives to Russian gas. .

But with Western banks under pressure from shareholders to show they are taking action on climate change, coal executives say they must seek alternative financing to take advantage of the favorable backdrop, via public markets, pre-sale financing, trading houses, private equity firms and investment funds.

CLOSED DOORS

For some, it’s even just a matter of finding a lender for basic financial services.

Shortly after North American miner Bens Creek Group (BENB.L) listed on AIM in London last October, Lloyds Banking Group (LLOY.L) withdrew its banking services from the company due to a coal policy change.

Lloyds said in February it would stop funding miners who generate more than 5% of their revenue from thermal coal by the end of this year, and would no longer provide general purpose banking services to new customers in the coking coal.

It took Bens Creek executives months and dozens of rejections before they managed to open a bank account at the State Bank of India. (SBI.NS) branch in Britain, chief executive Adam Wilson told Reuters.

“Nobody had these problems five years ago,” he said.

Lloyds declined to comment on individual customer relationships.

It’s a similar story for Minergy Limited (MIN.BT)a Botswana-listed startup looking to fund its expansion plans.

“We are exploring all options at this stage, but commercial banking is not necessarily available,” Minergy chief executive Morne du Plessis said.

The company is now seeking to reduce its debt and finance its plan to double its annual mining capacity to around 3 million tonnes by selling additional shares, as well as listing on the London Stock Exchange next year.

Du Plessis said Minergy has struggled to get simple banking services, such as overdrafts or loans to buy vehicles. “Because we’re in coal, because we’re a start-up, they wouldn’t even consider that,” he said.

CHINA EXCEPTION

Despite pressure on Western lenders, global investment in coal supply is expected to rise by around 10% this year to $116 billion, led by China, the International Energy Agency said.

Mainly thanks to China, investment in coal this year is expected to be in line with that of 2015, when governments signed the Paris climate accord which aims to keep global warming well below 2 degrees Celsius by compared to pre-industrial levels.

Analysts say, however, that China consumes most of the coal it extracts, so the increase in production in the country is unlikely to have a big impact on the amount of coal traded on the world market. – or its current high price.

With financing hard to come by from Western banks, coal miners outside China have turned more to stock markets this year.

As of Nov. 11, they had raised $2.2 billion through public markets, up from $1.3 billion in the same period of 2021 and the highest since 2017, according to Refinitiv data.

But analysts said fundraising has not been enough to offset the billions of dollars in Western bank loans that have disappeared over the past two years.

Environmental lobby group Reclaim Finance says 96 banks now have policies to restrict financial services to the coal sector.

The largest Western lender to coal miners in 2020 was Deutsche Bank (DBKGn.DE) with $538 million followed by Citi on $300 million. By 2021, that amount had fallen to $255 million for Deutsche and $218 million for Citi, according to data compiled by Reclaim Finance.

“When it comes to thermal coal mining, any transaction in coal mining requires careful consideration of environmental risks,” a Deutsche spokesperson said, adding that the bank was updating its coal policy. .

Now, companies that rely on coal for more than 50% of their revenue must show credible diversification plans to secure funding from Deutsche. Companies without such plans will be phased out of the bank’s portfolio by 2025, the spokesperson said.

Citi declined to comment.

A number of banks including ANZ (ANZ.AX)Bank of Montreal (BMO.TO)Barclays (BARC.L)BNP Paribas (BNPP.PA)Commonwealth Bank (ABC.AX)Santander (SAN.MC)Standard Chartered (STAN.L)RBC (RY.TO) and UniCredit (CRDI.MI) financed coal miners in 2020 but not in 2021, according to data from Reclaim Finance.

TALK EVERYTHING

Minergy’s Du Plessis said since the coal price spike, there have been more conversations about potential sources of liquidity, from equity investors to debt refinancing proposals to trade finance.

“There is an opening to discuss it because coal is now a buzzword, so the conversation is easier. Has anything materialized? No, it hasn’t,” a- he declared.

Bens Creek listed shares in part because of banks’ lack of appetite to support any coal mining expansion, chief executive Wilson said.

The company is expected to double production to around 1 million tonnes next year, although Wilson does not expect current high prices to do much to boost global coal production as the development of new mines and the infrastructure they require, such as railways, is unlikely given the long-term uncertainty. long-term outlook for coal.

Some investors who buy shares in coal company fundraisings and listings agree that long-term plans are a thing of the past for miners, but they say the short-term returns are attractive.

“Historically coal mining CEOs didn’t want to return money to shareholders, they used it to increase production or buy competitors,” said Jonathan Barrett, chief investment officer at Luminus Management, which owns shares. in the American coal miner Arch Resources Inc. (ARCH.N).

“But over the last two years they’ve realized that the best way for them to create shareholder value is to return the money instead of to grow, because that’s a much better and less use of capital. risky,” he said.

Barrett and his business partner Robert Felice launched the Iris TIME fund in October, backed by wealthy families, to focus on outdated sectors with attractive cash flows, such as coal.

Big dividends and stock buyback programs in the industry mean that in some cases you could recoup your entire capital investment in about two years, Barrett said.

“Most of these guys are generating cash and they’re trying to reduce their reliance on banks because they’ve seen how quickly banks are moving into the industry.”

Reporting by Sarah McFarlane and Clara Denina; Editing by Veronica Brown and David Clarke

Our standards: The Thomson Reuters Trust Principles.

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The government’s $800 million annual cash grab is just rubbish https://gnet.org/the-governments-800-million-annual-cash-grab-is-just-rubbish/ Mon, 21 Nov 2022 00:56:42 +0000 https://gnet.org/the-governments-800-million-annual-cash-grab-is-just-rubbish/ The dramatic collapse of the popular Coles and Woolworths national plastic bag recycling scheme has led to the suspension of the REDcycle soft plastic recycling scheme in almost 2,000 supermarkets across the country. REDcycle was an Australian program that recycles flexible plastics into a wide range of uses. The failure of the recycling scheme has […]]]>

The dramatic collapse of the popular Coles and Woolworths national plastic bag recycling scheme has led to the suspension of the REDcycle soft plastic recycling scheme in almost 2,000 supermarkets across the country.

REDcycle was an Australian program that recycles flexible plastics into a wide range of uses.

The failure of the recycling scheme has been met with calls for urgent intervention in the recycling industry by the government, with the collapse revealing the fragile nature of the recycling industry.

It is therefore particularly infuriating that every year the NSW government diverts hundreds of millions of dollars from programs aimed at reducing household and business waste.

Instead, the money goes into the government’s own coffers.

The waste tax

Section 88 of the Environmental Protection Act requires certain licensed waste management facilities, including landfills, transfer stations and other facilities in New South Wales, to pay a levy for each tonne of waste they receive. This contribution is called waste tax.

The Waste Levy Contribution was created in 1971 with the express aim of reducing the large amount of waste sent to NSW landfills and promoting recycling and resource recovery.

The NSW government collects around $800m a year through the waste tax – but only a fraction of the money ends up in recycling and resource recovery schemes.

just a fraction

The New South Wales Auditor General recently revealed that the New South Wales government has collected $3.47 billion from the waste tax in just five years.

The cost of the levy is passed on up the waste supply chain to everyone disposing of waste, including ratepayers, businesses and local governments.

However, according to the NSW Legislative Council’s 2018 Waste Energy Technology Survey report, only about 13% of waste tax revenue was reinvested in waste management and regulatory programs aimed at reducing waste, while another 13% went to other environmental programs.

