Eldorado Resorts Neutral
Most Popular
Dow gains 369 points on trader optimism around a COVID-19 treatment
<img border="0" style="display: block; margin-left: auto; margin-right: auto;" class="img-responsive imported-news-img" width="2000" height="1000" src="https://howtoassetmanage.com/wp-content/uploads/2020/07/5dbc3aef2f364a3dfe0b94d8.jpg" /><span class="source"><!-- sh_cad_1 -->
<ul>
<li>US stocks rose on Friday as traders cheered...
How small NJ bank Cross River distributed $5.4B in PPP funds
JPMorgan Chase’s closest local rival in the race to lend out US coronavirus loans wasn’t Citigroup or BNY Mellon — it was a tiny, tech-savvy lender based in New Jersey.
Jamie Dimon’s megabank handed out nearly $29 billion of government money to small businesses during the throes of the pandemic shutdown — the most of any US bank — and bagged an estimated $864 million in fees.
But Cross River Bank of Fort Lee, NJ, with net assets of just $2.5 billion, says it partnered with more than 30 tech firms to create an agile lending platform that doled out nearly $5.4 billion in loans.
The privately held lender snagged $160 million in fees, according to S&P Global, dwarfing the bank’s entire net revenue of $96 million last year.
The eye-popping volume made Cross River the 13th most active of all US lenders participating in the US government’s Paycheck Protection Program. Citi and BNY didn’t even make the top 15.
The fees have been controversial because the loans are backed by US taxpayers, making them virtually risk-free for the banks. While Chase, Bank of America and Wells Fargo have pledged to distribute their PPP profits to distressed small businesses who missed out, thousands of other banks are free to keep their winnings.
Cross River, founded in 2008 by 53-year-old, French-born Chief Executive Gilles Gade, said the secret to its PPP success is its DNA as a community bank that serves a community of financial tech companies.
Indeed, a bank spokesman said it will share its PPP windfall with a slew of fintech partners that are clients. Those include payroll app Gusto, the Kabbage lending platform, payments startup Veem, and Intuit, the maker of the QuickBooks accounting software — all of which funneled their customers to Cross River during the crisis.
“We said how much can we automate? Can we partner with tech companies on originations?” recounted the Cross River spokesman, who asked not to be named. “And we thought, if we can, we should.”
Cross River has just 320 employees, and when COVID struck, only 10 of them were underwriters. Sensing the moment, Gade had his team dramatically shift almost its entire focus to PPP lending.
While many small banks ended up with tellers and salespeople working 20-hour days, Cross River’s glitch-free hookups with its fintech partners enabled it to process applications at a much higher speed.
Cross River has made 134,472 PPP loans, more than US megabanks like US Bank, Truist Bank, and PNC. KeyBanc, which has about $156 billion in total assets, made just over 41,000 loans in the same period.
Cross River’s average loan size was under $40,000, by far the smallest of the biggest PPP lenders and an indication that the bank capitalized on SBA rules that give higher fees on smaller PPP loans.
Cross River confirms that it will hold onto much of its government-sponsored capital, using it as a buffer to address any future economic fallout from the pandemic. The bank has hired 22 people during the COVID crisis, and has purchased roughly $1 billion in PPP loans originated at other banks.
“We’re committed to growth,” said the spokesman.
U.S. Dairy Delivers Sustainable Ingredient Solutions + Global Product Inspirations
Arlington, VA, July 10, 2020 (GLOBE NEWSWIRE) -- The versatility and functionality of U.S. dairy ingredients will be on display, virtually, at the Institute of Food Technologists (IFT) annual expo, being held next week. At a pre-IFT special access webinar held July 7, the U.S. Dairy Export Council (USDEC)’s leadership shed light on the U.S. dairy industry’s ambitious sustainability goals for 2050, announced upcoming scientific sessions and previewed exciting technical and innovation resources for IFT attendees to learn how U.S. Dairy delivers on consumer demand for global taste adventures, balanced nutrition and sustainable food production. Education around the industry’s sustainability efforts is a key component of USDEC’s virtual IFT presence this year, as it aims to shine a light on the aggressive new environmental stewardship goals set this spring which include becoming carbon neutral or better by 2050 in addition to optimizing water usage and improving water quality. These goals build on a decades-long commitment to producing nutritious dairy foods that can feed a growing global population in the most economically viable and socially responsible way. They align with the United Nations Sustainable Development Goals, specifically those focused on food security, human health and responsible stewardship of natural resources, including
Tesla rival Rivian snags $2.5 billion investment led by T. Rowe Price
Electric vehicle startup Rivian, which is backed by Amazon and Ford and aims to put an electric pickup and SUV in production in 2021, boosted its war chest further with a $2.5-billion investment round led by T. Rowe Price, Rivian said Friday.
The deal comes on the heels of electric-car maker Tesla’s meteoric rise in valuation and the recent public offering of Nikola Corp. Both Tesla and Nikola are planning electric pickups to rival Rivian.
The new round takes total investment in Rivian to at least $6 billion, including a $1.3 billion round in December led by T. Rowe Price and including Amazon, Ford and BlackRock, according to investor website Pitchbook.
Rivian’s latest fundraising was joined by Soros Fund Management, Coatue Management, Fidelity Management and Research Company, and Baron Capital Group. Amazon and BlackRock also participated.
Extreme heat – Montréal is entering Response mode 1 of its Response plan
MONTRÉAL, July 10, 2020 /CNW Telbec/ - Following recommendations of the Direction régionale de santé publique (DRSP), the Organisation de sécurité civile de l'agglomération de Montréal is announcing that it is entering Response mode 1 of its Extreme heat special response plan as of today, July 10. This phased plan based on weather conditions and effects on residents' health provides for the implementation of measures to ensure the well-being and safety of residents. The Response mode, which began this morning, includes a joint door-to-door operation by the Service de sécurité incendie and the Service de police de la Ville de Montréal in an effort to reach the most vulnerable populations and provide prevention tips in certain priority sectors. In addition, water bottles will be distributed to the homeless. Aquatic facilitiesMontréal will extend the opening hours of several aquatic facilities, including splash pads, pools and wading pools, so that residents can have places to cool off. An online map (in French) is available to help people quickly locate the facilities that are open. Note that some boroughs have opened splash pads temporarily due to the heat wave. Beaches The opening of beaches and other public and private natural environments has been authorized by the Direction régionale
