SOURCE: The Hertz Corporation
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September 15, 2008 20:33 ET
Hertz Global Holdings Completes $825 Million Asset-Backed Note Facility
PARK RIDGE, NJ--(Marketwire - September 15, 2008) - Hertz Global Holdings, Inc. (NYSE: HTZ)
today announced that it has closed on a new $825 million, 2 year
asset-backed variable funding note facility for Hertz Vehicle Financing
LLC, its indirect wholly owned subsidiary, to finance cars in its U.S.
rental fleet. The facility, which has a maturity date of August 15, 2010,
improves the Company's ample liquidity position. The borrowing spread is
approximately 150 basis points higher than the Company's existing variable
notes.
"We are pleased with the addition of this rental fleet financing facility
which, when coupled with liquidity exceeding $4 billion, underscores
Hertz's overall financial strength," commented Mark P. Frissora, Hertz's
Chairman and Chief Executive Officer.
The Company said that Lehman Brothers, Inc. did not participate in the new
facility. Furthermore, Hertz said its funding exposure to Lehman Brothers,
Inc. under other facilities is immaterial.
The Hertz Corporation, a subsidiary of Hertz Global Holdings, Inc. (NYSE: HTZ), is the world's largest general use car rental brand, operating from
approximately 8,100 locations in 147 countries worldwide. Hertz is the
number one airport car rental brand in the U.S. and at 69 major airports in
Europe, operating both corporate and licensee locations in cities and
airports in North America, Europe, Latin America, Australia and New
Zealand. In addition, the Company has licensee locations in cities and
airports in Africa, Asia, and the Middle East. Product and service
initiatives such as Hertz #1 Club Gold®, NeverLost® customized, onboard
navigation systems, SIRIUS Satellite Radio, and unique cars and SUVs
offered through the company's Prestige, Fun and Green Collections, set
Hertz apart from the competition. Hertz also operates one of the world's
largest equipment rental businesses -- Hertz Equipment Rental -- offering a
diverse line of equipment to customers ranging from major industrial
companies to local contractors and consumers through nearly 400 branches in
the United States, Canada, France, Spain and China.
Forward Looking Statements
Certain statements contained in this press release include "forward-looking
statements" within the meaning of the Private Securities Litigation Reform
Act of 1995. You should not place undue reliance on these statements.
Forward-looking statements include information concerning the Company's
outlook, anticipated revenues, results of operations and implementation of
productivity and efficiency initiatives, including targeted job reductions,
and the anticipated savings and restructuring charges expected to be
realized or incurred in connection therewith. These statements often
include words such as "believe," "expect," "project," "anticipate,"
"intend," "plan," "estimate," "seek," "will," "may," "should," "forecast"
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 that the Company believes are appropriate in these
circumstances. As you read this press release, you should understand that
these statements are not guarantees of performance or results. They involve
risks, uncertainties and assumptions. Some important factors include: the
Company's operations; economic performance; financial condition; management
forecasts; efficiencies, cost savings and opportunities to increase
productivity and profitability; income and margins; liquidity and
availability of additional or continued fleet financing including as a
result of the financial instability of the entities providing credit
support; anticipated growth; economies of scale; the economy; and
refinancing of existing debt. In light of these risks, uncertainties and
assumptions, the forward-looking statements contained in this press release
might not prove to be accurate. The Company cautions you that you should
therefore not rely unduly on these forward-looking statements, which speak
only as of the date stated, or if no date is stated, as of the date of this
press release. You should also understand the risks and uncertainties
discussed in "Risk Factors" and elsewhere in the Company's 2007 Annual
Report on Form 10-K for the fiscal year ended December 31, 2007, as filed
with the United States Securities and Exchange Commission, or the "SEC," on
February 29, 2008, and its Quarterly Report on Form 10-Q for the three
months ended June 30, 2008, as filed with the SEC on August 8, 2008, could
affect the Company's future results, and could cause those results or other
outcomes to differ materially from those expressed or implied in the
Company's forward-looking statements. 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.