Category: Business

OLDWICK, N.J. — (BUSINESS WIRE) — #insurance—AM Best has removed from under review with developing implications and affirmed the Financial Strength Rating of A- (Excellent) and the Long-Term Issuer Credit Rating of “a-” (Excellent) of Vault E&S Insurance Company (Little Rock, AR) and Vault Reciprocal Exchange (St. Petersburg, FL), collectively referred to as Vault Holdings Group (Vault). The outlook assigned to these Credit Ratings (ratings) is stable.

The ratings reflect Vault’s balance sheet strength, which AM Best assesses as very strong, as well as its adequate operating performance, limited business profile and appropriate enterprise risk management.

 

Allied World Assurance Company Holdings, Ltd. recently sold a majority ownership of the Vault entities to an investor group led by Cornell Capital. Concurrently, Vault Reciprocal Exchange and Vault E&S Insurance Company have entered into a pooling agreement for all premiums and losses. Upon the deal’s close, the new owners injected a material amount of equity to strengthen Vault’s balance sheet and support future growth. The group remains committed to providing coverage for the high net worth homeowners market and is actively expanding its geographic footprint. The group predominantly writes in Florida, South Carolina and Texas, but expects its geographic concentration to decline as it continues to diversify. While volatile performance has been observed in 2021, AM Best expects Vault’s operating results to improve in the near term in accordance with company-provided projections.

 

This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best’s Credit Ratings. For information on the proper use of Best’s Credit Ratings, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.

 

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.

 

Copyright © 2021 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

Contacts

Christopher Draghi
Associate Director
+1 908 439 2200, ext. 5043
chris.draghi@ambest.com

Christopher Sharkey
Manager, Public Relations
+1 908 439 2200, ext. 5159
christopher.sharkey@ambest.com

Michelle Baurkot
Director
+1 908 439 2200, ext. 5314
michelle.baurkot@ambest.com

Jim Peavy
Director, Communications
+1 908 439 2200, ext. 5644
james.peavy@ambest.com

During pandemic, half of Americans report searching for strength and resilience in financial services brands

NEWARK, N.J. — (BUSINESS WIRE) — Who’s Your Rock? That question catalyzes Prudential Financial, Inc.’s (NYSE: PRU) newest commercial premiering during the NBC broadcast of the opening ceremonies of the Tokyo Olympics, and an international campaign that re-establishes the company’s iconic Rock, a symbol of financial strength and resilience.

 

For the first time in a decade, Prudential is re-emphasizing its famous Rock, introduced in its advertising 125 years ago. The move marks a renewed emphasis on the company’s Rock Solid financial solutions, planning and investments, supporting people to find their “rocks” as the importance of strength and resilience endures—especially as financial security remains an elusive goal for many.

 

In fact, as the U.S. begins to emerge from the pandemic, more than 2 in 3 Americans (68%) express concern about their financial futures, and 62% are anxious about their current finances, paying off debt (54%), covering everyday expenses (52%) and spending on healthcare (56%), according to a poll commissioned by Prudential.* And 1 in 2 people say it’s more important that the companies and brands they turn to for financial services are trustworthy, responsive, strong, and resilient, compared to one year ago.

 

“We want to re-establish the significance of the modern Rock and what it stands for in people’s lives,” says Susan Somersille Johnson, Prudential’s chief marketing officer. “Ultimately, it signifies finding our sources of strength during these extraordinary times, and that our customers can rely on us.”

 

Prudential is also sponsoring the USA Climbing team as the sport makes its debut at this year’s games. The partnership spotlights a new generation of inspiring American athletes who represent the future of climbing and embody the company’s shared attributes of strength, performance, and reaching new heights.

 

“The Rock symbolizes our purpose of making lives better by solving people’s financial challenges. It’s the force that propels us forward to focus on customer needs, and to drive growth for our clients, employees, and investors,” says Andy Sullivan, head of Prudential’s U.S. Businesses.

 

Starting today, Prudential’s “Who’s Your Rock” commercial airs in major markets across the United States including New York, Los Angeles, Chicago, Miami, Dallas, San Diego, San Francisco, Washington, D.C., Philadelphia, Boston, Atlanta, Detroit, and Hartford, Connecticut. The full campaign, which runs through December, will air on national and local TV, connected TV, social, digital, audio and sponsorships, and extends internationally to Brazil and Mexico.

 

About Prudential Financial, Inc.

Prudential Financial, Inc. (NYSE: PRU), a financial wellness leader and premier active global investment manager with more than $1.5 trillion in assets under management as of March 31, 2021, has operations in the United States, Asia, Europe, and Latin America. Prudential’s diverse and talented employees help to make lives better by creating financial opportunity for more people. Prudential’s iconic Rock symbol has stood for strength, stability, expertise and innovation for more than a century. For more information, please visit news.prudential.com.

 

*Polls conducted for Prudential by Morning Consult.

1050552-00001-00

Contacts

MEDIA CONTACT:

Rebecca Rickert, 973-943-6679

rebecca.rickert@prudential.com

RUTHERFORD, N.J. — (BUSINESS WIRE) — Blue Foundry Bancorp (NASDAQ:BLFY) (the “Company”), the holding company for Blue Foundry Bank (the “Bank”), today reported a net loss of $1.0 million for the three months ended June 30, 2021 compared to a net loss of $16.7 million for the three months ended June 30, 2020, and a net loss of $1.7 million for the six months ended June 30, 2021 compared to a net loss of $28.1 million for the six months ended June 30, 2020. The improvement in net loss for those comparative periods was largely driven by a decrease in non-interest expenses, in particular the reclassification of certain properties into held-for-sale in the first quarter of 2020 and goodwill impairment recorded in the second quarter of 2020.

Total assets increased $634.3 million, or 32.65%, to $2.58 billion at June 30, 2021 from $1.94 billion at December 31, 2020. The increase was primarily due to cash received in connection with the previously announced plan to convert to the stock holding company form of organization.

On July 15, 2021, the Company announced that it had closed its stock offering in connection with the completion of the conversion of Blue Foundry, MHC into the stock holding company form of organization. The Company sold 27,772,500 shares of common stock at a price of $10.00 per share in its subscription offering. The Company also contributed 750,000 shares of common stock and $1.5 million in cash to the Blue Foundry Charitable Foundation.

James Nesci, President and Chief Executive Officer commented: “We are delighted to have successfully converted from a mutual holding company to a stock holding company on July 15, 2021. Over the recent past, we have made strategic investments in the infrastructure of Blue Foundry. As a public company, we intend to leverage our investments and grow our bank. The new capital we have received will allow us to fund new loans, refine existing products and services, expand our retail banking franchise, and continue to invest in the backbone of this organization, our people. Blue Foundry has a storied history serving the communities where we operate, and we are very eager for our future as a public institution.”

