Loan Guarantees to Turkey for Helicopter Purchases

Decision of the U.S. Export-Import Bank Board of Directors

January 16, 2003

Explanatory Note: On January 16, the Export-Import Bank guaranteed $324 million worth of loans to Turkey. The loans will be used to purchase eight Sikorsky S-70B Seahawk and six UH-60 Black Hawk helicopters. According to media reports, the U.S. is offering Turkey a substantial increase in military and economic aid, as part of the ongoing negotiations over U.S. use of Turkish bases in a possible war with Iraq.

ITEM NO 7
Country TURKEY                                 AP061856XX
Request for AMENDMENT OF FINAL COMMITMENT
Applicant      MINST OF NATIONAL DEFENSE(SSM), 06100 BAHCELIEVLER ANKARA TURKEY
Borrower       MINST OF NATIONAL DEFENSE(SSM), 06100 BAHCELIEVLER ANKARA TURKEY
Guarantor      UNDERSECRETARIAT OF TREASURY, ANKARA 06510 TURKEY
Buyer          MINST OF NATIONAL DEFENSE(SSM), 06100 BAHCELIEVLER ANKARA TURKEY
End-user       MINST OF NATIONAL DEFENSE(SSM), 06100 BAHCELIEVLER ANKARA TURKEY
Exporter       SIKORSKY AIRCRAFT CORPORATION, STRATFORD CT
Supplier       SIKORSKY AIRCRAFT CORPORATION, STRATFORD CT
Gteed Lender   JPMORGAN CHASE BANK, BROOKLYN NY
Project Description NATIONAL SECURITY
Product Description HELICOPTERS
Repayment Term  10 YEARS
Board Decision APPROVED