Get Started Exporting Your Products- Strategic Review by Marsha Sompayrac

8/13/2019 Get Started Exporting Your Products- Strategic Review by Marsha Sompayrac

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1[Insert client logohere on master slide]

Marsha SompayracHow to Maximize Your Export Sales Opportunities

A Strategic Review of Factors Facing US Exporters For OverseasBusiness Opportunities

By: Marsha Sompayrac

For: ABC Exporting Co.


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Todays agenda

I. Introducing your SunTrust Global Trade Solutions and our client driven approach

II. A World of Change: A discussion of business trends in the global marketplace

III. A World of Opportunity: Market and industry opportunities for your growth

IV. A World of Solutions: Global Trade Solutions full suite of international capabilities for imports or exports

Appendix

A. Commercial Client satisfactionB. Overall Bank Capabilities

C. SunTrust Financial strength

D. SunTrust Corporate history

E. Global Trade Solutions and Commercial Team biographies

Global Trade Solutions


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Your Commercial Banking and Global Trade Solutions Team

To truly understand your business and what drives it, we believe in the value of a dedicated relationship manager

along with a team of product and industry specialists with local decision-making power.

Jane Doe Vice President, Commercial Relationship Manager

Marsha Sompayrac Director, Global Trade Solutions

Your Team and Our Approach


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Mission and Commitment

Our corporate mission is to help people and inst i tut ions prosp er

Our commitment to you is:

To build a relationship thats about more than transactions

To make it our business to understand your global business needs

To serve as your trusted advisor in Global trade markets, industries and trade products

To provide superior solutions for every phase of your companys international trade development

To dedicate ourselves to your global success

Your Team and Our Approach

We start making this commitment to you by opening a dialogue. Only by examining your business and by asking

the questions that most banks dont bother asking can we develop the right solutions for your success.


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US Trade Defecit

-80

-75

-70

-65

-60

-55

-50

4/30

/200

6

6/30

/200

6

8/31

/200

6

10/3

1/20

06

12/3

1/20

06

2/28

/200

7

4/30

/200

7

6/30

/200

7

8/31

/200

7

10/3

1/20

07

12/3

1/20

07

2/29

/200

8

($

Billions)

US Trade Balance

US Dollar Index

60

65

70

75

80

85

90

95

100

6/30

/2003

9/30

/2003

12/3

1/2003

3/31

/2004

6/30

/2004

9/30

/2004

12/3

1/2004

3/31

/2005

6/30

/2005

9/30

/2005

12/30/20

05

3/31

/2006

6/30

/2006

9/29

/2006

12/29/20

06

3/30

/2007

6/29

/2007

9/28

/2007

12/3

1/2007

3/31

/2008

USD Index

A World of Change: A closer look at foreign exchange trends

Dollar Declines / Exports

Rise

With the dollar decliningby 21% since thebeginning of 2006 and14% since the beginningof 2007, exports areincreasing at a fasterrate than imports.

95% of the worldsconsumers live outsidethe U.S.

International traderepresented 40% of U.S.GDP growth in 2007

A World of Change for ABC Co.

21% Dollar Decline since the

beginning of 2006

Marginal decrease in the trade deficit

has coincided with the USD decline.


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A World of Change: U.S. Export Growth

(in billions of dollars)

0

20

40

60

80

100

120

140

160

180

200

'02 '03 '04 '05 '06 '07

0

200

400

600

800

1000

1200

'02 '03 '04 '05 '06 '07

National Exports SunTrust Footprint



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Trades Impact on Small/Medium U.S. Companies

Source: Enterprise Florida

More than 700,000 U.S. jobs are supported by the $117 billion in manufactured exports

70% or more of the businesses involved in global trade are small or medium size.

96% of the worlds consumers live outside the U.S.

Jobs related to exports pay 13-18% higher than non-exporting

International trade gives the average U.S. household $9,000 more in spending power

97% of U.S. exports are from small to medium sized businesses

More than two-thirds of U.S. exporter have fewer than 20 employees

One in three acres of U.S. agricultural production is exported



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Leading Markets for Expo rts of Con struc t ion Machinery

1. China

2. Italy

3. Spain

4. Canada

5. Australia

6. Israel

7. Taiwan

8. South Korea

9. Mexico

10.Malaysia

2006-2007

Source: International Trade Association

A World of Opportunities for ABC Co.


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Foreign Market Overview

Top Market Considerations for ABC Co.

Koreas construction equipment industry accounts for about 5% of total global production.

U.S. companies have the opportunity to supply nearly 60% of Canadas equipment import

needs.

Italy and Spains economies are growing at 12% ad 13%, respectively, with a recent surge

in construction projects.

Construction in Mexico, fueled by aging American Baby Boomers retiring to Mexico, is thecatalyst for robust increases in home building in Mexico. There are 70 million BabyBoomers in America.

The construction industry in China is witnessing massive activity in the form of majorprojects in infrastructure development.