Balance Sheet Summary:

Cash and cash equivalents. Cash and cash equivalents increased $608.7 million to $925.1 million at June 30, 2021 from $316.4 million at December 31, 2020. The increase was primarily due to cash received in connection with the conversion and related stock offering.

Gross Loans. Gross loans held for investment decreased $25.3 million, or 1.98%, to $1.25 billion at June 30, 2021 from $1.28 billion at December 31, 2020. The most significant drivers were net increases in Multifamily loans and Commercial & Industrial (PPP) loans originations exceeded by payoffs and amortization in Residential One-to-Four Family loans. For the six months ended June 30, 2021 there were $91.3 million in originations of Multifamily loans partially offset by $40.3 million of payoffs and amortization, and $39.7 million of originations in Commercial & Industrial (PPP loans) partially offset by $28.2 million in payoffs and amortization. The decrease in One-to-Four Family loans was primarily driven by $12.2 million in originations exceeded by $97.6 million in payoffs and amortization.

Summary of loans receivable, net at June 30, 2021 and December 31, 2020, is as follows:

		June 30, 2021				December 31, 2020
		(Dollars in thousands)
Residential one-to-four family		$	526,233			$	611,603
Multifamily		478,455				427,436
Non-residential		134,346				128,141
Construction and land		28,142				33,691
Junior liens		20,732				23,814
Commercial and Industrial (PPP)		65,566				54,053
Consumer and other		84				99
Total loans		1,253,558				1,278,837
Deferred fees, costs and discounts, net		3,211				5,236
Allowance for loan losses		(15,593		)		(16,959		)
		(12,382		)		(11,723		)
Loans receivable, net		$	1,241,176			$	1,267,114

Securities Available-For-Sale. Securities available-for-sale increased $49.9 million, or 20.4%, to $294.5 million at June 30, 2021 from $244.6 million at December 31, 2020. During the six months ended June 30, 2021, purchases of agency bonds and residential mortgage-backed securities were executed as interest rates rose. No securities were sold or liquidated during the six months ended June 30, 2021.

Total Deposits. Total deposits totaled $2.01 billion at June 30, 2021. Excluding deposits received in connection with the conversion and related stock offering, deposits increased $21.8 million, or 1.6%. Checking and savings accounts increased $100.2 million, or 15.7%, to $738.9 million at June 30, 2021 from $638.8 million at December 31, 2020. This was offset by time deposit decreases of $78.4 million, or 10.9%, to $639.0 million at June 30, 2021 from $717.4 million at December 31, 2020. These changes resulted in the ratio of time deposits to total deposits decreasing from 52.9% at December 31, 2020 to 46.4% at June 30, 2021, and a blended deposit cost of funds decline to 0.63% at June 30, 2021 from 0.92% at December 31, 2020.

Borrowings. The Company had $315.4 million of borrowings at June 30, 2021, compared to $329.4 million of borrowings at December 31, 2020. Our borrowings consisted solely of Federal Home Loan Bank of New York advances. Of that total, $109.0 million of the borrowings are associated with longer-dated swap agreements.

Total Equity. Shareholders’ total equity decreased by $0.7 million, or 0.33%, to $204.9 million at June 30, 2021 compared to $205.6 million at December 31, 2020. The decrease was due primarily to a net loss of $1.7 million for the six months ended June 30, 2021, offset by an increase of $1.1 million in accumulated other comprehensive income. The Bank’s capital ratios remain above the FDIC’s “well capitalized” standards.

Results of Operations:

Net Interest Income and Margin. For the three months ended June 30, 2021 net interest income was $9.9 million, flat compared to the same period in 2020. For the six months ended June 30, 2021 net interest income was $19.5 million, a decrease of $0.6 million compared to $20.1 million for same period in 2020. Interest income declined $2.1 million and $4.6 million for the three and six months ended June 30, 2021, respectively, driven by lower loan volume and to a lesser extent, the lower interest rate environment. This decline was partially offset with an improvement in interest expense of $2.0 million and $4.0 million for the three and six months ended June 30, 2021, respectively, driven by the maturity of higher cost time deposits and a lower cost of funds on non-maturity deposits.

Our net interest margin decreased by 9 basis points to 1.99% for the quarter ended June 30, 2021, from 2.08% for the trailing quarter. The yield on interest earning assets and net interest margin was negatively impacted by the minimal yields earned on the cash received in connection with the conversion and related stock offering. The weighted average yield on interest-earning assets decreased 25 basis points to 2.78% for the quarter ended June 30, 2021, from 3.03% for the quarter ended March 31, 2021, while the weighted average cost of interest-bearing deposits decreased 15 basis points to 0.71% for the quarter ended June 30, 2021, compared to 0.86% for the trailing quarter. Our cost of total average deposits was 0.63% for the second quarter 2021 as compared to 1.27% for the first quarter 2021.

Net interest margin for the three months ended June 30, 2021 decreased by 12 basis points from 2.11% in the second quarter of 2020. The yield on average interest earning assets decreased by 59 basis points from the second quarter of 2020 mostly due to higher cash balances with minimal yield. The yield on average loans decreased by 12 basis points to 3.78% for the second quarter 2021 compared to the second quarter of 2020 largely due to the lower interest rate environment. The overall cost of average interest bearing liabilities decreased 50 basis points to 0.94% for the second quarter 2021 compared to the second quarter of 2020 due to repricing of higher cost time deposits and a lower cost of funds on non-maturity deposits.

Net interest margin for the six months ended June 30, 2021 decreased by 15 basis points from 2.19% for the six months ended June 30, 2020. The yield on average interest earning assets decreased by 61 basis points mostly due to higher cash balances with minimal yield. The yield on average loans decreased by 16 basis points and the overall cost of average interest bearing liabilities decreased 51 basis points.

Non-interest Income. Non-interest income of $0.6 million for the three months ended June 30, 2021 decreased $0.2 million from $0.8 million for the three months ended June 30, 2020. Non-interest income of $1.3 million for the six months ended June 30, 2021 increased $1.4 million from a non-interest loss of $0.1 million for the six months ended June 30, 2020.

Non-interest Expense. Non-interest expense decreased $15.2 million to $11.8 million for the three months ended June 30, 2021 from $27.0 million for the three months ended June 30, 2020, and decreased $26.6 million to $24.2 million for the six months ended June 30, 2021 from $50.8 million for the six months ended June 30, 2020. The primary drivers of these decreases were the $12.8 million loss on assets held for sale recognized in the first quarter of 2020 and the goodwill impairment of $15.5 million recognized in the second quarter of 2020.

