Programs -Medium-Term Facilities-
PEFCO's medium-term facilities provide lenders and lessors with a dependable secondary market buyer of multi-year loans and leases financing the export of United States capital goods exports and services. PEFCO offers three medium-term facilities:
Guaranteed Note Facility: for notes guaranteed under an Ex-Im Bank medium-term guarantee (ECP MGA)
Guaranteed Lease Facility: for leases under an Ex-Im Bank medium-term guarantee (ECP MGA)
Insured Note Facility: for notes insured under an Ex-Im Bank medium-term “documentary” insurance policy
Stand-In Lender Facility: for lenders not able to make a loan directly
All Medium-Term Facilities have similar features.
- The lender is PEFCO's client. PEFCO does not purchase notes or leases from exporters.
- All PEFCO purchases are without recourse to the lender or lessor.
- PEFCO will purchase any note or lease structure acceptable to Ex-Im Bank, including financial leases.
- Note and lease amounts range from $10,000,000 to $100,000, and possibly smaller.
- PEFCO will purchase
- Single note, leases or portfolios
- New notes and leases or partially-repaid notes and leases
- Single-disbursement or multiple-disbursement notes and leases
- Buyer credits or supplier credits
- PEFCO interest rates can be floating (LIBOR + spread) or fixed (USTNote + spread).
- The lender typically retains full control over collection of payments, loan documentation, the Ex-Im Bank guarantee or policy, and the processing of claims. PEFCO holds the original note or lease. PEFCO will collect payments for an additional fee.
Small Business Initiative: The PEFCO Small Business Initiative is a direct result of our strong commitment to assist small business exporters (as defined by the U.S. Small Business Administration) in obtaining access to reliable lenders for financing their exports.
The cornerstone of the Small Business Initiative is the PEFCO Small Business Lender Council (the “Council”). The Council is a network of lenders committed to supporting Ex-Im Bank’s outreach to small business exporters. Members of the Council include banks and trade finance companies. Ex-Im Bank participates on the Council as an ex-officio member. The Council has two principal functions: as a funding source for small business exporters and as a forum where Ex-Im Bank can have frank discussions with lenders on subjects of common interest.
The Council’s dedicated website is located at: www.smallbusinesslenders.com