PRESIDENT OBAMA ALLOWS EXPORT-IMPORT BANK TO LOAN VIETNAM $125.8 MILLION

Photo:  Secretary of Defense Panetta Visits Vietnam.  Credit:  U.S. Navy.  
FROM:  U.S. EXPORT-IMPORT BANK
President Obama Signs Waiver Allowing Ex-Im Bank to
Move Forward with Export Financing for Vietnam Communications Satellite
Washington, D.C. --- The White House on Monday issued a Presidential Determination on Vietnam by President Barack Obama. The president’s action clears the way for the Export-Import Bank of the United States (Ex-Im Bank) board of directors to move forward with a $125.8 million direct loan to Vietnam to support their purchase of a U.S.-manufactured telecommunications and television satellite.

The purchaser is the Vietnam Post and Telecommunications Group, a wholly state-owned company.
The president's action is required by a provision in the Ex-Im Bank Charter that mandates a determination by him that it is in the national interest for Ex-Im Bank to extend a loan of $50 million or more to a Marxist-Leninist country.

“I’m pleased that President Obama has given the board the authority to advance this loan application from Vietnam, which is one of the nine countries Ex-Im has identified as offering U.S. exporters the greatest sales opportunities,” said Fred P. Hochberg, chairman and president of Ex-Im. “We hope to support more U.S. companies’ exports to Vietnam, which in turn will support more American jobs.”

Ex-Im Bank transactions have been eligible for such presidential determinations since President Clinton determined on March 8, 1998 that it was in the national interest for Ex-Im Bank to do business with the Socialist Republic of Vietnam.

With the President Obama’s determination, the board will soon vote whether to refer the transaction to Congress for review and comment. After the expiration of a 35-day comment period the board would schedule a second and final vote. (Congress is notified of all Ex-Im transactions of $100 million or more so that Members may provide the Bank with comments for the Board to consider prior to a final vote.)

The Lockheed Martin Corporation is supplying U.S. equipment and services for the Vinasat II project. Ex-Im’s loan, if approved by the board of directors, will be secured by the full faith and credit sovereign guarantee of the Socialist Republic of Vietnam.
The proposed loan of $125.8 million will finance the export of goods and services valued at about $215 million.

U.S. EXPORT-IMPORT BANK GETS BEST ECA IN THE AMERICAS AWARD

Photo Credit:  Wikimedia. 
FROM:  EXPORT-IMPORT BANK
Ex-Im Recognized as Best ECA in the Americas
Washington, D.C. – The Export-Import Bank of the United States (Ex-Im Bank) has received the Best Export Credit Agency (ECA) in the Americas Award from Trade Finance Magazine for the third year in a row.

“Being voted Best ECA in the Americas again this year demonstrates the respect that the trade finance industry has for Ex-Im Bank, its innovative products, and its ability to give U.S. exporters the edge they need in highly competitive overseas markets. Also reflected here is the vocal support that the market provided Ex-Im Bank during its challenging reauthorization process,” said Oliver O’Connell, the editor of Trade Finance.

The Bank also placed second in the Best Global ECA category and second in the Best ECA in Africa category.

“The award really goes to the employees of Ex-Im for their work on behalf of our customers’ exports and the U.S. jobs they create,” said Ex-Im Bank Chairman Fred P. Hochberg. “We will continue to aim for excellence and look forward to competing for next year’s awards.”

Additionally, the Bank was recognized by Trade Finance for its involvement in five deals of the year, including the export of oil and refinery equipment and services from more than 150 firms to Colombia’s Refinería de Cartagena S.A. (Reficar); oil and refinery equipment and services to Petroleo Brasileiro S.A. (Petrobras), Brazil's national oil company; oil and refinery equipment and services to Pemex, a Mexican state-owned petroleum company; telecommunications satellites to Avanti Communications of London; and aero-derivative gas turbine generators manufactured by GE Packaged Power Inc (GEPPI) to Aydin, Turkey.

Trade Finance Awards for Excellence have been annually awarded for the last 15 years and represent a comprehensive poll of the global trade finance market.
According to its website, Trade Finance will officially confer the award at the Trade Finance Magazine Americas Awards dinner at the Roosevelt Hotel in New York City June 26, and the write-up of the award will appear in the July/August edition of the magazine.

About Ex-Im Bank:
Ex-Im Bank is an independent federal agency that helps create and maintain U.S. jobs by filling gaps in private export financing at no cost to American taxpayers. In the past five years, Ex-Im Bank has earned for U.S. taxpayers $1.9 billion above the cost of operations. The Bank provides a variety of financing mechanisms, including working capital guarantees, export-credit insurance, and financing to help foreign buyers purchase U.S. goods and services.

