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State to allocate $15M to support workforce housing

The Virginia Investment program will soon distribute an additional $15 million in funding to support workforce housing development statewide, announced this week.

That’s part of $75 million committed over five years to for middle-income employees across the state, a plan announced last year. In May, Youngkin announced the first round of $16.9 million going to 10 localities, including Suffolk, Washington County, Winchester, , South Boston and Harrisonburg.

, a self-supporting state authority, administers the Virginia Workforce Housing Investment program, which provides loans, loan subsidies and grants to support communities developing housing for homeowners and renters making 80% to 120% of the area median income (AMI), or up to 150% of AMI in rural areas.

“Housing is one of the most critical tools for economic competitiveness, and communities that have housing supply for their workforce are gaining new jobs and generating new private investment,” Youngkin said in a statement Tuesday. “Through this innovative program, Virginia is building affordable housing to support economic growth, strengthen our communities and ensure Virginians have the housing necessary to build their future right here in the commonwealth.”

Including matching investments from developers, private investors and localities, the program is expected to leverage up to $750 million in total housing investment and support the construction of 5,000 workforce housing units statewide.

According to the governor’s office, awards of up to $3 million are available to localities within a set radius of a new or expanding business where a qualified job announcement was made within the previous fiscal year. The office said up to $5 million is available for “transformational projects of 500 new jobs or more.”

Local governments and nonprofit organizations are eligible to apply for funding, and the deadline to apply is Nov. 7. A spokesperson said the goal is to have the housing projects completed within two years of the award.

“Housing is the foundation of economic vitality, and companies want to locate where their employees can live and thrive,” Virginia Housing CEO said in a statement. “Virginia Housing continues to explore more effective ways to increase the reach of this program, and with the updates, we are continuing to invest in workforce housing, supporting the growth of our and keeping our workforce talent rooted in Virginia.”

Averett gets OK to proceed with North Campus sale

Summary: 

  • received three requested consents from the majority of its .
  • The private university can now move forward with planned $18.15M -leaseback deal of its North Campus
  • Sale is part of efforts to ease Averett’s financial troubles

Financially strapped Averett University has received three requested consents from the majority of holders of about $13.3 million in bonds, including one which will allow the private university in to move forward with the proposed $18.15 million sale and leaseback deal of its E. Stuart James Grant North Campus.

“Averett University is happy to announce that the bondholders’ vote is now complete, as we have received in excess of the 50% needed to pass,” Averett President Thomas Powell said in a statement Wednesday.

Obtaining the consents is part of the private university’s efforts to weather a financial crisis that first came to light in 2024 when its leaders announced furloughs and other cost-cutting measures.

The picture of the school’s money woes became clearer in March when Averett filed a federal lawsuit alleging that former Averett Chief Financial Officer Donald Aungst and Arizona-based Global Strategic Investment Solutions had “surreptitiously” drained nearly $20 million from the university’s endowment to cover the university’s budget deficits.

As part of its efforts to find sounder financial footing, Averett announced plans in August for the sale and leaseback deal of its North Campus, located off Mount Cross Road. Before the university could sell the property, however, it needed approval from a majority of bondholders of debt the school took out in 2017 for construction and refinancing of prior financial obligations.

In a consent solicitation statement dated Aug. 11, Averett noted that “regional investors,” including the Danville Regional Foundation, plan to buy the North Campus, which includes the university’s playing fields for football and other sports as well as its indoor athletic complex.

Averett will continue to use the property and will pay rent equal to a 4.5% annual return on the investors’ purchase price, according to the document. The lease will last for 10 years, with an option to extend it for another 10-year period.

“Now that the vote is complete, we can begin the process of closing on the sale/leaseback of the North Campus,” Powell said in Wednesday’s statement. “We look forward to moving ahead in our quest to create a dynamic and more efficient Averett University.”

