Inter-American Investment Corporation IDB Business Seminar: Education & Health Thursday, July 15, 2004 David Levy, Investment Officer Emilio Lozoya, Special Projects (202) (202)

What is the Inter-American Investment Corporation? The Inter-American Investment Corporation (IIC) is the financial institution of the IDB Group that supports private enterprises in Latin America and the Caribbean, primarily by providing financing in the form of loans and equity investments.

IDB Group Multilateral Investment Fund (MIF) Inter-American Investment Corporation (IIC) IDB GROUP The IDB Group is comprised of the Inter-American Development Bank (IDB), the Inter-American Investment Corporation (IIC) and the Multilateral Investment Fund (MIF). Inter-American Development Bank (IDB) The IIC is legally autonomous and its resources and management are independent from those of the Inter-American Development Bank.

Short-, medium- and long-term loans Syndicated loans Cuasi-capital and capital investments Guarantees for loans and security issuances Direct Products The IIC serves private enterprises directly by means of:

Refinancing lines Lines for project expansions Working capital lines Financial and operating lease lines Trade finance lines Agency lines Guarantees for loans and security issuances Syndicated loans Indirectly, i.e., through private financial intermediaries, the IIC serves small and medium enterprises with the following products: Products Provided through Financial Intermediaries

Advisory services Export financing Project Finance Participation in investment funds Supply chains Cofinancing with development agencies Structured loans: Other Products and Services Provided Financing programs

Local Bank-with IIC guarantee Loan with Guarantee- Conditions: Term: 7 years Grace Period: 2 years Interest Rate: 25% Loan with Guarantee- Conditions: Term: 7 years Grace Period: 2 years Interest Rate: 25% IIC Guarantee Bank FoundationUNIV. Loan Conditions previous IIC guarantee: Term: 5 Years Grace Period: 1 Year Interest Rate: 38% Loan Conditions previous IIC guarantee: Term: 5 Years Grace Period: 1 Year Interest Rate: 38% $ Loan $ Repayment Building Renting $ pays building renting Local Bank Bank Univ. Foundatio n IIC GUARANTEE STRUCTURE Garantes 50% of the loan Catholic University

Central America: San José, Costa Rica Andean Region: Bogotá, Colombia Southern Cone: Montevideo, Uruguay The IIC serves its clients in Latin America and the Caribbean with a team of highly qualified professionals based in its regional offices and Headquarters. Headquarters in Washington, DC. Regional Offices and Central Headquarters

The IIC supports and accompanies its clients in their financing and development needs by means of long-term relationships. Clients and Projects

San Salvador, El Salvador Through an operating lease, the IIC assisted an advertising agency in procuring computer equipment that will enable the agency to operate competitively. Clients and Projects

Guatemala, Guatemala By means of an operating lease, the IIC enabled a local business to operate a chain of ice cream shops, together with a plant to manufacture raw materials. Falcón, Venezuela The IIC supports the local private enterprise. IIC financing has contributed to the development of this Venezuelan organization, which exports shrimp to the United States and Europe. Clients and Projects

Venecia, Costa Rica Operation though local banks to provide a loan to a farm that produces tropical fruit for export. The IIC supports a wood products expansion project that generates both employment and foreign exchange by exporting furniture to the United States, with strict controls in terms of environmental impact. La Paz, Bolivia Clients and Projects

San José, Costa Rica The IIC provided financing to Universidad Latina to equip its computer and dentistry laboratories. Sao Paulo, Brasil Through the purchase of mortgage-backed securities, the IIC financed the construction of 1,288 houses. Clients and Projects

Project Inquiry Form (see Audited historic financial information and financial projections Steps for Obtaining Financing Clients interested in submitting a financing request should send the following information to the IIC:

Timeline for Processing the Application Following receipt of the information required, processing of the application will take approximately three to five months: Initial project review based on the information submitted 1 Analysis and preparation of Initial Credit Proposal (ICP) 2 Field Appraisal Technical evaluation by a sector specialist Financial, environmental and legal evaluation Negotiation of terms and conditions 3 Analysis and preparation of the Final Credit Proposal 4 Approval by the Board of Directors 5 Execution of agreements, establishment of security, monitoring plan and disbursements 6

Allows businesses to better plan their growth and development within a solid financial framework (products/specific need) Improved environmental management Increased ability to access financing Improved corporate governance Advantages of Working with the IIC Short-, medium- and long-term financing on competitive terms

Contact Information UNIVA and ABC Hospital UNIVA Mr. Sotero Arizu, Division Chief, a.i. New Business Development Division (202) ABC HOSPITAL Mrs. Cecilia Savastano, Investment Officer Corporate Finance Division (202)

More information is available at the following website: