CORPORATE OVERVIEW Supporting the International Development Sector MAY
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CORPORATE OVERVIEW Supporting the International Development Sector MAY 2015
OUTLINE › › 2 About EDC Overview of EDC products and solutions
ABOUT EDC 3 › › › Canada’s Export Credit Agency › Partnership preferred principle Crown corporation Financially self-sustaining Operates on commercial principles Role is to support and develop Canada’s export trade and international business via financing and insurance solutions for Canadian exporters and investors
EDC’S FOREIGN REPRESENTATION North America $54. 5 B (55%) Asia-Pacific $17. 9 B (18%) Europe $13. 5 B (14%) South / Central America $8. 4 B (9%) Africa / Middle East $4. 5 B (5%) 4
CONNECTING WITH CANADIAN BUSINESSES ACROSS CANADA 5
2014 PERFORMANCE HIGHLIGHTS › › › 6 Facilitated $99. 0 billion in business carried out by Canadian companies Served about 7, 400 customers Supported business in 198 countries Facilitated $29 billion in emerging markets Contributed to 4% of GDP, supporting 719, 200 jobs
OVERVIEW OF EDC PRODUCTS FEBRUARY 2015
ACCOUNTS RECEIVABLE INSURANCE › › Protect against foreign buyer’s failure to pay Benefits › › › Enter and expand into new markets Better access to bank working capital catastrophic loss protection edc. ca/insurance 8
CREDIT INSURANCE Exporter Accounts Receivable Goods or Services Credit Insurance Policy Line of Credit Claim Payment Foreign Buyer 9 Financial Institution
POLITICAL RISK INSURANCE › › Coverage for various political risks Protects foreign assets such as cash in local bank accounts from certain political events edc. ca/pri 10
POLITICAL RISK INSURANCE (PRI) FOR ASSETS EDC PRI on Assets Policy Canadian Company with Assets Located in a Foreign Country (equipment, inventories, cash) Loan (asset financing) Direction to Pay Policy Claim Proceeds at the request of the insured Canadian Company 11 Financial Institution
FOREIGN BUYER FINANCING › Guarantee to another financial institution in support of a loan to your foreign customer (transactions < $10 million) › Direct financing to your foreign customer (transactions > $10 million) edc. ca/financing 12
EXPORT GUARANTEE PROGRAM › EDC provides Canadian banks with loan guarantees to finance costs related to foreign contracts › › Access to additional working capital fund up-front costs edc. ca/financing 13
EXPORT GUARANTEE PROGRAM (EXPORT CONTRACT SPECIFIC) Exporter Loan Guarantee Financial Institution 14
BONDING SERVICES › EDC provides a guarantee to your bank allowing it to issue Standby LCs or LGs to your customers › Get access to bonds without tying up cash edc. ca/bonding 15
PERFORMANCE SECURITY GUARANTEE PSG Indemnity Agreement Contract 100% Guarantee Letter of Guarantee Foreign Buyer 16 Counter Guarantee Foreign Financial Institution
Merci-Thank You Guy Racine 613 597 8688 gracine@edc. ca 17