Thursday, July 09, 2015

Expanding Export Opportunity for All American Businesses

Omaha, Nebraska, home of Warren Buffett's residence and Berkshire Hathaway, Inc., is starting to feel the pinch on the future of Export-Import (Ex-Im) Bank of the United States.  Congress last week refused to renew the U.S. Export-Import Bank’s charter.

Thus far, the following top five Nebraska companies have received financing from Ex-Im:
  1. Warren Distribution, Omaha: $13.6 million
  2. Preferred Popcorn, Chapman: $13.3 million
  3. T-L Irrigation, Hastings: $5 million
  4. Green Plains Trade Group, Omaha: $3.7 million
  5. Oxbow Enterprises, Murdock: $3.5 million
Source:  Export-Import Bank of the United States, as of July 6, 2015.

Rumor has it that lawmakers could reinstate the bank’s charter this month, but until then, companies like the ones shown above will have to go elsewhere for financing because they can't gain access to new Ex-Im funding.
How Ex-Im works:  For U.S. companies looking to expand abroad, sometimes banks deem certain countries too risky and won’t lend for an expansion. Private insurers also might require a minimum insurance premium, making it too expensive to insure shipments for smaller companies. That’s where Ex-Im has stepped in.
Read more:  Area companies anxiously watch future of Export-Import Bank

Related posts.

No comments: