OVERSEAS PRIVATE

INVESTMENT CORPORATION

An Agency of the United States Government

PROGRAM HANDBOOK
PROGRAM HANDBOOK

OVERSEAS

PRIVATE INVESTMENT

CORPORATION

An Agency of the United States Government
Doing business in today’s global economy can be challenging. But done right, taking advantage of promising opportunities in international trade and investment can help a

business grow, and support jobs here at home. The U.S.

Overseas Private Investment Corporation (OPIC) was established to mobilize American private capital in the growth of

developing countries and economies that are in transition to

democracies and free markets. We strongly believe promoting U.S. private sector activities in new markets benefits

America’s foreign policy and national interests.

OPIC is an independent U.S. Government agency. OPIC

offers U.S. investors political risk insurance against certain

adverse action by foreign governments and against political

violence. Our political risk insurance also protects against

“expropriation” and against the “inconvertibility” of foreign

currency to U.S. dollars that affects the repatriation of profits

or other payments. In addition, we offer long term financing

— directly or through guaranties — for commercially viable

overseas projects that support U.S. foreign policy objectives.

OPIC services are available to American businesses — large

and small — to the extent that there is a lack of such services

in the private sector. We charge for our products so that we

operate on a self-sustaining basis, at no cost to the taxpayer.

OPIC prides itself on being a high performance organization — with the very best in people, products and systems.

While this handbook is a basic tool for understanding OPIC

products, we are available to help you personally. Please

contact us through the World Wide Web at www.opic.gov, or

call us directly.

George Muñoz

President & Chief Executive Officer

President’s

Message
V

Introduction to OPIC

OPIC’S MISSION 1

ELIGIBILITY FOR OPIC SUPPORT 2

Eligible Companies 2

Eligible Projects 3

Eligible Countries 4

U.S. Economic Contribution 4

Development Contribution 5

Environmental Impact 5

Other Requirements 6

Monitoring & Compliance 6

Political Risk Insurance

COVERAGE & ELIGIBILITY 9

Currency Inconvertibility 10

Expropriation 10

Political Violence 11

SPECIAL INSURANCE PROGRAMS 12

Financial Institutions 13

Capital Markets 13

Leasing 14

Oil & Gas 15

Natural Resources (Except Oil & Gas) 16

Contractors & Exporters 16

ELECTION OF COVERAGES & PREMIUM BASE RATES 20

Manufacturing & Services 21

Institutional Loans & Leases 21

Oil & Gas 22

Natural Resources (Except Oil & Gas) 22

Contractors & Exporters 22

AVAILABILITY, EXTENT OF COVERAGE & CLAIMS 23

Availability 23

Extent of Coverage 23

Claims 24

APPLICATION PROCEDURES 24

Registration 24

Application 24

For More Information 25

Contents

Introduction to OPIC Political Risk Insurance

Financing Additional Information
V I VII

Financing

FINANCING 27

Eligibility 27

Financing Techniques 30

Loan Terms 30

Relationships With Other Financial Institutions 31

Application Procedures 32

For More Information 33

INVESTMENT FUNDS 34

Introduction 34

How the Funds Work 34

For More Information 35

Additional Information

OPIC COUNTRIES & AREAS 37

OPIC CLIENTS 39

CONTACTING OPIC 44

General Information 44

Insurance Information 45

Finance Information 46

Investment Funds Information 46

U.S. GOVERNMENT INTERNATIONAL

TRADE INFORMATION 46

Wherever this icon appears, see OPIC’s website at the address given

to obtain updates, forms or further information. You may also use keywords with the SEARCH function on OPIC’s homepage to locate information on other topics.
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OPIC’s Mission

OPIC’s mission is “to mobilize and facilitate the participation of United States private capital and skills in the economic and social development of less developed countries

and areas, and countries in transition from nonmarket to

market economies, thereby complementing the development assistance objectives of the United States...”*

OPIC accomplishes this mission by assisting U.S. investors

through four principal activities designed to promote overseas investment and reduce the associated risks:

■ insuring investments overseas against a broad

range of political risks;

■ financing businesses overseas through loans and

loan guaranties;

■ financing private investment funds that provide

equity to businesses overseas; and

■ advocating the interests of the American business

community overseas.

Private sector investment overseas contributes substantially

to both national and foreign policy interests of U.S. citizens.

It strengthens and expands the U.S. economy by improving

U.S. competitiveness in the international marketplace. It

also helps less developed nations expand their economies

and become valuable markets for U.S. goods and services,

thereby increasing U.S. exports and creating U.S. jobs.

As part of its overall mission, OPIC advocates on behalf of

U.S. business clients that have made long-term investments

in emerging markets and developing nations. OPIC also

works with host country governments to help create economic climates that attract U.S. investment, facilitating the entry

of hundreds of U.S. businesses into new markets abroad.

OPIC sponsors and participates in numerous seminars and

conferences throughout the U.S. and overseas to increase

Introduction

to OPIC

* U.S.C. Title 22 §2191

“To mobilize and facilitate the participation of United States private

capital and skills in the economic and

social development of less developed

countries and areas, and countries in

transition from nonmarket to market

economies, thereby complementing

the development assistance objectives

of the United States...”
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awareness among U.S. companies, especially small and medium-sized firms, of real opportunities for business expansion

through overseas investment, as well as the OPIC services

available to assist them. To enhance its outreach, OPIC

often works closely with other federal government agencies, state and local governments, private organizations and

multilateral institutions.

OPIC is a self-sustaining agency, operates at no net cost to

the U.S. taxpayer, and has accumulated reserves of more

than $3 billion. OPIC has supported investments worth

nearly $112 billion, generated $56 billion in U.S. exports,

and helped to create 230,000 American jobs. Currently,

OPIC programs are available for new and expanding business enterprises in approximately 140 countries and areas

worldwide. OPIC has recorded a positive net income for

every year of operation. All of OPIC’s guaranty and insurance obligations are backed by the full faith and credit of

the United States of America.

www.opic.gov/subdocs/congress.htm

Eligibility for OPIC Support

OPIC supports, insures and finances investment projects

with substantial U.S. participation that are financially

sound, promise significant benefits to the social and economic development of the host country, and foster private

initiative and competition. OPIC will not support projects

that could result in the loss of U.S. jobs, adversely affect the

U.S. economy or the host country’s development or environment, or contribute to violations of internationally recognized worker rights.

Eligible Companies

There is no requirement that the OPIC-supported project

company be wholly-owned or controlled by U.S. investors.

Company eligibility requirements differ for OPIC political

risk insurance and financing. For insurance eligibility

requirements, please see Coverage & Eligibility on page 9.

For financing eligibility requirements, please see Eligibility

on page 27.

Companies with annual revenues less than $250 million or

individuals and other non-corporate entities with net worth

less than $67 million qualify as small businesses for the purpose of OPIC support. OPIC’s statute encourages the agency

to give preferential consideration to projects significantly

involving U.S. small businesses and cooperatives.

Eligible Projects

OPIC support is available for new investments, privatizations, and for expansions and modernizations of existing

plants. Acquisitions of existing operations are eligible for

financing if the investor contributes additional capital for

modernization and/or expansion. OPIC can generally

insure an acquisition of an industrial, commercial or other

self-sustaining enterprise, subject to a finding of positive

developmental benefits. Investments in certain sectors

may be excluded from consideration based on statutory or

policy guidelines. Investors can contact OPIC directly to

obtain more information about these sectors.

Neither financing nor insurance will normally be available

for investments in enterprises majority-owned and controlled by a foreign government. Financing is not available

for projects that can secure adequate financing from commercial sources. Investors are required to confirm that

they have considered private sector political risk insurance

before OPIC will issue coverage.

OPIC can insure many different forms of investment,

including:

■ conventional equity investments and loans;

■ construction and service contracts;

■ production sharing agreements;
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■ leases;

■ various contractual arrangements such as consigned

inventory, licensing, franchising, and technical

assistance agreements; and

■ other special agreements that investors may devise.

Eligible Countries

OPIC programs are generally available in the approximately 140 countries and areas listed on page 37. From time to

time, statutory and policy constraints may limit the availability of OPIC programs in certain countries, or countries

where programs were previously unavailable may become

eligible. Also, under agreements with certain countries, the

investor may need to obtain host government approval before

OPIC can support the project. The approval procedures vary

from country to country and are available from OPIC.