Asset Quality. The allowance for loan losses and letters of credit and commitments was $16.2 million at June 30, 2021 compared to $17.3 million at June 30, 2020, of which $0.61 million and $0, respectively, related to the allowance for letters of credit and commitments. The allowance for loan losses to total loans was 1.24% at June 30, 2021 compared to 1.22% at June 30, 2020, while the allowance for loan losses to non-performing loans was 125% at June 30, 2021 compared to 347% at June 30, 2020. The Company recorded a recovery of provision for loan losses of $0.6 million and $1.4 million for the three and six months ended June 30, 2021, respectively, compared with provisions of $1.3 million and $2.8 million for the three and six months ended June 30, 2020, respectively.

Non-performing loans totaled $12.5 million at June 30, 2021 compared to $12.9 million at December 31, 2020 and $5.0 million at June 30, 2020.

Income Tax Expense. The Company recognized an income tax expense of $283 thousand for the three months ended June 30, 2021 compared to an income tax benefit of $706 thousand for the three months ended June 30, 2020, and an income tax benefit of $268 thousand for the six months ended June 30, 2021 compared to an income tax benefit of $5.4 million for the six months ended June 30, 2020.

About Blue Foundry

Blue Foundry Bancorp is the holding company for Blue Foundry Bank, a place where things are made, purpose is formed, and ideas are crafted. Dedicated to individual support, Blue Foundry Bank offers a comprehensive line of products and services including personal and business banking and lending, to support clients’ financial goals and investment for growth. With its Universal Bankers acting more as partners, the process will be less about banking and more about living. To learn more about Blue Foundry, go to www.bluefoundrybank.com or call our Customer Service Center at 1-888-931-BLUE.

Forward Looking Statements

Certain statements contained herein are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements, which are based on certain current assumptions and describe our future plans, strategies and expectations, can generally be identified by the use of the words “may,” “will,” “should,” “could,” “would,” “plan,” “potential,” “estimate,” “project,” “believe,” “intend,” “anticipate,” “expect,” “target” and similar expressions.

Forward-looking statements are based on current beliefs and expectations of management and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond our control. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. The following factors, among others, could cause actual results to differ materially from the anticipated results or other expectations expressed in the forward-looking statements: conditions related to the recent global coronavirus outbreak that has and will continue to pose risks and could harm our business and results of operations; general economic conditions, either nationally or in our market areas, that are worse than expected; changes in the level and direction of loan delinquencies and write-offs and changes in estimates of the adequacy of the allowance for loan losses; our ability to access cost-effective funding; fluctuations in real estate values and both residential and commercial real estate market conditions; demand for loans and deposits in our market area; our ability to implement and change our business strategies; competition among depository and other financial institutions; inflation and changes in the interest rate environment that reduce our margins and yields, the fair value of financial instruments or our level of loan originations, or increase the level of defaults, losses and prepayments on loans we have made and make; adverse changes in the securities or secondary mortgage markets; changes in laws or government regulations or policies affecting financial institutions, including changes in regulatory fees, capital requirements and insurance premiums; changes in monetary or fiscal policies of the U.S. Government, including policies of the U.S. Treasury and the Federal Reserve Board; changes in the quality or composition of our loan or investment portfolios; technological changes that may be more difficult or expensive than expected; a failure or breach of our operational or security systems or infrastructure, including cyber-attacks; the inability of third party providers to perform as expected; our ability to manage market risk, credit risk and operational risk in the current economic environment; our ability to enter new markets successfully and capitalize on growth opportunities; our ability to successfully integrate into our operations any assets, liabilities, customers, systems and management personnel we may acquire and our ability to realize related revenue synergies and cost savings within expected time frames and any goodwill charges related there to; changes in consumer spending, borrowing and savings habits; changes in accounting policies and practices, as may be adopted by the bank regulatory agencies, the Financial Accounting Standards Board, the Securities and Exchange Commission or the Public Company Accounting Oversight Board; our ability to retain key employees; the ability of the U.S. Government to manage federal debt limits; and changes in the financial condition, results of operations or future prospects of issuers of securities that we own.

Because of these and other uncertainties, our actual future results may be materially different from the results indicated by these forward-looking statements. Except as required by applicable law or regulation, we do not undertake, and we specifically disclaim any obligation, to release publicly the results of any revisions that may be made to any forward-looking statements to reflect events or circumstances after the date of the statements or to reflect the occurrence of anticipated or unanticipated events.

BLUE FOUNDRY BANCORP AND SUBSIDIARY
Consolidated Statements of Financial Condition
June 30, 2021 (Unaudited) and December 31, 2020
(Dollars in thousands)
		June 30, 2021				December 31, 2020
		(In thousands)
ASSETS
Cash and cash equivalents		$	925,091			$	316,445
Securities available for sale, at fair value		294,484				244,587
Assets held for sale		6,117				5,295
Securities held to maturity (fair value of $3,001 at June 30, 2021 and $6,979 at December 31, 2020)		3,002				7,005
Restricted stock, at cost		16,027				16,860
Loans receivable, net of allowance of $15,593 at June 30, 2021 and $16,959 at December 31, 2020		1,241,176				1,267,114
Real estate owned, net		624				624
Interest and dividends receivable		5,507				5,749
Premises and equipment, net		24,876				19,569
Right-of-use assets		25,700				24,878
Bank owned life insurance		21,423				21,186
Other assets		12,824				13,234
Total assets		$	2,576,851			$	1,942,546
LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities
Deposits		$	2,008,068			$	1,356,184
Advances from the Federal Home Loan Bank		315,400				329,400
Advances by borrowers for taxes and insurance		10,417				10,841
Lease liabilities		26,765				25,535
Other liabilities		11,289				14,986
Total liabilities		2,371,939				1,736,946
Shareholders’ equity
Common stock $0.10 par value; 20,000,000 shares authorized; 100,000 shares issued and outstanding		10				10
Additional paid-in capital		822				822
Retained earnings		204,051				205,799
Accumulated other comprehensive income (loss)		29				(1,031		)
Total shareholders’ equity		204,912				205,600
Total liabilities and shareholders’ equity		$	2,576,851			$	1,942,546