Ex-Im Bank approved $32.7 billion in total authorizations in FY 2011 -- an all-time Ex-Im record. This total includes more than $6 billion directly supporting small-business export sales -- also an Ex-Im record. Ex-Im Bank's total authorizations are supporting an estimated $41 billion in U.S. export sales and approximately 290,000 American jobs in communities across the country.

U.S. EXPORTS IN APRIL HIT $182.9 BILLION

FROM:  U.S. EXPORT-IMPORT BANK
Friday, June 08, 2012
U.S. Exports in April Hit $182.9 Billion
WASHINGTON, D.C. – The United States exported $182.9 billion in goods and services in April 2012, according to data released today by the Bureau of Economic Analysis of the U.S. Commerce Department. Compared to the same time period in 2011, there has been increased activity in Australia ($9.9 billion, +26.3%), the Middle East ($2.1 billion, +23.1%), and China ($3.5 billion, +4.3%). Additionally, fiscal year-to-date authorizations through May 31 for the Export-Import Bank of the United States (Ex-Im Bank) are up from $20.4 billion in 2011 to $21.9 billion in 2012.

“These results demonstrate that U.S. exports remain strong even though there has been economic uncertainty throughout Europe, said Fred P. Hochberg, the chairman and president of Ex-Im Bank. “Exports continue to offer American companies extraordinary opportunities to boost sales to the 95 percent of the world's customers that are located outside the U.S."

Exports of goods and services over the last twelve months totaled $2.145 trillion, which is 35.8 percent above the level of exports in 2009 and a record for the United States. Over the last twelve months, exports have been growing at an annualized rate of 14.0 percent when compared to 2009.

Over the last twelve months, the major export markets with the largest annualized increase in U.S. goods purchases were Panama (37.2 percent), Turkey (33.0 percent), Argentina (29.8 percent), Chile (29.5 percent), Honduras (29.4 percent), Hong Kong (28.9 percent), Peru (27.9 percent), Russia (27.0 percent), Brazil (24.6 percent), and Ecuador (23.0 percent). Of these, Brazil and Turkey are among the nine countries that Ex-Im has identified as having the greatest sales potential for U.S. companies. The other seven countries are Brazil, Colombia, India, Indonesia, Mexico, Nigeria, South Africa, and Vietnam.

EXPORT-IMPORT BANK WILL HELP EXPEDITE SALES OF U.S. BUSINESS AIRCRAFT

Photo:  Wikimedia
FROM:  U.S. EXPORT-IMPORT BANK
Ex-Im Bank to Leverage Industry Expertise to Expedite Export Financing
for Business Aircraft and Helicopters
GENEVA, SWITZERLAND: U.S. manufacturers of business aircraft and helicopters will benefit from a new process to assess credit risks and expedite foreign-buyer financing from the Export-Import Bank of the United States (Ex-Im Bank). Ex-Im Bank will work with qualified industry experts to perform due diligence and credit analysis to facilitate the Bank’s support for U.S. business-aircraft exports.

 The announcement was made today by Ex-Im Bank Chairman and President Fred P. Hochberg at the 12th annual European Business Aviation Convention and Exhibition (EBACE), being held in Geneva, Switzerland, May 14-16.

 “Business aircraft and helicopters are a vital part of the U.S. aerospace industry that is one of the most competitive sectors of the economy and employs thousands of Americans. Ex-Im Bank understands that business-aircraft transactions require specialized knowledge and experience but has limited resources to meet the growing demand for export financing in this industry. By leveraging private-sector expertise to assist and support our evaluation of these credits, we will be able to expand Ex-Im Bank’s support for U.S. business-aircraft exports and the manufacturing jobs that they sustain,” Chairman Hochberg said.
 Ex-Im Bank is implementing the new process to address the increased demand for export credits for business aircraft and helicopters arising from the growing percentage of U.S.-manufactured aircraft that are sold to foreign buyers. The process is intended to result in a more complete and comprehensive transaction package being submitted to Ex-Im Bank. The more complete package will expedite the application, approval and closing process for foreign borrowers of Ex-Im-supported financing in business-aircraft transactions. Using qualified advisors is also expected to provide enhanced credit structures, resulting in additional credit protections for Ex-Im Bank.

The process is designed to benefit manufacturers that do not have a captive financing company but which can now designate one or more advisors to work with their foreign buyers.

The process will be available immediately through any advisor that has demonstrated the requisite knowledge, experience and expertise with business-aircraft financing.
Ex-Im Bank developed the process following upon the successful model of its $500 million loan facility approved in 2009 that provided funds to assist Textron Inc. in financing exports of two of its companies, Cessna Aircraft Company and Bell Helicopter Textron. The facility enabled Textron’s Finance segment to provide competitive terms and interest rates to finance the export of more than 100 Cessna aircraft exports and six Bell helicopters.

Last week, Ex-Im Bank’s board of directors approved a second facility for Textron’s Finance segment, providing a guarantee of a $350 million loan from PNC Bank to a Textron subsidiary to finance the export of additional Cessna aircraft and Bell helicopters.