Consolidated turnover

Nearly three-quarters of the money — about $600 million a year — is funneled into consolidated revenue instead.

This creates a terrible distortion of the market, with households and businesses paying large sums of money to dispose of waste with little opportunity created for further diversion of recyclable waste.

There is so much more to be done, both to reduce waste and create jobs, if all of the $800 million were targeted to the purposes for which they are raised.

In New South Wales, we are rapidly running out of landfills to put household waste and there is increased pressure on existing recycling markets.

Indeed, the Waste Energy Technology Survey report predicts that China’s bans on importing plastics:

‘…can lead to the collapse of the curbside recycling system, and the committee recommended that the NSW EPA provide further support to local councils and resource recovery organizations to meet recycling targets and manage issues such as contamination of waterways, bureaucratic barriers, lack of product stewardship and limited market opportunities.

Waste management is essential to a circular economy

Despite the suspension of the REDcycle flexible plastic recycling program, the waste crisis offers an opportunity to both create new jobs and foster the transition to a circular economy.

Waste management, like water and electricity, is an essential service for any community.

Most of the actual day-to-day work of the state’s waste management system is done by local councils – and paid for by local communities.

It is not an easy task. Landfill space in NSW is filling up fast, we need to find alternatives to ensure municipal waste management services remain affordable and sustainable in the future.

The REDcycle program demonstrates that the community is willing to take action to recycle more waste than is currently possible through home recycling services, and how important recycling is to Australian households.

As councils look to the future, the demands of population growth and other internal and external factors are placing increasing financial pressure on them.

Then they have to deal with a series of increased levies and rising asset maintenance costs.

Transfer of costs

Worse still is the government’s continuing move to shift the costs of providing many vital services to local councils, including the growing aspects of waste management.

The transfer of costs by the NSW Government and the Australian Government to local councils in NSW in the 2015/16 financial year alone was estimated at $820m, up from around $380m in 2005/06.

In these circumstances, it is incumbent on the NSW government – ​​and other governments across the country – to work with the councils that are on the front line to deal with waste and recycling.

Western Sydney councils are currently working to introduce new food waste recycling services to 1.66 million area residents by 2030, a recent NSW government requirement.

Councils and ratepayers will incur significant costs in meeting this state government requirement, with levy grants awarded to successful councils covering only a portion of the costs incurred.

The failure of the Coles and Woolworths plastic bag recycling scheme signals an opportune time for the NSW government to develop detailed waste and recycling infrastructure plans and reinvest the annual waste tax $800 million in recycling infrastructure and waste minimization programs.

An overhaul of the state’s waste management system is urgently needed. In the meantime, the councils are working together to address some of these challenges through the Western Sydney Region Waste and Resource Recovery Strategy.

Developed by eight participating councils from Western Sydney, the strategy documents the key challenges and opportunities local governments face in improving recycling and taking strategic and collaborative action on waste management in the Western Sydney region. Sidney.

The Western Sydney Regional Waste and Resource Recovery Strategy represents a planned and collaborative approach to waste management, which is cost effective, supports communities and economies in Western Sydney and enhances resource recovery in accordance with the objectives of the state government.

The strategy is partly funded by the NSW Government through the NSW Environment Protection Authority and waste tax reinvestment, and is implemented by the Western Sydney Regional Councils Organization (WSROC), the supreme body representing the participating councils.

Recently, in recognition of the excellent work done by strategy partners, WSROC secured additional funding to extend Western Sydney’s regional waste management program to 2027, however, as NSW councils, has seen significant cuts in this levy reinvestment in recent years.

Just think of how much could be achieved in NSW communities if the state government put the $800 million waste tax back where it was intended.

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Orion Group Holdings Completes Reconstruction of Commissioned Dredge ‘Lavaca’ https://gnet.org/orion-group-holdings-completes-reconstruction-of-commissioned-dredge-lavaca/ Thu, 17 Nov 2022 20:08:31 +0000 https://gnet.org/orion-group-holdings-completes-reconstruction-of-commissioned-dredge-lavaca/ News and research before you hear about it on CNBC and others. Claim your one week free trial for StreetInsider Premium here. Orion Marine Group christens new dredge Lavaca HOUSTON, Nov. 17, 2022 (GLOBE NEWSWIRE) — Orion Group Holdings, Inc. (NYSE: ORN) (the “Company”), a leading specialist construction company, has completed a 15-month rebuild of […]]]>

News and research before you hear about it on CNBC and others. Claim your one week free trial for StreetInsider Premium here.


Orion Marine Group christens new dredge Lavaca

HOUSTON, Nov. 17, 2022 (GLOBE NEWSWIRE) — Orion Group Holdings, Inc. (NYSE: ORN) (the “Company”), a leading specialist construction company, has completed a 15-month rebuild of the recently commissioned Lavaca dredge. Improvements have been made to the dredge’s scale, accommodations and operating systems to continue to provide exceptional dredging service to its customers and industry partners in the public and private sectors along the gulf coast. The Lavaca is expected to begin work in mid-November 2022 on a newly awarded contract for the Port of Corpus Christi and will assist with ongoing waterway maintenance, deepening and widening projects for years to come. along the entire Gulf Coast. The dredge’s design, including its modular quarters, walkways, access and exit points, ventilation, handrail and fender systems, was engineered specifically with an emphasis on safety. Improvements to the design of the crew accommodations reduced noise and vibration during dredging operations and allowed the crew to rest during their rest periods. The open-concept lever room allows the lever to monitor and control all dredge systems from a purpose-built control station with touch screens and floor-to-ceiling windows that provide a 180-degree field of view . Tier III diesel-electric engines and electric winches are another step forward for the company in furthering its commitment to protecting the environment by preventing potential spills and reducing NOx emissions in our areas of operation. Orion’s commitment to safety and “target zero” is also instilled in our approved contractors and indirectly reflected in this project, as the project exceeded 65,000 man hours without any lost time or lost time incidents. recordable injury.

A photo accompanying this ad is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/d4abad09-88b6-46c1-98cc-acd135e450db

About Orion Group Holdings, Inc.

Orion Group Holdings, Inc., a leading specialty construction company serving the infrastructure, industrial and construction sectors, provides on and off water services in the continental United States, Alaska, Canada and the Caribbean Basin through its maritime segment and its concrete segment. The Company’s marine segment provides construction and dredging services related to construction of marine transportation facilities, construction of marine pipelines, marine environmental structures, dredging of waterways, canals and ports, environmental dredging, design and specialized services. Its concrete segment provides turnkey concrete construction services, including pour and finish, earth work, layout, formwork and rebar in light commercial, structural and other related sectors. The company is headquartered in Houston, Texas, with regional offices in all of its operating areas.