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Foreign Market Overview

How to develop an export market strategy

Contact local U.S. Department of Commerce Export Assistance Center

Amy Ryan

Contact local state economic development agency

Renee Rosenheck

www.ITA.GOV

www.Export.GOV

http://www.ita.gov/http://www.export.gov/http://www.export.gov/http://www.ita.gov/


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A closer look at your company

High level summary sentence on prospects opportunities based on the market and industry information

presented on previous slides.

What do todays global

changes and

opportunities mean for

your company?

Considerations What country represents the largest portion of your overseas sales, and why?

In addition to selling equipment, do you have any other sources of revenue, such as

rentals or storage facilities and/or repairs?

What are your key obstacles for growth? Profitability? How can foreign sourcing or

export sales help with growth/profitability?

What international payment risks are you facing?

How has your range of products changed in response to customer demand?

The construct ion equipm ent industry inc lud es about 3,500 com panies in the

U.S. wi th com bined annual sales of $75 bi l l ion. The industry is con centrated;

the 50 largest companies hold about 75% of the market share. A typical

com pany has ten emp loyees and less than $2 mi l l ion in sales. Major produc t

segments are earth moving equipm ent , minin g and road bui lding equipm ent ,

ai rport and transportat ion equipment .


A W ld f S l ti f (b i )


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To enable you to focus on your underlying business, utilize a SunTrust FX specialist to develop a

customized currency risk strategy to:

Eliminate the risk inherent in international cash flows

Mitigate exposure created by exchange rate fluctuations

Increase competitiveness and take advantage of opportunities created by dealing in foreigncurrency.

A World of Solutions for (business name)A World of Solutions for ABC Co.

Foreign Exchange Risk Mitigation

Countries/Currencies Most Adaptable to Local Currency PricingAustralia

Canada

Czech Republic

Denmark

15 Euro-based

Great Britain

Hong Kong

Hungary

Japan

Mexico

New Zealand

Norway

Poland

Singapore

Slovakia

South Africa

Sweden

Switzerland

* Other currencies available upon request


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Sales in Foreign CurrencyFactors for U.S. Exporters

Missed sales due to USD only policy

Opposing bid from a competitor

Uncertainty in negotiations

Change in terms

Delay in closing

Establish a USD valuation for sales on a continuing or individual basis

Market volatility

Identify and implement the appropriate currency risk management strategy/policy

Execute strategy/policy efficiently to maximize value & minimize risk

A World of Solutions for ABC Co.


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Considering a Sales Program in Foreign Currency?

Establish a relationship with a currency partner that provides access to a wide range of currency

risk management instruments and advisory services.

Open foreign currency accounts, used to collect foreign currency receipts and provides the abilityto disburse payments for expenses incurred in that same currency.

Choose a currency partner with a large network of corresponding bank relationships.

Work closely with your currency risk management partner to implement a hedging strategy to

mitigate your FX exposure and protect your profit margins.

Are sales overlooked when pricing only in USD??? Some customers are only willing to deal intheir local currency.

Some Currencies/Countries are restricted by governmental regulation.



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Global Trade Solutions: A full suite of international trade capabilities

Import Financing Trade Letters of Credit Standby Letters of Credit Documentary Collections

Export Credit Insurance Letters of Credit Substituting SunTrust risk for

foreign bank risk under lettersof credit

Issuance of standby letters ofcredit to support bid/performancebonds

International Receivable financing Export Working Capital Financing Foreign Buyer Financing Small Business Financing

Over 1500 international correspondentbanks world wideReferrals for in-country foreign bankingrelationships

Trade

Services

Solutions

Risk

Mitigation

Trade

Finance

Solutions

Advisory

Services

Treasury &

Payment

Solutions

Inbound

Foreign

Investment

Foreign

Exchange

Global

Solutions

for

your business

Foreign Market intelligence Export Marketing strategies Import strategies Referrals to other trade

advisors Trade Seminars

Currency Risk Management Non-USD Interest Rate Management Spot, Forward, NDF & Swap Contracts Options (vanilla and structured) Online FX Foreign Currency Transaction Accounts Foreign Currency Investments Canadian Lockbox

Assistance to subsidiaries offoreign corporations expandinginto U.S

Banking services to expatriatesworking for foreign ownedsubsidiaries

International wires Online Information and

Control Services InternationalCash PositionManagement Card Programs Merchant Services

Global Full-Service, Local Delivery

Our broad capabilities serve your business through every phase of its international trade growth.

International

Correspondent

Banking


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Global Trade Solutions: Worldwide Access for payment and trade

Global CorrespondentRelationships

Key




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Global Trade Solutions: Local Delivery of International Expertise and Resources

Over 1500 correspondent banks worldwide

Delegated Authority Lender with Ex-Im Banks Working Capital Guarantee Program

Preferred Lender with SBA Export Working Capital Program

GTS Sales team located in your region

Staff travels, has language expertise, is aware of global business trends

Can refer clients to worldwide networks of professional and financial expertise



Documents

Get Started Exporting Your Products- Strategic Review by Marsha Sompayrac