we have done has been in connection with a project which requires United States machinery, United States equipment, and so forth. Senator BENNETT. The answer is, Mr. Chairman, if you walked in with that kind of problem they would tell you "No." The CHAIRMAN. That is what I am trying to find out. You don't seem to know how much you have done of it. You seem to know all about the projects but when it comes to helping the little fellow that does business on his own scheme and goes over there and does his own selling, you don't seem to have a record of it. I think you have been doing considerable of it, but I just wonder if we have any records of it. Mr. STAMBAUGH. Of course, we have records of everything we have done. Mr. Anderson, will you make a note of that and see what we can do? (The information referred to follows:) Credit Schedule of exporter credits approved during the period July 1, 1945, to May 31, 1954 Venezuela. Miscellaneous Latin America. do. Vulcan Iron Works International General Electric Corp. Vulcan Iron Works. Harnischfeger Corp Internation General Electric Corp. Ingersoll Rand Co American Machinery & Foundry Co 614, 574, 60 Dec. 18, 1946 19, 350.00 2, 200, 000, 00 The CHAIRMAN. I don't mind telling you that that is what we want you to do from now on. I do, and I think the members of the committee do. You better get down to the job of doing it or there may not be any Export-Import Bank in 2 or 3 years. Senator BENNETT. Is there any substantial part of your business that is not represented on that chart of 416 projects? Mr. WALKER. That represents all the net credits. There were a number of credits authorized and there were no disbursements made on them. But substantially that covers the entire operation of the bank for the 20-year period. Senator BENNETT. The indication is that the initiative for those package loans either came from a foreign country or a foreign country was involved in it; and in answer to the chairman's question, if that represents all your business, then there is no area left for the individual American manufacturer who walks in and says, "I am not involved in any project. I have a customer in Brazil and I want some help in financing a sale," and your answer to me would seem to be that we don't do that kind of financing, that everything we have is represented in a project. Mr. STAMBAUGH. That could be the answer to him if what he proposes to export is something that we do not feel justified in using public funds to finance. I refer particularly, considering the problem around the world, to this principle that is followed in our financing, and that is, we endeavor to finance the export from the United States to foreign countries of those things that will not create a burden on their short dollar supply but will improve their foreign-exchange position rather than Senator BENNETT. Then you only aim to finance the export of those things that the foreign government is interested in acquiring. If there is a private deal in which the government is not involved, there isn't any financing. Mr. STAMBAUGH. I didn't say that. We finance exports to private buyers abroad. Senator BENNETT. But only when the government abroad is going to release the exchange so that those people can purchase it? Mr. STAMBAUGH. We have to find reasonable assurance of repayment of our obligation in dollars. If they have exchange control, like they have in Brazil, for instance, and the Government of Brazil is not willing to give their purchaser in Brazil assurance that they will make the dollars available to him when those dollars are required for the repayment of our credit, we don't make the credit. We have to be repaid in dollars, and the only place he can get the dollars is from the Brazilian Government. The CHAIRMAN. May I offer a suggestion, that we put these charts in and then get into what we are talking about with them when we get into this new bill. Senator BENNETT. I think we have covered it The CHAIRMAN. I am vitally interested in what we are talking about. Senator BENNETT. I think Mr. Stambaugh asked that somebody get the information for us. Mr. STAMBAUGH. We will. Senator BENNETT. I think maybe we can let it go until they bring up some information to show how much— The CHAIRMAN. The reason I am suggesting we delay it is because, as I said at the beginning, the record we are making at the moment is going to be a part of our study of this whole problem. As soon as we start on the bill here with General Edgerton, then there will be a separate book on this bill itself. That is the book in which we want the discussion or the colloquy we have been having here. That is one of the things we are vitally interested in and one of the reasons for this new legislation. We want to see the ExportImport Bank really function. Mr. STAMBAUGH. I think you will find from an examination of Mr. Arey's history of the Export-Import Bank some discussion of this question with regard to a change in the nature of business that is presented to us. Actually, the number of instances of approaches to us by individual exporters are not too many. Most of those individual exporters, the little fellow you are talking about, is the fellow who benefits from the fact that we make a loan to finance the construction or the establishment of a project or enterprise in a foreign country that will be of benefit to that country's economy and therefore make that country a better customer for our goods. Mr. LYNCH. I was about to say, Senator, if I may, that Mr. Arey's history shows I think quite clearly that up to September of 1939 the exporter-type credit was much more prominent than it was from 1939 until about 16 to 18 months ago. Until about 16 or 18 months ago I think you could count the approaches on 1 hand-maybe 2 hands-that we had from exporters for credit of this sort. We were in a seller's market in this country, as you know. The CHAIRMAN. You say you could count them on one hand? Mr. LYNCH. I changed that to say 2 hands. But the approaches until 18 months ago were very, very few indeed. The CHAIRMAN. Wasn't it primarily because they became discouraged coming around? Mr. LYNCH. No, sir. I think it was primarily because they didn't need to look to us for business of that kind. The CHAIRMAN. Was it primarily because word went out that you weren't handling anything of that sort? Mr. STAMBAUGH. No, sir. They were selling for cash on letters of credit or very short term. Mr. LYNCH. Actually, a review of our records shows that around September 1939 we had a lot of applications on our agenda which were withdrawn by suppliers, and from that date, as I say, until 16 to 18 months ago The CHAIRMAN. I believe the Congress is anxious to have you do both, do the project financing that you are talking about here and likewise this exporter financing. Mr. LYNCH. May I make one other point on that latter matter? It is mainly the big manufacturers who have come to us for exporter credits in the last several months, outfits like General Electric, Westinghouse, and so forth, exporters that have dealer organizations abroad. I think the little guy, the one you are talking about, is helped more by this type of credit, which is publicized and orders are put out then on a competitive bidding basis, price and qualitywise, rather |