Credit Acceptance Corp. Announces Sale of Subsidiary.SOUTHFIELD, Mich.--(BUSINESS WIRE)--May 11, 1999-- Credit Acceptance Corp. (Nasdaq:CACC CACC Center for Animal Care and Control CACC Canadian Association for Community Care CACC Central Alabama Community College CACC Chilterns Association of Camera Clubs (United Kingdom) ) announced today that it has sold 100 percent of its subsidiary, which provides risk assessment, fraud alert information and computerized computerized adapted for analysis, storage and retrieval on a computer. computerized axial tomography see computed tomography. skiptracing services regarding non-prime consumers to companies serving the non-prime consumer market, for $20.5 million in cash. The net proceeds Net Proceeds The amount received after all costs are deducted from the sale of a piece of property or security. Notes: In the case of an investor selling a security, net proceeds represent the proceeds from the sale minus any trading costs (i.e. commissions). from the transaction will be used to reduce outstanding indebtedness under the company's $125 million line of credit with a commercial bank syndicate. This subsidiary was acquired by the company on Dec. 11, 1996 for 200,000 shares of CACC common stock. In connection with this transaction, the company will report an after tax gain of approximately $9 million in the second quarter of 1999. Credit Acceptance Corp. is a specialized spe·cial·ize v. spe·cial·ized, spe·cial·iz·ing, spe·cial·iz·es v.intr. 1. To pursue a special activity, occupation, or field of study. 2. financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. company which provides funding, receivables management, collection, sales training and related products and services to automobile dealers selling vehicles to consumers with limited access to traditional sources of consumer credit. |
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