In the consent solicitation statement, Averett also asked bondholders to waive “the covenant defaults with respect to the noncompliance by the university with the debt service coverage ratio” and the liquidity covenant. Bondholders were also asked to waive a requirement that an official audited financial report for the 2024 fiscal year be submitted by Dec. 1, 2024.

Averett has never missed a payment on the bonds. However, the university is technically in default due to failing to comply with the debt service coverage ratio and the liquidity covenant, according to a June 27 filing by U.S. Bank Trust, a trustee of Averett’s bonds, posted on the Electronic Municipal Market Access website.

The 2017 agreement requires that Averett maintain a debt service coverage ratio of more than 1.20. For fiscal 2024, Averett’s ratio was -4.46.

On May 30, Averett submitted a draft version of the financial report for fiscal 2024. However, without the agreement by the majority of bondholders to the requested consents, auditors would have to treat the bonds as if they were being accelerated in the final document, even though the bondholders have not asked to accelerate the debt due to noncompliance.

Powell became Averett’s 16th president in May. He replaced David Joyce, who stepped down in April after serving just three months, citing his wife’s health. Tiffany Franks, Averett’s president for 17 years, retired in January.

Averett extended the deadline for the request for consent from the bondholders three times. By the end of September, the university had responses from about 46.1% of the holders of the outstanding bonds, with 99.6% voting in favor of the requests.The deadline for the latest extension was Oct. 7.

On Aug. 6, a judge ordered Averett University to hash out its differences with GSIS and the university’s former chief financial officer through arbitration. GSIS denies the allegations. In August, Francisco E. Mundaca, a Maryland-based attorney representing Aungst, said in a statement that the former Averett CFO may be considering his own court action over the dispute.

Editor’s note: This story has been updated. An earlier version incorrectly stated that an Averett spokesperson did not immediately respond to requests for additional information.

Hooker Furnishings CAO to depart in cost-cutting plan

Martinsville-based is parting ways with its chief administration officer as part of its ongoing cost-cutting initiatives.

Anne Smith, who had been with the whole home supplier for 17 years, was also president of Hooker’s domestic upholstery business. Smith joined Hooker as director of human resources, and 10 years later was named . She assumed the upholstery role in 2021.

In a statement to Today, the company said Smith’s departure is in line with its ongoing plan to “better align our overhead with current market conditions. There has been no change to that plan, this is simply a portion of the previously announced effort.”

The company is in the midst of a three-phase cost reduction program to eliminate about $25 million in annualized expenses by fiscal 2027, roughly 25% of its fixed costs. A number of high-profile executives have left the company this year as part of cost cutting.

The company declined to outline a specific headcount for those impacted by the cost cutting, but did say that “no other executive departures were announced in connection with this disclosure, and there are no new developments to add beyond what is already in the public domain.”

Smith’s departure is effective Oct. 31, and according to the Form 8-K filed with the Securities and Exchange Commission, she will receive severance consistent with the “without cause” termination provisions the company announced in May.

“Hooker Furnishings is taking decisive steps to return the business to profitability,” said Jeremy Hoff, CEO of Hooker Furnishings. “We are making this change as part of a broader cost savings initiative aimed at reducing fixed costs by $25 million or 25%. Our cost-reduction and growth initiatives are positioning the company to maintain resilience in today’s challenging environment and to strategically capture growth when demand returns.”

Hoff said Smith plans to retire following her departure.

“We thank Anne for her leadership, friendship and dedicated service, and wish her the very best in a well-deserved retirement,” Hoff said.

Owens & Minor to sell largest business segment for $375M

Summary:

  • Henrico-based says it plans to sell largest business segment
  • to purchase Products & Healthcare Services for $375 million
  • company will focus on Patient Direct service after

Fortune 500 company Owens & Minor, based in , announced Wednesday that it plans to sell its Products & Healthcare Services segment for $375 million to Platinum Equity, a California firm.

The sale will make the corporation considerably smaller, leaving it to focus on its Patient Direct service, a profitable sector that provides home medical equipment. According to the company, the sale of the P&HS segment is expected to conclude late this year.

