Republic Services, Inc. Prices Bond Offering
Republic Services, Inc. announced today that it has priced a private offering of $650 million of 5.500% senior notes due 2019. We intend to use the net proceeds of the offering, which are expected to be approximately $639 million, as follows: approximately $256 million (including accrued interest) to tender for certain outstanding senior notes maturing in 2010 and 2011 that were issued by us or one of our subsidiaries, approximately $250 million to reduce amounts outstanding under our revolving credit facility and approximately $105 million to remit estimated tax payments related to our divesture of assets in connection with our 2008 merger with Allied Waste Industries, with the remainder to be used for general corporate purposes, including capital expenditures. The offering is subject to market and other conditions and is expected to close on September 8, 2009.
The notes will be our general senior unsecured obligations and will mature on September 15, 2019 with interest payable semi-annually on March 15 and September 15, beginning March 15, 2010. The notes will be guaranteed by each of our subsidiaries that also guarantee our revolving credit facility. These guarantees will be general senior unsecured obligations of the subsidiary guarantors.
We are offering the notes in reliance upon an exemption from registration under the Securities Act of 1933 for an offer and sale of securities that does not involve a public offering. The notes have not been registered under the Securities Act and may not be offered or sold in the United States absent registration or an applicable exemption from registration. This communication does not constitute an offer to sell or the solicitation of an offer to buy any security and shall not constitute an offer, solicitation or sale in any jurisdiction in which it would be unlawful.
INFORMATION REGARDING FORWARD LOOKING STATEMENTS
The disclosures herein include "forward looking statements" within the meaning of the federal securities law concerning Republic's proposed offering. The forward-looking statements are subject to various risks and uncertainties, such as prevailing market conditions, that could cause actual results to differ materially from future results expressed or implied by such forward-looking statements.
First Call Analyst: Flower, Will
FCMN Contact: firstname.lastname@example.org
SOURCE: Republic Services, Inc.