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3.5.26 · Kentucky Business News

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Speaker 1: Hello. Today, I'll be reading from business sources in Lexington
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and Louisville, including The Lane Report and others from around
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the Commonwealth. Your reader today is Julia Shane. As a reminder,
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RADIOI is a reading service intended for people who are
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blind or who have other disabilities that make it difficult
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to read printed material. Our first article comes from the
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March second, twenty twenty sixth edition of The Lane Report
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and is titled Kentucky ag shuts down fraudulent Veterans Charity.
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Kentucky's Attorney General Office of Consumer Protection has secured a
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court order to end unlawful operations for a group claiming
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to be veterans and soliciting donations. Attorney General Russell Coleman
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announced today that Franklin County Circuit Court judge ordered Your
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Hometown Heroes, Incorporated, operating in Marion County, to end all
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solicitation efforts and other operations. The court entered a four
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hundred twenty one thousand dollars mins military judgment reflecting one
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thousand dollars per day contempt fines for four hundred and
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twenty one days of non compliance, and permanently blocked Your
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Hometown Heroes incorporated from being a part of any charitable
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activity or fundraising in the Commonwealth. The organization's corporate charter
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is vacated, and the court revoked or suspended its licenses, permits,
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and certificates to do business in Kentucky. Any fines recovered
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from the fraudulent organization would be returned to the General
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Assembly after the AG's office recovers its costs. The Office
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of Consumer Protection opened an investigation into Your Hometown Heroes
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after individuals associated with the organization were arrested in Marion
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County for allegedly lying to consumers to secure donations. According
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to arrest documents, they told potential donors that they were
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veterans despite never having served in the military. One of
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the individuals will face criminal charges than may trial in
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Marion County Circuit Court. Stealing in the name of those
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who have sacrificed for our country is not just fraud,
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it is a betrayal of honor itself, said Attorney General Coleman.
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These bad actors prayed on the generosity and patriotism of Kentuckians,
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and we are proud to shut them down. Veterans earn
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their benefits through service and sacrifice, and they deserve both
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protection and respect. We fully support thorough investigations in due process,
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and we appreciate the Attorney General's commitment to holding accountable
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anyone who exploits veterans fraud against those who served will
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not be tolerated in Kentucky, said Nicole Horseman, State Commander,
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Department of Kentucky VFW. The Attorney General's Executive Director of
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the Office of Consumer Protection, Philip Herlinger, and Assistant Attorney
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General Andrew Evesledge represented the commonwealth in this matter. Last
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year action by Attorney General Coleman. A hardened County organization
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taking advantage of Kentucky's veterans C and P Garage misrepresented
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its accreditation with the US Department of Veterans Affairs to
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help veterans access services from the federal government, and the
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organization's leaders misused funds, including money spent gambling and at restaurants.
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Kentuckians who have concerns or suspected charity is soliciting for
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donations illegally should contact the Attorney General's Office of Consumer Protection.
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The next article from the Lane report is titled Farm
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Credit Mid America co Op Returning thirty four point four
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million dollars to Kentucky farmers at a time when farmers
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continue to navigate tight margins, elevated input costs, and ongoing
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market uncertainty. Farm Credit mid America will return two hundred
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eighty million dollars in net earnings to eligible customer owners
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this March through its patronage program, with thirty four point
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four mens billion dollars returning to Kentucky farmers. Customers commonly
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use patronage payments to one paydown operating or term debt,
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two offset spring input and planting costs, three reinvest in equipment,
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land or on farm improvements, or four strengthen working capital
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and financial resilience. This year's distribution brings the total amount
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of net earnings returned to customers over the past ten
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years to more than one point seventy five billion dollars,
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underscoring the strength of Farm Credit Mid America's diverse portfolio
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and commitment to support farmers through both good and challenging times.
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Returning capital to our customers is just part of how
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we do business as a cooperative, said Mark Barker, farm
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Credit mid America, Senior vice president of Agricultural Lending in Kentucky.
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Our customers manage risk every day. Patronage gives them a
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little extra flexibility, whether that's strengthening their balance sheet, improving
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cash flow, or helping them plan for the season ahead.
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Farm Credit mid America is a farmer owned cooperative, meaning
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customers are also owners. Through patronage, a portion of the
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cooperative's earnings is returned to eligible customer owners based on
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the level of eligible business they conduct with the association.
