Rent-Way Signs Letter Of Intent To Acquire 145 Store Champion Rentals, Inc.ERIE, Pa.--(BUSINESS WIRE)--January 6, 1998--Rent-Way, Inc. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on : RWAY), today announced that it signed a letter of intent to acquire the stock of Champion Rentals, Inc., a privately-held rental-purchase chain for approximately $70 million plus assumption of liabilities. Champion Rentals, with 145 stores, has annualized annualized Of or relating to a variable that has been mathematically converted to a yearly rate. Inflation and interest rates are generally annualized since it is on this basis that these two variables are ordinarily stated and compared. revenues of approximately $80 million. Consummation of the acquisition is subject to completion of due diligence Research; analysis; your homework. This term has caught on in all industries, because it sounds so "wired." Who would want to do analysis or research when they can do due diligence. See wired. , preparation of a definitive purchase agreement, financing, and other customary closing conditions. The purchase price is subject to adjustment at closing. Rent-Way is currently evaluating several proposals from institutional lenders regarding the financing of the acquisition. No other terms of the acquisition were disclosed. Of Champion Rentals' 145 stores, located primarily in the Southeast United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. , 25 were opened in 1997. Rent-Way expects that the acquisition, if consummated, will have the effect of increasing earnings per share. Upon the closing of the recently announced 50-store acquisition of Ace T.V. Rentals and the completion of the acquisition of Champion Rentals, Rent-Way's total stores will increase to 382. Rent-Way currently operates a chain of 187 rental-purchase stores located in Colorado, Delaware, Florida, Illinois, Indiana, Kentucky, Maryland, Michigan, New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of , Ohio, Pennsylvania, Virginia, West Virginia and Washington, D.C. The Company rents brand name durable household products such as home entertainment equipment, furniture, and major appliances on a week-to-week or month-to-month basis under full service rental-purchase agreements. CONTACT: Rent-Way, Inc. Bill Morgenstern 800/736-8929 or VMW VMW Virtual Medical Worlds VMW Vlaamse Maatschappij voor Watervoorziening (Flemish Water Board, Belgium) VMW Visualization-based Microarchitecture Workbench VMW Value Methodology Workshop Inc. Vicki Weiner/Sylvia Dresner 212/605-3140 VMWeiner@aol.com |
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