Case credit Prices ABS Transaction.RACINE, Wis.--(BUSINESS WIRE)--Sept. 11, 1997--Case Credit Corporation, the financial services arm of Case Corporation (NYSE NYSE See: New York Stock Exchange :CSE (Certified Systems Engineer) See Microsoft certification. ) and one of the world's largest equipment financing companies, today announced the pricing of a $754.8 million asset-backed securitization Securitization The process of creating a financial instrument by combining other financial assets and then marketing them to investors. Notes: Mortgage backed securities are a perfect example of securitization. May also be spelled as "securitisation. by its subsidiary, Case Receivables II Inc. The securities are backed by U.S. agricultural and construction equipment retail receivables contracts originated through Case dealerships. The issue includes four classes of public notes: $90.0 million of 5.612% Class A-1 notes; $204.5 million of 5.914% Class A-2 notes; $237.0 million of 6.24% Class A-3 notes; $188.6 million of 6.41% Class A-4 notes; and $34.7 million of 6.41% Class C notes. The Class A and Class C notes are ERISA-eligible investments. A condition of closing is that the Class A-1 notes are rated "P-1/A-1+", Class A-2, Class A-3 and Class A-4 notes are rated "Aaa/AAA", and Class C notes being rated "A3/A" by Moody's Investors Service Moody's Investors Service A leading global credit rating, research and risk analysis firm. Moody's Investors Service A leading firm engaged in credit rating, risk analysis, and research of fixed-income securities and their issuers. and Standard and Poor's Noun 1. Standard and Poor's - a broadly based stock market index Standard and Poor's Index . The notes are expected to be rated prior to the closing of the offering, which is tentatively scheduled for September 22, 1997. Past Case Credit ABS offerings in the U.S. have received similar ratings. Lead underwriter Lead underwriter The head of a syndicate of financial firms that are sponsoring an initial public offering of securities or a secondary offering of securities. Could also apply to bond issues. for the notes is Credit Suisse First Boston Credit Suisse First Boston was originally the trading name of the Financière Crédit Suisse-First Boston, a London-based 50-50 investment banking joint venture formed in 1978 between the First Boston Corporation and Credit Suisse. . Co-managers for the A notes are First Chicago Capital Markets, Inc., Merrill Lynch & Co., J.P. Morgan & Co., NationsBanc Capital Markets, Inc., and Salomon Brothers Inc. Co-manager for the C notes is J.P. Morgan & Co. Case Credit's use of securitization is consistent with its announced financing strategy to leverage its financing options and to broaden its access to traditional capital markets at the lowest effective rates. Case Credit will apply the proceeds from this securitization to repay outstanding debt and to fund its growing portfolio of receivables. Case Credit Corporation, a 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. of Case Corporation, has been serving the needs of Case customers since 1957. Case Credit financial services are available in markets around the world. Today, the company provides financing to customers purchasing and leasing agricultural and construction equipment through established dealer networks located primarily in North America, Australia and Europe. Based in Racine, Wisconsin, Case Credit services a $4.8 billion portfolio of receivables and leases. Case Corporation, with revenues of $5.4 billion in 1996, is a leading designer, manufacturer and distributor of agricultural and construction equipment. CONTACT: Case Credit Corporation Sandra J. Lasch, 414/636-6473 or Case Corporation William B. Masterson, 414/636-5793 |
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