Investors are urged to contact OPIC directly for up-to-date

information regarding availability of OPIC services in specific countries, as well as information on program availability in countries not listed. Callers with fax machines

may use OPIC’s automated FactsLine at (202) 336-8700 to

obtain a current OPIC Country and Area List by requesting

Document #1025.

www.opic.gov/subdocs/public/publications/ctrylist.htm.

U.S. Economic Contribution

When U.S. companies invest abroad, the projects often generate U.S. exports. In fact, projects supported by OPIC since

1971 are expected to generate $56 billion in U.S. exports,

supporting 230,000 jobs. OPIC supports only those projects

that are not likely to harm the U.S. economy or have a negative effect on U.S. employment. OPIC will not support

“runaway plants,” which substitute existing U.S. facilities

with foreign plants to serve the same markets.

By statute, and consistent with overall U.S. government policy, OPIC does not participate in projects subject to performance requirements that would substantially reduce the

potential U.S. trade benefits of the investment. Performance

requirements are host government incentives designed to

cause a project to operate in a way that is more beneficial

to the local economy than would otherwise be the case. Of

particular concern are “trade-related” performance requirements covering local content and maximum import and

minimum export levels, where the effect is to reduce U.S.

trade benefits that would otherwise accrue.

Development Contribution

OPIC has a statutory mandate to support U.S. private sector

investments that are responsive to the development needs of

the host country and that foster private initiative and competition. The contribution of a proposed investment to the

economic and social development of the host country will be

carefully examined with respect to such factors as:

■ increased availability of goods and services of better

quality or at lower costs;

■ development of skills through training;

■ transfer of technological and managerial skills;

■ foreign exchange earnings or savings;

■ job creation;

■ host country tax revenues; and

■ stimulation of other local enterprises.

OPIC is required to discourage monopolistic practices, and

projects involving anti-competitive advantages may require

additional scrutiny. OPIC will provide guidance to assist

sponsors in submitting the necessary information.

Environmental Impact

OPIC is required by statute to conduct an environmental

assessment of every project proposed for insurance or

financing, and to decline support for investment projects
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that, in OPIC’s judgment, would have an unreasonable or

major adverse impact on the environment, health or safety

in the host country. For most industrial sectors, OPIC

expects the project to meet the more stringent of World Bank

or host-country environmental, health and safety standards.

Of particular concern are adverse effects on tropical forests,

national parks, protected areas and endangered species, as

well as on the health and safety of employees and the public.

For projects in sectors designated as “environmentally sensitive,” an Environmental Impact Assessment (“EIA”) must

be submitted for OPIC’s review. As part of its review

process, OPIC lists every such project on OPIC’s web site; the

listing includes the country and industry sector of the project, but not the sponsor’s name. This listing may result in a

request for a copy of the EIA from the public, and, therefore,

the EIA must be in a form that can be released to the public

without compromising confidential business information.

www.opic.gov/subdocs/environmental.htm.

Other Requirements

OPIC is prohibited by statute from supporting projects that

contribute to violations of internationally recognized worker rights. OPIC insurance and finance agreements require

the investor to agree respect these rights, including the rights

of association, collective bargaining and acceptable working

conditions with respect to wages, hours of work, occupational health and safety and minimum age requirements.

OPIC does not support projects that involve illicit payments.

OPIC insurance and finance documentation requires representations and covenants from the investor regarding compliance with applicable corrupt practices laws.

Monitoring & Compliance

OPIC systematically monitors investor compliance with U.S.

economic, environmental, worker rights and corrupt practices representations through questionnaires, investor reporting and site visits. Noncompliance may constitute a default

under OPIC insurance contracts and loan agreements.
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Political Risk

Insurance

OPIC is a global leader in providing

political risk insurance to protect

American investments. By helping

U.S. investors manage political risks,

OPIC helps them to enter new and

unfamiliar markets. OPIC offers

innovative insurance coverage, advocacy, and a strong claims payment

record.

Coverage & Eligibility

OPIC insurance can cover the following three political risks:

■ currency inconvertibility — deterioration in the

investor's ability to convert profits, debt service and

other investment returns from local currency into

U.S. dollars and to transfer U.S. dollars out of the

host country;

■ expropriation — loss of an investment due to

expropriation, nationalization or confiscation by

the host government; and

■ political violence — loss of assets or income due to

war, revolution, insurrection or politically motivated civil strife, terrorism and sabotage.

OPIC covers investments in a range of sectors including

infrastructure, manufacturing, and financial services.

Coverages are tailored for financial institutions, leasing

arrangements, oil and gas projects, natural resource projects and contractors and exporters.

OPIC can insure up to $200 million per project and has no

minimum investment size requirements.

OPIC provides political risk insurance to U.S. investors,

contractors, exporters and financial institutions involved

in international transactions. Specifically, OPIC insurance

is available to:

■ citizens of the United States;

■ corporations, partnerships, or other associations created under the laws of the United States, its states or

territories, and beneficially owned by U.S. citizens;*

*OPIC deems a corporation organized under the laws of the United States or

its states and territories to be beneficially owned by U.S. citizens if more than

50 percent of each class of its issued and outstanding stock is owned by U.S.

citizens either directly or beneficially. Where shares of stock of a corporation

with widely dispersed public ownership are held in the names of trustees or

nominees (including stock brokerage firms) with addresses in the United

States, such shares may be deemed to be owned by U.S. citizens unless the

investor has knowledge to the contrary. OPIC also permits the beneficial ownership of U.S. corporations to be determined by tracing back through any foreign ownership of their shares to the ultimate beneficial owners.
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■ foreign corporations at least 95 percent owned by

investors eligible under the above criteria; and

■ other foreign entities that are 100 percent U.S.-

owned.

Insurance is available for investments in new ventures,

expansions of existing enterprises, privatizations, or acquisitions with positive developmental benefits. Coverage is available for equity investments, parent company and third-party

loans and loan guaranties, technical assistance agreements,

cross-border leases, consigned inventory or equipment, and

other forms of investment. Coverage is also available for contractors’ and exporters’ exposures, including certain breaches

of contractual dispute resolution mechanisms, and wrongful

calling of bid, performance, advance payment and other guaranties posted in favor of foreign buyers, and other risks.

Currency Inconvertibility

Currency inconvertibility coverage compensates investors if

new currency restrictions prevent the conversion and transfer of investment returns from insured investments.

Currency restrictions may take the form of new, more restrictive foreign exchange regulations or a failure by exchange

control authorities to act on an application for hard currency.

OPIC inconvertibility coverage insures earnings, returns of

capital, principal and interest payments, technical assistance fees, and other remittances related to insured investments in eligible projects.

The coverage does not protect against the devaluation of a

country’s currency. Rather, OPIC insures investors against

the consequences of conversion and transfer restrictions

that occur after an insurance contract is issued.

Expropriation

Expropriation coverage protects against the nationalization, confiscation, or expropriation of an enterprise, including “creeping” expropriation — government actions that

for a period of at least six months deprive the investor of

fundamental rights in a project. The coverage excludes

losses due to lawful regulation or taxation by host governments and actions provoked or instigated by the investor or

foreign enterprise.

For equity investments, compensation is based on the book

value of the investment as of the date of expropriation. For

loans, payment is based on outstanding principal and accrued

interest. With some limited exceptions, OPIC covers total

expropriation only; to receive compensation, an investor

must assign to OPIC all rights in an insured investment.

Coverage for expropriation of funds only — unlawful host

government blockage of funds intended to be remitted as

returns of the insured investment or earnings on it — may

be purchased for a reduced premium in conjunction with

currency inconvertibility coverage.

Insurance for specialized risks peculiar to a specific project

may be available including, for example, coverage against

losses resulting from the unlawful breach of specific host

government obligations identified by the U.S. investor at

the outset as vital to the successful operation of the project.

Coverage is available on a case-by-case basis and will be

individually rated.

Political Violence

Political violence coverage compensates for property and

income losses caused by violence undertaken for political

purposes. Declared or undeclared war, hostile actions by

national or international forces, civil war, revolution, insurrection, and civil strife (including politically-motivated terrorism and sabotage) are all examples of political violence

covered by OPIC. An investor may choose to insure for all

these risks or to exclude civil strife. Actions undertaken primarily to achieve labor or student objectives are not covered.