BLUE FOUNDRY BANCORP AND SUBSIDIARY
Consolidated Statements of Operations
(Dollars in Thousands) (Unaudited)
		Three Months Ended June 30,								Six Months Ended June 30,
		2021				2020				2021				2020
		(In thousands)
Interest income:
Loans		$	12,056			$	13,950			$	24,318			$	28,165
Taxable investment income		1,618				1,769				3,163				3,807
Non-taxable investment income		128				156				263				339
Total interest income		13,802				15,875				27,744				32,311
Interest expense:
Deposits		2,379				4,213				5,197				8,815
Borrowed funds		1,515				1,718				3,039				3,378
Total interest expense		3,894				5,931				8,236				12,193
Net interest income		9,908				9,944				19,508				20,118
(Recovery of) provision for loan losses		(553		)		1,252				(1,361		)		2,753
Net interest income after (recovery of) provision for loan losses		10,461				8,692				20,869				17,365
Noninterest income:
Fees and service charges		537				617				1,063				920
Loss on premises and equipment		(86		)		—				(86		)		—
Write-down of Real Estate Owned		—				—				—				(1,390		)
Other		169				209				310				393
Total other income (loss)		620				826				1,287				(77		)
Noninterest expense:
Compensation and employee benefits		6,369				5,978				12,391				11,569
Occupancy and equipment		2,043				1,343				3,996				2,742
Loss on assets held for sale		—				—				21				12,765
Data processing		1,885				833				3,652				1,764
Advertising		521				249				991				648
Professional services		546				2,363				1,943				4,478
Directors fees		136				123				277				247
(Recovery of) provision for commitment and letters of credit		(473		)		—				(704		)		—
Federal deposit insurance		129				69				254				69
Goodwill impairment		—				15,460				—				15,460
Other		645				550				1,351				1,015
Total operating expenses		11,801				26,968				24,172				50,757
Loss before income tax expense		(720		)		(17,450		)		(2,016		)		(33,469		)
Income tax expense (benefit)		283				(706		)		(268		)		(5,391		)
Net loss		$	(1,003	)		$	(16,744	)		$	(1,748	)		$	(28,078	)

BLUE FOUNDRY BANCORP AND SUBSIDIARY
Consolidated Financial Highlights
(Dollars in Thousands) (Unaudited)
		Three Months Ended June 30,								Six Months Ended June 30,
		2021				2020				2021				2020
Selected Operating Data
Interest income			13,802				15,875				27,744				32,311
Interest expense			3,894				5,931				8,236				12,193
Net interest income			9,908				9,944				19,508				20,118
Provision for (recovery of) loan losses			(553	)			1,252				(1,361	)			2,753
Non-interest income			620				826				1,287				(77	)
Non-interest expense			11,801				26,968				24,172				50,757
(Loss) income before income tax expense			(720	)			(17,450	)			(2,016	)			(33,469	)
Income tax (benefit) expense			283				(706	)			(268	)			(5,391	)
Net (loss) income		$	(1,003	)		$	(16,744	)		$	(1,748	)		$	(28,078	)
Performance Ratios (%)
Return (loss) on average assets			(0.19	)			(0.86	)			(0.09	)			(1.46	)
Return (loss) on average equity			(1.97	)			(7.89	)			(0.85	)			(12.51	)
Interest rate spread (1)			1.84				1.94				1.90				2.01
Net interest margin (2)			1.99				2.11				2.04				2.19
Efficiency ratio (3)			112.09				250.42				116.24				253.24
Average interest-earning liabilities to average interest-bearing liabilities			119.87				113.87				115.68				113.20
Equity to assets (end of period)											7.92				10.53
Asset Quality
Non-performing loans											12.5				5.0
Real estate owned, net											0.6				0.6
Non-performing assets											13.1				5.6
Allowance for loan losses as a percent of total loans (%)											1.24				1.22
Allowance for loan losses as a percent of non-performing loans (%)											125.08				347.22
Non-performing loans as a percent of total loans (%)											0.99				0.35
Non-performing assets as a percent of total assets (%)											0.51				0.28
Net charge-offs to average outstanding loans during the period (%)			—	%			—	%			—	%			—	%

(1) Interest rate spread represents the difference between the yield on interest-earning assets and the cost of interest-bearing liabilities.

(2) Net interest margin represents net interest income divided by average interest-earning assets.

(3) Efficiency ratio represents non-interest expense divided by the sum of net interest income plus non-interest income.

BLUE FOUNDRY BANCORP AND SUBSIDIARY
Analysis of Net Interest Income
		Three Months Ended June 30,
		2021										2020
		Average Balance				Interest			Average Yield/Cost			Average Balance				Interest			Average Yield/Cost
		(Dollar in thousands)
Assets:
Loans		$	1,280,773			12,056			3.78	%		$	1,434,723			13,950			3.90	%
Mortgage-backed securities			155,566			761			1.96	%			135,603			760			2.25	%
Other investment securities			133,189			726			2.19	%			138,034			890			2.59	%
FHLB stock			16,102			192			4.79	%			18,554			240			5.20	%
Cash and cash equivalents			408,162			67			0.07	%			159,952			35			0.08	%
Total interest-bearing assets			1,993,792			13,802			2.78	%			1,886,866			15,875			3.37	%
Non-interest earning assets			79,033										64,442
Total assets		$	2,072,825									$	1,951,308
Liabilities and shareholders’ equity:
NOW and demand accounts			359,238			139			0.15	%			267,454			175			0.26	%
Savings and money market accounts			321,024			150			0.19	%			229,900			167			0.29	%
Time deposit			663,707			2,090			1.26	%			788,976			3,871			1.97	%
Interest-bearing deposits			1,343,969			2,379			0.71	%			1,286,330			4,213			1.31	%
FHLB advances			319,367			1,515			1.90	%			370,697			1,718			1.86	%
Total interest-bearing liabilities			1,663,336			3,894			0.94	%			1,657,027			5,931			1.44	%
Non-interest bearing deposits			161,805										45,155
Non-interest bearing other			43,569										36,884
Total liabilities			1,868,710										1,739,066
Total shareholders’ equity			204,116										212,242
Total liabilities and shareholders’ equity		$	2,072,826									$	1,951,308
Net interest income						9,908										9,944
Net interest rate spread (1)									1.84	%									1.93	%
Net interest margin (2)									1.99	%									2.11	%

		Six Months Ended June 30,
		2021										2020
		Average Balance				Interest			Average Yield/Cost			Average Balance				Interest			Average Yield/Cost
		(Dollar in thousands)
Assets:
Loans		$	1,285,931			24,318			3.81	%		$	1,427,819			28,165			3.97	%
Mortgage-backed securities			146,861			1,439			1.98	%			124,897			1,485			2.39	%
Other investment securities			127,972			1,453			2.29	%			128,562			1,660			2.60	%
FHLB stock			16,282			402			4.98	%			17,474			471			5.42	%
Cash and cash equivalents			354,429			132			0.08	%			151,896			530			0.70	%
Total interest-bearing assets			1,931,475			27,744			2.90	%			1,850,648			32,311			3.51	%
Non-interest earning assets			77,789										69,172
Total assets		$	2,009,264									$	1,919,820
Liabilities and shareholders’ equity:
NOW and demand accounts			359,238			293			0.16	%			267,454			356			0.27	%
Savings and money market accounts			305,055			300			0.20	%			225,289			329			0.29	%
Time deposit			683,324			4,604			1.36	%			794,761			8,130			2.06	%
Interest-bearing deposits			1,347,617			5,197			0.78	%			1,287,504			8,815			1.38	%
FHLB advances			322,063			3,039			1.90	%			347,381			3,378			1.96	%
Total interest-bearing liabilities			1,669,680			8,236			0.99	%			1,634,885			12,193			1.50	%
Non-interest bearing deposits			89,117										29,847
Non-interest bearing other			45,588										30,736
Total liabilities			1,804,385										1,695,468
Total shareholders’ equity			204,879										224,352
Total liabilities and shareholders’ equity		$	2,009,264									$	1,919,820
Net interest income						19,508										20,118
Net interest rate spread (1)									1.91	%									2.01	%
Net interest margin (2)									2.04	%									2.19	%

