Hardworking Americans in Alabama have no reason to worry. The jobs created by GE Aviation’s Auburn facility are not dependent upon an obscure taxpayer-backed government bank ("Auburn businesses rally support for reauthorization of Export-Import Bank, May 15). What’s more, just one out of every 2,500 small businesses in the state uses the Export-Import Bank.
The component made by GE Aviation in Auburn is for the company’s “best-selling LEAP jet engine.” The engine is part of a joint venture between GE and Snecma of France. In addition to Boeing, which already has more than 2,700 firm orders for their LEAP-equipped 737, foreign-owned manufacturers such as Europe’s Airbus and China’s COMAC plan to buy these engines as well.
In reality, just one-third of one percent (0.33 percent) of GE Aviation's 2014 revenue was "supported" by Ex-Im subsidies. Perhaps that is why GE didn’t list the pending expiration of the Export-Import Bank as a risk to the company in its 10-K filed with the U.S. Securities and Exchange Commission (SEC). That official document informs shareholders and potential investors of "most significant risks that apply to the company." It appears there isn’t a risk to GE.
Those fighting to save the bank aren't concerned about local jobs or the small business supply chain. They're concerned with preserving taxpayer-backed subsidies. GE Aviation has every right to be proud of their product, but the good people of Alabama don’t need a bureaucrat-laden bank in Washington to compete on a global scale.
Michael A. Needham
CEO, Heritage Action for America