Hertz Credit Agreement
PARK RIDGE, NJ, Sept. 20, 2010 (MARKETWIRE via COMTEX) — Hertz Global Holdings (NYSE: HTZ) (“Hertz Holdings”) announced today that its 100% subsidiary The Hertz Corporation (“Hertz”) has amended each of its fixed-term loan facilities (the “Maturity Facility”) and the Wealth-Based Revolving Credit Facility (“ABL Facility”). The changes give Hertz the flexibility to opportunistically refinance its outstanding debt to reduce interest charges. In addition, the change would result in the expected divestiture of the Advantage Rent A Car business in the context of the imminent acquisition of Dollar Thrifty Automotive Group, Inc. (“Dollar Thrifty”) by Hertz Holdings, removes a subsidiary related to Dollar Thrifty insurance from certain credit agreement restrictions and anticipates an additional acquisition capacity of $150 million under the term facility. The amendment to the ABL facility also increases the total credit sub-limit by $400 million and allows for accreditations denominated in Australian dollars. The company`s shares have been the subject of a gravity-defying rally after seeking creditor protection in May, although the Chapter 11 filing poses a high risk of becoming worthless. Hertz tried to take advantage of the market anomaly by issuing new shares, a seemingly unprecedented step for a bankrupt company to raise inexpensive capital. . .