China

4 Financial Institutions currently invest or make available an estimated USD$ 371.48 million in nuclear weapons companies.

Bank of China

Bank of China currently has an estimated USD$ 83.60 million invested or available for the nuclear weapons producers identified in this report.

Loans

In November 2010, Boeing secured a one-year revolving credit facility with a value of US$ 2,376 million. The proceeds were used to refinance the loan from November 2009 and for general corporate purposes. Bank of China was part of the syndicate of 37 banks, participating with an estimated amount of US$ 40.7 million.[i]

In December 2011, Boeing entered into a US$ 4,600 million revolving credit facility. The facility was split in two tranches: a one-year US$ 2,300 million tranche at a base rate of LIBOR+82.500bps, which replaced the loan secured in November 2010,and a five-year US$ 2,300 million tranche at a base rate of LIBOR+79.500bps.The proceeds were used for refinancing bank debt and general corporate purposes. Bank of China participatedin the syndicate of 35 banks, providing an estimated amount of US$ 83.6 million.[ii]

Bank of Communications

Bank of Communications currently has an estimated USD$ 20.00 million invested or available for the nuclear weapons producers identified in this report.

Loans

In June 2013, Aecom entered into a US$ 750 million five-year term loan at a base rate of LIBOR+150.000bps, a second amendment to an existing credit agreement from 2010. The proceeds were destined for capital expenditures, to repay all obligations owing under the existing credit agreement, and for other general corporate purposes. Bank of Communications was part of the 24 bank syndicate and participated with an estimated US$ 20 million.[iii]

Industrial and Commercial Bank of China

Industrial and Commercial Bank of China currently has an estimated USD$ 195.00 million invested or available for the nuclear weapons producers identified in this report.

Loans

In November 2010, Boeing secured a one-year revolving credit facility with a value of US$ 2,376 million. The proceeds were used to refinance the loan from November 2009 and for general corporate purposes. Industrial and Commercial Bank of China (ICBC) was part of the syndicate of 37 banks, participating with an estimated amount of US$ 40.7 million.[iv]

 

In December 2011, Boeing entered into a US$ 4,600 million revolving credit facility. The facility was split in two tranches: a one-year US$ 2,300 million tranche at a base rate of LIBOR+82.500bps, which replaced the loan secured in November 2010,and a five-year US$ 2,300 million tranche at a base rate of LIBOR+79.500bps.The proceeds were used for refinancing bank debt and general corporate purposes. ICBC participatedin the syndicate of 35 banks, providing an estimated amount of US$ 83.6 million.[v]

In April 2011, EADS secured a five-year revolving credit facility with a value of € 3,000 million (US$ 4,345.3 million), at a base rate of EURIBOR+37.500bps. The proceeds were used for refinancing and for general corporate purposes. ICBC participated in the 39 bank syndicate, committing an estimated amount of US$ 111.4 million.[vi]

State Administration of Foreign Exchange

State Administration of Foreign Exchange currently has an estimated USD$ 72.88 million invested or available for the nuclear weapons producers identified in this report.

Asset management

Table 1 provides an overview of the nuclear weapon companies in which State Administration of Foreign Exchange owns or manages 0.50% or more of the outstanding shares at the most recent available filing date.

Table 1         Shareholdings of State Administration of Foreign Exchange

Company Country % of all outstanding shares Value (US$ mln) Filing date (range)
Babcock International United Kingdom 1.24 72.88 26-Feb-2013

Source: Thomson ONE Banker, “Share ownership”, Thomson ONE Banker (www.thomsonone.com), viewed July 2013.

References

[i]       Thomson ONE Banker, “Tearsheet 2645490115”, Thomson ONE Banker (www.thomsonone.com), 12 November 2010; Bloomberg Database, “Loan finder”, Bloomberg Database, viewed November 2011; The Boeing Company, “364-Day Credit Agreement”, The Boeing Company, 12 November 2010.

[ii]       Thomson ONE Banker, “Tearsheet 2900612116 and 2900613116”, Thomson ONE Banker (www.thomsonone.com), 14 December 2011.

[iii]      Thomson ONE Banker, ”Tearsheet 2987265115”, Thomson ONE Banker (www.thomsonone.com), 7 June 2013; AECOM Technology Corporation, “United States Securities and Exchange Commission: Second amended and restated credit agreement”, AECOM Technology Corporation, 7 June 2013 (www.sec.gov/Archives/edgar/data/868857/000110465913049042/a13-14922_1ex10d1.htm).

[iv]      Thomson ONE Banker, “Tearsheet 2645490115”, Thomson ONE Banker (www.thomsonone.com), 12 November 2010; Bloomberg Database, “Loan finder”, Bloomberg Database, viewed November 2011; The Boeing Company, “364-Day Credit Agreement”, The Boeing Company, 12 November 2010.

[v]       Thomson ONE Banker, “Tearsheet 2900612116 and 2900613116”, Thomson ONE Banker (www.thomsonone.com), 11 December 2011.

[vi]      Thomson ONE Banker, “Tearsheet 2705573115”, Thomson ONE Banker (www.thomsonone.com), 14 April 2011; Bloomberg Database, “Loan finder”, Bloomberg Database, viewed November 2011.

This page contains country specific information from the 2013 Don’t Bank on the Bomb report. It identifies which financial institutions have significant financing relationships with one or more of the 27 nuclear weapons producers.

The financial institutions identified include banks, pension funds, sovereign wealth funds, insurance companies and asset managers. They have provided various types of financial services to nuclear weapon companies. The most important are loans, investment banking and asset management.

All sources of financing provided since 1 January 2010 to the companies listed were analysed from annual reports, financial databases and other sources. The financial institutions which are most significantly involved in the financing of one or more nuclear weapon companies are shown here. See the full report for both a summary and full description of all financial institutions which are found to have the most significant financing relationships with one or more of the selected nuclear weapon companies, by means of participating in bank loans, by underwriting share or bond issues and/or by share- or bondholdings (above a threshold of 0.5% of all outstanding shares or bonds).