FOR IMMEDIATE RELEASE January 17, 2002
Marianna Ohe (202) 565-3200
The Export-Import Bank of the United States (Ex-Im Bank) today announced the approval of a $3.2 million medium-term loan guarantee to support the $3.5 million sale by Atlas Copco Wagner Inc., Portland, OR, of mining equipment for a silver mine in Magadan, Russia. Caterpillar of Peoria, IL also is a supplier on the transaction. The buyer of the equipment is Leasing Promhold, wholly owned by Commercial Bank Moscow Business World (MDM Bank), a private commercial bank and the primary source of repayment on the transaction. It is Ex-Im Bank's first guarantee on behalf of a U.S. export sale involving a Russian private bank since the 1998 Russian economic crisis.
With the improvements in the Russian economy, we look forward to supporting many more U.S. export sales involving private Russian commercial banks, said Ex-Im Bank Vice Chairman Eduardo Aguirre, Jr. This type of bilateral trade helps create jobs and economic growth in both countries.
In December 2000, based upon a comprehensive review of the Russian banking sector, Ex-Im Bank chose MDM as one of 15 creditworthy partners to work with in financing Russian purchases of U.S. goods and services. Last month the number of banks was increased to 16, and several other commercial banks are under consideration.
The guaranteed lender on the Atlas Copco transaction is Commerzbank, Rye, NY. Leasing Promhold will lease the trucks, loaders and bulldozers to Serebro Magadana, a silver mine in Russia's Far East, for a restoration and upgrade project. The mine, which has not been operational since 1997 due to Russia's economic difficulties, expects to be operational by the third quarter of 2002 and reach a maximum capacity of 470 tons per year by mid-2004.
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 2001, Ex-Im Bank supported $12.5 billion of U.S. exports worldwide.