Alaska Pacific Bank Makes First SBA Patriot Express Loan in Alaska to Sitka Business

JUNEAU, Alaska – Alaska Pacific Bank, a local community bank headquartered in Juneau that serves all of Southeast Alaska, has made the first U.S. Small Business Administration Patriot Express loan in Alaska to a business in Sitka. The U.S. Small Business Administration launched the Patriot Express Loan Initiative nationwide last summer, to increase the agency’s outreach to the military community and build on the more than $1 billion in loans the agency guarantees annually for veteran-owned businesses.

Nicchia Leamer, assistant vice president for Alaska Pacific Bank in Sitka, was the commercial lender who made the loan. She said “At Alaska Pacific Bank, we go out of our way to make small business loans work. The Patriot Express program gives us another way to say yes to our borrowers. It also enables us to make the loan experience more positive for our customer because we can respond more quickly, and that is always appreciated. The Patriot Express program, in conjunction with E-Tran, is fast and easy to use, which is a great plus for us and our customers."

Mr. Steven Pauly, owner of Dirt Dog Excavation in Sitka, was the recipient of this loan and said “The Patriot Express program has given me the opportunity, as a veteran, to start a business that required expensive equipment to get me rolling. Purchasing a new dump truck was necessary in order for Dirt Dog Excavation to get the type of statewide work I'm focusing on. The Juneau Small Business Development Center assisted me in forming a realistic business plan to present to my loan officer at Alaska Pacific Bank, who then processed the loan faster than I expected. In all, I'm very satisfied with the Patriot Express program and the SBA's commitment to small business growth and success.”

Mr. Sam Dickey, Alaska District Office Deputy District Director, said “Alaska’s population includes a higher percentage of veterans than any other state in the U.S., so we in the SBA Alaska District Office are especially committed to doing all we can to support the efforts of members of our military community as they plan, start, and grow small businesses. We are very pleased with the enthusiasm and partnership the Alaskan lending community has shown in embracing the Patriot Express Loan Initiative. We congratulate Alaska Pacific Bank on making the first Patriot Express loan in Alaska, and we look forward to seeing many more of these loans in our state in the future.”

Members of the military community, broadly defined to include veterans, service-disabled veterans, service members leaving active duty, Reservists and National Guard members, current spouses of any of the above, spouses of active duty members, and widowed spouses of service members who died during service or of service-connected disabilities, are eligible to apply for Patriot Express loans.

Patriot Express loans are available up to $500,000 and qualify for SBA’s maximum guaranty of up to 85 percent for loans of $150,000 or less and up to 75 percent for loans over $150,000 up to $500,000. Interest rate maximums for Patriot Express loans are the same as those for regular 7(a) loans: a maximum of Prime + 2.25 percent for maturities under seven years and Prime + 2.75 percent for seven years or more. Interest rates can be higher by two percent for loans of $25,000 or less; and one percent for loans between $25,000 and $50,000. Patriot Express loans can be used for most business purposes; details on the initiative can be found at www.sba.gov/patriotexpress.

Release Date: April 8, 2008

Contact: Sam Dickey (907) 271-4844

Release Number: Toll Free: (800) 755-7034

# # #