Forward-looking statements

Matters discussed in this press release may constitute or include projections or other forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, upon which the Company relies. Certain forward-looking statements can be identified by the use of forward-looking terminology, such as “believes”, “expects”, “may”, “will”, “could”, “should”, “seek”, ” about”, “intends”, “plans”, “estimates” or “anticipates”, or their negative form or any other comparable terminology, or through discussions of strategy, plans, objectives, intentions, estimates, forecasts, prospects, assumptions or goals. In particular, statements regarding future operations or results, including those set forth in this press release and any other statements, express or implied, regarding future operating results or future revenue generation or ability , revenue, net profit, profit, EBITDA, EBITDA margin or cash flow, including for debt service, and including any estimates, forecasts or assumptions regarding future revenues or growth of earnings, are forward-looking statements. Forward-looking statements also include the estimated start date of the project, anticipated revenues and contract options that may or may not be awarded in the future. Forward-looking statements involve risks, including those associated with the Company’s fixed-price contracts that impact earnings, unforeseen productivity delays that may affect the ultimate profitability of the contract, cancellation of the contract by the customer for unforeseen reasons, delays or decreases in customer funding, levels and predictability of government funding or other government budget constraints and any potential contract options that may or may not be awarded in the future, and are at the sole discretion of the award by the customer. Past performance is not necessarily an indicator of future results. In light of these and other uncertainties, the inclusion of forward-looking statements in this press release should not be taken as a representation by the Company that the Company’s plans, estimates, forecasts, goals, intentions or objectives will be achieved or achieved. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company assumes no obligation to update the information contained in this press release, whether as a result of new developments or otherwise.

Please refer to the Company’s Annual Report on Form 10-K, filed March 7, 2022, which is available on its website at www.oriongroupholdingsinc.com or on the SEC website at www.sec.govfor an additional and more detailed discussion of the risk factors that could cause actual results to differ materially from our current expectations, estimates or forecasts.

Orion Group Holdings, Inc.
Francis Okoniewski, Vice President of Investor Relations
(346) 616-4138
[email protected]
www.oriongroupholdingsinc.com

Source: Orion Group Holdings, Inc.


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2022 James L. Fisher Outstanding Thesis Award Winners – News https://gnet.org/2022-james-l-fisher-outstanding-thesis-award-winners-news/ Mon, 14 Nov 2022 19:20:16 +0000 https://gnet.org/2022-james-l-fisher-outstanding-thesis-award-winners-news/ The James L. Fisher Outstanding Theses Competition is designed to promote recognition of the highest quality graduate theses from each college. The 2022 competition was open to students who obtained their master’s degree and completed their thesis during the calendar year of July 1, 2021 to June 30, 2022. Here are the winners from colleges […]]]>

The James L. Fisher Outstanding Theses Competition is designed to promote recognition of the highest quality graduate theses from each college.

The 2022 competition was open to students who obtained their master’s degree and completed their thesis during the calendar year of July 1, 2021 to June 30, 2022. Here are the winners from colleges and universities.

Matthew Nalefsky,
University winner

Matthew W. Nalefski, University Laureate

MA in History

Thesis: The Abolitionist Promise of Revolution: America’s Banning of the Atlantic Slave Trade and the Long Road to Emancipation, 1820-1862

Thesis committee: Dr. Ross Kennedy (co-chair); Mr. Ronald Gifford (co-chair); and Dr. Stewart Winger

Thesis committee member Dr. Stewart Winger describes what Matthew is working on during his thesis studies. Matthew studies pre-war American history and uses a truly impressive array of sources that includes dozens of court cases, newspapers, letters and government reports, as well as an exhaustive number of secondary sources. , all in service of its federal government review. the government’s commitment – or lack thereof – to the international anti-slavery cause. It also included several interesting and illuminating appendices which were themselves detailed enough to warrant their own introduction. Matthew attacks the idea that the federal government in the pre-war period was in the grip of a “slave power” that was so successful in stifling efforts to end slavery that the issue has rarely even been mentioned in the halls of Congress. Looking to the seas, Matthew argues persuasively that the U.S. federal government was working hard as a nation among nations to cooperate in eliminating the transatlantic slave trade led by England and supported by other European nations. and African.
Matthew’s dissertation explores the United States’ involvement in the destruction of the international slave trade after its abolition in 1808, studying its impact on American sovereignty, the advent of the Civil War, and abolitionism. Long ignored by historians, the United States’ attempts from 1808 to 1862 to abolish the illegal international slave trade have the potential to change the historiographical understanding of abolitionism in the prewar period. Slavery was not eradicated overnight, a fact we wholeheartedly accept, but neither has the international slave trade. The parallel evolution of abolitionism, on the one hand, combined with the diplomatic, legal, and anti-slavery mechanisms associated with the slave trade, on the other, ultimately created the elements necessary for the eventual abolition of the institution. Ignoring attempts to stop the international slave trade obscured the complexity of abolitionism in the United States. To emphasize the commitment of the United States to the suppression of the slave trade is to complicate the image of an entirely consenting American government, which served as a puppet for the slavocracy, and demonstrates that in the end account, the abolitionist promise of the revolution has been kept.

Quynh Nhu Nguyen, 1st University Finalist

MS in Applied Statistics

MS in Quantitative Economics

Thesis: Statistical modeling of data breach risks: identification and notification time

Thesis committee: Dr Maochao Xu (chairman) and Dr Pei Geng

Thesis supervisor Dr. Maochao Xu explains what Nhu is working on during his thesis studies as part of statistical data breach risk modeling. Nhu completed his master’s degree in the Illinois State Department of Economics, then continued his studies in statistics in the mathematics department. His thesis was on Emerging Risk – Data Breach Risk, one of the most devastating risks imposed on society and its citizens as they can lead to serious consequences. This includes breaches that disclose personally identifiable information and company secrets, enhance identity theft, and cause significant financial loss. According to the National Conference of State Legislatures, legislation has been enacted by all US states and territories that requires data breach notification after the breach incident. Due to the unique nature of cyber risk, the flaw is often discovered after days, months, or even years. The longer a breach goes unaddressed, the more data is leaked and the greater the overall impact, financial and otherwise.

It is very difficult to predict the cost of a cyber incident due to the complex nature of cyber risk. However, it is unavoidable that insurance companies offer cyber insurance policies. The time it takes to identify an incident and the time it takes to notice the people involved are two important elements in determining the cost of a cyber incident. In this work, Nhu initialized the study on these two metrics via statistical modeling approaches. Nhu proposed a novel approach to impute missing data and developed a dependency model to capture the complex pattern exhibited by these two measures. The empirical study showed that the proposed approach has a satisfactory predictive performance and is superior to other commonly used models.

Melissa L. Quimby, College Laureate

Melissa L. Quimby, College Laureate
Melissa L. Quimby,
college winner

MS in Community and Applied Economic Development (Sociology)

Thesis: Aid Worker Burnout as an Injury: Policy Implications for the Aid Sector

Thesis Committee: Dr. Michael L. Dougherty (Chair); Dr. Chris Wellin; and Dr. Marion Willetts

Melissa’s master’s thesis focused on the phenomenon of burnout among aid and development workers, an interest born out of her own career in aid and the burnout that she personally experienced and witnessed around her. According to the chair of her thesis committee, Dr. Michael L. Dougherty, Melissa sensed that there was something unique about the character of burnout experienced in the aid sector, and she undertook understand it and design policy interventions to address it. Melissa collected a considerable amount of rich qualitative data, drawing on her extensive professional network. The main idea of ​​his dissertation research was that structural conditions in the aid sector, broadly defined, which have funding systems at their root, cause a disproportionate amount of burnout among aid workers. She also identified other more visible factors – work stress and a corporate culture of individualism and machismo, among others. But the identification of “hidden” sectoral factors makes a significant contribution to the literature on the sociology of organizations.

