SANTA CLARA, Calif., Jan. 14 /PRNewswire-FirstCall/ -- Silicon Valley Bank, the premier commercial bank for companies in the technology, life science, venture capital and premium wine industries, surpassed its own record, by growing working capital loan commitments with Export-Import Bank of the United States (Ex-Im Bank) guarantees by 74 percent in 2009. As of December 31, 2009, these commitments reached an all time high of $174 million.
Silicon Valley Bank clients using these facilities are expected to generate $895 million in U.S. export sales to 35 different countries and support nearly 4,500 new and existing U.S. jobs.
Access to working capital is critical for companies to support their business growth. Traditionally, foreign receivables that result from U.S. export sales are not eligible as collateral for working capital loans. Ex-Im Bank's Working Capital Guarantee Program provides a valuable solution allowing banks to make loans based on export sales.
Ex-Im Bank's ultimate goal is to foster U.S. exports and job creation. Together with commercial lenders like Silicon Valley Bank, Ex-Im Bank's support fills the gap in working capital financing and can help level the playing field for U.S. exporters by matching the financing that other governments provide to their exporters.
"Our dynamic growth clients in the technology, cleantech and life science sectors are prime candidates for the Ex-Im Bank products and we do everything we can to advocate financing solutions that will help our clients grow, create U.S. jobs and compete on a worldwide scale," said Jeff Strawn, head of Global Credit Products and Trade Finance for Silicon Valley Bank.
One of only eight Ex-Im Bank Super Delegated Authority lenders in the U.S. and long-time leader in the use of Ex-Im Bank's programs, Silicon Valley Bank has been utilizing Ex-Im Bank guarantees for nearly 20 years. As an Ex-Im Bank Super-Delegated Authority Lender, Silicon Valley Bank can provide Ex-Im Bank-guaranteed financing on an expedited basis, speeding the process of securing bank financing for small businesses. Today, Silicon Valley Bank has the delegated authority to approve up to $300 million in Working Capital Guaranteed loan commitments to U.S. companies in need of financing their export sales.
About Ex-Im Bank
Ex-Im Bank is the official export-credit agency of the United States. The independent, self-sustaining federal agency, now in its 76th year, helps create and maintain U.S. jobs by financing the sale of U.S. exports, primarily to emerging markets throughout the world, by providing loan guarantees, export-credit insurance and direct loans. In fiscal year 2009, Ex-Im Bank authorized more than $21 billion in support of U.S. exports overall, the highest level in the Bank's 75-year history, to help ease tightened liquidity during the economic crisis. Ex-Im Bank also set a record for financing of small business exports at $4.36 billion in fiscal 2009. More information is available on the Bank's web site at www.exim.gov.
About Silicon Valley Bank
Silicon Valley Bank is the premier commercial bank for companies in the technology, life science, venture capital, private equity and premium wine industries. SVB provides a comprehensive suite of financing solutions, treasury management, corporate investment and international banking services to its clients worldwide. Through its focus on specialized markets and extensive knowledge of the people and business issues driving them, Silicon Valley Bank provides a level of service and partnership that measurably impacts its clients' success. Founded in 1983 and headquartered in Santa Clara, Calif., the company serves clients around the world through 27 U.S. offices and international operations in China, India, Israel and the United Kingdom. Silicon Valley Bank is a member of global financial services firm SVB Financial Group (Nasdaq: SIVB), with SVB Analytics, SVB Capital, SVB Global and SVB Private Client Services. More information on the company can be found at www.svb.com.
Silicon Valley Bank is the California bank subsidiary and the commercial banking operation of SVB Financial Group. Banking services are provided by Silicon Valley Bank, a member of the FDIC and the Federal Reserve System. SVB Financial Group is also a member of the Federal Reserve System.
SOURCE Silicon Valley Bank