OPIC pays compensation for two types of losses: business

income losses and damage to tangible property. An investor

may purchase one or both coverages.
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Financial Institutions

OPIC’s political risk insurance enables U.S. banks and

other institutional investors to play an active role in financing projects in developing countries while managing the

incremental cross-border exposure associated with these

investments. A wide range of banking activities can be

insured by OPIC, including:

■ loans made or arranged by banks;

■ gold loans;

■ capital markets transactions;

■ cross-border leases;

■ debt-for-equity investments; and

■ commodity price or interest rate swaps.

For institutional lenders, currency inconvertibility insurance coverage pays compensation for defaults on scheduled

payments that result from deterioration in the ability to

convert these payments from local currency to dollars or to

transfer dollars outside the host country. In the case of

expropriation or political violence, compensation generally

is payable if the borrower defaults on a scheduled payment

as a direct result of one of these events, and the default lasts

three months (or one month in the event of subsequent

defaults caused by the same event). Loans must have a

tenor of at least three years, and borrowers must be private

sector enterprises in the foreign country. Coverage may be

tailored to reflect the specific nature of the project.

Capital Markets

In response to growing demand, especially for infrastructure projects, investors and their financial advisors have

sought out new sources of financing and have turned to the

capital markets to supplement traditional bank financing.

Consequently, capital markets transactions, such as 144A

bond issues, are playing an increasingly important role in

financing projects in emerging markets. OPIC can provide

Business Income Coverage

Business income coverage (BIC) protects the investor’s

share of income losses resulting from damage to the assets

of the foreign enterprise caused by political violence. With

an “off-site” rider, OPIC may also compensate for income

losses resulting from damage to specific sites outside the

insured facility, such as a critical railway spur, power station or supplier.

Compensation is based on what the project would have realized in net income but for the damage, plus the investor’s

share of the project’s continuing, normal operating expenses

that must be paid during the time the damage is being

repaired. OPIC will also pay for expenses that reduce the

business income loss, such as renting a temporary facility.

Compensation is paid for the period until productive capacity can reasonably be restored, not to exceed one year.

Assets Coverage

Assets coverage compensates for loss of or damage to tangible property caused by political violence. Compensation

is based on the investor’s share of the adjusted cost of the

property or replacement cost. Adjusted cost is defined as

the least of the original cost of the item, the fair market

value at the time of loss, or the cost to repair the item.

OPIC may pay replacement cost up to twice the original

cost of the lost or damaged property, provided the property

is actually replaced within three years.

Special Insurance Programs

OPIC has several insurance programs offering coverages

tailored to meet the special insurance needs associated with

certain types of international investments.
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OPIC also provides coverage against host government

actions that prevent a lessor from enforcing its right to

repossess, re-export and de-register leased equipment.

Oil & Gas

OPIC has a comprehensive insurance program to encourage

petroleum exploration, development and production in developing countries. In addition to its standard political risk insurance, OPIC can provide the following enhanced coverages.

Expropriation

Expropriation coverage for oil and gas projects can include

coverage for losses caused by material changes in project

agreements unilaterally imposed by a host government. This

includes abrogation, impairment, and repudiation or breach

of concession agreements, production sharing agreements,

service contracts, risk contracts, and other agreements

between the U.S. investor or the foreign enterprise and the

foreign government. Such actions must last for at least six

months and prevent the insured investor from effectively

exercising its fundamental rights with respect to the project

agreements (such as rights to take and export petroleum or

to be paid for it) and otherwise meet OPIC’s expropriation

criteria. The coverage can also include compensation for

confiscation of tangible assets and bank accounts.

Compensation is based on the value of the insured investment, or, in the case of confiscation of specific assets, the

book value of the confiscated assets. OPIC will not compensate for loss of reserves of any kind.

Interference with Operations

This coverage insures against cessation of operations lasting six months or more caused by political violence. The

investor has the right, and OPIC may require the investor,

to reacquire from OPIC its insured interests in the project,

if within five years the political violence has abated and the

investor can resume operations.

insurance coverage for capital markets transactions similar

to the coverage provided under OPIC’s institutional

lender’s program. The coverage, which will be for the benefit of an eligible trust on behalf of bondholders, may

enable investors to mobilize capital markets funding for

transactions where it was previously unavailable.

Leasing

Cross-border leasing has become a popular means of

financing capital investments in many developing and

emerging market countries. OPIC has insurance packages

to cover both capital and operating leases. The insurance

is available to U.S. investors leasing to private sector entities. Transactions must have a tenor of three years or more.

Capital Leases

Capital or financial leases are those where ownership of the

asset is expected to be transferred to the lessee at the end of

the lease. Inconvertibility coverage pays compensation if

defaults on lease payments are caused directly by deterioration in the conditions of conversion of local currency or

transfer of dollars. In the case of expropriation or political

violence, compensation is payable if one of these events

directly causes a default on a lease payment.

Operating Leases

Under operating leases, where the U.S. lessor expects to

recover the leased assets when the lease expires, expropriation and political violence compensation is based on the

value of the leased assets, including installation and transportation costs.

Inconvertibility coverage pays compensation if defaults on

lease payments are caused directly by deterioration in the conditions of conversion of local currency or transfer of dollars.
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computers, medical equipment and other goods. Typically,

coverage is issued when the U.S. company has a contract

with a foreign government buyer.

Bid, Performance, Advance Payment

& Other Guaranty Coverages

Bid, performance, advance payment, or other guaranties

issued on behalf of a U.S. exporter of goods or services or a

contractor in favor of a foreign government buyer can be covered against the risk of a wrongful calling. The guaranties are

usually in the form of irrevocable, on-demand, standby letters

of credit. A wrongful calling is one not justified by the terms

of the underlying contract or the invitation for bids.

In the case of a bid guaranty, the insured must file a claim when

it believes a wrongful calling has occurred, and OPIC will then

determine if the calling is, in fact, wrongful. With performance, advance payment and other guaranties, the insured

must invoke the dispute resolution procedure in its contract

with the foreign buyer before OPIC will pay compensation.

EVENTS OF COMPENSATION. OPIC will compensate for

wrongful calling of performance or advance payment guaranties if:

■ due to inaction of the buyer the dispute resolution

procedure is prevented from proceeding;

■ the foreign buyer refuses to pay an award in favor

of the insured;

■ the procedure yields an award in favor of the foreign buyer and the award can be proven to have

been obtained through fraud, corruption, or duress,

or, if there is a written record of the proceedings,

the award is unsupported by substantial evidence in

that record;

■ the procedure fails to issue a holding within a reasonable period of time (not less than 36 months)

despite the insured’s compliance with all of the procedure’s requirements; or

Natural Resources

(Except Oil & Gas)

Mineral and other natural resource projects can be major

contributors to economic development. To encourage such

projects, OPIC may offer coverage tailored to the special

needs of investors in this sector.

During the exploration phase, insurance may be provided

against confiscation and political violence losses to tangible

assets. Investors also may insure against the unlawful

withdrawal or breach by the host government of mineral

exploration and development rights, and other legal rights

vital to the success of a particular project. Larger natural

resource projects typically involve substantial risk-taking

by project lenders, owners and others. Accordingly, OPIC

typically offers coverage for equity, parent company and

institutional loans, owners’ guaranties of loans (including

completion guaranties), leases of equipment to project companies, and other exposures to these projects.

Contractors & Exporters

OPIC’s program for U.S. contractors and exporters insures

against:

■ wrongful calling of bid, performance, or advance

payment guaranties, customs bonds, and other

guaranties;

■ loss of physical assets and bank accounts due to

confiscation or political violence, and inconvertibility of proceeds from the sale of equipment used at

the site; and

■ losses due to certain breaches by the foreign buyer

of the contractual disputes resolution procedure. 

This insurance can protect U.S. companies acting as contractors in international construction, sales, or service contracts, and U.S. exporters of heavy machinery, turbines,
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■ due to changed conditions in the project country, it

is too dangerous or would be futile for the insured

to pursue dispute settlement.