In July, Owens & Minor was ranked No. 395 on the Fortune 500 list, and the sale of its largest segment will likely lead to it falling off the prestigious list of the nation’s largest corporations. In June, Owens & Minor announced it backed out of a $1.36 billion deal to buy Rotech Healthcare Holdings, a Florida home-based business. The two companies agreed to terminate the acquisition June 3, and Owens & Minor paid a termination fee of $80 million in cash.

“Today’s announcement represents another critical step forward in the strategic transformation of Owens & Minor into a leading, pure-play, home-based care platform,” Owens & Minor President and CEO Edward A. Pesicka said in a statement Wednesday. “With the definitive agreement in place for Products & Healthcare Services, we will remain laser-focused on transforming the company into a pure-play, home-based care business that will drive even more value for our Patient Direct stakeholders.

“Going forward, we will be positioned among the leaders in a dynamic market where we will be able to capitalize on our leading brands and long-standing record of putting the patient first while delivering consistent revenue and profit growth. The ability to dedicate our resources to the more profitable part of the legacy business will be value-enhancing for many years to come.”

Platinum Equity, based in Beverly Hills, California, has regional offices worldwide and manages four private equity fund vehicles. According to Owens & Minor, the company has invested in multiple health care and supply businesses over its 30-year history. In 2002, Platinum combined Health Care Products, a former division of Royal Philips Electronics, and Diagnostic Imaging, a subsidiary of PSS World Medical, into one company, SourceOne Healthcare Technologies.

“Owens & Minor has played a vital role in supporting healthcare providers and patients across the country, and we are proud to invest in the future of P&HS,” Platinum Equity’s co-president, Jacob Kotzubei, said in a statement. “We are pleased to provide Owens & Minor a divestiture solution for P&HS and are grateful for the continued partnership. With the support of Platinum’s operational resources, we are committed to further enhancing P&HS’s global capabilities to deliver essential products and services when and where its customers need.”

In late February, during Owens & Minor’s year-end earnings call reporting 2024’s revenue, Pesicka said that the company was “actively engaged in robust discussions regarding the potential sale” of the P&HS sector, as the company viewed the home-care sector as its best long-term prospect.

Under the terms of the agreement, Owens & Minor will receive a cash payment of $375 million at the sale’s close, subject to customary adjustments for working capital, net debt and transaction expenses, and the company will retain a 5% interest in the P&HS sector, as well as a portion of divestiture proceeds if Platinum Equity chooses to sell the business in the future. Owens & Minor also will retain certain tax assets that exceed $150 million.

The transaction is subject to regulatory approvals, including the Hart Scott Rodino Act. Citi and Wells Fargo are acting as financial advisers to Owens & Minor, while Kirkland & Ellis is its legal adviser. On Oct. 31, Owens & Minor is expected to release its results for the third quarter of 2025.

The company’s stock fell from a height of $5.18 per share Wednesday morning to $4.66 in the afternoon.

Xcelerate Solutions acquires Maryland software company

McLean-based defense and national security contractor announced Tuesday that it acquired Maryland software development company clearAvenue.

Financial terms of the deal were not disclosed, and Xcelerate did not immediately return requests for comment.

Based in Columbia, Maryland, clearAvenue is a providing software development and maintenance, business intelligence and analysis, , machine learning, big data analytics and cloud services support.

The combined company will have a workforce of 1,500 people, and offer cybersecurity, vetting, infrastructure protection and other digital services.

“This acquisition marks a significant step forward in our technical capabilities,” said Xcelerate CEO Mark Drever. “We’ve always had a solid foundation in digital transformation, but clearAvenue lets us take it to the next level. clearAvenue is one of the few companies with demonstrated past performance qualifications in AI and machine learning.”

