§ Mr. Gould
asked the Secretary of State for Trade and Industry when, in March 1983, the Export Credits Guarantee Department converted bank guarantees into convertible preference shares in Massey-Ferguson Holdings, what proportion of those guarantees related to open account dealings; and when the financing banks received payment from Massey-Ferguson debtors in respect of those guarantees.
§ Mr. Alan Clark
ECGD bank guarantees were not converted into shareholdings in Massey-Ferguson Holdings. In March 1983, ECGD agreed to acquire shares in the company as part of an international financial support406W arrangement, designed to enable the company to continue meeting its obligations to lending banks, some of which were guaranteed by ECGD.
None of the ECGD bank guarantees concerned related to open account dealings. Subsequent payments due from Massey-Ferguson debtors have all been received without significant delay.