LAKE OSWEGO, Ore., May 13, 2016 /PRNewswire/ -- The Greenbrier
Companies, Inc. (NYSE:GBX) ("Greenbrier" or the "Company") today
announced the expected purchase of $13.98
million of Greenbrier's $14.85
million outstanding 2.375% convertible Senior Notes due 2026
(the "Notes"). The repayment will be made with cash generated
from operations and borrowings on existing revolving credit
facilities. This purchase is being made pursuant to the terms of
the Notes which require Greenbrier to purchase all of the Notes
validly tendered (the "Put Option") at a price equal to 100% of the
principal amount of the Notes, plus any accrued and unpaid interest
to, but not including, May 16, 2016
(the "Purchase Date"). The Put Option expired at
5:00 p.m. Eastern Time, on
May 12, 2016 (the "Expiration
Date").
As of the Expiration Date, Notes in an aggregate principal
amount of $13.98 million were validly
surrendered and not validly withdrawn pursuant to the Put
Option. Holders may still withdraw any Notes previously
surrendered for purchase at any time prior to 5:00 p.m. Eastern Time, today. The
aggregate purchase price for all Notes validly tendered for
purchase pursuant to the Put Option as of the Expiration Date is
$14.15 million, which includes
$13.98 million for payment of the
aggregate principal amount and $0.17
million for payment of accrued and unpaid
interest. Greenbrier will accept for purchase all such
Notes, which are not validly withdrawn by 5:00 p.m. today, on the Purchase Date.
Greenbrier expects that the settlement date for the Put Option will
be May 17, 2016.
U.S. Bank National Association is acting as paying agent for the
Put Option. Copies of the Issuer Put Right Notice and
additional information relating to the Put Option may be obtained
from U.S. Bank National Association by calling 1-800-934-6802.
About Greenbrier
Greenbrier (www.gbrx.com),
headquartered in Lake Oswego,
Oregon, is a leading supplier of transportation equipment
and services to the railroad industry. Greenbrier builds new
railroad freight cars in manufacturing facilities in the U.S.,
Mexico and Poland and marine barges at our U.S.
manufacturing facility. Greenbrier sells reconditioned wheel sets
and provides wheel services at locations throughout the U.S. We
recondition, manufacture and sell railcar parts at various U.S.
sites. Through GBW Railcar Services, LLC, a 50/50 joint venture
with Watco Companies, LLC, freight cars are repaired and
refurbished at over 30 locations across North America, including more than 10 tank car
repair and maintenance facilities certified by the Association of
American Railroads. Greenbrier owns a lease fleet of over 10,000
railcars and performs management services for over 250,000
railcars.
"SAFE HARBOR" STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION
REFORM ACT OF 1995: This press release may contain
forward-looking statements, including statements regarding expected
new railcar production volumes and schedules, expected customer
demand for the Company's products and services, plans to adjust
manufacturing capacity, restructuring plans, new railcar delivery
volumes and schedules, changes in demand for the Company's railcar
services and parts business, and the Company's future financial
performance. Greenbrier uses words such as "anticipates,"
"believes," "forecast," "potential," "goal," "contemplates,"
"expects," "intends," "plans," "projects," "hopes," "seeks,"
"estimates," "strategy," "could," "would," "should,"
"likely," "will," "may," "can," "designed to," "future,"
"foreseeable future" and similar expressions to identify
forward-looking statements. These forward-looking statements
are not guarantees of future performance and are subject to certain
risks and uncertainties that could cause actual results to differ
materially from the results contemplated by the forward-looking
statements. Factors that might cause such a difference
include, but are not limited to, reported backlog and awards are
not indicative of our financial results; uncertainty or changes in
the credit markets and financial services industry; high levels of
indebtedness and compliance with the terms of our indebtedness;
write-downs of goodwill, intangibles and other assets in future
periods; sufficient availability of borrowing capacity;
fluctuations in demand for newly manufactured railcars or failure
to obtain orders as anticipated in developing forecasts; loss of
one or more significant customers; customer payment defaults or
related issues; sovereign risk to contracts, exchange rates or
property rights; actual future costs and the availability of
materials and a trained workforce; failure to design or manufacture
new products or technologies or to achieve certification or market
acceptance of new products or technologies; steel or specialty
component price fluctuations and availability and scrap surcharges;
changes in product mix and the mix between segments; labor
disputes, energy shortages or operating difficulties that might
disrupt manufacturing operations or the flow of cargo; production
difficulties and product delivery delays as a result of, among
other matters, costs or inefficiencies associated with expansion,
start-up or changing of production lines or changes in production
rates, changing technologies, transfer of production between
facilities or non-performance of alliance partners, subcontractors
or suppliers; ability to obtain suitable contracts for the sale of
leased equipment and risks related to car hire and residual values;
integration of current or future acquisitions and establishment of
joint ventures; succession planning; discovery of defects in
railcars or services resulting in increased warranty costs or
litigation; physical damage or product or service liability claims
that exceed our insurance coverage; train derailments or other
accidents or claims that could subject us to legal claims; actions
or inactions by various regulatory agencies including potential
environmental remediation obligations or changing tank car or other
rail car or railroad regulation; and issues arising from
investigations of whistleblower complaints; all as may be discussed
in more detail under the headings "Risk Factors" and "Forward
Looking Statements" in our Annual Report on Form 10-K for the
fiscal year ended August 31, 2015,
and our other reports on file with the Securities and Exchange
Commission. Readers are cautioned not to place undue reliance
on these forward-looking statements, which reflect management's
opinions only as of the date hereof. Except as otherwise
required by law, we do not assume any obligation to update any
forward-looking statements.
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SOURCE The Greenbrier Companies, Inc. (GBX)