Hertz Corp. this week completed its previously announced sale of $500 million aggregate principal amount of 6.75-percent senior notes due 2019 in a private offering. The notes are guaranteed on a senior unsecured basis by the domestic subsidiaries of Hertz that guarantee its senior credit facilities.
“This issuance is a continuation of our strategy to refinance higher coupon debt and extend our maturity profile at attractive rates,” said Hertz chairman and CEO Mark Frissora. “Since September 2010, we have raised $1.7 billion from high-yield note offerings and have used the proceeds to call approximately $1.62 billion in higher coupon outstanding debt. These refinancing efforts are expected to result in annual adjusted pre-tax run rate savings of over $25 million through 2013.”
Based in Park Ridge, N.J., Hertz Equipment Rental Corp. is No. 4 on the RER 100.