ARMONK, NY - 27 May 2009: IBM (NYSE: IBM) announced today it is making up to $3 billion available to finance IT initiatives in key economic stimulus projects in Europe and Asia-Pacific through IBM Global Financing, IBM’s lending and leasing business segment. Today’s announcement follows the availability of up to $2 billion announced by IBM on April 30 to help jump start US economic stimulus programs.
Specifically, IBM will make available up to $2 billion in financing in Europe and up to approximately $1 billion in the Asia-Pacific region. IBM Global Financing also will extend its North American coverage to include financing for smart technology projects in Canada.
The financing will help organizations move ahead with IT projects in 2009, while awaiting government funding, to build the technological and environmental infrastructure of the 21st century.
“There is a great connectivity among nations,” said John Callies, General Manager of IBM Global Financing. “While the various stimulus packages in different countries were designed to keep their own economies on track, it is as joined economies that we can rise from this global downturn together. In this context, IBM Global Financing is extending its stimulus financing program to countries in Europe and Asia-Pacific to help global recovery.”
IBM has already been helping enterprises and local governments in these areas build their infrastructures to spur growth in key IT projects such as Smart Grid, Health Information Technology, and Smart Transportation. The financing will be targeted to companies and organizations in countries with government funding committed to help economic stimulus, create new industries and enable infrastructure improvements.
The bulk of the $5 billion will be for financing (where available based on local financing practices) for smart technology projects for credit-qualified clients. The financing could be in the form of:
"The recession is going to drive many organizations, public and private, to make transformational changes in their IT environment. However, without access to the correct financing offerings, a significant set of opportunities will be lost and society-wide projects, like SmartGrid, will be substantially delayed.” David Mitchell, Senior Vice President, UK-based IT Research, Ovum. “This is a bold move by IBM to help accelerate stimulus benefits into the current time frame.”
"The launch of the IBM Global Financing stimulus program in Australia comes at the right time,” says Jean-Marc Annonier, IDC Australia Program Manager for IT Spending. While many businesses could potentially benefit from these new Federal Budget policy measures, some are still having difficulties obtaining financing in a tight credit market. IBM Global Financing's stimulus financing offer will be certainly welcomed by organizations willing to modernize their IT infrastructure in order to prepare for the increased activity generated by heavy public investment programs."
IBM Global Financing stimulus financing will mainly target enterprises and municipalities looking to implement technology projects consisting of a majority portion of IBM hardware, software and technology services components. Financing also can be applied to non-IBM technology as part of a larger IBM solution.
Governments around the world from Australia to China to Germany have developed or are developing economic stabilization measures to spur employment opportunities and stimulate their economies. Many have developed programs to direct action towards “smart” investment to create jobs and to enable efficiency, sustainability and innovation.
IBM has been actively involved in smart investment areas in Europe and Asia-Pacific. For example:
For more information on ways companies can access this special stimulus financing offer:
- for Europe visit: www.ibm.com/financing/economicstimulus/europe
- for Asia-Pacific: www.ibm.com/financing/economicstimulus/asia
About IBM Global Financing
IBM Global Financing, the financing business segment of IBM and the world's premier single-source provider for IT financing solutions, serves commercial clients ranging from small businesses to the majority of the Fortune 100. With assets of $36 billion worldwide, IBM Global Financing provides financing, commercial financing and asset-recovery services to 125,000 clients in more than 55 countries. Additional information can be found at http://www.ibm.com/financing.
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