ESTERO, Fla., Sept. 8, 2016 /PRNewswire/ -- Hertz Global
Holdings, Inc. (NYSE: HTZ) (the "Company") announced today that its
wholly-owned subsidiary The Hertz Corporation ("Hertz"), intends to
offer $500 million aggregate
principal amount of senior notes (the "Notes"), subject to market
and other conditions, in a private offering (the "Offering") exempt
from the registration requirements of the Securities Act of 1933,
as amended (the "Securities Act").
The Notes will pay interest semi-annually in arrears. The Notes
are expected to be guaranteed on a senior unsecured basis by the
domestic subsidiaries of Hertz that guarantee its senior credit
facilities from time to time.
In connection with the offering of the Notes, Hertz intends to
redeem an aggregate principal amount of Hertz's 6.75% Senior Notes
due 2019 (the "2019 Notes") equal to the gross proceeds of the
Offering in accordance with the terms of the Indenture, dated as of
February 8, 2011, as supplemented
(the "Indenture"), among Hertz, the guarantors from time to time
party thereto, and the Trustee.
The Company also announced today that its wholly-owned
subsidiary Hertz Holdings Netherlands B.V., a private company with
limited liability incorporated under the laws of the Netherlands, expects to offer up
to €225 million aggregate principal amount of senior notes
during the week of September 12,
2016, in a private offering exempt from the registration
requirements of the Securities Act, subject to market and other
conditions.
Neither of the two offerings is contingent upon the successful
completion of the other offering.
This press release does not constitute an offer to sell or the
solicitation of an offer to buy any of the Notes (and the
guarantees of the Notes) or any other securities, nor will there be
any sale of the Notes (or any guarantees 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 (and the guarantees of the Notes) will be
issued in reliance on the exemption from the registration
requirements provided by Rule 144A under the Securities Act and,
outside of the United States, only
to non-U.S. investors pursuant to Regulation S under the Securities
Act. None of the Notes and such guarantees have been registered
under the Securities Act or any state or other jurisdiction's
securities laws, 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 applicable state and other jurisdiction's
securities laws. This press release does not constitute a
notice of redemption under the Indenture for the 2019 Notes nor an
offer to tender for, or purchase, any 2019 Notes or any other
security.
ABOUT THE COMPANY
Hertz Global operates the Hertz, Dollar and Thrifty vehicle
rental brands in approximately 10,000 corporate and franchisee
locations throughout North
America, Europe, Latin
America, Africa, the
Middle East, Asia, Australia, and New
Zealand. Hertz Global is one of the largest worldwide
airport general use vehicle rental companies, and the Hertz brand
is one of the most recognized in the world. Product and service
initiatives such as Hertz Gold Plus Rewards, 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 vehicle rental business in international
markets and sells vehicles through its Rent2Buy program. For more
information about Hertz Global, visit: www.hertz.com.
CAUTIONARY NOTE CONCERNING FORWARD-LOOKING STATEMENTS
Certain statements contained in this press release include
"forward-looking statements." Forward-looking statements include
information concerning our liquidity and our possible or assumed
future results of operations, including descriptions of our
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 we have made in
light of our experience in the industry as well as our perceptions
of historical trends, current conditions, expected future
developments and other factors we believe are appropriate in these
circumstances. We believe these judgments are reasonable, but you
should understand that these statements are not guarantees of
performance or results, and our 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
debt markets on the Offering; the ability of the Hertz to price the
Offering on the terms and within the timeframe anticipated by
Hertz; Hertz's ability to satisfy the closing conditions to the
Offering; any claims, investigations or proceedings arising as a
result of the restatement of our previously issued financial
results; 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 U.S. and in global markets; the effect of our separation of our
vehicle and equipment rental businesses, any failure by Herc
Holdings Inc. to comply with the agreements entered into in
connection with the separation and our ability to obtain the
expected benefits of the separation; 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; increased vehicle costs due to declines in the value
of our non-program vehicles; occurrences that disrupt rental
activity during our peak periods; our ability to purchase adequate
supplies of competitively priced vehicles and risks relating to
increases in the cost of the vehicles we purchase; our ability to
accurately estimate future levels of rental activity and adjust the
number and mix of vehicles used in our rental operations
accordingly; our ability to maintain sufficient liquidity and the
availability to us of additional or continued sources of financing
for our revenue earning vehicles and to refinance our existing
indebtedness; our ability to adequately respond to changes in
technology and customer demands; our ability to maintain access to
third-party distribution channels, including current or favorable
prices, commission structures and transaction volumes; an increase
in our vehicle costs or disruption to our rental activity,
particularly during our peak periods, due to safety recalls by the
manufacturers of our vehicles; a major disruption in our
communication or centralized information networks; financial
instability of the manufacturers of our vehicles; 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, the fact that substantially all
of our consolidated assets secure certain of our outstanding
indebtedness and increases in interest rates or in our borrowing
margins; our ability to meet the financial and other covenants
contained in our Senior 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; risks associated with operating in many different
countries, including the risk of a violation or alleged violation
of applicable anticorruption or antibribery laws; our ability to
successfully outsource a significant portion of our information
technology services or other activities; 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 and the
dependence of our business operations on 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; our
exposure to fluctuations in foreign exchange rates; and other risks
described from time to time in periodic and current reports that we
file with the SEC.
The Company therefore cautions you against not placing undue
reliance on forward looking statements. All forward-looking
statements attributable to the Company or persons acting on the
Company's 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.
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SOURCE Hertz Global Holdings, Inc.