Xcelerate says its expanded capabilities will allow it to grow across the defense, law enforcement, national security, civilian agency and federal government sectors. It is not immediately clear if there will be any major leadership structure changes in the wake of the , or whether all of clearAvenue’s employees are transitioning to the combined company.

This marks the third acquisition completed by Xcelerate Solutions as a portfolio company of Chicago-based firm McNally Capital. Xcelerate merged with Virginia Cybersecurity firm VMD in 2024, and in September acquired General Dynamics Information Technology’s background investigation assets.

Headquartered in , Xcelerate’s major clients include federal law enforcement, the Department of Defense (also known as the Department of War) and the intelligence community.

Earlier this year, Drever was one of five Virginian winners of Ernst & Young’s 2025 Mid-Atlantic Entrepreneur of the YearAward.

Hampton Roads too reliant on federal dollars, economists warn

SUMMARY:

  • Hampton Roads’ grew for the fourth straight year in 2024 and is expected to keep expanding in 2025
  • Federal spending drives much of the region’s economy, making it vulnerable to potential cuts
  • Airport traffic and port activity are strong, but hotel growth and trade face headwinds from tariffs and uncertainty

The Hampton Roads economy grew for the fourth consecutive year in 2024 and is projected to continue growing this year; however, area economists warn that the region is overly reliant on federal spending, placing its economic health at risk in the event of future cuts.

The analysis, released Tuesday, was published in an annual State of the Region report from ‘s , with much of it authored by ODU professors and economists Bob McNab and Vinod Agarwal.

The report notes the region’s robust recovery from the COVID-19 pandemic, with economic growth since 2021 showing renewed trade activity and increased stability. The area’s gross domestic product increased by 2.6% last year and is on track for 2% growth this year.

Between 2021 and 2024, the region created jobs at a faster pace than in the previous decade. Last year saw the number of regional residents either working or actively seeking jobs rise to a record 883,768, up from 880,183 in 2023. Individual employment also rose to a record 856,716 workers (up from 852,926 in 2023), while unemployment was 3.1% (up from 2023’s 2.9%).

While the area’s economic performance has improved, relative to other metropolitan areas, there is still “much to be desired,” with its growth lagging behind faster-growing areas like Raleigh and Charlotte, North Carolina, the report concluded. In 2023, Hampton Roads ranked 146 out of 384 metropolitan areas, which the report described as “middle of the pack” performance.

However, “projecting economic growth,” the report added, “is an exercise fraught with uncertainty, and uncertainty has only increased in 2025.”

As home to more than 80,000 active-duty service members and about 60,000 federal civilian workers, Hampton Roads is heavily dependent on federal spending that also heavily supports the area’s colleges, universities, hospitals and other organizations. The defense sector is a major cornerstone of the region’s economy, as reflected in the presence of military installations such as Naval Station , the world’s largest naval base, and shipyards.

Defense spending in Hampton Roads increased in 2024, a trend that was expected to increase this year and next. But if the federal government were to decrease defense spending, the report noted that the region would be particularly vulnerable.

The report anticipates that the federal deficit, projected to reach $2 trillion in fiscal year 2026, will continue to rise in the coming years. With that in mind, the report stated, it’s unknown how long defense spending can continue to increase at the current pace.

While Hampton Roads hasn’t been hit as hard as when it comes to , the report still raises concerns about the impact of potential workforce reductions on the region’s economy.

In 2024, on average, according to the report, the ratio of federal civilian wages to private sector wages was 1.6 for Virginia. That means that for every job shed by the federal government, the private sector would need to generate 1.6 jobs to make up for the lost federal wages. “In other words, it is not enough to replace every federal job lost with a corresponding private sector job as wages in the private sector tend to be lower than wages across the federal government,” the report states.

The ‘s hostility to offshore wind and potential clawbacks of previously awarded federal funding are other areas of concern regarding federal funding.

“We opine that now is the time to increase efforts to diversify the region’s economic base to bolster private sector growth over the remainder of the decade,” the report says.

