My Aunt Ursula

If you’re really lucky in life, a special person enters, a kindred spirit of sorts, who figures prominently in all that becomes your life.  I am a very lucky person!  I am here today to introduce you to, and to celebrate the life of, my beloved aunt Dr. Ursula Henderson, who lived an exceptional life in service to others, who ascended to the heavens this past week, at 95 years of age.

Ursula Henderson was born in 1927 in London, England.  Her keen intellect and compassion for people led to her graduation and the degree of Medical Doctor from the London School of Medicine for Women.  An institution formed in 1874 by an association of pioneering women physicians, it was the first medical school in Britain to train women as doctors.

Dr. Ursula Henderson would then traverse the Atlantic Ocean to perform her medical residency at hospitals in Manhattan and Princeton, New Jersey, becoming board certified in Neurology and Psychiatry.  It was on that ocean liner journey to America where she met the man she would later marry, British born Robert Stevenson, the Oscar nominated Film Director of “Mary Poppins.”  They later settled in the Los Angeles area where my aunt built a private practice in Psychiatry and treated America’s veterans at the VA Medical Center, while Bob directed films for Disney.

In the late 1970s, they moved to the lovely Santa Barbara enclave of Montecito after Bob had a stroke.  Ursula drove up one weekend, met with a real estate broker, and found a lovely ranch home that she could easily make wheelchair accessible and set up for home care.  It was a magical place nestled within bustling hedges just off San Ysidro Road, with gardens and fish ponds and bird baths.  Ursula went on to Chair the Department of Psychiatry at the women led and founded Cottage Hospital in Santa Barbara, and continued a life of travel and active civic engagement.  A staunch lifelong Democrat, she was a fierce advocate for those less fortunate, leading the charge on an innovative program to support the homeless in Santa Barbara.  She would lose her dearly beloved Bob in 1986.

Ursula met my Uncle Wally in the early 1990s, while serving on the Board of the City College.  Uncle Wally was my “second dad”, having lost my father in 1982.  They were both widows who met later in life, instantly hitting it off, who enjoyed a wonderful eleven years together before my uncle passed, also from a stroke, in 2003.  They were very social, fully engaged in civic and philanthropic duties, and loved to travel!  Although my uncle was an American citizen, he did actually live in London for a period of time in the 1970s as the Head of European Sales for Revlon.  It was a great pairing of a couple with a tremendous zest for life!

I first met Aunt Ursula when she and Uncle Wally visited Manhattan in October 1992.  My brother and I met them for a lovely breakfast brunch at their hotel, and I met them for dinner in the Oak Room.  I was instantly fascinated!  My aunt is the kindest, loveliest person you will ever meet, with extraordinary intellect, and of course great stories to share!

I first visited their home in Montecito in March 1996, and Ursula and I have been bound at the hip since.  She is actually one of the reasons I moved to L.A. in 2017.  I knew then she was not going to be around that much longer, and I guess I just wanted to be closer.

She had already sold her treasured home in Montecito, and had moved into a lovely retirement community on the northern end of Santa Barbara.  It was a difficult transition  for her, as she loved that home so much, and had put so much energy and imagination into it over the years.  But she was an amazing woman who made the move work well, in her final years.

It was great living in Studio City and driving up the 101 for Saturday visits.  The coastline is just breathtaking, nestled up against the mountains.  My aunt and I are two kindred spirits, fiercely independent and determined professional women, who believe in the greater good, and in our ability to shape it.  

So many great memories to share! Aunt Ursula was an avid reader, her home filled to the brim with books, and multiple newspaper and magazine subscriptions from both sides of the Atlantic. She was a pet lover with multiple kitty and doggie boos!  In the morning, we would eat in the little breakfast nook in the kitchen, with all her lovely furry creatures lined up for their bowls.

We often went out to lunch and dinner, shows, and many movies.  I remember one in particular, ‘March Of The Penguins’, such a wonderful film!  She encouraged me to walk down to the ocean.  There was this hidden trail that only the locals knew about.  I was an adult, but it was like I was a little girl who had found the secret garden.  Some days I would stroll the shoreline all the way to Stearns Wharf.  I felt like I was in heaven on earth.

