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WASHINGTON, D.C. — The Export-Import Bank of the United States (Ex-Im Bank) has approved the first three lenders to qualify for its new Medium-Term Delegated Authority (MTDA) Program - Citibank, N.A., New York, N.Y.; UPS Capital Business Credit, Windsor, Conn.; and NorthStar Trade Finance, Inc., Vancouver, British Columbia, Canada.

Under the program, approved lenders can increase use of Ex-Im Bank's medium-term guarantees supporting commercial loans for foreign buyers of U.S. capital goods such as machinery and equipment. The program is designed to reduce transaction turnaround time and provide additional support for U.S. small-business exports.

Initially Citibank will use the MTDA program in Mexico, originating transactions through its wholly-owned subsidiary Banamex, the second largest bank in Mexico. UPS Capital Business Credit, a subsidiary of UPS, is one of Ex-Im Bank's highest-volume medium-term lenders. NorthStar Trade Finance, which is owned by several Canadian financial institutions, specializes in providing trade finance services to small and medium-sized exporters.

We are gratified by the diversity of these outstanding initial partners, said Ex-Im Bank Chairman and President James H. Lambright. They demonstrate the broad appeal that we believe the MTDA Program will have.

James Morrison, president of the Small Business Exporters Association of the United States (SBEA), said: We commend Ex-Im Bank and congratulate the three selected lenders for helping streamline exporters' access to Ex-Im Bank medium-term financing.

Under the program, approved lenders have delegated authority to underwrite and authorize Ex-Im Bank-guaranteed medium-term transactions without prior Ex-Im Bank review and approval. In each transaction, the lender will be required to share the credit risk by retaining 10 percent of the commercial risk but will also retain 10 percent of the Ex-Im Bank exposure fee. Transactions involving small-business exporters or small-business suppliers will be eligible for increased Ex-Im Bank risk coverage, and the lender's commercial-risk retention will be reduced to 8 percent.

Lambright added that the lenders will have the thorough knowledge of Ex-Im Bank policies and credit standards to expedite approvals and help U.S. exporters offer timely financing to their foreign customers.

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Loans approved under the program may have repayment terms of two to five years. Transactions requiring a higher degree of specialized judgment, such as those involving complex financing, environmental or economic-impact analysis, may be excluded. Excluded transactions may be submitted for consideration under Ex-Im Bank's standard medium-term guarantee program.

Interested lenders may contact Tom Fitzpatrick, Trade Finance and Insurance senior relationship manager, at (202) 565-3642, or Charles Goohs, senior Strategic Initiatives officer, at (202) 565-3790. Detailed information on the MTDA program is available on the Internet at www.exim.gov.

Ex-Im Bank is the official export-credit agency of the United States. The independent, self-sustaining federal agency, now in its 74th 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 2007, Ex-Im Bank authorized $12.6 billion in financing to support an estimated $16 billion of U.S. exports worldwide. For more information, visit www.exim.gov.