Monthly Archives: August 2012

2012
08/25

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German finance minister says giving Greece more time will not solve its problems

Giving Greece more time to carry out reforms and spending cuts wont resolve the debt-laden countrys problems, Germanys finance minister said Thursday, a day ahead of the Greek prime minister meeting with Chancellor Angela Merkel.

2012
08/16

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Ex-Im Bank: US Firms Waking Up to African Investment

American companies are starting to wake up to huge investment opportunities in Africa, the chairman of the US Export-Import bank, Fred Hochberg said Wednesday.

Hochberg, in South Africa as part of a business delegation alongside US Secretary of State Hillary Clinton, said more US companies must invest in the rich and deep market in Africa.

Many US companies didnt see the need to have an ambitious export profile for many years, but I think theres more of a waking up [to] opportunities here in sub-Saharan Africa, he told reporters.

Hochberg identified potential sectors of investment as energy, aircraft, mining, medical and small businesses.

Clean Energy Receives Financing

This week, Ex-Im Bank unveiled a loan worth $2 billion to finance clean energy in South Africa.

South Africa is the leading US export market on the continent, taking in more than $7 billion worth of goods and services in 2011, 30% more than the previous year.

Hochberg said that last year the Ex-Im Bank signed a memorandum of understanding for the expansion of the energy and agriculture sectors in power-starved Nigeria.

There has been some interest that is beginning to take some hold… high levels of interest in Nigeria, he told reporters.

The bank loans have more than doubled from $14 billion in 2009 to $33 billion last year, mainly in long-term and expensive projects where local banks are uncomfortable.

Power is its critical target area, as well as mining and transport. EX-Im Bank has provided finance to Ethiopia Airlines, Kenya Airways, Angolas TAAG and British Airways South African outfit Comair.

Hochberg will be in Mozambique on Thursday, a country poised to become a major energy player with huge offshore gas finds over the past year.

Copyright Agence France-Presse, 2012

2012
08/16

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Caesars’ 15% Shows Loveman’s Difficult World: Corporate Finance

Caesars Entertainment Corp. (CZR) bonds
with an average yield of almost 15 percent are indicating the
largest US casino owner will have to restructure its $19.9
billion of borrowings by 2016.

While other US-based gaming-company debt yields an
average 9.18 percent, according to Bank of America Merrill Lynch
index data, Las Vegas-based Caesar’s bonds with maturities of
more than three years have spreads to peers that show investors
are concerned it won’t be able to service its longer-term
borrowings.

Caesars has reported five straight quarters of net losses
as gaming demand shrinks in Las Vegas and Atlantic City. The
firm, taken private by affiliates of Leon Black’s Apollo Global
Management LLC and David Bonderman’s TPG Capital for $30.7
billion in 2008, has more than $9 billion of debt due by 2016.

“Given their leverage and interest coverage, we can’t rule
out the possibility it will at some point do a debt exchange or
need to restructure,” Peggy Holloway, senior credit officer at
Moody’s Investors Service said in a telephone interview.

The company will burn through $461 million of cash this
year and $566 million next year, bringing total estimated
liquidity to $1.55 billion on Dec. 31 and $980.6 million at the
end of 2013, analysts led by Susan Berliner at JPMorgan Chase amp;
Co. wrote in an Aug. 6 report.

‘Well Before’

“We retired more than $5 billion of debt and pushed out
maturities until 2015” since the leveraged buyout, Gary Thompson, a spokesman for Caesars said in a telephone interview.

“We continuously monitor our capital structure and will
address those 2015 maturities well before they come due.”

Investors are demanding a 21.03 percent yield on Caesars’
$470.5 million of 10.75 percent bonds due February 2016,
compared with an 8.18 percent yield on notes maturing that month
from Boyd Gaming Corp, according to data compiled by Bloomberg.
The company’s $125.2 million of 5.375 percent securities due
December 2013 yield 7.55 percent, compared with a 6.58 percent
yield on Boyd’s April 2014 debt.

