Bank of the West Invests $750,000 for Colorado Microloans

Bank of the West is committed to supporting nonprofit organizations to help improve the economic health of the areas it serves

DENVER (March 12, 2008) - Bank of the West announced today it has invested $750,000 in the Colorado Enterprise Fund (CEF), a nonprofit business loan fund, for lending to entrepreneurs and small businesses across the state. The Fund provides capital to small business owners who are not yet ready for bank financing.

“For more than 30 years, CEF’s loan program has supported small business owners while they develop their businesses and the profitability necessary to obtain bank financing,” said Executive Vice President Jack Devereaux, Bank of the West’s Rocky Mountain division executive. “Bank of the West has a strong interest in capitalizing the new and growing businesses of Colorado’s future.”

“This partnership with Bank of the West demonstrates the commitment of both organizations to assisting the entrepreneurs and small business owners in Colorado,” said Ceyl Prinster, CEF president and CEO. “CEF welcomes the opportunity from Bank of the West to expand the resources available to businesses and microenterprises throughout the state.”

One CEF client invented specialized handicraft work benches for fishing fly-tiers and bead-work, but needed financial help to boost his Loveland business when the designs became popular and were included in hobbyist catalogs. Another inventor developed a special infant-support and nursing pillow; with a CEF loan and technical assistance in financial management, she was able to grow and now has an $18 million business in Golden with 22 employees.

Dozens of success stories have grown around similar and larger projects, says Prinster, including a catering service, an auto repair shop, and a Montessori school in Denver which made child care available in an area that was not being served. Most CEF loans are for less than $30,000.

The investment is provided through an “Equity II” vehicle that creates a low rate of return for the bank over ten years and makes Community Development Financial Institutions (CDFI) such as CEF eligible for U.S. Treasury matching funds.

About Colorado Enterprise Fund
Colorado Enterprise Fund is a nonprofit business loan fund that works across Colorado to foster economic opportunity and create jobs through business ownership and expansion. Since 1976, CEF has provided over 710 loans valued at over $14 million to Colorado businesses that are not able to obtain adequate bank financing. Loan sizes range from $1,000 to $250,000. In 2007, CEF had 284 loans under management.

About Bank of the West’s Community Support
Bank of the West is committed to supporting nonprofit organizations to help improve the economic health of the areas it serves. As a result of Bank of the West's growth into new states and markets in 2005, the bank increased its community support plan to provide $75 billion in loans, investments, contributions and services to lower income individuals and small businesses, companies in lower-income areas and community-based organizations throughout the bank's markets by 2015. For more information, visit www.bankofthewest.com.

One of the nation’s 25 largest banks, $62 billion-asset Bank of the West has 100 branch and commercial locations in Colorado, part of a network of 700 locations in 19 Western and Midwestern states.

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