Contacts

James D. Nesci
President and Chief Executive Officer

BlueFoundryBank.com
jnesci@bluefoundrybank.com
201-972-8900

Read full story here

SUMMIT, N.J. — (BUSINESS WIRE) — ETF Managers Group LLC (“ETFMG”), a leading thematic exchange-traded fund issuer, announced today that the Sit Ultra Short ETF (NYSE ARCA: VALT) has surpassed a remarkable milestone of $200 million¹ in assets under management. The actively managed ETF, which debuted in 2019, is engineered to be a secure allocation vehicle for investors seeking preservation of capital and fixed income returns in excess of short-term cash equivalents with an emphasis on daily liquidity.

Exceeding the $200 million milestone highlights the success of VALT’s institutional grade foundation as well as its ultra-short duration strategy sub-advised by a team led by Bryce Doty, Sr. VP/Sr. Portfolio Manager at Sit Fixed Income Advisors, LLC.

“VALT successfully meets the need of providing a conservative bond option for investors while offering more return than savings accounts,” says Bryce Doty. “We are thrilled that VALT has reached this impressive milestone, and we are grateful to the team at ETFMG for securing the critical mass in assets necessary for the Fund to be successful.”

The Fund provides exposure to a diversified portfolio of high-quality, short-term U.S. dollar-denominated domestic and foreign debt securities and other instruments, utilizing the Bloomberg Barclays U.S. Treasury Bills Index: 1-3-month Index as its benchmark index. VALT does not utilize currency plays or derivatives, only conservative investment grade bonds.

“We are excited to celebrate this milestone for VALT, an ETF providing more income than a typical money market fund without the downside risk of longer duration funds,” says Sam Masucci, CEO and Founder of ETFMG. “VALT’s outstanding asset growth is due in large part to its unique position in the market as a user-friendly way to give investors’ cash earning potential.”

For more information on VALT visit: www.etfmg.com/VALT.

About ETFMG

ETFMG is a provider of exchange-traded funds (ETFs), founded in 2014 with a vision of developing innovative thematic ETFs that provide investors unique exposure to new markets. Today, the ETFMG fund line up provides access to a diverse collection of global themes and is comprised of 75% first to market products. We turn portfolio management strategies into successful ETFs by partnering with market segment experts to bring long-term growth opportunities to investors. ETFMG funds are proof as to the power of the ETF wrapper and that thematic products can have a place in investors’ portfolios. To learn more about ETFMG and our portfolio of exchange traded funds please visit www.etfmg.com or follow us on LinkedIn, Twitter @ETFMG, Facebook and YouTube.

Carefully consider the Fund’s investment objectives, risk factors, charges, and expenses before investing. This and additional information can be found in the Fund’s prospectus, which may be obtained by calling 1-844-ETF-MGRS (1-844-383-6477), or by visiting www.etfmg.com/VALT. Read the prospectus carefully before investing.

Investing involves risk. 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. Although the Fund’s shares are approved for listing on the Exchange, there can be no assurance that an active trading market will be maintained for Fund shares.

The market price of the Fund’s fixed-income instruments may change, sometimes rapidly or unpredictably, in response to changes in interest rates, factors affecting securities markets generally, and other factors. Generally, when interest rates rise, the values of fixed-income instruments fall, and vice versa. The Fund may invest in floating rate securities, which are generally less sensitive to interest rate changes than securities with fixed interest rates but may decline in value if their interest rates do not rise as much, or as quickly, as comparable market interest rates. The Fund may invest in U.S. dollar-denominated debt obligations of foreign issuers. Mortgage- and asset-backed securities are subject to interest rate risk. Modest movements in interest rates (both increases and decreases) may quickly and significantly reduce the value of certain types of these securities. From time to time the Fund may invest a substantial amount of its assets in taxable or tax-exempt municipal securities whose interest is paid solely from revenues of similar projects.

The Fund is recently organized with a limited operating history. The Fund may not meet its investment objective based on the success or failure to implement investment strategies for the Fund.

The Fund’s investment strategy may require it to redeem shares for cash or to otherwise include cash as part of its redemption proceeds. In the event of large shareholder redemptions, the Fund may have to sell portfolio securities at times when it would not otherwise do so, which may negatively impact the Fund’s performance.

ETF Managers Group LLC is the investment adviser to the Fund. Sit Fixed Income Advisors II LLC (“Sit Advisors”) is the sub-advisor to the Fund. Sit Advisors is a subsidiary of Sit Investment Associates Inc. (“Sit”). Sit is a full product global asset manager offering management expertise in domestic equities, international equities and fixed income instruments.

ETFMG Financial is the distributor of the Fund. ETF Managers Group LLC and ETFMG Financial LLC are wholly owned subsidiaries of Exchange Traded Managers Group LLC (collectively, “ETFMG”). ETFMG is not affiliated with Sit.

The Fund is intended to be made available only to U.S. residents. Under no circumstances is any information provided on this website intended for distribution to or use by, or to be an offer to sell to or solicitation of an offer to buy the Fund or any investment product or service of, any person or entity in any jurisdiction or country, other than the United States, where such distribution, use, offer or solicitation would subject the Fund or its affiliates to any registration requirement or be unlawful under the securities laws of that jurisdiction or country.

1. On 7/16/21, VALT reached $200M in AUM

Contacts

Deborah Kostroun

Zito Partners

(201) 403-8185

deborah@zitopartners.com

OLDWICK, N.J. — (BUSINESS WIRE) — #insurance—AM Best has revised the outlooks to positive from stable and affirmed the Financial Strength Rating of B (Fair) and the Long-Term Issuer Credit Rating of “bb+” (Fair) of Southern General Insurance Company (SGIC) (Marietta, GA).

