2005 Angel Summit

October 2005

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EDC in numbers

Crown Corporation of the Federal Government

Supported $54.9 billion in exports and international investments in more than 170 markets around the world

Supported $11.6 billion in 146 developing markets including Brazil, Mexico, China, India and Russia

$20.7 billion total Assets

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Top Countries Volume ($M)

USA $30,587

MEXICO $1,910

JAPAN $1,811

TAIWAN $1,484

CHINA $1,365

Top Countries Volume ($M)

UK $1,235

BRAZIL $983

SOUTH KOREA $827

FRANCE $784

GERMANY $742

EDC Volume (billion)

South & Central

America

6.3%

$3.4

Europe

10.9%

$6.0

Asia / Pacific

14.5%

$8.0

Africa &

Middle East

3.7%

$2.0North America &

Carribean

64.5%

$35.4

Source: EDC Data 2004

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OVERALL ASSESSMENT - BRIC

Source: EDC Data 2003

Source: EDC Data 2003

Business Volume by Region (billion)

QUE$16

31%

ONT $19

36%

WEST$16

31%

ATL$1.2 2%

Customer Base by Region

QUE2,227 38%

ONT 2,062 35%

ATL 307 5%

WEST 1,296 22%

Source: EDC Data 2004

Source: EDC Data 2004

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Canadian BenefitsPolicy to ensure that transactions EDC facilitates generate benefits to Canada;

Direct benefits normally quantifiable like Canadian content on goods and services as well as

employment generationOther economic benefits:

Research and Development spent in Canada Canadian access to global markets Future benefits

Public policy Benefits Customer is a SME Transaction is in developing markets New product / new technology / new market

EDC’s condition for action

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Market Engagement

InternationalStrategic

International Business Development Group

ExportReady

Small

Domestic Exporters and Investors

Specialized Sector Teams

Small Business Group

Offices Across Canada

Grow the pool of exportersNeed to understand and help companiesovercome perceived barriers

35,000 Exporters and a pool of potential companies

Banks

Brokers

Government Entities

Associations

Sponsors/Arrangers

Large

Mid Market

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EDC and Small Businesses

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Short Term Insurance

Account Receivable Insurance

Protect against losses when your foreign buyer can’t or won’t pay

Enter new markets and expand existing ones

Offer your customers more flexible payment terms

Increase in operation line of credit with your financial institution

Risk Management and Working Capital application

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Contract Insurance and Bonding

Performance Security Guarantee

Guarantee issued to the financial Institution

Exporter’s collateral replaced with EDC’s AAA credit

EDC’s risk is 0% weighted by most CFIs

Easier access to issuance of Bank instruments

Access to additional working capital

Enables usage of trade instruments while managing risks and without restricting access to cash

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Contract Insurance and Bonding

Performance Security Insurance

Issued directly to the exporter

Covers 95% of losses if demand against a bank instrument is without reason

Provides additional protection if call due to reason outside seller’s control such as war or cancellation of import/export permits

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Exporter Guarantee Program

Pre Shipment Financing

Covers up to 75% of the Financial Institution loan to the exporter

Terms follow the delivery terms under the commercial contract

Can be used for indirect exports

Term Component possible

Enables additional Financing through a Guarantee to your financial institution

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Financing

Direct Buyer Financing / Bank Guarantee Program

EDC provides a term loan to the foreign buyer in support of a specific contract

15% down payment typically required Loan can be up to 85% of the contract value Generally no recourse to the exporter Guarantee approach also available

Financing solutions to the buyer of Canadian Goods and services

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Financing Equity program

Emphasis is placed on investments that are characterized by:

strong export orientations Expected to generate Canadian benefits of at

least 2:1 over the projected life of the investment.

Total Direct Investment: $ 46.4 million Cumulative exports to date: $ 1.1 billion Fund Investments (Indirect): 5 Capital Advanced: $ 14 million

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Other Programs and Services

Political Risk Insurance

Project Finance

E Services Export Check Export Protect

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Information and Intelligence

Involvement on trade missions-reverse trade missions to drive procurement;

Work with trade commissioners for an integrated approach;

Sector and Geographic strategies

www.edc.ca

1 800 850 9626