Favorita Fruit Company, Ltd. and its Subsidiaries

completed

Summary Of Project Information (SPI)Project NameEcuador: Reybanpac II     RegionLatin AmericaSectorProject No008770Projected Board DateMay 1, 1998Company NameReybanpac, Rey Banano del Pacifico, C.A.,and Favorita Fruit Co. Ltd.Technical Partner and/or Major Shareholders Wong Family from Guayaquil, EcuadorProject Cost Including Proposed IFC Investment Project Cost: US$66 millionLocation of Project and Description of Site IFC Loan: US$10 million IFC Equity: US$5 millionDescription of Company and Purpose of Project Reybanpac is Ecuador”s second largest banana producer and third largest banana exporter. The Company is highly integrated horizontally with substantial industrial facilities for the production of fertilizers, cardboard boxes, plastic bags and fumigation services. The Project will expand production capacities (cardboard boxes bananas) and enhance international competitiveness of Reybanpac (Port). Main IFC’s role: institutional strengthening port development assistance, and capital markets (through IFC’s equity investment). Main development impacts: rural development, environmental impacts and expansion of production capacities.Environmental Category and Issues This is a category B project according to IFC''s environmental review procedure. Environmental, occupational health and safety issues which were reviewed for this project include: land use and critical habitat in port and plantation expansion areas; relocation and resettlement of occupants of port and plantation expansion areas; port operations including control of wastewater, bilgewater discharge and solid wastes; agricultural practices in the plantations, including use of pesticides; management and handling of hazardous materials; and general worker health and safety. No critical habitat is affected by this project. All expansion, of farms and port facilities, is on land purchased from the owners at market rates, and no resettlement is involved. The banana plantations are in the process of receiving certification under the Eco-OK program of the Rainforest Alliance, and all wastes and pesticide application are managed in compliance with World Bank Group guidelines. The port operation is well managed and pier reconstruction and expansion is not expected to significantly impact the environment of this industrial area. This project is expected to be carried out in compliance with applicable World Bank Group policies and guidelines.The is from the Public Information Center.Date SPI sent to InfoShop March 31, 1998“This Summary of Project Information is prepared and distributed to the public in advance of consideration of the proposed transaction by the Corporation’s Board of Directors. It is provided for the purpose of enhancing the transparency of IFC’s activities and should not be construed as presuming the outcome of IFC Board consideration.”For Additional Information contact: Corporate Relations Unit -telephone: (202) 473-7711facsimile: (202) 974-4384Environmental documents for this project are available at http://www.ifc.org and from the World Bank InfoShop (http://www.worldbank.org/html/pic/aboutinfo.html).