These Credit Ratings (ratings) reflect SGIC’s balance sheet strength, which AM Best assesses as strong, as well as its marginal operating performance, limited business profile and marginal enterprise risk management (ERM).

The revision of the outlooks to positive is based on the company’s improved ERM program. Management has implemented a governance structure and risk management controls and continues to invest in its infrastructure. In addition, implemented risk management initiatives such as claims automation, a special investigation unit and a litigation dashboard have materialized favorably as reflected in lower volatility in operating results. The continuation of these improvements will likely result in an improved Long-Term ICR in the intermediate term.

This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best’s Credit Ratings. For information on the proper use of Best’s Credit Ratings, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.

Copyright © 2021 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

Contacts

Janet Hernandez
Senior Financial Analyst
+1 908 439 2200, ext. 5767
janet.hernandez@ambest.com

Joseph Burtone

Director
+1 908 439 2200, ext. 5125
joseph.burtone@ambest.com

Christopher Sharkey
Manager, Public Relations
+1 908 439 2200, ext. 5159
christopher.sharkey@ambest.com

Jim Peavy
Director, Communications
+1 908 439 2200, ext. 5644
james.peavy@ambest.com

Just Salad demonstrates pathway to scale reusables across food service industry with pioneering Reusable Bowl program

 

NEW YORK, NY — (BUSINESS WIRE) — #justsalad–Just Salad, a fast-casual restaurant concept with a mission to make everyday health and everyday sustainability possible, announced today that it has completed its largest ever capital raise, with participation by the circular economy-focused investment firm Closed Loop Partners, as well as returning investor Panda Restaurant Group, the parent company of Panda Express^®.

Just Salad will use the capital to expand its geographic footprint and implement new environmental sustainability and technology initiatives. Currently the brand has 47 locations in New York, New Jersey, Illinois, Pennsylvania, North Carolina, Florida, and Dubai, and plans to double its footprint over the next two years.

Founded in 2006, Just Salad is the fast-casual restaurant industry’s leading proponent of zero-waste practices. In 2022, Just Salad will expand its award-winning Reusable Bowl Program to digital orders and offer participating customers loyalty rewards in its mobile app, further encouraging sustainable eating on the go.

Just Salad is the first restaurant investment for Closed Loop Partners, a New York-based investment firm and innovation center focused on scaling the circular economy in North America and beyond. Their investments align capitalism with positive social and environmental impact, driving toward zero-waste “closed loop” systems that benefit people, the planet and business. The partnership with Just Salad builds on and complements Closed Loop Partners’ existing work to advance sustainable food packaging, including investments in companies who focus on alternative materials and reuse systems, and their leadership in the NextGen Consortium, an industry partnership that advances the design, commercialization and recovery of sustainable food packaging alternatives.

“We are impressed with Just Salad’s innovative approach to embedding zero-waste principles across their business. They are a pioneer of reuse models at scale, creating the world’s largest restaurant reusable program and illustrating their commitment to extending the life of valuable packaging materials,” said Ron Gonen, Founder and CEO of Closed Loop Partners. “Their continued growth demonstrates the viability, feasibility and desirability of circular business models.”

“It has been rewarding to be part of Just Salad’s journey since the start of our partnership in 2014. Their growth in urban and suburban markets is impressive and is the result of great operations and focus on people development,” said Andrew Cherng, Co-Founder and Co-CEO of Panda Restaurant Group, the largest Asian dining concept in the U.S. with restaurant concepts in more than ten countries. “We are looking forward to supporting this next phase of Just Salad’s expansion and the impact they will make through their upcoming initiatives.”

Nick Kenner, Founder and CEO of Just Salad, said of the company’s future, “The white space for Just Salad is truly incredible. Just Salad is on its way to becoming a larger part of the national landscape and that means unrivaled, craveable food and more sustainable eating for America in general. The tailwinds are strong, and it’s about executing at a high level while still focusing on each and every customer.”

About Just Salad

Just Salad is a fast-casual concept with a mission to make everyday health and everyday sustainability possible. Empowering customers to eat with purpose, Just Salad is home of the world’s largest restaurant reusable bowl program and is the first U.S. restaurant chain to carbon label its menu. The company was founded in 2006 in New York City and has 47 locations across New York, New Jersey, Florida, Illinois, Pennsylvania, North Carolina, and Dubai. Learn more at justsalad.com.

About Closed Loop Partners

Closed Loop Partners is a New York-based investment firm comprised of venture capital, growth equity, private equity, project-based finance and an innovation center focused on building the circular economy. The firm has built an ecosystem that connects entrepreneurs, industry experts, global consumer goods companies, retailers, financial institutions and municipalities, bridging gaps and fostering synergies to scale the circular economy.

Contacts

Charles Bernard

cbernard@ccbstrategies.com

Georgia Sherwin

georgia@closedlooppartners.com

Clinical Data Supporting Approval Demonstrated Non-Inferior Immune Responses for the Serotypes Shared with PCV13 (1, 3, 4, 5, 6A, 6B, 7F, 9V, 14, 18C, 19A, 19F and 23F)

 VAXNEUVANCE Elicited Superior Immune Responses for Serotypes 3, 22F and 33F Compared to PCV13, Which Are Major Causes of Disease

 

KENILWORTH, N.J. — (BUSINESS WIRE) — $MRK #MRK–(NYSE: MRK), known as MSD outside the United States and Canada, today announced the U.S. Food and Drug Administration (FDA) approved VAXNEUVANCE^™ (Pneumococcal 15-valent Conjugate Vaccine) (pronounced VAKS-noo-vans) for active immunization for the prevention of invasive disease caused by Streptococcus pneumoniae serotypes 1, 3, 4, 5, 6A, 6B, 7F, 9V, 14, 18C, 19A, 19F, 22F, 23F and 33F in adults 18 years of age and older. The approval follows the FDA’s Priority Review of Merck’s application. VAXNEUVANCE is contraindicated for individuals with a history of severe allergic reaction (e.g., anaphylaxis) to any component of VAXNEUVANCE or to diphtheria toxoid; see additional Select Safety Information below.

The U.S. Centers for Disease Control and Prevention’s (CDC) Advisory Committee on Immunization Practices (ACIP) is expected to meet in October to discuss and make recommendations on the use of VAXNEUVANCE in adults.

VAXNEUVANCE was approved based on data from seven randomized, double-blind clinical studies assessing safety, tolerability, and immunogenicity in adults (see “Clinical Data Supporting FDA Approval” below for additional details). Clinical data showed that immune responses elicited by VAXNEUVANCE were non-inferior to the currently available 13-valent pneumococcal conjugate vaccine (PCV13) for the 13 shared serotypes, as assessed by opsonophagocytic activity (OPA) Geometric Mean Titers (GMTs).

