JAMES H. LAMBRIGHT CHAIRMAN AND PRESIDENT
OF THE UNITED STATES
PHONE (202) 565-3500 FAX (202) 565-3513
October 2, 2008 Mr. Doug Norlen Policy Director Pacific Environment Center for Corporate Policy 311 California Street, Suite 650 San Francisco, CA 94104 Mr. Charlie Cray Director Pacific Environment Center for Corporate Policy 311 California Street, Suite 650 San Francisco, CA 94104
Dear Messrs. Norlen & Cray: Thank you for your September 18, 2008 letter regarding the Nigeria LNG project. We share your concerns both with respect to bribery in the Nigeria LNG project and the importance of doing everything possible to ensure that the Export-Import Bank of the U.S. (“Ex-Im Bank”) supports export transactions that comply with the law. Upon learning of the existence of the Nigeria LNG investigation in early 2004, Ex-Im Bank took appropriate steps to inform law enforcement authorities of the Bank’s provision of financing support for the project. Ex-Im Bank is continuing to consult with such authorities in assessing what actions are appropriate in connection with this matter. Ex-Im Bank has supported other projects involving KBR, but we have done so following extensive due diligence, including review conducted by both U.S. and local counsel and specific due diligence with respect to Foreign Corrupt Practices Act compliance. As you may know, Ex-Im Bank played an instrumental role in developing and obtaining agreement with respect to the OECD Council Recommendation on Bribery and Officially Supported Export Credits. In addition, Ex-Im Bank has in the past several years enhanced its transaction due diligence with respect to analysis of character risk, transaction legitimacy and the role of politically exposed persons and agents. Again, we share your commitment to these issues and look forward to a continuing dialogue.
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