PHOENIX, Oct 2, 2003 (BUSINESS WIRE) -- U.S. Bank and the United States
Hispanic Chamber of Commerce (USHCC) have partnered to create Capital! (Spanish
pronunciation), a first-of-its-kind, strategic, loan program aimed at lending
more than one billion dollars over the next five years to small businesses in
high-growth Hispanic markets nationwide. U.S. Bank will provide referral
payments to the chambers for every loan that is booked through the program.
Capital!, which begins immediately, was announced by U.S. Bank and USHCC leaders
at the USHCC 24th Annual National Convention & Business Expo in Phoenix.
"We have heard the call of our local, affiliate Hispanic chambers of commerce
and are excited about Capital!, which is designed to meet the substantial
access-to-capital needs of Hispanic businesses nationwide," said George Herrera,
president and chief executive officer of the USHCC. "We continue to find unique
ways to partner with corporate America to create opportunities for growth and
success for our entire constituency."
"The Hispanic business customer is tremendously important to U.S. Bank and
represents a substantial high-growth opportunity. We continue to grow and expand
our service to Hispanic markets in a manner that drives bottom-line results for
our customers, our shareholders, our partners, and the bank," said Kent Stone,
executive vice president of small business banking at U.S. Bank.
Capital! provides a substantial new revenue and membership stream for local
chambers as well as a source of new customers for U.S. Bank. Uniquely designed,
the program could generate more than $7 million in funding to USHCC local
chambers over a multi-year period based on referral fees paid by U.S. Bank. The
referral fee is returned to the referring chamber as a percentage of each loan,
line of credit, or lease that is booked in the program. This new revenue stream
will help both the USHCC and its local affiliates to meet mission-critical goals
The USHCC, based in Washington, DC, represents the interests of over 1.5 million
Hispanic-owned businesses in connection with 131 USHCC local, affiliate Hispanic
chambers of commerce across the country. Capital! establishes USHCC local
chambers as sources of technical assistance and support for all small businesses
that need capital to grow and prosper. The chambers will work with businesses as
needed to ensure that they are well prepared to qualify for access to capital in
conjunction with a designated U.S. Bank small business banker designated as a
loaned executive to the program.
"We are committed to serve and to be a part of our nation's Hispanic community,
and the initiation of this cutting-edge national loan program with an
organization as recognized as the United States Hispanic Chamber of Commerce is
an integral part of our strategy and commitment to become the best bank in
America for Hispanics," said Alice Perez, Hispanic market leader for U.S. Bank,
who served as a principal organizer and expert strategist for the program.
"We are proud to be a partner and a leader with U.S. Bank in this exciting and
historic Initiative which represents yet another example of how the USHCC
delivers value-added services and opportunities to our member chambers and local
Hispanic businesses," said George Franco, USHCC Board Member, Chairman of the
USHCC Finance and Strategic Planning Committee and chief architect of the new
program. Franco is a national expert on job growth through access to capital for
underserved small businesses. He is also an expert in market-driven financial
access to banking services for emerging high-growth low-income consumer markets.
Loans originated under this program will be underwritten with the same
guidelines as loans originating from outside the program. The fees, interest
rates and other charges for loans will be based on the same guidelines as those
charged for a loan originating through a U.S. Bank branch. U.S. Bank will work
directly with the USHCC and its local affiliates to meet the program's goals and
objectives and to ensure the program is a great success.
Access to capital for small businesses has long been known to serve as a
catalyst for job growth and new job creation. Today, over 80 percent of new jobs
in the United States emerge from within the small business sector. This program
recognizes the vital role of the Hispanic enterprise in the growth and
development of the American economy and the importance of capital access for
underserved small businesses.
U.S. Bank is a national leader in providing innovative programs and financial
services to Hispanics. U.S. Bank was one of the first financial institutions in
America to accept the Matricula Consular ID issued by the Mexican Consulate as a
form of identification when opening an account. U.S. Bank has bilingual
employees throughout the country, and its Hispanic locations have bilingual
signage, brochures and other material to make the banking experience more
inviting to customers who prefer to do business in Spanish. In October 2002,
U.S. Bank launched a Spanish-language version of usbank.com with information on
banking products and services for Hispanic customers. In July 2003, U.S. Bank
Home Mortgage announced with Freddie Mac and DeOro, one of the nation's top
Hispanic mortgage companies located in southern California, a tailored loan
program for prospective Hispanic homeowners. U.S. Bank Home Mortgage also
partners in En Su Casa, a similar mortgage program by Freddie Mac and other
national lenders. U.S. Bank Secure Money Transfer makes sending money to Mexico
safe and very affordable.
U.S. Bancorp (NYSE:USB), with assets of $195 billion, is the 8th largest
financial services holding company in the United States. The company operates
2,199 banking offices and 4,575 ATMs, and provides a comprehensive line of
banking, brokerage, insurance, investment, mortgage, trust and payment services
products to consumers, businesses and institutions. U.S. Bancorp is home of the
Five Star Service Guarantee which assures customers of certain key banking
benefits and services or customers will be paid for their inconvenience. U.S.
Bancorp is the parent company of U.S. Bank. Visit U.S. Bancorp on the web at
SOURCE: U.S. Bank
CONTACT: U.S. Bank
Teri Charest, 612/303-0732
Maria Ibanez, 202/842-1212, ext.148
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SOURCE: U.S. Bank