ESTERO, Fla., Sept. 30, 2015 /PRNewswire/ -- Hertz Global
Holdings, Inc. (NYSE: HTZ) ("Hertz Global" or the "Company") today
announced that Hertz Vehicle Financing II LP ("HVF II"), a wholly
owned special purpose subsidiary of the Company, priced
$636.3 million in aggregate principal
amount of Series 2015-2 Rental Car Asset Backed Notes, Class A,
Class B, Class C and Class D (the "Series 2015-2 Notes") and Series
2015-3 Rental Car Asset Backed Notes, Class A, Class B, Class C and
Class D (the "Series 2015-3 Notes" and, together with the Series
2015-2 Notes, the "Notes"). The Company utilizes the HVF II
securitization platform to finance its U.S. rental car fleet.
The expected maturities of the Series 2015-2 Notes and the
Series 2015-3 Notes are September
2018 and September 2020,
respectively. The Series 2015-2 Notes are comprised of
approximately $189.5 million
aggregate principal amount of 2.02% Rental Car Asset Backed Notes,
Class A, $46.2 million aggregate
principal amount of 2.96% Rental Car Asset Backed Notes, Class B,
$14.3 million aggregate principal
amount of 3.95% Rental Car Asset Backed Notes, Class C and
$15.1 million aggregate principal
amount of 4.93% Rental Car Asset Backed Notes, Class D. The
Series 2015-3 Notes are comprised of approximately $265.3 million aggregate principal amount of
2.67% Rental Car Asset Backed Notes, Class A, $64.7 million aggregate principal amount of 3.71%
Rental Car Asset Backed Notes, Class B, $20.0 million aggregate principal amount of 4.44%
Rental Car Asset Backed Notes, Class C and $21.2 million aggregate principal amount of 5.33%
Rental Car Asset Backed Notes, Class D. The Class B Notes of
each series are subordinated to the Class A Notes of such series.
The Class C Notes of each series are subordinated to the Class A
Notes and the Class B Notes of such series. The Class D Notes of
each series are subordinated to the Class A Notes, the Class B
Notes and the Class C Notes of such series. The Class D Notes
will be retained by HVF II or conveyed to an affiliate of HVF
II.
The net proceeds from the sale of the Notes are expected to be
used (i) to repay a portion of the outstanding principal amount of
HVF II's Series 2013-A Variable Funding Notes and HVF II's Series
2014-A Variable Funding Notes and (ii) to make loans to Hertz
Vehicle Financing LLC, a wholly owned special purpose subsidiary of
the Company. The offering is expected to close on
October 7, 2015, subject to customary
closing conditions.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy any of the Notes or any other
securities, nor will there be any sale of the Notes or any other
securities in any state or other jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of any such state or other
jurisdiction. The Notes will be sold in reliance on an exemption
from the registration requirements provided by Rule 144A under the
Securities Act of 1933 (the "Securities Act") and, solely in the
case of the Class A Notes, the Class B Notes and the Class C Notes,
to investors outside the United
States pursuant to Regulation S under the Securities
Act. None of the Notes will be registered under the
Securities Act or the securities laws of any state or other
jurisdiction, and may not be offered or sold in the United States absent registration or an
applicable exemption from the registration requirements of the
Securities Act and the securities laws of any applicable state or
other jurisdiction.
About Hertz Global
Hertz Global operates the Hertz, Dollar, Thrifty and Firefly car
rental brands in more than 10,300 corporate and licensee locations
throughout approximately 150 countries in North America, Europe, Latin
America, Asia, Australia, Africa, the Middle
East and New Zealand. Hertz
Global is the largest worldwide airport general use car rental
company with more than 1,600 airport locations in the U.S. and more
than 1,300 airport locations internationally. Product and service
initiatives such as Hertz Gold Plus Rewards, NeverLostĀ®,
Carfirmations, Mobile Wi-Fi and unique vehicles offered through the
Adrenaline, Dream, Green and Prestige Collections set Hertz Global
apart from the competition. Additionally, Hertz Global owns the
vehicle leasing and fleet management leader Donlen Corporation,
operates the Hertz 24/7 hourly car rental business in international
markets and sells vehicles through its Rent2Buy program. The
Company also owns Hertz Equipment Rental Corporation ("HERC"), one
of the largest equipment rental businesses with more than 350
locations worldwide offering a diverse line of equipment and tools
for rent and sale. HERC primarily serves the construction,
industrial, oil, gas, entertainment and government sectors. For
more information about Hertz Global, visit: www.hertz.com.
