Ex-Im Bank expands support to U.S. SMEs

Ex-Im Bank expands support to U.S. SMEs    The U.S. Export-Import Bank this week said lenders will have greater flexibility to serve the needs of small and mid-sized businesses under its Super Delegated Authority and Fast Track programs now that the two programs' aggregate financing limits have been combined.
   The Ex-Im Bank combined the aggregate limit per bank of the Super Delegated Program ($300 million) and the Fast Track Program ($150 million). The change now provides lenders under the two programs with one overall aggregate limit of $450 million each.
   'Ex-Im Bank looks forward to using this new feature to help our lending partners increase support of U.S. exports by small and medium-sized companies,' said Ex-Im Bank Chairman and President Fred P. Hochberg in a statement. 'Enhancing financing flexibility is important at a time when credit is tightening around the world.'
   Under Ex-Im Bank's Delegated Authority Program, lenders can provide Ex-Im Bank-guaranteed working capital loans to U.S. exporters without prior approval from the Ex-Im Bank. Super Delegated Authority is the highest of six Delegated Authority levels, under which lenders may commit a maximum of $10 million per burrower/transaction. It's generally used by Ex-Im Bank's most active and experienced lending partners.
   The Fast Track Program is an expedited process for lenders to obtain Ex-Im Bank approval for working capital guarantee transactions, with a maximum of $25 million per burrower/transaction. The same lenders that belong to Ex-Im Bank's Super Delegate Authority program are members of the Fast Track Program.
   Ex-Im Bank's working capital loan guarantees help small and mid-sized U.S. companies build inventory to fill foreign orders. Pre-export costs can include purchase of raw materials or finished products, export production, and coverage of standby letters of credit serving as bid bonds, performance bonds, or advance payment guarantees. ' Chris Gillis