1. Wind Energy in Vietnam
Export Finance in Asia with LBBW.

2. LBBW at a glance. Some of our key business partners
One of the Top 5 German Banks with total assets of EUR 266bn (USD 287bn) as of December 31, 2014.
Universal bank with over 200 offices world-wide
17,000 retail branches (savings banks) in Germany
Coverage of large and medium-sized enterprises in Germany, Austria and Switzerland
Approx. 12,000 employees worldwide
Singapore Branch as regional hub for ASEAN
Asian Branches and Representative offices in Seoul, Mumbai, Jakarta, Hanoi, Shanghai, Beijing and Tokyo 2

3. Rhineland-Palatinate
LBBW at a glance.
Global network of LBBW
German Centre
LBBW locations abroad
EUROPE: Prague, Vienna, Zurich
Beijing
Hanoi
Singapore
Mumbai
London
Mexiko City
New York
Sao Paulo
Tokyo
Moscow
Dubai
Seoul
Jakarta
Shanghai
Delhi/ Gurgaon
GERMANY
Rhineland-Palatinate
Saxony
Baden-Württemberg 3

4. Our Expertise in Export Financing.
To support their exporters, many countries have mandated privately managed Export Credit Agencies to provide sovereign cover to finance worldwide supplies to importers.
LBBW supports Asian importers by providing tailor-made long term financing solutions.
We offer
experienced global teams with extensive knowledge
close cooperation and personal contacts with the ECAs
supplemental product range such as down payment financing, financing of local costs, bridge financing etc.
With our strong team of specialists, we have an excellent track-record in this field.
We work closely with the export credit agencies of Germany, Austria, Switzerland, and others. 4

5. Export Financing with LBBW.
General Description of an ECA Buyer’s Credit
Loan for long term financing of capital goods and services based on ECA cover (for example Euler Hermes)
Direct disbursement to Exporter or Reimbursement to Importer who pays under an LC
Minimum amounts: EUR/USD 2m 5

6. Optional: Insurance on the completion risk
ECA covered Export Credit financing. Structure of a Buyer’s Credit- Direct disbursement variation
Exporter
Commercial contract
Importer
(Borrower)
Loan disbursement
Optional: Insurance on the completion risk
agreement
Loan
Repayment of loan
Export
Credit Agency
Insurance on the
credit risk 6

7. ECA covered Export Credit financing. Key numbers
≤85%
of the supply contract amount
(plus ECA related costs)
≥15%
down- or interim payment is required 7

8. ECA covered Export Credit financing. Tenors (up to…)
(2) + (10)
A delivery/construction/disbursement phase
of up to two years is possible.
Depending on the loan amount, up to 10 years tenor for the repayment period are available (in some cases up to 20 years).
( 1) + (5)
For loan amounts below EUR 10m, the usual disbursement phase is 1 year.
For loan amounts below EUR 10m, the maximum repayment tenor is 5 years.
The maximum tenor of the buyer credit is determined by the ECA based on the nature of goods supplied and the amount of the commercial contract. Euler Hermes (German ECA) requires that the entire repayment tenor shall not exceed 10 years from the starting point. Longer tenors are available for project financings and certain industries. 8

9. ECA covered Export Credit financing. Key numbers
95%
political and commercial risk insurance cover issued by the ECA of the Exporter’s country on the loan amount, in favor of the bank. (100% for some ECAs).
Coverage is available in major currencies for fixed or floating rate loans.
The ECA premium for cover is determined by the buyer’s rating, the country risk and the tenor of the loan.
50%
usual requirement for delivery content from the originating country. 9

10. Our experience with ECA covered financing in the wind energy sector
LBBW has financed projects in Vietnam, Turkey, and other countries
Were part of one of the largest wind park projects in Vietnam
Our focus is on financing the underlying assets of such projects based on corporate risk
Lessons Learned
Difficult process of negotiating the PPAs
Possible conflict between the ambition to have high local content and requirements for goods origin from ECA’s point of view
Difficult to receive transparency regarding feed-in tariff
We only use bank-to-bank structure instead of bank guarantees

11. Export Financing with LBBW.
LBBW is able to offer low-cost long term financing for your machinery and equipment imports.
Summary benefits of LBBW’s ECA-covered financing to you:
Low floating or fixed interest rates
ECA cover as collateral
Long term financing – up to 15 years
Independent from domestic bank lines
Independent from local economic environment
Used as a Sales-Tool to make projects viable
Cash transaction to the Exporter 11

12. Your contact: LBBW Singapore Branch 25 International Business Park
German Centre #01-72
Singapore
Dominik Zimmer Head of ECA Desk Asia
Tel: (Direct)
Michael Sunjic-Peier ECA Desk Asia
Tel: (Direct)