REQUIREMENTS. Coverage for wrongful calling of performance, advance payment and other guaranties is only available when the underlying contract contains a dispute resolution procedure, which, at the time insurance coverage is

issued, is fair, impartial and expeditious, and its results

enforceable.

EXCLUSIONS. OPIC does not compensate the insured if the

guaranty is drawn because the insured fails to perform its

contractual obligations, or if the insured provokes or agrees

to the drawing.

PRIVATE ENTITIES. Coverage is also available to insureds

who post guaranties in favor of private, non-governmental

entities. In such cases, wrongful calling is defined as a

drawing which is not justified by the terms of the contract

and is directly caused by the host government, or is followed by unlawful host government action that thwarts the

dispute resolution procedure.

Customs Bonds Coverage

Customs bonds are required when a foreign government

wants assurances that a company will re-export machinery

or equipment temporarily moved into the country, usually

for the duration of a construction project or trade show,

rather than selling it locally. Customs bonds replace customs duties and may be as much as 200 percent of the value

of the equipment.

OPIC provides compensation for a loss resulting from a

wrongful calling by a foreign government of a standby letter of credit issued as a customs bond. In the case of a

claim, OPIC will determine if a calling is wrongful without

reference to any dispute resolution procedure.

Assets Coverage

U.S. contractors and exporters with physical assets overseas may insure project assets for the following risks:

CURRENCY INCONVERTIBILITY. Local currency proceeds

from the sale of insured property after job completion are

covered against the risk that the currency will become inconvertible into U.S. dollars. Inconvertibility is offered only to

the extent local currency is convertible and dollars are transferable under host country exchange regulations and practices in effect at the time the insurance is issued. Payments

for work completed under the contract are not covered.

CONFISCATION. Physical assets and bank accounts of

the insured in the host country in connection with a project are covered against the risk of confiscation by the

host government.

POLITICAL VIOLENCE. Physical assets owned by the

insured or for which the insured bears the risk of loss are

covered against the risk of damage due to war, revolution,

insurrection, or civil strife.

Disputes Coverage

Disputes coverage provides protection in the event of contractual disputes that may arise during the performance of

a contract. As a condition for compensation, a U.S. contractor must invoke the dispute resolution mechanism in

its contract with the foreign buyer.

EVENTS OF COMPENSATION. OPIC will compensate the

contractor if:

■ the foreign buyer refuses to pay a judgement or an

award in favor of the insured;

■ due solely to inaction of the foreign buyer, the dispute resolution procedure is prevented from proceeding; or
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■ due to changed conditions in the project country, it

is too dangerous or would be futile for the insured

to pursue the agreed procedure.

In the first situation, OPIC compensation is based on the

amount of the award. In the latter two cases, compensation is

limited to the insured’s uncompensated cost of goods, services

and materials provided pursuant to its contract with the buyer.

REQUIREMENTS. Disputes coverage is offered only when a

project has secure and adequate funding, commonly from

an international development or export credit agency. As

with performance and advance payment guaranties, disputes coverage is only available when the underlying contract contains a dispute resolution procedure, that, at the

time insurance coverage is issued, is fair, impartial and

expeditious, and its results enforceable.

PRIVATE ENTITIES. If the insured’s contract is with a private,

non-governmental entity, OPIC will compensate the insured

only if nonpayment or noncompliance with the dispute resolution procedure is directly caused by the host government.

Election of Coverages &

Premium Base Rates

Coverage elections for most equity and shareholder debt

investments are based on a coverage ceiling and an active

amount. The coverage ceiling represents the maximum

insurance available for the insured investment and future

earnings under an insurance contract. Premiums are calculated based on the active amount, which represents the

insurance actually in force during any contract period. The

active amount under all coverages must at least equal the

book value of the insured investment unless a lower coverage ceiling is elected. There is no charge for the difference

between the coverage ceiling and the active amount.

For most other investment types, premiums are computed

based on a maximum insured amount (MIA), a current

insured amount (CIA), and a standby amount. The MIA

represents the maximum insurance available for the

insured investment under an insurance contract. The CIA

represents the insurance actually in force during any contract period. The difference between the CIA and MIA is

the standby amount. Separate premiums are charged for

CIA and standby amounts. For loans, premiums are

charged on the “covered amount”, the amount of disbursed

principal plus accrued interest less principal paid to date,

and a standby fee is charged for undisbursed principal.

The base rates shown in the following tables may be

increased or decreased, usually by not more than one-third,

depending on the risk profile of the project. The base rates

shown are also subject to change without notice Once

established, the rates are fixed for the life of the contract.

OPIC insurance contracts generally require that premiums be

paid annually in advance.

www.opic.gov/subdocs/public/publications/insrates.htm.

Manufacturing & Services

Annual Base Rates per $100 of Coverage

Active/

Coverage Current Standby

Inconvertibility $ .30 $ .25

Expropriation .60 .25

Political Violence1

Business Income .45 .25

Assets .60 .25

1. Discounted rates may be available for combined business 

income and assets political violence coverage.

Institutional Loans & Leases

Annual Base Rates per $100 of Coverage 1

Covered Undisbursed

Coverage Amount2

Principal

Inconvertibility $ .45 $ .20

Expropriation .40-.90 .20

Political Violence .40-.70 .20

1. Package rates may be available for combinations of coverages.

2. The covered amount is the amount of disbursed principal plus 

accrued interest, less principal repaid to date.
2 2 2 3

Oil & Gas

Annual Base Rates per $100 of Coverage 

Development/

Exploration Production

Coverage Period Period Standby

Inconvertibility $ .30 $ .30 $ .25

Expropriation .40 1.50 .25

Political Violence

Assets .75 .75 .25

Interference

with Operations .40 .40 .25

Natural Resources

(Except Oil & Gas)

Annual Base Rates per $100 of Coverage

Active/

Coverage Current Standby

Inconvertibility $ .30 $ .25

Expropriation .90 .25

Political Violence

Business Income .45 .25

Assets .60 .25

Contractors & Exporters

Annual Base Rates per $100 of Coverage

Coverage Current Standby

Assets

Inconvertibility $ .30 $ .25

Expropriation .60 .25

Political Violence .60 .25

Bid Bonds .50 .25

Performance,

Advance Payment,

& Other Guaranties .60 .25

Disputes .70 .25

Availability,

Extent of Coverage & Claims

Availability

OPIC insurance may not be available for certain coverages,

or there may be limitations for underwriting or other reasons. Investors should consult with OPIC regarding availability of its programs in particular countries.

www.opic.gov/subdocs/public/publications/ctrylist.htm.

Extent of Coverage

Term

The term of an insurance policy may extend a maximum of

20 years. For loans, leases, and transactions covered by the

contractors and exporters program, the term is generally equal

to the duration of the underlying contract or agreement.

Self-Insurance Requirement

OPIC can insure up to 90 percent of an eligible investment.

OPIC’s statute generally requires that investors bear the

risk of loss of at least 10 percent. However, loans and leases from financial institutions to unrelated third parties may

be insured for 100 percent of principal and interest.

Coverage Multiples

For equity investments, OPIC typically issues insurance

commitments equal to 270 percent of the initial investment

— 90 percent representing the original investment and 180

percent to cover future earnings. Coverage amounts may

be limited for investments in countries where OPIC has a

high portfolio concentration, and for investments in highly

sensitive projects.
2 4 2 5

Claims

As of June 30, 1998, OPIC had paid, guaranteed, or provided indemnities for more than $539 million to investors in

settlement of 253 insurance claims. OPIC’s ability to pay

claims is backed by the full faith and credit of the United

States of America, as well as OPIC’s own substantial

reserves, which are in excess of $3 billion.

OPIC is often able, in cooperation with the U.S. investor,

other U.S. government agencies, the local United States.

Embassy and the host government to resolve potential claim

situations before they materialize. When OPIC has paid or

settled claims, its recovery rate has been outstanding. OPIC’s

claims process is designed to ensure that OPIC protects the

taxpayer, preserves the project, and pays valid claims.

Application Procedures

Registration

Investors are required to register projects with OPIC before

the investment has been made or irrevocably committed.