We talked a lot about all the complexities and challenges in our world.  During one of my many treasured visits, we got up at two in the morning to watch the funeral coverage of Nelson Mandela on CNN.  That’s how we rolled!  A few years later when I had the trip of a lifetime and visited Mandela’s home on Orlando West Street in Soweto, South Africa, we talked a lot about the enduring legacy of such a great man, and what visionary leadership embodies.  Aunt Ursula is such a class act, a very special person I am going to miss greatly!

She was a great source of information and support for my brother. It warms my heart knowing that she was so happy to learn of Geoffrey’s recent medical breakthroughs.  She delighted in hearing about his girlfriend Jasmine and the abundance he has created for himself in his life.

As for me, she frequently asked about Guns N’ Roses, and in particular about lead guitarist Slash, as she knows he’s my favorite. She loved to hear about all my music advocacy efforts, capital markets technology work, political activities, gymnastics, and of course most recently about my screenplay.  She frequently commented how I lived a fascinating life, and that she was so proud and happy for me.  Oh my goodness, right back at ya Aunt Ursula!

This is where it’s going to get really hard.  As some of you may know, I just finished a strong working draft of my feature film screenplay “The Deal Closer”, which I submitted to the Writers Guild of America in February 2022.  You never quite know when the creative energy will flow and the story will come tumbling out of you and solidify.  In my case, this transpired over the past year, following a completed first draft in the fall of 2019.

And now at 95 years of age, living in the highly supervised Quail Lodge at the Valle Verde Retirement Community, but still with tremendous mind and brain capacity, Aunt Ursula was very interested in reading my screenplay.  She knew the story premise and was urging me to share it with people who could help get it made.  I produced a professionally printed 102 page color copy and sent it to her priority mail.  Two weeks ago she left me a lovely voicemail, with joy in her very eloquent British voice, that she had read my “very interesting” story, and wanted to talk some more.  We did speak briefly a few days later, but planned to continue the conversation.  That conversation would never happen.  She was ready to go, and the angels in heaven called her to join them.  While I was completely unprepared for that, it so warms my heart that one of her final moments was reading my story, and that it brought her such joy.

When I do finally bring “The Deal Closer” to the big screen, as the Producer with final cut decision making authority, you can count on a brief tribute section to Aunt Ursula!

Thank you for listening and letting me share my heartfelt and emotional memories.

Powering The Digital World Is About To Get More Expensive

What impact will Russian aggression against Ukraine have on your digital use? Given the resulting displacement in energy supply, probably a lot.  Everything we do on our phones, tablets, and laptops involves a network of fortressed buildings around the globe, called the data center.  Inside the data center sits racks of computers called servers, upon which powerful algorithms run, so we can best live our lives in this digital world.  Beyond the obvious space capacity limitations, each data center operator has to purchase enough energy to power these mighty operations, to keep the facilities cool, to ensure optimal performance.  Who will absorb these increased costs?  Will the data center operators pass on these costs to firms who lease space inside the data center?  Will they in turn pass these costs on to consumers?  Who’s in a stronger position to manage their p&l performance?

In a report issued in December 2020, the global data center power market was forecast to grow from $19.1 billion in 2020 to $26.1 billion by 2025.  This on new data center construction globally to meet storage demand, and on the unprecedented rise in power consumption to support new cutting edge technology, which has increased both operational and power costs.  Global Data Center Power Market

Layer in the actual and projected rise in crude oil and natural gas, brought about by firmly united NATO country sanctions against non-team player Putin’s Russia, you can quickly see we’re going to have an expense problem.  Swift NATO response to the February 24, 2022 invasion has resulted in member countries instituting crippling financial sanctions, including shutting down imports of oil and gas from Russia.  The battle in Ukraine further disrupts the supply.

