1. Coface North America
Credit Insurance
08 10 2011
W. Marc Gurley

2. Coface: Worldwide Trade Facilitator
● Founded in France in 1946; International expansion in the 1990s
 Over 60 years experience in credit risk protection
● Subsidiary of Natixis; ultimate shareholder is BCPE
 BCPE is the second largest French bank group with over 6 million
customers
● Rated: AA- (stable outlook) by Fitch
A2 (stable outlook) by Moody’s
Coface facilitates business-to-business commerce worldwide,
offering solutions to all companies – whatever their size,
nationality, or business sector – for managing and protecting
their accounts receivable.
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3. Extending credit is a fact of life
Extending credit is a fact of life for most companies.
 In order to compete to win business, many companies extend credit to their
customers, at the risk of not getting paid.
Sound credit management practices are necessary to ensure your cash
flow and profitability.
 Credit investigation before the sale
 Continual monitoring of the health of your accounts
 Swift action at signs of financial stress
Even so, the very best credit controls
are sometimes not enough…
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4. The end of the latest credit crisis only starts the clock for the
next credit crisis
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5. Because trusted names can and DO go bankrupt!
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6. Protect a valuable asset – Your A/R
Accounts receivable represent 40 to 70%
of a company’s assets
● Few companies can compete without extending
credit to their customers.
● Most companies insure their buildings, machinery,
staff and inventory but not their A/R – which
provides the cash flow for the business.
● Receivables are vulnerable to unexpected bad debt
losses and fluctuations in business cycles.
● A company operating with a 10% margin would
have to make an additional $1 million in sales to
make up for a $100,000 credit loss.
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7. Credit Insurance
What is credit insurance?
● Your domestic and international accounts receivable protected against
unexpected bad debt loss due to insolvency or protracted default (slow pay)
of your customers.
● All or a majority of your business insured.
● Online portfolio management system allows you to request, change or
cancel coverage with ease.
● File a claim when a customer is insolvent, or after an established amount of
time in cases of slow pay.
● With coverage in place, conduct your business as normal and benefit from
added value credit analysis and collection services.
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8. How credit insurance works
Credit insurance flowchart
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9. Credit Insurance – Advantages
Credit insurance can play several significant
roles for your company:
● Safeguard one of your largest assets
 Credit insurance protects against a devastating loss to an unprotected asset - your
accounts receivable.
● Support your sales goals
 Expand into new and unfamiliar markets much more comfortably.
 Ability to generate sales by extending larger lines of credit than you might
normally offer.
 Become more competitive compared to letters of credit by offering open account.
● Strengthen your credit risk management controls
 Credit underwriters perform detailed credit analysis on your customers, lowering
your credit investigation costs.
 Credit insurance allows you to cap exposure to bad debt losses.
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10. Credit Insurance – Advantages
Receive better financing terms with insured receivables
 Improve borrowing power and increase available capital when your receivables
are insured.
 Increase likelihood of bank lending against foreign receivables.
● Tap into collection services
 A credit insurance policy also provides professional collection and litigation
assistance.
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11. Business Lines
Coface delivers tools that enhance and support a company’s
credit management practices:
 Accounts receivable protection
 Export and domestic credit insurance
 Political Risk risk guarantees
Corporate ratings and business information
 Accounts receivable management and debt collection
At every step of its development a company can choose
services adapted to its needs by either using them separately
or combining them to create its own tailor-made solution.
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12. Key figures
 €1,622 M
in turnover (2010)
 Direct presence in 66 countries
 Coface offer available in
95 countries in total
 135,000 clients worldwide
 €374 billion
insured invoices
 55 million
rated companies
 6,400 employees worldwide
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13. A main asset – our Global Network
Coface provides local service to clients in 95 countries representing
over 80% of world trade via:
 Direct presence in 66 countries
 CreditAlliance partners in 29 additional countries
Coface makes this network available to its clients.
Its guarantees and services comply with quality standards and adapt
to trade evolutions worldwide thanks to information and expertise
exchanges.
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14. A strong international presence worldwide
Germany
Austria Bulgaria
Belgium Cyprus**
Denmark Croatia
Spain Finland
France Hungary
Estonia Kazakhstan
Ireland Latvia
Italy Lithuania
Greece** Malta**
Liechtenstein** Poland
Luxembourg Czech Rep.
Norway Romania
Canada The Netherlands Russia
United Portugal Serbia
States United Kingdom Slovakia
Mexico Sweden Slovenia
Switzerland Turkey
Bahrain** Ukraine
Iran**
Algeria Israel
Benin Jordan** Australia
Argentina Burkina Faso Kuwait** Brunei
Brazil Cameroon Lebanon** China
Chile Ivory Coast Djibouti** Korea
Colombia Egypt U.A.E Hong Kong
Costa Rica Gambia** Libya** India
Ecuador Gabon Oman** Indonesia**
Paraguay** Guinea** Qatar** Japan
Peru Mali Syria** Malaysia
Uruguay** Morocco Yemen** New Zealand**
Coface in the world Venezuela Mauritania** Pakistan**
Niger** Philippines**
 Directly present in 66 countries Senegal Singapore
Sudan** Taiwan
Chad** Thailand
 Indirectly present in 29
Togo Vietnam
countries via the CreditAlliance Tunisia**
network** South Africa
Uganda**
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15. Thank you
W. Marc Gurley
Agent
E.W. Droppa & Associates, LLC.
Exclusive Agent for Coface North America
5180 Park Ave., Ste. 120-A
Memphis, TN 38119
Office: 901-213-2033
Cell: 901-336-2781
Email: marc_gurley@coface-usa.com
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16. Trade Credit Insurance
06 11 2011
Additional Details
– Agent name, or prospect name