During the event, Techint announced that Ternium will finance the acquisition of capital goods by its SMC (Small and Medium Companies) customers. It was also highlighted that customers and providers involved in ProPymes (ProSMC) program increased their turnover, exporting level, creation of jobs and investing

The 4th ProPymes seminar took place last December in Buenos Aires and congregated Paolo Rocca, president of Techint Group; Felisa Miceli, Argentine Minister of Economy; officials of Ternium Siderar, Sidor, TenarisSiderca and Exiros; government authorities and around 500 representatives of SMC customers and providers.

ProPymes –created by Techint Group in 2002- is aimed at strengthening Techint companies value added chain and develop the argentine industrial network. Its strategy includes: strengthening competitiveness of customers and providers, promoting their exports, developing domestic markets and promoting investments through the integration and association of Techint companies with their related SMCs.

Participants shared and analyzed the results of the program during 2005. Daniel Novegil, Ternium’s CEO, said: “Right after the acquisition of Hylsa, ProPymes program was implemented in Mexico. This expands the influence zone to the 3 countries where Ternium operates and, obviously, offers to all of you (referring to SMCs) new opportunities”.

Facts reveal Propyme program success: on average, participant companies´ productive capacity utilization peaked to 76%, and investment level showed an increase of 35% during the first year, 38% during the second, and it is expected to reach 43% during 2006.

During the seminar Daniel Novegil made an important announcement for argentine SMCs: “We are considering implementing in 2006 an additional credit line for Siderar SMC customers. This line can be assigned to capital goods purchases, with one or two years installments, depending on the project characteristics. Interest rate is also very advantageous: 3.5% in US dollars.”, he said.

Felisa Miceli´s and Paolo Rocca´s speeches closed the Seminar. President of Techint Group concluded: “As representative of Techint Group, I want to personally confirm our support to the development of our value chain. We have to reassure the conditions that allow competitiveness. About financing, we have to do our best effort to support the necessary investments to fulfill that goal, something that has already been demonstrated with the previous announcement. Therefore, we are going to support specific projects from companies willing to invest”

Minister Miceli, in turn, pointed out the basics of argentine economic policy and its future challenges. She emphasized on the need for investments. Some of the 500 SMC’s executives had then the opportunity to exchange with the minister on topics of interest. The event was officially closed with a buffet that gave the opportunity to all participants to exchange year-end salutations.