Melissa researched the concept of burnout as the “injury” inflicted on workers by poorly structured organizations in a highly competitive industry. This research explores the motivating factors that lead a person to a career in humanitarian work and the organizational strategies that they believe best prevent symptoms.

Bethany N. Wohrley, College Laureate

Bethany Wohrley, College Laureate
Bethany Wohrley, College Laureate

MS in Agricultural Science

Thesis: Snail establishment in response to corn residue management and harvest date

Thesis Committee: Dr. Nicholas Heller (Chair); Dr. Ken Smiciklas; and Dr. Bill Perry

Bethany’s master’s thesis focused on cover crops and how they are a key management strategy for mitigating the negative environmental impacts of agriculture. However, only 3% of Illinois’ acreage reports planting cover crops, largely due to a lack of direct financial incentive. Arabis (Thlaspi arvense L.) is a commercial cover crop that could provide a solution to this problem by providing an environmental benefit as well as an economic return. Although it has achieved profitable yields in clean, well-managed breeding plots, pennycress faces establishment challenges when planted after corn in an agricultural setting. Therefore, the objective of this research project was to evaluate different agronomic management strategies to improve the growth of pennycress under field conditions after maize harvest.
Thesis committee chair Dr. Nicholas Heller said Bethany is a determined researcher who did a lot of field research for her thesis studies. Field research involves unique challenges that Bethany has diligently tackled. She faced obstacles related to machinery and weather and still managed to plant her project every spring when supplies were hard to come by. She weeded, watered, and collected data all year round: corn in the spring and summer, pennycress in the fall, winter, and spring, and soybeans in the summer and fall. She collected and hand-processed her samples for each segment of the project. Beyond agriculture, the significance of Bethany’s research extends to addressing anthropomorphic eutrophication, climate change, reducing fossil fuel use, and increasing farmer profits. Bethany has worked with pennycress, which will be used as a cover crop to reduce nutrient loss from fields, but unlike traditional cover crops, pennycress produces oilseeds that will be harvested and sold to earn farmers more money without applying synthetic fertilizer. An important part of his analysis was precision farming technologies to study the whole system, including the cash crops of the two seasons adjacent to the cultivation of pennycress, and his use of multivariate data analysis to make sense to the immense amount of data it has collected.

An outstanding thesis from a master’s program will be submitted to a regional competition sponsored by the Midwest Association of Graduate Schools. Participation in the regional competition will promote a positive image of higher education at Illinois State University among its neighboring institutions and ensure student recognition.

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Droughts, rising sea levels, Cuban agriculture threatened https://gnet.org/droughts-rising-sea-levels-cuban-agriculture-threatened/ Sat, 12 Nov 2022 07:13:49 +0000 https://gnet.org/droughts-rising-sea-levels-cuban-agriculture-threatened/ BATABANO, CUBA — Yordán Díaz Gonzales pulled weeds from his fields with a tractor until Cuba’s summer rainy season turned them to feet-deep red mud. Now it takes five farmhands to tend to Díaz’s harvest. This squeezes Diaz’s profit margin and diminishes Cuba’s agricultural productivity, already burdened by a US embargo and an unproductive state-controlled […]]]>

BATABANO, CUBA — Yordán Díaz Gonzales pulled weeds from his fields with a tractor until Cuba’s summer rainy season turned them to feet-deep red mud.

Now it takes five farmhands to tend to Díaz’s harvest. This squeezes Diaz’s profit margin and diminishes Cuba’s agricultural productivity, already burdened by a US embargo and an unproductive state-controlled economy.

Like the rest of the Caribbean, Cuba is suffering from longer droughts, warmer waters, more intense storms and higher sea levels due to climate change. The rainy season, already an obstacle, has become longer and wetter.

“We’re producing a lot less because of the weather,” said Diaz, a 38-year-old father of two. “We are going to have to adapt to eat less because with each harvest, we harvest less.”

Diaz produced black beans, a staple of the Cuban diet and its most profitable crop. His production of black beans has dropped by 70%, which he attributes to climate change. A month after Hurricane Ian hit Cuba, Diaz was growing malanga root, a Cuban staple more resilient to climate change but less profitable than beans.

“We just live in the present,” Diaz said. “My future does not look very good.”

Diaz used to buy supplies a year or two before he needed them, but his income is so unpredictable now that he buys his supplies just before harvest.

Agriculture has long been a relative bright spot in Cuba’s struggling economy. The socialist government has had a relatively liberal hand with food producers, allowing them to pursue their economic interests more openly than others in Cuba.

Cuba has plenty of sun, water and soil, the basic ingredients needed to grow plants and feed animals. However, by altering the way nature works in the Caribbean, climate change alters the raw elements of productivity.

When Ian hit Batabanó, about an hour south of Havana, it flooded the home of fisherman Orbelis Silega and destroyed his fridge and television. It was already struggling due to dwindling fish stocks.

“The house was half full of water,” said Silega, 54. “Everything was under water.”

Cubans have been leaving the island in greater numbers for decades.

U.S. authorities encountered nearly 221,000 Cubans at the U.S.-Mexico border in fiscal year 2022. That’s a 471 percent increase from the previous year, according to U.S. Customs and Border Protection. .

As with everything in Cuba, the exodus is driven by a complex mix of domestic politics and economics, and relations with the United States and other countries.

Part of what’s driving the flow is climate change, which cost Cuba $65.85 billion in gross domestic product between 1990 and 2014 alone, or 9% of its total GDP, according to Dartmouth College.

“The Caribbean’s economies, tourism, agriculture and fisheries are at the forefront” of climate change, said Donovan Campbell, climate change expert at the University of Jamaica in the West Indies.

The $2-3 farm laborer Romelio Acosta earns for 10 hours of work is not enough to cover his expenses.

“Right now there is no money and there is no food,” said Acosta, 77. “Everything is more expensive than people’s salaries can pay.”

A Category 3 hurricane, Ian tore through western Cuba in late September, killing three people, destroying 14,000 homes, damaging the power grid and destroying Cuba’s most valuable tobacco fields.

Cuba was already in one of its worst economic, political and energy crises in decades, thanks to the coronavirus pandemic and Russia’s war with Ukraine, among other factors.

Cuba had said it would get almost a quarter of its energy from renewable sources by 2030. But so far the country gets just over 5% of its energy from renewables and still depends on the oil from its allies, Venezuela and Russia.

The US trade embargo “prevents us from accessing the resources we may have that would allow us to recover from these events as quickly as possible,” said Adianez Taboada, vice minister of Cuba’s Ministry of Science, Technology. and Environment.

Around Batabanó, the coastal town hit by Ian, storm-soaked mattresses still hang from rickety wooden houses.

“You try to salvage what you can,” said Silega, the fisherman.

Life was already difficult for him largely due to climate change, he said. Rising global temperatures are ravaging coral reefs, key marine ecosystems.

“This town without fish is nothing,” Silega said. “The best fish, the ones that still appear, you have to go much further to find them.”

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Follow AP’s climate and environment coverage at https://apnews.com/hub/climate-and-environment

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The Associated Press’s climate and environmental coverage receives support from several private foundations. Learn more about AP’s climate initiative here. The AP is solely responsible for all content.

