SOURCE: Fulton Financial Corporation

June 30, 2005 14:32 ET

New Type of Loan Guarantee Booked Through Lafayette Ambassador Bank and Fulton Bank's International Group

LANCASTER, PA -- (MARKET WIRE) -- June 30, 2005 -- Fulton Financial Corporation (NASDAQ: FULT) today announced that one of its subsidiary banks, Lafayette Ambassador Bank, worked with Fulton's International Group, the U.S. Small Business Administration (SBA) and the Export Import Bank of the United States (ExIm) to provide export financing through the newly formed SBA-ExIm Co-guarantee Loan Program. This loan program is so new that Lafayette Ambassador is the first bank in the Eastern part of the country to book this type of loan guarantee.

The loan guarantee was first provided for Universal Industrial Gases, Inc. (UIG), a small business customer of Lafayette Ambassador. UIG is a re-manufacturer of industrial gas producing plants, buying and reconditioning gas manufacturing equipment and selling it internationally.

The Co-Guarantee Loan Program provides seamless loan guarantee authority of up to 90 percent on a $2 million export business loan. The loan proceeds provide much-needed working capital for firms like UIG that ship products overseas. Often in international business transactions the payment collections timetables are lengthier than in domestic transactions.

"This is great! We now are seeing our federal government working like a business. I thought ExIm Bank usually worked with larger companies, like Boeing Aircraft. Now they are helping a small, fast-growing business like mine by joining in partnership with the U.S. Small Business Administration," said Samuel D. Piazza, Sr., Chief Executive Officer and President of UIG.

"It's great to know that our local bank, Lafayette Ambassador, understands our unique financial needs," continued Piazza. "They joined with their parent company's International Department, which gave us access to a wider array of products and services, including access to the SBA - ExIm Bank program. Without this complex level of financing, we would find it almost impossible to do business across the globe."

"By partnering with Fulton's International Group, our bank can provide complex, high quality global banking services like SBA and ExIm Bank financing products," said Robert Rupel, chairman, president and CEO of Lafayette Ambassador Bank. "The International Group gives all of Fulton Financial's customers access to sophisticated international services that allow them to compete with larger, global firms. It helps enable a strong community bank like Lafayette Ambassador to be a "local bank with global reach."

"The SBA - ExIm Co-Guarantee Loan program is an example of how federal agencies can work together to eliminate redundancy and improve efficiency of services to the taxpayer," said Robert Elsas, Regional Manager, SBA International Programs Group. "With the help of this loan guarantee program, banks are more likely to extend higher lines of credit to qualified businesses, which in-turn allows companies to increase their overseas business."

Fulton's International Group is a designated lender for this program, and provides a variety of international services such as letters of credit, export/import financing, and foreign exchange, to customers of Fulton Financial Corporation's 13 subsidiary banks. For more information on Fulton Bank's International Group, contact Glenn Roe, Senior Vice President/Manager of the International Group, at 717-291-2710 or visit fultonbank.com.

For more information about the SBA - ExIm Co-Guarantee Program, contact Robert Elsas at 215-597-6110 or visit their website at www.sba.gov.

2005

Contact Information

  • Contact:
    Laura Wakeley
    Phone: 717-291-2739