* Bank authorized $3 billion for Dreamliner financing to
* To date, disbursements total $700 million to three
WASHINGTON Jan 17 The U.S. Export-Import Bank
said on Thursday that it does not expect to incur any losses on
approximately $3 billion in financing that it has authorized to
help foreign companies buy Boeing's 787 Dreamliner passenger
jet, which has been grounded because of battery-related
"None of Ex-Im Bank's financings for 787 Dreamliner aircraft
are at risk during, or after, this important FAA (Federal
Aviation Administration) review to ensure passenger safety,"
Daniel Reilly, senior vice president for communications at the
bank, said in response to a query.
"In addition to taking security interests in the Dreamliners
themselves, the bank has protected taxpayers by obtaining
guarantees and cross-collateralization - that is, the bank has
security interests in other aircraft in addition to the financed
Dreamliners," Reilly said.
The bank provides both direct loans and loan guarantees to
help U.S. manufacturers sell their goods around the world.
In recent years, it has been a target of conservative
Republicans in Congress, who say the government should not be
involved in financing exports and worry taxpayers could be stuck
with the bill in the case of default.
Boeing is both the largest U.S. exporter and the biggest
recipient of Ex-Im Bank financing support.
The FAA temporarily grounded Boeing's new commercial
airliner, the 787, on Wednesday, saying carriers would have to
demonstrate the batteries were safe before the planes could
Poland's state-controlled LOT Airlines said it would seek
compensation from Boeing for grounding its two planes, adding to
concern that a spate of incidents plaguing the Dreamliner could
lead to bigger problems for the U.S. manufacturer.
Ex-Im Bank has authorized financing of about $3 billion to
help Boeing sell the Dreamliner to five airlines, Reilly said.
To date, the bank has guaranteed disbursements of about $700
million to three airlines, Reilly said.
Over the past 25 years, the bank has provided about $100
billion in financing to help U.S. companies export about 1,800
commercial aircraft, he added.
"Ex-Im has collected over $3 billion in fees, and sustained
a single loss of $4 million on one aircraft," Reilly said.
That is about four-thousandths of 1 percent of all the
bank's commercial aircraft authorizations, he said.