Commerce Award to AEA Increases Exports to Europe and Japan.

WASHINGTON--(BUSINESS WIRE)--April 10, 1996--The American Electronics Association (AEA), the largest U.S. electronics trade association, has successfully completed a Department of Commerce program to substantially increase U.S. electronics exports to our two largest foreign markets -- Japan and the European Union.

AEA's Market Development Cooperator Program (MDCP) agreement with the Commerce Department focused on initiatives to introduce small and medium-sized businesses to these markets. Some of the program's results include: -0-

-- Assisting 529 representatives from 384 U.S. electronics companies into the Japanese and European Union markets.

-- Successfully blocking a protectionist Japanese software proposal that would have placed $3.5 billion of U.S. high technology exports at risk.

-- Holding AEA-Commerce Department seminars in San Diego, Atlanta, Boston, Minneapolis and Seattle so that several hundred small and medium sized U.S. electronics firms could learn the benefits of exporting and also how AEA and the Commerce Department can help companies expand their exporting opportunities.

-- Working to reduce EU tariff increases from EU enlargement to 15 member countries, which saved the industry more than $80 million in duties.

-- Sponsoring trade promotion activities aimed at electronics executives around the globe. AEA participated in 41 shows and events in Japan, 13 major events in the EU and 64 events in the United States. While projecting exports from these events is difficult, we do know that one company secured $15 million in sales from one event, and spot sales from the American Electronics Show in Kyushu totaled $680,000 (with near-term sales expected to approach $24 million). -0-

"In the spirit of creative partnerships between government and private enterprise, the Department of Commerce contributed $425,000 through the MDCP award," said Bill Krist, AEA's senior vice president for International.

"This generated a contribution from AEA and its member companies of over $2.1 million or a $5.30 investment by the private sector for every $1 of taxpayers' money. It also directly resulted in increased sales of almost $40 million for U.S. high-technology companies and costs savings achieved for the entire U.S. electronics industry have been estimated at over $80 million."

Under the leadership of Commerce Secretary Ronald H. Brown, the U.S. Government's National Export Strategy has placed a priority on building public-private sector partnerships as a means for enhancing U.S. export growth that supports jobs for Americans.

Launched by Secretary Brown in 1993, the Market Development Cooperator Program plays an important role in this strategy by fashioning partnerships with eligible industry groups.

Through Brown's leadership, the Commerce Department became a powerhouse for promoting U.S. exports, technologies and entrepreneurship in the global marketplace.

CONTACT: The American Electronics Association, Washington

Beneva Schulte, 202/682-4443