another 1/2 billion down the tubes?
Monday May 13, 11:09 am Eastern Time
Reuters Company News
Xerox gets $496 million from GE Capital
STAMFORD, Conn., May 13 (Reuters) - Office equipment maker Xerox Corp.(NYSE:XRX - News) on Monday said it has received $496 million in financing from GE Capital, and said additional agreements are likely this year.
In the past year, Xerox, which has been working to trim its debt burden, has received some $2.7 billion in financing from GE Capital, secured by portions of Xerox's lease receivables in the United States, United Kingdom and Canada. GE Capital is a unit of General Electric Co. (NYSE:GE - News)
The two companies are finalizing an agreement for GE Capital to become the primary provider of equipment financing for Xerox customers in the U.S.
The $496 million is secured by portions of Xerox's U.S. lease receivables, which will be amortized over a period that extends into 2005, Stamford, Connecticut-based Xerox said.
On May 1, GE Capital Vendor Financial Services and Xerox launched a joint venture, Xerox Capital Services. XCS manages Xerox's customer administration and leasing activities in the United States, including various financing programs, credit approval, order processing, billing and collections.
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