Press Release

Thursday, September 29, 2005

U.S. Small Business Uses OPIC Insurance to Modernize Retail Chain in Peru, Provide Consumer Credit

WASHINGTON, D.C. – A U.S. small business will use political risk insurance from the Overseas Private Investment Corporation (OPIC) to both modernize a chain of retail appliance stores in Peru, and provide consumer credit at the store locations, OPIC Acting President and CEO Ross Connelly announced today.

OPIC will provide up to $25 million in insurance to LFLP Holdings, LLC, of Miami for its investment in 43 La Curaçao retail stores throughout Peru, and particularly the modernization of up to 30 of the stores, including the provision of additional lighting, user-friendly displays, and information system upgrades. La Curaçao stores sell appliances, electronics, fitness, and other consumer durables.

In addition, OPIC has also committed to support LFLP Holdings for a related project involving the provision of consumer credit throughout the La Curaçao retail chain. The project company will reach all of Peru’s major population centers, and become one of the first financial institutions in Peru to offer access to consumer credit nationally, especially in rural communities.

LFLP is a family-owned, small business investor with extensive experience in the retail sector throughout Latin America.

“This project will enhance the quality and availability of consumer products throughout Peru, particularly in rural areas; provide substantial tax revenues to the government; and generate employment opportunities for Peruvians,” Connelly said. “OPIC is pleased to support a U.S. small business on a project with so many developmental and economic benefits for Peru.”

Giraldo Leyva, Sr., president of LFLP, said, “All of us at La Curaçao greatly appreciate OPIC's support. It is gratifying to see how the U.S. government helps American small businesses expand overseas in emerging markets such as Peru's, bringing very real economic and social benefits to both countries involved.”