SOLUTION PROVIDER TrEAsUry And CAsH sTrATEgIEs CHAPTER 5

Helping Companies Minimize risk and Expand sales

Euler Hermes ACI is North America’s www.CFOProject.com/20346 oldest and largest provider of trade credit , protecting more than $150 billion in U.S. trade transactions annually. The company an a company be innovative even insurer becomes a major partner in the sales is the U.S. subsidiary of the Euler Hermes Group, which monitors more though it has been offering basically the and credit management process by vetting and than 43 million companies and has Csame product for more than 100 years? monitoring buyers,” Overeem says. “In most offi ces in 49 countries and on six Of course it can, and Euler Hermes ACI proves instances, that is a welcome reality check that continents. it. Euler Hermes ACI – which began as American allows a company to make more informed deci- Credit Indemnity (ACI) – has insured and man- sions about the granting of credit.” aged trade receivables in the United states still, many companies entering a new mar- Contact Information

since 1893, which makes it the oldest trade ket don’t even realize which risks they face. Paul Overeem credit insurer in the world. Euler Hermes ACI is Payment delays, commercial practices, the President & CEO the U.s. subsidiary of the Euler Hermes group legal environment, political uncertainties – Joseph a. Ketzner – the global market all these factors and many more can be found Executive Vice President leader. Euler Hermes is a subsidiary of AgF and in a market with which you’re not familiar. Commercial Director

a company of . “Many top managers see the risks, but they arjan van de Wall “Traditionally, American businesses are overestimate their own strengths and capa- Senior Vice President ‘risk takers,’ and they take little precaution bilities and think they will be spared from bad & Director of Development, against the risk of bankruptcy of their suppli- experiences,” says Overeem. “Others don’t Marketing & Strategy John Pontin Senior Vice President Euler Hermes not only insures receivable risks and National Sales Director, USA recovers bad debts, it updates its clients on relevant

global economic and political risk issues. euler hermes acI North American Headquarters 800 Red Brook Blvd. ers, contrary to their European counterparts,” even know that credit insurers can advise and Owings Mills, MD 21117 says Paul Overeem, CEO of Euler Hermes ACI. protect them.” And then there are those who Phone 877.909.3224 “There are several main reasons for this, such shy away from new markets because the risks [email protected] as domestic suppliers feeling more comfortable seem too high – they too can be helped. In www.eulerhermes.com/usa dealing within their own geographic market and addition to insuring receivable risks and recov- many businesses having invested in fortifying ering bad debts, Euler Hermes ACI updates its busIness cOntact their own credit management infrastructure.” clients on relevant global economic and politi- Protecting receivables has become increas- cal risk issues. Kristen schoch Phone 410.753.0861 ingly important for U.s. public companies also A trade credit insurance policy can allow [email protected] due to sarbanes-Oxley, as CEOs and CFOs a company to expand into new markets by must do everything in their power to keep their providing the business intelligence needed to fi nancials in compliance and answer to their choose the right buyers. “Moving into a new stockholders. Trade credit insurance offers a market creates a new set of risks, because you solution for directors and offi cers – by purchas- have a lack of information, a lack of experi- ing a trade credit insurance policy, a company ence and/or a lack of proximity to the debtor WeblInK retains an objective third party that can review or debtors,” says Overeem. “Again, a Euler existing and new buyers and steer a company Hermes ACI program closes all those gaps for More information and additional away from potential pitfalls. “The trade credit our policyholders.” n material can be found online at >>>>www.cfOProject.com/20346 www.CFOProject.com p141

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