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Patronage is an annual decision made by Farm Credit Mid
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America's Board of directors. Over the last decade, we've returned
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more than one point seventy five billion dollars directly to
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the people who make agriculture work, said Tara Durban, Chief
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Lending Officer of Agriculture at Farm Credit mid America. A
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portion of that capital stays in Kentucky, where it supports farms, families,
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and rural communities, which is exactly what our cooperative system
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was designed to do. Farm Credit mid America serves agricultural producers,
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rural homeowners, and agribusinesses across Arkansas, Indiana, Kentucky, Missouri, Ohio,
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and Tennessee. In addition to patronage, the cooperative invests roughly
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five million dollars annually in rural communities through education, leadership, development,
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youth programs, and support for the next generation of agriculture.
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The customer owned cooperative serves more than one hundred forty
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five thousand customers and manages a portfolio of forty four
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point one billion dollars in total earning assets owned and managed.
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The next article from the Lane Report is titled Brown
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Foreman Paps Brewing to end Flavored Malt Beverages partnership. Brown
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Forman Corporation and Paps Brewing Company said they have mutually
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agreed to end their partnership related to flavored malt beverages
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fmbs within the United States, and Brown Foreman will assume
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over site of these products in early July. The partnership,
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established in twenty twenty one, granted PAP's exclusive rights to
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the production, sales, marketing, and distribution of Jack Daniel's Country Cocktails,
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as well as the right to develop new flavored malt beverages,
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which led to the introduction of Jack Daniels Boulder, Jack
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Daniels Hard Tea and l Jimidor spiked Bepidus. We have
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enjoyed working with the talented team at Pabst over the
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last few years to drive growth and innovation across our
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FMB portfolio, said Robinson Brown, the fourth senior vice president
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and Managing Director, United States and Canada of Brown Foreman.
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Moving forward, bringing these brands in house allows us to
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take greater control of our ready to drink strategy during
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a period of increased consumer demand. By centralizing our efforts,
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we are better positioned to accelerate the portfolio's momentum and
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maximize its future, and we appreciate Brownforman's collaboration over the
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past five years as we expanded their FMB footprint, said
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Greg Debo, chief executive officer past This transition will allow
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us to reallocate resources toward execution and innovation within our
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core portfolio of iconic brands. We are excited to continue
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delivering on the beverages we're best known for while creating
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new drinks that delight consumers. Both companies are working closely
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on a comprehensive transition plan to ensure seamless product availability
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for consumers, retailers, and distributors through the end of the agreement.
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Following the effective date, Brown Foreman will oversee the supply
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chain and commercial operations for these brands, aligning them with
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the company's broader strategic focus on the ready to drink category.
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Brownformant is a one hundred and fifty five year old
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global spirits industry operation with five thousand employees headquartered in Louisville.
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Its portfolio includes Jack Daniel's family of brands, Woodford, Reserve,
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Old Forrester, New Mix, l Jimidore, Herradura, The Glenn Ronnick,
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Glenn Glassa, Benrioch, Diplomatico, rum Gen, Mayor, Forge, Gen, Chamboard,
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and Slain. Founded in eighteen forty four, Paps is one
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of North America's largest privately held beer and beverage companies.
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Its portfolio includes Paps, Blue Ribbon, Paps, Light, Lone Star, Rainier,
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Old Style, Stag, Stros, and Old Milwaukee. The next article
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from the Lane Report is titled Kentucky tops fifty billion
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dollars in exports in twenty twenty five, setting new record
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for global shipments. Kentucky once again set an all time
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record for product shipped gloe globally with fifty point six
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billion dollars in exports in twenty twenty five. Governor Andy
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Basheer said last year's record represents a five point sixty
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five percent increase over twenty twenty four. The global demand
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for Kentucky made products, made by hard working Kentuckians right
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here in the Commonwealth has never been higher. Basher said,
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for the third consecutive year, we have set a new
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state record for exports, and that wouldn't be possible without
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great companies and our hardworking and talented workforce. The Commonwealth's
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commitment to developing partnerships all over the globe is critical
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for our long term economic success. Now more than ever,
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the rest of the world is realizing that you just
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can't beat a Kentucky made product. Canada once again led
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the way as Kentucky's top export destination with over eight
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point three billion dollars in products, according to data recently
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made available by the US Census Bureau, Foreign Trade Division
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and wis Art Trade. The United Kingdom nearly five point
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four billion dollars, France over five point three billion dollars,
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China more than four point seven billion dollars, and Mexico
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nearly four billion dollars remain in the top five destinations
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for Kentucky made products. Other top trade partners include Brazil, Malaysia, Singapore,
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the Netherlands, and Austria. Aerospace products and parts remained Kentucky's
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top export. In twenty twenty five, The industry shipped nearly
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twenty three billion dollars in products out of the United States,
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representing a nearly twenty two point two percent increase over
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the previous year. Major aerospace companies and employers in Kentucky
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one Ge Aerospace, major engine manufacturer. Two Saffron Landing Systems
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located in Walton, specializing in landing gear. Three Keith Martin
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Defence and Aerospace Systems. Four Raytheon Defense Solutions. Five Meyer
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Tool Incorporated specialized manufacturing in Cincinnati, Northern Kentucky area. Six
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Collins Aerospace Advanced Aviation Solutions. Seven Pratt and Whitney Aircraft Engines.
