The significant expansion in the scope of activities is made possible by an agreement to modify the operating structure and funding structure of CNH Capital's European operations. Under the proposed new partnership, BPLG would own 50.1% of the shares of CNH Capital Europe SAS, which would hold the retail financing portfolio. CNH would own the remaining shares. BPLG would provide funding and administrative services for CNH Capital Europe SAS while CNH Capital's own European operations would be responsible for the marketing and origination of financial products. The final agreement is subject to approval by the board of directors of each company and by the Banque de France.

"This is a dramatic expansion of our retail financing activity in Europe," Michel Lecomte, CNH chief financial officer and president of CNH Capital, said. "BPLG's expertise, strong European presence, and access to funds at highly favorable rates will allow us to offer a full range of financial products to all our customers, starting with very competitive retail financing options on their equipment purchases. Because the structure of this agreement allows us to expand our presence in financial services while simultaneously reducing our borrowing needs, this initiative is the first of new alliances and initiatives that we will pursue in growing our commercial finance business around the world."

"For BPLG, this alliance gives us access to CNH's extensive customer base across all the markets of Europe," said Jean-Rene Brunon, chief executive officer of BPLG. "This partnership reflects BPLG's development strategy of building upon its European leadership and extensive knowledge of the equipment financing market."