CSK Auto to tender for 12% notes

New York, Dec. 15, CSK Auto Corp. said it plans to repurchase its $280 million of outstanding 12% senior notes due 2006 in a cash tender offer that is expected to commence on Dec. 16, and will also seek noteholder consents to amend certain provisions of the notes' indenture.

Phoenix-based CSK, the parent company of CSK Auto, Inc., a specialty retailer in the automotive aftermarket, also announced that it is seeking to increase its existing senior credit facility by $100 million to $425 million and issue $200 million of new senior subordinated notes in a private placement.

It will use a portion of the proceeds of the new senior subordinated notes, in conjunction with the funds available under the amended senior credit facility, to repurchase the 12% notes.

The transaction is expected to lower the company's annual interest expense.

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