Exporter: Phoenix Solutions Company – Minneapolis, Minnesota
Destination: Worldwide, especially Japan and Canada
Working Capital Lender Loan Guarantee
Jobs Supported: 22
Phoenix Solutions, a producer of high temperature heating equipment used to reduce waste or change waste to other more acceptable, environmentally-friendly forms, historically sold a majority of their products through exports. Without the Ex-Im Bank lender loan guarantee, Phoenix would have had difficulty securing its financing. As a result, Phoenix management is encouraged by a 15 percent sales growth the past two years despite foreign customers having trouble getting project money. The guarantee provided Phoenix Solutions a line of credit used to support standby letters of credit and to fund needs relating to specific contracts.
The plasma arc technology they use is a proven method for reducing landfill and low-level radioactive waste and sells worldwide with its largest sales coming from Japan and Canada. A working capital loan from Bremer Bank of St. Cloud, Minnesota, in 2005 for $2.5 million has since doubled to $5 million in 2010. Finally, 22 jobs, as well as suppliers, were supported from the collaboration of Phoenix Solutions and the Bank.
"By providing us with the line of credit, it has allowed us to service our international markets and provide payment terms and delivery schedules to satisfy our customers," said Douglas Frame, President.
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