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Research: Periodic Review Announcement: Moody’s Announces Completion of Periodic Review for Group of Software Vendors https://gnet.org/research-periodic-review-announcement-moodys-announces-completion-of-periodic-review-for-group-of-software-vendors/ Wed, 09 Nov 2022 19:40:46 +0000 https://gnet.org/research-periodic-review-announcement-moodys-announces-completion-of-periodic-review-for-group-of-software-vendors/ New York, November 09, 2022 — Moody’s Investors Service (“Moody’s”) has performed a periodic review of ratings and other ratings associated with the same analytical units for the rated entity or entities listed below. The review was conducted as part of a portfolio review discussion held on November 2, 2022 during which Moody’s reassessed the […]]]>

New York, November 09, 2022 — Moody’s Investors Service (“Moody’s”) has performed a periodic review of ratings and other ratings associated with the same analytical units for the rated entity or entities listed below.

The review was conducted as part of a portfolio review discussion held on November 2, 2022 during which Moody’s reassessed the relevance of the ratings in the context of the main relevant methodology(ies), recent developments and a comparison of the financial and operational profile with similar ratings. peers. One possible outcome of periodic reviews is the referral of a rating to a ratings committee.

This publication does not announce any credit rating action or indicate whether or not credit rating action is likely in the near future. Credit ratings and outlook/review status cannot be changed during a portfolio review and are therefore not impacted by this announcement.

Key Scoring Considerations

The primary methodology used for the rated entities listed below is Software released June 2022. Please see the Rating Methodologies page at https://ratings.moodys.com for a copy of this methodology.

Key rating considerations on a forward-looking basis may include, but are not limited to, the following items summarized below.

Software

Scale: Scale tends to be an indicator of success in developing customer breadth and overall depth of business. It also generally confers economies of scale in research, engineering and development and corporate overhead. Large companies with strong cash flows also generally have better access to capital markets and greater options for making acquisitions. Software vendors often rely on acquisitions to obtain key technologies or promising product lines. Scale is measured by revenue and free cash flow.

Company Profile: The Company Profile factor provides an indication of a company’s qualitative strength on several measures of diversification and our market share assessment. The company profile provides an indication of the likely stability and sustainability of the company’s cash flows. To score high on the overall factor, a company must demonstrate significant product diversity, geographic diversity, end-market diversity, and strong market share. A strong position in one of these areas with a weakness in the other can limit the long-term stability of cash flows.

Profitability: Profitability is taken into account because it generates sustainable cash flows and a strong competitive position. We measure this using return on assets.

Leverage and hedging: Leverage and hedging measures are indicators of a company’s financial flexibility and long-term viability. Financial flexibility is essential for software companies to adapt to changing technology and trends. Software companies need resources to invest in research and development as well as to make strategic acquisitions both to acquire critical technologies and to expand product suites to meet changing customer demands. Ratios such as Debt/EBITDA, EBITDA less Capex/Interest expense, Free Cash Flow/Debt and Cash and Marketable Securities/Debt are indicators of leverage and hedging.

Financial policy: The tolerance of management and the board of directors for financial risk is a determinant of the rating because it directly affects debt levels, credit quality and the risk of adverse changes in the financing and structure of the capital. Our assessment of financial policies includes the perceived tolerance of a company’s board and management for financial risk and the future direction of the company’s capital structure. Considerations include a company’s public commitments in this area, its track record of meeting commitments, and our views on the company’s ability to achieve its goals. Financial risk tolerance serves as a benchmark for investment and capital allocation.

Other Factors: Other factors may include, but are not limited to, financial controls, quality of financial reporting, legal structure of the business, quality and experience of management, assessment of corporate governance as well as environmental and social considerations, exposure to uncertain licensing regimes and possible governmental interference in certain countries. Regulatory, litigation, liquidity, technology and reputational risks, as well as changes in consumer and business spending habits, competitor strategies and macroeconomic trends are also considered. .

• AG Parent Holdings, LLC

• Aptéan, Inc.

• Athenahealth Group Inc.

• Autodesk, Inc.

• Brave Parent Holdings, Inc.

• Cadence Design Systems, Inc.

• CE Intermediate I, LLC

• Certara Holdco, Inc.

• Cloudera, Inc.

• ConnectWise, LLC

• Cornerstone OnDemand, Inc. (Clearlake)

• E2open, LLC

• ECi Macola/Max Holding, LLC (LGP)

• Elastic NV

• Flexera Software LLC

• Greenway Health, LLC

• Buyer HS, LLC

• Imprivata, Inc.

• Ivanti Software, Inc.

• Matrix Parent, Inc.

• Maverick Bidco, Inc.

• Microsoft Corporation

• Mitnick Corporate Buyer, Inc.

• Motus Group, LLC

• N-able International Holdings II, LLC

• OceanKey (United States) II Corp.

• Perforce Software, Inc.

• Precisely embedded software

• Project Alpha Intermediate Holding, Inc.

• Project Leopard Holdings, Inc.

• Quartz holding company

• Quest Identity Intermediate Limited

• Rocket Software, Inc.

• Acquisition borrower S2P, Inc.

• SonicWALL Holdings Limited

• WatchGuard Technologies, Inc.

The primary methodology used for the rated entity below is that for Business and Consumer Services published in November 2021. Please see the Rating Methodologies page at https://ratings.moodys.com for a copy of this methodology.

Key rating considerations on a forward-looking basis may include, but are not limited to, the following items summarized below.

Business and consumer services

Scale: scale is considered because greater scale can be an indicator of a company’s ability to influence business trends and pricing in its service segments and support a stable or growing market position . Scale can also be an indicator of greater resilience to changes in demand, geographic diversity, cost absorption, R&D capabilities, and greater bargaining power with customers, labor and suppliers. Turnover is a scale indicator.

Business Profile: A company’s business profile is considered because it greatly influences its ability to generate sustainable profits and operating cash flow. The business and consumer services industry comprises a wide range of business models encompassing a multitude of identifiable customer bases around the world. We consider the underlying demand characteristics of a company’s service offerings and their relative magnitude, strength and endurance. Companies that have established a long history of strong demand for a diverse range of service offerings critical to customer needs are generally less risky than those that offer a single range of services that are less critical to customer needs. customers or have a limited history of success.

Profitability: Profits are important because they are necessary to maintain a company’s competitive position, including sufficient reinvestment in marketing, research, facilities and human capital. High and sustained profitability is generally a strong indicator of substantial competitive advantages, especially if combined with evidence of stable or increasing market share. The EBITA margin is an indicator of profitability.

Leverage and hedging: Leverage and hedging measures are indicators of a company’s financial flexibility and long-term viability, including its ability to adapt to changes in the economic environment and commercial in the segments in which it operates. Leverage and hedging indicators include ratios such as: debt/EBITDA, EBITA/interest expense and retained cash flow/net debt.

Financial Policy: Management and board tolerance for financial risk is a consideration as it directly affects debt levels, credit quality and the risk of adverse changes in funding and capital structure. Our assessment of financial policies includes the perceived tolerance of a company’s board and management for financial risk and the future direction of the company’s capital structure. Considerations include a company’s public commitments in this area, its track record of meeting commitments, and our views on the company’s ability to achieve its goals. Financial risk tolerance serves as a benchmark for investment and capital allocation.

Other Rating Considerations: Other considerations may include, but are not limited to, financial controls and quality of financial reporting; legal structure of the company; the quality and experience of management; assessments of corporate governance as well as environmental and social considerations; exposure to uncertain licensing regimes; and possible government interference in some countries. Regulatory, litigation, liquidity, technology and reputational risks, as well as changes in consumer and business spending habits, competitor strategies and macroeconomic trends also affect ratings.