Moody’s rates Caesars Caa1, a level reserved for borrowers
in “poor standing” and subject to “very high credit risk.”
Standard amp; Poor’s grades its unsecured bonds CCC, one level
below the Moody’s ranking, while giving the overall company a
rating of B-, one step higher. Boyd is rated B2 by Moody’s and B
at Samp;P.

Caesars has been losing money since the credit crisis and a
glut of rooms led to the biggest Las Vegas gambling slump on
record. Second-quarter revenue declined almost 1 percent at
Caesars resorts in Las Vegas and 8.6 percent in Atlantic City,
the company said in an Aug. 6 statement.

Widening Loss

The company reported a net loss of $241.7 million or $1.93
a share, for the quarter, compared with a loss of $155.5
million, or $1.24, a year earlier.

“The world since April or May has gotten more difficult,”
Gary Loveman, Caesars’ chairman and chief executive officer,
said on an Aug. 6 conference call to discuss second-quarter
results with analysts and investors. “There’s trepidation on
the part of consumers to spend at the rate they have
historically.”

Declines in consumer confidence and slow payroll expansion
have dampened discretionary spending for items such as gaming,
Moody’s analysts led by Holloway wrote in a June 26 report.

‘Distressed Levels’

“Current earnings barely cover the company’s interest
expense,” Holloway said. “What distinguishes Caesars from its
peers is that it doesn’t have exposure in Asia, which is a
faster-growing market, and its absolute debt burden is higher,”
she said.

Caesars bonds lost 1.9 percent in July, the most among US
casino companies other than Indian gaming issuers, according to
Bank of America Merrill Lynch index data. Eight of the 10
highest-yielding bonds in the company’s High-Yield Gaming index
are Caesars.

Yields on Caesars bonds due in February 2016 are 14.8
percentage points more than those on MGM Resorts International’s
$237.9 million of 6.875 percent bonds due April 2016, which
traded at 6.26 percent on July 13, according to Trace. Caesars’
December 2013 notes trade at a 5.8 percentage point spread to
the 1.75 percent yield on MGM’s November 2013 securities.

Caesars’ closest maturity is its $5 billion commercial
mortgage backed securities in 2013. The company has the option
to extend the maturities twice, for one year each, in exchange
for 50 basis-point fees, Eric Hession, senior vice president of
finance and treasurer, said on the company’s earnings call.

Harrah’s Entertainment

“The issue is that this LBO is already four years old and
is not doing that well for the sponsors,” Chris Snow, an
analyst at CreditSights Inc. in New York, said in a telephone
interview. “The rest of the industry is better capitalized than
these guys. If trends continue to go against them, it could
become obvious that they can’t compete in their existing
markets.”

The company, formerly known as Harrah’s Entertainment, was
founded as a Reno, Nevada, bingo parlor in 1937. It grew by
acquisition after 1995, culminating in the $9.3 billion purchase
of Caesars Entertainment Inc. in June 2005. Apollo and TPG then
bought Harrah’s, receiving as much as $22.3 billion in financing
to fund the biggest private-equity buyout of a casino operator.

Harrah’s changed its name to Caesars after it raised $16.3
million in February selling 1.81 million shares at $9 each, the
company said in a statement at the time. The stock fell 11 cents
a share to $8.04 at 10:54 am in New York, after reaching an
all-time low of $7.98.

‘Increased Competition’

“The IPO didn’t bring a material amount of cash into the
company,” Snow said. “What it did was create liquidity for
initial investors and give optionality to get a debt-for-equity
swap, but otherwise it’s pretty neutral to the story.”

A debt-for-equity swap is a possibility “in the event
equity markets for casino stocks improve,” Loveman told
investors on the call. A share price of “$8 and change is not a
compelling price to receive for issued equity.”

