Ingram Micro Launches New Accounts Receivable Securitization Program Through Five-Year Agreement With GE Capital
SANTA ANA, Calif., March 9 /PRNewswire/ -- Ingram Micro Inc. (NYSE:IM)
, the world's largest wholesale provider of technology products and services, today announced an agreement with GE Capital, one of the largest financial service providers in the world, to provide a five-year, $700 million accounts receivable securitization commitment, funded through Redwood Receivables Corp., a GE Capital-sponsored commercial paper conduit. The commercial paper is rated A1+/P1 by Standard and Poor's and Moody's Investor Services. This incremental financing commitment adds to the more than $3 billion in total available debt facilities for Ingram Micro, the only investment-grade rated company in the IT distribution industry.
"We are very pleased to be entering into a new partnership with a recognized global leader in the financial services industry. GE Capital has a deep understanding of our industry and is a logical financial partner for Ingram Micro," said Michael J. Grainger, executive vice president and worldwide chief financial officer, Ingram Micro Inc. "This commitment significantly enhances Ingram Micro's ability to fund the long-term strategic growth initiatives of the company."
Having debt capacity is critical in a wholesale distribution business, because it enables companies like Ingram Micro to play a key role in providing credit to its customers to support their growth objectives. As a significant provider of technology products and services, Ingram Micro will use this additional funding to serve its broad customer base. In addition, the five- year commitment with GE Capital provides increased flexibility for Ingram Micro to make incremental investments in strategic growth initiatives and to manage its own financing requirements.
"We are very excited about the new relationship established by this agreement with Ingram Micro," said William J. Brasser, a managing director of GE Capital's Commercial Finance business. "As a logistics market leader and business-to-business e-commerce service provider, Ingram Micro is positioned to leverage this commitment to support rapid growth within this dynamic industry."
About GE Capital
GE Capital, with assets of over US $345 billion, is a global, diversified financial services company with 28 specialized businesses. A wholly-owned subsidiary of General Electric Company, GE Capital, based in Stamford, CT, provides equipment management, mid-market and specialized financing, specialty insurance and a variety of consumer services, such as car leasing, home mortgages and credit cards, to businesses and individuals around the world. GE is a diversified manufacturing, technology and services company with operations worldwide.
About Ingram Micro Inc.
Operating in 34 countries, Ingram Micro Inc. (NYSE:IM)
is the world's largest wholesale provider of technology products and services, with sales exceeding $28 billion in 1999. Ingram Micro's key business units deliver fulfillment and distribution, product acquisition and selection, supply-chain automation and programs, as well as eProcurement to more than 175,000 technology solution providers, manufacturers and businesses located in more than 100 countries. Ingram Micro is driving the evolution of wholesale distribution for the information technology industry and is the operations engine behind leading global e-businesses today. Ingram Micro can be found at www.ingrammicro.com.
For further information, please contact Jennifer Marchetta, jennifer_marchehtta@benjamingroup.com, or Lisa Landry, lisa_landry@benjamingroup.com, both of Benjamin Group/BSMG Worldwide, 714-245-7500 ext. 224 or 225, for Ingram Micro Inc.; or Kimmerly Strohm, Media Relations of Ingram Micro Inc., 714-382-4400, kim.strohm@ingrammicro.com.
Source: Ingram Micro Inc.
Contact: Jennifer Marchetta, jennifer_marchehtta@benjamingroup.com, or
Lisa Landry, lisa_landry@benjamingroup.com, both of Benjamin Group/BSMG
Worldwide, 714-245-7500 ext. 224 or 225, for Ingram Micro Inc.; or Kimmerly
Strohm, Media Relations of Ingram Micro Inc., 714-382-4400,
kim.strohm@ingrammicro.com
Website: http://www.ingrammicro.com/