• Dodge Construction Network LLC

This announcement only applies to rated entities with EU rated, UK rated, EU approved and UK approved ratings. Rated entities, with non-EU rated, non-UK rated, non-EU approved and non-UK approved ratings may be referenced here to the extent necessary, if they are part of the same analytical unit.

Please see the issuer’s page on https://ratings.moodys.com for each of the ratings covered, the most recent credit rating action, rating history and press release on the credit rating action, including the rationale for the rating and factors that may cause an improvement or a deterioration in the rating.

This publication does not announce a credit rating action.

For any credit ratings referenced in this publication, please see the issuer/transaction page at https://ratings.moodys.com

for the most up-to-date information on credit rating actions and rating history.

Release Office:
Moody’s Investors Service, Inc.
250 Greenwich Street
New York, NY 10007
UNITED STATES
JOURNALISTS: 1 212 553 0376
Customer service: 1 212 553 1653

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Delivering Climate Money and Rapid Emissions Cuts Could Make or Break COP27 – Filipino Activists https://gnet.org/delivering-climate-money-and-rapid-emissions-cuts-could-make-or-break-cop27-filipino-activists/ Sun, 06 Nov 2022 09:11:00 +0000 https://gnet.org/delivering-climate-money-and-rapid-emissions-cuts-could-make-or-break-cop27-filipino-activists/ Gaea Katreena Cabico – Philstar.com November 6, 2022 | 5:11 p.m. MANILA, Philippines – Governments represented at the climate summit in Egypt must provide the promised financial and technical assistance to countries suffering the worst impacts of climate change and take action to reduce warming greenhouse gas emissions faster. planet, said Filipino climate advocates. COP27 […]]]>
Gaea Katreena Cabico – Philstar.com

November 6, 2022 | 5:11 p.m.

MANILA, Philippines – Governments represented at the climate summit in Egypt must provide the promised financial and technical assistance to countries suffering the worst impacts of climate change and take action to reduce warming greenhouse gas emissions faster. planet, said Filipino climate advocates.

COP27 climate talks kicked off in the resort town of Sharm el-Sheikh on Sunday amid extreme weather events across the globe and an energy crisis stemming from Russia’s invasion of Ukraine .

From November 6-18, governments and members of civil society organizations will once again tackle measures to bring global warming under control and protect communities from the catastrophic impacts of the climate crisis.

“This COP27 is going to be very important for us Filipinos because we are seeing an increase in extreme weather events that are causing economic and non-economic loss and damage,” said Ivan Enrile, Climate Justice Program Manager at IBON International. Philstar.com.

“We are in a period where we have very few resources, commodity prices are rising and many people are out of jobs. The impacts of climate change amplify these development concerns,” he said. he adds.

The UN-organized climate conference comes a week after severe tropical storm Paeng (international name: Nalgae) triggered landslides and flash floods in the archipelago, killing at least 154 people. Scientists have warned that the storms are getting more powerful as the world continues to warm due to climate change.

RELATED: What went wrong: ‘Paeng’ high death toll

Call for repair

“After the devastating effects of Typhoon Paeng, it is clearer that demanding reparations should be at the center of the Philippine agenda,” said Jon Bonifacio, national coordinator of the Kalikasan People’s Network for the Environment.

“Major polluters must pay for the damage caused by their emissions,” he also said.

Climate finance is expected to be at the center of discussions at this year’s climate summit. The flow of money from countries that have become rich through the burning of fossil fuels would allow climate-vulnerable countries like the Philippines to better prepare for the impacts of climate change.

IBON International’s Enrile said governments need to balance funding for mitigation and adaptation. Campaigners said adaptation has long received less attention than mitigation.

According to a new report from Oxfam, the Philippines ranks fifth among Asian countries that have received the highest amount of climate finance. However, most of the $7.8 billion in climate finance it received from 2013 to 2020 was in the form of debt.

The Philippine delegation to COP27, led by environment chief Maria Antonia Yulo-Loyzaga, said it “will continue to call on developed countries to meet these obligations and meet their climate finance commitments without delay. , technology transfer and capacity building”.

The country delegation plans to contribute most to the work streams dealing with Article 6 of the Paris Agreement, adaptation, climate finance and loss and damage.

The success or failure of COP27 likely hinges on the willingness of wealthy countries to provide reparations or compensation for loss and damage. Loss and damage refers to the costs that some nations are already facing due to a warming planet.

“Will it be on the agenda? Will there be a decision to negotiate a stand-alone L&D funding facility? asked Tony La Viña, associate director for climate policy and international relations at the Manila Observatory.

At the climate talks in Glasgow last year, developed countries blocked the establishment of a loss and damage financing mechanism. They chose to engage in a “dialogue” on the subject in future discussions.

RELATED: Gas expansion a detour in the Philippines’ transition to cleaner, cheaper energy

Leave fossil fuels in the past

In Sharm-el-Sheikh, nations will focus on discussing the implementation of the 2015 Paris Agreement in their home countries. The main goal of the Paris Agreement is to keep global temperature rise to well below 2 degrees Celsius and boost efforts to limit it to 1.5 degrees Celsius.

In a report published in April, the Intergovernmental Panel on Climate Change pointed out that capping warming at just 1.5 degrees Celsius implies “rapid, deep and in most cases immediate reductions in emissions of greenhouse gases in all sectors”.

The executive director of the Center for Environmental Concerns-Philippines, Lia Mai Torres, said COP27 should result in “binding, clear, concrete and drastic emission reductions from major emitters”.

For Gerry Arances, executive director of the Center for Energy, Ecology and Development, climate-fueled disasters ravaging countries and increasingly volatile electricity prices amplify the need to leave coal, gas and other fossil fuels in the past.

“Fueled by all of this, Philippine delegates must come to the COP brandishing ambitious calls for a swift end to fossil fuels, starting with historically polluting nations,” Arances said.

“We must also demand the realization of how the necessary resources and capabilities for developing countries like ours to advance a rapid energy transition will be provided,” he added.

President Ferdinand “Bongbong” Marcos Jr. has frequently mentioned the need to address climate change in his speeches. But climate and environment groups said none of the chief executive’s rhetoric had so far translated into meaningful action.

LILY: In the first 100 days, Marcos talks about climate change but action is still on the back burner

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Green Party candidate receives mystery money – Eugene Weekly https://gnet.org/green-party-candidate-receives-mystery-money-eugene-weekly/ Tue, 25 Oct 2022 23:15:31 +0000 https://gnet.org/green-party-candidate-receives-mystery-money-eugene-weekly/ By Julia Shumway A mystery group has spent at least $36,000 in the past few days to push a Green Party candidate over the Democrat in Oregon’s 4th congressional district. Green Party candidate Mike Beilstein admitted he would not win — he told the Capital Chronicle last week that he expects to receive less than […]]]>

By Julia Shumway

A mystery group has spent at least $36,000 in the past few days to push a Green Party candidate over the Democrat in Oregon’s 4th congressional district.

Green Party candidate Mike Beilstein admitted he would not win — he told the Capital Chronicle last week that he expects to receive less than 3% of the votes. But that hasn’t stopped outside groups from backing her campaign in an apparent attempt to undermine Democrat Val Hoyle in her close race with Republican Alek Skarlatos.