Caesars is trying to reduce its debt burden by growing its
earnings and is partnering with local investors to develop new
properties as well as sell some assets to increase liquidity.,
Kim Noland, an analyst at debt research firm Gimme Credit LLC
wrote in a June 20 report. The casino company announced the sale
of Harrah’s St. Louis to Penn National Gaming Inc. in May for
$610 million.

“There are headwinds from the consumer, increased
competition mostly in Atlantic City, and they have a pretty
sizable debt load with upcoming maturities in 2015,” JPMorgan’s
Berliner said in a telephone interview. Those borrowings will
have to be refinanced or extended, she said.

“We want some deleveraging from the debt side, so I think
debt-for-equity makes sense,” Berliner said. “The question is
how much could they get done, and how many people would be
willing to do it.”

To contact the reporters on this story:
Krista Giovacco in New York at
kgiovacco1@bloomberg.net;
Sarika Gangar in New York at
sgangar@bloomberg.net.

To contact the editor responsible for this story:
Faris Khan at
fkhan33@bloomberg.net.

2012
08/16

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Standar Chartered finance chief Meddings cursed Americans: colleague

NEW YORK (Reuters) – Standard Chartered Plcs Group Finance Director Richard Meddings cursed Americans in a conversation cited by a New York watchdog pursuing a money laundering case against the British bank, people familiar with the situation said on Wednesday.

However, Standard Chartered executive Ray Ferguson who attended the 2006 meeting in question, said Meddings remark – rendered by the regulator as You f—ing Americans – was not followed by the complaint about US financial sanctions on Iran which was alleged by the New York state banking regulator.

And Standard Chartered CEO Peter Sands told reporters on Wednesday: We dont believe the quote was accurate.

In a document alleging the British bank hid $250 billion of illegal transactions tied to Iran, the New York State Department of Financial Services quoted an unnamed Standard Chartered executive director saying in 2006 at a meeting about Iran sanctions: You f—ing Americans. Who are you to tell us, the rest of the world that were not going to deal with Iranians?

But Ferguson, who was Chief Executive for the bank in the Americas at the time and is now Singapore CEO, told Reuters that, while the exchanges had been heated among colleagues and Meddings had used the expletive, it had not been followed by the reported comment on US regulations.

Ferguson said Meddings did not, to his recollection, say the second part of the quotation attributed to him in the regulators account: I do not recognize the quote that has been attributed to Richard, he said.

It was not clear to what Meddings had in fact referred.

BANKS RESPONSE

A second source also named Meddings, 54 and a possible future CEO of Standard Chartered, as the speaker of the phrase that has been the most eye-catching piece of evidence quoted so far. The regulator has threatened to strip Standard Chartered of its banking license, dubbing it a rogue institution.

The bank strongly denies the regulators figures, saying that its own researches had found only a tiny proportion of Iran-related transactions – totaling less than $14 million – were questionable under US sanctions rules.

Meddings, one of five executive directors at the time, has not responded to repeated requests for comment.

Sands said: I think the executive director was Richard at the time.

On the basis of what we have looked at thus far … it was a recollection of a meeting several years before. No one at that meeting claims to have made that statement, so we dont know whether the quote is accurate.

The regulator said in the order issued on Monday that in October 2006, Standard Chartereds top official for business in the Americas warned in a panicked message that the banks Iranian dealings could cause catastrophic reputational damage and serious criminal liability.

A group executive director in London then shot back the earthy response, according to a New York branch officer quoted in the order. The reply was succinctly and unambiguously communicated and showed obvious contempt for US banking regulations, the regulators order said.

Meddings, an Oxford graduate and accountant by profession, became group finance director of the bank shortly afterwards.

As a group executive director he had been in charge of growth and governance across Africa, the Middle East, Pakistan, Europe and the Americas. He had also spent time as executive director in charge of risk.

The loss of a New York banking license would be a devastating blow for a foreign bank, effectively cutting off direct access to the US bank market.