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Eight Zoke Foams technical foam products for aerospace, nine exill
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In Aerospace Manufacturing, ten Skillcraft Aerospace precision manufacturing. And eleven
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Space Tango, Lexington based company focusing on microgravity research. To
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ensure this success continues, we need the Trump administration to
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follow through with the Supreme Court ruling and roll back
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the tariffs. Governor Bisher said these trade partnerships bring Kentucky
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made products to the world, and it helps everyone involve
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to see that these exports continued to grow. Industrial machinery,
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motor vehicles, and pharmaceutical medicines remain among Kentucky's leading exports.
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Industrial machinery saw five point seven billion dollars in products distributed,
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while four point six billion dollars worth of motor vehicle
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parts and three point six billion dollars worth of pharmaceuticals
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were shipped globally. The next article from the LANE Report
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is titled Louisville Hotel Partnership invests additional seventy five thousand
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dollars in u of L Hospitality program. The Louisville Hotel
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Partnership LHP has pledged an additional seventy five thousand dollars
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over two years to establish the Hospitality Management Program Fund
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within the University of Louisville College of Business. This new
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investment builds on lhp's previously announced three year, five hundred
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fifty thousand dollars commitment to the university, further strengthening the
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partnership between Louisville's hospitality industry and the next generation of
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its workforce. Formalized through a charitable gift agreement with the
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University of Louisville Foundation. The Hospitality Management Program Fund will
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primarily support students pursuing degrees in hospitality management through scholarships,
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student engagement initiatives, experiential learning opportunities, and on site industry experiences.
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This investment directly aligns with lhp's mission to drive incremental
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hotel room nights into Jefferson County and support tourism related
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infrastructure that fuels long term economic growth. By investing in
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hospitality education and workforce development, LHP is helping ensure Louisville
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remains competitive as a destination while building the skilled talent
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needed to support visitor growth. This continued investment is about
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building Louisville's talent pipeline, said Emon O'Brien, in, chair of
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the Louisville Hotel Partnership. Our industry thrives when we develop
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local leaders. By supporting U of L students, we are
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strengthening hospitality, creating career pathways, and supporting the infrastructure that
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allows tourism and our local economy to grow. This initiative
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comes at no cost to Louisville taxpayers. LHP is funded
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through a modest assessment on overnight hotel guests, ensuring that
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tourism dollars are reinvested directly into workforce development, industry sustainability,
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and community growth. A portion of the funds may also
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be allocated toward curriculum development, industry collaboration, academic advising, and
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other programmatic initiatives designed to elevate and advance the Hospitality
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Management program and deepen connections between students and the hospitality sector.
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We are grateful for the Louisville Hotel Partnership's continued commitment
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to our students into the future of Louisville's hospitality industry,
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said Amy Henley, dean of u of L College of Business.
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This support strengthens our Hospitality Management minor by expanding experiential learning,
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industry engagement, and program support, ensuring our graduates are prepared
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to contribute immediately to one of our region's most vital
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economic drivers. As outlined in the agreement, the university will
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provide annual stewardship reports detailing the use and impacts of
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the funds supporting the Hospitality Management program. Together, the Louisville
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Hotel Partnership and the University of Louisville continue to demonstrate
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how industry driven investment can fuel student success, strengthen workforce development,
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and support a vibrant, resilient hospitality industry that benefits Jefferson
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County in the broader Louisville community. Our next article comes
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from the March second, twenty two, twenty six edition of
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the Louisville Courier Journal and is titled Amazon brings same
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day grocery delivery to Louisville. Five Things to Know, written
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by Matthew Glowicki. Amazon is launching its same day grocery
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delivery service in Louisville, Kentucky. The service includes groceries, household items,
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and prescription medications delivered within hours. Prime members receive free
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delivery on orders over twenty five dollars, while non members
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pay a twelve ninety nine fee. This expansion is part
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of a national push as Amazon closes some of its
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physical Amazon Go in Amazon Fresh stores, Amazon is bringing
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its same day grocery delivery service to Louisville. The e
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commerce giant is promising same day delivery on everything from
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bananas to books and prescription medications. Amazon spokesperson Andre Woodson
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said Louisville was an obvious choice in which to expand
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as there's a growing Prime membership base in the city.
