South Africa's Comair Limited Obtains Preliminary Commitment From U.S. Ex-Im Bank to Finance Purchase of Eight Boeing 737-800 Aircraft

Third Announcement this Week of Preliminary Financing Decisions for South Africa Companies

JOHANNESBURG, Nov. 11, 2010 /PRNewswire-USNewswire/ -- Today the Export-Import Bank of the United States (Ex-Im Bank) announced the preliminary commitment to finance the purchase by Comair Limited, a commercial airline based here, of eight Boeing 737-800 aircraft.

Comair becomes the third South African company this week that is expected to receive export financing to buy U.S. goods or services with support from Ex-Im Bank; the other companies are Transnet and Eskom.

"These transactions are great examples of Ex-Im Bank's firm commitment to help South Africa meet the country's infrastructure needs and to support purchases by both small and large companies," said Fred P. Hochberg, chairman and president of Ex-Im Bank.  

Hochberg added, "These investments in infrastructure better position South Africa to continue to grow its economy and improve the lives of its citizens.  We are excited to be part of these plans that move South Africa forward."

Erik Venter, joint CEO of Comair Limited, said, "We are thrilled to have secured a preliminary commitment from Ex-Im Bank to back the financing of our new fleet of Boeing 737-800 aircraft.  This provides us with cost-effective financing and increases the attractiveness in the international financing market of funding our fleet acquisition.  Ultimately this will ensure that South Africa maintains world class airline services."

On Wednesday, Hochberg announced;

• that after an initial review of the Kusile power plant project under Ex-Im Bank's enhanced due diligence process for high carbon intensity facilities the Bank's board of directors has decided to proceed with a full financial, technical and environmental review of the project.
• After the full review, the transaction to finance the sale of engineering services to Eskom by Black & Veatch of Overland Park, Kansas, will return to the Board for final action.  If it receives final approval this will be the first Ex-Im financing approved for Eskom. The Kusile project has environmentally beneficial features including water conservation technology, a highly efficient boiler, pollution abatement technology, and carbon-capture-ready status and,
• Ex-Im Bank's first-stage approval of financing for the export of General Electric locomotives to Transnet, pending Congressional notification of the Bank's intent to approve the transaction.  If it receives final approval this will also be the first Ex-Im financing approved for Transnet.

In addition, Ex-Im Bank recently gave final approval for $7 million in financing to support the sale of five new Caterpillar off-highway trucks and one new tractor to Eqstra Holdings Ltd., a diversified leasing, industrial, construction and mining equipment importer and distributor.  

Hochberg is in South Africa this week to meet with South African business, banking and government officials and to raise awareness of Ex-Im Bank financing solutions for businesses wishing to purchase U.S. goods and services.

Ex-Im Bank, an independent, self-sustaining federal agency, helps create and maintain American jobs by filling gaps in export financing and strengthening U.S. export competitiveness.  Overall during the fiscal year, Ex-Im Bank authorized a record high of approximately $24.5 billion in loans, guarantees and insurance, including more than $5 billion in authorizations for small businesses.  More information about Ex-Im Bank is available at www.exim.gov.

SOURCE Export-Import Bank of the United States