Taylor Corp. is a Minneapolis-based company which manufactures several types of precision tools. Total revenues in 2013 reached $10.7 billion and net income $200 million. Taylor is listed at the NYSE and analysts were disappointed by results as revenues declined 2.5% year over year and net income dropped more than 50%.

They are organized in 4 segments. Division A is their largest and most profitable unit. Revenues in 2013 reached $4.6 billion and operating income $823 million. The client base is fragmented. Their largest client accounted for $271 million in 2013. Division A is managed by Jim, a company veteran who has a good track record for developing innovative products and maintaining key relationships with clients. Jim spent his entire career at Taylor headquarters. He is well known to be a Twins fan but also to be afraid of flying. He rarely travels and never visited a foreign country. 99%.5 of Division A's sales are made in the US and the rest in Canada and Mexico.

Division A's Head of Sales is Sheryl, a young and dynamic University of Michigan graduate. She speaks several foreign languages and spent one year in Australia when she was in college. She proposed several times to Jim to explore foreign markets but Jim always turned her down and instructed her to focus on domestic clients.

Fabrizio is the purchasing manager of Baroni S.p.A, an Italian company. Baroni is a market leader in the highly specialized tools markets for the bags and shoes industry. Thanks to the success of the Italian luxury industry, Baroni's business is booming. Baroni is a private company owned by one of the most famous Italian families. The current CEO is also the President of the local soccer team which has just been promoted to highest Italian league and his father was the mayor of the medium-sized city where they are based. All local and international banks try to do business with Baroni but they are known to be faithful to a handful of financial institutions. They are known to be tough business people and do not hesitate to drop long-term partners. One recent victim is their auditors who had been hired five years earlier. The media recently reported that they are considering an IPO. They just completed the construction of a new manufacturing facility in Italy.

Sheryl frequently attends trade shows and one day she meets Fabrizio in Las Vegas. They have a constructive discussion and come to the conclusion that Taylor Corp. produces exactly the type of products that Baroni needs. Fabrizio needs large quantities immediately and estimates that his needs are in the range of $500 million per year.

Sheryl is very excited and when she gets back to Minneapolis, she has a meeting with Jim, with Sharron, the Group CFO and with Bob, head of Credit Risk Management.

You are Bob, how do you contribute to this meeting?