ANDERSON, Ind., April 8, 2004 /PRNewswire/ -- Delco Remy International,
Inc. today announced that it has priced its offering of $125 million of its
second priority senior secured floating rate notes due 2009 and $150 million
of its senior subordinated notes due 2012. The senior secured notes will have
an annual interest rate of LIBOR plus 4%, with interest payable quarterly.
The senior subordinated notes will have an annual interest rate of 9-3/8%,
with interest payable semiannually. The notes will be issued at par and will
be guaranteed by certain of the Company's subsidiaries.
The Company intends to use the net proceeds of the issuance to pay down
existing indebtedness under its senior credit facility, to redeem the
Company's senior subordinated notes due 2006 in their entirety and for general
corporate purposes.
The notes are being sold in the United States to qualified institutional
buyers in reliance on Rule 144A, and outside the United States in compliance
with Regulation S, under the Securities Act of 1933, as amended (the
"Securities Act"). The notes have not been registered under the Securities
Act or any state securities laws and may not be offered or sold in the United
States absent registration or an applicable exemption from registration
requirements. This news release does not constitute an offer to sell or a
solicitation of an offer to buy such notes in any jurisdiction in which such
an offer or sale would be unlawful, and is issued pursuant to Rule 135C under
the Securities Act.
About Delco Remy:
Delco Remy International, Inc., headquartered in Anderson, Indiana, is a
leading designer, manufacturer, remanufacturer and distributor of electrical,
drivetrain/powertrain and related products and core exchange service for
automobiles and light trucks, heavy-duty trucks and other heavy-duty off-road
and industrial applications.
Caution Regarding Forward-Looking Statements:
This news release contains statements relating to future results of the
Company that are "forward-looking statements" as defined in the Private
Securities Litigation Reform Act of 1995 (the "Act") or by the Securities and
Exchange Commission ("SEC") in its rules, regulations and releases. The
Company desires to take advantage of the "safe harbor" provisions in the Act
for forward-looking statements made in this press announcement. Any
statements set forth in this news release with regard to its expectations as
to financial results and other aspects of its business may constitute forward-
looking statements. These statements relate to the Company's future plans,
objectives, expectations and intentions and may be identified by words like
"believe," "expect," "may," "will," "should," "seek," or "anticipate," and
similar expressions. The Company cautions readers that any such forward-
looking statements are based on assumptions that the Company believes are
reasonable, but are subject to a wide range of risks including, but not
limited to, risks associated with the uncertainty of future financial results,
pending arbitration and other litigation proceedings, acquisitions, additional
financing requirements, development of new products and services, the effect
of competitive products or pricing, the effect of economic conditions and
other uncertainties detailed from time to time in the Company's filings with
the SEC. Due to these uncertainties, the Company cannot assure readers that
any forward-looking statements will prove to have been correct.
SOURCE Delco Remy International, Inc.
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Related links:
http://www.delcoremy.com
Company News On-Call:
http://www.prnewswire.com/comp/111635.html
CONTACT:
David E. Stoll of Delco Remy International,
Inc., +1-765-778-6523
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