In FY 2011, Ex-Im Bank authorized more than $12.6 billion in financing to support the export of U.S.-manufactured aircraft of all types, including approximately $90 million for 10 business aircraft and helicopters exports to four countries – Brazil, Mexico, Panama and Switzerland.

EX-IM BANK APPROVES $350 MILLION LOAN GUARANTEE TO SUPPORT TEXTRON’S EXPORTS OF CESSNA AIRCRAFT AND BELL HELICOPTERS

FROM:  U.S. EXPORT-IMPORT BANK 

GENEVA, SWITZERLAND: The Export-Import Bank of the United States (Ex-Im Bank) has approved a guarantee of a $350 million loan facility to provide the funds to assist Textron Inc. in financing the exports by two of its companies, Cessna Aircraft Company and Bell Helicopter Textron. The guaranteed lender is PNC Bank in Pittsburgh, Pa.

The Ex-Im Bank-guaranteed loan facility will enable Textron’s Finance segment to provide financing to international customers that take delivery of new Cessna aircraft and Bell commercial helicopters. The facility will be guaranteed by Textron's captive finance company, Textron Financial Corporation (TFC). The repayment term is 12 years.

This is the second financing facility approved by the Bank to assist TFC in supporting Textron’s exports. In May 2009, Ex-Im Bank authorized a $500 million direct-loan facility that has helped to finance the export of over 100 Cessna business jets and six Bell helicopters.

The announcement of the new facility was made today by Ex-Im Bank Chairman and President Fred P. Hochberg at the 12^th annual European Business Aviation Convention and Exhibition (EBACE), being held in Geneva, Switzerland, May 14-16.

“Business aircraft and helicopters are an important part of America’s aerospace industry, which is helping to boost U.S. exports to all-time highs. Ex-Im Bank is pleased to approve a second financing facility to support Textron’s exports of Cessna aircraft and Bell helicopters. We anticipate that this facility will add to the success of the first such financing for Textron, which has helped to support hundreds of manufacturing jobs in Kansas, Georgia and Texas,” Chairman Hochberg said.
"This guaranteed loan facility for the export of Cessna and Bell aircraft is a wonderful example of Ex-Im Bank fulfilling its purpose – facilitating exports to foreign markets where financing isn't otherwise readily available and preserving American jobs. We greatly value our relationship with Ex-Im Bank, and we are proud of the work they do," said John Klopfer, president and CEO of Textron’s Aviation Finance Group.
 The Ex-Im Bank-guaranteed loan facility will enable Textron’s Finance segment to continue to finance exports of Cessna aircraft and Bell helicopters with competitive interest rates and repayment terms. TFC will be the ultimate source of repayment for the loan facility and will retain credit risk of the international buyers. The loan facility will be disbursed on a periodic basis, reimbursing Textron’s Finance segment for financings of eligible aircraft and helicopters that have been exported.

Textron is a multi-industry company with a global network of aircraft, defense, industrial and finance businesses. Cessna Aircraft Company currently employs more than 11,000 workers at its manufacturing plants in Wichita and Independence, Kan., and Columbus, Ga. Bell Helicopter Textron is headquartered in Fort Worth, Texas, and also has a manufacturing facility in Amarillo, Texas. Bell Helicopter has approximately 8,100 U.S. employees.

TFC is a commercial finance company that provides financing for products manufactured by its parent company, Textron Inc.

Hochberg also announced at EBACE in Geneva today that Ex-Im Bank has approved a new credit process to facilitate and expedite the Bank’s financing for business-aircraft and helicopter exports from other U.S. manufacturers that do not have a captive financing company. Under the new process, Ex-Im Bank will work with qualified industry experts to perform due diligence and credit analysis for these business-aircraft and helicopter transactions.

In FY 2011, Ex-Im Bank authorized more than $12.6 billion in financing to support the export of U.S.-manufactured aircraft of all types, including approximately $90 million for 10 business aircraft and helicopters exports to four countries – Brazil, Mexico, Panama and Switzerland.

About Ex-Im Bank:
Ex-Im Bank is an independent federal agency that helps create and maintain U.S. jobs by filling gaps in private export financing at no cost to American taxpayers. In the past five years, Ex-Im Bank has earned for U.S. taxpayers $1.9 billion above the cost of operations. The Bank provides a variety of financing mechanisms, including working capital guarantees, export-credit insurance and financing to help foreign buyers purchase U.S. goods and services.

Ex-Im Bank approved $32.7 billion in total authorizations in FY 2011 -- an all-time Ex-Im record. This total includes more than $6 billion directly supporting small-business export sales -- also an Ex-Im record. Ex-Im Bank's total authorizations are supporting an estimated $41 billion in U.S. export sales and approximately 290,000 American jobs in communities across the country. For more information, visit www.exim.gov.