Registration is free of charge and, to the extent permitted

by law, treated as confidential business information. To

register, an investor must submit Form 50 - Request for

Registration for Political Risk Insurance. Upon receipt of

Form 50, OPIC will send a confirmation letter and application forms. A registration is valid for two years, and may

be renewed in one-year increments. Registration of a project is not a binder and in no way constitutes a commitment

to issue insurance, nor does it indicate that OPIC’s eligibility

criteria have been met.

Application

Once the final form of an investment is determined, an

investor must submit Form 52 - Application for Political

Risk Insurance. OPIC also has specialized application forms

tailored for small businesses (Form 223), bid bonds (Form

228), contractors and exporters (Form 81), and oil and gas

(Form 52 Supplement). The applications provide OPIC

with detailed information necessary for OPIC to determine

a project’s eligibility and underwriting risks. OPIC will

charge a retainer fee after the submission of an application

in order to proceed with review of the project.

For More Information

To obtain the insurance registration and application forms,

written requests may be sent to the attention of

“Applications Officer - Insurance Department” at 1100

New York Avenue, N.W., Washington, D.C., 20527. Callers

with fax machines may use OPIC’s automated FactsLine at

(202) 336-8700 to obtain Form 50 (Document #7902),

Form 52 (Document #6906), and Form 223 (Document #6905).

www.opic.gov/subdocs/forms.htm.
2 7

Financing

Financing

OPIC provides financing through direct loans and loan

guaranties that provide medium- to long-term funding to

ventures involving significant equity and/or management

participation by U.S. businesses.

OPIC can provide financing on a project finance or a corporate finance basis. Rather than relying on sovereign or

sponsor guaranties, project financing looks for repayment

from the cash flows generated by projects. Therefore, OPIC

carefully analyzes the economic, technical, marketing and

financial soundness of each project. There must be an adequate cash flow to pay all operational costs, service all debt,

and provide the owners or sponsors with an adequate

return on their investments. To the extent that such project financing is appropriate, sponsors need not pledge their

own general credit beyond the required completion undertakings. Corporate finance looks to the credit of an existing corporate entity other than the project company to support debt repayment.

OPIC can provide medium- and long-term financing in

countries where conventional financial institutions often

are reluctant or unable to lend on such a basis. Since its

programs support private sector investments in financially

viable projects, OPIC does not offer concessionary terms

usually associated with government-to-government lending, nor does it typically offer financing of export sales

unrelated to long-term investments in overseas business.

OPIC will not participate in projects that can secure adequate financing from commercial sources.

Eligibility

In addition to the eligibility requirements indicated on

pages 2-6, all projects or transactions considered for OPIC

financing must be commercially and financially sound.

They must be within the demonstrated competence of the

proposed management, which must have a proven record of

success in the same or a closely related business, as well as

OPIC's finance program supports U.S.

companies of all sizes so that they can

compete in new and growing markets

overseas. OPIC can offer loan terms

of up to 15 years, and using flexible

financing structures and security

packages, help U.S. companies secure

timely and appropriate financing.
2 8 2 9

a significant continuing financial risk in the enterprise.

OPIC's criteria are the same whether it is making a direct

loan or issuing a loan guaranty.

OPIC provides financing for a wide range of enterprises

under terms and conditions sufficiently flexible to permit

sound development projects to be implemented.

Ownership

OPIC provides financing for overseas investments that are

wholly owned by U.S. companies or that are joint ventures

in which the U.S. sponsor firm is a participant. The U.S.

investor is expected to assume a meaningful share of the

risk, generally through ownership of at least 25 percent of

the equity in the project.

As a rule, more than 50 percent of the voting shares of the

overseas venture should be held by firms or persons from

the private sector. However, financing may be offered to an

entity in which government ownership of voting shares

represents the majority, if it is contractually agreed that

management will remain in private hands and there is a

strong showing of direct U.S. interest in other respects.

Projects wholly owned or controlled by governments are

not eligible.

Financing Plan

Investors must be willing to establish sound debt-to-equity

relationships that will not jeopardize the success of the project through insufficient equity or excessive leverage. The

financial structure will vary with the nature of a specific

business and will be affected by the variability of expected

cash flows. Experience indicates that an adequate level of

equity contributions is essential for a project to succeed.

The financing plan should provide funds to meet all costs,

including feasibility studies, organizational expenses, land,

construction, machinery, equipment, training and market

development expenses, interest payments during construction, start-up expenses, including initial losses, and adequate working capital.

OPIC Participation

The amount of OPIC’s participation may vary, taking into

consideration the project’s contribution to the host country’s development, the project’s financial requirements,

and the extent to which the financial risks and benefits are

shared among the investors and the lenders.

OPIC may assist in designing the financial plan and in

coordinating it with other lenders and investors. In providing project financing, OPIC can participate in up to 50

percent of the total costs of a new venture, while a somewhat higher participation may be considered in the case of

an expansion of a successful existing business, or in a corporate financing. OPIC support cannot exceed 75 percent

of the total investment.

Completion Agreement 

& Sponsor Support

OPIC recognizes that possible cost overruns and early operating problems may occur, despite careful planning and an

allowance for contingencies in the financial plan. Therefore,

OPIC, like other limited recourse lenders, normally requires

that the principal sponsors enter into an agreement under

which they are obligated to guarantee payment of debt service to OPIC as well as cover cost overruns prior to project

completion. Project completion is defined to include certain

financial and operating tests, as well as physical completion.

The sponsors must have the financial capability to perform

their obligations under this agreement.

In corporate finance transactions, OPIC generally requires

that the sponsors provide a guaranty throughout the life of

the transaction.
3 0 3 1

Financing Techniques

OPIC provides loan guaranties, which are typically used for

larger projects, and direct loans, which are reserved for projects sponsored by or substantially involving U.S. small

businesses and cooperatives. OPIC can normally guarantee

or lend up to $200 million per project.

Under both financing techniques, the borrower approaches

OPIC to analyze and structure financing for an overseas

project. OPIC determines the appropriate terms of borrowing and, where a guaranty is sought rather than a direct

loan, may assist in identifying a financial institution willing to provide the needed funds.

Guaranties are issued to U.S. financial institutions more

than 50 percent beneficially owned by U.S. citizens, corporations, or partnerships. Foreign corporations that are at

least 95 percent U.S. owned are also eligible, as are other

foreign entities that are 100 percent U.S. owned. Typical

funding institutions include insurance companies, pension

funds and commercial banks.

These lenders are fully protected by the full faith and credit

of the United States of America. OPIC-guaranteed loans are

classified as eligible U.S. government securities for insurance companies and many other institutional investors.

Loan Terms

The repayment schedule of a direct or guaranteed loan will

reflect the purpose of the loan and the projected level of cash

flows to be generated in the transaction. The cash flows

must be sufficient to meet interest and principal payments

and to provide for an adequate return to equity investors.

The terms of such loans, therefore, will typically provide for

a final maturity of five to fifteen years following a suitable

grace period during which only interest is payable.

Interest rates on OPIC loans will vary with OPIC’s assessment of the financial and political risks involved. They

will also reflect interest rates in long-term capital markets

in the United States.

Interest rates on guaranteed loans are comparable to those

of other U.S. government-guaranteed issues of similar

maturity and are subject to OPIC approval. For loan guaranties, OPIC charges the borrower a guaranty fee which

typically averages two and one-half to five percent per

annum on the outstanding principal amount, depending

upon commercial and political risk. Both fixed and floating

interest rates are available, although direct loans are normally financed on a fixed rate basis.

In general, OPIC expects that its creditor participation will

be on a senior basis, pari passu with the holders of other

senior debt, and that it will share in a first lien on fixed

assets and any other appropriate collateral. A host government guaranty normally is not required by OPIC.

Consistent with commercial lending practices, up-front,

commitment, and cancellation fees may be charged, and

reimbursement is required for related out-of-pocket expenses, including fees for outside counsel and for the services of

experts or consultants.

Relationships With Other

Financial Institutions

OPIC’s financing is designed to complement and supplement the lending and investing facilities of commercial

banks; local, regional and international development banks

and investment funds; other agencies of the United States

government such as the Export-Import Bank of the United

States; and a number of other multilateral lending institutions including the World Bank, the International Finance

Corporation, the European Bank for Reconstruction and

Development, and the Asian Development Bank. OPIC

advises and assists U.S. sponsors in securing debt and equity financing from these institutions where appropriate in

conjunction with OPIC financing.
3 2 3 3

The data prepared and submitted by sponsors to substantiate sources of raw material, technical feasibility, and market demand are carefully analyzed together with the financial forecasts. In some instances, OPIC retains independent consultants to assist in its analysis and review.

