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El Camino Resources, Ltd. today reported that its subsidiary in Mexico has recently been audited by Fitch and Standard & Poor's and has received an investment grade reading by each of them. Fitch issued a rating of A-(mex) & F2(mex) while Standard & Poor's issued a rating of mxA- & mxA-2. These ratings are accomplished on an annual basis in concert with the issuance of public debt instruments by El Camino Resources Mexico in Mexico via the Mexican BOLSA. El Camino Resources Mexico has raised in the last six months $150 million of peso dominated bonds the proceeds of which are used to finance equipment leasing contracts in Mexico. El Camino continues to benefit from strong leasing demand in Mexico with total bookings in the range of $80 million on an annual basis. The issuance of public bonds in Mexico has added to El Camino Resources Mexico considerable flexibility in its financing capabilities. "During this year we have reached out to many new clients in Mexico as a result of marketing partnerships with financial institutions. The lease origination that we have attained for the year in Mexico is running above our planned goals for this year with a four year goal of accomplishing $500 million in new leasing looking very attainable," noted David E. Harmon, president and chief executive officer of the California-based lessor and technology services provider. El Camino Resources Mexico has continued to service Mexican lessees since the early 1990's. It continues to be well received in the market leasing a wide variety of equipment, and is now a leader in independent leasing, enjoying strong relationships with a number of leading Mexican banks. El Camino is focused on multinational companies located in Mexico, as well as companies listed on the country's stock exchange (BOLSA). Its largest account is a recognized leader in Mexican retailing. Harmon also noted that El Camino is in the process of rebuilding its United States leasing business after El Camino suffered a loss as a victim in the Cyberco Holdings leasing fraud. Cyberco was forced into bankruptcy after an FBI raid disclosed that the Cyberco's business operations were fraudulent. Harmon also noted that El Camino has surmounted these difficulties by reaching a resolution with all of the banks that provided funding for the Cyberco leases. Harmon stated that "While we are very unhappy about the circumstances surrounding the Cyberco financing events and the fact that it cost El Camino a considerable amount, El Camino is pleased to have the defense of its business practices settled. The breadth and scope of the Cyberco fraud, and the sophisticated falsification of data, misled many major banks and leasing companies. Cyberco's President, James Horton, has been indicted and pled guilty, and the business community is expecting further indictments based on Horton's guilty plea to violating federal laws relating to bank fraud, mail fraud, and money laundering." Harmon has seen the best and the worst of the high tech leasing in the US. He states, "The environment is now totally different from just ten years ago when there was still some residual value in the equipment at the end of a lease. There is not much left in three year equipment anymore either as machines or of the inside parts. So we have to be close to the client and work with those customers where we can mutually solve their financing and technology issues but not count much on remarketing." About El Camino Resources International, Inc. El Camino Resources International, Ltd. (ECR) was founded in 1979 to provide technology equipment leasing/financing and computer trade-in opportunities for businesses and organizations. ECR specializes in mainframes, workstations, client/servers, storage devices and peripheral equipment from such industry leaders as IBM, Sun, and other selected manufacturers. El Camino's sister company Infinite Computer Group unit provides a range of maintenance and information technology services to US companies. ECR's Mexican subsidiary is a general lessor leasing equipment over a broad range varying from high tech computer equipment to low tech material handling equipment. El Camino Resources is qualified and prepared to offer quotations for the sale, purchase or lease of new and used information technology equipment. The Company has a strong commitment to customer satisfaction and has enjoyed long-standing relationships with companies of all sizes and types. El Camino Resources is headquartered at 21300 Superior Street, Chatsworth CA 91311, and can be reached by telephone at 818.226.6600.
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