Cautionary Note Concerning Forward Looking Statements
Certain statements contained in this release include
"forward-looking statements." Forward-looking statements include
information concerning the Company's liquidity and its possible or
assumed future results of operations, including descriptions of its
business strategies. These statements often include words such as
"believe," "expect," "project," "potential," "anticipate,"
"intend," " plan," "estimate," "seek," "will," "may," "would,"
"should," "could," "forecasts" or similar expressions. These
statements are based on certain assumptions that the Company has
made in light of its experience in the industry as well as its
perceptions of historical trends, current conditions, expected
future developments and other factors it believes are appropriate
in these circumstances. The Company believes these judgments are
reasonable, but you should understand that these statements are not
guarantees of performance or results, and the Company's actual
results could differ materially from those expressed in the
forward-looking statements due to a variety of important factors,
both positive and negative, that may be revised or supplemented in
subsequent reports on Forms 10-K, 10-Q and 8-K.
Among other items, such factors could include: the effect of the
restatement of our previously issued financial results for the
years ended December 31, 2012 and
2013 and any claims, investigations or proceedings arising as a
result; our ability to remediate the material weaknesses in our
internal controls over financial reporting; levels of travel
demand, particularly with respect to airline passenger traffic in
the United States and in global
markets; the effect of our proposed separation of our equipment
rental business and ability to obtain the expected benefits of any
related transaction; significant changes in the competitive
environment, including as a result of industry consolidation, and
the effect of competition in our markets on rental volume and
pricing, including on our pricing policies or use of incentives;
occurrences that disrupt rental activity during our peak periods;
our ability to achieve and maintain cost savings and efficiencies
and realize opportunities to increase productivity and
profitability; an increase in our fleet costs as a result of an
increase in the cost of new vehicles and/or a decrease in the price
at which we dispose of used vehicles either in the used vehicle
market or under repurchase or guaranteed depreciation programs; our
ability to accurately estimate future levels of rental activity and
adjust the size and mix of our fleet accordingly; our ability to
maintain sufficient liquidity and the availability to us of
additional or continued sources of financing for our revenue
earning equipment and to refinance our existing indebtedness; our
ability to integrate the car rental operations of Dollar Thrifty
and realize operational efficiencies from the acquisition; our
ability to maintain access to third-party distribution channels,
including current or favorable prices, commission structures and
transaction volumes; the operational and profitability impact of
the divestitures that we agreed to undertake in order to secure
regulatory approval for the acquisition of Dollar Thrifty; an
increase in our fleet costs or disruption to our rental activity,
particularly during our peak periods, due to safety recalls by the
manufacturers of our vehicles and equipment; a major disruption in
our communication or centralized information networks; financial
instability of the manufacturers of our vehicles and equipment,
which could impact their ability to perform under agreements with
us and/or their willingness or ability to make cars available to us
or the car rental industry on commercially reasonable terms; any
impact on us from the actions of our franchisees, dealers and
independent contractors; our ability to maintain profitability
during adverse economic cycles and unfavorable external events
(including war, terrorist acts, natural disasters and epidemic
disease); shortages of fuel and increases or volatility in fuel
costs; our ability to successfully integrate acquisitions and
complete dispositions; our ability to maintain favorable brand
recognition; costs and risks associated with litigation and
investigations; risks related to our indebtedness, including our
substantial amount of debt, our ability to incur substantially more
debt and increases in interest rates or in our borrowing margins;
our ability to meet the financial and other covenants contained in
our Senior Credit Facilities, our outstanding unsecured Senior
Notes and certain asset-backed and asset-based arrangements;
changes in accounting principles, or their application or
interpretation, and our ability to make accurate estimates and the
assumptions underlying the estimates, which could have an effect on
earnings; changes in the existing, or the adoption of new laws,
regulations, policies or other activities of governments, agencies
and similar organizations where such actions may affect our
operations, the cost thereof or applicable tax rates; changes to
our senior management team; the effect of tangible and intangible
asset impairment charges; our exposure to uninsured claims in
excess of historical levels; fluctuations in interest rates and
commodity prices; and our exposure to fluctuations in foreign
exchange rates. Additional information concerning these and
other factors can be found in our filings with the Securities and
Exchange Commission, including our most recent Annual Report on
Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on
Form 8-K.
You should not place undue reliance on forward-looking
statements. All forward-looking statements attributable to the
Company or persons acting on its behalf are expressly qualified in
their entirety by the foregoing cautionary statements. All such
statements speak only as of the date made, and the Company
undertakes no obligation to update or revise publicly any
forward-looking statements, whether as a result of new information,
future events or otherwise.
Logo- http://photos.prnewswire.com/prnh/20130620/NY35609LOGO
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/hertz-announces-pricing-of-private-offering-of-636-million-medium-term-rental-car-asset-backed-notes-300152045.html
SOURCE The Hertz Corporation