The Banks & EDC Working Together EDC’s Tool Box for Bankers

1. The Banks & EDC Working TogetherEDC’s Tool Box for Bankers

2. EDC Solutions – Buyer Risks

3. EDC Solutions – Exporter Risks

4. Our Services Loan Guarantees Financing Insurance Account Receivable Insurance covers receivables up to 90 per cent of losses resulting from commercial or political risks. Single Buyer Insurance covers unlimited sales to one customer for six months on contracts worth up to USD$250,000. EXPORTProtect covers single export transactions for up to USD$250,000. Contract Frustration Insurance covers up to 90 per cent of losses for one export contract. Documentary Credit Insurance covers the bank for 90 per cent of losses resulting from commercial or political risks on documentary credits it confirms, negotiates, accepts or pays. Political Risk Insurance protects overseas assets, including equipment and manufacturing facilities. Performance Security Insurance covers up to 95 per cent of losses if the buyer demands payment of a bond issued by the exporter’s bank without valid reason. EXPORTExpressCreditoffers export credit loans to companies with little access to the cash they need. Security Compliance Loan is available for up to $150,000 to finance the costs related to becoming C-TPAT compliant Equity Investments – EDC engages in both direct and indirect equity investments. Note Purchases involving simple payment terms on export contracts with high-quality foreign buyers. Canadian Direct Investment Abroad – a wide range of financing structures is available to suit the needs of the investment and to address the ongoing working capital needs of foreign affiliates. Foreign Buyer Financing solutions provide one to ten-year coverage for up to 85% of the sale. Lines of Credit to foreign companies who repeatedly buy from Canadian companies and to foreign banks or intermediaries that onlend money to foreign buyers. Corporate Loan Syndicationspull together multiple banking partners to fund a borrower’s large, medium-term capital requirements. Leasing - EDC does not act as a lessor but can provide funding to lessors. Project Finance - limited-recourse financing for large-scale infrastructure and industrial projects. Export Guarantee Program offers risk-sharing guarantees to banks for up to 75 per cent of loan related export contracts. Bank Guarantee Program provides cover to Canadian and international banks financing the sale of Canadian exports to customers in developing markets. Bonding Performance Security Guarantee fully protects the bank in the event of a call on a contractual guarantee it issues on an exporter’s behalf. Surety Bond Insurance fully protects a surety company in the event of a call on a contractual guarantee it issues on an exporter’s behalf. Foreign Exchange Facility Guarantee -gives the financial institution a guarantee in lieu of collateral so the exporter can buy a foreign exchange contract to protect against currency fluctuations. Financial Security Guarantee -replaces the collateral usually needed to secure a variety of payment guarantees, including operating lines of credit with foreign banks, letters of guarantee for suppliers, regulatory bodies, utilities, etc. www.edc.ca

5. Got a customer involved in an export transaction or investment abroad?Call us.We’d love to talk to you Jeff MacArthur Account Manager (506) 851-6066 jmacarthur@edc.ca