Avis Budget Group Amends Principal Credit Facility
Transaction Reduces Borrowing Spreads by 75 Basis Points
PARSIPPANY, N.J., Aug. 5, 2013 (GLOBE NEWSWIRE) -- Avis Budget Group, Inc.
(Nasdaq:CAR) announced today that its wholly-owned subsidiary, Avis Budget Car
Rental, LLC, has amended its corporate revolving credit facility, extending
the maturity date to 2018, expanding borrowing capacity to $1.65 billion, and
reducing its borrowing spread under the facility by 75 basis points.
"Our ability to amend our revolving credit facility at more favorable terms
while extending its maturity reflects the strong fundamentals of our
business," said David B. Wyshner, Avis Budget Group senior executive vice
president and chief financial officer.
The Company expects to generate more than $5 million in annual interest
expense savings as a result of the transaction.In addition, the Company
expects that the terms and conditions of the amended credit facility will
provide it with additional financial flexibility to pursue its strategic
About Avis Budget Group, Inc.
Avis Budget Group, Inc. is a leading global provider of vehicle rental
services, both through its Avis and Budget brands, which have more than 10,000
rental locations in approximately 175 countries around the world, and through
its Zipcar brand, which is the world's leading car sharing network, with more
than 790,000 members.Avis Budget Group operates most of its car rental
offices in North America, Europe and Australia directly, and operates
primarily through licensees in other parts of the world.Avis Budget Group has
approximately 30,000 employees and is headquartered in Parsippany, N.J.More
information is available at www.avisbudgetgroup.com.
Certain statements in this press release constitute "forward-looking
statements" within the meaning of the Private Securities Litigation Reform Act
of 1995.Such forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of the Company to be materially different from any
future results, performance or achievements expressed or implied by such
forward-looking statements. Statements preceded by, followed by or that
otherwise include the words "believes", "expects", "anticipates", "intends",
"projects", "estimates", "plans", "may increase", "forecast" and similar
expressions or future or conditional verbs such as "will", "should", "would",
"may" and "could" are based upon then current assumptions and expectations and
are generally forward-looking in nature and not historical facts.Any
statements that refer to outlook, expectations or other characterizations of
future events, circumstances or results, including all statements related to
future results and future interest expense savings are also forward-looking
You are cautioned not to place undue reliance 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.Important assumptions and other
important factors that could cause actual results to differ materially from
those in the forward-looking statements are specified in Avis Budget Group's
Annual Report on Form 10-K for the year ended December 31, 2012 and its
Quarterly Report on Form 10-Q for the quarter ended March 31, 2013, included
under headings such as "Forward-Looking Statements", "Risk Factors" and
"Management's Discussion and Analysis of Financial Condition and Results of
Operations", and in other filings and furnishings made by the Company with the
SEC from time to time.Except for the Company's ongoing obligations to
disclose material information under the federal securities laws, the Company
undertakes no obligation to release publicly any revisions to any
forward-looking statements, to report events or to report the occurrence of
unanticipated events unless required by law.
CONTACT: Media Contact:
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