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Louisville also sits at the heart of one of the
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most efficient logistic strips in the country. Woodson said, We've
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been investing in Louisville for a long time, and this
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is just the next chapter of that commitment. Amazon added
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perishables to its same day delivery service six months ago
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and has been rapidly expanding the list of cities where
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it offers the service. The expansion to Louisville is part
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of that ongoing national push and comes on the heels
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of the company's closure of its Amazon Go in Amazon
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Fresh physical stores. The delivery service soft launched in January
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and is now fully available for Amazon users in the
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Louisville area as of February twenty fifth. Here's what we
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know about the expansion in Louisville. One thousand plus store
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brand products included in Amazon's same day delivery program. In
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addition to national brands, Same day customers will be able
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to select from more than one thousand Amazon grocery items
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that cost less than five dollars and can be delivered
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within hours. These are private label or store brand items,
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including meat and dairy products, baked goods, and fresh fruit
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and vegetables. As part of the launch. Last year, Amazon
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added a slew of new private label items, including fresh
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cinnamon rolls and refrigerated pizza dough, with plans to add
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frozen pasta meals, pie fillings, sliced cakes, and expanded deli
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meat and frozen vegetable selections. Amazon is expanding its grocery offerings.
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In August of twenty twenty five, the company announced it
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would add fresh perishable groceries to its same day delivery service,
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helping it compete with other grocery delivery services. The service
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started out in about one thousand locations, with the goal
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of twenty three hundred by the end of last year.
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In October, Amazon launched Amazon Grocery, uniting its Amazon Fresh
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and Happy Belly brands into a singular, unified brand. As
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part of the launch, the company pointed to a fifteen
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percent growth in private label sales between twenty twenty three
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and twenty twenty four across Amazon dot Com, Whole Foods Market,
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and Amazon Fresh. Same day delivery extends beyond Louisville. The
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expansion to Louisville is more of an expansion to the
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Greater Louisville market. The service will be available for a
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fifty five mile region around Louisville. Woodson said interested customers
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can visit Amazon dot com Slash Grocery to see if
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their location is eligible for the same day delivery service.
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There are delivery perks for Prime members. Those subscribed to
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Amazon Prime will get free same day delivery on orders
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above twenty five dollars. For smaller dollar orders, there is
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a two ninety nine fee. Non members will pay a
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higher flat delivery fee of twelve ninety nine. Amazon uses
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its temperature control fulfillment network to keep grocery safe as
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they make their way from warehouse shelf to doorstep. Temperature
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sensitive items are dropped off in the same insulated bags
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used by Amazon Fresh and Whole Foods Market delivery customers.
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Louisville expansion is part of a larger nationwide growth. The
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same day delivery service is available in more than twenty
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three hundred other towns across the country. The company is
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aiming to expand its same day prescription delivery to just
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shy of forty five hundred towns by the year's end.
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Expanding its delivery services comes as the company decided to
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pull back on physical locations. The company announced in January
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it would close its Amazon branded physical stores, Amazon Go
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and Amazon Fresh, converting some into whole foods market stores.
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While we've seen encouraging signals in our Amazon branded physical
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grocery stores, we haven't yet created a truly distinctive customer
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experience with the right economic model needed for large scale expansion,
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the company said at the time. The company is still
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offering other delivery options, such as Amazon Fresh. Think of
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same day delivery as your full Amazon cart, groceries, household essentials,
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and everything else delivered in hours. Whitson said, Amazon Fresh
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Online gives you a dedicated grocery shopping experience with a
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broader assortment and flexible delivery window, and Amazon Now is
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for those moments when you need something in thirty minutes. Together,
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they give customers options for every kind of need. The
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next article from The Courier Journal is titled Tariff refund checks.