Additionally, immune responses for VAXNEUVANCE were superior to PCV13 for shared serotype 3 and for the two serotypes unique to VAXNEUVANCE, 22F and 33F. In the pivotal Phase 3 PNEU-AGE (V114-019) study, superiority for VAXNEUVANCE relative to PCV13 was based on statistically significantly greater OPA GMT ratios for serotypes 22F [GMT Ratio 32.52 (95% Confidence Interval (CI) 25.87, 40.88)] and 33F [GMT Ratio 7.19 (95% CI 6.13, 8.43)], as well as for the key secondary objective assessing serotype 3 [GMT Ratio 1.62 (95% CI 1.40, 1.87)]. Randomized controlled trials assessing the clinical efficacy of VAXNEUVANCE compared to PCV13 have not been conducted.

“Some adults, including older adults or those with certain chronic medical conditions or immunocompromising conditions, are at increased risk for pneumococcal disease and its serious, sometimes life-threatening complications,” said Dr. Jose Cardona, Indago Research and Health Center, coordinating investigator for the PNEU-AGE trial. “The FDA’s approval of VAXNEUVANCE is based on robust Phase 2 and 3 studies assessing immune responses in a broad range of adult populations and provides an important new option in protection from invasive pneumococcal disease.”

Pneumococcal disease is an infection caused by bacteria called Streptococcus pneumoniae, or pneumococcus. Different strains of this bacteria are called serotypes. Invasive pneumococcal disease (IPD) occurs when the bacteria infect parts of the body that are usually free from germs. Approximately 80 percent of all adult IPD burden is among adults 50 years of age and older. Serotypes 3, 22F and 33F contribute significantly to the burden of IPD, and serotype 3 is the leading cause of IPD in adults in the U.S.

“At Merck, we are committed to helping protect more people from invasive pneumococcal disease. That’s why we set out to develop a conjugate vaccine that includes pneumococcal serotypes that pose the greatest threat and elicits a strong immune response to each serotype covered,” said Dr. Roy Baynes, senior vice president and head of global clinical development, chief medical officer, Merck Research Laboratories. “The FDA approval of VAXNEUVANCE builds on Merck’s more than 40 years of experience in pneumococcal disease prevention with a new option that includes serotypes responsible for substantial disease burden in adults, like serotype 3, as well as serotypes 22F and 33F, which are associated with a high degree of invasiveness and antibiotic resistance.”

About VAXNEUVANCE

VAXNEUVANCE, Merck’s approved 15-valent pneumococcal conjugate vaccine, consists of purified capsular polysaccharides from S. pneumoniae serotypes 1, 3, 4, 5, 6A, 6B, 7F, 9V, 14, 18C, 19A, 19F, 22F, 23F and 33F individually conjugated to CRM₁₉₇ carrier protein. VAXNEUVANCE is indicated for active immunization for the prevention of invasive disease caused by the S. pneumoniae serotypes contained in the vaccine. VAXNEUVANCE previously received Breakthrough Therapy designation from the FDA for the prevention of IPD in adults 18 years of age and older. In January 2021, it received Priority Review designation.

Merck is involved in litigation challenging the validity of several Pfizer Inc. patents that relate to pneumococcal vaccine technology in the United States and several foreign jurisdictions.

Select Safety Information for VAXNEUVANCE

Do not administer VAXNEUVANCE to individuals with a severe allergic reaction (e.g., anaphylaxis) to any component of VAXNEUVANCE or to diphtheria toxoid.

Some individuals with altered immunocompetence, including those receiving immunosuppressive therapy, may have a reduced immune response to VAXNEUVANCE.

The most commonly reported solicited adverse reactions in individuals 18 through 49 years of age were: injection site pain (75.8%), fatigue (34.3%), myalgia (28.8%), headache (26.5%), injection site swelling (21.7%), injection site erythema (15.1%) and arthralgia (12.7%).

The most commonly reported solicited adverse reactions in individuals 50 years of age and older were: injection site pain (66.8%), myalgia (26.9%), fatigue (21.5%), headache (18.9%), injection site swelling (15.4%), injection site erythema (10.9%) and arthralgia (7.7%).

Vaccination with VAXNEUVANCE may not protect all vaccine recipients.

Clinical Data Supporting FDA Approval

VAXNEUVANCE was approved based on data from seven randomized, double-blind clinical studies designed to evaluate its safety, tolerability, and immunogenicity in 7,438 individuals from a variety of adult populations and clinical circumstances, 5,630 of whom received VAXNEUVANCE. These included studies of:

• Healthy adults 50 years of age and older. The pivotal Phase 3 active comparator-controlled study assessed serotype-specific OPA responses for each of the 15 serotypes contained in VAXNEUVANCE at 30 days post-vaccination in pneumococcal vaccine naïve participants randomized to receive either VAXNEUVANCE (n=604) or PCV13 (n=601) (V114-019/PNEU-AGE [NCT03950622]). The study demonstrated that VAXNEUVANCE was non-inferior to PCV13 for the 13 shared serotypes and induces statistically significantly greater OPA GMTs compared to PCV13 for shared serotype 3 and for the two unique serotypes (22F, 33F).
• Adults 18-49 years of age with no history of pneumococcal vaccination, including individuals at increased risk of developing pneumococcal disease.

A Phase 3 descriptive study included individuals with stable underlying medical conditions (e.g., diabetes mellitus, renal disorders, chronic heart disease, chronic liver disease, chronic lung disease including asthma) and/or behavioral risk factors (e.g., smoking, increased alcohol use) that increased their risk of developing pneumococcal disease. Participants were randomized to receive VAXNEUVANCE (n=1,135) or PCV13 (n=380), followed by PNEUMOVAX^® 23 (pneumococcal vaccine polyvalent) six months later (V114-017/PNEU-DAY [NCT03547167]). VAXNEUVANCE elicited immune responses to all 15 serotypes as assessed by OPA GMTs at 30 days following vaccination. Additionally, following vaccination with PNEUMOVAX 23, the OPA GMTs for the 15 serotypes in VAXNEUVANCE were numerically similar among subjects who had received VAXNEUVANCE or PCV13 for the first vaccination.