Goldman Sachs, who attributes their success to a very intentional team culture, has issued a report by their Commodities Research Team.  As Russia and Ukraine supply 17% of oil and 11% of gas to the rest of the world, the energy sanctions hit will be painful.  The impact will be greatest in Europe, particularly Germany, but will certainly be felt here in the United States.  Russia and Ukraine supply three million barrels of crude oil a day.  Goldman predicts the west can offset half of this by releasing strategic oil reserves, and relaxing sanctions in Iran and Venezuela.  The remaining 1.5 million daily shortfall in crude oil will result in higher prices to reduce energy consumption, forecasted at a range of $125 – $175 per barrel in 2022.  The April 1, 2022 price sits around $100, with the 52 week range at $57.63 to $130.501.  Goldman Sachs Podcast Impact of Russian Invasion on Global Economy

Data centers are primarily powered by electricity, which are impacted by rising natural gas prices.  According to the U.S. Energy Information Administration (eia), wholesale electricity prices trended higher in 2021 due to increasing natural gas prices.  Our reluctance to date to address the major impacts of climate change have resulted in especially volatile storm and temperature conditions, which in turn puts pressure on prices.  More on that here.   Since the onset of the war, natural gas has risen from $4.79 on March 1 to about $5.60 on April 1, 2022.  The 52 week range is $2.45 to $6.471.  

The good news is that major data center providers like Equinix, who benefit from veteran and strategic thinking management, have made significant advancements in energy efficiency and sustainability innovation. In December 2021, the Clean Hydrogen Partnership announced EUR 2.5 million in funding, choosing seven companies – Equinix, InfraPrime, Rise, Snam, SOLIDpower, TEC4FUELS, and Vertiv, to develop low-carbon fuel cells to power data centers.  The EcoEdge PrimePower (E2P2) project aims to provide economic and resilient prime power solutions for the data center environment.  It is hoped this could also reduce carbon emissions from operations by up to 100%.  Consortium to Lead Fuel Cell Development for Data Centers

In January 2022, Equinix announced its first Co-Innovation Facility (CIF) located at its Ashburn Campus in the Washington, D.C. area.  This is part of a broader Data Center of the Future initiative.  The CIF is a new capability that enables partners to work with Equinix on trialing and developing innovations to define the future of sustainable digital infrastructure.  Equinix Joins Partners in Sustainability Innovation

Broadly speaking, Equinix has been engaged for some time in transforming energy efficiency.  Since 2011, they have invested more than $130 million to reduce energy consumption within their data centers.  Equinix Energy Efficiency  The other major data center provider globally is Digital Realty.  For information on their operations and sustainability efforts, read more here.

All that being said, with the clear acknowledgement that I’m a big Equinix fan who follows their financial performance closely, it remains to be seen how this current global energy firestorm will impact p&l performance in 2022

Keeping it simple, I turn to the latest guidance provided by Equinix CFO Keith Taylor on February 16, 2022, a mere eight days before the invasion.  Following Q4 2021 revenues of $1.706 billion and adjusted EBITDA of $788 million, Q1 2022 guidance informs a revenue range of $1.726 – $1.746 billion, and adjusted EBITDA of $781 – 801 million.  FY 2022 guidance for revenue is projected to be $7.202 – $7.252 billion, adjusted EBITDA $3.307 – $3.337 billion. 

Clearly there are many variables that will determine any forecast variances that may occur.  If the energy cost scenario plays out as anticipated, I would expect that adjusted EBITDA will show unfavorable variances to forecast, likely starting in the second quarter.  Even if the decision is made to pass on these increased costs, the timing of client contract renewals will affect this decision.  I will look to the upcoming quarterly investor calls for guidance, and keep you all updated.  Please join in the conversation and let me know your thoughts!  Stay safe and be well!

Feature Image: Please enjoy my favorite digital photo of my amazing brother Geoffrey and I at Lady Gaga’s performance at the L.A. Forum in December 2017! Yes we are a very musical family! #DigitalMemoriesToLastALifetime

Data sourced from the Wall Street Journal.