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