• Adults living with HIV, an immunocompromising condition. A Phase 3 descriptive study assessed the use of VAXNEUVANCE in pneumococcal vaccine naïve HIV-infected adults 18 years of age and older with CD4+ T cell count ≥50 cells per microliter and plasma HIV RNA value <50,000 copies/mL (V114-018/PNEU- WAY [NCT03480802]). Participants were randomized to receive VAXNEUVANCE (n=152) or PCV13 (n=150), followed by PNEUMOVAX 23 two months later. OPA GMTs were higher after administration of VAXNEUVANCE, compared to pre-vaccination, for the 15 serotypes contained in VAXNEUVANCE. After sequential administration with PNEUMOVAX 23, OPA GMTs were numerically similar between the two vaccination groups for all 15 serotypes contained in VAXNEUVANCE.
• Co-administration of VAXNEUVANCE with seasonal quadrivalent influenza vaccine (QIV). A Phase 3 trial evaluated adults 50 years of age and older who were randomized to receive VAXNEUVANCE concomitantly with a seasonal inactivated QIV (Fluarix Quadrivalent) (n=600) or non-concomitantly 30 days after QIV (n=600) (V114-021/PNEU-FLU [NCT03615482]). The non-inferiority criteria for the comparisons of GMTs were met for the 15 pneumococcal serotypes in VAXNEUVANCE and for the 4 influenza vaccine strains tested. VAXNEUVANCE can be administered concomitantly with seasonal inactivated influenza vaccine.
• Use of VAXNEUVANCE as part of a sequential regimen with PNEUMOVAX 23.

A Phase 3 active comparator-controlled descriptive study in pneumococcal vaccine-naïve adults 50 years of age or older assessed the use of VAXNEUVANCE (n=327) or PCV13 (n=325), followed by PNEUMOVAX 23 one year later (V114-016/PNEU-PATH [NCT03480763]). Following vaccination with PNEUMOVAX 23, OPA GMTs were numerically similar between the two vaccination groups for the 15 serotypes in VAXNEUVANCE.

About Merck

For 130 years, Merck, known as MSD outside of the United States and Canada, has been inventing for life, bringing forward medicines and vaccines for many of the world’s most challenging diseases in pursuit of our mission to save and improve lives. We demonstrate our commitment to patients and population health by increasing access to health care through far-reaching policies, programs and partnerships. Today, Merck continues to be at the forefront of research to prevent and treat diseases that threaten people and animals – including cancer, infectious diseases such as HIV and Ebola, and emerging animal diseases – as we aspire to be the premier research-intensive biopharmaceutical company in the world. For more information, visit www.merck.com and connect with us on Twitter, Facebook, Instagram, YouTube and LinkedIn.

Forward-Looking Statement of Merck & Co., Inc., Kenilworth, N.J., USA

This news release of Merck & Co., Inc., Kenilworth, N.J., USA (the “company”) includes “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements are based upon the current beliefs and expectations of the company’s management and are subject to significant risks and uncertainties. There can be no guarantees with respect to pipeline products that the products will receive the necessary regulatory approvals or that they will prove to be commercially successful. If underlying assumptions prove inaccurate or risks or uncertainties materialize, actual results may differ materially from those set forth in the forward-looking statements.

Risks and uncertainties include but are not limited to, general industry conditions and competition; general economic factors, including interest rate and currency exchange rate fluctuations; the impact of the global outbreak of novel coronavirus disease (COVID-19); the impact of pharmaceutical industry regulation and health care legislation in the United States and internationally; global trends toward health care cost containment; technological advances, new products and patents attained by competitors; challenges inherent in new product development, including obtaining regulatory approval; the company’s ability to accurately predict future market conditions; manufacturing difficulties or delays; financial instability of international economies and sovereign risk; dependence on the effectiveness of the company’s patents and other protections for innovative products; and the exposure to litigation, including patent litigation, and/or regulatory actions.

The company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise. Additional factors that could cause results to differ materially from those described in the forward-looking statements can be found in the company’s 2020 Annual Report on Form 10-K and the company’s other filings with the Securities and Exchange Commission (SEC) available at the SEC’s Internet site (www.sec.gov).

Please see Prescribing Information for VAXNEUVANCE (pneumococcal 15-valent conjugate vaccine) at https://www.merck.com/product/usa/pi_circulars/v/vaxneuvance/vaxneuvance_pi.pdf.

and Patient Information at https://www.merck.com/product/usa/pi_circulars/v/vaxneuvance/vaxneuvance_ppi.pdf.

Brands mentioned are trademarks of their respective owners.

Contacts

Media Contacts:

Melissa Moody

(215) 407-3536

Steve Wanczyk

(267) 305-5563

Investor Contacts:

Peter Dannenbaum

(908) 740-1037

Raychel Kruper

(908) 740-2107

OLDWICK, N.J. — (BUSINESS WIRE) — #insurance—AM Best has maintained the under review with negative implications status for the Financial Strength Rating of A- (Excellent) and the Long-Term Issuer Credit Ratings (Long-Term ICR) of “a-” (Excellent) of Watford Re Ltd. (Watford Re) (Bermuda) and its subsidiaries, Watford Insurance Company Europe Limited (WICE) (Gibraltar), Watford Insurance Company (WIC) (New Jersey) and Watford Specialty Insurance Company (WSIC) (New Jersey). In addition, AM Best has maintained the under review with negative implications status for the Long-Term ICR of “bbb-” (Good) and the Long-Term Issue Credit Rating of “bb” (Fair) on the $225 million ($52 million outstanding) 8.5% cumulative preference shares of Watford Holdings Ltd. (Watford) (Bermuda) [NASDAQ: WTRE], the group’s ultimate holding company.

This Credit Rating (rating) action considers the recent announcement that Arch Capital Group Ltd. (Arch) has completed its merger agreement with Watford. Arch has assigned its interests and obligations under the merger agreement to a newly formed entity, Greysbridge Holdings Ltd., under which Arch owns approximately a 40% stake, with funds managed by Warburg Pincus LLC and Kelso & Company, each owning approximately 30%.

AM Best acknowledges that the transaction with Arch could benefit the Watford group through potential further de-risking of its investment portfolio, removing the burden of public company status, and possible rating enhancement stemming from being a member of a large, well-diversified group. However, although the transaction has closed, the ultimate impact to Watford’s ratings will be determined when AM Best has met with management and analyzed the group’s business plans, including an analysis of future investment risk, financial projections and operating structure within the Arch group. The under review status therefore is expected to be resolved following these discussions. AM Best will continue to evaluate Watford’s balance sheet strength, operating performance and enterprise risk management to assess that it stays in line with projected amounts.

This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best’s Credit Ratings. For information on the proper use of Best’s Credit Ratings, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.

AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit www.ambest.com.

Copyright © 2021 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.

Contacts

Clare Finnegan

Senior Financial Analyst
+1 908 439 2200, ext. 5165
clare.finnegan@ambest.com

Christopher Sharkey
Manager, Public Relations
+1 908 439 2200, ext. 5159
christopher.sharkey@ambest.com

Steven M. Chirico, CPA
Director
+1 908 439 2200, ext. 5087
steven.chirico@ambest.com

Jim Peavy
Director, Communications
+1 908 439 2200, ext. 5644
james.peavy@ambest.com