BDC sells a portion of its Canadian Secured Credit Facility portfolio

MONTREAL, Nov. 3 /CNW Telbec/ - The Business Development Bank of Canada (BDC) announced today the sale of $250 million original face value in asset backed securities (ABS) to RBC Capital Markets, one of Canada's largest investment dealers. The sale was for a portion of the term auto loan ABS that BDC purchased under the provisions of the Canadian Secured Credit Facility (CSCF). BDC invested $3.65 billion in ABS across five different asset classes between November 2009, when BDC's first investment under the CSCF program was made, and March 31, 2010, when the CSCF program ended.

Paula Cruickshank, BDC Vice President of Securitization, says "This transaction is very encouraging because it is another indication of growing liquidity in the secondary market for asset backed securities."

The CSCF program was a federal government initiative, managed by BDC, to stimulate economic activity by helping businesses and consumers access credit so they could purchase and/or lease new vehicles and equipment. The CSCF was also designed to stabilize the Canadian term ABS market for vehicle and equipment financing by rebuilding investor confidence and encouraging private sector participation.

About BDC
BDC is Canada's business development bank. From more than 100 business centres across the country, BDC promotes entrepreneurship by providing highly tailored financing, venture capital and consulting services to entrepreneurs. www.bdc.ca

For further information:

Geoffrey King
Director, Public Relations
BDC
514-496-4351
[email protected]a