TEGUCIGALPA, HONDURAS - DUE DILIGENCE FOR THE

UNCLAS TEGUCIGALPA 001673

SIPDIS

STATE FOR EB/CBA SMITH-NISSLEY

E.O. 12958: N/A
TAGS: BEXP ETRD
SUBJECT: TEGUCIGALPA, HONDURAS - DUE DILIGENCE FOR THE
SECRETARY OF STATE'S 2003 AWARD FOR CORPORATE EXCELLENCE

SIPDIS

REF: A. TEGUCIGALPA 1015 B. SECSTATE 198145


1. (U) Post appreciates State's further consideration of
Citibank, Banco de Honduras for this year's Secretary's Award
for Corporate Excellence. We blieve this corporation is
deserving of the award for its outstanding demonstration of
corporate citizenship, community development, and equal
employment practices. Post offers the following responses to
ref b:

A) We are unaware of any possible downside or embarrassment
caused by the selection of Citibank, Banco de Honduras should
it be chosen.

B) Banco de Honduras receives administrative support from
Miami, and indirectly supports job creation in U.S. companies
that serve as clients.

C) Citibank, Banco de Honduras is a financial institution
which works with all US based companies located in Honduras,
providing various financial services and financing
development projects in Honduras which lead to increased U.S.
exports. One current example is Citibank's syndication of
financing of a 210MW electricity generation project being
completed by a Honduran company. The project is likely to
spur U.S. exports of both capital goods and services.

D) The labor conditions in the bank are considered
excellent. There is a strong sense of teamwork within the
institution as many employees contribute time and personal
financial resources to Citibank, Banco de Honduras' many
philanthropic activities (ref a). The workers are not
unionized. The compensation plan is extremely competitive
for the local market.


2. (U) Please do not hesitate to contact post's economic
officer in charge of commercial affairs, Nicholle Urdaneta at
011-504-236-9320 ext. 4634 or urdanetanm@state.gov should you
have any further questions.
Palmer