WARRENVILLE, Ill., Nov 10, 2009 (BUSINESS WIRE) -- Navistar Financial Corporation (NFC), a wholly owned subsidiary of
Navistar International Corporation (NYSE: NAV),has issued $350
million in three-year asset-backed securities to support its dealer
inventory funding. This transaction brings NFC's total wholesale
capacity to more than $1 billion when combined with previously issued
public and private funding.
The deal is eligible for funding under the U.S. Federal Reserve's TALF
(Term Asset-Backed Securities Loan Facility) program, which offers loans
to investors to support the purchase of asset-backed securities.
"This transaction marks our first return to the public markets after
several years, and we're very pleased with the outcome," said David
Johanneson, president and chief executive officer of Navistar Financial.
"We have obtained competitively priced long-term funding and broadened
our investor base, all of which will help to support our dealers'
purchase of floor plan inventory."
In addition, Navistar Financial has signed an agreement extending its
$100 million retail accounts conduit funding facility through Oct. 29,
2010. This facility is used to support the purchase of fleet accounts
receivable.
"The completion of these initiatives supports our strategy to complete
our refinancing by the end of the year, and reflects the market's
continued confidence in Navistar," added Johanneson. "As the economic
recovery continues, we're well positioned to support the profitable
growth of Navistar and our dealer network."
Navistar International Corporation (NYSE: NAV) is a holding company
whose subsidiaries and affiliates produce International(R) brand
commercial and military trucks, MaxxForce(R) brand diesel engines, IC Bus(TM)
brand school and commercial buses, Monaco RV brands of recreational
vehicles, and Workhorse(R) brand chassis for motor homes and step vans. It
also is a private-label designer and manufacturer of diesel engines for
the pickup truck, van and SUV markets. The company also provides truck
and diesel engine service parts. Navistar Financial Corporation provides
financial programs and services tailored to satisfy all Navistar's
customer and dealer equipment financing needs. Additional information is
available at www.Navistar.com/newsroom.
Forward-Looking Statements
Information provided and statements contained in this report that are
not purely historical are forward-looking statements within the meaning
of Section 27A of the Securities Act of 1933, as amended, Section 21E of
the Securities Exchange Act of 1934, as amended, and the Private
Securities Litigation Reform Act of 1995. Such forward-looking
statements only speak as of the date of this report and the company
assumes no obligation to update the information included in this report.
Such forward-looking statements include information concerning our
possible or assumed future results of operations, including descriptions
of our business strategy. These statements often include words such as
"believe," "expect," "anticipate," "intend," "plan," "estimate," or
similar expressions. These statements are not guarantees of performance
or results and they involve risks, uncertainties, and assumptions. For a
further description of these factors, see "Risk Factors - Risks
Relating to Navistar and its Markets" as set forth in the Prospectus
Supplement, dated October 22, 2009, filed pursuant to Rule 424(b)(5)
with respect to the Registration Statement No. 333-162588.Although
we believe that these forward-looking statements are based on reasonable
assumptions, there are many factors that could affect our actual
financial results or results of operations and could cause actual
results to differ materially from those in the forward-looking
statements. All future written and oral forward-looking statements by us
or persons acting on our behalf are expressly qualified in their
entirety by the cautionary statements contained or referred to above.
Except for our ongoing obligations to disclose material information as
required by the federal securities laws, we do not have any obligations
or intention to release publicly any revisions to any forward-looking
statements to reflect events or circumstances in the future or to
reflect the occurrence of unanticipated events.
SOURCE: Navistar
Navistar
Media contact: Roy Wiley 630-753-2627
Investor contact: Heather Kos 630-753-2406
Web site: www.Navistar.com/newsroom
Copyright Business Wire 2009