Financing Your Exports May 25, 2011

Export-Import Bank of the United States

Who We Are

▪Mission – create and sustain jobs by increasing U.S. export sales

▪Official Export Credit Agency (ECA) of the U.S. Government since 1934

▪ Self-sustaining

▪ FY 2010 Authorizations

$24.5 Billion

▪

Export-Import Bank of the United States

Our Financing Makes the Difference

▪Minimize exporters risk

▪ Strengthen U.S. competitiveness

▪ Supplement commercial financing

Export-Import Bank of the United States

Commitment to

Small Business

Export-Import Bank of the United States

Authorizations in $ Millions

2008

2009

2010

$5 Billion

$5 Billion +12%

Authorizations +22%

85% of All Transactions

No Transaction Too Small

FY 10 Small Business Growth

Export-Import Bank of the United States

Taking the Fear Out of Exporting

▪ Should I enter that new market?

▪When and will I get paid?

▪How will I get cash to make the product?

▪ I made the big sale, but will my buyer be able to obtain financing?

Export-Import Bank of the United States

We Support a Variety of Industries

▪ Manufacturing

▪ Construction

▪ Medical

▪ Mining

▪ Power-generation

▪ Aircraft and Avionics

▪ Services

▪ Renewable Energy

▪ Agribusiness

▪ Wholesale/Retail

▪ Oil Mining

Export-Import Bank of the United States

Support in Over 155 Countries

1. Brazil2. Colombia3. India4. Indonesia5. Mexico6. Nigeria7. South Africa8. Turkey9. Vietnam

Export-Import Bank of the United States

Growing Your Sales and Minimizing Risks

Extension of Credit

Working Capital Guarantee

Funds to Fulfill Orders

Buyer FinancingMedium- and Long-Term Insurance & Loan Guarantee

Receivables Insurance

Your Need Ex-Im Bank Solution

Export-Import Bank of the United States

Working Capital Guarantee

▪ Funds to pay for raw materials, labor, supplies, etc.

▪ 90% guarantee to lenders for export-related working capital loans

▪ Transaction specific or revolving loans

▪No minimum or maximum amount

Export-Import Bank of the United States

▪Advances are supported by export-related:

– Inventory up to 75%

–Receivables up to 90%

▪ Term is generally one year (renewable) and may be up to three years.

▪ Supply Chain Financing (New)

Working Capital Guarantee (cont.)

Export-Import Bank of the United States

Short-Term, Accounts Receivable Insurance Protects US exporters against non-payment by foreign buyers due to:–Commercial Risks– Political Risks

Allows exporters to offer competitive credit terms to foreign buyers

–Generally up to 180 days, some 360 day terms

Obtain additional financing

Export-Import Bank of the United States

Short-Term, Accounts Receivable Insurance (cont.) Single or Multi-buyer Policies

Small Business Policy

Express Insurance (New)

Export-Import Bank of the United States

Buyer Financing

Used to finance foreign buyers purchasing U.S. capital equipment:

▪ 85% financed, 15% cash down payment

▪Repayment up to 5 years, exceptionally 7 years

▪Amounts of $10 million or less

Export-Import Bank of the United States

Buyer Financing (cont.)

Financing can be accomplished through the following Ex-Im products:

▪ Loan Guarantees

▪ Export Credit Insurance

▪Direct Loans (few)

Export-Import Bank of the United States

Striving to Do More

▪Making more credit available with new products

▪ Increasing outreach

▪ Enhancing the small business web portal

▪ Streamlining operations to reduce turnaround time

▪Building stronger distribution partnerships to reach more exporters

Export-Import Bank of the United States

Next Steps

Consult with an Export Finance Manager: Call 800.565.3946 and press 2 at the prompt.

www.exim.gov/smallbusiness