(Reporting by Carrick Mollenkamp; Additional reporting by Steve Slater in London and Kelvin Soh in Hong Kong; Editing by Alastair Macdonald)

2012
08/14

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Key considerations in getting a reverse mortgage

LOS ANGELES Reverse mortgages represent an alluring proposition for seniors: Stay in your own home while the bank pays you either a lump sum or a stream of payments to help supplement your retirement income.

For some, that arrangement can help bring peace of mind. Others will scoff at the hefty fees and restrictions involved. And in many cases, alternative options, such as using ones home as collateral for a loan from a family member, might be a better fit.

Types of reverse mortgages vary, but generally, a reverse mortgage allows homeowners age 62 or older to borrow against their homes equity. They can opt for a lump sum, line of credit or regular payments, and dont have to pay a monthly mortgage. The homeowner retains title and must pay insurance and property taxes while living there.

The loan and fees are due once all parties listed on the deed die, or the home is vacated for 12 straight months. The home is usually sold, and the proceeds from the sale are used to pay off the loan, plus interest and fees.

The interest on the loan balance is typically calculated monthly and accrues over time. So, if you elect to receive regular payouts, for example, the amount you owe, plus interest, grows. When the loan is repaid, the lender also collects all the compounded interest.

Here are six tips experts recommend when considering whether to get a reverse mortgage:

1. PUT IT OFF

Even though homeowners can qualify for a reverse mortgage as early as age 62, experts suggest putting it off as long as possible.

The longer you wait, the more you can borrow against your equity. You also stand to save more money on interest if you put off the timing of the loan or when you start receiving payments. Since, the longer the loan period, the more interest adds up.

Another consideration: the sooner you start depleting your home equity, the greater the chance that you may not have enough to meet your needs when youre older, says Noreen Perrotta, finance editor at Consumer Reports.

The troubling trend now is that people are taking reverse mortgages as soon as theyre qualified to do so, she says. Life expectancy being what it is, if youre tapping your home equity at 62, you have to wonder whats going to be left at 82.

While reverse mortgages are intended to supplement retirement income, many borrowers are opting to take out loans at younger ages. That could increase the risk that they will go broke later in life, according to a report issued in June by the Consumer Financial Protection Bureau.

2. UNDERSTAND REVERSE MORTGAGE TYPES

Reverse mortgages generally fall into three categories, Home Equity Conversion Mortgages, or HECMs, which are backed by the federal government; proprietary reverse mortgages, which are essentially private loans; and, single-purpose reverse mortgages, which come with restrictions as to what you can spend the money on.

By far, the more commonly available reverse mortgages today are the HECMs. Thats because, as with other types of home loans, the government has become the main purchaser of reverse mortgages since the housing collapse.

Lenders approved by the Federal Housing Administration offer HECMs, which makes the loans widely available. Borrowers dont have to meet any income, credit or medical criteria to qualify, and are free to use the funds any way they please.

The Federal Trade Commission says most homeowners with a low or moderate income can qualify for the single-purpose loans, which also are the least expensive. But they may not be available in all areas.

3. EVALUATE FEES AND INTEREST RATES

Reverse mortgages involve a slew of fees, such costs for closing and servicing the loan, origination fees, a premium for mortgage insurance (in the case of federally backed loans), and, of course, the interest rate.

For HECMs, origination fees can range from 2.1 percent to 8.3 percent of the loan amount, depending on the homes loan-to-value ratio. Mortgage insurance premiums on HECMs are charged monthly and based on an annual rate of 1.25 percent of the loan balance.

Like regular home loans, reverse mortgages can come with a fixed interest rate or one thats adjustable, meaning it can rise or fall over time. ARMs also can potentially lessen the amount of equity available to the borrower, because more of the equity could end up going toward interest.

In the case of a HECM, the borrower is required to meet with a counselor from an independent housing agency who must explain how much the loan will cost, as well as possible alternatives, according to the FTC.