The saw its traffic increase in 2024, but the report noted that tariffs have created headwinds in 2025.

“There are broad expectations that the tariffs, if sustained, will lead to higher prices late in 2025 and into 2026 and likely reduced cargo volumes through the port as well,” the report said. “How much of an impact will materialize is an open question.”

The hotel industry’s growth slowed last year, and the report suggests that may undermine industry growth this year and 2026.

In more positive news, the report cited the as having a significant positive economic impact on the region, marking a record number of passengers in 2024 and surpassing pre-pandemic demand. Last year, approximately 4.9 million commercial service passengers traveled through the airport. The report estimates that the airport generated $1.016 billion in statewide GDP and supported 15,624 jobs, which generated $632.7 million in employee compensation.

New H-1B visa fee threatens rural health care, education

Summary

  • New $100K H-1B visa fee poses barrier for rural employers
  • and sectors face
  • International doctors, immigrant teachers fill critical gaps
  • Groups seek exemptions for medical and K-12 professionals

SIOUX FALLS, S.D. (AP) — When Rob Coverdale started his job in 2023 as superintendent of the K-12 Crow Creek Tribal School in South Dakota, there were 15 unfilled teaching positions.

Within nine months, he had filled those vacancies with Filipino teachers, the majority of whom arrived on the H-1B, a visa for skilled workers in specialty occupations.

“We’ve hired the H-1B teachers because we quite simply didn’t have other applicants for those positions,” Coverdale said. “So they’re certainly not taking jobs from Americans. They’re filling jobs that otherwise just simply we would not get filled.”

Now a new $100,000 fee for H-1B visa applications spells trouble for those like Coverdale in rural parts of the country who rely on immigrants to fill vacancies in skilled professions like education and health care.

The announced the fee on Sept. 19, arguing that employers were replacing American workers with cheaper talent from overseas. Since then, the White House has said the fee won’t apply to existing visa holders and offered a form to request exemptions from the charge.

H-1Bs are primarily associated with tech workers from India. Big tech companies are the biggest user of the visa, and nearly three-quarters of those approved are from India. But there are critical workers, like teachers and doctors, who fall outside that category.

Over the last decade, the U.S. has faced a shortage in those and other sectors. One in eight public school positions are vacant or filled by uncertified teachers, and the American Medical Association projects a shortage of 87,000 physicians in the next decade. The shortages are often worse in small, rural communities that struggle to fill jobs due to lower wages and often lack basic necessities like shopping and home rental options.

H-1B and J-1 visas provide communities an option to hire immigrants with advanced training and certification. The J-1s are short-term visas for cultural exchange programs that aren’t subject to the new fee but, unlike the H-1B, don’t offer a pathway to permanent residency.

While large companies may be able to absorb the new fee, that’s not an option for most rural communities, said Melissa Sadorf, executive director of the National Rural Education Association.

“It really is potentially the cost of the salary and benefits of one teacher, maybe even two, depending on the state,” she said. “Attaching that price tag to a single hire, it just simply puts that position out of reach for rural budgets.”

A coalition of health care providers, religious groups and educators filed a lawsuit on Friday to stop the H-1B fee, saying it would harm hospitals, churches, schools and industries that rely on the visa. The Department of Homeland Security declined to comment and referred a query to its website.

Filling classrooms where Americans won’t go

Coverdale said spots like Stephan, where Crow Creek is based, struggle to attract workers in part because of their isolation. Stephan is nearly an hour’s drive from the nearest Walmart or any place that sells clothes, he said.

“The more remote you are, the more challenging it is for your staff members to get to your school and serve your kids,” he said.

Among Coverdale’s hires is Mary Joy Ponce-Torres, who had 24 years of teaching experience in the Philippines and now teaches history at Crow Creek. It was a cultural adjustment, but Ponce-Torres said she’s made friends and Stephan is now a second home.

