First Transaction Under Framework Agreement with China's Ministry of Finance
FOR IMMEDIATE RELEASE February 12, 2008
Contact: Linda Formella (202) 565-3200
Chindex International Inc. in Bethesda, Md., is exporting diagnostic medical equipment from four major U.S. manufacturers for the Liaocheng People's Hospital in Shandong Province, China, with the support of a seven-year, $4.5 million loan guarantee from Ex-Im Bank. The transaction is the first to be done under Ex-Im Bank's framework agreement with China's Ministry of Finance. Among the U.S. exports is ultrasound equipment (pictured) manufactured by Siemens USA Inc. in Mountain View, Calif.
WASHINGTON, D.C.: Chindex International Inc. in Bethesda, Md., is exporting diagnostic medical equipment from four major U.S. manufacturers for the Liaocheng People's Hospital in Shandong Province, China, with the support of a seven-year, $4.5 million loan guarantee from the Export-Import Bank of the United States (Ex-Im Bank). Ex-Im Bank is guaranteeing a loan from HSBC Bank PLC in London on behalf of the buyer, Instrimpex International Tendering Company in Bejing. The borrower is the Export-Import Bank of China.
The transaction, which carries the sovereign guarantee of China's Ministry of Finance, is the first to be done under Ex-Im Bank's framework agreement with China's Ministry of Finance that was signed in January 2005. It qualified for longer repayment terms and local-cost financing under Ex-Im Bank's Medical Equipment Initiative.
The U.S. suppliers are Hologic Inc. in Bedford, Mass.; Eastman Kodak Co. in Rochester, N.Y.; Medrad Inc. in Warrendale, Pa.; and Siemens Medical Solutions USA Inc. in Mountain View, Calif. Phillips Medical Systems of the Netherlands is also exporting equipment that is being co-financed by the export-credit agency of the Netherlands, Atradius Dutch State Business NV.
Ex-Im Bank is pleased to be supporting the export of U.S. medical equipment to China under the framework agreement with the Ministry of Finance. This transaction will support U.S. jobs and help the Liaocheng People's Hospital to utilize state-of-the-art technology in providing health care to its patients, said Ex-Im Bank Chairman and President James H. Lambright.
Chindex exports U.S. medical equipment exclusively to China, where our foreign competitors receive concessional financing from their governments. Ex-Im Bank's ability to provide loan guarantees for our exports enables us to offer our Chinese customers complete and competitive financing, said Chindex CEO Roberta Lipson.
Ex-Im Bank, the official export-credit agency of the United States, is in its 74th year of helping finance the sale of U.S. exports, primarily to emerging markets throughout the world, by providing loan guarantees, export-credit insurance and direct loans. In fiscal year 2007, Ex-Im Bank authorized $12.6 billion in financing to support an estimated $16 billion of U.S. exports worldwide. For more information, visit www.exim.gov.