4. AVOID LUMP SUM PAYOUT

Generally, reverse mortgages that come with a fixed interest rate require the borrower to take the lump sum payout, and some 70 percent of reverse mortgage borrowers opt for the one-time payment, according to the Consumer Financial Protection Bureau.

That option makes sense for borrowers who want to get as much of their money as they can at once. Many borrowers who opt for the one-time payment do so as a way to refinance traditional mortgages or make another large purchase.

But it puts them in a position where they have to manage that money, while continuing to pay their property taxes, homeowners insurance, upkeep on the home and other costs. And if they should run out of money, they could lose the home to foreclosure.

Some 9.4 percent of reverse mortgage borrowers are at risk of foreclosure because they havent paid taxes and insurance, according to a report by the CFPB.

Also, if you dont need all the money at once, you end up paying more interest than youre earning.

A better option for those looking for a steady stream of income is to take a credit line, suggests Jack Guttentag, professor of finance emeritus at the Wharton School of the University of Pennsylvania and operator of mortgage information website MTGprofessor.com.

Such an option is only available as an adjustable-rate loan, but borrowers can elect not to draw on the credit line only as needed, preserving their home equity.

In contrast, borrowers who take the lump sum payout can end up paying more than 5 percent in fees, Guttentag says.

And where are you going to invest today to earn more than 5 percent? he says.

5. CONSIDER HEALTH CARE NEEDS

If a borrower becomes ill and has to be moved to an assisted living facility for more than 12 months, their reverse mortgage will come due, because reverse mortgages require borrowers to live in their home.

In the case where a borrowers spouse has yet to turn 62, should the borrower become ill and leave the property for more than 12 months or die, the loan also would come due.

6. EXPLORE ALTERNATIVES

Homeowners should investigate whether there are any alternatives available before borrowing against the equity in their home, particularly if theyre weighing drawing funds soon after they meet the minimum age requirement.

If you have to tap it at that early age, you might be better off selling the home, Perrotta says.

The advantage of selling a home is you can draw all the equity you have built up. In a reverse mortgage, you only get a portion of that, because you have to cover the fees and interest costs.

Of course, if you sell your home, you have to find and pay for a new place to live. Some options include moving into a smaller, more affordable home.

Another option: Selling the property to relatives and then renting it back from them so the property stays in the family.

2012
08/14

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Baht Falls After Finance Minister Seeks Lower Borrowing Costs

Thailand’s baht fell, snapping a two-
day gain, after Finance Minister Kittiratt Na-Ranong said the
currency needs to weaken and borrowing costs should be reduced
to support Southeast Asia’s second-largest economy.

The baht declined 0.2 percent to 31.54 per dollar as of
3:16 pm in Bangkok, according to data compiled by Bloomberg.
Its three-month implied volatility, a measure of exchange-rate
swings used to price options, fell 24 basis points, or 0.24
percentage point, to 6 percent. The yield on the 3.25 percent
bonds due June 2017 held at 3.12 percent, according to data
compiled by Bloomberg.

The Bank of Thailand has kept its benchmark interest rate
unchanged at 3 percent for four straight meetings after cutting
it in January. The rate “should be at 2.5 percent,” Kittiratt
said yesterday in Bangkok, adding that he wants to see the baht
weakening slightly to help exporters. The currency reached 31.27
on Aug. 6, the strongest level since May 22. The MSCI Asia-
Pacific Index rose for a third day on speculation global central
banks will take steps to boost growth.

“Asian countries’ attractiveness is their higher yields,
therefore the prospect of a rate cut would put some downward
pressure on the currency,” said Hideki Hayashi, a researcher at
the Japan Center for Economic Research in Tokyo. “You may also
expect some importer demand for dollars when the baht is near
its recent high. However, sentiment itself is not too weak with
gains in stocks.”

The Bank of Thailand will next review monetary policy on
Sept. 5. Exports, which account for about two-thirds of the
economy, dropped 4.3 percent in June from a year earlier, the
third decline in four months, while imports increased 5 percent,
according to central bank data.

