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Investment to help EBR create hundreds of Wisconsin jobs, build new top-of-the-line street motorcycles and expand East Troy manufacturing and design facility

Friday, July 20, 2012- Investment fund manager FirstPathway Partners LLC today announced it has committed $20 million in EB-5 investment funding to Erik Buell Racing LLC, the East Troy manufacturer of the EBR brand of world-class sport motorcycles. The funding will allow EBR to design and produce additional models of street sport motorcycles and to significantly grow its international exports. EBR also will expand its facility, directly create several hundred new, good-paying jobs for Wisconsin workers and support hundreds of additional indirect jobs.

“This investment in a growing American company is what the EB-5 program is all about,” said Bob Kraft, chairman, CEO and founding partner of FirstPathway Partners. “EBR motorcycles are made in America and in great demand worldwide. This investment will create good manufacturing and engineering jobs in Wisconsin for skilled American workers and greatly strengthen a local company’s position in the global marketplace.”

The federal EB-5 program, put in place in 1990 through a bipartisan effort, allows foreign nationals seeking U.S. residency and citizenship to make financial investments and create jobs in select U.S. markets. The seven-county Southeast Wisconsin region is one of the oldest Midwest investment areas for the EB-5 program, which has investors from Denmark, Brazil, China, South Korea, Hungary, Mexico, Russia and other nations worldwide.

Erik Buell, founder and owner of the company that bears his name, is a recognized pioneer in the world of racing motorcycle technology. A former Harley-Davidson engineer, he started a company – Buell Motorcycle Company, which later became a subsidiary of Harley-Davidson – in 1983. In 2009, Harley ended the Buell line to focus on its own brand. Mr. Buell launched Erik Buell Racing later that year. The company produces high-end, limited-edition street motorcycles under the EBR brand, provides engineering design services, and also runs a successful race team sponsored by Hero MotoCorp and AMSOIL. The team races EBR 1190RS in the top U.S. motorcycle series, AMA Pro Racing Superbike. EBR is currently third in the manufacturers’ championship, behind Yamaha and Suzuki, and has a rider in fourth place in the riders’ championship.

“EB-5 investment funding through FirstPathway Partners is a key part of the financing structure which will allow our company to expand its product line by developing and introducing a broad line of world-class street motorcycles at lower price points than our current products,” Mr. Buell said. “Our research shows a very strong global market for this kind of motorcycle, and this funding will allow motorcycles designed and assembled right here in East Troy to be used in China, India, Europe – all over the world. It’s a great boost not only for our company, but also for Wisconsin’s exports and American business as a whole.”

Erik Buell Racing will do all design, testing and assembly work in East Troy and plans to focus a substantial portion of its spending on Wisconsin, Midwest and American vendors, although many highly specialized motorcycle parts will be sourced overseas. The company anticipates exporting more than half of its products within three or four years.

“This is a wonderful opportunity to re-establish metro Milwaukee as the small engine capital of the world,” Mr. Kraft said. “The investment in EBR will create good jobs locally and spread the word globally about high-quality, American made products. EBR is the only American-made, high-performance sport motorcycle on the market – it competes, and competes very well, with companies like Kawasaki, Honda, BMW, Ducati and other racing icons. EB-5 investment funding will provide a big boost to this promising local company and strengthen the Southeast Wisconsin region. We are honored to be part of this important initiative.”

FirstPathway Partners is one of the fastest-growing EB-5 providers in the nation. The company’s Southeast Wisconsin EB-5 commitments include the Downtown Milwaukee Marriott hotel project, DeltaHawk Diesel Engines in Racine and many others.

Friday January 20,2012 – United States Senator Ron Johnson visited FirstPathway Partners today to express his appreciation for the significant economic and job creation impact FirstPathway Partners has had on Southeast Wisconsin under the Federal EB5 Regional Center Program. FirstPathway Partners was honored to host the senator and hear his insights. 

Senator Johnson is a United States Senator of the 112th Congress representing the state of Wisconsin, and a member of the Republican Party.  Prior to his election to the Senate, he was chief executive officer of PACUR, LLC, a Wisconsin polyester and plastics manufacturer.

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FirstPathway Partners would like to thank the former Consul General, Huang Ping for his continued commitment to enhancing ties between Wisconsin and China.  His friendship over the past 3 years has been an everlasting source of pride for all of us.

FirstPathway Partners would also like to welcome Guoqiang Yang, the new Consul General of the People’s Republic of China to the region.  Guoqiang Yang comes to the consulate from a post as Deputy Chairman of the Shanghai Municipal Commission of Commerce (SCOFCOM). We look forward to a long and fruitful relationship with him and his staff.

CEO and Chairman of  FirstPathway Partners Bob Kraft was recently featured in a Washington Post article about the ways in which Wisconsin has embraced cooperation and trade with China. In the article Kraft gives a positive outlook on the mutually beneficial relationship between China and Milwaukee. Mr Kraft is also the co-chair of the MMAC China Council.

Click here to read the Washington Post article

On Wednesday April, 1^st 2009 Zhang Yingxin, Deputy Director General, of the Investment Promotion Agency of the Ministry of Commerce for the Peoples Republic of China (CIPA), was proud to announce the successful results yielded by its 2007 memorandum of understanding with Wisconsin. The CIPA’s charge is to engage the Chinese investment promotion process through foreign direct investment both in and from China.

In her recent letter to Wisconsin Department of Commerce Secretary Leinenkugel, Yingxin commented on the importance of “coordinating international efforts and enhancing cooperation” especially in times of economic turmoil. Yingxin also cited ties between allies, like Wisconsin and China, as vital in such times. China is Wisconsin’s third largest trading partner.

Later this month Governor Doyle, Secretary Leinenkugel, and our own Bob Kraft will meet with the CIPA delegation to discuss investment synergies and perform local field visits. The state of Wisconsin is honored to host such an influential and cooperative economic partner.