ERAC USA Finance LLC Announces Bond Redemption

BY PR Newswire | CORPORATE | 09/23/21 10:23 AM EDT

ST. LOUIS, Sept. 23, 2021 /PRNewswire/ --?ERAC USA Finance LLC (the "Issuer"), the wholly-owned U.S. finance subsidiary of Enterprise Holdings, Inc. ("Enterprise Holdings"), announced today that it will redeem the entire outstanding principal amount of its 2.60% Notes due December 1, 2021 (the "Notes") prior to the maturity of the Notes. The redemption date for the Notes is November 1, 2021 (the "Redemption Date"). The aggregate principal amount of the Notes outstanding is $350 million. The redemption price for the Notes will equal 100% of the principal amount, plus accrued and unpaid interest on the Notes, up to the Redemption Date. The Issuer plans to use cash on hand to fund the redemption of the Notes.

Enterprise Holdings Corporate Brands Logo. (PRNewsfoto/Enterprise Holdings)

A notice of redemption is being sent to all currently registered holders of the Notes by the Trustee, The Bank of New York Mellon Trust Company, N.A.

This press release is not an offer to sell or a solicitation of an offer to buy any securities.

About Enterprise and ERAC USA Finance LLC

Enterprise Holdings, Inc. is a leading provider of mobility solutions, owning and operating the?Enterprise?Rent-A-Car,?National Car Rental?and?Alamo Rent A Car?brands through its integrated global?network of independent regional subsidiaries.?Enterprise Holdings and its?affiliates offer extensive car rental, carsharing, truck rental, fleet?management, retail car sales, as well as travel management and other?transportation services, to make travel easier and more convenient for?customers. Privately held by the Taylor family of St. Louis, Mo., Enterprise?Holdings manages a diverse fleet of nearly 1.7 million vehicles through?a network of more than 9,500 fully staffed neighborhood and airport rental locations in nearly 100 countries and territories. ERAC USA Finance LLC is a special purpose limited liability company and a wholly owned subsidiary of Enterprise Holdings, Inc.

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SOURCE Enterprise Holdings, Inc.

In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.

Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.

Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.

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