“I came from a private school,” she said. “When I came here, I saw it was more like a rural area … but maybe I was also looking for the same vibe, the same atmosphere where I can just take my time, take things in a much slower pace.”

Many immigrants like Ponce-Torres leave their family behind to pursue the experience and higher wages that a U.S. job can provide.

Sean Rickert, superintendent of the Pima Unified School District in Pima, Arizona, said he would stop seeking H-1B teachers if the new fee is imposed. “I just plain don’t have the money,” he said.

Though schools can also use J-1 visas to bring in immigrant teachers, it increases turnover because it is shorter term.

“It’s so important that we find permanent people, people who can buy homes, who can become part of our community,” said George Shipley, superintendent at Bison Schools in the town of Bison, South Dakota. “So the H-1B opens that possibility. It is super important, in my opinion, to actually transition from the J-1 visas to the H-1B.”

Without enough staff, schools may hire uncertified teachers, combine classes, increase caseloads for special education managers or drop some course offerings. Shipley said any future shortage of teachers in Bison would force some classes to move online.

The rural reliance on immigrant teachers is concentrated on harder-to-fill specialties, Sadorf said.

“It’s a lot more difficult to find a high school advanced math teacher that’s qualified than it is to fill a second or third grade elementary class position,” she said.

Closing gaps in the nation’s doctor shortage

The fee could be a “huge problem” for health care, said Bobby Mukkamala, president of the American Medical Association and a doctor in Flint, Michigan. Without enough doctors, patients will have to drive farther and wait longer for care.

One-quarter of the nation’s physicians are , according to the AMA.

“It’s just going to be terrible for the physician shortage, particularly in rural areas,” said Mukkamala, whose parents came to the U.S. as international medical graduates. “The people that do graduate from here, who want to practice medicine, obviously have a choice and they’re going to pick Detroit, they’re going to pick Chicago, New York, Los Angeles, San Francisco. … This is kind of where everybody goes.”

Leading medical societies have called on the Trump administration and lawmakers to grant exemptions from the fee to immigrant health care workers.

“Given the staffing and financial challenges our hospitals are already facing, the increased petition fees outlined in the September 19 Proclamation would likely prevent many of them from continuing to recruit essential health care staff and could force a reduction in the services they are able to provide,” the American Hospital Association said in a statement.

Allison Roberts, vice president of human resources at Prairie Lakes Healthcare System in Watertown, South Dakota, said the change could be dire for health care in rural America.

“If we end up not being exempt, the variation between what it is now and that $100,000 fee is going to really take your smaller, rural health care institutions out of the picture,” she said.

SoftBank to buy ABB robotics unit in $5.4B AI push

Summary

ZURICH/TOKYO (Reuters) -SoftBank Group has agreed to buy the robotics business of Swiss engineering group ABB in a $5.4 billion deal, as the Japanese investor forges ahead with a strategy to fuse robotics and .

The acquisition, announced on Wednesday, is the latest by founder and CEO to establish Softbank as a core player in the development of artificial intelligence.

SoftBank pushed into humanoid robotics a decade ago with its Pepper robot but later scaled back its ambitions.

Its recent investments in the sector include Berkshire Grey and AutoStore, and it also led a $40 billion funding round in ChatGPT-maker OpenAI and in March bought chip design company Ampere for $6.5 billion.

SOFTBANK’S STRATEGY: MERGING AI WITH ROBOTICS

“SoftBank’s next frontier is Physical AI,” Son said in a statement.

The deal means ABB has abandoned its original decision to spin off and separately list the industrial automation business, which competes with Japan’s Fanuc and Yaskawa, as well as Germany’s Kuka in making factory robots.

The decision is the first major move under ABB CEO Morten Wierod, who took charge last year, and follows years of struggling sales and falling profitability for the robots business.

ABB’s robotics division, which employs 7,000 people, generated sales of $2.3 billion last year, equivalent to 7% of ABB’s total revenues. But the company saw limited crossover with the rest of its business, which focuses primarily on electrification and automation.

