The Rural Business-Cooperative Service is off to a great start for funding Business and Industry (B&I) Guaranteed Loans in Fiscal Year (FY) 2000. I'd like to take this opportunity to express my thanks and appreciation for the opportunity to "partner" with you last fiscal year.

Our efforts spurred community economic development through business financing in your local community. According to our records, your bank provided B&I financing for 4 business loans in the amount of $6,160,000. These loans provided the capital needed by the business to expand and grow.

This past year was a banner one for us and rural Americans. The financial institutions participating in our B&I program across the nation made 792 B&I loans totaling more than 1.2 billion dollars. These loans and our guarantees were vital to meeting the capital needs or rural businesses. This outstanding performance could not have been realized without your participation from America's financial institutions.

We will have approximately 850 million in B&I Guaranteed Loan Program funds available for FY 2000. Due to the increasing demand for program funds for projects which best meet Agency priorities and cannot be funded through the State allocation, funds will be allocated on a monthly, competitive basis to States from the National Office reserve. We encourage you to continue working with the Rural Development State Office on pending and future applications.

Also, if you have any suggestions for program improvements, please forward them to me at the following address:
Dayton J. Watkins, Administrator
Rural Business-Cooperative Service
1400 Independence Avenue, SW.
Washington, D.C. 20250-3201

I look forward to continuing to work in partnership with you to bring financial resources to those businesses looking to expand and grow in your local community.

Again, thank you for the "partnership"

Sincerely,

Dayton J. Watkins
Administrator
Rural Business-Cooperative Service