LOS ANGELES--(BUSINESS WIRE)--Oct. 13, 2006--City National Bank,California's Premier Private and Business Bank(R), has added twoexport finance products to help small and mid-sized export companiesin California. These export finance products, based on programs of theExport-Import Bank of the United States, the nation's official exportcredit agency, include:
- Working Capital Guarantee Program, an asset-based credit facility that provides exporters with greater access to working capital needed to fulfill overseas orders; and
- International Buyer Credit Program, medium- and long-term buyer financing that allows U.S. exporters to offer multi-year repayment terms to their foreign buyers when financing is otherwise not available or there are no economically viable interest rates on short-term financing.
With City National's export finance products, California exporterswill be armed with the necessary liquidity to fund expansion into newmarkets, produce U.S.-originated goods or services for export andcompete more effectively in the international marketplace.
"Small and medium-sized export companies play a key role in ournation's balance of trade and in developing new world markets," saidTom Burr, City National Bank senior vice president and manager of theInternational department's Export Finance Group. "City National seesthe long-term benefits of helping these companies because a largepercentage of future growth in U.S. exports will come from companiesthat haven't previously exported."
Under the International Buyer Credit Program, City National offersenhanced financing for special initiatives supported by Ex-Im Bank,including:
- Transportation Security Exports Program, which provides financing terms up to 10 years for U.S. exports that are designed to improve, augment and support the security of international transportation systems;
- Medical Equipment Initiative, which provides financing terms up to seven years for medical equipment that will improve the standard of living in other countries; and
- Environmental Exports Program (EEP), which provides financing terms up to 15 years for U.S. exporters of environmentally beneficial goods and services, as well as for U.S. exporters participating in environmental projects located internationally.
Several City National clients have taken advantage of the bank'snew export financing products. Recent successes include a $5 millionworking capital financing facility to support the exports of a LosAngeles-based metal trading company, and a $7.8 million, 15-year EEPbuyer credit financing to support the sale of solar equipment by aBerkeley, Calif.-based exporter working in South Korea.
"City National is the first bank in the nation to leverage Ex-ImBank's 15-year Environmental Export Program loan guarantee," Burrsaid. "This program will give our clients an opportunity to landsmaller green-energy and environmental projects. The extended loanterms and low interest rates provide companies with the cash flowneeded for smaller projects that otherwise would not be financiallyfeasible at market rates and terms."
America is the world's largest exporter of merchandise andservices, according to the U.S. Department of Commerce. The UnitedStates exported $904 billion worth of goods and services in 2005, ormore than 10 percent of world export trade. California accounted for14 percent of U.S. exports (over $116 billion), and more thanone-quarter of the nation's exporters are based in California.
"We recognize our state's huge export potential, particularlyamong companies doing business with countries like China and Koreathat are beginning to adopt green-energy policies and need theenvironmental technology developed and produced here in California,"Burr said. "We have the expertise and the high-touch personal serviceneeded to support smaller deals."
About City National
City National Corporation (NYSE:CYN) is a financial servicescompany with $14.5 billion in total assets. Its wholly ownedsubsidiary, City National Bank, provides banking, investment and trustservices through 55 offices, including 12 full-service regionalcenters, in Southern California, the San Francisco Bay Area and NewYork City.
City National Bank's International Banking Services departmentserves businesses, professional firms, business managers and theirclients, and entrepreneurs through a range of international bankingservices, including trade financing, currency management, foreignexchange, foreign credit information, online foreign exchange andonline letters of credit.
For more information about City National, visit the company'sWebsite at cnb.com.
CONTACT: City National Bank
Daniel Minkoff, 213-673-7631
SOURCE: City National Bank