U.S. companies obtain political risk insurance from a small independent government agency for their overseas ventures: http://www.opic.gov/ The Overseas Private Investment Corporation (OPIC) "The Overseas Private Investment Corporation (OPIC) is an independent self-sustaining U.S. Government agency that sells political risk insurance and project financing to encourage private investment by U.S. companies in some 140 emerging economies around the world..." OPIC's political risk insurance covers both civil and international war: http://www.opic.gov/insurance/welcome.htm OPIC Insurance Main Page "OPIC'S OBJECTIVE: To promote and facilitate U.S. investment in emerging market economies by helping businesses manage risk. Expertise "Interest in political risk is growing rapidly, driven by investors' reluctance to invest in emerging market debt in the aftermath of the financial crisis in Asia, Russia and Latin America. Although the crises were not caused by any sovereign exchange controls, investors are nevertheless seeking additional coverage for sovereign risk." - Standard & Poor's Risk (risk), n. 1. Exposure to the chance of injury or loss; a hazard or dangerous chance. Risk in today's increasingly global marketplace can take many different forms. Risk is a very real factor in business and investor decision making, and managing that risk is paramount to the ultimate success or failure of any international activity. Whether it is the expropriation or nationalization of your assets or losses that result from politically motivated violence such as civil or <<=== international wars, these risks affect businesses across the globe <<=== every day. OPIC Political Risk Insurance provides the security and peace of mind necessary to pursue opportunities in emerging markets, places where the rules of the game can change drastically and suddenly." If Pakistan was to drop a nuclear device on Bangalore, India, the U.S. would suffer a major financial crisis. OPIC's $ 4 billion reserves would not be sufficient to pay the claims from GE, Amex, Sun, Microsoft, MasterCard, Ford, GM, Oracle, HPQ (new H-P), Intel, Motorola, Accenture, EDS, IBM Global Services, PricewaterhouseCoopers et.al., all of whom have facilities in Bangalore. Anyone thinking that an Inda/Pakistan conflict would reduce offshore outsourcing for very long should think again. Some U.S. companies are already relocating THEIR jobs to other countries such a China, Russia, Vietnam, Brazil, Romania, et.al. Some of the Indian IT firms such as Tata Consulting Services, have operations in other countries (URL wrapped to two lines): http://www.siliconindia.com/tech/ tech_pgtwo.asp?newsno=15021&newscat=Technology TCS says sets up software unit in Uruguay "India's largest software exporter, Tata Consultancy Services (TCS), said on Monday it had inaugurated a global software development centre in the Uruguayan capital Montevideo. MUMBAI: Unlisted TCS, part of the $8.5 billion tea-to-telecoms Tata conglomerate, said in a statement it planned to invest $30 million in that centre and reach an employee strength of 500 in the next five years. TCS said the new centre would handle systems development, maintenance and outsourcing, apart from testing and certification of software produced by third parties, especially Microsoft. Among the TCS clients the new centre will serve are Compaq Computer Corp, Eli Lilly and American International Group. The global development centre at Uruguay is the ninth such overseas centre set up by TCS. The others are in the United States, the United Kingdom, Japan, Hungary, Canada and Australia. TCS, which had revenues of $689 million in the year ended March 2001, the latest figure available, employs more than 19,000 people and has over 800 clients including Lucent Technologies, Nortel and General Electric. It recently bagged a contract that industry sources estimated at more than $100 million spread over two to three years from General Electric Medical Systems -- possibly the largest software order won by an Indian company, although TCS itself had declined to confirm the size of the deal." One of OPIC's largest benefactors is Enron... http://www.enrongate.com/news/index.asp?id=118898 EnronGate: News Archives: Enron project was raised with India -- White House says Cheney's lobbying justified "...While the Dabhol plant is one of the largest projects financed by OPIC, the agency is involved in $17 billion to $18 billion worth of projects in more than 100 countries, Spinelli said. Enron is among the largest benefactors of OPIC funding." --Jerry Leslie (my opinions are strictly my own) Note: [log in to unmask] is invalid for email * To join/leave the list, search archives, change list settings, * * etc., please visit http://raven.utc.edu/archives/hp3000-l.html *