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Maybe not, but consumers could get money back, written by
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Bart Janssen. Since the US Supreme Court struck down many
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of President Donald Trump's import tariffs in a February twentieth ruling,
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talk of refunds has echoed across the country. Those tariffs
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equated to a tax increase of roughly one thousand dollars
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per American household in twenty twenty five, according to a
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February twenty third report from the nonpartisan Tax Foundation. Now,
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can consumers expect to get most of that money back?
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We asked several tariff experts, and the answer was a
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resounding no. Here's the problem. However much those tariffs cost
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American households. Consumers didn't pay the taxes themselves, importers paid them.
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Many parties ultimately absorbed their cost, including exporters, importers, wholesalers, retailers,
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and yes, consumers. Consumers have no legal claim to a refund,
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because they weren't the importers, said Stephen Kate's financial analyst
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at bank Rate. They just bought the products. But American
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retailers may still find ways to return some of the
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massive tariff free fund to their customers if and when
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it arrives. Companies are lining up for tariff free funds.
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Americans are talking about tariffree funds because American companies are
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lining up to collect them. On February two, twenty third,
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the delivery giant FedEx filed the lawsuits seeking a refund
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of the tariffs it paid under policies struck down by
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the High Court. That suit followed the Supreme Court ruling.
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In the months before the decision, thousands of other companies
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sued to recoup their share of the estimated one hundred
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and seventy five billion dollars in import taxes the federal
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government has collected. Government officials responded in court filings that
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they would proceed with refunds if the tariffs were struck down. Now,
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observers expect a deluge of new lawsuits in response to
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the Supreme Court ruling. The refund process is likely to
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be a mess. Justice Brett Kavanaugh wrote in a dissent.
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It doesn't appear that the Trump administration is going to
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expedite that process, said Alex Jaquez, chief of policy and
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advocacy at the Progressive Groundwork Collaborative. The mechanics of getting
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that money back to consumers is even more complicated, But
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for the companies that paid the tariffs, at least there
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is a paper trail. Refunds for overpayments will go to
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the person or the entities that legally made the payment,
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just like any other tax refunds, said Erica Yorke, vice
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president of Federal tax policy at the Tax Foundation. The
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government has these records tariff free funds to consumers an
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infinitesimal chance. Congress could also send tariff free fund checks
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to consumers who paid the taxes indirectly when they purchased
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higher priced products, but that process would be far messier.
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Tariff x Berks said. There is an infinitesimal chance that
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this could happen, said Kates of bank Rate. You think
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of a company like Costco, He said, how many millions
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of people have bought these products over the last year.
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There's no way to logistically imagine such an operation to
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return five bucks ten bucks to ten million families impossible.
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Trump administration officials seem to agree. In remarks at the
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Economic Club of Dallas shortly after the Supreme Court ruling,
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Treasury Secretary Scott Besant predicted any tariffree funds aren't likely
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to reach consumers. I got a feeling the American people
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won't see it, he said. Retailers could offer voluntary tariff reebates.
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There might be another way. Some tariff observers predict retailers
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will launch a voluntary movement to return tariff costs to
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their customers. Companies announced tariff increases to consumers, said Scott Linecombe,
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an economist at the libertarian Cato Institute. There were thousands
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and thousands of these emails sent out last year, lots
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of small businesses, but larger businesses as well. If tariff
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free funds go out to corporate America, Lenocomb said, it
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isn't hard to imagine companies would return some of the
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funds to their customers, whether through tariff freebate, sales, retail credits,
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or even a check in the mail for the price
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increased that they imposed. He said retailers might offer tariff
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free funds under pressure from customers armed with old emails
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about tariff driven price increases or tariff surcharges on sales receipts.
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I think some companies are going to have really upset
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customers who are going to basically demand it. You charged
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me in extra fifty bucks, where's my money? Leading Democrats,
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including California Governor Gavin Newsom and Illinois Governor J. B. Pritzker,
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have called for the Trump administration to issue teri free
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funds to American households in response to the Court ruling,
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Prisser demanded seventeen hundred for every family in his state.
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Tariff freebates would require an Act of Congress, much like
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the fiscal stimulus payments Congress authorized during COVID. Congressional approval
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for tariff dividend checks was never very likely, said Kate's
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of Bank Rate. After the Supreme Court ruling, it is
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effectively gone. Includes the reading of the most recent business
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news in Lexington, Louisville, and around the state. Your reader
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today has been Julia Shane. If you have any questions
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or comments about this program, please give our Lexington Studios
28:12
a call at eight five nine four two two six
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three nine zero. Thanks for listening, and now please stay
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tuned for readings from the Kentucky series here on Radio
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