Voters in the district first noticed something strange in early October, when they received text links to opinion polls that tested messages about Beilstein as a ‘progressive environmentalist’ and attacked the environmental record of Hoyle.

An independent spending group, Green Oregon, was formed Oct. 19 and quickly spent more than $36,800 on campaign mail and digital media production and placement to support Beilstein and attack Hoyle, Election Commission records show. federal.

Letters sent to voters include a quote from Beilstein calling climate change an “immediate existential threat” and saying he will fight to pass the Green New Deal. They accuse Hoyle of being in the pocket of big business and of having accepted nearly $500,000 from corporate political action committees and special interest groups during his previous election campaigns.

A website paid by the same group repeats these claims. Green Oregon lists its address as a suite of mailboxes for rent in Eugene, and the person who registered the website domain has had all contact information redacted for privacy reasons.

Independent spending is more common in federal races than in statewide and legislative races because federal campaign finance laws limit the amount donors can give to candidates.

Oregon Capital Chronicle is part of States Newsroom, a network of news outlets supported by grants and a coalition of donors as a 501c(3) public charity. Oregon Capital Chronicle retains its editorial independence. Contact Managing Editor Lynne Terry with any questions: info@oregoncapitalchronicle.com. Follow Oregon Capital Chronicle on Facebook and Twitter.

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Real estate investment opportunities amid macroeconomic uncertainty https://gnet.org/real-estate-investment-opportunities-amid-macroeconomic-uncertainty/ Sat, 22 Oct 2022 04:15:00 +0000 https://gnet.org/real-estate-investment-opportunities-amid-macroeconomic-uncertainty/ The Good Squad By Tim Wang, Ph.D., Head of Investment Research, Clarion Partners Macroeconomic uncertainties and tighter financial conditions are weighing on the real estate investment market. Tim Wang, Head of Investment Research at Clarion Partners, discusses the challenges and opportunities of this current environment. Key points to remember: Macroeconomic uncertainties are currently high due […]]]>

The Good Squad

By Tim Wang, Ph.D., Head of Investment Research, Clarion Partners

Macroeconomic uncertainties and tighter financial conditions are weighing on the real estate investment market. Tim Wang, Head of Investment Research at Clarion Partners, discusses the challenges and opportunities of this current environment.

Key points to remember:

  • Macroeconomic uncertainties are currently high due to rising inflation, interest rate hikes, recession risks and the Russian-Ukrainian war.
  • Tighter financial conditions are putting pressure on property cap rates (a measure used to estimate and compare rates of return for commercial or residential real estate properties). However, we believe sectors with strong fundamentals and properties with inflation-linked leases have a competitive advantage in the current environment.
  • Secular and demographic-driven sectors look attractive to us because they tend to have stable cash flows, be less volatile and be more recession-proof.
  • We also believe that environmental, social and governance (ESG) and social impact is an age-old theme that will become an increasingly important investment mandate for institutional investors.

Macro uncertainties affecting real estate investment

The current macro environment is unique and complex with significant uncertainties. The COVID-19 pandemic has disrupted daily life and normal market cycles. It also led to a synchronized global recovery, global inflation and central bank tightening. A synchronized global slowdown therefore seems likely. It is possible that the United States and Europe will experience recessions later this year or early next year.

However, not everything is negative. Consumer spending, particularly in Europe and the United States, held up well. The strength of household wealth, balance sheets and corporate earnings also looks encouraging. Leverage, especially in the banking system, is low compared to 2007 before the global financial crisis (GFC). For all these reasons, we believe that a potential recession or slowdown will not be as severe as the GFC. Consensus forecasts also show possible improvements in 2024.1

Inflation and rising interest rates

In our analysis, US inflation already peaked in June, and while it is currently a headwind for continental Europe, we believe Eurozone inflation will likely peak soon. However, the pace of easing will depend on many factors and is difficult to predict. Analysts’ predictions for the Russian-Ukrainian war, which has affected Europe far more than the rest of the world, range from Ukraine’s victory next spring to Russia’s launching of a nuclear weapon. The global energy crisis has also hit Europe much harder than the United States and Asia, with natural gas being far more important than crude oil. We believe this will be a big shock to everyday life and the economy of Europe, even more so than in the 1970s. Pressures on the global supply chain appear to be easing, but labor shortages artwork will likely continue to have a negative impact, in our view.

Major central banks have raised interest rates to curb demand and inflation, and we have seen bond yields rise. However, we believe that likely in the first half of 2023 there could be a pivot point where central banks may need to revert from quantitative tightening to quantitative easing when signs of an economic slowdown or recession will become a reality. In the meantime, we believe that rising financing costs have led to market dislocation, which could present attractive acquisition opportunities in real estate over the next 12-18 months.

Effect of higher financing costs on mortgages

The rise in interest rates had an impact on real estate loans. For example, the five-year Euro Interbank Offered Rate (Euribor) interest rate swap rose significantly in 2022.2 Rising funding costs added upward pressure on capitalization rates and downward pressure on asset valuations.

In this environment, many investors prefer to invest in assets that provide good current income and a hedge against inflation. Although inflation does not persist in the current range of 9% to 10%, it may remain around 3% to 4% for a few years. Therefore, hedging against inflation is highly desirable.

Real estate offers opportunities for potential inflation hedging and diversification

With a volatile stock market and high inflation eroding the value of cash, many investors are looking for income with inflation hedging characteristics. There is a lot of money currently on the sidelines; there is a record level of liquidity in the US money market in particular. In our view, the real estate asset class is an attractive option in the current environment. For example, over the past 44 years, US real estate total returns have consistently outpaced inflation.3

Commercial real estate in European countries has also generally provided better risk-adjusted returns than inflation over the past 10 years.4 Thus, European properties provided good income as well as a hedge against inflation.

Risk-adjusted total return of European property investment

There are generally two ways in which real estate provides a hedge against inflation. The first is when the fundamentals are strong enough that landlords can raise rents, which drives up real estate net operating income. An example of this is the logistics sector, which has a low vacancy rate and high single-digit rental growth. The hotel industry is another example, benefiting from a wave of American tourists who are flocking to Europe to take advantage of the depreciation of the euro against the American dollar.

The second way real estate can provide hedging is through long-term inflation-linked leases, where landlords can pass on rising costs directly to their tenants. Examples include net leases (where a tenant pays some or all of the other real estate costs in addition to rent) as well as long-term leases in the healthcare, education, and government sectors. Unlike the US, the majority of net leases in Europe have good rental terms tied to the country’s inflation index, making them an effective hedge in the current market environment.

Additionally, real estate tends to be uncorrelated with stocks and bonds, and therefore offers a potential diversification benefit.5

Preferred secular sectors in recessionary environments

There are two types of real estate investment themes. The first is cyclical, where returns are tied to economic and employment growth and boom and bust cycles. Real estate sectors that fall into this category include offices, retail and traditional apartments. The second is secular, which tends to be related to demographics and upheaval. Secular investment themes have very little connection to economic growth and may even be counter-cyclical. Additionally, these tend to be more recession-proof and less volatile than cyclical investments. The aging of populations around the world is an example of a demographic trend that benefits healthcare facilities and senior residences.

Euro area population growth by age group

ESG and e-commerce infrastructure also fall into the category of secular investing themes. Social infrastructure, which includes health care, retirement/serviced residences, affordable housing, social housing and student housing, ranks high among institutional investors.6

WHAT ARE THE RISKS ?