Following OPIC’s preliminary review and approval, the

sponsors may be asked to provide additional economic,

financial and technical information as a formal application

for financing. Such information is essentially that which

any board of directors would need before committing its

company to an investment. Guidelines for formal applications will be provided, though the type of information to be

supplied will vary with the nature of the proposed business.

The time required to review an application and to commit

and close a financing transaction depends on the scope and

detail of the data first presented as well as the complexity

of the transaction, and varies from three to six months or

more. A key determinant is the thoroughness and timeliness with which all the information required by OPIC is

developed and submitted. Approval time may be reduced

in corporate financing transactions since there are fewer

project issues to be researched and generally collateral is

located in the U.S. Investors are encouraged to consult

with OPIC early in the loan process, since simultaneous

satisfaction of as many of the above requirements as possible will speed loan disbursement.

For More Information

For more information on OPIC financing or to obtain application forms, written requests may be sent to the attention of

“Vice President - Finance Department” at 1100 New York

Avenue, N.W., Washington, D.C., 20527. Callers with fax

machines may use OPIC’s automated FactsLine at (202)

336-8700 to obtain Form 115 (Document #6902), Form 220

(Document #6904) and Form 115 Supplement - Guidelines

for the OPIC Application for Financing (Document #6903).

www.opic.gov/subdocs/forms.htm.

Many of OPIC’s financings involve at least one other lender

or independent investor, and in large projects several such

institutions are typically involved. OPIC’s willingness to

finance a substantial portion of debt requirements, to

accept longer or more flexible maturities, and to finance at

fixed interest rates may facilitate participation of other

lenders and investors in a project.

Application Procedures

The sponsor of a potential project interested in obtaining

financing should submit a business plan for the proposed

project and Form 115 - Application for Financing or Form

220 - Small Business Application for Financing.

The business plan should establish general eligibility and give

OPIC the basis on which it can respond to the amount and

basic terms of the requested financing. It should include:

■ a general description of the project;

■ the identity, background and audited financial

statements of the project's proposed principal owners and management;

■ planned sources of supply, anticipated output and

markets, distribution channels, competition, and

the basis for projecting market share;

■ a summary of project costs and anticipated suppliers of capital goods and services;

■ a proposed financing plan, including the amount of

the proposed OPIC participation, and financial projections; 

■ pro forma financial statements of the proposed project or corporate borrower and accompanying

assumptions; and

■ a brief statement of the contribution the business

is expected to make to local economic and social

development.
3 4 3 5

matter that a new OPIC-supported fund should be created,

OPIC will call for suitable proposals from experienced private investment managers qualified to form and manage a

fund designed to serve the identified policy objective. The

fund manager is expected to add value to the fund’s portfolio investments through strategic planning and access to

new technologies and expansion capital, and is expected to

have a strategy for the eventual liquidation of investments.

The fund manager typically becomes a voting member of

the board of directors or other governing body of any company in which a fund invests.

Each investment by a fund must meet OPIC’s statutory and

policy requirements, including standards respecting impacts

on the U.S. economy and employment, the environment,

and worker rights. The investment funds make their own

commercially based investment decisions. Project sponsors

seeking long-term growth capital for projects potentially of

interest to an OPIC-supported fund should approach the

appropriate fund directly.

For More Information

Written requests may be sent to the attention of “Administrator - Investment Funds Department” at 1100 New York

Avenue, N.W., Washington, D.C., 20527. Callers with fax

machines may use OPIC’s automated FactsLine at (202) 336-

8700 to obtain a current OPIC Direct Investment Funds List

(Document #6011).

www.opic.gov/subdocs/public/publications/fundlist.htm.

Investment Funds

Introduction

In order to address a lack of sufficient capital available for

equity investments in certain regions or sectors in emerging market economies, OPIC has supported the creation of

privately owned, privately managed investment funds that

make direct equity and equity-related investments in new,

expanding or privatizing companies. By making or guaranteeing long-term loans to these funds, OPIC supplements

the capital provided by sophisticated private investors,

thereby increasing the funds available for investment overseas, and attracts major sources of private equity, including

pension funds and other institutional investors that otherwise may be unwilling to make long-term investments in

emerging markets. 

Investments made by these funds assist U.S. businesses —

large and small alike — by developing new markets and

opportunities, and by financing their overseas affiliates

such as joint ventures, distributors, franchisees, and other

entities. They also provide capital for the privatization of

government-owned businesses, a process fundamental to

the development of market economies.

OPIC financing currently supports 26 funds operating in

sub-Saharan Africa, North Africa, India, the Middle East,

Asia, the Pacific region, Latin America, Central and Eastern

Europe, and the New Independent States of the former

Soviet Union. Four sector-specific funds operate worldwide, three concentrating on environmental projects and

one on investments involving U.S.-based small businesses.

How the Funds Work

The decision to support a fund is highly selective, and is

made at OPIC’s discretion based on policy considerations.

Therefore, there is no application procedure for creating an

OPIC-supported fund, and unsolicited proposals are not

treated as applications. When OPIC determines as a policy
3 7

Additional

Information

Albania

Algeria

Angola

Anguilla

Antigua & Barbuda

Argentina

Armenia

Aruba

Azerbaijan

Bahamas

Bahrain

Bangladesh

Barbados

Belarus

Belize

Benin

Bolivia

Bosnia & Herzegovina

Botswana

Brazil

Bulgaria

Burkina Faso

Cambodia

Cameroon

Cape Verde

Central African

Republic

Chad

Chile

Colombia

Congo

Congo, Democratic 

Republic of

Cook Islands

Costa Rica

Côte d’Ivoire

Croatia

Cyprus

Czech Republic

Djibouti

Dominica

Dominican Republic

Ecuador

Egypt

El Salvador

Equatorial Guinea

Eritrea

Estonia

Ethiopia

Fiji

French Guiana

Gabon

Georgia

Ghana

Greece

Grenada

Guatemala

Guinea

Guinea-Bissau

Guyana

Haiti

Honduras

Hungary

Indonesia

Ireland

Israel

Jamaica

Jordan

Kazakstan

Kenya

Kiribati

OPIC Countries & Areas

OPIC programs are generally available in the countries and

areas listed below. From time to time, statutory and policy

constraints may limit the availability of OPIC programs in

certain countries, or countries where programs were previously unavailable may become eligible. Also, under agreements with certain countries, the investor may need to

obtain host government approval before OPIC can support

the project. The approval procedures vary from country to

country and are available from OPIC. 

Investors are urged to contact OPIC directly for up-to-date

information regarding availability of OPIC services in specific countries, as well as information on program availability

in countries not listed. Callers with fax machines may use

OPIC’s automated FactsLine at (202) 336-8700 to obtain a

current OPIC Country & Area List (Document #1025).

www.opic.gov/subdocs/public/publications/ctrylist.htm.
3 8 3 9

Abbott Laboratories 

Abbott Park, Illinois

ACON Partners

Washington, D.C.

AES Corporation

Arlington, Virginia

Africa Growth Fund, L.P.

Glastonbury, Connecticut

African Communications

Group, Inc.

Cambridge, Massachusetts

Agro Management Group, Inc.

Berkeley, California

Aguaytia Energy, L.L.C.

Dallas, Texas

AIG Millennium G.P., L.L.C.

New York, New York

Air Products & Chemicals, Inc.

Allentown, Pennsylvania

Alliant Techsystems, Inc.

Hopkins, Minnesota

Allied Capital Corporation

Washington, D.C.

America First Companies

Omaha, Nebraska

American Manufacturing &

Trading, Inc.

Santa Fe Springs, California

American President Lines, Ltd.

Oakland, California

Amicale Mongolia, Inc.

New York, New York

Andrew Corporation

Orland Park, Illinois

Anheuser Busch International, Inc.

St. Louis, Missouri

Ardaman & Associates, Inc.

Orlando, Florida

Auburndale Properties, Inc.

Washington, D.C.

