TYPICAL TERMS & CONDITIONS

Supplier credit cover enables exporters to insure trade receivables arising from a single export transaction (delivery of goods or rendering of services)

Contracts between €1m & 10m Finance only in Euros

Average interest rate of 3-7% p.a., depending on maturity and credit worthiness of supplier 6 to 60 months finance, if more than 2 years at least 15% down payment required

Repayment plan quarterly or bi-annually

TARGET PROFILE OF POTENTIAL CUSTOMERS

The Bank does not need any figures of the foreign debtors, as these are generally subjected to a blanket rating

An international credit check is obtained from the bank itself. In exceptional cases, figures are required from the importer

The annual turnover of the foreign debtor (importer) must currently show a turnover of less than EUR 1 billion

No military or defense

WHAT DATA & DOCUMENTS ARE REQUIRED?

Description of goods / project memorandum

Company name / address of the foreign customer Contract value

The amount of the deposit Amount of interim payments Delivery date

Date of operational readiness Forfaiting amount

Financing term

Repayment structure (half-yearly installments / quarterly installments) --- Half-yearly installments are preferred

Collateral provider (Euler Hermes Bund)

SUPPLIER’S BENEFITS

Limitation of financial loss resulting from commercial and political risks in international projects High cover ratios: political risk 85 - 95%, commercial risk usually 95%

Long repayment terms, difficult countries and major projects

Small fees – also for minor projects Guarantees in EURO or contractual currency

WHAT ARE OTHER FRAMEWORKS CONDITIONS?

Investment goods, e.g. machines, medical devices, renewable energy equipment Goods that are at least 51% of the Country (Germany, Austria & Switzerland) origin

Projects including services component are possible, if share of services is not exceeding 30% Maximum local costs of 23% in projects (e.g. for energy projects)