ABB announced to shareholders in April its decision to spin off robotics but decided to sell instead because the SoftBank deal provided money immediately, Wierod told Reuters.

Following the deal’s announcement, Switzerland’s Zuercher Kantonalbank said it had expected a valuation of slightly less than $4 billion for the robotics business under the planned spin-off.

ABB shares opened 2% higher in Zurich after the announcement, while SoftBank’s shares did not move significantly, ending the day down 2%.

ABB TO FOCUS ON ELECTRIFICATION, AUTOMATION, ACQUISITIONS

“We always said that robotics is a market with much higher volatility. And that’s what we’ve seen over the years, both when it comes to growth, but also margins,” Wierod said. “So it is a bit of a different market than, say, the rest of ABB today, which is focusing on electrification and automation.”

The transaction is expected to close in mid- to late-2026 and will generate cash proceeds of roughly $5.3 billion, ABB said.

The money will be spent on developing new technology and production capacity in electrification and automation, and could also fund new acquisitions, Wierod said.

“We do have firepower to also do bigger acquisitions, so we’re not excluding bigger deals,” Wierod said.

(Reporting by John Revill and Anton Bridge; Editing by Miranda Murray, Muralikumar Anantharaman and Joe Bavier)

IMF chief warns global economy faces lasting uncertainty

Summary

  • chief says “uncertainty is the new normal”
  • shows resilience despite trade shocks
  • Trump’s tariffs expected to dominate IMF, talks
  • Annual meetings in Washington to gather finance leaders

WASHINGTON (AP) — The global is holding up better than expected despite major shocks such as President Donald Trump’s tariffs, but the head of the International Monetary Fund says that resilience may not last.

“Buckle up,” Managing Director Kristalina Georgieva said in a speech at a think tank Wednesday. “Uncertainty is the new normal and it is here to stay.”

Her comments at the Milken Institute come on a day when gold prices hit $4,000 an ounce for the first time as investors seek safe haven from a weaker dollar and geopolitical uncertainty and before the IMF and World Bank hold their annual meetings next week in Washington. Trump’s trade penalties are expected to be in sharp focus when global finance leaders and central bankers gather.

The worldwide economy is forecast to grow by 3% this year, and Georgieva is citing a number of factors for why it may not slip below that: Countries have put in place decisive economic policies, the private sector has adapted and the tariffs have proved less severe than originally feared.

“But before anyone heaves a big sigh of relief, please hear this: Global resilience has not yet been fully tested. And there are worrying signs the test may come. Just look at the surging global demand for gold,” she said.

On Trump’s tariffs, she says “the full effect is still to unfold. In the U.S., margin compression could give way to more price pass-through, raising inflation with implications for monetary policy and growth.”

The Republican administration imposed import taxes on nearly all U.S. trading partners in April, including Canada, Mexico, Brazil, China and even the tiny African nation of Lesotho. “We’re the king of being screwed by tariffs,” Trump said Tuesday in the Oval Office during a meeting with Canadian Prime Minister Mark Carney.

While the U.S. has announced some trade frameworks with nations such as the United Kingdom and Vietnam, the tariffs have created uncertainty worldwide.

“Elsewhere, a flood of goods previously destined for the U.S. market could trigger a second round of tariff hikes,” Georgieva said.

The Supreme Court next month will hear arguments about whether Trump has the authority to impose some of his tariffs under the International Emergency Economic Powers Act.

In her wide-ranging remarks, Georgieva pointed to youth discontent around the world as many young people foresee a future where they earn less than their parents.

“The young are taking their disappointment to the streets from Lima to Rabat, from Paris to Nairobi, from Kathmandu to Jakarta, all are demanding better opportunities,” she said. “And here in the U.S., the chances of growing up to earn more than your parents keeps falling and here too, discontent has been evident — and it has helped precipitate the policy revolution that is now unfolding, reshaping trade, immigration and many international frameworks.”