To contact the reporter on this story:
Yumi Teso in Bangkok at
yteso1@bloomberg.net

To contact the editor responsible for this story:
James Regan at
jregan19@bloomberg.net

2012
08/14

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Memo to finance professionals: Broaden your horizons, take a broader role in …

Companies that empower finance professionals to take a broader role in the future of the business are getting it right.

A new CGMA report suggests better-performing companies offer broader responsibilities to the finance department. The business managers still expect the accounting basics, but they also seek insight and advice.

The report, New Skills, Existing Talents – The new mandate for finance professionals in supporting long-term business success, shows that a company is better equipped to reach its goals when finance professionals take on a more influential role in management decisions.

The responsibility of getting finance professionals to think about their job in a different way falls to both the employee and employer. The companies must invest time and training but also make the role change more of a mandate to the finance professional.

“Beyond their core technical skills, finance professionals must move beyond their comfort zones to build business and commercial capabilities and managerial skills,” the report says.

Business managers said that finance professionals need to offer insight and advice, not just information, if they intend to take on a broader role. Finance professionals also need to offer practical solutions and not isolate themselves from the business. Communication skills also are important.

“Accountants are very good at managing processes, but they often don’t have the wider business understanding or the strategic overview which they would need if they aspire to contribute more to ensuring the success of the business,” Hugh Simons, COO of Ropes amp; Gray LLP, says in the report. “An accountant will produce a very comprehensive and accurate report, which is a strength, but often what management really need is some actionable insight supported by analysis that is directionally correct.”

The report’s findings include:

  • Business needs for basic accounting information are being met, but there is an unmet need for better nonfinancial information.

  • Finance professionals recognise the skills they need to shift their roles, but they’re sometimes too busy with essential duties, such as internal reporting requirements, to be part of decision-making.

  • Higher-performing organisations count on finance for managing risk and complexity at a much greater level than other companies rely on finance for those roles.

  • Finance managers have a greater view of their value than other managers do. More than 70% considered themselves “highly” or “greatly” valued. Fifty-four per cent of non-finance managers assigned those value qualities to finance managers.

The New Skills, Existing Talents report’s conclusion says finance professionals have the skills to move forward but that a change in priorities is needed. Overcoming inertia, their own and the company’s, is the first step. The report lists several actions for management accountants to gain a broader perspective and add value to their company. Among the actions:

  • Leverage “big data” to focus on forward-looking information and insights for decision-making.

  • Be active in understanding and linking intangible, nonfinancial data with financial numbers. Translate those numbers into insight.

  • Invest time in communicating strategies on efficiency measures and other value-driven initiatives to the entire business.

Additional CGMA resources:

“The Fast Track to Leadership”: In many organisations, finance is supporting the business to meet its strategic objectives and building a sustainable business model so taking it beyond its more traditional role of finance stewardship and operational responsibilities. In these forward-looking organisations, finance is evolving from a focus on the transactional and cost efficiency areas through an analytical and decision support stage to a real strategic focus where it can make real impact.

“The Invisible Elephant and the Pyramid Treasure”: There has been an unprecedented change in the demands of leadership over the past decade – change that has highlighted a need for leaders who prioritise the true stakeholders of their organisations – customers, employees, suppliers, the community, the planet and the shareholders – rather than putting personal reward first.

“Rebooting Business: Valuing the Human Dimension”: The human dimensions of business–for example, customer and supplier relationships, talent development as well as intellectual capital–will be the focus in the months ahead.

–Neil Amato (namato@aicpa.org) is a CGMA Magazine senior editor.

2012
08/12

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CPI(M) opposes Finance Minister’s proposals

Strongly criticising Finance Minister P. Chidambaram’s initiatives to regain the confidence of all stakeholders’’ announced earlier this week, the Communist Party of India (Marxist) has said the measures announced were meant to help multinational companies non-payment of tax on assets they acquire in India and to facilitate tax avoidance by foreign and Indian corporates.

