Print | Email

tcm:9-41995

Retail Leather Goods Manufacturer

One of our clients, whose company specializes in women's leather accessories, approached us for help managing the company's monthly euro exposure.

Our foreign exchange specialists suggested forward contracts to secure a rate of exchange today for a predetermined amount of foreign currency to be used at a future date. Our client was able to lock in the exchange rate for the first half of the year — enabling the company to budget properly — but did not have to pay for euros until the contracts matured.

Now our client knows what the cost for goods will be ahead of time, regardless of the value of the euro in the future. In addition, we recommended that the company add a 30-day window to its exchange contracts for increased flexibility, in case the goods were delayed for any reason.
tcm:9-41759 Call Union Bank's experienced foreign exchange specialists at 1-800-325-9422 to analyze your risk exposure.