Guarantee of Pemex Bonds Will Support an Estimated 6,700 U.S. Jobs
FOR IMMEDIATE RELEASE October 1, 2014
Linda Formella (202-565-3200)
Washington, D.C. - The Export-Import Bank of the United States (Ex-Im Bank) on Monday approved two authorizations totaling $1 billion in financing to support the export of U.S. goods and services to Petróleos Mexicanos (Pemex), Mexico's national oil-and-gas company.
Ex-Im Bank's financing will support approximately 6,700 U.S. jobs, at both large and small businesses, according to Bank estimates derived from Departments of Commerce and Labor data and methodology.
Capital-markets financing is an innovative and proven approach that helps to provide funding for Pemex's purchases of made-in-America goods and services at no extra cost to the U.S. Treasury, said Ex-Im Bank Chairman and President Fred P. Hochberg. With these authorizations, Ex-Im Bank is continuing to meet our mission to support U.S. exporters and their workers by helping to maintain American jobs in both large and small businesses around the country.
This transaction is assisting in financing exports to Pemex of American-made oil-field and gas-field drilling services, drilling platforms, turbine generators, mud pumps, chemicals, spare parts, geophysical studies and safety equipment - among numerous other U.S.-produced goods and services.
One of the many U.S. small businesses that is benefiting from this Ex-Im Bank financing for Pemex is Checkpoint Pumps & Systems in Mandeville, La., near New Orleans. Checkpoint Pumps, a chemical-injection packages provider, is a single source for concept, engineering, manufacturing, testing and field service. The company has approximately 70 employees at its Mandeville facility and 30 additional employees at other locations worldwide.
We confidently expect that Ex-Im Bank financing will play an even larger role in our growth within the expanding Latin American market in the coming years, said David Cheadle, Checkpoint's Latin American sales manager.
Pemex will issue Ex-Im Bank-guaranteed bonds in the capital markets to fund the purchases of these exports.
ABOUT EX-IM BANK:
Ex-Im Bank is an independent federal agency that creates and maintains U.S. jobs by filling gaps in private export financing at no cost to American taxpayers. 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. In fiscal year 2013, Ex-Im Bank earned for U.S. taxpayers more than $1 billion above the cost of operations.
In FY 2013, Ex-Im Bank approved more than $27 billion in total authorizations to support an estimated $37.4 billion in U.S. export sales and approximately 205,000 American jobs in communities across the country. For the year, the Bank approved a record 3,413 transactions - or 89 percent of total transactions - for small businesses. Small-business exporters can learn about how the Bank's products can help them increase foreign sales at http://go.usa.gov/ZVTd. For other information about Ex-Im Bank, visit www.exim.gov.