In a statement issued here, the CPI (M) Polit Bureau said the Finance Minister has made his intention clear to reverse the retrospective effect in the tax law. This retrospective provision was in the Finance Bill which was adopted by Parliament. No change can now be made without the Parliament’s approval, it said.

Reversing this measure means helping Vodafone to avoid paying a tax claim of Rs. 12,000 crore on acquisitions in India. Other step announced is to review the General Anti Avoidance Rules (GAAR) which was meant to plug the loopholes which enable tax avoidance by companies using the Mauritius route,’’ the statement said.

Mr Chidambaram had announced a roadmap for reversing last two years’ moderate growth which included tackling high inflation, possible cut in interest rates, a progressive tax regime and financial consolidation through modification or fine-tuning of policies.

The CPI (M) said that the Finance Minister has set out a neo-liberal package of measures which seeks to reverse the decisions taken by Parliament and his own government.

It is obnoxious to argue that in order to regain ‘investor confidence’, tax laws should be so amended as to violate principles of national justice in order to provide avenues for profit maximization at the expense of public revenue, the party statement pointed out.

The Polit Bureau demanded that the government implement the retrospective provision in the law and work out effective rules under the GAAR.

2012
08/12

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Business Oregon receives development finance award

Business Oregon, the state’s economic development agency, has received an award for their work in development finance.

The agency won the 2012 Council of Development Finance Agencies (CDFA) Finance Agency Award for the first time, Business Oregon announced today in a press release. Agencies from 50 states were considered for the award.

Based in Ohio, CDFA, is a national association aimed at the advancement of development finance concerns and interests. The association is made up of members of the development finance community representing 300 public, private and nonprofit development groups, according to their website.

Business Oregon’s finance team provides a variety of services to businesses and lending partners such as revolving loan funds for working capital, loans for startup businesses and tax-exempt industrial bond financing for manufacturers.

Business Oregon, the state’s economic development agency, has received an award for their work in development finance.

The agency won the 2012 Council of Development Finance Agencies (CDFA) Finance Agency Award for the first time, Business Oregon announced today in a press release. Agencies from 50 states were considered for the award.

“With the difficulties in the economy, Business Oregon has take a different approach and has actually expanded and pushed harder to support business, industry, real estate and job growth in the state,” said Toby Rittner, President and CEO of CDFA, in an email.

Based in Ohio, CDFA, is a national association aimed at the advancement of development finance concerns and interests. The association is made up of members of the development finance community representing 300 public, private and nonprofit development groups, according to their website.

Business Oregon’s finance team provides a variety of services to businesses and lending partners such as revolving loan funds for working capital, loans for startup businesses and tax-exempt industrial bond financing for manufacturers.

The finance team, between July 1, 2011 and June 30, 2012, completed financing agreements worth more than $70 million funding job creation and retention efforts by more than 160 Oregon businesses, the press release stated.

Rittner also pointed to the Business Oregon’s New Markets Tax credit program as an example of the agency’s accomplishments.

“We found that they were a leader in our industry during a time when it was very easy to retract services and become restrictive,” he said.

CDFA is proud to honor Business Oregon for their excellence in development finance. Their work as a state agency is cutting-edge, innovative and an example of best practices in our industry, said Toby Rittner, President and CEO of CDFA, in a statement.

CDFA recently revamped their awards to include a best state and local agency. Past winners include: Arkansas Development Finance Authority, Invest Atlanta, the City of Gahanna, OH, the Downtown Development Corporation, Louisville, KY and National New Markets Fund LCC.

2012
08/11

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Abu Dhabi airport contractors near $1.1 bln finance deal- sources

  • Link this
  • * Mashreq, First Gulf Bank, Al Hilal among banks on deal
    * Financing to be 80 pct sharia-compliant, 20 pct
    conventional
    * Deal is second big sharia-compliant regional project
    finance deal in Aug
    * Islamic financing facility for Medina Airport signed…

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