FOR IMMEDIATE RELEASE January 9, 2003
Marianna Ohe (202) 565-3200
The Export-Import Bank of the United States (Ex-Im Bank) has approved a $35 million long-term loan guarantee to support the $32.6 million export by Siemens Power Transmission & Distribution, Inc., EMIS-Division, (SPTD EMIS), Minneapolis, MN, of software and services to upgrade Israel's electric power distribution system. The Ex-Im Bank guarantee also covers $2.4 million in financing fees and project-related hardware costs in the buyer's country.
Ex-Im Bank is always pleased to support exports not only of U.S. capital goods, but also of highly competitive U.S. services, which sustain well-paying U.S. jobs said Ex-Im Bank Vice Chairman Eduardo Aguirre, Jr.
Ex-Im Bank support helped Siemens win this $46 million contract, which secures jobs over the next five years at Siemens EMIS, said SPTD EMIS Senior Director Projects, Joerg Huber.
The buyer, the government-owned Israel Electric Corp. Ltd. (IEC), awarded Siemens a $46 million contract for the project, including the $32.6 million in U.S. exports covered by the Ex-Im Bank guarantee. IEC will use the purchases to improve diagnosis and response time to power outages and grid instabilities in Israel's electric power distribution system.
IEC is the sole integrated utility in Israel and generates, transmits and distributes nearly all the electricity used in the country. Ex-Im Bank has supported four previous credits involving IEC as the borrower since 1980.
The guaranteed lender on the transaction is BNP-Paribas, New York, NY. IEC is the primary source of repayment.
Ex-Im Bank is an independent U.S. government agency that helps finance the sale of U.S. exports, primarily to emerging markets throughout the world, by providing loans, guarantees, and insurance. In fiscal year 2002, Ex-Im Bank authorized $103 million in financing to support U.S. exports to Israel. Worldwide in fiscal year 2002, Ex-Im Bank supported nearly $13 billion of U.S. exports.