All investments involve risk, including possible loss of principal. The value of investments can go down as well as up, and investors may not get back the full amount invested. Historically, equities have outperformed other asset classes over the long term, but tend to fluctuate more dramatically over the short term. Bond prices generally move in the opposite direction of interest rates. So, as bond prices adjust to a rise in interest rates, the stock price may fall. Special risks are associated with foreign investment, including currency fluctuations, economic instability and political developments; investments in emerging markets involve increased risks related to the same factors. To the extent that a strategy focuses on particular countries, regions, industries, sectors or types of investments from time to time, it may be subject to greater risks of adverse developments in those areas of interest than a strategy that invests in a wider variety of countries, regions, industries, sectors or investments.

Risks associated with a real estate strategy include, but are not limited to, various risks inherent in owning real estate, such as fluctuations in lease occupancy rates and operating expenses, variations in rental, which in turn may be affected by general and local economic conditions, real estate supply and demand, zoning laws, rent control laws, property taxes, availability and costs of financing, environmental laws and uninsured losses (usually due to catastrophic events such as earthquakes, floods and wars).

Investments in alternative investment strategies are complex and speculative investments, involve significant risks and should not be viewed as a complete investment program. Depending on the product invested, an investment in alternative investments may only provide limited liquidity and are only suitable for people who can afford to lose their entire investment.

Franklin Templeton and our specialist investment managers have certain environmental, sustainability and governance (ESG) objectives or capabilities; however, not all strategies are managed according to ESG-oriented objectives.

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1. Source: Bloomberg as of September 21, 2022. There can be no assurance that any estimate, forecast or projection will occur.

2. Sources: Bloomberg, Clarion Partners Investment Research, September 2022.

3. Sources: NCREIF, Bureau of Labor Statistics, Bloomberg, Clarion Partners Investment Research, as of Q2 2022. Past performance is not an indicator or guarantee of future results.

4. Sources: PREA, MSCI, Clarion Partners Investment Research, September 2022.

5. Diversification does not guarantee profit or protect against the risk of loss.

6. Sources: PwC/ULI Emerging Trends in Real Estate Europe 2022, Clarion Partners Investment Research, September 2022.

Original post

Editor’s note: The summary bullet points for this article were chosen by the Seeking Alpha editors.

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Incumbent hopes to defeat state senator in MUD Subdistrict 6 race https://gnet.org/incumbent-hopes-to-defeat-state-senator-in-mud-subdistrict-6-race/ Wed, 19 Oct 2022 23:25:00 +0000 https://gnet.org/incumbent-hopes-to-defeat-state-senator-in-mud-subdistrict-6-race/ In November, two men are hoping to get your vote to take the seat in MUD Sub-District 6, which covers parts of Ralston, Omaha and Boys Town. Incumbent Mike McGowan will face current Sen. John McCollister next month. sat down with the two candidates. McGowan wants to stay on MUD’s board. He’s been there for […]]]>

In November, two men are hoping to get your vote to take the seat in MUD Sub-District 6, which covers parts of Ralston, Omaha and Boys Town. Incumbent Mike McGowan will face current Sen. John McCollister next month. sat down with the two candidates. McGowan wants to stay on MUD’s board. He’s been there for nine years and served as president in 2012 and 2021. And that’s just part of his resume in the industry. “I have worked for Northern Natural Gas for 36 years. I know and understand the utility industry. I am not a career politician. I only want to serve on the board of MUD. I do not want to occupy no other position in the state or anywhere. I want to put my knowledge and experience to work for the taxpayers of Omaha,” McGowan said. He says it shows he has good judgment. “I I’ve lived in Omaha for 70 of my 75 years now and I think it’s time to play forward. I’ve had moderate success, I think I owe Omaha some of my talent and time to repay it,” McCollister said. KETV asked the two men what they hope to accomplish over the next six years. “They’re elected. McGowan points to replacing MUD’s cast iron water and gas pipes. Something they’ve been working on. “After that, after our infrastructure, I want to maintain our financial viability. I want to make sure that we are financially strong, that our cash reserves are good, that our balance sheets are good, and that our ratings and bond ratings are good. “, said McGowan. McCollister says that when he goes door to door, he hears people worrying about the cost of natural gas, so he wants to talk about it. “They know energy prices are going up , but fortunately MUD can mitigate these increases with our LNG plant that we have. And also the 15 million gallon propane tank that will help bring the price down,” McCollister said. base of well-trained employees who know the business.” The other thing to do going forward is to continue to focus on safety. Security cannot be compromised for any reason. So we focus on safety. I want employees to have their number one priority to make sure the safety of the public, taxpayers and employees come first in their daily work,” McGowan said. McCollister says that in general it’s difficult to run a utility these days. “Environmental regulations keep changing. Management is always faced with rising labor costs. Inflation is another issue we have to deal with,” McCollister said. McGowan says he has received endorsements from Gov. Pete Ricketts, Congressman Don Bacon and the Douglas County Republican Party, to name a few. The election will take place on November 8.

In November, two men are hoping to get your vote to take the seat in MUD Sub-District 6, which covers parts of Ralston, Omaha and Boys Town.

Incumbent Mike McGowan will face current Sen. John McCollister next month.

Abbie Petersen of KETV NewsWatch 7 sat down with the two contestants.

McGowan wants to stay on MUD’s board. He’s been there for nine years and served as president in 2012 and 2021. And that’s just part of his resume in the industry.

“I have worked for Northern Natural Gas for 36 years. I know and understand the utility industry. I am not a career politician. I only want to serve on the board of MUD. I do not want to occupy no other position in the state or anywhere. I want to put my knowledge and experience to work for the ratepayers of Omaha,” McGowan said.

McCollister also wants the job; he’s been a board member five times in the past.

He also served two terms as a state senator. He says it shows he has good judgment.

“I’ve lived in Omaha for 70 of my 75 years now and I think it’s time to play forward. I’ve had moderate success, I think I owe Omaha some of my skills and time to pay it back,” McCollister said.

KETV asked the two men what they hope to accomplish over the next six years if elected.

McGowan says MUD’s cast iron water and gas pipes need to be replaced. Something they worked on.

“After that, after our infrastructure, I want to maintain our financial viability. I want to make sure that we are financially strong, that our cash reserves are good, that our balance sheets are good and that our ratings and bond ratings are good. .,” McGowan said.

McCollister says when he goes door to door, he hears people worrying about the cost of natural gas, so he wants to talk about it.

“They know energy prices are going up, but luckily MUD can mitigate those increases with our LNG plant that we have. And also the 15 million gallon propane tank that will help bring prices down,” said McCollister.

And when it comes to current challenges, McGowan says, like any other business, they need to make sure they have a well-trained employee base that knows the business.

“The other thing to do in the future is to continue to focus on safety. Safety cannot be compromised for any reason. So we are focusing on safety. I want employees to have their number one priority to ensure that the safety of the public, taxpayers and employees is number one in their daily work,” said McGowan.

McCollister says that in general, it’s hard to run a utility these days.

“Environmental regulations keep changing. Management is always faced with rising labor costs. Inflation is another issue we have to deal with,” McCollister said.

McGowan says he has received endorsements from Gov. Pete Ricketts, Congressman Don Bacon and the Douglas County Republican Party, to name a few.

The election is November 8.

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