U.S. FIRMS WIN SALES TO MEXICO'S TELECOM AND BROADCAST SECTORS BACKED BY $103 MILLION IN EX-IM BANK FINANCING
FOR IMMEDIATE RELEASE August 5, 2002
The Export-Import Bank of the United States (Ex-Im Bank) has authorized $103 million in financing for two transactions supporting the export of U.S. wireless telecommunications equipment, and television broadcast rights and capital goods and services to Mexico.
These transactions support both U.S. jobs and Mexican economic development, and further the Partnership for Prosperity between Mexico and the United States launched by Presidents Fox and Bush, said Ex-Im Bank Vice Chairman Eduardo Aguirre, Jr. We hope through this partnership to expand our extensive trade ties and narrow the economic gaps between and within our societies.
Ex-Im Bank's Board of Directors approved at its latest meeting:
a $20 million medium-term credit guarantee facility to support the $23 million purchase of television programming rights and capital goods and services from various U.S. exporters by Nuvision, S.A. de C.V., a Mexico City producer, marketer and distributor of films. The primary source of repayment is Corporacion Interamericana de Entretenimiento, S.A. de C.V., one of the founders of a joint venture film production and distribution company of which Nuvision is a subsidiary. The guaranteed lender is Toronto-Dominion Bank, Houston, TX.
a $80.6 million long-term guarantee supporting the $100 million export by Motorola, Inc., Arlington Heights, IL, and other U.S. suppliers of cellular telecommunications equipment and related services. The exports are being bought by four Mexican cellular phone operating companies which together form Telefonica Moviles Mexico (TMM). U.S. suppliers include: Gabriel Electronics Inc., Scarborough, ME; Andrew Corp., Orland Park, IL; Microflect Co. Inc., Salem, OR; and Marconi Communications Inc., Warrendale, PA. The primary source of repayment is TMM. The financial applicant and arranger is PNC Bank, Pittsburgh, PA. The guaranteed lender is the Private Export Funding Corp. (PEFCO), New York, NY.
In fiscal year 2001 Ex-Im Bank approved nearly $1 billion in financing in support of U.S. exports to Mexico, making Mexico the Bank's largest customer. Through the years Mexico has consistently been one of Ex-Im Bank's largest markets, with Ex-Im Bank financing supporting Mexico's purchases of U.S. equipment and services for a wide range of sectors including oil and gas, agriculture, transportation, telecommunications and textiles.
Ex-Im Bank is an independent federal government agency that helps finance the sale of U.S. exports, primarily to emerging markets, by providing loans, guarantees and export credit insurance. In fiscal year 2001, Ex-Im Bank authorized financing to support $12.5 billion of U.S. exports worldwide.