Ball Corporation

Muncie, Indiana

Bancroft Group 

Washington, D.C.

Battle Mountain Gold Company 

Houston, Texas

Bechtel Corporation, Inc.

San Francisco, California

Belfinance Haussmann, L.L.C.

New York, New York

BellSouth Enterprises, Inc.

Atlanta, Georgia

BEn MWSS Holdings, Ltd.

San Francisco, California

Louis Berger International, Inc.

East Orange, New Jersey

BHP Finance International, Inc.

San Francisco, California

Braswell Services Group, Inc.

Charleston, South Carolina

Brotech Corporation

Bala Cynwyd, Pennsylvania

C & W Trading Company, Inc.

Westport, Connecticut

Cabot Corporation

Boston, Massachusetts

CalEnergy Company, Inc.

Omaha, Nebraska

Camco International, Inc.

Houston, Texas

Campbell Soup Company 

Camden, New Jersey

Capital Investment

Management Corporation 

McLean, Virginia

Caterpillar, Inc.

Peoria, Illinois

CEA San Nicolas, Inc.

Ridgewood, New Jersey

Chaparral Resources, Inc.

Denver, Colorado

The Chase Manhattan Bank, N.A.

New York, New York

Chicago International

Corporation, Ltd.

Palatine, Illinois

Citibank, N.A.

New York, New York

CMS Energy Company

Dearborn, MI

CMS Nomeco International

Equatorial Guinea, Inc.

Houston, Texas

Coastal Power Company

Houston, Texas

OPIC Clients

OPIC’s clients come from across the United States and represent large and small companies from virtually every industrial sector. Below is a representative list of these companies.

www.opic.gov/subdocs/public/publications/clientlist.htm

Korea

Kuwait

Kyrgyzstan

Laos

Latvia

Lebanon

Lesotho

Lithuania

Macedonia, Former

Yugoslav Republic of

Madagascar

Malawi

Malaysia

Mali

Malta

Marshall Islands

Mauritius

Federated States of

Micronesia

Moldova

Mongolia

Morocco

Mozambique

Namibia

Nepal

Netherlands Antilles

Nicaragua

Northern Ireland

Oman

Panama

Papua New Guinea

Paraguay

Peru

Philippines

Poland

Portugal

Romania

Russia

Rwanda

Saint Kitts & Nevis

Saint Lucia

Saint Vincent &

the Grenadines

São Tomé & Príncipe

Senegal

Sierra Leone

Singapore

Slovakia

Slovenia

Somalia

South Africa

Sri Lanka

Suriname

Swaziland

Taiwan

Tajikistan

Tanzania

Thailand

Togo

Tonga

Trinidad & Tobago

Tunisia

Turkey

Turkmenistan

Uganda

Ukraine

Uruguay

Uzbekistan

Venezuela

Vietnam

West Bank & Gaza

Western Samoa

Yemen

Zambia

Zimbabwe
4 0 4 1

Coca Cola Company

Atlanta, Georgia

Comcast Corporation 

Philadelphia, Pennsylvania

Conair Corporation

East Windsor, New Jersey

Conoco International

Petroleum Company

Houston, Texas

Conrad International

Investment Corporation

Beverly Hills, California

Constellation Power

International Investments, Ltd.

Baltimore, Maryland

Continental Enterprises, Ltd.

New York, New York

Continental Grain Company

New York, New York

Crosby International

Enterprises , L.L.C.

Grand Isle, Louisiana

Crown Cork & Seal Company, Inc.

Philadelphia, Pennsylvania

CSW International, Inc.

Dallas, Texas

Culligan International Company

Northbrook, Illinois

Cyprus Amax Minerals

Company, Inc.

Golden, Colorado

Denver & Ephrata Telephone

& Telegraph Company

Ephrata, Pennsylvania

Dillingham Construction

International, Inc.

Pleasanton, California

Direct Net

Telecommunications, L.L.C.

Newport Beach, California

Dominion Energy, Inc.

Richmond, Virginia

Draper International

San Francisco, California

Dresser Industries, Inc.

Dallas, Texas

E.I. Du Pont de Nemours

& Company

Houston, Texas

Durametallic Corporation

Kalamazoo, Michigan

Edison Mission Energy Company

Irvine, California

EI Power, Inc.

Parsippany, New Jersey

EIF Costa Rica, L.L.C.

Boston, Massachusetts

El Camino Resources

International, Inc.

Woodland Hills, California

El Paso Tennessee

Pipeline Company

Houston, Texas

Ellicott Machine Corporation

Baltimore, Maryland

Energia Global, Inc.

Wakefield, Massachusetts

Energy Initiatives, Inc.

Parsippany, New Jersey

Energy Investors Funds II, L.P.

Boston, Massachusetts

Engelhard Corporation

Iselin, New Jersey

Enron Oil & Gas Company

Houston, Texas

Environmental Systems

Corporation

Knoxville, Tennessee

EPEC Cogeneration Company

Houston, Texas

EPED Holding Company

Houston, Texas

Equator Holdings, Ltd.

Hartford, Connecticut

Euro Enterprises Company, Inc.

Los Angeles, California

F C Schaffer & Associates, Inc.

Baton Rouge, LA

Ferro Corporation

Cleveland, Ohio

First National Bank of Boston

Boston, Massachusetts

Fluor Corporation

Irvine, California

FMC Corporation 

Chicago, Illinois

Foodpro International, Inc.

San Jose, California

Ford Motor Company

Dearborn, Michigan

Foster Wheeler Corporation

Clinton, New Jersey

Fusion Enterprises, Inc.

Waterbury, Connecticut

Garnet Resources Corporation

Houston, Texas

GEF Management Group

Washington, D.C.

General Dynamics Corporation

Falls Church, Virginia

General Electric Company

Fairfield, Connecticut

General Motors Corporation

Detroit, Michigan

Generation Ukraine, Inc.

Wolfeboro, New Hampshire

Global Forestry

Management Group

Portland, Oregon

Golub & Company

Chicago, Illinois

W.R. Grace & Company

Stamford, Connecticut

Great America Life Corporation

New York, New York

Hambrecht & Quist

Asia Pacific, Inc.

San Francisco, California

Harris Corporation

Melbourne, Florida

HBR Energy, Inc.

Wilmington, Delaware

Hilton Hotels Corporation

Beverly Hills, California

Houston Industries

Energy Cayman, Inc.

Houston, Texas

Hyatt International Corporation

Chicago, Illinois

Illinova Generating Company

Decatur, Illinois

Ingersoll Rand Company 

Woodcliff Lake, New Jersey

InterArab Management, L.L.C.

Portola Valley, California

International Advisory

Group, Inc.

Alexandria, Virginia

International Paper Company

Purchase, New York

Interstate Foods/

Fresh Start Bakeries, L.P.

Lisle, Illinois

Intertel El Salvador, L.L.C.

Jackson, Mississippi

Intertel Nicaragua, L.L.C.

Jackson, Mississippi

IRCI Corporation 

Wilmington, Delaware

J.M. Huber Corporation

Edison, New Jersey

JI Case Company

Racine, Wisconsin

John Hancock Mutual Life

Insurance Company

Boston, Massachusetts

K & M Engineering &

Consulting Corporation

Washington, D.C.

Kerr McGee

Chemical Corporation

Oklahoma City, Oklahoma

Kiewit Energy Company

Omaha, Nebraska

Kimberly Clark Corporation

Dallas, Texas

KMR Corporation 

Arlington, Virginia

Landon Butler & Company

Washington, D.C.

Lapp Insulator Company

LeRoy, New York

Leathertouch Fabrics

International, Inc.

Conshohocken, Pennsylvania

Levi Strauss & Company

San Francisco, California

Levon Travel Bureau, Inc.

Los Angeles, California

Los Amigos Leasing

Company, Ltd.

Parsippany, New Jersey

M-I Drilling Fluids Company

Houston, Texas

Magma Netherlands, B.V.

Omaha, Nebraska

Mallon Minerals Corporation

Denver, Colorado

Marathon Oil Company

Houston, Texas

Marriott International, Inc.

Washington, D.C.

Mars, Inc.

McLean, Virginia

McDonald’s Corporation

Oakbrook, Illinois

MCN Energy Group, Inc.