She also called for greater internal trade in Asia, more business friendly changes in Africa and more competitiveness in Europe.

For the United States, Georgieva urged the government to address the federal debt and to encourage household saving.

The national debt is the total amount of money that the federal government owes to its creditors. The federal debt has increased from $380 billion in 1925 to $37.64 trillion in 2025, according to Treasury Department data.

The Congressional Budget Office reported in July that Trump’s new tax and spending law will add $3.4 trillion to that total through 2034.

The IMF is a 191-country lending organization that seeks to promote global growth and financial stability and to reduce poverty.

Francine the Lowe’s cat returns home after NC adventure

Summary

  • Beloved calico cat Francine went missing from a Virginia Lowe’s
  • Surveillance showed she hitched a ride on a delivery truck
  • Found at a distribution center after traps were set
  • Employees drove 90 minutes to bring her back to the Richmond store

Francine the calico cat is back home at a store in Virginia after going missing for a few weeks, hitching a ride on a truck that turned up at a sister facility in another state.

Two employees from a Lowe’s in Richmond made the 90-minute drive early Monday to pick up Francine, who disappeared in September and recently was discovered at the company’s distribution center in Garysburg, North Carolina.

She was back on the job Tuesday, playing with customers, posing for photos and soaking in affection.

“Francine is one of us,” store supervisor Wayne Schneider said in a telephone interview. “She’s just amazing. What she means here to the store and the employees, you really can’t imagine the outpouring that the employees and also the customers give her daily.”

Francine spends much of her time either at the customer service desk or in the store’s seasonal area. But things went awry in September as the store brought in items for the upcoming Christmas season. Store general manager Mike Sida said that disruption may have prompted Francine to seek comfort elsewhere.

After store employees hadn’t seen Francine for a few days, they reviewed past surveillance video. There were glimpses of her in the appliance section and then the receiving department, where she darted into a truck. An overnight manager is then seen shutting the truck’s door and off it went to Garysburg, about 85 miles (137 kilometers) to the south.

“And then, of course, when she got down to the distribution center, she shot off the truck,” Sida said. “That’s when we found out where she was and she was missing.”

An animal control office set up humane traps at the distribution center, where photos of Francine were posted throughout. The center had dozens of monitoring cameras, and Lowe’s brought in thermal drones to survey the area. An Instagram account unaffiliated with Lowe’s dedicated to finding Francine grew to more than 34,000 followers.

On Saturday, Francine was spotted on camera near the distribution center. After more humane traps were installed, a volunteer checked each trap throughout the night. Finally, one of the traps triggered and Francine’s meows could be heard.

Schneider and Sida got in a car early Monday and drove to get Francine.

“That ride going down, knowing that we were going to get her, was just heartwarming. Knowing she’s safe and that she’s coming back to the store to get off her two-week vacation,” Schneider said.

Francine was a stray when she started living at the Lowe’s store more than eight years ago. Cats are common sightings around feed stores and garden centers, which contain large amounts of grain and seed that can be attractive to mice and rats. In New York City, cats are beloved fixtures of the city’s bodegas and delis.

At the Lowe’s store, Francine “just showed up,” Sida said. “We had a bit of a mice problem. So, of course, I’m like, wow. I like this cat a lot because it’s helping me.”

Lowe’s doesn’t have an official policy about cats in stores. Asked why Francine wasn’t taken to someone’s residence after showing up, Sida said she is loved by employees and the community.

“Francine picked us. We didn’t pick her,” Sida said. “Later, we would embrace her being our . But at the end of the day, she came to us. Where she’s at is where she wants to be. She does whatever she wants.”

Unlike Lowe’s employees, Francine does not wear a vest. She had been previously outfitted with several collars but escaped them all. Now they plan on fitting her with a harness that includes identifying information.

A local brewery will host a “Francine Fest” community event on Wednesday to celebrate the homecoming, while the store is planning its own team party.