LOS ANGELES--(BUSINESS WIRE)--July 17, 2006--To better serve themany California companies doing business in China and throughout Asia,City National Bank, California's Premier Private and Business Bank(R),and The Bank of East Asia Ltd. (BEA), the largest independent bank inHong Kong, today announced a China/America joint business alliance.
Under the terms of the agreement, City National will refer to BEAits clients who need local banking services in China, as appropriate.Likewise, BEA will, as appropriate, refer to City National its clientswho wish to do business in California. The agreement also will includereferrals for companies who wish to do business in New York, whereCity National also has an office.
"We are very pleased and proud to enter into this agreement withThe Bank of East Asia," said City National's Chief Executive OfficerRussell Goldsmith. "City National and BEA are two very complementary,independent, local business banks committed to premier client serviceand financial capabilities. This agreement between our companies willenable both banks to better serve the global financial needs of ourrespective clients as trade, manufacturing, investing and bankingexpand between entrepreneurs in China and the U.S."
City National expects the agreement to benefit its clients whoinvest or do business in China as well as those seeking Chinesedistributors for American-made goods. For one thing, BEA has legalauthority to underwrite credit in China. In addition, BEA can providefinancing in the local currency and offers access to local legal,accounting and other banking-related services there. Tricor Group, amember of the BEA Group and the leading professional provider ofintegrated business, corporate, and investor services in Asia, canalso help U.S.-based clients establish and manage corporate structuresfor operations in China.
"We have observed increasing business activity between Californiaand China," said The Bank of East Asia Chairman and Chief ExecutiveDr. David K.P. Li. "This alliance between Hong Kong's largestindependent local bank and City National Bank will enable customers toenjoy banking services and commercial lines of credit, cashmanagement, investment advice and asset management services on bothsides of the Pacific."
Incorporated in Hong Kong in 1918, The Bank of East Asia hasassets of more than $30 billion (U.S.). It is listed on the StockExchange of Hong Kong and is one of the constituent stocks of the HangSeng Index. The bank delivers comprehensive retail and commercialbanking services through more than 160 outlets covering Hong Kong andGreater China, the United States, Canada, the United Kingdom, theBritish Virgin Islands and Southeast Asia.
China is the world's fourth largest economy, and its commercialrelationship with the United States has grown sharply in recent years.According to the U.S. Department of State, cumulative Americaninvestment in China now exceeds $50 billion, making the U.S. thesecond-largest foreign investor in China. Trade between the twonations last year was valued at $285.3 billion, making it the UnitedStates' third-largest trading partner (behind Canada and Mexico).Since 2000, U.S. exports to China have increased 260 percent to $41.8billion, and California companies own the largest share of thatfigure, accounting for nearly 1 in 5 export dollars.
California is now the eighth largest economy in the world, andAsia-based clients looking to do business in the United States willreceive access to the wide array of City National's credit, cashmanagement, investment services and international bankingcapabilities.
This is the first alliance of its kind for City National Bank andthe first North American alliance for the Bank of East Asia. It doesnot involve an exchange of equity.
About City National
City National Corporation (NYSE:CYN) is a financial servicescompany with $14.7 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 department serves businesses,professional firms, business managers and their clients, andentrepreneurs through a range of international banking services,including trade financing, currency management, foreign exchange,foreign credit information, online foreign exchange and online lettersof credit.
For more information about City National, visit the company'sWebsite at www.cnb.com.
About The Bank of East Asia
For more information on BEA, please visit any branch or the bank'shomepage at www.hkbea.com.
CONTACT: City National Bank
Daniel Minkoff, 213-673-7631
The Bank of East Asia
Peter Yuen, +011 (852) 3608-0228
SOURCE: City National Bank