Detroit, Michigan

MCT Investors, L.P.

Alexandria, Virginia

Metl-Span Corporation

Lewisville, Texas

MIR Partnership

Brewster, New York

Morgan Stanley Group, Inc.

New York, New York

Motorola, Inc.

Schaumburg, Illinois

N C International Company

Seattle, Washington

Nabors Drilling

International, Ltd.

Houston, Texas

NationsBank Corporation

Charlotte, North Carolina

NCH Advisors

New York, New York

New York Life

Insurance Company

New York, New York
4 2 4 3

Newmont Gold Company

Denver, Colorado

NRGenerating International B.V.

Minneapolis, Minnesota

Nuevo Energy Company

Houston, Texas

Ochoco Lumber Company

Prineville, Oregon

Oppenheimer & Company

New York, New York

OSI Industries, Inc.

Aurora, Illinois

PADCO, Inc.

Washington, D.C.

Pan American Life

Insurance Company

New Orleans, LA

Pepsi Cola General Bottlers, Inc.

Rolling Meadows, Illinois

Perini International Corporation

Framingham, Massachusetts

Phelps Dodge Corporation

Phoenix, Arizona

Pioneer Group, Inc.

Boston, Massachusetts

Pride Petroleum Services, Inc.

Houston, Texas

Puerto Quetzal

Power Corporation

Houston, Texas

The Purolite Company 

Bala Cynwyd, Pennsylvania

Pushpa Polymers Private, Ltd.

Torrance, California

Raymond James Financial, Inc.

St. Petersburg, Florida

Readers Digest Association, Inc.

Pleasantville, New York

Resources Industries, Ltd.

Baton Rouge, Louisiana

Reynolds International, Inc.

Richmond, Virginia

Rose Hall Associates.L.P.

Dallas, Texas

Samson International, Ltd.

Tulsa, Oklahoma

Schering Overseas, Ltd.

Kennilworth, New Jersey

Science Applications

International Corporation

San Diego, California

Seaboard Overseas, Ltd.

Shawnee Mission, Kansas

G.D. Searle & Company

Skokie, Illinois

Sheraton International, Inc.

Boston, Massachusetts

Siguler Guff & Company

New York, New York

Sloan Financial Group

Durham, North Carolina

SOCO International

Fort Worth, Texas

South Asia Capital, Ltd.

New York, New York

Sovlink Corporation

New York, New York

State Street Bank

& Trust Company

Boston, Massachusetts

Sustainable Forest Systems, L.P.

Incline Village, Nevada

T C W Asset

Management Company

Houston, Texas

T K Tel, Ltd.

Washington, D.C.

Tarrant Partners 

San Francisco, California

Tea Importers, Inc.

Westport, Connecticut

Teachers Insurance and Annuity

Association of America

New York, New York

TECO Power Services Corporation

Tampa, Florida

Telecel U.S.A., Ltd.

Reston, Virginia

Templeton Direct Advisors

Greenwich, Connecticut

Termovalle Investment

Company, L.C.

Arlington, Virginia

TII Industries, Inc.

Copiague, New York

Union Carbide Corporation

Danbury, Connecticut

Union Oil Company of California

El Segundo, California

Union Texas

Petroleum Holdings, Inc.

Houston, Texas

United Fruit Company

St. Louis, Missouri

Universal Foods Corporation

Milwaukee, Wisconsin

Unocal Corporation

El Segundo, California

US WEST, Inc.

Englewood, Colorado

Volt-Autologic Directories, S.A.

New York, New York

Walter International, Inc.

Houston, Texas

Warner Lambert Company

Morris Plains, New Jersey

Wellington Hall, Ltd.

Lexington, North Carolina

Western Land

& Investment Company

Fort Collins, Michigan

Westsphere Capital Associates

New York, New York

Westworld, Inc.

Houston, Texas

Whitman Corporation

Rolling Meadows, Illinois

Williams Holdings

of Delaware, Inc.

Tulsa, Oklahoma

Wing International, Ltd.

The Woodlands, Texas

Wood Industries

International, Ltd.

Greenwich, Connecticut

Worldwide Jewelry Corporation

New York, New York

WRB Enterprises

Tampa, Florida
4 4 4 5

Contacting OPIC

General Information

OPIC on the Internet

If you have access to the internet, visit OPIC’s website at the

address below for a wide variety of publications, application

forms, press releases and other information, including

updates on the information contained in this document.

■ http://www.opic.gov

Electronic Mail

To obtain general information via electronic mail, requests

may be sent to to the following address:

■ info@opic.gov

Written Inquiries

Written requests for general information should be sent to

the attention of “Information Officer” at:

■ Overseas Private Investment Corporation

1100 New York Avenue, N.W.

Washington, D.C. 20527

The OPIC InfoLine & FactsLine

OPIC maintains an automated system to provide callers

with general information on OPIC’s insurance and financing programs 24 hours a day.

Using the OPIC InfoLine, callers may listen to brief recorded program descriptions, request that printed program

information be sent to them via mail or fax, or, from 8:45

a.m. to 5:30 p.m., Eastern Time, speak with an OPIC

Information Officer.

■ OPIC InfoLine: (202) 336-8799

Callers with fax machines and a touch tone telephone may

bypass the InfoLine and call the OPIC FactsLine directly to

obtain facsimiles of various OPIC documents, including

registration and application forms.

■ OPIC FactsLine: (202) 336-8700

Contacting OPIC by Fax

Facsimiles may be sent to the number below. Please be sure

to specify an OPIC officer and/or department on the cover

sheet so the fax may be properly routed.

■ Main Fax Number: (202) 408-9859

Insurance Information

Written requests may be sent to the attention of “Applications Officer - Insurance Department” at the above

address to obtain: 

■ information on insurance for specific projects;

■ Form 50 - Request for Registration for Political Risk

Insurance;

■ Form 52 - Application for Political Risk Insurance;

and

■ other specialized insurance forms (see pages 24-25).

Callers with fax machines may use OPIC’s automated

FactsLine at (202) 336-8700 to obtain Form 50 (Document

#7902), Form 52 (Document #6906), and Form 223

(Document #6905).

www.opic.gov/subdocs/forms.htm
4 6 4 7

Finance Information

Written requests may be sent to the attention of “Vice

President - Finance Department” at the above address to

obtain: 

■ information concerning financing for specific projects;

■ Form 115 - Application for Financing;

■ Form 115 Supplement - Guidelines for the OPIC

Application for Financing; and

■ Form 220 - Small Business Application for Financing.

Callers with fax machines may use OPIC’s automated

FactsLine at (202) 336-8700 to obtain Form 115 (Document

#6902), Form 220 (Document #6904) and Form 115

Supplement (Document #6903).

www.opic.gov/subdocs/forms.htm

Investment Funds Information

Written requests may be sent to the attention of “Administrator - Investment Funds Department” at the above

address. Callers with fax machines may use OPIC’s automated FactsLine at (202) 336-8700 to obtain a current OPIC

Direct Investment Funds List (Document #6011).

www.opic.gov/subdocs/public/publications/fundlist.htm

U.S. Government

International Trade Information

The U.S. government has established a comprehensive

source — the Trade Information Center (TIC) — for information on federal export assistance programs. Housed at

the U.S. Department of Commerce, the TIC provides information on sources of:

■ international trade and export promotion, financing

and counseling;

■ international market research and trade leads;

■ overseas and domestic trade events and activities;

and

■ documentation and licensing requirements.

The TIC’s international trade specialists can be reached

weekdays from 8:30 a.m. to 5:30 p.m., Eastern Time, at:

■ Telephone: 1-800-USA-TRADE (1-800-872-8723)

■ TDD: 1-800-DDD-TRADE (1-800-833-8723)

■ Internet: http://infoserv2.ita.doc.gov/tic.nsf

■ Fax: (202) 482-4473
Overseas Private Investment Corporation

Program Handbook

Design

Lomangino Studio, Inc.

Layout & Production

Christopher P. Astriab

Photography

Mr. Muñoz: © 1998 Sam Kittner

Printing

Reese Press

September 1998
OVERSEAS PRIVATE INVESTMENT CORPORATION

An Agency of the United States Government

1 1 0 0 N ew Yo r k Ave nu e , N .W.

Washington, D.C. 20527