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KUKE insures first African contract of Vistal Gdynia S.A. worth PLN 50.9 million

22-09-2016

Actively supporting the international expansion of Polish companies, KUKE insured a contract of Vistal Gdynia S.A. for the supply of harbour cranes to Algeria. The insurance coverage was provided under export credit insurance with State Treasury backing.

KUKE’s insurance cover will encompass the subcontract agreement that Vistal Gdynia S.A. is set to execute for the Spanish contractor. The agreement addresses the manufacture and supply of two harbour cranes of the Grab Unloader type, including its assembly and performance of operational tests as a part of the project of the upgrade of the port infrastructure in the city of Djen Djen in Algeria.

This time, KUKE provided supplier credit insurance covering not only the repayment of the 2-year receivables due to the Polish exporter resulting from the export contract but also pre-shipment risk. This insurance is particularly useful for companies that carry out large contracts concerning custom made goods, which cannot always be re-sold in the event of a unilateral termination of the contract or occurrence of events defined as political risk preventing the dispatch of the manufactured goods.

Vistal Gdynia S.A. is a leading producer of large-sized specialist steel structures in Poland performing contracts for domestic and international clients as well as for clients from the most demanding Scandinavian markets or Germany.

“The Vistal Group has the experience as well as the appropriate technological skills and capacity to fulfil such an extensive contract. We greatly value the fact that we could support our Client in the performance of his first contract on this new, promising African market,” said Marek Czerski, President of the Management Board of KUKE.