CSK Auto Obtains Waiver of Default with Respect to 4 5/8% Senior Exchangeable Notes and Enters into Agreement to Amend Certain Terms of the Notes and the Related Indenture.PHOENIX -- CSK Auto CSK Auto Inc. is the largest specialty retailer of automotive parts and accessories in the western United States and one of the largest retailers of such products in the entire country. Corporation (NYSE NYSE See: New York Stock Exchange : CAO) (the "Company") announced today that its wholly owned subsidiary Wholly Owned Subsidiary A subsidiary whose parent company owns 100% of its common stock. Notes: In other words, the parent company owns the company outright and there are no minority owners. , CSK Auto, Inc. ("Auto"), has reached an agreement (the "Letter Agreement") with a majority in aggregate principal amount of its 4 5/8% Senior Exchangeable Notes due 2025 (the "Notes") to (i) provide for the waiver of any default or event of default resulting from Auto's failure to file certain financial information with the Trustee for the Notes (such requirement, the "Filing Covenant"), including the default that was the subject of the previously announced notice of default delivered to Auto (the "Waiver") and (ii) amend the Indenture governing the Notes (the "Indenture An agreement declaring the benefits and obligations of two or more parties, often applicable in the context of Bankruptcy and bond trading. The term indenture primarily describes secured contracts and has several applications in U.S. law. ") to exempt Auto from compliance with the Filing Covenant until June 30, 2007 (the "Extension"). In consideration for the Waiver and the Extension, the Indenture and the Notes will be further amended to increase the interest rate of the Notes to 6 3/4% per year and to increase the exchange rate of the Notes from 49.8473 shares of the Company's common stock per $1,000 principal amount of Notes to 60.6061 shares of the Company's common stock per $1,000 principal amount of Notes (the "Amendments"). The Waiver, Extension and Amendments will be applicable to all outstanding Notes. The Letter Agreement will expire on August 4, 2006 if a Supplemental Indenture that will give effect to the Extension and the Amendments is not executed and delivered by Auto and the Trustee for the Notes by 5:00, Eastern Daylight Time, on August 4, 2006. The Company expects that the Supplemental Indenture will be executed on or before July 28, 2006. CSK Auto Corporation is the parent company of CSK Auto, Inc., a specialty retailer in the automotive aftermarket Aftermarket See: Secondary market. aftermarket See secondary market. . As of April 30, 2006, the Company operated 1,288 stores in 22 states under the brand names Checker check·er n. 1. a. One, such as an inspector or examiner, that checks. b. One that receives items for temporary safekeeping or for shipment: a baggage checker. 2. Auto Parts Auto parts are components of automobiles. They mainly are, in alphabetic order (only car specific articles or articles with car section):
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